## **SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

**(Registered Charity Number:  251262)** 

**TRUSTEES’ REPORT AND FINANCIAL STATEMENTS** 

**31 AUGUST 2022** 

Haysmacintyre LLP Chartered Accountants London 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

The Trustees present their Report together with the financial statements of the Charity for England for the year ended 31 August 2022 which are prepared in accordance with the Statement of Recommended Practice (SORP 2019) (Second Edition, effective 1 January 2019). 

## **HISTORY AND ORGANISATION** 

The Sisters of Charity of Jesus and Mary (“SCJM”) is an international religious Congregation of pontifical right founded in Belgium in 1803 in the rural district of Lovendegem. In 1803 our founder Peter Joseph Triest was appointed parish priest in Lovendegem. The poverty, the moral depravity, the crying need for education and care of the sick spurred him into action. In July 1804 the first Sisters of Charity of Jesus and Mary pronounced their first vows and decided to devote their lives to "the caring of the poor and destitute".  The Sisters gave lessons, looked after orphans and went into the homes of the sick and old to care for them. 

Over the next two centuries the Sisters established ministries in other countries. The Anglo Irish Province was established on 14 October, 1968. 

Today the Congregation has around 1,200 Sisters who live and work in Belgium, The Netherlands, England, Ireland, India, Pakistan, Sri Lanka, Philippines, The Democratic Republic of Congo, Mali, Burundi, Rwanda and Vietnam. 

## **OBJECTIVES AND ACTIVITIES** 

The Charity’s legal purposes/objects are for such charitable purposes which advance the religious and other charitable work for the time being carried out by or under the direction of the Congregation. These objects are set out in its Trust Deed dated 18 January, 1967 by which it is governed. 

The Trustees have had regard to the Charity Commission’s guidance on public benefit. The majority of the expenditure of the Charity funds the living and care costs of our Sisters in England and Ireland. Stella Matutina Care Home provides care for elderly women and men. The home is not operated for profit. The Charity also makes donations to support third party charitable projects and disaster appeals worldwide. 

From the beginning until today, the life of every SCJM has been, and remains, a reality, of grace which finds expression in: 

- An apostolic service which stems from our union with God and itself nourishes this same union; 

- Prayer, which is a waiting on the Lord, who himself opens us to his presence and enables us to collaborate in his work; 

- Community life, which intensifies our apostolic dynamism and is an effective sign of our communion with Him; and 

- At one with the universe and each other, we value the whole of creation and journey with all God’s people in faith, respecting differences, welcoming diversity, and upholding their inherent dignity. 

The activities and ministries of the Charity fall into five areas: 

## **Care of members of the Province in England and Ireland** 

The members of the Province have devoted the whole of their working lives to the care of the young, elderly, poor and marginalised in society and all their income and assets have been gifted to the Charity. The Charity cares for their members in retirement. The care includes supporting Sisters who are able to live independently and supporting Sisters living in communities in England and Ireland. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

Some Sisters already retired give support to our elderly Sisters, who are living in the Rosglas and Stella Matutina communities. Their support involves spending time with them and supporting them both emotionally and spiritually. 

The Trustees ensure that every Sister, whether living alone, or in a community, receives financial, spiritual and emotional support, for both their ministries and their own care. When appropriate, Sisters are transferred between communities to ensure the environment and support available to them adequately meets their needs. 

## **Social and pastoral work** 

Members of the Province are involved in various forms of social or pastoral work throughout England and Ireland, including care of the elderly and people with special needs, family support, and chaplaincy work in hospitals, healing ministry, counselling and educational establishments. All this work is undertaken on a voluntary basis.  The Trustees ensure volunteers have the necessary skills, experience and training to undertake their roles in the community and training is provided (internal and external) as required. 

## **Stella Matutina Care Home** 

The Sisters continue to provide care and assistance to the elderly at Stella Matutina Care Home in Ansdell for both members of the Province and members of the public. The occupancy of this care home is a mix of members of the Province, private and local authority clients. It is not operated for profit. Cases of financial hardship are considered by the Trustees and fees are reduced if necessary. All applicants are assessed on their needs and not their ability to pay. 

The strategy for the home is to provide the best possible care for residents’ emotional and physical needs so that they can enjoy their life to the fullest possible extent. 

## **Overseas missionary work** 

The Charity also helps financially support Sisters working in education, ecology, healthcare, social and pastoral care worldwide. 

## **Working with other organisations** 

The Charity works closely with a number of other charities and public bodies that work in the field of providing care to the vulnerable and the elderly. Working together with other charities and public bodies enhances communication and understanding thus enabling services to the elderly to be provided more efficiently and effectively and avoiding duplication of effort. Examples of the organisations for which members have worked and with which the Charity has cooperated during the year are as follows: 

- Roman Catholic Diocese of Westminster 

- RLSS (Religious Life Safeguarding Service) 

- COR (Conference of Religious of England and Wales) 

- AMRI (Association of Missionaries and Religious of Ireland) 

- Lancashire County Council and Blackpool Council 

- Citizens Information in Ireland 

## **Covid-19** 

During the period under review at Stella Matutina Care Home all guidance and instructions from Public Health England, Blackpool Council, Lancashire County Council and the Care Quality Commission were implemented and adhered to. The Care Quality Commission inspection undertaken during the period under review reported that all infection and protection classifications reviewed by them were assured. Over recent months, like the rest of the country, we have adapted to life living with Covid-19. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

**TRUSTEES' ANNUAL REPORT (continued)** 

**FOR THE YEAR ENDED 31 AUGUST 2022** 

## **ACHIEVEMENTS AND PERFORMANCE** 

## **Care of members of the Province in England and Ireland** 

In common with many religious congregations in Great Britain, the age profile of the members of the Congregation is increasing as existing members grow older and the number of new vocations becomes minimal. The age profile of the Congregation in the British Isles Province is shown graphically below: 


**----- Start of picture text -----**<br>
Age Groups as 31st August 2022<br>age 90 - 99<br>Age 80 - 89<br>Age 70 -79<br>Age 60 - 69<br>**----- End of picture text -----**<br>


The Congregation has an obligation, both moral and legal, to provide care for its members, none of whom have resources of their own and all of whom have devoted a significant part of their lives to the care of the elderly, poor and marginalised in society. As the age profile of the Province increases so too does the need to provide increasing, and increasingly expensive, care to the Sisters. 

At present four members of the Province are receiving care in Stella Matutina Care Home and others are receiving support within their communities in England and Ireland. In the future, the Trustees expect the number requiring care to increase. As a consequence the Trustees give careful consideration to the impact of this on the work of individual members of the Province the property requirements of the Province and the financial implications. In this regard, the Congregation’s purpose-built convent Rosglas provides care for our elderly and incapacitated Sisters. 

## **Social and pastoral work** 

The aims of the Trustees in this area include: 

- Enabling all members of the Province to carry out meaningful social and pastoral work within the community. 

- Pastoral care of residents in Stella Matutina Care Home. Services are held in the Chapel and these are also open to non-residents; 

- Chaplaincy work in hospitals. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

Along with all other organisations who serve in the community, the Trustees recognise the absolute necessity of ensuring the protection and safety of all those the Charity serves. In February 2022 we signed up to the RLSS and their Safeguarding Model Policies. 

Currently all Sisters, staff and volunteers are required to comply with our Safeguarding Children and Vulnerable Adult Policy and Guidelines document which was last reviewed in September 2021. 

Encouraging and motivating members to work with and assist the poor, elderly and marginalised, for example two of our Sisters working in these areas give the following accounts of their ministry. 

## **Sister Philomena Enright** 

Sister Philomena is a trained volunteer with the local Citizens Information Service. The Citizens Information Service is free, confidential, independent and private and is available to the public. During my working day I meet with people from all walks of life seeking information and help on various issues. It is my job to provide a friendly atmosphere where people can talk freely knowing that they will be listened to with respect and courtesy. I give information on: 

- Client’s rights. 

- Help clients get their entitlements. 


- Give information on payments and allowances. 

- Help clients fill out forms. 

- Help clients with an appeal or to make a complaint. 

- Social Welfare payments. 

- Housing. 

- Employment Rights. 

- Education and Training. 

- Health and Health Services. 

I can also be an advocate for a client if necessary. My role as an advocate is to: 

- Enable people to seek and receive information, explore and understand their options and make their wishes and views known to others. 

- Support people to represent their own views, wishes and interests, especially when they find it difficult to articulate these to others by themselves. 

- Empower people to make decisions for themselves. 

- Ensure people’s rights are respected by others. 

