Trustees’ Annual Report for the year ended 31 December 2021 AD ______________________________________________________________________ **Section A Reference and Administrative Details .** _Charity Name_ Onward Trust _Registered charity number_ 268355 _Charity’s principal address_ 89 Kimbolton Road Bedford MK41 9DL _Names of charity trustees_ Name Office Appointed by D Cranwell Chairman Settlor J Smalley Settlor & Chairman . _Advisors_ : _Estate Agents_ Abbotts, 41 Prince of Wales Road, Cromer, Norfolk NR27 9HS Romans, Crowthorne House, Nine Mile Ride, Wokingham, Berkshire RG40 3GZ _Bankers_ Santander Business Banking, Bridle Road, Bootle, Merseyside L30 4GB Scottish Widows Bank, 67 Morrison Street, Edinburgh EH38YJ _Independent Examiner_ S. Clark, 46 Oakfield Road, Walthamstow, London E17 5RW ____________________________________________________________________________________ **Section B Structure, Governance and Management .** _Type of governing document_ Deed of Settlement dated 20 September 1974 AD _How the charity is constituted_ Charitable Trust _Trustee selection methods_ Trustees are appointed by the Settlor, PG Hutton or by existing trustees _____________________________________________________________________________________________ **Section C Objectives and Activities .** _Objects of the charity_ To provide accommodation for retired clergy and make donations to named charities. _Activities of the charity_ These objects are achieved by generating income from four tenancies in revenue-generating properties. - 2 - ## **Trustees’ Annual Report 2021 AD (cont.)** ___________________________________________________________ **Section D Achievement and Performance .** Net surplus was added to the Distribution Fund, _Public Benefit Requirement_ Having paid due regard to Charity Commission guidance on public benefit, the trustees have exercised their discretion in accordance with the terms of their governing document to make payments from the Distribution Fund to improve, repair, maintain and service clergy retirement accommodation. Major expenditure on revenue-generating properties this year involved extensive roof repairs and electrical wiring repairs at one property (11), in order to maintain the property at a high standard for occupation. ____________________________________________________________________________________ **Section E Financial Review .** _Reserves Policy_ DESIGNATED RESERVE FUND _(SORP 2005 Paragraph 55a)_ In order to guarantee beneficiary security of tenure in the event of unexpected or unavoidable revenue reduction, the trustees have agreed a policy to hold reserves sufficient to cover the costs of retirement accommodation anticipated to be incurred over a specified number of future years. Accordingly the trustees have approved a reserve of £80,000. This policy is reviewed annually in the light of revised figures for likely future income, voids, defaults, and expenditure. DESIGNATED PROPERTY REPAIR FUND £30,000 is reserved to cover emergency property repairs. __________________________________________________________________________________ **Section G Declaration .** The trustees declare that they have approved this trustees’ report. _Signed on behalf of the charity’s trustees_ D Cranwell………………………………………………. _Full name_ Daphne O Cranwell _Position_ Chairman _Date_ 11/03/2022………………………………………………. - 3 - ## **Independent Examiner’s Report on the Accounts 2021 AD** ____________________________________________________________ **’ Section A Independent Examiner s Report .** Report to the trustees of Onward Trust, Registered charity number 268355 on the accounts for the year ended 31 December 2021 AD set out on pages 5 to 9. _Respective responsibilities of_ The charity's trustees are reponsible for the preparation of the accounts. _trustees and examiner_ The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed. It is my responsibility to: • examine the accounts under section 145 of the 2011 Act • follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act • state whether particular matters have come to my attention. _Basis of independent examiner’s_ My examination was carried out in accordance with the General _report_ Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the next statement. _Independent