2020-03-31-accounts

The English Dominican Congregation (Stone) Charitable Fund

Annual Report and Accounts

31 March 2020

Charity Registration Number 271922

Contents

Reports

Reference and administrative details of the
charity, its trustees and advisers	1
Trustees’ report	3
Independent auditor’s report	36
Accounts
Statement of financial activities	39
Comparative statement of financial activities	40
Balance sheet	41
Statement of cash flows	42
Principal accounting policies	43
Notes to the accounts	52

The English Dominican Congregation (Stone) Charitable Fund

Reference and administrative details of the charity, its trustees and advisers

Trustees	Sister Margaret Teresa Billington (ex-officio - Prioress General)
	Sister Jane Ann Alves
	Sister Mary David Burton (appointed 4 August 2019)
	Sister Angela Mary Leydon
	Sister Mary Pauline (B Burling) (resigned 4 August 2019)
	Sister Mary John Perks (appointed 4 August 2019)
	Sister Ann Catherine Swailes (resigned 4 August 2019)
Administrative address	St Dominic’s Convent
	Stone
	Staffordshire
	ST15 8EN
Telephone	01785 813552
Website	www.stone-dominicans.org.uk
Charity registration number	271922
Auditor	Buzzacott LLP
	130 Wood Street
	London
	EC2V 6DL
Principal bankers	The Royal Bank of Scotland plc
	PO Box 412
	62/63 Threadneedle Street
	London
	EC2R 8LA
Investment managers	BlackRock Investment Management (UK) Limited
	12 Throgmorton Avenue
	London
	EC2N 2DL

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Reference and administrative details of the charity, its trustees and advisers

Solicitors Beswicks Solicitors LLP Sigma House Lakeside Festival Way Festival Park Stoke-on-Trent ST1 5RY

Ansons Solicitors Limited St Mary’s Chambers 5-7 Breadmarket Street Lichfield WS13 6LQ

Stone King LLP Boundary House 91 Charterhouse Street London EC1M 6HR

Dixon Phillips Limited 22 Hills Road Cambridge CB2 1JP

Property consultant

Avison Young 65 Gresham Street London EC2V 7NQ

Architect Cavaleri Partnership Trinity Hall Farm Industrial Estate Unit A Nuffield Road Cambridge CB4 ITG

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Trustees’ report 31 March 2020

The trustees present their report together with the accounts of The English Dominican Congregation (Stone) Charitable Fund (“the charity”) for the year ended 31 March 2020.

The accounts have been prepared in accordance with the accounting policies set out on pages 43 to 51 the attached accounts and comply with the charity’s trust deed, applicable laws, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), effective from accounting periods commencing 1 January 2015 or later.

INTRODUCTION

The English Congregation of Dominican Sisters was formed in 1929 by an amalgamation of five existing Dominican Congregations, the oldest of which was that of Stone, which was founded in 1845.

The Congregation has vested all the property used for its purposes in England in the trustees of a charitable trust dated 13 July 1976 known as The English Dominican Congregation (Stone) Charitable Fund. The charity is registered under the Charities Act 2011, Charity Registration Number 271922.

MISSION

The object of the English Dominican Congregation (Stone) Charitable Fund is the furtherance of the Roman Catholic faith. The charity aims to support the religious and other charitable works carried on by the members of the Congregation and to care for those members throughout their lives within the Congregation.

When setting the objectives and planning the work of the charity for the year, and when encouraging the work of individual sisters, the trustees have given careful consideration to the Charity Commission’s guidance on public benefit.

The ministries of the sisters of the Congregation, all of which benefit numerous members of the general public, fall into the following main areas:

•  Worship and prayer

Members of the Congregation are committed to personal and liturgical prayer which is reflected in their daily timetable. They are obliged to study in order to further their knowledge of the Christian faith. They give preference to the study of sacred scripture and the teaching of the Church, so that they in turn can instruct and help others. Members of the Congregation also celebrate and pray with the wider community including people of other faiths. They do this through the provision of spiritual guidance or by just being available to listen in times of need. Some sisters give talks and guide retreats and prayer groups. The sisters respect people of no faith and try to help them in appropriate ways.

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MISSION (continued)

•  Social and pastoral work

Many members of the Congregation are involved in various forms of social or pastoral work in different parts of the country, including care of the elderly and people with special needs, support of families, and chaplaincy work in educational and healthcare establishments. In particular, the sisters aim to help the poor and marginalised in society regardless of their personal background, faith, gender or individual circumstances. The sisters share the convent premises with diverse groups e.g. groups of pilgrims, St Vincent de Paul Society, and clubs for the elderly. When public concerts are arranged in church, the Congregation’s premises are used for serving refreshments.

•  Care of the elderly

During the year the sisters provided care and assistance to the elderly at St Mary’s Home, Stone. The Home provides care both for members of the general public and for members of the Congregation in need of nursing care.

•  Education

During the year the charity operated an educational establishment, St Rose’s School in Stroud, Gloucestershire providing education and care to 2-19 year olds. The Congregation also provides a small unit for 19-25 year olds on the site of St Rose’s School called St Martin’s Centre. St Rose’s School together with St Martin’s Centre, collectively hereinafter referred to as “the School” or “St Rose’s School”, aims to provide the highest quality service to children, young people and young adults with physical disabilities, learning disabilities and associated complex medical, sensory and communication difficulties in the age range 2-25 years. The establishment aims to undertake this with due regard to the Catholic traditions from which the provision has developed, particularly those of the Dominican order. A commitment to provide support and professional development for staff, thereby enabling them to meet the demanding expectations of their role, is central to this mission.

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES

Care of the members of the Congregation

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, although there are currently two novices who it is hoped will eventually make their professions. The age profile of the Congregation is shown graphically below:

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Age Profile of Sisters at 31 March 2020
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59 and under 70-74 75-79 80-84 85-89 90-94 100 and over
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Number of Sisters
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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 Congregation increases, so too does the need to provide increasing and increasingly expensive care for the sisters.

At the end of March 2020, one member of the Congregation was receiving care in the charity’s own nursing home, two were receiving care in homes in Gloucestershire and a further three were cared for by care staff in the Congregation’s infirmary in Stone. Over the next few years, the trustees do not expect the number requiring nursing care to decrease. As a consequence the trustees are giving careful consideration to the impact of this on the work of individual members of the Congregation, the property requirements of the Congregation and the financial implications. In this regard, the aims of the trustees over the forthcoming years include:

•  Ensuring all members of the Congregation receive the high level of care they require to provide them with the quality of life they have a right to expect;

•  Reviewing the charity’s properties used as community houses and assessing their suitability as homes for the elderly and frail. Those identified as being unsuitable will be sold, adapted or utilised for other purposes in line with the charity’s mission; and

•  Enabling all members of the Congregation to continue with their individual ministries for as long as possible.

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES (continued)

Enabling and supporting members in a variety of religious and charitable works

The religious and charitable works of individual members of the Congregation can be divided into four principal areas; worship and prayer, the social and pastoral work of the sisters, the ownership and operation of a nursing home for the elderly and the ownership and operation of a school. Each of these is considered in turn below:

Worship and prayer

Members of the Congregation are committed to personal and liturgical prayer which is reflected in their daily timetable. They are obliged to study in order to further their knowledge of the Christian faith. They give preference to the study of sacred scripture and the teaching of the Church, so that they in turn can instruct and help others. Members of the Congregation also celebrate and pray with the wider community including people of other faiths. They do this through the provision of spiritual guidance or by just being available to listen in times of need. Some sisters give talks and guide retreats and prayer groups. The sisters respect people of no faith and try to help them in appropriate ways.

The charity is committed to helping as many people as possible to come into contact with the sisters and also join them in worship. Their faith, thereby strengthened, is put into action in a number of activities which include:

• Promoting the values and vision set out in the Gospel including the promotion of human dignity, teaching respect of different cultures, working for a society based on justice and peace and encouraging care and respect for all creation;

• Offering prayer groups, giving members of the public from all walks of life the opportunity to escape the stresses of everyday life for a short time and take time for quiet contemplation and reflection and the chance to study and consider the Gospel;

• Engaging in more outgoing worship through youth groups, summer schools etc;

• Providing religious instruction and supervision;

• Providing retreats where those who attend can reflect in a peaceful atmosphere rooted in Gospel values; and

• Praying with those who are house bound, sick or dying.

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES (continued)

Enabling and supporting members in a variety of religious and charitable works

(continued)

Social and pastoral work

Many members of the Congregation are involved in various forms of social or pastoral work in different parts of the country, including care of the elderly and people with special needs, support of families, as well as chaplaincy work in educational and healthcare establishments. In particular, the sisters aim to help the poor in society regardless of their personal background, faith, gender or individual circumstances. The sisters share the convent premises with diverse groups: e.g. groups of pilgrims, St Vincent de Paul Society, and clubs for the elderly. When public events, i.e. pilgrimages, concerts, talks, are arranged in the adjacent church, the Congregation’s convent premises are used for serving refreshments.

The following are examples of the social and pastoral work undertaken by individual sisters:

• Working in parishes, that is, running or helping with catechetical programmes and pastoral work with parishioners;

• Working and pastoral care in education including university chaplaincy;

• Administrative and secretarial support to Church organisations, for example safeguarding;

• Spiritual direction: individual help and organising days of recollection at least three times a year.

More specific details of work in this area are as follows:

• One sister, in spite of being retired and disabled still does many administrative and other ‘little jobs’ for the church. Above all, it means being available as parish sister to people after Mass or at other times;

• Another sister, though engaged in teaching at tertiary level, assists with catechesis on Sundays on a regular basis;

• One sister runs short study courses in theology and philosophy in St Dominic’s Convent in Stone. These courses have been subsidised by the Congregation, but donations are requested from those who take part. They are advertised quite widely, chiefly, but not solely, in Catholic circles and also on social media. Participation is not confined to Catholics, or even to Christians; on one occasion, a philosophy week, two Muslim graduates from Cambridge attended. The age range of participants is from young adults to those in their 70s, both male and female from all walks of life. All are invited to join the Dominican community in prayer if they so wish and join the community for meals in the refectory.

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES (continued)

Enabling and supporting members in a variety of religious and charitable works

(continued)

Social and pastoral work (continued)

The objectives of the trustees in this area include:

• Enabling all members of the Congregation to carry out meaningful social and pastoral work within the community after assessing their skills and the needs of the local area;

• Encouraging and motivating members to work with and assist the poor, elderly and marginalised; and

• Wherever possible ensuring sisters are remunerated for such work by way of a stipend to cover expenses. Such income is donated to the charity and thereby contributes to defraying the costs and ensures that the charity may continue with this work as long as possible.

Care of the elderly

St Mary’s Home provides residential and nursing care facilities for the elderly and is administered in accordance with the charitable objects of the English Dominican Congregation (Stone) Charitable Fund as specified in the trust deed.

The philosophy of care at the Home is to ensure a homely, friendly and open atmosphere among residents and staff whilst maintaining the privacy, dignity, rights and quality of life of all residents.

The Home provides both long-term care and end of life care to those suffering from terminal illness for both members of the general public and members of the Congregation.

There are 59 rooms at St Mary’s, 42 with en-suite facilities and a number with separate sitting areas. Each room has a television point and is linked to the call system. All areas of the Home are accessible by either stairs or lifts, and residents are encouraged to take meals in the dining room. Other facilities include a chapel, hairdressing salon, conservatory and several lounges. The Home is set in large attractive gardens, which house a summerhouse.

In operating St Mary’s Home, the trustees aim to:

• Provide excellent residential and nursing care to elderly men and women, ensuring that their needs are met fully 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 the Home meets the requirements of the Care Quality Commission and that any recommendations arising from inspections are acted upon quickly and effectively; and

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES (continued)

Care of the elderly (continued)

• Maintain the financial security of the Home through careful budgeting and by setting fees at levels that ensure the viability of the Home is not threatened.