- Stand alongside people who are in danger of being ignored. 

While Covid-19 lockdown restrictions have meant physical meetings have not always been possible, I have been able to continue providing advice at the telephone and through email correspondence. It is a privilege for me to be able to do this work which I feel is of great benefit to the Public. 

## **Sister Marian Davey** 

Since my last Report I continue to see my ministry as a means of serving in small ways according to the needs of the individuals who cross my path. 

One of the major needs in today's world is a feeling of loneliness and increasing isolation by many people They find that they're losing all that has been familiar to them over the years e.g. the closure of local facilities such as banks and certain shops where there was face to face communication. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

Sadly, the relentless progress of the digital /technological age contributes enormously to this problem. 

I see a personal call to help fill a few of the gaps by offering a certain level of availability via telephone support or where appropriate meeting up with people in their homes or mine or in a cafe etc. The availability of listening and being there for people to offload anxieties seems to be an ever increasing need in our current context. 

It is in this spirit that I continue to support 4 neighbours within my Apartment Block. This support takes the shape of them dropping by for a coffee and a chat or I call to see them. They may require a drive to the local GP or Practice Nurse or just picking up some small but urgent items from the local shops. 

I continue to support 2 elderly couples who because of their multiple medical problems miss out on having a social network. I meet up with them on a regular basis for a cuppa and a chat. 

I offer similar levels of support to the Sisters in the Flats at Stella Matutina Care Home. This includes shopping trips locally for specific needs for 2 of them where they can browse the shops at their own pace. 

Another Sister who is unable to drive at the moment needs her library books exchanged regularly etc. These tasks are in themselves quite small but essential to the individual concerned. 

I continue with my telephone support for Seafarers over the Internet (WhatsApp) on a regular basis depending on when they're in Port. Some calls can also come during the night. As well as providing emotional support I can provide a limited amount of practical support by referring them to the right Welfare Agencies e.g. the Maritime Unions or Port Chaplains. Towards the end of last year I was able to provide a small amount of financial assistance to a Filipino seafarer whose family had been traumatised by the loss of their home to yet another typhoon which hit Manilla. Following my request to Sr Elizabeth we provided a generous sum of money towards the rebuilding of their family home  Roberto and his family were extremely grateful. 

I provide some mentoring for 1 Port Chaplain and a Maritime Volunteer on a regular basis. Through the Lancashire Volunteer Network I hope to commence training to offer a local level of telephone support to housebound people who are feeling cut off from mainstream life through not being able leave their homes for a variety of reasons. Due to funding problems the training has been deferred until July. 

Care for the protection of our Planet remains a stronger calling than ever for me. Through a well known National Environmental Group (with the unfortunate name of Extinction Rebellion!), I have joined 2 protests on the streets of London in recent months making demands on our political leaders to act urgently to support and invest in appropriate ways to prevent the destruction of our Planet going forward. This includes the creation of jobs or green employment to offset the inevitable impact of unemployment which would occur as a result of abandoning our current lifestyles and ways of managing our industries and services etc.To this end I have just come back from a protest in London this weekend where I connected with a wider Group of Christian activists. We spent most of Sunday afternoon protesting alongside Buddhist /Hindu and other interfaith Groups/Trade Union Groups and a variety of other passionate Environmental Groups whose commitment to saving our Planet is inspirational. Membership of this Group can be uncomfortable at times as it attracts the attention of small numbers of anarchists who often hijack the agenda of the protest. Their actions can sometimes create a negative profile for the rest of us. However, steps have been taken to limit their impact and besides Jesus had a similar problem re the motivation for some who attached themselves to his followers in the hope that he might free them from the tyranny of the Roman Empire. Our day of protest ended with hope in our hearts as we celebrated a Communion Service together led by an Anglican priest. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

It's encouraging for me to see how Laudato Si and other inspirational documents from Pope Francis has permeated these events whenever Christians gather to protest on matters relating to the destruction of our lovely Planet. 

## **Stella Matutina Care Home** 

The Charity owns and operates a residential care home, Stella Matutina Care Home. The philosophy of care is to ensure a homely, friendly and open atmosphere amongst residents and staff whilst maintaining the privacy, dignity, rights and quality of life of all residents. 

There are 43 rooms at Stella Matutina, all with ensuite facilities and a number with separate sitting areas and each room has a television and telephone linked to the call system. All areas of the home are accessible by either stairs or a lift, and residents are encouraged to take meals in the dining room. Other facilities include a chapel, hairdressing salon, conservatory, several lounges and passenger lift to all floors.  Spacious bathrooms on each floor are fitted with assisted bath chairs. The home is set in its own extensive grounds overlooking the Ribble Estuary. 

In operating Stella Matutina Care Home the Trustees aim to: 

- Provide excellent residential care to elderly men and women, ensuring that their needs are fully met and that they enjoy as high a quality of life as possible. 

- Employ high quality staff to care for the elderly residents ensuring that all such staff obtain the necessary qualifications and training needed for their work. 

- Ensure that Stella Matutina Care Home meets the requirements of the Care Quality Commission and that any recommendations arising from inspections are acted upon quickly and effectively. 

- Maintain the financial security through careful budgeting and by setting fees for Stella Matutina Care Home at levels that ensure its viability is not threatened. 

Stella Matutina has an excellent local reputation which is being maintained and developed. The move to lay management is never easy, but this has developed well and needs to be continued. The achievement of the highest possible award, Residential Domiciliary Benchmark Five Star rating for 2021-2022 is recognition of how far the home has developed and is a credit to each and every individual involved. Staff morale is high and turnover is low.  Apart from being an indication of good management this enhances the quality of care given to residents. 

The average occupancy level during the financial year of 70.9% which was an improvement on the prior year figure of 60.0%. 

The accommodation is over three floors and the Trustees are finding it increasingly difficult to keep rooms on the second and first floor occupied. This reflects a trend to individuals staying at home for longer, so when they do enter the care home their needs are greater. The Trustees have and continue to explore ways of making better use of the facilities at the home. 

## **Overseas missionary work** 

The Charity supports the work of the Congregation worldwide and in recent years its financial support has been focused on two projects in Rwanda: 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Complexe  Scolaire Mere Placide School, Rwanda** 

Rwanda is a small country in Central Africa.  It has an area of 26,338 km with a population of 11 million.  The main source of income for the people is essentially agriculture.  Rwanda was heavily affected by the socio - political crisis of the genocide, that caused several hundred thousand deaths in 3 months in 1994.  The consequences of this genocide are incalculable and continue to have very visible impact in the country to this day.  Whole families were wiped out, and many widows, orphans, and elderly people remained, who were desolate, with little or no means to survive.  Another inevitable consequence of this crisis is the many uneducated children and youth and school dropouts. 

Our Congregation, Sisters of Charity of Jesus and Mary, (SCJM ), who are working as missionaries in Kibeho, which is located in the Southern Province of Rwanda, are very aware of the tremendous need for education. In 2018 the Trustees agreed to pledge £235k to part fund the building of 10 new classrooms for the Congregation’s primary school the Complexe Scolaire Mere Placide School. 

The photographs that follow speak for themselves, as the smiling faces of happy children, exude the joy of youngsters enjoying their new school, which includes food for the body as well as the mind.  As members of the SCJM family here in England, we were delighted to help financially towards the construction of 10 classrooms for this new school. 




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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

In April 2022 the Trustees have donated £200,000.00 towards the cost of building a new care home in Kibeho, Rwanda. An unexpected need to build a new wall on the boundary of the land has delayed the project somewhat and the costings for the project are being reviewed given the extra expense building the wall involved. The Trustees will continue to monitor this project and ensure the funds donated are used for their intended purpose. 

## **RISK MANAGEMENT** 

The Trustees have considered the major risks to which the Charity is exposed.  Every effort is being made to mitigate those risks.  The key risks for the Charity, as identified by the Trustees, are described below together with the principal ways in which they are mitigated: 

## **Governance and Management** 

The Congregation has an obligation, both moral and legal, to provide care for its members, none of whom has resources of her own and all of whom have devoted a significant part of their lives to the activities of the Charity.  The Sisters are all under a vow of poverty and therefore providing them with support is considered to be an important element of the Charity’s work.  Wherever possible, care is provided for frail and unwell members within communities.   The incidence of such care needs is impossible to predict and the Trustees therefore believe that it is incumbent upon them to maintain reserves at an appropriate level to ensure that the charity is able to meet this obligation – see Reserves Policy below. 

