mERcH￿Yr NA LOCOMOTIVE PRESERVATION SOCIETY LINIITED Acorn limited b arantee havi no $h#re e REPORT AND FI￿,AfICIAL STATEMENTS Ye8r Ended 31st December 2020 Chartered Certified A¢couutaDts MERCHANT NAVY LOCOMOTtVE PRESERVATION SOCtETY LIMITED Aeom anv Itmited b 118raDtee h3VIti o share ¢2 it21 CONTENTS PAGES Report of the Couucil of MaDagement Ststement of the Council of Managemenvs ResponsiTrJilme5 Report of the Independent Examiner Statement of Fillancial A¢tivtties Balance Sheet Note5 to the Accoun 8- 11 STATUS OF SOCIETY The Society is registered und¢T tbe Companies Act (No. 1114826) as a cornpally limited by guarantee and as a CTrtsrity (No. 266801). REGISTERED OFFICE AND PRINCIPAL ADDRESS 22 West Bank Dorklljg Surrey RH4 3BZ BANKERS Lloyds TSB PI¢ Whitstable Kent INDEPENDENT EXAMINERS Blain Pritehard LiTnited Chartered Certified Arxowltallts 74 College Road Maidstone Kent ME15 6SL MERCHANT NAVY LOCOMOTIVE PRESERVATION SOCIETY A Conj limited *rAnttt ha no share ca REPORT For the COUNCILOFMANAGEMENr ear en Detembtr 20211 The Society's thrector￿[r1￿ O)un¢il of Mawnt - the CoU￿lI) preseni their amiua] retKJrt and tndcpe#dentty examined accounts for eonsi&r*ion by the n]ember5hip of the Society. Tr co￿¢]] confimj the re￿rt and finatKia] strtemeTbts ￿rnpty M'tth the r4u1￿ments of the CharÉlies Act 2011, the Cornpanles Act 2006 and th¢ Statement of Rttommended Practie¢ ISORPI 2005 (*¢ond cditionl. Orga￿￿tIo￿ The M¢r¢hant Navy kncomotive Pres¢￿tion &riety {M.N.L.P.S.l is conslib&d as a Company limi*d by guarantee. •d is thetefore govcrned by a memonndum and articks of &5￿clatiOn. The Company is itjcorporated tn En￿and under the Corn￿lIeS Aci 21X>6 INO 011148261. The Socicty is also regi*ered with tl Charity Commi55ion under the Charities Arf 2006 (No 2668011. The ￿letY is tk sole shareholikr in a subsidiary company, ItlfvLPS (Uperfxinw Limiled, 14.hich 15 re5pon5ible u￿ler a fee tAyable lite￿¢ 15s￿d to li by the Soei¢N f(Y ihe operation #nd day-to-da). maintenance (excluding rnajor overhauls) of the Society's locomotive. (hwnershtp ofthe loc￿V¢ ￿MaInS with &)ciety at all tim¢& Council of MaDagement Stxtthle￿I The Society'5 affairs have been th)minated in 2020 by the COVID- 19 worldwi& pandemic. The Council met on nine oc(zsioE]s during the year. Meetings not held in April and May because of the coronavirus national lockdown. Fro￿ Julle onwards medings wthe conducted remokly llsing "Z(￿￿. except for August whetj no meeiing wa5 held. At tI￿se meetJttg5 the Council addressed both routine busine55 and specific matters of imwrt8n¢e. tncluding tlK ongoing effe¢ts of IIK COVID- 19 pan(kmit. In doiEJg so it cOntin￿d to ¥Jdress the optmlrtunities and risks that Society mighi fxe. with the intention of eyablishirtg and developing Tx>licies strategies. practitts and sy5tetns aimed at maximizing OPPKJrtiinjEies and minimizing sigt)ifi¢ani [£$￿ be they COTtLTHtrcial. financi81, hwnan resourc￿ health & safety or the pandelnic referred to above. The CouJKil continued to keep under revÉew the means by whieh the Society ￿hleYeS tts aim5 and objectÈvts