Education

St Rose’s is located in Stroud and has been recognised as a Non-Maintained Specialist School by the Department for Education since 1912. It is a Dominican foundation and the philosophy of St Rose’s is stated in its Mission Statement:

Its mission is working together, to help each person flourish educationally and spiritually, to reach their full potential in a Christian community and believe in their worth as children of God. And its vision is to be an exceptional Catholic specialist school and college delivering the highest quality education, therapy and care for children and young adults, to enable them to achieve their maximum independence and develop as valued members of society.

St Rose’s is highly regarded for its comprehensive approach to the education and care of children and young people with major physical disabilities and who often have additional visual or hearing impairment and complex health needs.

St Rose’s admits young people between the ages of 2 and 25 years with children coming from 6 local authorities. In addition to residential and day placements, short breaks are provided. There are currently 76 young people on roll, many with complex physical disability and health needs, and there are 25 in the Early Years department, which is an integrated department with children who may or may not have additional needs. The children in the main school are nearly all wheelchair users and many have communication difficulties. St Rose’s contains Early Years, Primary, Secondary, 16-19, and Post-19 departments. Local authorities pay the students’ fees for St Rose’s. Vigorous steps continue to be taken to make savings and efficiencies in the running costs of St Rose’s.

St Rose’s has its own therapy and support staff, and the multidisciplinary team of teachers, tutors, therapists, care assistants, and nurses all work together to provide the best teaching, therapy, and care for each individual student. There is nursing cover on site 24 hours a day. Regular wheelchair and sling clinics are held in School and College, which is also open to pupils from other schools. St Rose’s strives to give each student as much independence and opportunity for decision making as possible, placing great emphasis on helping each individual student to develop their communication and mobility skills, as it is through these skills that they can take steps to achieving greater independence.

Volunteering

Throughout the year, the members of the Congregation gave their time to assist the poor and marginalised and those in need. The majority of members receive no financial reward for this work which contributes to the overall achievement of the charity’s objectives. In addition, members are involved in administering the work of the Congregation and charity - without their contribution the charity would not be able to function as effectively or fully as it does.

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ACTIVITIES, SPECIFIC OBJECTIVES AND RELEVANT POLICIES (continued)

Volunteering (continued)

Details of the areas in which members gave their time during the year are shown in the table below.

Area	No. of Volunteers	Hours volunteered
Nursing home Counselling General parish work & catechesis University chaplaincy Administration	5 3 7 1 5	3,602 330 4,560 290 5,300
	21	14,082

Grants, donations and support of missionary work and ministry

Grants, donations and other payments in support of missionary work and ministry are decided on by the trustees in consultation with other members of the Congregation as appropriate. In the main, the charity supports the work of those organisations whose work is within the objects of the charity, both in the United Kingdom and overseas, particularly in India. However, the charity does not regard itself as a grant making entity and applications for grants and donations are not invited.

ACHIEVEMENTS AND PERFORMANCE

The paragraphs below outline briefly the charity’s achievements during the year in each of its main activities. Certain details have already been recorded in the earlier part of this report.

Care of the members of the Congregation

During the year the charity supported and enabled its members to continue to engage in a variety of ministries such as teaching and nursing, family counselling, working in hospital and university chaplaincies, working with youth and the homeless, visiting the sick and housebound, facilitating study groups for people with special educational needs, and giving lectures and talks on a wide spectrum of subjects to a wide variety of people.

In addition, the sisters welcomed and offered hospitality to sisters from other countries, chiefly India. The sisters were given help to learn English and to access other educational courses. Some of the sisters are engaged with pastoral work with immigrants and the elderly.

Over the next few years, it is inevitable that the cost of caring for members will increase due to the rising expense of social and dementia care.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Worship and prayer

Throughout the year the sisters continued with their own private worship and their spiritual development and training. All sisters attended retreats which provided an opportunity for renewal and quiet contemplation.

Social and pastoral work

Details of the many activities in which the sisters are engaged have already been noted above. While the trustees appreciate the commitment and dedication of the sisters, they are very aware that over the next several years, these activities will diminish significantly, due to the increasing age profile. The trustees will continue to assist the sisters in any way possible and will encourage them to remain active and involved for as long as possible. However, they will maintain a vigilant eye on sisters who might want to stay in ministries when they are really no longer able to cope. The trustees will instead try to guide these sisters towards a less demanding, gentler ministry.

Care of the elderly

The Registered Manager at St Mary’s is Natalie Dibble who was appointed in May 2018 having been a senior member of the nursing team at St Mary’s for over twelve years. Natalie is passionate about the care of the elderly and highly committed to the home, its staff and residents.

There was an unannounced inspection by the Care Quality Commission in August 2019 which found that improvements had been made since the previous inspection in May 2018. St Mary’s achieved ‘Good’ in all five key areas of assessment, resulting in an overall rating of ‘Good’.

The inspection report noted that improvements has been made in the areas that had previously been rated as ‘Requires Improvement’:

• Improvements had been made to the way medicines were administered and monitored and the inspector noted that registered manager had a system to continuously monitor and mitigate risks associated with safe medicine administration.

• The Home was working within the principles of the MCA, and confirmed that any conditions on authorisations to deprive a person of their liberty had the appropriate legal authority and were being met.

• The Home was ‘consistently managed and well-led. Leaders and the culture they created promoted high-quality, person-centred care’.

The report was very positive and recognised the significant improvements that had been made by the management team and staff since the previous inspection. The management team and staff fully intend to continue to learn, develop new skills and improve.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Care of the elderly (continued)

The Manager received positive feedback from both staff, residents and relatives one of who was quoted in the report as saying that the Manager was ‘Absolutely outstanding. The registered manager enjoys speaking to all the people who live here. The standards are so very high. Their vision is excellent’.

The Chairperson of the trustees is appointed as Safeguarding Officer for the Home and has attended a number of training courses and conferences to ensure that the Home is fully compliant with all current legislation. Annual safeguarding training is compulsory for all staff employed in the Home to ensure they are fully aware of the issues involved and are equipped to deal appropriately with any incident.

Although there are no longer any sisters actively involved in the nursing care of residents, a number of sisters who live in Stone visit on a regular basis providing both pastoral and practical assistance.

There is an Activities Co-ordinator and assistant whose role is to create, plan, organise and co-ordinate a stimulating and developing activity programme to enhance the quality of life of each resident in the Home that will promote the health, dignity and wellbeing of each resident and enhance the quality of their lives. The work done by the Activities Co-ordinator attracted positive comments in the Care Quality Commission inspection report. Many relatives of residents who have died during the year have expressed gratitude for the high standard of care received and continue to visit the Home and assist in the activities programme. Overall, there is a caring friendly atmosphere evident at St Mary’s Home.

The Home is committed to a programme of continual refurbishment. Bedrooms are refurbished when occupancy levels permit and communal areas as required. In addition to bedroom refurbishments, the following were completed in 2019/20:

There is an Activities Co-ordinator whose role is to create, plan, organise and co-ordinate a stimulating and developing activity programme to enhance the quality of life of each resident in the Home that will promote the health, dignity and wellbeing of each resident and enhance the quality of their lives. The work done by the Activities Co-ordinator attracted positive comments in the Care Quality Commission inspection report.

The Home is committed to a programme of continual refurbishment. Bedrooms are refurbished when occupancy levels permit and communal areas as required. In addition to bedroom refurbishments, the following were completed in 2018/19:

• New items of equipment were purchased for the kitchen; and

• A small sitting room on the top floor was redesigned as a storage room for medical supplies.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Care of the elderly (continued)

Along with many care homes, the global Covid-19 pandemic which began in early 2020 has had an impact in St Mary’s. There have been a small number of residents diagnosed as Covid-19 positive, the majority of whom have fully recovered. The management took a proactive risk based approach to the situation and acted quickly to put in place measures which included:

• Closing the Home to all non-essential visitors;

• Isolating residents in bedrooms;

• Cohorting staff wherever possible;

• Block booking of agency staff;

• Sourcing PPE from new or additional suppliers;

• Not admitting new residents who are Covid-19 positive.

These steps, together with other robust infection control procedures ensured that any infection was contained and did not spread among other residents or staff.

The trustees wish to put on record their appreciation of and gratitude to all the staff for their outstanding contribution to St Mary’s, particularly during the pandemic.

Education

During the academic year 2019/20, St Rose’s had 76 students and young people from 6 local authorities:

•  Early Years - 25 children

•  St Rose’s - 22 students

•  St Martin’s - 29 students

The School continued to work hard to advertise St Rose’s and, as a result, there has been a great deal of interest in places. St Rose’s continues to work closely with Gloucestershire County Council which is its main commissioner. The School has worked together with the Council to improve the transition process for young people who are due to leave education. As a result of this collaboration, it has secured an additional year’s education funding for five students, three of whom will receive joint funding from education and health budgets.

There were six new students starting at St Rose’s between September 2019 and March 2020 as well as the five new students who joined St Martin’s between September and October 2019. One student transferred from the main school to St Martin’s in September 2019.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Education (continued)

There have been a number of significant achievements over the last twelve months:

Catholic life

•  Section 48 Inspection – Outstanding (June 2019) - Since the denominational inspection was held on 4 and 5 June 2019, Cherith Baxter-Steele (RE Lead) has been working to implement the development areas and meets regularly with Jean Bankhead (Vice Principal). Louise Harper (Curriculum and assessment lead) is now monitoring RE targets, assessment, student work and progress towards the key performance indicators in the development plan.

•  Staff and students celebrate many events in the liturgical calendar including termly Mass and festivals. Students take part in Christmas and Easter productions.

•  The Chair of Governors, Principal, Vice Principal, RE Lead and Business Manager all attend Gloucestershire Catholic Partnership meetings.

•  The Principal is the Special School’s representative on the Diocesan CCDEF committee that is chaired by Bishop Declan.

•  Students and staff regularly attend RE events organised by the Deputy Director of Education, Clifton Diocese.

•  Tony Hickey (Foundation Governor) and Ann Fowler who was Diocesan Deputy Director of Education raised funds by doing a sponsored walk for St Rose’s.

•  Our thanks go to Ann Fowler for all of the support she and other members of the diocesan staff have given to St Rose’s over the last year. Ann Fowler left her post as Deputy Director of Education in May 2020. We wish her well for the future and are grateful for the significant contribution she has made to St Rose’s over the years.

Education

The Strategic Plan for 2018-2020 was put in place at the beginning of the year The detailed aims, strategies and actions towards the Strategic initiatives and Key Performance Indicators (KPIs) can be found in the Development Plan (St Rose’s) and the Quality Improvement Plan (St Martin’s).

The following achievements were obtained by students in the 2019/20 academic year:

•  In 2018/19 students achieved accreditation in ASDAN from Pre-entry level 1 to Level 1 and AQA Unit awards.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Education (continued)

Education (continued)

•  During 2019/20 students have achieved accreditation in ASDAN Personal Progress and Ascentis English Entry Level 3 and Level 1 in St Martin’s. As a result of Covid 19 St Rose’s has been unable to submit its Towards Independence ASDAN and our AQA units for St Rose’s as they were waiting to be completed.

•  All mainstream nursery children are working within expected age bands across the prime areas of the Early Years Foundation Stage (EYFS) and where appropriate in the specific areas of learning. Nursery children with additional needs are making progress.

•  Students in school and college have made good progress towards their targets and most of them are on track or have met or exceeded their targets despite the interruption to learning as a result of Covid-19.

•  Six students in school were given a higher teacher adjusted target before March in English/communication and/or in mathematics/cognition.

•  All students assessed made progress in phonics.

•  100% of St Rose’s PMLD students matching, ‘on track’ or exceeding their targets by March 2020.

•  80% of St Rose’s SLD students matching, ‘on track’ or exceeding their targets by March 2020.

•  35% overall in St Rose’s had exceeded their targets by March 2020.

•  All St Martin’s Pathway B and C students matching, ‘on track’ or exceeding their targets by March 2020.

•  71% of St Martin’s Pathway A students matching, ‘on track’ or exceeding their targets by March 2020.

•  40% overall in St Martin’s had exceeded their targets by March 2020

•  Additionally, observation of teachers took place in Autumn 1 term. All observations showed good or outstanding practice.