Along with all other organisations who serve in the community, the Trustees recognise the absolute necessity of ensuring the protection and safety of all those the Charity serves. We joined the Religious Life Safeguarding Service in February 2022. 

The Trustees are mindful that at some time in the medium to longer term, there may be issues in relation to succession planning for the governance of the Charity.  With an ageing group of Sisters, it may be necessary to consider appointing lay trustees (that is trustees who are not members of the Congregation) and/or Sisters from overseas areas where there is a greater pool of younger members.  Such steps may require constitutional changes for the Charity.  The Trustees continue to keep under review the issues and the options open to them. 

## **Property and Operational** 

It is absolutely necessary to ensure that our properties continue to be safe places for the residents, Sisters and visitors to use.  Attention is given to keeping our properties in good repair. General maintenance is regularly carried out.  There is an on-going programme to ensure compliance with the increasing demands of Health and Safety Regulations particularly with regard to Fire Regulations. 

Property and operational risks are reviewed annually with an insurance broker to ensure all risks are identified and insured against where possible. All property is maintained to a high standard and Stella Matutina Care Home has comprehensive processes in place to ensure appropriate health and safety standards are maintained. 

The Care Quality Commission is responsible for reviewing standards achieved at Stella Matutina Care Home. Any serious incidents are reported to the Care Quality Commission, Safeguarding and the Charity Commission as appropriate. The Care Quality Commission undertook an inspection in February 2021 and the overall classification was Good across all classifications. The Care Quality Commission also undertook a review in March 2023 and found no evidence that they needed to reassess the rating. 

## **Investments and Financial** 

The Charity is reliant on investment income to carry out its activities and uses two investment managers with different assets class benchmarks to mitigate to some extent the risks associated with market 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

volatility. Both portfolios are managed to provide income and capital growth taking moderate risk. The Trustees receive investment reports on a quarterly basis and normally meet with their managers on a quarterly or half yearly basis. Their performance and that of the portfolios are monitored carefully. 

The Trustees take a conservative approach to managing cash and five year cash flow forecasts are examined and reviewed at least annually to ensure adequate cash is available for both known needs and to some degree unknown contingencies. 

The Trustees seek to make the best possible use of the Charities financial resources. 

## **Reputational and Safeguarding** 

The Trustees adhere to the highest standards of integrity and expect all members of the Province and employees to do the same. A register of interests for the Trustees is maintained and kept updated. A conflict of interest policy is in place for both Trustees and employees. 

The Anglo-Irish Province has a comprehensive Child and Vulnerable Adult Safeguarding Policy booklet which was last reviewed in September 2021. We are members of The Religious Life Safeguarding Service. 

## **FINANCIAL REVIEW** 

## **Investment policy** 

The Charity’s investments are managed by Julius Bär and HSBC Private Banking. There are no restrictions on the Charity’s power to invest. 

The investment strategy is set by the Trustees and takes into account income requirements, the risk profile and the investment manager’s view of the market prospects in both the medium and long term. 

The policy is to maximise total return, within a given level of risk, through a diversified portfolio whilst providing a level of income advised by the Trustees from time to time. There is also an Ethical Policy precluding investment in any company which, after reasonable enquiry, clearly has significant profits from an activity which is contrary to the objectives of the Congregation. In addition, our investment managers have been mandated to continually assess the Environmental, Social and Governance standards of the companies we invest in and avoid, as far as reasonably possible, investing in companies that do not share our ESG values. 

The performance of the portfolio and the Charity’s investment strategy are reviewed by the Trustees who normally meet with Julius Baer International quarterly and HSBC Private Bank every six months. 

## **Investment performance** 

Overall, investment income during the year was largely unchanged at £436.9k (£437.5k in prior year). The year to 31 August 2022 was one which saw a high degree of volatility in investment markets and an overall decline in values. Losses for the year amounted to £1.13m but it should be noted these did not extinguish the gains seen in the previous year of £2.27m. The overall income return was a negative -3.80%. This is broadly in line with the average returns for the charity sector published by ARC (Asset Risk Consultants). Their Sterling Cautious model portfolio showed a return of -4.85% and their Sterling Balanced model -7.4%. Thus the overall investment return achieved out-performed both measures. 

The investment managers continued to invest in accordance with the Trustees’ investment policy set out earlier in the report and comply with the ethical guidelines given to them. The Trustees are satisfied with the performance of the investments and remain happy that their investment objectives are being met. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Results for the year** 

A summary of the year’s results can be found in the Statement of Financial Activities. 

During 2021/2022 total income increased to £2,489k from £1,723k in the prior year.  Of the income, a total of £1,020k (2021/2022: £872k in the prior year) related to the fees receivable and other income of the Charity’s care home. A total of £320k (2020/21: £401k) was received by way of donations and legacies. Investment income and interest receivable totalled £438k (2020/2021: £439k). The sale of a property that became surplus to our needs was sold during the year and a gain of £686.3k was achieved because the net sale proceeds exceed the book value of the house. 

Expenditure totalled £2,644k compared to £2,326k in the prior year.  Expenditure on the Charity’s care home amounted to £1,437k (2020/21: £1,347k) and that incurred on maintaining the members of the Congregation and supporting them in their pastoral work and ministry amounted to £409k (2020/21: £407k).  Grants paid in the form of Overseas transfers, plus an allocation of Governance and Support costs, totalled £662k in the year compared to £445k in 2020/21.  Of the overseas transfers, £221k was transferred to support overseas missions. The remainder was to fund the living costs of our Sisters living in Ireland. 

Fees paid to the Charity’s investment managers during the year were £136k. 

Net expenditure before gains/losses on investments for the year was a negative £155k (2020/21 a negative £603k).  Including the significant investment losses of £1,128k the total losses were £1,274k. 

## **Fundraising** 

The charity has not made any fundraising appeals to the public during the year and is unlikely to do so in the future. There has been no outsourced fundraising via professional fundraisers or other third parties. Consequently, the Charity is not registered with the fundraising regulator and received no fundraising complaints in the year. 

## **RESERVES POLICY AND FINANCIAL POSITION** 

## **Reserves Policy** 

The Charity carries out a diverse range of activities and is responsible for care and support of Sisters whose average age is increasing and whose needs are changing. The Trustees have examined the need for free reserves i.e. those unrestricted funds not invested in tangible fixed assets, designated for specific purposes or otherwise committed. 

The Trustees consider that, given the nature of the Charity’s work and its commitments, the level of free reserves should be between one and two years’ budgeted expenditure. 

The free reserves as at 31 August 2022 of £2,960k were higher than the budgeted expenditure for the current year. The Trustees consider the free reserves to be acceptable given cash held at the year-end was £3,258k. 

## **Financial position** 

The balance sheet shows total reserves of £26,607k. Of this, £3,172k is represented by properties and other tangible fixed assets essential for the support and work of the Sisters.  All tangible fixed assets used for the support and ministry of members of the Congregation form a designated fund equal to the net book value of the tangible fixed assets. In addition, the Trustees have set aside £20,475k to meet the cost of the care and welfare of the Sisters in their retirement. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

The amount of capital required to provide for our Sisters in retirement was considered in March 2021 in the light of their expectations regarding inflation, interest rates and investment returns. The review used actuarial principles, known costs, an inflation assumption, and looked at a range of investment returns. The sum set aside as a designated reserve in the accounts is the value of the investments held at the year end.  The Trustees are satisfied this figure is adequate. 

Unrestricted Funds amounted to £2,960k as at 31 August 2022.  These funds are required for a variety of reasons, including the need to earmark funds for the working capital required for the running of the Charity. 

The level of unrestricted funds needs to be considered in the light of annual expenditure of around £2.5m the increasing age profile of the Sisters, with the consequent rise in costs, and the need for the Charity to continue to support the work of the Congregation, both in England and Ireland. The Trustees are of the opinion that the free reserves are adequate but not excessive. 

## **FUTURE PLANS** 

The Trustees do not anticipate any significant change to the Charity or its activities over the next two to five years. It is their intention to continue to meet the following objectives: 

- To continue to care for the Sisters, whether they live independently, in communities or require full time care. 

- To continue to support those Sisters who are able to carry out pastoral work and ministry. Focus will continue to be given to assisting and caring for the elderly, the poor and the marginalised and reaching out to as many as possible. 

- To continue to operate Stella Matutina Care Home and in particular: 

   - To provide the highest possible quality of care for the residents in a dignified and friendly environment; 

   - To achieve average occupancy rates in excess of 80% at Stella Matutina Care Home; 

   - To attain high success rates in inspections carried out by the Care Quality Commission; 

   - To continue the rolling programme of refurbishment; and 

   - To continue to employ high quality staff and ensure that they are given appropriate and relevant training. 