paying d regard to. anif ¢oMpliance wttll the Chariry CIMnmission s uuidanee on meeung the requitements tsTt publÉc benefKt. The Council worked closely wtth and was surfjxjrted by the iM)ard of directors of ottrattng subsid1￿ *)d the Council's MaTkctinr* & OprrnbowLS SU￿CoMMittee IMOSCI b￿b of whÈch also met regularly. Heakh and safety remain¢d at the forefront in all aspects of the mana8cment artd oper*itsns of the Socidy and its subsidiary ann. The Council is fully committed io ensuring polfftcies, gJpry>rting Man￿]$ and p]Dcedures continue to evolve. devclop and change in lint wtth the standards, Itgisl*ion and other external elw)ges and a adhered io by all those memF*rs undettsking the vario￿% t&sks req￿r¢d to enable thc locomotive and suppon coach to be oFrated To thts end the marAgemthi system is consi(kred as "live.. with regular otFgoing review and amendment &8 necessary. There were no rtwjrted accidents or incidents to worknne party member5 dur£ng theyeaT. The Society re￿rded a fina￿]81 Suwplus of 50m¢ £23.tM)O and ￿ the Jear'5 end Wds vajued at over £339,000. Total income was some ￿7.000. of whi¢h o•fft £4J.OOQO w&5 donalrons aThJ ￿ft$. E￿nditUre amounted to approximately £34,(K)O. Under clause 4 of the o)mpany's Memomdum and Atti¢le5 of As%)ctatiot¥ 'ik income andFroperty of i company Shall be applied solety low￿￿% promthion of ils oè'ecls and no portion ikrerfshdl be paid or transf¢rred direcily or in&reL'tly ty of u dn'i£knd bonFLS or wkni'ise hthis(Ei¥r by ivay of profit, to lembers ofihe CtsmpJry'. Tlr &Kiety's Tangible fixed awts are delailed on the Balance sheet Acquisiiions and disw)sals of tangble fixed assets aTe sh)wn at N)te 5 to the It should k noted that the Company's main asseL ex British Railways S(Krthern Rwon. Merclwnt Na￿ Class steall IoLX)motive No. 35028 "C'lan LE￿". is shown at its 1967 purchase price of £2 ?00. It will be appr¢¢ia¢r4 that its current rea]isailr Ydlue. whilst extremely dilri￿lIto establish preci%ly, is considerabty in excess of this figure. In keeping wilh the Dirth5'1TT￿ts. resp)nsibilities for k¢epit)g thuate reserves they continue their policy ofmaintsining sufficient funds as free reserves of the Company al a kvel to S￿￿tain indefmtie 0￿[all0n and consequentty set aside a proFK*t¥)n of monetary assets fi)r that 5pecifL¢ piwse. Given tk pandemt¢ the level of vOlUrt￿ work on the locoM￿1ve and supw)n ¢oach Wds less than in a norn]al year. Neverthele4 58 ¥rtembers assisted in vario￿$ C8￿C1t1¢S and their ¢(mbi]kd efforts amoyntrd to 494 days of rec4)rded work which is highty o)mmerxlable gtven the circurnAa￿ and for which the Council of Mana8emetrt is llX)5t gratefitt. The Council 15 sadd¢ned to ha￿ received tr¥Xifii*M)n of the willg of the following meM￿r5.. B Rayner. C Laycock: P Ram￿0￿. B c￿ J Farrell. C Broadbent: R White,. H G￿g(￿y. In ￿lditio￿ the S)¢iety w&s sadden¢d ai tk tmssing of John Farrow of UK Railtouts wF¥) o￿T past years o￿an]Sed tnany railtours foT t Society and wa5 a valued supporter of Clart l¥ne. (kn cothlen¢es go ts) ail the families and friends. At the end of 2020 membership