•  Jon Gibson, the School and College Improvement Partner, completed some joint observations in Autumn and Spring terms. Observations were based on Ofsted ‘Deep Dives’.

•  Curriculum Lead and Phonic Lead with teachers have been developing the curriculum and producing long term plans for each area of the curriculum.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Education (continued)

Education (continued)

•  Learner voice is high on the agenda and staff are working hard to ensure this happens at all levels.

•  Regular visits from an SEN Independent careers adviser to Post-16 and Post-19 students have taken place to support transition.

•  100% of students have an established destination.

Covid-19

Since March 2020 St Rose’s has had a plan in place to support students with home learning and as more students have returned it has continued with blended learning for some of its students. Other than for a short period (for deep cleaning) St. Rose’s has remained open throughout the pandemic.

Therapy

•  Therapists are now using MAPP as a means of recording outcomes for students.

•  Communication passports in place for all students.

•  Therapists working during residential time to ensure collaborative working.

•  Therapists are now delivering training for all staff to develop skills and understanding of SEN.

•  A key member of the positive behaviour forum has achieved her qualification to become a Sensory Integration practitioner.

•  We have increased the number of physiotherapists to meet the increased therapy needs for new students.

Care

Ofsted Care Inspection – Requires Improvement (June 2019)

Following a very disappointing care inspection, an action plan has been implemented to address the shortfalls in meeting the Ofsted National Minimum Standards. A great deal of work has been completed to reduce restrictive practise including the removal of high sided beds, listening monitors and stair gates.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Education (continued)

Care (continued)

Ofsted Care Inspection – Requires Improvement (June 2019) (continued)

Significant progress has been made to make improvements to the environment and to address the Ofsted Inspector’s adverse comments. As further detailed throughout this Report, the Trustees and Governors have determined to build an extension to and update the School’s residential house. This is be known as the Quentin House Project. It is anticipated to commence work on the site for the first phase of the project in Spring 2021. The planning application for this work has been approved together with planning to link the St Martin’s bungalows. This link will provide added security and much needed extra space.

•  There has been an increase in the residential and respite care we have been able to offer up until lockdown.

•  Additionally a quality assurance process which links the National Minimum Standards to the Social Care Common Inspection Framework is now in place for the residential house (Quentin House) and is being piloted from July 2020.

•  The care team work closely with the therapy team to ensure continuity across all areas and therapists work during the evening to support and train care staff.

•  All staff have completed positive behaviour support training (non abusive psychological and physical intervention).

Premises

•  The telephone system was completely renewed.

•  Air conditioning was fitted in the physiotherapy department during the summer holidays and all other units serviced.

•  A new fire alarm system has been installed across the site, this has incorporated the lockdown alert and the school bell. Work was completed in June 2020.

•  An Education and Skills Funding Agency (ESFA) Survey and a Legionella risk assessment were undertaken during the year.

Health & Safety

•  Two accidents were reported to the Health and Safety Executive. In both cases the injury caused concussion and in one case post-concussion syndrome to the member of staff involved. An Occupational Health Assessment was arranged for the latter member of staff.

•  Audit – Delegated Services carried out a Health & Safety Audit in July 2020. Security was felt to be good and a checklist was prepared and work on this continues.

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ACHIEVEMENTS AND PERFORMANCE (continued)

Education (continued)

Health & Safety (continued)

•  Zurich Insurance conducted an audit of the site and premises in December 2019.

•  Lockdown training took place on 10 October 2020 for 14 members of staff including the School and College Management Team and other and members of the care, site and administration teams

The Trustees and Governors wish to put on record their appreciation of and gratitude to all the staff for their outstanding contribution to St Rose’s.

FINANCIAL REVIEW

Results for the year

A summary of the year’s results can be found on page 39 of this report and accounts.

Total income for the year was £6,363,027 (2019 - £5,999,886). The largest proportion of the charity’s income arises from the residential and nursing care home at Stone, Staffordshire and the school in Stroud. £2,480,234 (2019 - £2,302,654) of the income related to fee income for St Mary’s Home, Stone and charges related to St Rose’s School amounted to £2,435,926 (2019 - £2,233,725). The School also received grant funding from the Department for Education during the year of £584,100 (2019 - £536,265).

Donations, legacies and similar income continue to be important sources of income with one of the largest components being the salaries and pensions of individual members of the Congregation received under Gift Aid or Deed of Covenant. During the year ended 31 March 2020, these salaries and pensions amounted to £432,931 (2019 - £461,873).

Expenditure for the year totalled £6,644,662 (2019 - £6,523,779). £2,480,794 (2019 - £2,478,567) of this related to the operating expenditure of St Mary’s Home, Stone. Expenditure in connection with the operation of St Rose’s School amounted to £3,018,854 (2019 - £2,801,885).

Expenditure on maintaining the sisters and enabling them to carry out their work during the year amounted to £953,005 (2019 - £946,955). Premises expenditure continues to be high, as properties grow older and alterations become necessary to facilitate the needs of elderly sisters. As noted below under “future plans”, the trustees are considering ways in which the charity’s site at Stone, Staffordshire may be developed to provide a complex of senior living accommodation including the construction of a new larger care home on the site and the continued existence of a convent for the Sisters.

Plans are still being considered and various feasibility and other studies have been commissioned. During the year, this work led to professional and related fees in respect to the strategic property development of £167,154 (2019 - £274,256). These costs have been expensed during the year as the work is in connection with exploring options only at this stage.

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FINANCIAL REVIEW (continued)

Results for the year (continued)

Net expenditure before other gains and losses for the year amounted to £281,635 (2019 – net expenditure of £523,893). Investment losses were £512,511 (2019 – gains of £306,803) and the net expenditure and decrease in funds for the year, therefore, amounted to £794,146 (2019 - net expenditure and decrease in funds of £217,090).

Fundraising

St Mary’s Home, Stone, has a Fundraising Committee which comprises current and former members of staff, and a number of relatives, both past and present. Several events have been held during the year including a cream tea, a sponsored wheelchair push and a very successful Christmas fayre. Fundraising is all undertaken in-house and the Home does not use any professional fundraisers or commercial participators.

St Rose’s has an established fundraising group, The Friends of St Rose’s, which has regularly raised funds for equipment and improved facilities for the students. In recent years the trustees and governors agreed for the Friends of St Rose’s to be a separate entity. The Friends of St Rose’s have reassured the trustees and governors that they will not undertake any activity which is at variance with the Catholic tradition of St Rose’s or which will damage its reputation.

As detailed earlier, a new buildings project is underway, mainly to improve facilities for the Post-19 students. The School is exploring options with its consultants, Morgan Ashley House and Gail Mattocks, of ways to raise the significant funds required.

The charity and each of its constituent parts aim to achieve best practice in the way in which they communicate with donors and other supporters. Care is taken with both the tone of communications and the accuracy of data to minimise the pressures on supporters. Best practice is applied to protect supporters’ data. The charity never sells data, it never swaps data and ensures that communication preferences can be changed at any time. With the exception of significant appeals, for examples at St Rose’s, the charity manages its own fundraising activities and does not employ the services of Professional Fundraisers.

No complaints have been received by the charity, including the Home and the School, in relation to fundraising activities.

Investment policy

The charity’s investments comprise mainly pooled funds managed by BlackRock Investment Management (UK) Limited. The trustees are of the opinion that this enables the portfolio to strongly reflect the Catholic ethos of the charity.

For the major part of the year, this represented a holding in BlackRock’s Charifaith Common Investment Fund (CIF). In December 2019, BlackRock ceased to operate the CIF having obtained permission from both the Charity Commission and the FSA to convert it to a Charity Authorised Investment Fund (CAIF). As such in December, the distribution units were transferred from the Charifaith CIF to the BlackRock Catholic Charities Growth and Income Fund to a value equal to the carrying value of the CIF at the date of transfer

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FINANCIAL REVIEW (continued)

Investment policy (continued)

The ethical policy precludes investment in any company which, after reasonable enquiry, clearly has significant profits from an activity which is contrary to the objectives of the Christian Church.

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 the medium term.

The performance of the portfolio and the charity’s investment strategy are reviewed annually by the trustees.

Investment performance

The investment managers continued to invest in accordance with the trustees’ investment policy set out earlier in this report. Further details of the investment portfolio are detailed in note 14 to the attached accounts.

The major part of the charity’s listed investments are managed by BlackRock Investment Management (UK) Limited. The investments had a market value of £6,011,830 as at 31 March 2020 (2019 - £7,524,341). Net losses on the revaluation and disposal of investments amounted to £512,511 (2019 - net gains on the revaluation of investments £306,803). Contributing to the overall net losses on investments is an unrealised loss of £571,453 – the significant decrease being reflective of the market reaction to the Covid-19 pandemic. Since the year end, the markets (and the value of the charity’s investments) have largely recovered. Investment income on those listed investments was £230,229 (2019 - £237,288).

The trustees continue to take a long-term view and believe their investment policy remains appropriate.

Reserves policy

The charity carries out a diverse range of activities and is responsible for the care and support of sisters whose average age is increasing and whose needs are changing. The trustees have examined the requirement 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, the level of free reserves should be approximately equivalent to between six and twelve months’ expenditure at any one time. The trustees are of the opinion that this provides sufficient flexibility to cover temporary shortfalls in incoming resources and will allow the charity to cope and respond to unforeseen emergencies whilst specific action plans are implemented.

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FINANCIAL REVIEW (continued)

Financial position

The balance sheet comprises tangible fixed assets of £7,425,422 (2019 - £7,580,274), investments of £6,011,830 (2019 - £7,254,341), programme related investments of £2,655,936 (2019 - £2,678,187) and net current assets of £5,288,823 (2019 - £4,393,355) which are represented by total funds of £21,382,011 (2019 - £22,176,157).

These funds include permanent endowment of £12,830 (2019 - £12,830). These funds are “capital” and must be held indefinitely by the charity.

Also included in total funds is an amount of £168,288 (2019 - £228,633) which is restricted. These monies have been donated, and their use restricted to, specific purposes. Full details of these restricted funds can be found in note 21 to the accounts together with an analysis of movements in the year.

Funds totalling £7,425,422 (2019 - £7,580,274) have been set aside by the trustees as a tangible fixed assets fund representing the net book value of those tangible fixed assets held as part of unrestricted funds. A decision was made to separate this fund from the general funds of the charity in recognition of the fact that the tangible fixed assets (i.e. ostensibly the charity’s freehold properties) are essential to the day-to-day work of the charity and as such their value should not be regarded as funds that would be realisable with ease in order to meet future contingencies.

A further £11,816,159 (2019 - £11,548,829) has been designated by the trustees for various purposes. This figure includes £5,000,000 (2019 - £5,000,000) to provide for the sisters in their retirement. Full details of the designated funds can be found in note 23 to the accounts together with an analysis of movements in the year.

General funds (or free reserves) of the charity at 31 March 2020 totalled £1,959,312 (2019 - £2,805,591). The level of free reserves at 31 March 2020 falls short of the figure required by the above reserves policy based on expenditure incurred in 2020. However, within expenditure for that year were costs that over the long term are not expected to recur.

Therefore, the trustees are content with the level of free reserves at 31 March 2020 and believe that they are adequate but not excessive.

Tax exemptions

The beneficiaries of the work of the charity have the assurance that all of the income of the charity must be applied for charitable purposes in furtherance of the charity’s object of furthering the Roman Catholic faith. The charity enjoys tax exemption on income from its activities and on its investment income and gains provided these are applied for its charitable aims. As a charity, it is also entitled to a reduction of 80% on business rates on the property it occupies for its charitable purposes.

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FINANCIAL REVIEW (continued)

Tax exemptions (continued)

The financial benefits received as a result of these exemptions are all applied for the purposes of furthering the Roman Catholic faith by enabling and supporting the sisters to live out their faith and to put that faith into practice through a wide variety of religious and other charitable works, including the operation of a nursing home and a school.