- To support the Congregation’s work overseas and for the Trustees to satisfy themselves that the funds are applied for their intended purpose. 

- To monitor the needs of the Sisters as they grow older and, if necessary, adapt the Charity’s plans in respect of property needs and the provision of care to elderly members. 

## **STRUCTURE, GOVERNANCE AND MANAGEMENT** 

## **STRUCTURE** 

The British Isles Province comprises 29 Sisters who live as part of 8 Communities, 3 in England and 5 in Ireland. Usually there is an annual Assembly of all the Sisters that are well enough to attend. The most recent gathering of Sisters was held at Rosglas Convent in Monasterevin, Ireland in September 2022. 

## **GOVERNANCE** 

In terms of Canon law, the Congregation is governed at an international level by the Superior General and her General Council in Brussels. They are elected every six years at a General Chapter or meeting of representatives of all provinces of the Congregation. The British Isles Province is governed by the Provincial and her Provincial Council, who are appointed by members of the General Government. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

Members of the Provincial Council are chosen for their personal qualities, their understanding and experience of the ministries of the Sisters throughout the Province and to secure a good skills mix among them. In the Province communities are governed by a local Superior/Contact Person appointed by the Provincial. The Provincial normally visits each community at least once a year but this has not been possible during the year under review due to Covid-19 lockdown restrictions. There is a system of accountability operational throughout the Province to ensure that the Provincial Superior and her Councillors are aware of the progress and development of the ministries carried out by the Sisters of the Province. A visit by the Superior General is made to the Anglo-Irish Province at least once every six years. 

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**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

The Trustees are members of the Congregation who have a detailed knowledge of the work of the Charity and its structure. The Trustees meet with the Congregation’s legal, accounting, investment and property advisers as appropriate. 

The Trustees are ultimately responsible for the policies, activities and assets of the Charity. They meet quarterly to review developments with regard to the Charity and its activities and to make any important decisions. When necessary, the Trustees seek advice and also support from the Charity’s professional advisers including property consultants, investments managers, solicitors and accountants. The day to day management of the Charity’s activities, and the implementation of policies, is delegated to the appropriate members of the Congregation or other appointed staff. 

The Trustees attend formal training courses as considered necessary to fulfil their duties and are also briefed on specific matters by their professional advisors. 

There follows brief biographical information on each of the current Trustees. 

## **Sister Elizabeth Roche** 

Sister Elizabeth taught Science and Religious Education at St. Angela’s Comprehensive School for ten years. Having studied for a Master’s Degree at Southampton University she returned to the School and served on the Senior Management Team, where as Deputy Head Teacher she had overall responsibility for the Pastoral Curriculum. During this time and until June 1992 as a qualified Counsellor she also worked for a voluntary organisation. In the mid-eighties she was involved in facilitating the amalgamation of two schools (St. Angela’s – girls and St. Michael’s – boys) which became The John Henry Newman School. In 1992 she went as a missionary to Peru, South America, and worked in Primary Health Care and Catechetics. 

In 1999 she was appointed to Brussels where she served on the General Leadership Team of the Congregation for six years until August 2005. She was appointed as a member of the Provincial Leadership Team in 2006 and in July 2010 was appointed Provincial. 

## **Sister Mary Ellen O’Brien** 

Sister Mary Ellen joined the Congregation in 1963. She trained as a State Registered Nurse at the Whittington Hospital in Highgate. She was Manager of our Care Home in Roxley Court, Willian, Herts. for 12 years. She was Administrator of the Congregation’s Hostel and Nursing Home in Melbourne, Australia, with 120 residents, having responsibility and overall administration and operation of the home with over 100 staff for 8 years. She spent 6 years in Peru, South America, working in Primary Health Care. She was Matron of the Congregation’s Nursing Home in Ireland for 2 years and thereafter was Provincial until 2 July, 2010. 

## **Sister Rosily Mathew** 

Sister Rosily Mathew, an Indian by nationality and from the southern state of Kerala, was born as the eldest child of seven children. 

She joined the Congregation of Sisters of Charity of Jesus and Mary in the year 1979. Having completed the Religious formation, she pursued a few years of study to equip herself to work in the field of accounts and financial management. With the experience of being an accountant in several institutions of the Province, she was appointed Provincial Bursar in 2001. Currently she is in the Generalate as the General Bursar of the Congregation. 

## **Sister Patricia Josephine Callaghan** 

Sister Patricia Josephine Callaghan joined the Congregation in 1960 as a qualified teacher and spent twenty years as Head Teacher of a Diocesan Primary J.M.I. School. She was subsequently appointed Provincial Bursar in 1990 and retired from this post on 30[th] June 2007, being replaced by a lay Bursar. 

13 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Sister Philomena Enright** 

Sister Philomena Enright joined the Congregation in 1960. She trained as a Teacher in Roehampton Institute of Education and then taught in Holly Mount Lancashire, Letchworth and Devon where she was Headmistress. Following twenty one years of teaching Sister Philomena opted for a change of Ministry and trained as a Nurse in Sussex Downs School of Nursing, where she enjoyed eighteen years of Nursing in an acute District General Hospital until her retirement in 2008. On retirement Sister Philomena moved to Ireland where she is currently contact person. She is actively involved in the local Community where she is a member of the Parish Committee and co-ordinator of The Children’s Liturgy. Sister Philomena is also a trained volunteer with the local Citizens Information Service. The Citizens Information Service is free, confidential, independent and private and is available to the public. 

## **Sister Kathleen O’Connor** 

Sister Kathleen O’Connor was born in Co. Laois Ireland. She jointed the Sisters of Charity of Jesus and Mary in 1964. Having completed religious studies she pursued a career in nursing in London. In the mid seventies she returned to Moore Abbey Ireland and did further studies in the field of Special and additional needs of people with intellectual challenges. She later obtained a diploma in clinical nurse teaching. In the 1980’s she was subsequently appointed as Director of a large residential and community-based Services and also Chairperson of the Board of Management of St Mary’s Special School, Delvin for some years. Currently she is a member of the Board of Management. She was a member of the Provincial Leadership Team and Superior of the local SCJM community. 

She was appointed as Pastoral Support Coordinator for the SCJM/MuirIosa Services in 2006 and presently Community Coordinator for the SCJM Sisters in Ireland. 

## **Sister Ann Devine** 

Sister Ann was born and raised in county Westmeath in Ireland the eldest of a family of six. She joined the Sisters of Charity of Jesus and Mary in the mid 60's and following two and a half years of Religious formation followed a career in nurse education in London. In the early 70's she was appointed as coordinator of a residential unit for children with mild learning disabilities and worked as a member of a multidisciplinary team. Having completed further nursing studies she set up and managed a preschool / care unit for children with moderate learning disabilities and multiple special needs. Sister Ann worked there for four years. She was appointed by the Sister Provincial to join a parish team in inner city Dublin to support and work with socially disadvantaged young people and the homeless. Later she was invited by the Midland Health Board and the Sisters of Charity of Jesus and Mary and the local Parents and Friends Association to set up a service for adults with intellectual disabilities to further their education and create opportunities to enable them to live happy and fulfilled lives. Sister Ann is currently a member of the Pastoral Support Team for the Muiriosa Services in Ireland. 

## **Sister Eileen O’Connor** 

Sister Eileen taught Geography, Sociology and was Head of Religious Studes and Careers over a period of ten years at St Francis College, before moving to Birmingham to do a Masters in Theology. Here she worked in a voluntary capacity in Charitable Centers, with Refugees (for three years) and Vulnerable Women (for fifteen years). Presently she is Hospital Chaplain at two city hospitals for three days a week, work she finds very rewarding. 

14 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **KEY MANAGEMENT PERSONNEL** 

The following lay staff support the Trustees: 

## **Mr. Alan King** 

Alan is a retired banker with over 30 years’ experience with HSBC Bank. In 1976 he obtained The Institute of Bankers Banking Diploma and was elected an Associate of the Institute. He has held several senior management positions in both corporate and retail banking, including managing a business unit with a budget of £10m and 140 staff. His previous voluntary work includes advising local government on economic issues and he has been a governor of two secondary schools. Alan has a keen interest in the environment and in 2012 was awarded a BSc (Hons) in Environmental Studies by the Open University. He reports to Sister Elizabeth Roche, his line Manager, and is accountable to the Provincial Leadership Team. 