ko(xl at 493. Prt￿lp￿ ￿tivItieS The objecr ar¥J principa] xtivty of the M.N.L.P.S. o)ntinues ts) be the weservation and mainteA3nGe in 0￿rationat ¢ondilion of ex-British Railways Southern Region, Mewchaltt Navy Class Locomotive No. 35028 "C1¢7n LiAe" and lis operation on the maild1r￿ ￿]1 of BEitsin. It is the last surviving operational preserved k>c(xnotive based in Ce[￿al London. The l(tOTnotive at the heart of this actÈvity is a working symknl of Great Britain's inthstrial arNJ rdilway t￿l￿ce1]ng heritage and cxcellenca It oirrates for tk ￿llefit of ￿rth current and fy￿￿¢ generations. In this c4)ntext ti should k seen as a worktng museum. For a dwindling n￿nber this keep5 alive fond M¢￿x)neS ofthe past wthilst for the newrr gene￿IonS it will be seeo as alii'ing history ￿rt, in this we encourage and PTovi¢k the op1xxt￿ity to obtain and practice new skills. The knkety is proud to encourage arKi promo* public inleiesi in rdilways ge￿3]1). &5 ￿tIl as the PTe5ervation of locomotive& rdilway machinery atm4 4uipm¢nt of lllstoti¢al tDteresL The arri?￿ the UK of ￿ covJr>19 vinjs at the beginntng of the yc4r had a de%•sthting effect on the operation of rail charters a5 a resuli of ihe wdemic oper&ing sllbsidiary only able io run two mainline trips. I￿(h with the BdnK)nd British PuJJman& ot)¢ beinga Surej. Hills and the other the LK Railtours sponsored b'aleni£hes Pullman around the Chiltem Hills. Two other B¥lmoDd trips Mtr¢ amged for De£ember aftrr the 5Utnmer reiaxaiioD of panthmic rcstrÉctions but in the evetrt ihese t(K) wtte tan¢¢lled be￿ll$¢ of the ongoingeffects ofthe wdemic. (hherthan the nvo ttipsthe only other oTKratIon￿ activity forthe locomotive w&% # test during mid-MarrlL Chalnnan'5 overview 2020 was a ch211cngingyear. particulody operdtionaity. a8ainsX th¢ 1xkgr￿lld of t￿ COVID-19 ￿)(k￿l(. Our plan￿￿ programrne of 18 lrips wth the Betmoryj British Pu1lJDa￿& UK R2iltour5 and Pathfinder w85 decirnaled by the restrietions irnpjsed by cKI￿rnment throuJu out the year. As srated tn ihe rffevious section of the report w¢ werE onty able lo operdte two JkneDger (arryinb trits and a test run duriftg the year. This had a dramatic effecc not only on ow proJ￿ted incotnr stream r4uired for t￿ next overhauj of the locomotive, but also on out ability trF exw>se the Iwomotive to the wblic in tts operational sta*. On finatJce% l uDuld like to express my g￿ltude, and that of the Nknagetnent Comrnitlee. for the genero￿ level (pf donations re￿iVed in 2020 wthoui which a surplus fortk year wou]d not have i*en 8chieve(t In view of aErf)ve C(Mnmillee of MarAgemenL in uJnjwi¢tioJa with the Marketing and Operntions Su Corn]nittee led by our Commer¢ia] 0￿er, Mr Hedderly, ae aclively reviewing th fijture sirntegy for mainli Tailtou Our ability to arrange educational vissts to see kKY)motive at ￿ Ope￿lonal Imse was ajw preveRted due to the Vdfious restrictions iti placq as was the opw)fftinty f(￿ our mcrnbers to give tslk5 and presentsatioIis to caeti¢s and other grotsp* Neverthele￿ kniety artivity oaj ￿ gKial njedia outlets of Facebook, Instagrdm and