Company registration number: 1120119 Charity registration number: 266088
## Devon Historic Buildings Trust
(A company limited by guarantee)
Annual Report and Financial Statements for the Year Ended 31 March 2022
Redwoods Independent examiner 2 Clyst Works Clyst Road Topsham Exeter EX3 0DB
## **Devon Historic Buildings Trust**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 7|
|Independent Examiner's Report|8|
|Statement of Financial Activities|9 to 10|
|Balance Sheet|11|
|Notes to the Financial Statements|12 to 25|
## **Devon Historic Buildings Trust**
## **Reference and Administrative Details**
**Trustees** Mr M Kingscote - Chairman Mr D R George - Vice chairman Mrs A V Davis (DCC) Mrs S Spackman Mr C J Curry Mr J Lomas Mr G Wickham Sir S J Day (DCC) Mr P D Smith **Secretary** Mrs D Parnall **Charity Registration Number** 266088 **Company Registration Number** 1120119 The charity is incorporated in England. **Registered Office** 2 Clyst Works, Clyst Road Topsham Exeter EX3 0DB **Independent Examiner** Redwoods Independent examiner 2 Clyst Works Clyst Road Topsham Exeter EX3 0DB **Bankers** National Westminster Bank plc 59 High Street Exeter Devon EX4 3DL Lloyds Bank 234 High Street Exeter EX4 3NL
Page 1
## **Devon Historic Buildings Trust**
## **Trustees' Report**
The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 March 2022.
## **Objectives and activities**
## _**Objects and aims**_
DHBT’s object and its principle activity continues to be to preserve for the benefit of the people of Devon and of the nation at large the historical, architectural and constructional heritage within the County in the form of buildings of particular beauty or historical, architectural, or constructional interest, or ancient monuments.
The Trustees have considered the Charity Commission’s guidance and the strategies used by the Trustees for achieving these objectives are as follows:
* The priority at the start of a building conversion project is to determine whether a new use is commercially viable and sustainable in the long term. This may require a feasibility study or a full option appraisal in which development costs, suitability for the end use, and potential income are evaluated.
* If a sustainable end user is found the second stage begins with the search for a package for funding repairs and/or conservation and possible conversion.
* The emphasis is always on the conservation and if funding is raised for repairs, work will proceed to conserve the original structure. Where the building is Listed, Listed Consent granted by the local authority will be sought, and conditions will be complied with.
Devon Historic Buildings Trust offers an irreplaceable service to local government which has the duty of preventing landmark buildings from falling into disrepair or being the subject of unsuitable development. In such cases the authority may turn to the Trust for informed help and advice or if all else fails, to devise a solution. This valuable resource enjoys a high level of support.
The trustees meet as a Council of Management/Board regularly and give their time and advice freely to DHBT. Trustees play an active role through a working sub-committee within the Trust; the Policy & General Purposes Committee.
The Trust currently maintains the Haldon Belvedere (Lawrence Castle) the historic folly outside Exeter and until 31st October 2022 offers the premises for wedding ceremonies and rents the top floor penthouse for two people for serviced self-catering visitors.
## _**Public benefit**_
When planning activities for the year the Trustees have considered the Charity Commission’s guidance on public benefit and in particular, the specific guidance on charities for the advancement of the arts, culture, heritage and science.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Page 2
## **Devon Historic Buildings Trust**
## **Trustees' Report**
## **Achievements and performance - Chairman's review**
DHBT continues to work to rescue the buildings of Devon, specialising in premises that are landmarks, are listed or are important historic buildings or war memorials.