## **Mrs. Dawn Ward** 

The day to day responsibility for Stella Matutina Care Home in Ansdell, Lancashire is in the hands of the Registered Care Manager Mrs. Dawn Ward. Dawn was appointed the Registered Care Manager in February, 2018. Dawn has over 30 years’ experience caring for the elderly. Prior to joining us Dawn was the Registered Manager of another care home in Ansdell. 

## **Management Pay** 

The Trustees review pay annually to take into consideration CPI and wage inflation. Performance reviews for key management are conducted by the line manager but there is no performance related pay. From time-to-time pay is benchmarked against sector pay scales. 


15 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **TRUSTEES' ANNUAL REPORT (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** 

The purpose of this statement is to distinguish the Trustees’ responsibilities for the accounts from those of the auditors as stated in their report.  The Charities Act 2011 requires the Trustees to prepare for each financial period financial statements which give a true and fair view of the Charity’s financial activities during the period and of its financial position at the period end.  In preparing the financial statements the Trustees are required to: 

- Select suitable accounting policies and apply them consistently; 

- Observe the methods and principles in the Charities SORP; 

- Make judgements and estimates that are reasonable and prudent; 

- State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and 

- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that this basis applies. 

The Trustees are responsible for ensuring proper accounting records are kept which 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 Trust Deeds and the disclosure regulations.  They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of error, fraud and other irregularities. 

Approved by the Board of Trustees on 10[th] May 2023 and signed on its behalf by: 

## **Sister Elizabeth Roche** Elizabeth Roche 

(Trustee) 

## **Sister Mary Ellen O’Brien** HelenOBrien 

(Trustee) 

16 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **REFERENCE AND ADMINISTRATION DETAILS** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

## **REFERENCE AND ADMINISTRATIVE DETAILS** 

|**Full Name:**|The British Isles Province of the Congregation of Sisters of|
|---|---|
||Charity of Jesus and Mary|
|**Address:**|Provincial House|
||108 Spring Road|
||Letchworth Garden City|
||Hertfordshire  SG6 3SL|
|**Charity Number:**|251262|
|**Governing Instrument:**|Trust Deed dated 18 January 1967|
|**Object:**|For such charitable purposes which advance the religious|
||and other charitable purposes for the time being carried on|
||by or under the direction of the Congregation.|
|**Provincial Leader:**|Sister Elizabeth Roche|
|**Trustees:**|Sister Mary Ellen O’Brien|
||Sister Philomena Enright|
||Sister Patricia Josephine Callaghan|
||Sister Ann Devine|
||Sister Eileen O’Connor|
||Sister Kathleen O’Connor (Appointed on 25thJanuary 2023)|
||Sister Rosily Mathunny (Appointed on 25 January 2023)|
||Sister Elizabeth Roche|
|**Bursar:**|Mr. Alan King|
|**Solicitors:**|Pothecary Witham Weld|
||84 Eccleston Square|
||Pimlico|
||London SW1V 1PX|
|**Auditors:**|Haysmacintyre LLP|
||10 Queen Street Place|
||London EC4R 1AG|
|**Investment Advisers:**|Julius Bär International|
||1 St Martins Le Grand|
||London EC1A 4AS|
||HSBC Private Bank|
||Cork Street|
||Mayfair|
||London W1S 3LJ|



17 



**SISTERS OF CHARITY OF JESUS AND MARY ANGLO IRISH PROVINCE** 

## **REFERENCE AND ADMINISTRATION DETAILS** 

## **FOR THE YEAR ENDED 31 AUGUST 2021** 

**Named Charity** Mr _**.**_ D J Clark **Correspondent :** 1st Floor, Church House 61 College Road Bromley BR1 3QG **Named Trustee with Charity Commission:** Sister Elizabeth Roche **Powers of Investment:** Monies may be invested in investments authorised by law for the investment of trust funds; that is, the provisions of the Trustee Act 2000 applies. 

18 



**Independent auditor’s report to the trustees of Sisters of Charity of Jesus and Mary, Anglo-Irish Province** 

## **Opinion** 

We have audited the financial statements of Sisters of Charity of Jesus and Mary, Anglo-Irish Province for the year ended 31 August 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 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: 

- give a true and fair view of the state of the charity’s affairs as at 31 August 2022 and of the charity’s net movement in funds for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Charities Act 2011. 

## **Basis for opinion** 

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. 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 trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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. 

## **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: 

- adequate accounting records have not been kept by the charity; or 

- sufficient and proper accounting records have not been kept; or 

   - 19 

- the charity financial statements are not in agreement with the accounting records and returns; or 



## **Independent auditor’s report to the trustees of Sisters of Charity of Jesus and Mary, Anglo-Irish Province** 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of trustees for the financial statements** 

As explained more fully in the trustees’ responsibilities statement set out on (page 18) 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 liquidate the charity or to cease operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

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. 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 

Based on our understanding of the charity and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to safeguarding regulations, care quality commission compliance, employment law and taxes and Charity law, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and the Charities SORP. 

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to recognition of income. Audit procedures performed by the engagement team included: 

- Inspecting minutes of Trustees’ meetings; 

- Inspecting correspondence with regulators and tax authorities; 

- Reviewing the latest Care Quality Commission (CQC) reports; 

- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud; 

- Evaluating management’s controls designed to prevent and detect irregularities; 

- Reviewing valuations of investments; and 

- Challenging assumptions and judgements made by management in their critical accounting estimates. These related to estimating the economic useful life of tangible fixed assets. 

20 



## **Independent auditor’s report to the trustees of Sisters of Charity of Jesus and Mary, Anglo-Irish Province** 

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. 

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. This description forms part of our auditor’s report. 

## **Use of our report** 

This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. 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 Auditor's 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’s trustees as a body for our audit work, for this report, or for the opinions we have formed. 


**Haysmacintyre LLP** Statutory Auditors 

10 Queen Street Place London EC4R 1AG 

Date:                                    22 May 2023 

Haysmacintyre LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 

21 



## **SISTERS OF CHARITY OF JESUS AND MARY ANGLO-IRISH PROVINCE** 

## **STATEMENT OF FINANCIAL ACTIVITIES** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

|||**Total**|**Total**|
|---|---|---|---|
|||**2022**|**2021**|
||**Notes**|**£**|**£**|
|**INCOME from**||||
|Grants, donations and legacies|1|319,974|401,125|
|Charitable activities||||
|Care Home Residents’ fees||1,019,972|871,983|
|Other trading activities||||
|- Rents receivable from charitable-use properties temporarily||||
|surplus  to operational requirements||10,799|10,800|
|Investments|2|438,311|439,328|
|Other||||
|- Surplus on disposal of tangible fixed assets|3|700,105|-|
|||--------------------------|--------------------------|
|**Total Income**||2,489,161|1,723,236|
|||--------------------------|--------------------------|
|**EXPENDITURE on**||||
|Cost of raising funds||||
|Investment Management fees||136,046|127,515|
|||-----------------------|-----------------------|
|**Charitable activities**||||
|- Care Home|4|1,437,346|1,347,459|
|- Support of members of the Congregation and their ministry|5|408,658|406,625|
|- Grants paid|6|662,255|444,713|
|||--------------------------|--------------------------|
|||2,508,259|2,198,797|
|||--------------------------|--------------------------|
|**Total expenditure**||2,644,305|2,326,312|
|||--------------------------|--------------------------|
|**Net (expenditure) before gains/(losses) on investments**||(155,144)|(603,076)|
|**Other recognised gains and losses**||||
|Net (losses)/gains on investments||(1,127,859)|2,273,942|
|||--------------------------|--------------------------|
|**Net (expenditure)/income and net movement in funds for the**|**year**|(1,283,003)|1,670,866|
|Fund balances brought forward at beginning of year||27,889,845|26,218,979|
|||--------------------------|--------------------------|
|**Total funds carried forward at end of year**||£26,606,842|£27,889,845|
|||=============|=============|



There were no discontinued operations or acquired operations during the current or the preceding year. 

There are no gains or losses other than those shown above. 

Grants, donations and legacies income includes £33,803 (2021: £98,428) of restricted Covid related grants which were fully spent before the year end in accordance with the relevant restrictions. These have not been separately disclosed due to being immaterial. 