examiner’s statement_ In connection with my examination, no matter has come to my attention: (1) which gives me reasonable cause to believe that in any material respect the requirements: • to keep proper accounting records in accordance with section 130 of the 2011 Act and • to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act have not been met or (2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. _Signed_ …Stephen Clark…. _Date_ …12/02/2022…………. _Name_ S. CLARK Accounts Clerk _Address_ 46 Oakfield Road Walthamstow London E17 5RW - 4 - ## **Annual Accounts for the year ended 31 December 2021 AD** ____________________________________________________________ **Section A Statement of Financial Activities** . INCOMING RESOURCES (Note 3) _2021 AD Last year_ **Investment income** Rent 49,113 52,928 Dividends & Interest 2,797 2,821 _**Total incoming resources**_ **51,910 55,749 ====== =========** RESOURCES EXPENDED (Notes 4 – 8) **Costs of generating funds** Investment management costs 21,363 18,176 **Charitable activities** 19,028 19,036 **Governance costs** Independent Examiner’s fee 250 250 _**Total resources expended**_ **40,641 37,462 ======= =======** _**Net incoming resources**_ Distribution Fund 11,269 18,287 OTHER RECOGNISED GAINS Revaluation of Investments 9,241 1,431 Revaluation of Property 60,000 **Total funds brought forward** 2,158,341 2,078,623 _**Total funds carried forward**_ **2,178,851 2,158,341 ==** ====== ======== - 5 - ## **Annual Accounts 2021 AD (cont.)** ____________________________________________________________ **Section B Balance Sheet at 31st December 2021 AD .** _2021 AD Last year_ TANGIBLE FIXED ASSETS Tangible Assets (Note 9) 1,202,206 1,202,451 Investments (Note 10) 824,316 815,075 2,026,522 2,017,526 CURRENT ASSETS Debtors and Prepayments (Note 11) 1,350 4,650 Bank Current Account 118,529 104,523 Bank Deposit Accounts 30,000 30,000 Lease Deposit 2,700 2,700 _**Total current assets**_ **152,579** 141,873 CREDITORS: amounts falling due within one year (Note 12) (250) (1,058) _**Net current assets**_ 152,329 140,815 _**Net assets**_ **2,178,851 2,158,341** ======== ======== FUNDS OF THE CHARITY **Unrestricted: Income Funds** General: Distribution Fund 109,996 98,727 Designated: Property Repair Fund 30,000 30,000 Designated: Reserve Fund 80,000 80,000 **Restricted: Permanent Endowment Funds** (Note 13) The Trust Fund 226,117 226,117 Investment Revaluation Reserve 727,066 717,825 Property Revaluation Reserve 1,005,672 1,005,672 _**Total funds**_ **2,178,851 2,158,341** ======== ======== Approved by the trustees …D Cranwell…………..D O Cranwell Date 11/03/2022………. …JR Smalley…………. J Smalley Date 11/03/2022………. - 6 - ## ______________________________________________________________________ **Section C Notes to the accounts 2021 AD** ## **Note 1 Basis of preparation** ## **1. 1 Basis of accounting** These financial statements have been prepared in accordance with the accounting policies set out below and comply with the charity's governing document, the Charities Act 2011, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities published on 16[th] July 2014. ## **1. 2 Change in basis of accounting** There has been no change to the accounting policies (valuation rules and methods of accounting) since last year. ## **1. 3 Changes to previous accounts** No changes have been made to accounts for previous years. ## **Note 2 Accounting policies** **INCOMING RESOURCES Recognition of incoming** These are included in the Statement of Financial Activities (SoFA) when **resources *** the charity becomes entitled to the resources; * the trustees are virtually certain that they will receive the resources; and * the monetary value can be measured with sufficient reliability. **EXPENDITURE AND LIABILITIES Liability recognition** Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources. **Governance costs** Include costs of the preparation and examination of statutory accounts, **t** he costs of trustee meetings and cost of any legal advice to trustees on governance or constitutional matters. **ASSETS Tangible fixed assets for** The charity is the beneficial owner of residential properties, all **use by the charity** expenditure associated with the purchase and major renovation