The Trust works by:
a. BUY AND SELL - DHBT is a revolving buildings trust that may buy, renovate and sell for a profit. All profits are then used for subsequent projects.
b. BUY/LEASE AND RETAIN - DHBT is able to lease a property, renovate it and retain it for the future. Any profits from business use or rent are used to maintain the property.
c. BUY AND PRESERVE - DHBT may buy and preserve a building until a sustainable long term solution is found. DHBT may sell the property to secure a new future within the local community.
d. ACT AS CATALYST OR BROKER - DHBT may pull together a team to save a building by taking out an option to purchase, to find a long term sustainable user and then restore or upgrade the property using available historic buildings grants.
e. ACT IN AN ADVISORY CAPACITY - DHBT may help organisations come together to form a body or trust to purchase or lease and thus rescue an historic building. Additionally DHBT is able to assist with the rescue of a building by way of sourcing viability studies, the preparation of conservation plans and funding streams.
The DHBT sub-committees play an important role within the trust and my thanks go to all the trustees for their continued interest, support and advice.
The trust continues to maintain an interest in two historic buildings; the Haldon Belvedere near Exeter and the former Methodist Chapel at Morwellham Quay near Tavistock.
## Former Methodist Chapel, Morwellham
The Chapel continues to be an integral part of the Morwellham Quay visitor experience with the owners of the Quay taking on the responsibility of the day to day management of the Chapel. It plays an important part in ensuring that visitors have full understanding of the day to day life of this 19th century community.
## Haldon Belvedere (Lawrence Castle)
The Belvedere is maintained and managed by DHBT on lease since1994 from The Stringer Lawrence Memorial Trust who have owned the castle since 1994.
Debbie Parnall manages the Haldon Belvedere on behalf of the trustees while Nick Turner assists with maintenance of the building. Wedding & events coordinators Katie & Ann Marie host wedding ceremonies and our housekeeper Denise Berry looks after the apartment and castle.The trustees would like to thank them all for their support this year.
DHBT currently looks after the castle and grounds with the main source of income the hosting of wedding ceremonies and the rental of the top floor self-catering apartment. The trustees have agreed to return the management of the Belvedere castle and grounds back to The Stringer Lawrence Memorial Trust and this with take effect from 1st November 2022.
Page 3
## **Devon Historic Buildings Trust**
## **Trustees' Report**
The trustees have met regularly at both Board and sub-committee level during the year and worked to maintain the Haldon Belvedere castle and grounds.
During this period the trustees have kept a watching brief on various projects:
WWII RAF Exeter Spitfire Blast Pen at Exeter Airport Skypark by Andrea Davis, David George & Mark Kingscote
Old Vicarage, Weech Road, Dawlish by David George & Mark Kingscote
Tavistock Bedford Cottages Warmer Scheme booklet by Peter D Smith. This has now been published and Peter is thanked by the trustees for his hardwork.
The trust is beholden to its trustees who give of their time freely to ensure that the trust achieves its aims and I would like to thank them for their continued time and support.
## **Financial review**
The statement of financial activities indicates a deficit of £50,763 (£32,431 deficit – 2021) after charging depreciation of £15,937 (£16,038 – 2021). The net current assets (working capital) of the Trust at the year end stood at £93,403 (£127,835 – 2021) all of which is held as unrestricted funds (all unrestricted – 2021).
The trustees have designated £70,185 (£85,185 – 2021) of these funds for identified future projects and restoration work, leaving a balance of £23,098 (£42,650 – 2021) available for as yet unspecified projects.
During the year the Haldon Belvedere weddings and lettings activities resulted in net income of £15,903 (£18,022 income – 2021) before financial overheads and maintenance costs of the building and surrounding grounds, which the trustees have calculated to be £58,604 (£44,401 – 2021). This net income figure includes local authority grants received of £20,353 (£43,194 – 2021).
## _**Policy on reserves**_
It is the policy of the charity to maintain unrestricted funds, which are the free reserves of the charity, at a sufficient level to cover any prospective project which the Trust may undertake at its discretion. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised.
Note 21 sets out an analysis of the assets attributable to the various funds. These assets are sufficient to meet the charity’s obligations on a fund by fund basis.