22 



## **SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **BALANCE SHEET** 

## **AS AT 31 AUGUST 2022** 

|||**2022**||**2021**||
|---|---|---|---|---|---|
||**Notes**|**£**|**£**|**£**|**£**|
|**FIXED ASSETS**|13||3,171,835||3,452,109|
|**INVESTMENTS**|14||20,474,640||21,738,691|
||||----------------------||----------------------|
||||23,646,475||25,190,800|
|**CURRENT ASSETS**||||||
|Debtors|15|126,016||140,672||
|Short-term deposits||432,213||1,435,831||
|Cash at bank and in hand||2,825,462||1,504,242||
|||---------------------||---------------------||
|||3,383,691||3,080,745||
|**CREDITORS: Amounts falling due**||||||
|**within one year**|16|(159,638)||(118,014)||
|||---------------------||---------------------||
|**NET CURRENT ASSETS**|||3,224,053||2,962,731|
||||----------------------||----------------------|
|**TOTAL ASSETS LESS CURRENT**|||26,870,528||28,153,531|
|**LIABILITIES**||||||
|**CREDITORS: amounts falling due**||||||
|**after more than one year**|17||(263,686)||(263,686)|
||||----------------------||----------------------|
|**NET ASSETS**|||£26,606,842||£27,889,845|
||||===========||===========|
|**FUNDS**||||||
|General|||2,960,367||3,437,736|
|Designated|18|||||
|- Retirement Fund||20,474,640||21,000,000||
|- Fixed Assets||3,171,835||3,452,109||
|||---------------------||---------------------||
||||23,646,475||24,452,109|
||||----------------------||----------------------|
|**TOTAL FUNDS**|19||£26,606,842||£27,889,845|
||||===========||===========|



Approved by the Trustees on 10[th] May 2023 and signed as authorised on their behalf by: 

Elizabeth Roche 

Sister Elizabeth Roche 

23 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **CASH FLOW STATEMENT** 

|**FOR THE YEAR ENDED 31 AUGUST 2022**||||
|---|---|---|---|
|||**2022**|**2021**|
||**Notes**|**£**|**£**|
|**Cash flows from Operating Activities**||||
|Net cash outflow from operating activities|**A**|**(1,140,712)**|**(1,095,845)**|
|||----------------------|----------------------|
|**Cash flows from investing activities**||||
|Dividends and interest from investments||438,311|439,328|
|Receipts from sale of fixed assets||902,061|-|
|Payments to acquire fixed assets||(18,250)|-|
|Payments to acquire investments||(10,118,995)|(7,753,194)|
|Receipts from sales of investments||10,255,187|7,875,409|
|||-----------------------|-----------------------|
|**Net cash provided by investing activities**||**1,458,314**|**561,543**|
|||-----------------------|-----------------------|
|**Change in cash and cash equivalents in year**|**C**|**317,602**|**(534,302)**|
|Cash and cash equivalents at 1 September 2022|**B**|2,940,073|3,474,375|
|||-----------------------|-----------------------|
|Cash and cash equivalents at 31 August 2022|**B**|**£3,257,675**|**£2,940,073**|
|||===========|===========|
|**Notes to the Cash Flow Statement**||||
|**A. Reconciliation of net movement in funds to net cash flow from operating activities**||||
|||**2022**|**2021**|
|||**£**|**£**|
|**Net movement in funds (as per the Statement of Financial Activities)**||(1,283,003)|1,670,866|
|**Adjustments for**||||
|Losses/(gains) on investments||1,127,859|(2,273,942)|
|Dividends and interest from investments||(438,311)|(439,328)|
|(Gains) on disposal of fixed assets||(700,105)|-|
|Depreciation||96,568|100,313|
|Decrease/(Increase) in debtors||14,656|(7,310)|
|Increase/(Decrease) in creditors||41,624|(146,444)|
|||----------------------|----------------------|
|**Net cash (used in) operating activities**||**(1,140,712)**|**(1,095,845)**|
|||===========|===========|
|**B. Analysis of cash and cash equivalents**||||
|Cash at bank and in hand||2,825,462|1,504,242|
|Short-term deposits||432,213|1,435,831|
|||----------------------|----------------------|
|Total cash and cash equivalents||**£3,257,675**|**£2,940,073**|
|||===========|===========|
|**C. Analysis of changes in net cash funds**||||
||**At 1 September**||**At 31August**|
||**2021**|**Cashflows**|**2022**|
||**£**|**£**|**£**|
|Cash at bank and in hand|2,940,073|317,602|3,257,675|
||----------------------|----------------------|----------------------|
|**Total cash and cash equivalents**|**£2,940,073**|**£317,602**|**£3,257,675**|
||===========|===========|===========|



24 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below. 

## **Statement of compliance** 

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (SORP 2019) (Second Edition, effective 1 January 2019) applicable to charities preparing accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) and the Charities Act 2011. 

The charity meets the definition of a public benefit entity under FRS102.  Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s). 

The accounts are presented in sterling and are rounded to the nearest pound. 

## **Critical accounting estimates and areas of judgement** 

Preparation of the accounts requires the Trustees to make significant judgements and estimates.  The items in the accounts where these judgements and estimates have been made include: 

- estimating the economic useful life of tangible fixed assets. 

## **Assessment of going concern** 

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect of a period of one year from the date of approval of these accounts. 

The Trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due.  The most significant areas of judgement that affect items in the accounts are detailed above.  With regard to the next accounting period, the year ending 31 August 2023, the most significant areas that affect the carrying value of the assets held by the charity are the level of investment return and the performance of the investment markets (see the investment policy and the risk management sections of the Trustees’ Report for more information). 

25 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Income recognition** 

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably. 

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate.   Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. 

Income received in advance of the provision of care services is deferred until the criteria for income recognition are met. 

In accordance with the Charities SORP FRS102, volunteer time is not recognised. 

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. 

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. 

## **Expenditure recognition and irrecoverable VAT** 

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: 

- **Costs of raising funds** comprise fees paid in respect of fund management advice in relation to the charity’s portfolios of quoted investments, which are managed under discretionary management agreements. 

- **Expenditure on charitable activities** includes the costs of running the charity’s Care Home in Ansdell and of its convents as well as all other costs associated with furthering the charitable purposes of the charity through the provision of its charitable activities. These costs include charitable grants and donations, direct and support costs in respect to the support of members of the Congregation and their ministry.  It also includes governance costs. 

Charitable grants and donations are made where the Trustees consider there is real need following a review of the details of each particular case and comprise single year payments rather than multi-year grants. Grants and donations are included in the statement of financial activities when approved for payment.  Provision is made for grants and donations approved but unpaid at the period end. 

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. 

## **Allocation of support and governance costs** 

Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of personnel development, financial procedures, provision of office services and equipment and a suitable working environment. 

26 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Tangible fixed assets** 

As at 31 August 1996 the Trustees estimated the current value of fixed assets required to be shown in the balance sheet. Subsequent acquisitions or improvements of £2,500 or more are capitalised at cost and are depreciated over their estimated useful economic lives on a straight-line basis as follows: 

Where no formal analysis is available, it is assumed that the cost /valuation of freehold properties derive equally from the land and the buildings. 

||Annual rate|
|---|---|
|Freehold land|Nil|
|Freehold buildings|2%|
|Long leasehold buildings and improvements|2%|
|Fixtures, furniture and equipment|5% to 20%|
|Motor vehicles|25%|



## **Financial Instruments** 

The charity only holds financial assets and financial 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. 

## **Investments** 

Investments held for the long-term to generate income or capital growth are carried at fair value as fixed assets. 

Realised gains are the difference between sales proceeds and the carrying value of the investment. The carrying value is the fair value at the beginning of the year or the purchase cost where the investment was acquired during the year. 

Unrealised gains are the change in value of investments after taking into account any movements in investment holdings such as purchases and disposals of investments. 

Realised and unrealised gains are accounted for within the Statement of Financial Activities. 

## **Debtors** 

Trade and other debtors are recognised at the settlement amount due.  Prepayments are valued at the amount prepaid. 

## **Cash at bank and in hand** 

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.  Deposits for more than three months and up to one year have been disclosed as short-term deposits.  Cash placed on deposit for more than one year is disclosed as a fixed asset investment. 

## **Services provided by members of the Congregation** 

For the purposes of these accounts, no value has been placed on administrative and other services provided by the members of the Congregation. 

27 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **Creditors and provisions** 

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. 

## **Foreign currencies** 

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of the transaction. Exchange differences are taken into account in arriving at the net movement in funds. 

## **Funds** 

General funds comprise the accumulated surplus or deficit from the Statement of Financial Activities which is not restricted or designated funds. They are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity. 

Designated funds comprise funds that have been set aside at the discretion of the Trustees for specific purposes.  The purpose and use of the designated unrestricted funds are set out in the notes to the accounts. 