The nature of the charity’s activities means that it is unable to reclaim VAT input tax on its costs as it is exempt for VAT purposes. The charity also pays tax as an employer through the national insurance contributions it makes. The charity brings very substantial benefits to the residents in its nursing home, the pupils in the school, the local communities and society in general through the social and pastoral work provided by sisters (often on a voluntary basis), the care services offered and the education services provided. In addition, the charity creates social assets without cost to the Exchequer through the school’s links with the wider community, the nursing home’s links with older people within the relevant community and through the voluntary work carried out by the sisters.

FUTURE PLANS

The trustees will continue to monitor closely the charity and its activities, and expect each of its institutions to be independently viable. They are mindful of the current economic and political climate and the impact it may have on their plans, and intend to review those plans frequently during the next twelve months. It is their intention to meet the following objectives:

•  To monitor the needs of the sisters as they grow older and, if necessary, the charity’s plans in respect to property needs and the provision of care to elderly members;

•  To continue to remain focused on the importance of worship and prayer to the lives of the individual sisters and to the overall mission of the charity;

•  To continue to care for the sisters and enable them to carry out their 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;

Home

With regards to the Home, the trustees are committed to the provision of high quality and dignified care for the elderly at the site in Stone. In considering the ways in which they may continue to do so as part of a long term plan, they have identified a partner who they will work with to develop a complex of senior living accommodation. The development will also include the construction of a new larger care home within the grounds at Stone, which will provide more fit for purpose accommodation with enhanced facilities. It is possible that this will result in St Mary’s Home being run by a different organisation, but will ensure a legacy of care by the Congregation on the site. In the interim, whilst details of the scheme are finalised, the trustees are committed to St Mary’s Home and its residents and staff.

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FUTURE PLANS (continued)

School

With regards to the School, As reported in recent annual reports, the Governors and Leadership Team were considering a new buildings project, mainly to improve facilities for the Post-19 students. In April 2019 the Trustees and Governors determined that this project was not financially viable and deferred to move to a smaller project, now known as the Quentin House Project, to develop the facilities and residential accommodation for the younger students (previously known as ‘The House’).

In October 2019, local architects Roberts Limbrick were instructed to help design and refurbish the House to provide 9 new bedrooms, bathrooms, living areas all with state of the art facilities to meet the changing needs of our students and to improve and future proof our facilities. Roberts Limbrick were also instructed to provide drawings that would enable the School to link the two St Martin’s bungalows to provide additional teaching space and improve the security and safety for both students and staff.

Over the course of the following six months this project developed. Plans were agreed by the Governors, Trustees and Leadership team and submitted for planning in early May 2020. Since May 2020 the plans have been approved. Roberts Limbrick and AFA (cost consultants) have carried out extensive work to bring the School to a point that it is in final discussions with a contractor for the construction of the extension, the link building and the total refurbishment of the existing house.

In September, the School received its first significant donation from Allchurches as part of its fundraising for the Quentin House Project. However, due to the Covid-19 pandemic, fundraising has not progressed at the pace originally envisaged. Major donors are awaiting for an upturn in their investments before making new commitments. The new Covid-19 vaccination programme is expected to improve financial confidence. This expectation and also that fundraising usually increases significantly once site work on a project commences gives confidence that fundraising income will increase significantly in 2021.

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IMPACT OF COVID-19

Since the end of the financial year, the Covid-19 pandemic has changed the shape and nature of the world. It has impacted not only the basic nature of social interactions but has also had a significant economic impact at every level in ways which have been outside of the charity’s control.

As most of the members of the Congregation are aged over 70, they have had to adhere to the stringent government advice issued on 23 March. This has meant that their normal apostolic activities have had to find new shape or cease altogether. As a result of the social distancing rules, whilst largely remaining in lockdown, Sisters have tried to find new ways of working and supporting one another and those with whom they work.

Along with many other charities we cannot at this stage imagine what the new needs will be and what position we ourselves will be in to respond to those needs.

The anticipated impact on the work of both St Mary’s Home and St Rose’s School is described below. In addition, it is anticipated that the overall charity’s income will no doubt be affected because of the falls in investment income as a result of the volatility in global stock markets and the wider economic impact of the pandemic. In terms of the expenditure on supporting the sisters and their individual ministry, whilst a small rise in certain daily living expenses may arise due to inflationary pressure, this will be countered by falls in the level of travel and similar costs.

As stated in ‘Achievements and Performance’, St Mary’s is among the many care homes which have been affected by the Covid-19 pandemic which began in early 2020. Whilst the Home managed to contain the initial outbreak, the situation will need to be continually reviewed and managed, particularly as the sector takes steps to return to some normality by for example, reintroducing visiting and activities for residents. The decrease in new admissions and subsequent reduction in the occupancy level is likely to have an impact financially, as will the increased costs arising from additional PPE requirements. However the management team has taken a pro-active approach to staffing levels to reduce staffing costs and it is hoped that this, together with grant funding that has been made available in 2020/21, will to some extent mitigate the impact. The trustees intend to continue to carefully monitor the situation and take additional steps when and where possible if necessary.

St Rose’s has been able to remain open throughout the lockdown period providing education, therapy and care for a reduced number of students who were not shielding. For those unable to attend school and college St Rose’s provided home tuition and sent staff to work with individual students where appropriate. Therapists were able to send programmes that could be delivered at home and, in some instances, therapists were able to carry out home visits. Teachers, therapists, teaching assistants and care staff all kept in contact with students using Zoom. As far as the School is aware, funding for 2021– 2022 from commissioning bodies remains on track. Enquires for potential new students remain high with 10 new students joining in September 2020.

Whilst there will be challenges for the charity as a result of Covid-19, the trustees do not believe these will impact significantly on the charity’s financial position.

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RISK MANAGEMENT

In line with the requirement for trustees to undertake a risk assessment exercise and report on the same in their annual report, the trustees have looked at the risks the Congregation currently faces in Britain and have reviewed the measures already in place, or needing to be put in place, to deal with them. The trustees have identified five main areas where risks may occur:

•  Governance and management;

•  Operational;

•  Financial;

•  Reputational;

•  Laws, regulations, external and environment.

Governance and management looks at the risk of the Congregation, and hence the charity, suffering from a lack of direction, and at the skills and training of its members and staff, and the good use of its resources.

Operational looks at the risks inherent in the charity’s activities including the operation of its nursing home and its school – the members engaging in inappropriate activities, the unsuitability of buildings, poor maintenance, shortcomings in the services provided, difficulties with staff, poor health and safety, lack of a disaster recovery policy, etc.

Financial risks include those arising as a result of poor budgetary control, inappropriate spending, poor accounting, inappropriate investment policies, etc.

Reputational looks at possible damage to the Congregation’s and/or charity’s reputation.

Laws, regulations, external and environment looks at the effects of government policies, the consequences of non-compliance with laws and regulations and poor risk assessment in the charity’s care home and school.

Having assessed the major risks to which the charity is exposed, the trustees believe that by monitoring reserve levels, by ensuring controls exist over key financial systems, and by examining the operational and business risks faced by the charity, they have established effective systems to mitigate those risks.

Other than the risks associated with the global Covid-19 pandemic referenced earlier in this report, the other key risks for the charity, as identified by the trustees, are described below together with the principal ways in which they are mitigated:

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RISK MANAGEMENT (continued)

• An analysis of the age profile of the members of the Congregation shows that the average age at 31 March 2020 was 81 years. The trustees are aware that there is both a moral and legal obligation to care for the older members. None of the sisters have resources of their own as all earnings, pensions and other income have been donated to the charity under a Gift Aid compliant Deed of Covenant. As the age profile increases, so too does the need to provide care for the sisters. Key elements of the management of this risk are: (a) ensuring that the charity has the available financial resources to finance this care both now and in the years ahead by setting aside assets in a designated fund, the value of which has been based on actuarial principles; and (b) ensuring that processes are in place to review regularly the ministries and needs of individual sisters encouraging those who need it to take on less demanding ministries and for identifying those who need extra care and help.

• Operationally the charity works with children and vulnerable adults including older people. The trustees recognise the absolute necessity of ensuring the protection and safety of all those that the charity serves. This means that sisters engaged in any ministry in Great Britain and all those who work or volunteer for the charity and work with children or vulnerable adults must obtain clearance from the Disclosure and Barring Service (DBS). The same applies for relevant staff employed by St Mary’s Home and St Rose’s School. The trustees are committed fully to implementing the policies of the Catholic Safeguarding Advisory Service (CSAS). One of the sisters is responsible for ensuring this policy is adhered to in respect to all sisters, employees and volunteers. In addition, a Safeguarding Officer is nominated at both the Home and the School operated by the charity. Safeguarding training is compulsory for all staff.

• The charity's principal asset comprises listed investments, the value of which is dependent on movements in UK and world stock markets. The investments are managed by reputable investment managers who adhere to a policy agreed by the trustees. The performance of the portfolio is monitored the investment strategy is assessed regularly to ensure it remains appropriate to the charity's needs – both now and in the future.

• As noted above, the trustees are considering ways in which they might develop a complex of senior living accommodation on the site at Stone including the construction of a new larger care home. A major property development of this nature brings with it a number of risks. These risks are being mitigated through careful discernment and planning and by seeking detailed professional advice in respect to all aspects of the potential project.

Home

The major risks for the Home are as follows:

• As referenced earlier in this report, the Covid-19 pandemic is the biggest risk currently facing the Home. This has impacted adversely, upon occupancy levels and costs, both of which continue to be carefully monitored by the trustees.

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RISK MANAGEMENT (continued)

Home (continued)

• In common with the care sector generally, the Home is finding it increasingly difficult to recruit and retain suitably qualified nursing staff. However, the Home will continue to strive to recruit staff and will review remuneration packages on offer if necessary.

• As noted above, the trustees are considering ways in which they might develop a complex of senior living accommodation on the site at Stone including the construction of a new larger care home. A major property development of this nature brings with it a number of risks. These risks are being mitigated through careful discernment and planning and by seeking detailed professional advice in respect to all aspects of the potential project.

School

The major risks for the School is as follows:

•  The impact of the Covid-19 pandemic continues to be a significant risk, which to date has been successfully managed by the Leadership Team. The School has a comprehensive Risk Assessment specifically for Covid-19 which is reviewed regularly.

•  St Rose’s is a key front line player, working in partnership with other children’s services. All Governors, staff and volunteers have a Disclosure and Barring Service check. Staff must be aware of local policies and procedures that must be followed and which are under the direction of the Local Safeguarding Children’s Board.

The safeguarding policy aims to outline the role that St Rose’s has, the procedures that staff should follow, and the guidance issued on student protection generally. All staff must ensure that the needs and safety of the students are at the forefront of their practice. In their day-to-day contact with individual students, teachers and other staff are particularly well placed to observe outward signs of abuse, changes in behaviour or failure to develop.

•  Long term forecasting of student numbers continues to be difficult but the recent number of new students has been encouraging. Governors are mindful of the continuing need to raise the profile of the organisation and to maintain and further enhance good working relationships with local authorities.

•  Governors continue to work to significantly improve the existing buildings, see details of the current Quentin House Project development within ‘future plans’.

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GOVERNANCE, STRUCTURE AND MANAGEMENT

Governance

In terms of Canon law, the Congregation is governed by the Prioress General and her General Council in Stone. They are elected every six years at a General Chapter or meeting of all members of the Congregation. Members of the General Council are chosen for their personal qualities, their understanding and experience of the ministries of the sisters throughout the Congregation, and to secure a good skills mix. Each community in the Congregation is governed by a local Prioress, who is elected by the local community and approved by the Prioress General and her Council. The Prioress General is required to visit each community at least once a year and throughout the year there is a system of accountability operational throughout the Congregation to ensure that the Prioress General and her Councillors are aware of the progress and development of the ministries carried out by the Sisters of the Congregation.

In terms of Civil law, the charity is governed by a trust deed dated 13 July 1976 and is a registered charity – Charity Registration No. 271922. The trustees of the charity are the five members of the General Council. As all trustees are members of the Congregation, they have a detailed knowledge of the work of the charity and of its structure. On being appointed, new trustees are required to spend time with those trustees leaving office. They also meet with the Congregation’s legal, accounting, investment and property advisers to obtain a full briefing of their responsibilities and the charity’s position.