## **Plans for future periods**
## _**Activities planned to achieve aims**_
DHBT will continue with the current projects and will seek new projects. DHBT will continue with the Building Conservation Awards Scheme in future to encourage good conservation practice with categories which will enable all size of works from small restorations through to major works to be considered on their merit.
Page 4
## **Devon Historic Buildings Trust**
## **Trustees' Report**
## **Structure, governance and management**
## _**Nature of governing document**_
The charity is constituted as a company limited by guarantee, and is therefore governed by a Memorandum and Articles of Association.
## _**Recruitment and appointment of trustees**_
New trustees are proposed by an existing member of the council in accordance with the Memorandum and Articles of Association, and are elected at the following Council of Management meeting.
## _**Induction and training of trustees**_
New trustees are given a verbal induction and advised to consult the Charity Commission website for further information.
## _**Arrangements for setting key management personnel remuneration**_
Mrs Debbie Parnall is the sole employee of the charity and is responsible for secretarial and adminstration tasks and the Haldon Belvedere. Staff remuneration is determined by the board of trustees and is reviewed on a regular basis.
A defined contributions structure pension is in place and Debbie Parnall is enrolled in this scheme.
## _**Organisational structure**_
Two of the trustees are required to be nominated by Devon County Council.
The following trustees are appointees of Devon County Council:Mrs Andrea V Davis Sir Simon J Day
In accordance with the Articles of Association one-third of the trustees other than those nominated by Devon County Council, retired by rotation at the Annual General Meeting - Sue Spackman, Peter D Smith, Graham Wickham were all re-elected.
The Company Secretary is Debbie Parnall.
The trustees meet on a regular basis to review possible new projects and to review ongoing projects. All major decisions regarding the charity are made by the trustees
One of the Trust’s main focus points is maintaining the Haldon Belvedere (Lawrence Castle) the historic folly outside Exeter. To enable the preservation of this iconic property, the trust offer the premises for wedding ceremonies and functions and hire the top floor penthouse for two people for serviced self-catering visitors.
Under the Memorandum and Articles of Association, the charity has the power to make any investments that the trustees see fit.
None of the trustees has any beneficial interest in the company.
Page 5
## **Devon Historic Buildings Trust**
## **Trustees' Report**
## _**Major risks and management of those risks**_
_Risk management_
The trustees have examined the major strategic, business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks.
## **Financial instruments**
## _**Objectives and policies**_
The Charity's activities expose it to a number of financial risks including credit risk and cash flow risk.
## _**Cash flow risk**_
The trustees manage the risk to cashflows by preparing and reviewing budgets on a regular basis and ensuring sufficient cash deposits are held to meet current spending commitments.
## _**Credit risk**_
The Charity’s principal financial assets are bank balances and cash, trade and other receivables. The Charity’s credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows.
The Charity has no significant concentration of credit risk, with exposure spread over a large number of counterparties and customers.
## _**Liquidity risk**_
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the Charity retains funds in short-term accessable investments and bank accounts. Further details regarding liquidity risk can be found in the Statement of accounting policies in the financial statements.
Page 6
## **Devon Historic Buildings Trust**
## **Trustees' Report**
## **Statement of Responsibilities**
The trustees (who are also the directors of Devon Historic Buildings Trust for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland". The report and accounts have been prepared in accordance with the provisions in the Companies Act 2006 relating to small companies.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these 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, comprising FRS 102 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 the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
## **Small companies provision statement**
This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
The annual report was approved by the trustees of the charity on 13 October 2022 and signed on its behalf by:
......................................... Mr M Kingscote - Chairman Trustee
Page 7
## **Devon Historic Buildings Trust**
## **Independent Examiner's Report to the trustees of Devon Historic Buildings Trust ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2022.