of which has been capitalised. Other assets are capitalised if they can be used for more than one year, and cost at least £500. They are valued at cost and depreciated as follows: Furniture, Fixtures & Fittings 10% of the written down value. **Note 3 Analysis of incoming resources** _2021 AD Last year_ **Income from rents** Gross rent 49,113 53,978 Less: Voids 0 (1,050) Default 0 0 _**Net Rent**_ **49,113 52,928** ====== ====== - 7 - ____________________________________________________ _________ **Section C Notes to the accounts (cont.) 2021 AD Note 4 Analysis of resources expended** _2021 AD Last year_ **Investment management costs** Management fees 8,575 10,251 Property Insurance 555 815 Repairs and Renewals 11,988 6,770 Depreciation 245 272 Council Tax 0 68 21,363 18,176 ===== ===== **Charitable activities** – Provision of accommodation for retired clergy Lease (12) months 16,200 16,200 Property maintenance and insurance 1,570 2,193 Rates, taxes and services 5,161 4,475 22,931 22,868 Less Service contribution (3,903) (3,831) _**Total**_ 19,028 19,037 ===== ===== **Note 5** not applicable **Note 6 Details of certain items of expenditure 6. 1 Trustee expenses** – nil 0 0 **6. 2 Fee for examination of the accounts** 250 250 _**Total**_ 250 250 === === **Notes 7 and 8** not applicable **Note 9 Tangible fixed assets Freehold Furniture Total Investment & Fittings Property 9. 1 Cost/ Valuation** Row At 01/01/20 A 1,200,000 25,387 1,225,387 Additions /Transfers B Revaluations C At 31/12/20 D(A+B+C)1,200,000 25,387 1,225,387 **9. 2 Accumulated depreciation** At 01/01/20 E 0 22,936 22,936 Charge for the year F 0 245 245 At 31/12/20 G (E+F) 0 23,181 23,181 **9. 3 Net book value** At 01/01/20 H (A-E) 1,200,000 2,451 1,202,451 At 31/12/20 I (D-G) 1,200,000 2,206 **1,202,206** ============================================= **9. 4 Revaluation** All Freehold investment properties were revalued at 31 December 2020 AD. **9. 5 Fund awaiting investment.** The independent valuation figure for one asset, not registered in the names of the trustees, is identified as a fund awaiting investment. (See Note 10. 1) - 8 - _____________________________________________________________________ **Section C Notes to the accounts (cont.) 2021AD** ## **Note 10 Investment assets** **10. 1 Fixed assets investments** refers to funds awaiting investment and units held in approved charity investment management companies, and shown in the balance sheet at current value. _2021 AD Last year_ **Note 11 Debtors and prepayments** Amounts falling due within one year **Debtors** Rent: 0 3,300 **Prepayments and accrued income** Rent: 89KR one month 1,350 1,350 _Total_ 1,350 4,650 **==== ==== Note 12 Creditors and accruals 12. 1 Analysis of creditors** Amounts falling due within one year Rent 0 560 Letting Agent's Fees 0 248 Independent Examiner’s fee 250 250 _Total_ 250 1,058 ===== ===== ## **Note 13 Endowment funds** **13. 1 Funds held** THE TRUST FUND (Permanent endowment): was established by a Trust Deed dated 20 September 1974 AD to hold the assets of the charity. It has been augmented with the proceeds of two surrendered life assurance policies since that date. The whole or such part (if any) of the Trust income as the trustees in their absolute discretion shall determine shall be applied to augment the pensions of or to provide accommodation for sick infirm and poor clergy and /or for the benefit of all or any of seven stated charities. PROPERTY REVALUATION RESERVE (Permanent endowment): The trustees revalue the Trust properties as appropriate, and changes in their values are taken to this reserve fund. **Note 14 Transactions with related parties** _2021 AD Last year_ **14. 1 Remuneration and benefits** A Deed of Appointment dated 24 April 2001 AD, governing transactions on behalf of the trustees by the Managing Agent who was the original settlor of the Trust, authorises the payment of certain fees and commissions. 2,866 3,897 The trustees received no form of remuneration. **14. 2 Loans** None None **14. 3 Other transactions with related parties** Retirement accommodation, leased for the charity’s objects from D. Neville & F Hutton-Michel, is the subject of an agreement approved by the Charity Commission dated 31 October 2000 AD. 16,200 16,200 - 9 -