Trustees

The names of the trustees who served during the year are set out as part of the reference and administrative details on page 1 of this annual report and accounts and brief biographical details on each of the trustees is given below.

Sister Margaret Teresa Billington O.P (Chair Person of the Trustees)

Appointed 4 August 2007 and re-appointed 4 August 2013 and 4 August 2019

Sister Teresa was born in Stoke-on-Trent and received her secondary education from the Dominican Sisters. She qualified as a chartered physiotherapist in 1965 and worked in a district general hospital and also treated professional sportsmen.

She joined the Congregation in 1968 and after formation worked in St Rose’s Special School in Stroud as a Paediatric Physiotherapist gaining further post graduate qualifications. She qualified as a doctor in 1988 after training in Bristol and after house officer posts in Bristol and Gloucester specialised in paediatrics. She changed specialities to general practice and qualified as a member of the Royal College of General Practitioners in 2000. After many happy and fulfilling years in general practice she retired in 2012.

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GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees (continued)

Sister Margaret Teresa Billington O.P (Chair Person of the Trustees) (continued)

She became a trustee in 2007,was re-elected in 2013 and was elected Prioress General of the Congregation for a term of office of six years in 2019. She is a Governor of St Rose’s School and a member of the Management Board of St Mary’s Home. Sister Teresa also serves on the Safeguarding Commission of the Archdiocese of Birmingham and much time is spent on training and meetings. She also serves on the selection committee for seminarians in the Clifton Diocese. Retirement has also given her time to pursue further study.

Her interests include politics and economics and all sport except boxing and wrestling as she dislikes seeing people hurting each other. She has renewed her childhood interest in the piano and has begun to teach herself.

Sister Mary Julie Alves

Appointed 4 August 2013 and re-appointed 4 August 2019

Sister Mary Julie was born on 3 April 1944, in Porthcawl, South Wales. She spent her childhood in Wales, Scotland and England where she easily absorbed the dialects of each country.

Sister Mary Julie entered the Congregation from Glasgow in 1963 and made her profession in 1964.

In 1967, Sister Julie began her training as a Home Economics Teacher at Digby Stuart College, London, with supporting courses being Social Studies and Divinity. Following her training in 1970 she taught Home Economics and Religious Education (RE) to young people for 40 years in main stream sector schools in Stoke on Trent and Birmingham and then in Special Education in the Congregation’s school in Stroud where she coordinated the Home Economics and RE departments.

The years in education were interspersed with further training with the Samaritans and courses linked with teaching children with special needs including an Advanced Open University Diploma in Education in Special Needs in Education, diplomas in speech and language disorders as well as in service training including safeguarding and health and safety. Throughout her years in Stroud Sister Julie supported and advised the Clifton Diocesan Education Department in the teaching of RE to children with special needs. During this time Sister Mary Julie was also involved in adapting the National Syllabus ‘Come and See’ for children with special needs.

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GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees (continued)

Sister Mary Julie Alves (continued)

Within the Congregation Sister Julie was elected Prioress of Newcastle-upon-Tyne from 1984 to 1986 and later Prioress of Stroud from 1987 to 1993. At the General Chapter of 2001 she was elected as a Councillor and Trustee for six years and again at the General Chapters of 2013 and 2019. In 2014 Sister Julie was elected Prioress of Stone and was re-elected in 2017. She is a Governor of St Rose’s School and a member of the Management Board of St Mary’s Home.

Her interests are supporting families with children who have a disability, listening to music, musing in the countryside and meeting people.

Sister Mary David Burton

Appointed 4 August 2019

Sister Mary David was born in Birmingham. She completed two-year’s teacher training at Kesteven Training College, Lincolnshire, and, an Anglican, was received into the Catholic Church at the end of the college course in 1958.

After two years teaching in a local state school, she entered the Congregation at Stroud in 1960, and her first profession was in 1962. She taught in Harpenden for two years, followed by a year’s study at St Catherine’s Centre, Portobello Road, before moving to Stone in 1967, where she made her final profession in 1968. She taught at St Dominic’s Priory School until 1992.

From 1992 to 1999 she was in Rome, in charge of the shop at Santa Sabina, the Dominican Order’s Headquarters. She returned to the UK for four years of monastic life in Bedfordshire, then returned to Stone for a short period before living alone at the recently vacated market convent at Leicester whilst it was marketed for sale. The sale completed in 2006. She spent two years in charge of a monastery guesthouse in Southern France. In Rome again 20082016, she translated Italian texts into English for a Dominican Congregation. Now back at Stone, she is chantress, librarian, continues the translation work and has charge of the garden. She enjoys manual work and is interested in design, lettering, practicalities and making things tidy. She was elected to the General Council at the General Chapter in 2019 and currently serves as secretary.

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GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees (continued)

Sister Angela Mary Leydon

Appointed 4 August 2013 and re-appointed 4 August 2019

Sister Angela was born in Dublin, Ireland and entered the Congregation at the age of 20, making her profession in 1966. She qualified as a teacher in 1974, working initially at a school in Newcastle-upon-Tyne. She developed an interest in learning sign language in order to communicate with deaf children and their parents who attended the local Parish Church. She subsequently qualified as a teacher of the deaf and was employed as a peripatetic teacher working in Newcastle and Middlesbrough. In 1993 she was appointed Coordinator of Hexham and Newcastle Diocesan Centre for the Deaf. Her work in this role included promoting and organising deaf awareness programmes for employees in the Health Service, in Social Services and in various businesses, which involved teaching sign language to the employees. The aim was to enable deaf people to have easier access to these services.

She also set up various projects in schools and clubs involving drama and sports to foster and promote integration between deaf and hearing young people. In 1993 she moved back to the mother house in Stone as Prioress.

In 1995 she was elected Prioress General of the Congregation, and was re-elected for a second term in 2001. During this time she also served on the Council of the Dominican Sisters International. In this capacity, she was involved in setting up a solidarity fund to provide training for Dominican sisters, particularly in indigenous congregations in Africa and AsiaPacific, in a range of fields including leadership, formation, the use of social media and theology. In 2007 she was again appointed as Prioress of the Stone community. At the General Chapter in 2013, she was re-elected as a member of the General Council for a six year term. In 2014 she was appointed as Novice Mistress for the Congregation and is the coordinator of the formation community at Cambridge.

Her hobbies include reading, listening to music, learning new skills in IT and watching various sporting events on television.

Sister Mary John Perks

Appointed 4 August 2019

Sister Mary John (Susan Perks) was born in Stoke on Trent and educated at Harpfields secondary school. She was gifted at art and on leaving school began a three year apprenticeship in pottery. Shortly after this she became interested in the Roman Catholic religion, and began instruction with the parish Priest at Stoke and was received into the church in 1969. She began training as a nurse, and in her spare time would go over to Stone and work voluntarily in the old St Mary’s Home.

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Trustees’ report 31 March 2020

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees (continued)

Sister Mary John Perks (continued)

Sister qualified as a state enrolled nurse in 1967 and worked full time at St Mary’s leaving in order to enter the Congregation in 1972, at Stone. As a Novice Sister, she lived and worked voluntarily at St Christopher’s Hospice, at Sydenham, where she was able to specialise in terminal care, mainly cancer at the world renowned St Christopher’s. After making her first profession, she enrolled as a trainee Registered General Nurse. After qualifying she worked in St Catherine’s Home, Leicester and was eventually appointed Matron. She stayed at St Catherine’s until 2000 when she began working in the NHS as a senior staff nurse specialising in the care of stroke victims. She became a mentor to the newly qualified and assisted the carers in NVQ’s after several years before retiring in 2019.

Sister has been a committed fundraiser, and spent time in Bosnia during the Croat Bosniak War. She is involved with Pets as Therapy and trained her own dog to assist with rehabilitation work for stroke victims. She joined the Local Justice and Peace movement in 2019, and visits asylum seekers and travellers, and is a member of the Diocesan Vocations team. She works actively in the parish assisting the parish priest with administering communion and visiting the sick and is on two Parish Committees, St Peters and The Blessed Sacrament.

She was elected councillor at the 2019 General Chapter.

In her spare time Sister enjoys studying World War history, as well as continuing with art and craft work. She loves nature and all things pertaining to wildlife and she loves outside spaces in which to appreciate the same. She is an avid gardener and likes to work with children to help them reach their potential.

Above all Sister values her prayer life and space.

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Trustees’ report 31 March 2020

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees’ responsibilities statement

The trustees are responsible for preparing the trustees’ report and accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing these accounts, the trustees are required to:

•  select suitable accounting policies and then apply them consistently;

•  observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102);

•  make judgements and estimates that are reasonable and prudent;

•  state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts; and

•  prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, applicable Charity (Accounts and Reports) Regulations and the provisions of the charity’s trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Structure and management reporting

The trustees are ultimately responsible for the policies, activities and assets of the charity. They meet monthly to review developments with regard to the charity or its activities and make any important decisions. When necessary, the trustees seek advice and 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 senior staff.

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Trustees’ report 31 March 2020

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Structure and management reporting (continued)

The Congregation comprises 24 sisters who live as part of four communities situated in the Midlands and South of England. As stated above, each community has a local Prioress elected by the community and ratified by the Prioress General and her Council. The local Prioress is responsible for both the needs and the care of the sisters in her community and she liaises regularly with the Prioress General. Two of the trustees are local Prioresses. All the trustees meet regularly with the Prioresses of the other houses of the Congregation to discuss developments and future plans.

The day-to-day responsibility for St Mary’s Home in Stone lies with the Registered Manager. Management reporting lines within the Home are clearly defined and the Management Board comprises The Manager; The Finance Manager; The Prioress General; The Vice Prioress General; and the Prioress of Stone who meet regularly to discuss any issues that may arise.

The day-to-day responsibility for St Rose’s School (incorporating St Martin’s Centre) is delegated to the Head Teacher and the Leadership Management Team. They are supported by a highly dedicated team of teachers, therapists, carers, domestic and clerical staff and work closely with the Board of Governors. Two of the trustees are also members of the School’s Board of Governors.

Key management personnel

The trustees consider that they, together with the Management Board of the Home and Leadership Management Team of the School comprise the key management of the charity in charge of directing and controlling, running and operating the charity on a day-to-day basis.

All trustees are members of the Congregation and as such their living and personal costs are borne by the charity. However they receive no remuneration of expenses for their services as trustees or members of key management.

With regards to the Home, pay of the Registered Manager and the Finance Manager are reviewed annually by the remaining members of the Management Board (who are all trustees) and is normally increased in accordance with average earnings and also bench-marked with similar roles to ensure that the remuneration set is fair and not out of line with that generally paid.

With regards to the School, the remuneration of key management personnel is set by the Governing Body. Note is taken of market conditions, national and local pay scales and levels of performance. The Principal and Vice Principal have had an annual performance review, where their targets are agreed/reviewed with a panel of two Governors and the Strategic Improvement Partner (appointed by the full Governing Body).

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Trustees’ report 31 March 2020

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Working with other organisations

The charity works closely with a number of other charities and public bodies which work in the fields of education and 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 be provided more efficiently and effectively and avoiding duplication of effort. Examples of the organisations with which the charity has cooperated during the year are as follows:

•  Roman Catholic Dioceses of Birmingham, Clifton, East Anglia, and Nottingham;

•  Care Quality Commission;

•  Gloucestershire County Council;

•  Stoke-on-Trent City Council;

•  Staffordshire County Council.

EMPLOYEES, VOLUNTEERS AND MEMBERS OF THE CONGREGATION

The trustees wish to record their recognition of the professionalism and commitment of all their staff, volunteers and the individual members of the Congregation. Their dedication and positive approach is very much appreciated.