## **Responsibilities and basis of report**
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of Devon Historic Buildings Trust as required by section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view' which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
...................................... Keith Tuvey Independent examiner ACCA
2 Clyst Works Clyst Road Topsham Exeter EX3 0DB
13 October 2022
Page 8
## **Devon Historic Buildings Trust**
## **Statement of Financial Activities for the Year Ended 31 March 2022 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations, legacies and grants
3
Charitable activities
4
Other trading activities
5
Investment income
6
Other income
7
Total income
**Expenditure on:**
Raising funds
8
Charitable activities
9
Total expenditure
Net expenditure
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
22|**Unrestricted**
**funds**
**£**
20,392
1,251
53,979
11
3,194
78,827
(117,033)
(12,557)
(129,590)
(50,763)
(50,763)
353,242
302,479|**Total**
**2022**
**£**
20,392
1,251
53,979
11
3,194|
|---|---|---|
|||78,827|
|||(117,033)
(12,557)|
|||(129,590)|
|||(50,763)|
|||(50,763)
353,242|
|||302,479|
The notes on pages 12 to 25 form an integral part of these financial statements. Page 9
## **Devon Historic Buildings Trust**
## **Statement of Financial Activities for the Year Ended 31 March 2022 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
|**Note**
**Income and Endowments from:**
Donations, legacies and grants
3
Charitable activities
4
Other trading activities
5
Investment income
6
Other income
7
Total income
**Expenditure on:**
Raising funds
8
Charitable activities
9
Total expenditure
Net expenditure
Net movement in funds
**Reconciliation of funds**
Total funds brought forward
Total funds carried forward
22|**Unrestricted**
**funds**
**£**
43,220
501
22,707
31
3,203
69,662
(92,280)
(9,841)
(102,121)
(32,459)
(32,459)
385,701
353,242|**Total**
**2021**
**£**
43,220
501
22,707
31
3,203|
|---|---|---|
|||69,662|
|||(92,280)
(9,841)|
|||(102,121)|
|||(32,459)|
|||(32,459)
385,701|
|||353,242|
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2021 is shown in note 22.
The notes on pages 12 to 25 form an integral part of these financial statements. Page 10
## **Devon Historic Buildings Trust**
## **(Registration number: 1120119) Balance Sheet as at 31 March 2022**
|**Note**
**Fixed assets**
Tangible assets
16
Heritage assets
17
**Current assets**
Stocks
18
Debtors
19
Cash at bank and in hand
20
**Creditors: Amounts falling due within one year**
21
**Net current assets**
**Net assets**
**Funds of the charity:**
**Unrestricted income funds**
Unrestricted funds
**Total funds**
22|**2022**
**£**
4,945
204,131
209,076
170
3,481
139,581
143,232
(49,829)
93,403
302,479
302,479
302,479|**2021**
**£**
5,516
219,891|
|---|---|---|
|||225,407|
|||50
7,954
146,123|
|||154,127
(26,292)|
|||127,835|
|||353,242|
|||353,242|
|||353,242|
For the financial year ending 31 March 2022 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
- The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
The financial statements on pages 9 to 25 were approved by the trustees, and authorised for issue on 13 October 2022 and signed on their behalf by:
......................................... ......................................... Mr M Kingscote - Chairman Mrs D Parnall Trustee Company Secretary
The notes on pages 12 to 25 form an integral part of these financial statements. Page 11
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **1 Charity status**
The charity is limited by guarantee, incorporated in England, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation.
The address of its registered office is: 2 Clyst Works, Clyst Road Topsham Exeter EX3 0DB
## **2 Accounting policies**
## **Summary of significant accounting policies and key accounting estimates**
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
## **Statement of compliance**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
## **Basis of preparation**
Devon Historic Buildings Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
The financial figures are presented in Pound Sterling, rounded to the nearest £1
## **Going concern**
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
## **Exemption from preparing a cash flow statement**
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
## **Income and endowments**
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Page 12
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## _**Donations and legacies**_
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
## _**Grants receivable**_
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
## _**Deferred income**_
Deferred income represents amounts received for future periods and is released to incoming resources in the period for which, it has been received. Such income is only deferred when:
- The donor specifies that the grant or donation must only be used in future accounting periods; or - The donor has imposed conditions which must be met before the charity has unconditional entitlement.