Restricted income funds comprise donations and grants held in trust to be applied for specific purposes.   Restricted funds in recent years related to Covid grants which were fully spent before the year end in accordance with the relevant restrictions. These have not been separately disclosed in the Statement of Financial Activities due to being immaterial. 

## **Employee benefits** 

Employment benefits, including holiday pay, are recognised in the period in which they are earned. Termination benefits are recognised in the period in which the decision is made and communicated to the relevant employee(s). 

## **Pension contributions** 

Contributions in respect of the charity’s defined contribution pension scheme are charged to the statement of financial activities when they are payable to the scheme. The charity’s contributions are restricted to the contributions disclosed in note 9. There were no outstanding contributions at the year end.  The charity has no liability beyond making its contributions and paying across the deductions for the employees’ contributions. 

28 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

|**1.**|**GRANTS, DONATIONS AND LEGACIES**|||
|---|---|---|---|
|||**2022**|**2021**|
|||**£**|**£**|
||Sisters' salaries and pensions|280,264|294,294|
||Restricted Covid Grants – all spent in year|33,803|98,428|
||Other donations|5,907|8,403|
|||**---------------------**|**---------------------**|
|||£319,974|£401,125|
|||**==========**|**==========**|
|**2.**|**INVESTMENT INCOME**|||
|||**2022**|**2021**|
|||**£**|**£**|
||Income from listed investments|436,936|437,549|
||Bank interest|1,375|1,779|
|||**---------------------**|**---------------------**|
|||£438,311|£439,328|
|||**==========**|**==========**|



## **3. SURPLUS ON DISPOSAL OF TANGIBLE FIXED ASSETS** 

|||**Motor**|||
|---|---|---|---|---|
||**Property**|**Vehicles**|**2022**|**2021**|
||**£**|**£**|**£**|**£**|
|Net proceeds from disposal|883,861|18,200|902,061|-|
|Net book value of assets disposed of|(197,600)|(4,356)|(201,956)|-|
||**----------------**|**-----------------**|**------------------**|**----------------**|
||£686,261|£13,844|£700,105|£-|
||**==========**|**==========**|**=========**|**==========**|
|**EXPENDITURE ON CHARITABLE**|**ACTIVITIES**||||
|**CARE HOME**|||||
||||**2022**|**2021**|
||||**£**|**£**|
|Staff costs|||948,947|887,650|
|Direct costs|||93,478|83,587|
|Premises costs|||121,574|143,270|
|Depreciation|||72,892|60,824|
|Administration and other costs|||72,198|73,545|
||||**---------------------**|**---------------------**|
||||1,309,089|1,248,876|
|Governance and support costs|||128,257|98,583|
||||**---------------------**|**---------------------**|
||||£1,437,346|£1,347,459|
||||**==========**|**==========**|



## **4. EXPENDITURE ON CHARITABLE ACTIVITIES CARE HOME** 

29 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **5. EXPENDITURE ON CHARITABLE ACTIVITIES SUPPORT OF MEMBERS OF THE CONGREGATION AND THEIR MINISTRY** 

|||**2022**|**2021**|
|---|---|---|---|
|||**£**|**£**|
||Sisters' living & personal expenses|207,761|198,020|
||Premises costs|90,785|97,258|
||Depreciation|23,676|39,489|
||Administration and other costs|9,483|12,708|
|||**---------------------**|**---------------------**|
|||331,705|347,475|
||Governance and support costs|76,953|59,150|
|||**---------------------**|**---------------------**|
|||£408,658|£406,625|
|||**==========**|**==========**|
|**6.**|**EXPENDITURE ON CHARITABLE ACTIVITIES**|||
||**GRANTS PAID**|||
|||**2022**|**2021**|
|||**£**|**£**|
||**Grants paid to overseas branches of the Congregation**|||
||Ireland – Support of sisters and their ministries|309,130|311,138|
||Ireland - Community support|80,822|73,142|
||Rwanda - building of Care  Home for the Elderly|200,000|-|
||Donation to Generalate|21,000|21,000|
|||**---------------------**|**---------------------**|
|||610,952|405,280|
||Governance and support costs|51,303|39,433|
|||**---------------------**|**---------------------**|
|||£662,255|£444,713|
|||**==========**|**==========**|



30 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

|**7.**|**GOVERNANCE AND SUPPORT COSTS**|||
|---|---|---|---|
|||**2022**|**2021**|
|||**£**|**£**|
||**Support costs**|||
||Staff costs|119,718|87,718|
||Professional fees|7,767|7,675|
||Premises and insurance|55,920|46,734|
||Administration and other costs|50,678|34,627|
|||**---------------------**|**---------------------**|
|||234,083|176,754|
||**Governance costs**|||
||Professional fees|22,430|20,412|
|||**---------------------**|**---------------------**|
|||£256,513|£197,166|
|||**==========**|**==========**|
||Allocated as follows:|||
||Care Home|128,257|98,583|
||Support of members of the Congregation and their ministry|76,953|59,150|
||Grants paid|51,303|39,433|
|||**---------------------**|**---------------------**|
|||£256,513|£197,166|
|||**==========**|**==========**|
|**8.**|**NET INCOME/EXPENDITURE  FOR THE YEAR**|||
|||**2022**|**2021**|
|||**£**|**£**|
||**This is stated after charging:**|||
||Investment management fees|136,046|127,515|
||Depreciation|96,568|100,313|
||Auditors' remuneration|||
||- Audit fees (including VAT)|16,850|15,600|
||- Other|-|-|
|||**==========**|**==========**|



31 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **9. STAFF COSTS AND TRUSTEES REMUNERATION** 

|**STAFF COSTS AND TRUSTEES REMUNERATION**|||
|---|---|---|
||**2022**|**2021**|
||**£**|**£**|
|Staff costs during the year were as follows:|||
|Wages and salaries|962,100|892,928|
|Social security costs|70,423|65,397|
|Other pension costs|36,142|17,043|
||---------------------|---------------------|
||£1,068,665|£975,368|
||==========|==========|
||**2022**|**2021**|
||**No.**|**No.**|
|The number of employees whose emoluments exceeded £60,000 were:|||
|£60,001 - £70,000|1|1|
||========|========|



The key management personnel of the charity comprise the trustees (who receive no form of remuneration) and the senior management team. The total amount of employee benefits (including employer pension contributions and employer National Insurance contributions) received by key management personnel for their services to the charity was £151,333 (2021: £131,633). 

The two most senior employees, who are considered to be members of the key management personnel, were paid in aggregate £115,022 (2021: £113,247) and the employer National Insurance cost were £13,618 (2021: £13,634) with employer’s pension contributions amounting to £22,693 (2021: £4,752). 

## **10. STAFF NUMBERS** 

|Average staff numbers in the year were:||||
|---|---|---|---|
||**2022**||**2021**|
||**No.**||**No.**|
|Care Home||51|48|
|Administration||3|2|
||---------------------||---------------------|
|||54|50|
||==========||==========|



32 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **11. TRUSTEES' EXPENSES AND REMUNERATION AND TRANSACTIONS WITH THE TRUSTEES** 

The Trustees of the Charity are also members of the Congregation and as such have taken vows of poverty under which they have renounced all personal rights to income and capital.   The Charity provides for the essential needs of all members of the Congregation within the Province.  The living costs of the Trustees are therefore borne by the Charity. 

## **12. TAXATION** 

The Sisters of Charity of Jesus and Mary Anglo-Irish Province is a registered charity and therefore is not liable to Income Tax or Capital Gains Tax on income or gains derived from its charitable activities as it falls with the various exemptions available to registered charities. 

## **13. TANGIBLE FIXED ASSETS** 

||**Leasehold**|**Freehold**|**Fixtures,**|||
|---|---|---|---|---|---|
||**buildings and**|**land and**|**Furniture and**|**Motor**||
||**improvements**|**buildings**|**equipment**|**Vehicles**|**Total**|
||**£**|**£**|**£**|**£**|**£**|
|**COST OR TRUSTEES’**||||||
|**VALUATION**||||||
|At 1st September 2021|3,168,144|1,479,630|392,197|135,453|5,175,424|
|Additions in year|-|-|-|18,250|18,250|
|Disposals in year|-|(260,000)|-|(39,519)|(299,519)|
||**-------------------**|**-------------------**|**-----------------**|**------------------**|**----------------**|
|At 31 August 2022|3,168,144|1,219,630|392,197|114,184|4,894,155|
||**-------------------**|**-------------------**|**-----------------**|**------------------**|**-------------------**|
|**DEPRECIATION**||||||
|At 1 September 2022|974,730|373,339|246,267|128,979|1,723,315|
|Charge for year|63,319|13,531|13,041|6,677|96,568|
|Disposals in year|-|(62,400)|-|(35,163)|(97,563)|
||**-------------------**|**-------------------**|**-----------------**|**------------------**|**----------------**|
|At 31 August 2022|1,038,049|324,470|259,308|100,493|1,722,320|
||**-------------------**|**-------------------**|**-----------------**|**------------------**|**-------------------**|
|**NET BOOK VALUE**||||||
|At 31 August 2022|£2,130,095|£895,160|£132,889|£13,691|£3,171,835|
||**==========**|**==========**|**==========**|**=========**|**==========**|
|At 31 August 2021|£2,193,414|£1,106,291|£145,930|£6,474|£3,452,109|
||**==========**|**==========**|**==========**|**=========**|**==========**|



All properties are used for direct charitable purposes. 