Signed on behalf of the trustees:

Sister Margaret Teresa (MT Billington) Chair of Trustees

Approved by the trustees on: 19/01/2021

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Independent auditor’s report 31 March 2020

Independent auditor’s report to the trustees of The English Dominican Congregation (Stone) Charitable Fund

Opinion

We have audited the accounts of The English Dominican Congregation (Stone) Charitable Fund (the ‘charity’) for the year ended 31 March 2020 which comprise the statement of financial activities, the comparative statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the accounts. 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 accounts:

•  give a true and fair view of the state of the charity’s affairs as at 31 March 2020 and of its income and expenditure 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 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 accounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

•  the trustees’ use of the going concern basis of accounting in the preparation of the accounts is not appropriate; or

•  the trustees have not disclosed in the accounts any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the accounts are authorised for issue.

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Independent auditor’s report 31 March 2020

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts 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 accounts 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 Act 2011 requires us to report to you if, in our opinion:

•  the information given in the trustees’ report is inconsistent in any material respect with the accounts; or

•  sufficient accounting records have not been kept; or

•  the accounts are not in agreement with the accounting records and returns; or

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

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities, the trustees are responsible for the preparation of the accounts 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 accounts that are free from material misstatement, whether due to fraud or error.

In preparing the accounts, 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 accounts

Our objectives are to obtain reasonable assurance about whether the accounts 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.

Auditor’s responsibilities for the audit of the accounts (continued)

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Independent auditor’s report 31 March 2020

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 accounts.

A further description of our responsibilities for the audit of the accounts 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 with 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 and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Buzzacott LLP 28 January 2021 Statutory Auditor 130 Wood Street London EC2V 6DL

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

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Statement of financial activities Year to 31 March 2020

Notes	Unrestricted funds £	Restricted funds £	Endowment funds £	2020 Total funds £	2019 Total funds £
Income from: Donations, grants and legacies 1 Other trading activities Investments and interest receivable 2 Charitable activities 3 Other sources Total income Expenditure on: Raising funds Charitable activities . Support of members of the Congregation and their ministry 4 . Provision of residential and nursing care 5 . Provision of education and care 6 . Grants and donations 7 . Strategic property development 8 Total expenditure Net (expenditure) income before investment gains and losses Net (losses) gains on the revaluation of investments 14 Net (expenditure) income 10 Transfers between funds 19 Net movement in funds Reconciliation of funds Fund balances brought forward at 1 April 2019 Fund balances carried forward at 31 March 2020	455,588 40,638 333,124 4,902,389 31,818	1,599 — — 597,871 —	— — — — —	457,187 40,638 333,124 5,500,260 31,818	547,723 42,546 306,145 5,072,644 30,828
	5,763,557	599,470	—	6,363,027	5,999,886
	2,138 953,005 2,480,794 2,481,427 18,141 167,154	— — — 537,427 4,576 —	— — — — — —	2,138 953,005 2,480,794 3,018,854 22,717 167,154	215 946,955 2,478,567 2,801,885 21,901 274,256
	6,102,659	542,003	—	6,644,662	6,523,779
	(339,102) (512,511)	57,467 —	— —	(281,635) **(512,511) **	(523,893) 306,803
	(851,613) 117,812	57,467 (117,812)	— —	(794,146) —	(217,090) —
	(733,801) 21,934,694	(60,345) 228,633	— 12,830	(794,146) 22,176,157	(217,090) 22,393,247
	21,200,893	168,288	12,830	21,382,011	22,176,157

All recognised gains and losses are included in the above statement of financial activities.

All of the charity’s activities derived from continuing operations during the above two financial years.

A full comparative statement of financial activities is shown on page 40.

The English Dominican Congregation (Stone) Charitable Fund 39

Comparative statement of financial activities Year to 31 March 2019

Notes	Unrestricted funds £	Restricted funds £	Endowment funds £	2019 Total funds £
Income from: Donations, grants and legacies 1 Other trading activities Investments and interest receivable 2 Charitable activities 3 Other sources Total income Expenditure on: Raising funds Charitable activities . Support of members of the Congregation and their ministry 4 . Provision of residential and nursing care 5 . Provision of education and care 6 . Grants and donations 7 . Strategic property development 8 Total expenditure Net (expenditure) income before investment gains and losses Net gains on the revaluation of investments 14 Net (expenditure) income 10 Transfers between funds 19 Net movement in funds Reconciliation of funds Fund balances brought forward at 1 April 2018 Fund balances carried forward at 31 March 2019	499,369 42,546 306,145 4,522,345 30,828	48,354 — — 550,299 —	— — — — —	547,723 42,546 306,145 5,072,644 30,828
	5,401,233	598,653	—	5,999,886
	215 946,955 2,478,567 2,283,767 21,901 274,256	— — — 518,118 — —	— — — — — —	215 946,955 2,478,567 2,801,885 21,901 274,256
	6,005,661	518,118	—	6,523,779
	(604,428) 306,803	80,535 —	— —	(523,893) 306,803
	(297,625) 112,068	80,535 (112,068)	— —	(217,090) —
	(185,557) 22,120,251	(31,533) 260,166	— 12,830	(217,090) 22,393,247
	21,934,694	228,633	12,830	22,176,157

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Balance sheet 31 March 2020

Notes	2020 £	2020 £	2019 £	2019 £
Fixed assets Tangible assets 13 Investments 14 Programme related investments 15 Current assets Stock Debtors 16 Short term deposits Cash at bank and in hand Liabilities Creditors: amounts falling due within one year 17 Net current assets Total net assets The funds of the charity: Capital funds: . Endowment funds 18 Income Funds: . Restricted funds 19 . Unrestricted funds: .. General funds .. Tangible fixed assets fund 20 .. Designated funds 21	3,861 264,954 2,287,346 3,221,969	7,425,422 6,011,830 2,655,936	3,085 548,884 1,789,460 2,498,625	7,580,274 7,524,341 2,678,187
		16,093,188 5,288,823		17,782,802 4,393,355
	5,778,130 (489,307)		4,840,054 (446,699)
		21,382,011		22,176,157
		12,830 168,288 1,959,312 7,425,422 11,816,159		12,830 228,633 2,805,591 7,580,274 11,548,829
		21,382,011		22,176,157

Approved by the trustees and signed on their behalf by:

Sister Margaret Teresa (MT Billington) Chair of Trustees

Approved by the trustees on: 19/01/2021

The English Dominican Congregation (Stone) Charitable Fund 41

Statement of cash flows Year to 31 March 2020

Notes	2020 £	2019 £
Cash flows from operating activities: Net cash used in operating activities A Cash flows from investing activities: Investment income and interest received Repayment of loan by St Dominic’s Priory School Proceeds from the disposal of tangible fixed assets Proceeds from the disposal of investments Purchase of tangible fixed assets Net cash provided by investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at 1 April 2019 B Cash and cash equivalents at 31 March 2020 B	**(20,592) **	(413,897)
	336,936 22,251 5,575 1,000,000 **(122,940) **	306,142 22,251 423,735 — (156,302)
	1,241,822	595,826
	1,221,230 4,288,085	181,929 4,106,156
	5,509,315	4,288,085

Notes to the statement of cash flows for the year to 31 March 2020.

A Reconciliation of net expenditure to net cash used in operating activities

	2020 £	2019 £
Net expenditure (as per the statement of financial activities) Adjustments for: Depreciation charge Losses (gains) on investments Investment income and interest receivable including rent receivable (Gain) loss on disposal of tangible fixed assets Increase in stocks Decrease (increase) in debtors Increase in creditors Net cash used in operating activities	(794,146) 272,947 512,511 (333,124) (730) (776) 280,118 42,608	(217,090) 296,330 (306,803) (306,145) 34,332 (397) (8,442) 94,318
	(20,592)	(413,897)

B Analysis of cash and cash equivalents

Analysis of cash and cash equivalents
	2020 £	2019 £
Cash at bank and in hand Short term deposits (all maturing within three months) Total cash and cash equivalents	3,221,969 2,287,346	2,498,625 1,789,460
	5,509,315	4,288,085

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Principal accounting policies Year to 31 March 2020

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

Basis of preparation

These accounts have been prepared for the year to 31 March 2020 with comparative information provided in respect to the year to 31 March 2019.

The accounts 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 United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The charity constitutes a public benefit entity as defined by FRS 102.

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:

•  The estimates of the useful economic life of tangible fixed assets used to determine the annual depreciation charge;

•  The provision required for any bad or doubtful debts in respect to fees receivable by St Mary’s Home, Stone or St Rose’s School, Stroud. Any such provision has been determined following an assessment of the likelihood of recovery on long-standing debts;

•  Assumptions adopted by the trustees in determining the value of any designations required from the charity’s unrestricted funds, in particular the sisters’ retirement fund; and

•  The estimates of future income and expenditure flows for the purpose of assessing whether the charity is a going concern (see below).

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Principal accounting policies Year to 31 March 2020

Critical accounting estimates and areas of judgement (continued)

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 March 2021, 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).

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 to a period of at least 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.

Since the end of the financial year, the Covid-19 pandemic has changed the shape and nature of the world. It has impacted not only the basic nature of social interactions but has also had a significant economic impact at every level in ways which have been outside of the charity’s control. Therefore, in forming their assessment of going concern, the trustees have considered the impact of the Covid-19 pandemic on the charity’s operations, with a particular focus on its effect on the its financial position including its income, expenditure and reserves, its beneficiaries and its employees.

As most of the members of the Congregation are aged over 70, they have had to adhere to the stringent government advice issued on 23 March. This has meant that their normal apostolic activities have had to find new shape or cease altogether. As a result of the social distancing rules, whilst largely remaining in lockdown, Sisters have tried to find new ways of working and supporting one another and those with whom they work.

It is anticipated that the overall charity’s income will no doubt be affected because of the falls in investment income as a result of the volatility in global stock markets and the wider economic impact of the pandemic. In terms of the expenditure on supporting the sisters and their individual ministry, whilst a small rise in certain daily living expenses may arise due to inflationary pressure, this will be countered by falls in the level of travel and similar costs.

With respect to the Home, the decrease in new admissions and subsequent reduction in the occupancy level is likely to have a detrimental impact financially, as will the increased costs arising from additional PPE requirements. However, the management team has taken a proactive approach to managing staffing levels to reduce staffing costs and it is hoped that this, together with grant funding that has been made available in 2020/21, will to some extent mitigate the financial impact.

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Principal accounting policies Year to 31 March 2020

Assessment of going concern (continued)

With respect to the School, to the end of March 2020, the financial impact was very limited and moving forward it is anticipated that the main income streams will continue to hold up as the government has advised local authorities to continue to pay for all placements – to date, this has happened and the Trustees and Governing Body expect that this will continue to be the case. The School may experience some staffing issues and this may have an impact on the amount of respite care the School can offer – however, it is anticipated that the financial impact of this will be limited. The Trustees and Governors have agreed that the first stage of the Quentin House phase should be started as soon as possible using surplus accumulated funds and the School has instructed the consultants to continue the detailed negotiations with the preferred Contractor with the plan to start work on-site in April in 2021. Work on the other phases of the project will be authorised, as and when the necessary funding is secured.

In light of the above, the trustees 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. They are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due.

Income recognition

Income is recognised in the period in which the charity is entitled to receipt, the amount can be measured with reasonable certainty and receipt of the income is probable.

Income comprises income from donations, grants and legacies; income from other trading activities (principally the hire of St Rose’s School’s facilities); income from fundraising; investment income and bank interest; and income from charitable activities deriving from educational fee income and government grant allocations at St Rose’s School, and fees receivable from the provision of residential and nursing care to the residents of St Mary’s Home.

Donations and grants, including salaries and pensions of individual religious received under Gift Aid or deed of covenant, are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations or grants pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation or grant is subject to conditions that require a level of performance 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 those conditions will be fulfilled in the reporting period.

In accordance with the Charities SORP FRS 102, volunteer time is not recognised.

Legacies are included in the statement of financial activities when the charity is entitled to the legacy, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the charity.

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Principal accounting policies Year to 31 March 2020

Income recognition (continued)

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 to the charity 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, but the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title of the asset having being transferred to the charity.