## _**Other trading activities**_
Income from hire of the Haldon Belvedere for weddings and events, hire of the apartment at the Haldon Belvedere and the sale of merchandise is recognised as earned (that is at the time the events have taken place and the related goods have been provided).
## _**Investment income**_
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
## _**Charitable activities**_
Income from charitable activities includes income recognised as earned (as the related goods and services are provided) under contract.
## _**Other income**_
Gate receipts from visitors to the Haldon Belveder is recognised on a receivable basis.
## **Expenditure**
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
## _**Raising funds**_
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Page 13
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## _**Charitable activities**_
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses.
## **Government grants**
Government grants are recognised based on the accrual model and are measured at the fair value of the asset received or receivable. Grants are classified as relating either to revenue or to assets. Grants relating to revenue are recognised in income over the period in which the related costs are recognised. Grants relating to assets are recognised over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income.
## **Taxation**
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **Tangible fixed assets**
Individual fixed assets costing £100.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
## **Heritage assets**
The trust currently owns the freehold to the Morwellham Chapel buildings and a short leasehold on the Haldon Belvedere, both of which are Listed buildings. These buildings are held in support of the trusts primary objective of the preservation of historical architecture. The freehold building is reported in the balance sheet at cost, which includes the initial nominal purchase cost of £1 plus the legal fees associated with the purchase. The short leasehold on the Haldon Belvedere is held at its value in use as the asset is used for activities in generating funds to contribute towards the buildings ongoing maintenance. The trustees have deemed the value in use to be equal to the original cost of the lease, plus the associated costs expended in the restoration of the building, depreciated over the terms of the lease.
## **Depreciation and amortisation**
Leasehold land and buildings - From 1 April 1997, the trustees have depreciated the net cost over the remainder of the Haldon Belvedere lease which expires on 20 July 2034. The trustees consider that the depreciated carrying amount is equal to the value in use.
Freehold land and buildings - 50% of the cost of Morwellham Chapel has been estimated as relating to the building and on this figure depreciation is charged at 2% straight line.
Crockery, linen and utensils have been shown in the accounts at original cost. Expenditure in future years will be charged to the Statement of Financial Activities on a renewals basis.
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
Page 14
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **Depreciation method and rate**
**Asset class Depreciation method and rate** Leasehold land and buildings straight line over the duration of the lease Freehold land and buildings nil / 2% straight line Plant and machinery 15% reducing balance
## **Stock**
Stock is valued at the lower of cost and estimated selling price less costs to complete and sell, after due regard for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO).
## **Trade debtors**
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
## **Cash and cash equivalents**
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
## **Borrowings**
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
## **Pensions and other post retirement obligations**
The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Page 15
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **Financial instruments**
## _**Classification**_
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
## _**Recognition and measurement**_
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
## _**Investments**_
Investments in non-convertible preference shares and non-puttable ordinary or preference shares (where shares are publicly traded or their fair value is reliably measurable) are measured at fair value through profit or loss. Where fair value cannot be measured reliably, investments are measured at cost less impairment.
Investments in subsidiaries and associates are measured at cost less impairment. For investments in subsidiaries acquired for consideration including the issue of shares qualifying for merger relief, cost is measured by reference to the nominal value of the shares issued plus fair value of other consideration. Any premium is ignored.
## _**Fair value measurement**_
The best evidence of fair value is a quoted price for an identical asset in an active market. When quoted prices are unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time since the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a good estimate of fair value, the fair value is estimated by using a valuation technique.