Twitter continued thaDughout the in or(kr w keep tlK>se WEK) follow the I{wm￿1vC infomied a￿l io keep the s￿iety aTMI IIKomoiive in the widerpublie rye. On a positive dcspite t￿ ever-chanwg Eestrictions TmrA)sed on tk rourty the engl￿1n8 ttam ￿le able io work through the myriad of tsks reqllired io gdin annua] certific￿]0￿ of tlr locomotive. The locomotiNE and trnthr were revamrshed at the beginning of tht year. Also. other Hvrking m¢mbers weTC acti￿lY engaged in a considerable atnount of WtsTk ID t￿ provision of ad(tiiional storage al the de￿t. As with any &xiety like ours wilh a kTrn8 history, over time we have gat￿r￿ a o)nsithrable amount of maleriat LEI the fim of drawing4 ￿t0￿hS elc. This nJ3ferial tKovides not only a hi￿Ory of the Society and Clary LI￿ tArt oTso tlr engitwin8 and oEXrdti0￿ awts of the SEeam locornotive in generaj and our l(Komotsve in rArti¢ular. With a view to the firture. work riKnmenced on ￿ ¢ataloguiThg of our a]chive maierÈals with th¢ long-terni aim of trf)th the of the ma*wiai atwj their wthjer aTrMilability as educational materia]. To finish on a p)sitiYe note, we can r¢￿ that Tlx L(srd Rotherwi¢k wted itivitati(￿ to Ixcome Presidart mainiainÈng a dire¢A link with the fornKr shippjng compajy after which our locomotive is I￿￿ne¢L Richonl Gretton Members ofthe CouTrell ofM*Dagement AttendaD¢e at medi R F Gretton D Easfon C M Elli¢k I J Hockley P Blowfield SACMartiD l Millward D Mowdt G Williams 919 919 819 919 sn 919 919 919 {reS]￿d (ktober 2020) NoVu￿ber202ol a¢CoTdarj￿ with the Articles of As%)ciation the Membe￿ astrrisked retire at the 2021 Annual General Meeting and being eligible offer themselves for ￿-elec1￿0rt. Mr Ho¢ktcy will tr¢ le4vingthe Counctl of Management in Jul￿ 2021. Auditors Following membership agreement AGM held on 12 S4knF*r 2020 C(MuKii apw)¢nted Blain Pritchard Limited as Indyndq]t Examin¢r5 to the Cornw. Both partie5 agreed that the ap￿1[￿lment aThJ the fee would be reviewed after a fitrtheryear. SJ l J Hocklev Society Secraary 21.4.2021 MERCHANT NAVY LocomoTTr￿ PRESERVATION SOCIETY LIMITED Aco limited by uarantee havin no sha ital Statement of the Council of Mana emeDI's Re5 sibilities Company and ¢h2rity law requires the Council of ManagemeDi who a150 act &5 trLL%tees for the charitable activities of the colnpany. to prepate financial statements for each fManc1￿ year which give a trne and fair view of the state of affkirs of the company and of the surplus OT deficit of the company for that perio(L In preparing those f￿Cial statemet)ts. the Council of Management are required to. select suitsbl¢ accounting policies and then apply theln consimentty" ake judg¢rnents and estimates that are re￿ollable and p￿￿en[ State whether applicabl¢ accounting standards have been followed, subject to any m￿erial depatwre5 disclosed and explained in the financsal staten)ents' prepare the finaD¢ial ststernents on the going con¢¢rn bLSiS unless it is inappropriate to presume that the company will contiTJue in business. The Council of Management are responsible for keeping proper accounting records which