Income from other trading activities comprises, in the main, charges made for the hire of facilities at St Rose’s School to third parties. It is accounted for on an accruals basis with the income being recognised when due contractually. The income is recognised at the amount due under the contract for hire less any rebates or discounts.

Income from fundraising comprises income raised as a result of local fundraising events held by either St Mary’s Home, Stone or St Rose’s School, Stroud. The income raised is accounted for when received i.e. on the day of the relevant event.

Investment income is recognised once the dividend (or similar) has been declared and the funds are receivable by the charity.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity.

Fees for the provision of education and care comprise agreements with local authorities in respect to specific students aged up to 19 years and funding from the Education Funding Authority (EFA) in respect to the provision for those students aged 19 and over. Such income is recognised when the charity is entitled to receipt under the relevant contractual arrangements and funding agreements. This is usually at the point at which the charity has commenced the provision of educational and care services in respect to the relevant students.

Fees derived from the provision of care to the residents of the care home are recognised as income in the period to which the residency relates and when it is probable that the income will be received.

The value attached to the reversion to the charity of an unencumbered title and beneficiary interest in land and buildings, previously leased to third parties on long lease agreements, is based on the anticipated sale proceeds as at the balance sheet date of the property in question. Such value is deemed to equate to the fair value of the property at that date.

Other miscellaneous income is measured at fair value and accounted for on an accruals basis.

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Principal accounting policies Year to 31 March 2020

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis and includes any attributable VAT which cannot be recovered. All expenses, including support costs, are allocated or apportioned to the applicable expenditure headings. The classification between activities is as follows:

• a. Expenditure on raising funds includes the costs associated with fundraising activities.

• b. Expenditure on charitable activities includes expenditure on the charity’s primary charitable purposes as described in the trustees’ report. Such costs include:

• (i) Expenditure on the support of members of the Congregation and their ministry. Such expenditure enables the members to carry out the work of the charity in the areas of the advancement of the Roman Catholic faith, the provision of residential and nursing care, the advancement of education and the relief of poverty.

• (ii) Expenditure incurred in providing education and care at the charity’s school, St Rose’s School, Stroud.

• (iii) Expenditure incurred in the provision of residential and nursing care facilities for the elderly at St Mary’s Home, Stone.

• (iv) Donations made to other organisations and to individuals. The making of grants and donations is not a central part of the charity’s activities. Donations are made only in cases where the trustees consider there is real need following a review of the details of each particular case. 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 year end.

• (v) Expenditure incurred on the strategic planning for property development i.e. looking at ways in which the trustees might develop a complex of senior living accommodation on the site at Stone, Staffordshire, including the construction of a new care home.

The majority of expenditure can be attributed directly to the above categories. Some staff costs are apportioned between the above categories of expenditure based on the time spent by staff on the relevant area. Governance costs which comprise the costs directly attributable to the governance of the charity, including audit costs and the necessary legal procedures for compliance with statutory requirements are allocated directly to the charitable activities to which they relate.

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Principal accounting policies Year to 31 March 2020

Tangible fixed assets

All assets costing more than £2,000, and with an expected useful life exceeding one year, are capitalised.

•  Non-specialised freehold land and buildings

Non-specialised land and buildings are those designed as, and used wholly or mainly for, private residential accommodation, including residential convents. They are stated in the accounts at cost. Such land and buildings are not depreciated. Their value and condition are reviewed annually by the trustees, who are satisfied that their residual value is not materially less than their book value.

•  Specialised freehold land and buildings

Specialised buildings comprise the Congregation’s care home and school.

Land and buildings comprising a care home and school are stated at cost, or where cost is not available, at deemed cost at the date of transition to Charities SORP FRS 102 based on a trustees’ valuation made in 1994 on the basis of continuing use with no value being attributed to freehold land. Depreciation on the property used by the care home, is provided at 2% per annum on a straight-line basis to write the buildings off over their estimated useful economic life to the charity. The properties used by the School are depreciated at rates between 2% to 5% per annum on a straight line basis.

•  Furniture and equipment

Computer equipment is depreciated at 33.3% per annum, on a straight line basis, in order to write off the cost of each asset over its estimated useful life.

Expenditure on the purchase and replacement of furniture and other equipment is capitalised and depreciated over periods of between five and twenty years, in order to write off the cost of each asset over its estimated useful life.

Certain items of furniture and equipment used by the School are depreciated at rates between 15% to 33% per annum on a reducing basis.

•  Motor vehicles

Motor vehicles are capitalised and depreciated at 25% per annum, on a straight line basis, in order to write off the cost of each vehicle over its estimated useful life.

The motor vehicles used by the School are depreciated at 25% per annum on a reducing basis.

Investments

Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

The charity does not acquire put options, derivatives or other complex financial instruments.

Investments (continued)

Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value where the

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Principal accounting policies Year to 31 March 2020

investment is acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise.

Cash held by the investment manager for re-investment is included as a component of fixed asset investments.

Programme related investments

Programme related investments include buildings owned by the charity but occupied by St Dominic’s Priory School (Stone), an independent day school, for the advancement of education and a loan granted to St Dominic’s Priory School (Stone) for the advancement of education. The buildings are included on the balance sheet based at their carrying value as at the date on which the building was made available to St Dominic’s Priory School (Stone). All investments are carried on the balance sheet net of any impairment provisions. Any gains (or programme related losses) arising from the disposal of such investments are credited (or debited) to the statement of financial activities in the year in which they arise.

Stocks

Stocks of miscellaneous education and other supplies are included on the balance sheet at the lower of cost and net realisable value.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Property awaiting disposal

The value attached to property awaiting disposal at the balance sheet date, and which arises from the reversion to the charity of an unencumbered title and beneficiary interest in land and buildings previously leased to third parties on long lease agreements, is based on the anticipated sale proceeds of the property as at the balance sheet date. Such value is deemed to equate to the fair value of the property at that date.

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Principal accounting policies Year to 31 March 2020

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than 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.

Creditors and provisions

Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

Fund accounting

The general fund comprises those monies which may be used towards meeting the charitable objectives of the charity at the discretion of the trustees.

The tangible fixed assets fund represents the net book value of the charity’s freehold properties and other tangible fixed assets which represent unrestricted funds.

The designated funds are monies set aside out of general funds and designated for specific purposes by the trustees.

The restricted funds comprise assets and monies raised where their use is restricted to a specific purpose or donations subject to donor imposed conditions.

The endowment funds comprise monies which must be held indefinitely as capital. The income therefrom can be used for general purposes and is credited directly to unrestricted funds.

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.

Foreign currencies

Income received and costs incurred overseas are translated into sterling at the rate of exchange in force at the year end. This policy does not comply with FRS 102 Section 30, but has been adopted to avoid over-complexity. The amounts involved are not material.

Pension costs

Contributions made in respect of the charity’s defined contribution scheme are charged to the statement of financial activities in the year in which they are payable to the scheme.

Full-time and part-time teaching staff at St Rose’s School employed under a contract of service are eligible to contribute to the Teachers’ Pension Scheme (TPS). The TPS, a

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Principal accounting policies Year to 31 March 2020

statutory, contributory, final salary scheme is administered by Teachers’ Pensions on behalf of the Department for Education (DfE). As the School is unable to identify its share of the underlying (notional) assets and liabilities of the scheme, it has taken advantage of the exemption within section 28 of FRS 102 and has accounted for its contributions to the scheme as if it were a defined benefit contribution scheme. Contributions to the Scheme are charged to the statement of financial activities as they become payable in accordance with the rules of the Scheme.

Lease commitments

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the statement of financial activities on a straight line basis over the lease term.

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Notes to the accounts 31 March 2020

1 Income from: donations, grants and legacies

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Salaries and pensions of individual religious received under Gift Aid or Deed of Covenant Grants receivable Other donations and legacies Total funds	432,931 — 22,657	— — 1,599	432,931 — 24,256	461,873 5,000 32,496	— 2,710 45,644	461,873 7,710 78,140
	455,588	1,599	457,187	499,369	48,354	547,723

2 Income from: investments and interest receivable

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Income from listed investments . UK managed investment funds . UK equities Income from programme related investments Interest receivable . Bank interest Total funds	218,338 11,891	— —	218,338 11,891	223,728 13,560	— —	223,728 13,560
	230,229 94,025 8,870	— — —	230,229 94,025 8,870	237,288 62,302 6,555	— — —	237,288 62,302 6,555
	333,124	—	333,124	306,145	—	306,145

3 Income from: Charitable activities

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Charges for residential and nursing care services Charges for educational and care services Other grants receivable from the Central and Local Government Total funds	2,480,234 2,422,155 —	— 13,771 584,100	2,480,234 2,435,926 584,100	2,302,654 2,219,691 —	— 14,034 536,265	2,302,654 2,233,725 536,265
	4,902,389	597,871	5,500,260	4,522,345	550,299	5,072,644

Charges for residential and nursing care services represent fees charged in respect to residents at the charity’s residential and nursing care home, St Mary’s Home, Stone. The fees charged are stated net of charitable discounts of £79,029 (2019 - £71,053).

Charges for educational and care services represent the fees and related income of the charity’s school, St Rose’s School, Stroud.

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Notes to the accounts 31 March 2020

4 Expenditure on Charitable activities: Support of members of the Congregation and their ministry

their ministry
	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Premises Staff costs Sisters’ personal expenses Education, training and spiritual renewal Administrative and other expenses Loss on disposal of property Governance costs (note 9) Total funds	306,790 288,758 234,411 49,463 54,383 — 19,200	— — — — — — —	306,790 288,758 234,411 49,463 54,383 — 19,200	324,406 314,350 164,108 50,619 48,487 26,265 18,720	— — — — — — —	324,406 314,350 164,108 50,619 48,487 26,265 18,720
	953,005	—	953,005	946,955	—	946,955

5 Expenditure on charitable activities: Provision of residential and nursing care

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Staff costs – care staff Staff costs – management and administration Premises Provisions Welfare of residents Other expenses Governance costs (note 9) Total funds	1,842,062 152,088 295,240 87,239 30,174 64,871 9,120	— — — — — — —	1,842,062 152,088 295,240 87,239 30,174 64,871 9,120	1,836,215 138,827 301,156 82,549 28,697 82,243 8,880	— — — — — — —	1,836,215 138,827 301,156 82,549 28,697 82,243 8,880
	2,480,794	—	2,480,794	2,478,567	—	2,478,567

6 Expenditure on charitable activities: Provision of education and care

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Staff costs Education supplies and welfare Premises Other expenses Governance costs (note 9) Total funds	1,933,128 138,973 243,314 125,748 40,264	521,365 16,062 — — —	2,454,493 155,035 243,314 125,748 40,264	1,715,980 138,435 277,095 108,067 44,190	506,921 11,197 — — —	2,222,901 149,632 277,095 108,067 44,190
	2,481,427	537,427	3,018,854	2,283,767	518,118	2,801,885

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Notes to the accounts 31 March 2020

7 Expenditure on charitable activities: Grants and donations

Donations and grants payable during the year were as follows:

	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Donations and grants payable to individuals Donations and grants payable to institutions (£1,000 or more) . Dominican Sisters of the Holy Trinity, India . Clare College, Cambridge, UK . The Catholic Trust for England and Wales Donations and grants payable to institutions (less than £1,000) Total funds	11,976 4,975 — — 1,190	— — 4,576 — —	11,976 4,975 4,576 — 1,190	6,772 7,150 — 2,400 5,579	— — — — —	6,772 7,150 — 2,400 5,579
	18,141	4,576	22,717	21,901	—	21,901

During the year, donations and grants were paid to 13 individuals (2019 – 26).

8 Expenditure on: Strategic property development

As noted below under “future plans” within the trustees’ report, the trustees are considering ways in which the charity’s site at Stone, Staffordshire may be developed to provide a complex of senior living accommodation including the construction of a new larger care home on the site and the continued existence of a convent for the Sisters. Plans are in still being considered and various feasibility and other studies have been commissioned. During the year, this work led to professional and related fees in respect to the strategic property development of £167,154 (2019 - £274,256). These costs have been expensed during the year as the work is in connection with various options being considered with a view to reaching Heads of Terms.