Page 16
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **3 Income from donations and legacies**
|Donations and legacies;
Donations from individuals
Grants, including capital grants;
Government grants
**4**
**Income from charitable activities**
Morwellham Chapel
**5**
**Income from other trading activities**
Trading income;
Trading income generated from Haldon Belvedere
**6**
**Investment income**
Interest receivable and similar income;
Interest receivable on bank deposits
**7**
**Other income**
Government employment allowance|**Unrestricted**
**funds**
**General**
**£**
39
20,353
20,392
**Unrestricted**
**General**
**£**
1,251
**Unrestricted**
**funds**
**General**
**£**
53,979
53,979
**Unrestricted**
**funds**
**General**
**£**
11
**Unrestricted**
**funds**
**General**
**£**
3,194|**Total**
**2022**
**£**
39
20,353
20,392
**Total**
**2022**
**£**
1,251
**Total**
**funds**
**£**
53,979
53,979
**Total**
**2022**
**£**
11
**Total**
**2022**
**£**
3,194|**Total**
**2021**
**£**
26
43,194|
|---|---|---|---|
||||43,220|
||||**Total**
**2021**
**£**
501|
||||**Total**
**2021**
**£**
22,707|
||||22,707|
||||**Total**
**2021**
**£**
31|
||||**Total**
**2021**
**£**
3,203|
Page 17
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **8 Expenditure on raising funds**
## **a) Costs of trading activities**
|**Note**
Costs of goods sold
Weddings and events direct costs
Haldon Belvedere overheads
Haldon Belvedere repairs and maintenance
Administration and sundry costs
Staff travel and subsistence
Accountancy and bookkeeping
Marketing and publicity
Depreciation, amortisation and other similar costs
Staff Costs|**Unrestricted**
**funds**
**General**
**£**
275
17,241
12,665
30,002
2,853
1,086
2,010
6,497
15,937
28,467
117,033|**Total**
**2022**
**£**
275
17,241
12,665
30,002
2,853
1,086
2,010
6,497
15,937
28,467
117,033|**Total**
**2021**
**£**
-
9,809
12,800
15,563
2,742
178
2,830
3,844
16,038
28,476|
|---|---|---|---|
||||92,280|
## **9 Expenditure on charitable activities**
|Staff wages
Advertising and promotion
Insurance
Administration & sundry
Trustee travel
Legal and professional fees
Depreciation|**Activity**
**support costs**
**£**
7,498
1,500
569
478
38
1,000
394
11,477|**Total**
**2022**
**£**
7,498
1,500
569
478
38
1,000
394
11,477|**Total**
**2021**
**£**
7,498
-
521
348
-
-
394|
|---|---|---|---|
||||8,761|
In addition to the expenditure analysed above, there are also governance costs of £1,080 (2021 - £1,080) which relate directly to charitable activities. See note 10 for further details.
Page 18
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **10 Analysis of governance and support costs**
## **Governance costs**
|Independent examiner fees
Examination of the financial statements
**11 Net incoming/outgoing resources**
Net outgoing resources for the year include:
Depreciation of fixed assets|**Unrestricted**
**funds**
**General**
**£**
1,080
1,080|**Total**
**2022**
**£**
1,080
1,080
**2022**
**£**
15,937|**Total**
**2021**
**£**
1,080|
|---|---|---|---|
||||1,080|
||||**2021**
**£**
16,038|
## **12 Trustees remuneration and expenses**
During the year the charity made the following transactions with trustees:
## **Mr C J Curry**
£38 (2021: £Nil) of expenses were reimbursed to Mr C J Curry during the year.
During the year travel expenses were reimbursed to the trustee.
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year. No trustees have received any other benefits from the charity during the year.
Page 19
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **13 Staff costs**
The aggregate payroll costs were as follows:
|The aggregate payroll costs were as follows:|||
|---|---|---|
|**Staff costs during the year were:**
Wages and salaries
Social security costs
Pension costs|**2022**
**£**
31,998
3,194
773
35,965|**2021**
**£**
31,998
3,203
773|
|||35,974|
The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was as follows:
|Company secretary and property manager|**2022**
**No**
1|**2021**
**No**
1|
|---|---|---|
1 (2021 - 1) of the above employees participated in the Defined Contribution Pension Schemes.