disclose with reasonable accurdcy at any tiJne the f￿ancIal position of the ¢ompaDy and ￿ enable them to ensure the f￿ancial statements comply with the Compauies Act 2006. They are also responsible for safeguarding the assets of the company and hence for tsking re&sonabl¢ step5 for the prevenrion and det¢¢tion of fraud and other irregularities. Independent Examiner's Report to the trustees of the Merchant Navy Locomotive Preservation Society Limited I report on ihe acwunts of the Kfcr¢hant Naiy LocozsJQtive Prestr¥￿1On kniety Limited for thc year en(kd 31st 2020, which are stt out on pw 6 I l. Respective r£spon5ibilities of trnste¢g Rlld exarnltter The Directo￿[￿TteS are resEK)nsible for the pr¢paration of the accoullts. Th¢ charttys T￿￿e￿ consider that an audit is not requirtd for thi5 year widei S¢ClLon 145 olthe ChaTiti¢s Aa 20113nd that au fftdepEDdeni examination is n¢¢ded. Having been sjtisfied that thc chority is not subject to an audit ¢OTnptty law and is eligible for itid¢F￿tht exatnination il is rny responsibility to.. cxamirtc the a¢counts (under Section 145 of tr 2011 Act). to follow the procedurts laid dDWJ ij) the GeT*ral Direthions gIV￿ by C[￿rity CoJnmi¥iorJer5 (under SCCiiOD5 14i15llb) of the 2011 Act): and to Otc whether P8TtiCul￿ Ttthtter5 have cowK to my att￿tio B&$i¥ of independtnt eJaJniner's report My ¢x8Jnination C￿led out in accoTdan(twithttk Gejjeral Dstettiorts givcD b>. the Charity CormissiotL That examination includes a review of the Iwo￿ting Iccords kepi by the charity and a compaTi50n of the accounts with those records. It also includts considetiftg 8ny ￿uSUal lit￿ or disc105UFes in the accounts and seeking expl8]Jation5 from you ￿ trusiees concerning such matters. The procedure5 undertaK"¢n do not PTOi'ide a]1 the tvidenct that would be required in aft audiL and cotLwueDtlJ I do not express an opinion as to whethei the #ctounts present a'tTUC 8Ad fair Yicw, and the Teport 15 litniteo to mattrT5 set out in thc 5tatett*ffl bEI<>w. Independent ex2Thintr'5 $t8temellt In connection wirh my examinatiOT4 M rnat￿ ha5 u)me io my an¢ntioD'. which ￿v¢S Tr* re450Dable cause w klievc that io [natrri￿ rtsT*rt the re4ui]un¢t io keep ac¢tymting rttord5 ip xcordattc£ with $386 octhe ComFonies Act 2￿. and to prepare accounts whitb accord with accounting re¢orts aJ]d eomply with accounting requirernetsts olthe Companics Act 2(rf>6 and M'ith thc methods ajjd principles of the Staremtnt of RcconJtllts)ded Pra￿]ce.. Acc4)unting #Jd Reporting by Ch8rsties Ireviseo 2tK)5) have not ken m¢L or {21 to which. iD my opinior4 attention sbDuld be drawn irt order toenabk 2 proptt und￿Ing of th¢ accounts to k r¢&ched. L C Seal ACCA FAI.4 Bliin Pritcbard Limited Chartered CtrtÉfied Actountsnts 74 College Road Maidstone Keni ME156SL l(+ | OLI MERC 4VY LOCOMOTTr￿ PRESERVATION SOCIETY LIMITED STATE%fEIT OF FIN￿Nc1.4L..