33 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

|**14.**|**INVESTMENTS**||**2022**||**2021**|
|---|---|---|---|---|---|
|||**£**|**£**|**£**|**£**|
||At 1 September 2021||21,738,691||19,586,964|
||Additions||10,118,995||7,753,194|
||Disposals|||||
||Proceeds|(10,255,187)||(7,875,409)||
||(Losses)/gains by reference to opening|||||
||value|(689,569)||311,096||
|||**-------------------**||**-------------------**||
||Disposals (at opening market value)||(10,944,756)||(7,564,313)|
||Unrealised gains||(438,290)||1,962,846|
||||**---------------------**||**---------------------**|
||At 31 August 2022||£20,474,640||£21,738,691|
||||**===========**||**===========**|
||||**2022**||**2021**|
||||**£**||**£**|
||**Listed on a UK stock exchange**|||||
||Equities||12,889,556||14,126,703|
||Fixed interest stocks||7,104,379||7,044,972|
||||**---------------------**||**---------------------**|
||||19,993,935||21,171,675|
||Forward Exchange Currency||(36,886)||-|
||Portfolio bank deposits||517,591||567,016|
||||**----------------------**||**----------------------**|
||||£20,474,640||£21,738,691|
||||**===========**||**===========**|
||At cost||£19,039,857||£18,037,174|
||||**===========**||**===========**|
|<br>**15.**|**DEBTORS**|||||
||||**2022**||**2021**|
||||**£**||**£**|
||Trade debtors||46,053||63,991|
||Prepayments and accrued income||79,963||76,681|
||||**---------------------**||**---------------------**|
||||£126,016||£140,672|
||||**===========**||**===========**|



34 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

|**16.**|**CREDITORS: Amounts falling due within one year**|||
|---|---|---|---|
|||**2022**|**2021**|
|||**£**|**£**|
||Trade creditors|49,912|42,954|
||Taxation and Social Security|14,714|16,352|
||Other creditors and accruals|95,012|58,708|
|||**---------------------**|**---------------------**|
|||£159,638|£118,014|
|||**==========**|**==========**|
|**17.**|**CREDITORS: Amounts falling due after more than one year**|||
|||**2022**|**2021**|
|||**£**|**£**|
||Amount due to the Generalate of the Sisters of|||
||Charity of Jesus and Mary|£263,686|£263,686|
|||**==========**|**==========**|



The amount due to the Generalate of the Sisters of Charity of Jesus is non interest bearing and is not expected to be paid within one year. 

## **18. DESIGNATED FUNDS** 

- a) The Trustees have designated funds out of the unrestricted funds for specific purposes as follows:- 

## **Retirement Fund** 

A fund has been designated in respect of the Charity’s commitment to provide for the retirement and care in old age and sickness of the Congregation’s members.  A review of the Congregation’s membership indicated that a fund of some £21m is required to finance fully the Charity’s commitment to provide care for its members, after taking account of their occupational pension rights.  The fund was raised to this level by the end of August 2016. Since then, a number of members have died which reduces demands upon the fund.  However, care costs have been subject to an above-average rate of inflation.  Pending a further detailed review, the Trustees have decided to designate the entire value of the Charity’s investment portfolios to the Retirement Fund.  As such the Fund will fluctuate as investment values rise and fall. 

In the year, expenditure on investment management fees and in support of elderly sisters in England and Ireland amounted to £573k (2021: £547k), whilst investment income amounted to £437k (2021: £438k), an excess of expenditure over income of some £136k (2021: £109k). Investment losses were £1,128k (2021: gains of £2,274k) giving rise to a decrease in the fund of £1,264k (2021: increase of £2,165k).  To bring the Fund into line with the investment portfolios £739k was released from the designation (2021: £2,164k).  The level of the fund, investment values and the likely needs of the membership will continue to be monitored. 

## **Fixed Assets Fund** 

In order to fulfil its charitable objectives the Congregation needs a large number of properties.  These properties, although they are unrestricted assets cannot be realised without undermining the Congregation’s work and the Trustees therefore feel that it is appropriate to reflect the investment in fixed assets by means of a designated fund. Transfers reflecting the net movement in fixed assets, were made in the year. 

35 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **18. DESIGNATED FUNDS (continued)** 

|b)|**Analysis of Movements – current year**|||||
|---|---|---|---|---|---|
|||**Balance**|**Net income**||**Balance**|
|||**1 September**|**expenditure**||**31 August**|
|||**2021**|**& gains/(losses)**|**Transfers**|**2022**|
|||**£**|**£**|**£**|**£**|
||Retirement Fund|21,000,000|(1,264,015)|738,655|20,474,640|
||Fixed Assets Fund|3,452,109|(96,568)|(183,706)|3,171,835|
|||------------------------|------------------------|--------------------------|------------------------|
|||£24,452,109|£(1,360,583)|£554,949|£23,646,475|
|||**===========**|**===========**|**============**|**===========**|
|b)|**Analysis of Movements – prior year**|||||
||Retirement Fund|21,000,000|2,164,724|(2,164,724)|21,000,000|
||Fixed Assets Fund|3,552,422|(100,313)|-|3,452,109|
|||------------------------|------------------------|--------------------------|------------------------|
|||£24,552,422|£2,064,411|£(2,164,724)|£24,452,109|
|||**===========**|**===========**|**============**|**===========**|



## **19. ANALYSIS OF NET ASSETS BY FUND** 

||**General**|**Designated**|**Funds**|**Total**|
|---|---|---|---|---|
||**Fund**||||
|||**Fixed**|||
|||**assets**|**Retirement**||
||**£**|**£**|**£**|**£**|
|Fund balances at 31 August 2022|||||
|are represented by:|||||
|Tangible fixed assets|-|3,171,835|-|3,171,835|
|Investments|-|-|20,474,640|20,474,640|
|Current assets|3,383,691|-|-|3,383,691|
|Current liabilities|(159,638)|-|-|(159,638)|
|Creditors due after one year|(263,686)|-|-|(263,686)|
||----------------------|-----------------------|-----------------------|----------------------|
||£2,960,367|£3,171,835|£20,474,640|£26,606,842|
||===========|===========|===========|===========|
|**Prior Year**|||||
||**General**|**Designated**|**Funds**|**Total**|
||**Fund**||||
|||**Fixed**|||
|||**assets**|**Retirement**||
||**£**|**£**|**£**|**£**|
|Fund balances at 31 August 2021|||||
|are represented by:|||||
|Tangible fixed assets|-|3,452,109|-|3,452,109|
|Investments|738,691|-|21,000,000|21,738,691|
|Current assets|3,080,745|-|-|3,080,745|
|Current liabilities|(118,014)|-|-|(118,014)|
|Creditors due after one year|(263,686)|-|-|(263,686)|
||----------------------|-----------------------|-----------------------|----------------------|
||£3,437,736|£3,452,109|£21,000,000|£27,889,845|
||===========|===========|===========|===========|



36 



**SISTERS OF CHARITY OF JESUS AND MARY** 

## **ANGLO-IRISH PROVINCE** 

## **NOTES TO THE FINANCIAL STATEMENTS (Continued)** 

## **FOR THE YEAR ENDED 31 AUGUST 2022** 

## **20. RELATED PARTY TRANSACTIONS** 

There were no related party transactions in the year (2021: None) other than the provision of temporal needs of the trustees who are also beneficiaries of the charity as disclosed in note 11. 

|**21.**|**CAPITAL COMMITMENTS**|||
|---|---|---|---|
|||**2022**|**2021**|
|||**£**|**£**|
||Fixed asset additions authorised and contracted for|£-|£14,391|
|||**==========**|**=========**|



37