Contributions to the employee pension schemes for the year totalled £773 (2021 - £773).
No employee received emoluments of more than £60,000 during the year.
## **14 Independent examiner's remuneration**
|**14 Independent examiner's remuneration**|||
|---|---|---|
||**2022**|**2021**|
||**£**|**£**|
|Examination of the financial statements|1,080|1,080|
## **15 Taxation**
The charity is a registered charity and is therefore exempt from taxation.
Page 20
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **16 Tangible fixed assets**
|**Cost**
At 1 April 2021
At 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022
At 31 March 2021
**17 Heritage assets**
**Cost**
At 1 April 2021
At 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
At 31 March 2022|**Furniture and**
**equipment**
**£**
54,408
54,408
50,602
571
51,173
3,235
3,806
**Short**
**leasehold**
**interest in land**
**and buildings**
**£**
568,310
568,310
383,916
15,366
399,282
169,028|**Furniture and**
**equipment**
**£**
54,408
54,408
50,602
571
51,173
3,235
3,806
**Short**
**leasehold**
**interest in land**
**and buildings**
**£**
568,310
568,310
383,916
15,366
399,282
169,028||**Crockery,**
**linen and**
**kitchen**
**utensils**
**£**
1,710
1,710
-
-
-
1,710
1,710
**Freehold**
**interest in land**
**and buildings**
**£**
39,437
39,437
3,940
394
4,334
35,103||**Total**
**£**
56,118|
|---|---|---|---|---|---|---|
|||||||56,118|
|||||||50,602
571|
|||||||51,173|
|||||||4,945|
|||||||5,516|
|||||||**Total**
**£**
607,747|
|||568,310||||607,747|
|||383,916
15,366||||387,856
15,760|
|||399,282||||403,616|
|||169,028||||204,131|
Page 21
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## Morwellham Methodist Chapel
Grade II Listed a simple chapel building, with a single Sunday school room underneath; designed in subdued Gothic style with lancet windows built in 1859 and internally retaining most of its original features including original wooden-gated pews, pulpit and gallery. The chapel was enlarged in 1860 and is characteristic of a time when Methodism was the predominant religion in the mining districts of South-West England and a vital element in the life of the Morwellham community. The building now forms part of the historic Morwellham Quay visitor centre.
## Haldon Belvedere (Lawrence Castle)
Grade II* Memorial tower. 1788, built by Sir Robert Palk of Haldon House to commemorate and celebrate Major-General Stringer Lawrence who died in 1775, Commander of the British Army in India and benefactor of Sir Robert Palk who was Governor of Madras in 1763. Rendered stone rubble with stone plat bands to each storey and moulded cornice beneath castellated parape, 3 storeys Gothic style tower triangular plan. Interior reflects the Gothic style of the exterior. Now used as wedding and event venue with self contained apartment used as holiday let.