￿CnI.ITll[$ FOR THE PERIO IDED 31st DECEMBER 2020 Gener*1 Purpose Funds Othtr Utsr¥tricttd EDdowmeDt Funds 2020 2019 Total FU￿d$ Funds INCOMThG RESOURCE Donations, gifts and similar inCOTDing resources Legacies re¢¢ived Invcstment In￿[￿¢ Trading in furtherance of ¢h8ritabk a¢ttviii¢s 43216 43216 21.625 50,000 135 40.652 120 14,395 120 14.395 TOTAL INCOMIN RESO 57,731 57,731 112,412 CHARITAJILE RESOURC EXPENT)ED Support Costs Locomotive & rolling Mock maitLt. & consu￿lbkS Transport Ex￿￿%5 In5ur3nc< Rent & Sundry eXpend1ft￿t 14.688 14,688 52255 377 Trlldillg A¢tiviti LocoTnotive operatll￿ eXPEDses {coaJ & Produotion of Society Magazine "200 Club" prize5 & Reg￿tratits Salts i1¢rns 1754 800 1,028 l754 800 1,028 2,378 soo 1.850 Other EXpe￿dit￿re Govcrnan¢e costs 4,197 4,197 3,732 TOTAL RESOiQiCES EXPEYDED 34.639 34.639 61J92 Profit I (Loss) on dispo￿] of ￿￿ed Asset ProfEi I IL0551 ou r¢vsluatiOtt of InV￿tment Asset (841 184) OMIliGI OL TGOll%G RESO BEFORE TK4NSFERS CES 23,007 23,W7 51.181 Transfcr betwetttt Funds Nrr INCOMINGI UTGOTNC RESOiTrr CES 23.(w)7 23.007 51,J8l Fi￿D BALANCES brought forward It 1st JaTruary 2020 3118.586 7839 316.425 265,244 FUND BALAiY ES £arritd forward llt 315t Dt¢eJnbeT 2020 331.i93 7339 339.432 316,425 ThE on pagcs 8 w 11 fo￿￿ partof thege fJn8ncial ststrments MERCFEAwr VY Iv FSERIIAn LLYJJmDllVE 3iU28 LocrthoiiVcspwr5 thd cfpii5 C￿ch TrFKI. 17096 7.839 7,139 Siockofc St￿k of￿¢ iicms De￿0 Inve¥m￿￿-shtt7Th￿Ubs￿1￿y lTrV￿$i1Rtrt-cAF guThl Cathai t•Dk￿d 753 935 109 2n.267 3J4.327 261598 3I2J65 DITORSimounts f•tiiitdTJt 331.593 356.125 rHI P￿r 1st Jinw2019 Trllnsf￿ from StstErn¢rrt Df Fin￿￿AL*l¥lll 257.405 J)1 J93 ryn i￿¢?5 81 1stknwy2019 YAnsftrft￿n liolStyw*eFA Df Fin￿rI￿A￿lI¥JIIeS 7.139 7.139 7.139 339Nn 3J6.425 31sL tkethibes 2Q20. Trmembers have ￿ Wu￿41￿¢0￿3Ory$Qth*ln its6￿￿1￿ll4￿￿IraFthB>￿ttth 313¢ tk¢emi*T2020iDaKX¢Kd￿￿o￿￿1ths¢¢I￿)n 476oftreCorydnKsAtt2r( oriFtCthnJ￿le$AeI 21W)64nd b} f￿r￿￿1 aIn￿And fwvwMofthE#*trf•tknofthEcfdDtWry•SAt the of riTr￿￿ yevA￿ its Wmh qitir¢m¢ntsofSrxtirwJ91 pJvj395w￿ rthr￿ rowty￿7ththt1wull￿￿S0rthC A¢1 *¥)6￿1￿lin8tDsrnttI1 ApP￿Ved tythèCouKil R tsrt￿n Ch5W L44k S.AC. Tr¢not140tsr*s$w I I MERCIL4NT NAVY LOCOMOTIVE PRESERVATION SOCIETY LIMtTED Notes to the Accounts For tbe Year ended 31st December 2020 Note l Basis of preparation Basis of accounting These account5 have been prepared on the basis of historic cost and in acwrdance with.. - Accounting and Reporting by Charities- State￿ent of Recomrnended Practice (SORP (FRS 102))" - and with the Charities Act 2011. Change in basis of aceoMDting There has been no change to the ac￿U￿tIn0 policies (valuation rnles and Tnethods of a¢counting) since last year. Changes to previous aeeounts No changes have be¢ll made to accounts for previow% years. Note 2 Accounting policies INCOMING RESOURCES RecognÈtiOll of Incoming resources These are iticludcd in the Statement of Financial ActivKties {SoFA) when.. - the charity be£omes entided to the resources. - the trusiee5 ar¢ Trimjally certain they will receive tbe resources. alld - the moDetary value can b¢ M￿llred sufficient reliability. In¢oming resources with related Where illcotuing resources have related expenditure with fvndraising OT ¢ontract expenditure in¢orne) the incorning resources and related exp¢nditure are reported gross in the SOFA. Grants and donatlOn5 Grants and donatiODS are only in¢luded iti the SOFA whet) the ctwity bas uuconditional entiilernent to the resource5 Tax r¢claim5 don8tioDS And tncoming resowces from tsx reclairns are included in the SOFA at the same tin)e as gifts the trift to they rel￿e. Contractual iD¢QTlle 2nd performance related grants This is ODEY included in the SOFA Once the related goods or services have been delivered. Gifts ill kind Gifts sn kind are accouDied for at a reasonabl¢ estimate of their Ya]ue to the charity or the amount acOJallJ realised. Gifts in kiDd for sa]e or distribution are included in the accounts as gifts only when sold OT distributed by the charity. Gifts in kind for use by the chariry ar¢ included in th¢ SOFA 85 incoming T¢50ur¢es when receivable. MERCEIANT NAVY LOCOMOTIVE PRESERVATION SOCIETY LIMITED Notes to the Accounts For the Year ended 31st De¢ember 2020 Donated servitts alld faci5itie5 Thes¢ ate only sncludcd in intoming resou￿ (with an equiv￿ent amouni in Ye50urte$ expended) where th¢ t*nefit ￿ the cljarity is rcasonBbly quantifiablc. mea5ur2ble and maleri￿. The vaIue placed on these resotsrce8 is the e5titnated value to the rI￿lty of thc service 01 faciliry Teceived. Volunteer help The vajue of any volufttctr hcjp TCCCTvcd is noi included in the Kwunts bui is descrittd in the annuaj TCP)rL IDve5tment ineome This is included in th¢ acCo￿ts whetl T¢¢eivable. Investment g*iD5 and I￿eS This includes atty gain OT Ioss (KJ the sa]e of inve5tsnents and aDy gain or105S resu]ung from Tevaluing investments to market va]ue at the ￿d of the yeaJ. EXPENDITURE AND LIABILITIES Lixbilsty recognition Liabilities are recogntscd a5 Soon L8 there 15 a 5ega] or con5tn]¢tive obligatioft committingthe chariry ￿ pa). out rtsowces. Goverth*thee costs Include costs of the preparation aThd exarninatiOE) of stytytory aceounts. the tosts or tru5t¢e meetings andth¢ cost of any legB] advice on governance or constitijtionaj rnatteTS. Crants with perforrD¥nce tonditions Whue the charity givcs a ET8ni wÈth conditions for its payment being a specific Sevel of servict OT Output to bc provided such gr￿1$ are only rKogniscd in the A once the Tecipieiit of the ￿t has provided the sjxcific 5ervi¢e or outwL Grants payable without performante collditlibDS These are on]y re¢Dgniscd in the act(X]Ats when ) commitment h&q been m&dt and there are no condiuthjs kn bc relatin8 ￿ the grani which retnain in the CODtroI of the chaTif)". Support C05ts Support costs includc centr￿ fijrttiorts and have Ixtn ail(Kated io xtivity Cost catcgories on a b&8is con5i5Lent with the use ofresources, eg allocating property coss by fl£w aTta%. or perr4)iW tvsts by the iitDe speni and other tosts by their usage. ASSETS Tangible ftted *55¢ts for use by the clLarity Apart from road vehiclts and computer equLpmenL all tawble fjxed &ssets Are carried in the accounts at thc aggregate eost of wuisiuon any additiona] cost% of puttitig them into a ulable condttso Subsequently expcnditure on the rnainicna￿ orth¢ renewal of parts is witten off io the Statem