|**18 Stock**
Stocks
**19 Debtors**
Trade debtors
Prepayments
VAT recoverable
**20 Cash and cash equivalents**
Cash at bank|**2022**
**£**
170
**2022**
**£**
-
2,227
1,254
3,481
**2022**
**£**
139,581|**2021**
**£**
50|
|---|---|---|
|||**2021**
**£**
4,218
3,736
-|
|||7,954|
|||**2021**
**£**
146,123|
Page 22
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **21 Creditors: amounts falling due within one year**
|Other taxation and social security
Other creditors
Accruals
Deferred income
Deferred income at 1 April 2021
Resources deferred in the period
Amounts released from previous periods
Deferred income at year end|**2022**
**£**
-
25,997
4,225
19,607
49,829
**2022**
**£**
17,990
19,607
(17,990)
19,607|**2021**
**£**
1,968
2,928
3,406
17,990|
|---|---|---|
|||26,292|
|||**2021**
**£**
9,231
17,990
(9,231)|
|||17,990|
## **22 Funds**
|**Unrestricted funds**
**_General_**
Unrestricted income fund
**_Designated_**
Haldon Belvedere reserve
New Project Fund
Clatworthy Matching Fund
**Total funds**|**Balance at 1**
**April 2021**
**£**
268,057
15,000
30,000
40,185
85,185
353,242|**Incoming**
**resources**
**£**
78,827
-
-
-
-
78,827|**Resources**
**expended**
**£**
(129,590)
-
-
-
-
(129,590)|**Other**
**recognised**
**gains/(losses)**
**£**
15,000
(15,000)
-
-
(15,000)
-|**Balance at**
**31 March**
**2022**
**£**
232,294
-
30,000
40,185|
|---|---|---|---|---|---|
||||||70,185|
||||||302,479|
Page 23
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
|**Unrestricted funds**
**_General_**
Unrestricted income fund
**_Designated_**
Haldon Belvedere reserve
New Project Fund
Clatworthy Matching Fund
**Total funds**|**Balance at 1**
**April 2020**
**£**
279,516
36,000
30,000
40,185
106,185
385,701|**Incoming**
**resources**
**£**
69,662
-
-
-
-
69,662|**Resources**
**expended**
**£**
(102,121)
-
-
-
-
(102,121)|**Transfers**
**£**
21,000
(21,000)
-
-
(21,000)
-|**Balance at**
**31 March**
**2021**
**£**
268,057
15,000
30,000
40,185|
|---|---|---|---|---|---|
||||||85,185|
||||||353,242|
The specific purposes for which the funds are to be applied are as follows:
## DESIGNATED FUNDS
Haldon Belvedere reserve - The trustees consider that because shortly after the year end the maintenance of the property will no longer be the responsibility of the trust, the designated funds are no longer require and have been transferred to general reserves.
New Projects - The trustees are constantly on the lookout for potential properties of interest for the trust to purchase and accordingly require funds to be available at short notice when the right opportunity presents itself. The Trustees consider that a designated fund for new projects of approximately £30,000 should be continued to be maintained for this purpose.
Clatworthy Match Funding - Relates to funds that have been raised by the trust and held in reserve for the purpose of providing match funding for future projects.
Page 24
## **Devon Historic Buildings Trust**
## **Notes to the Financial Statements for the Year Ended 31 March 2022**
## **23 Analysis of net assets between funds**
## **Unrestricted**
|Tangible fixed assets
Heritage assets
Current assets
Current liabilities
Total net assets
Tangible fixed assets
Heritage assets
Current assets
Current liabilities
Total net assets
**24 Analysis of net funds**
Cash at bank and in hand
Net debt
Cash at bank and in hand
Net debt||**General**
**£**
**Designated**
**£**
4,945
-
204,131
-
73,047
70,185
(49,829)
-
232,294
70,185
**Unrestricted funds**
**General**
**£**
**Designated**
**£**
5,516
-
219,891
-
68,942
85,185
(26,292)
-
268,057
85,185
**At 1 April**
**2021**
**£**
**Financing cash**
**flows**
**£**
146,123
(6,542)
146,123
(6,542)
**At 1 April**
**2020**
**£**
**Financing cash**
**flows**
**£**
163,334
(17,211)
163,334
(17,211)|**Total funds at**
**31 March 2020**
**£**
4,945
204,131
143,232
(49,829)|
|---|---|---|---|
||||302,479|
||||**Total funds at**
**31 March**
**2021**
**£**
5,516
219,891
154,127
(26,292)|
||||353,242|
||||**At 31 March**
**2022**
**£**
139,581
139,581
**At 31 March**
**2021**
**£**
146,123
146,123|
Page 25