• 9 Governance costs

Governance costs
	Unrestricted funds £	Restricted funds £	Total 2020 £	Unrestricted funds £	Restricted funds £	Total 2019 £
Audit and accountancy . Generalate and communities . St Mary’s Home . St Rose’s School Other professional fees . St Rose’s School Total funds	19,200 9,120 13,800 26,464	— — — —	19,200 9,120 13,800 26,464	18,720 8,880 15,800 28,390	— — — —	18,720 8,880 15,800 28,390
	68,584	—	68,584	71,790	—	71,790

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Notes to the accounts 31 March 2020

10 Net (expenditure) income for the year

This is stated after charging:

Staff costs (note 11) Auditor’s remuneration . Statutory audit fees . Non statutory audit fees Depreciation(note 13)	Total 2020 £ 4,737,401 19,200 22,920 272,947	Total 2019 £
		4,512,293 18,720 24,680 296,330

11 Staff costs and remuneration of key management personnel

Staff costs and remuneration of key management personnel
	Total 2020 £	Total 2019 £
Staff costs during the year were as follows: Wages and salaries Social security costs Other pension costs Agency staff Apprenticeship levy Staff costs per function were as follows: Support of members of the Congregation and their ministry Provision of residential and nursing care Provision of education	3,938,918 269,412 140,386	3,700,251 250,171 117,612
	4,348,716 386,865 1,820	4,068,034 444,259 —
	4,737,401	4,512,293
	288,758 1,994,150 2,454,493	314,350 1,975,042 2,222,901
	4,737,401	4,512,293

The number of employees whose remuneration (salaries, wages and benefits in kind) exceeded £60,000 per annum was as follows:

	2020 No.	2019 No.
£60,000 – £70,000	1	1

The average number of employees, analysed by function, was:

Support of members of the Congregation and their ministry Provision of residential and nursing care Provision of education and care	2020 No. 19 102 120 241	2019 No.
		19 96 120
		235

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Notes to the accounts 31 March 2020

11 Staff costs and remuneration of key management personnel (continued)

The key management personnel in charge of directing and controlling, running, and operating the charity on a day-to-day basis comprise the trustees, the Management Board of St Mary’s Home and the Leadership Management Team of St Rose’s School. The total remuneration (including taxable benefits but excluding employer’s pension contributions) of the key management personnel for the year was £378,483 (2019 - £356,460).

No trustee received any remuneration or reimbursement in connection with their duties as trustees or key management personnel during the year (2019 – none). The charity’s trustees are all members of the Congregation and consequently their living and personal expenses, all of which are consistent with the amounts paid in respect to other members of the Congregation, are borne by the charity.

12 Taxation

The English Dominican Congregation (Stone) Charitable Trust is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

13 Tangible fixed assets

Tangible fixed assets
	Non- specialised £	Specialised £	Assets under construction £	Furniture and equipment £	Motor vehicles £ Total £ 172,804 10,745,246 16,035 122,940 (13,270) (108,088) 175,569 10,760,098 175,569 5,904,884 — 4,855,213 175,569 10,760,097 143,796 3,164,972 9,985 272,947 (8,425) (103,243) 145,356 3,334,676 30,213 7,425,422 29,008 7,580,274
Cost or valuation At 1 April 2019 Additions Disposals At 31 March 2020 At cost At deemed cost based on valuation – 1994 Depreciation At 1 April 2019 Charge for year Released on disposal At 31 March 2020 Net book values At 31 March 2020 At 31 March 2019	2,651,525 — —	6,481,823 15,360 —	— 43,589 —	1,439,094 47,956 (94,818)
	2,651,525	6,497,183	43,589	1,392,232
	2,185,424 466,101	2,108,071 4,389,112	43,589 —	1,392,232 —
	2,651,525	6,497,183	43,589	1,392,232
	— — —	2,116,969 138,833 —	— — —	904,207 124,129 (94,818)
	—	2,255,802	—	933,518
	2,651,525	4,241,381	43,589	458,714
	2,651,525	4,364,854	—	534,887

The book value of non-specialised freehold land and buildings is based on cost. The book value of specialised land and buildings comprising a nursing home and school acquired prior to 1 April 1994 is based on a valuation made by the trustees in 1994. Under the transitional arrangements set out in FRS 102, these valuations are, with effect from 1 April 2015, deemed to be their cost. Additions to specialised land and buildings since 1 April 1994 and other tangible fixed assets are stated at historic cost less depreciation.

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Notes to the accounts 31 March 2020

13 Tangible fixed assets (continued)

It is likely that there are material differences between the open market values of the charity’s land and buildings and their book values. These arise from the specialised nature of some properties and the effects of inflation. The amount of such differences cannot be ascertained without incurring significant costs, which, in the opinion of trustees, are not justified in terms of the benefit to the users of the accounts.

At 31 March 2020, the charity had contractual capital commitments totalling £120,000 (excluding VAT) in relation to renovations and refurbishments being undertaken by the school (2019: £nil). In addition, the trustees have approved the first phase of the aforementioned project which is expected to have a contract value of circa £1.2m – contracts are currently being negotiated with the contractors.

14 Investments

Investments
	2020 £	2019 £
Listed investments Market value at 1 April 2019 Disposal proceeds Realised gains Disposals at book value Unrealised (losses) gains on revaluation Market value at 31 March 2020 Cost of listed investments at 31 March 2020	7,524,341	7,217,538
	(1,000,000) 58,942	— —
	(941,058)	—
	(571,453)	306,803
	6,011,830	7,524,341
	4,609,669	5,270,057

All listed investments were dealt in on a recognised stock exchange and comprised UK equities and UK managed funds.

Listed investments held at 31 March 2020 comprised the following:

	2020 £	2019 £
Charifaith Common Investment Fund (Distribution) (see below) BlackRock Catholic Charities Growth and Income Fund (see below) UK equities	— 5,983,556 28,274	7,483,389 — 40,952
	6,011,830	7,542,341

In December 2019, BlackRock ceased to operate the Charifaith Common Investment Fund (CIF) having obtained permission from both the Charity Commission and the FSA to convert it to a Charity Authorised Investment Fund (CAIF). As such in December, the distribution units were transferred from the Charifaith CIF to the BlackRock Catholic Charities Growth and Income Fund to a value equal to the carrying value of the CIF at the date of transfer.

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Notes to the accounts 31 March 2020

15 Programme related investments

At the year end, the charity held investments which were held directly in pursuit of the organisation’s charitable activities, as follows:

	2020 £	2019 £
At 1 April 2019 Repayments At 31 March 2020	2,678,187 (22,251)	2,700,438 (22,251)
	2,655,936	2,678,187

The programme related investments comprise the school property owned by the Congregation but which was made available to St Dominic’s Priory School (Stone), an independent day school, with effect from 25 May 2011 for educational purposes.

In addition, programme related investments include a loan of £111,250 made to the School to assist with the advancement of education. The loan is repayable in full together with any unpaid interest by 15 January 2021. The principal amount of the loan outstanding carries interest at the rate of 2 per cent above the Official Bank Rate as determined by the Monetary Policy Committee of the Bank of England, accruing daily. Interest is payable every four months with effect from 15 September 2011. Capital repayments commenced on 15 May 2016 and are due quarterly from this date. The repayments will comprise fourteen payments of £7,417 and one final payment of £7,412. As at 31 March 2020, £89,004 had been repaid, leaving an outstanding loan balance of £22,247 at that date. At any time the loan may be repaid early without penalty but the School may not re-borrow any amount so repaid.

16 Debtors

Debtors
	2020 £	2019 £
School fees and related charges Residential and nursing care home fees and related charges Investment income and interest receivable Prepayments and accrued income	73,508 119,763 52,121 19,562	169,954 225,419 55,933 97,578
	264,954	548,884

17 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
	2020 £ 117,011 111,620 14,804 79,122 166,675 75 489,307	2019 £
Expense creditors Monies administered by the charity on behalf of individual members of The English Dominican Congregation (Stone) Fees received in advance Social security and other taxes Accruals Other creditors		93,343 111,620 1,373 52,204 188,084 75
		446,699

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Notes to the accounts 31 March 2020

18 Endowment funds

The capital funds of the charity include endowed monies which must be retained indefinitely.

	At 1 April 2019 £	Income £	Expenditure £	At 31 March 2020 £
Sundryendowments	12,830	—	—	12,830
	At 1 April 2018 £	Income £	Expenditure £	At 31 March 2019 £
Sundryendowments	12,830	—	—	12,830

19 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust to be applied for specific purposes:

	1 April 2019 £	Income £	Expenditure £	Transfers £	31 March 2020 £
St Rose’s School fund Cambridge fund Other restricted funds	170,330 57,553 750	599,470 — —	(537,427) (4,576) —	(117,812) — —	114,561 52,977 750
	228,633	599,470	(542,003)	(117,812)	168,288
	1 April 2018 £	Income £	Expenditure £	Transfers £	31 March 2019 £
St Rose’s School fund Cambridge fund Other restricted funds	188,250 71,166 750	598,653 — —	(518,118) — —	(98,455) (13,613) —	170,330 57,553 750
	260,166	598,653	(518,118)	(112,068)	228,633

 St Rose’s School fund

The St Rose’s School fund comprise monies raised and grants received to be spent on specific activities and includes monies received from the Department for Education for the improvement of the school’s standards. The transfer from the restricted fund to unrestricted funds has been made to reflect the fact that the funds have been used to purchase tangible fixed assets in accordance with the terms on which the funding was received.

 Cambridge fund

The Cambridge fund comprised monies used to provide board, lodgings and study facilities in Cambridge for The Dominican Sisters from central and eastern Europe.

 Other restricted funds

Other restricted funds comprised other monies received by the charity which can only be applied in accordance with conditions imposed by the donor.

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Notes to the accounts 31 March 2020

20 Tangible fixed assets fund

Tangible fixed assets fund
	Total 2020 £	Total 2019 £
At 1 April 2019 Net movements in year At 31 March 2020	7,580,274 (154,852)	7,728,731 (148,457)
	7,425,422	7,580,274

The tangible fixed assets fund represented the net book value of the charity’s freehold property and other tangible fixed assets held as part of unrestricted funds. A decision was made to separate this fund from the general funds of the charity in recognition of the fact that the tangible fixed assets are essential to the day-to-day work of the charity and as such their value should not be regarded as funds that would be available in order to meet future contingencies.

21 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

	At 1 April 2019 £	New designations £	Utilised/ released £	At 31 March 2020 £
Sisters’ retirement fund School and residential home fund Programme related investment fund Other funds	5,000,000 3,859,476 2,678,187 11,166	— 289,581 —	— (22,251) —	5,000,000 4,149,057 2,655,936 11,166
	11,548,829	289,581	(22,251)	11,816,159
	At 1 April 2018 £	New designations £	Utilised/ released £	At 31 March 2019 £
Sisters’ retirement fund School and residential home fund Programme related investment fund Other funds	5,000,000 3,765,351 2,700,438 11,166	— 94,125 — —	— — (22,251) —	5,000,000 3,859,476 2,678,187 11,166
	11,476,955	94,125	(22,251)	11,548,829

 Sisters’ retirement fund

This consisted of monies which the trustees have set aside in order to provide for the sisters in their retirement. The amount which can be designated is constrained by the resources available and is less than that indicated as being needed by actuarial calculations.

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Notes to the accounts 31 March 2020

21 Designated funds (continued)

 School and residential home fund

• This fund represented the net current assets and the investments held on unrestricted funds of the charity’s school, St Rose’s School and the net current assets held on unrestricted funds of the residential home, St Mary’s Home. The assets have been designated for use by the respective schools and home only.

 Programme related investment fund

• This fund represented the carrying value of the charity’s programme related investments. The amount has been set aside from the charity’s general funds in recognition of the fact that the assets have been made available to St Dominic’s Priory School (Stone) and therefore cannot be regarded as funds that would be available to meet future contingencies.

• Other funds

• These represented funds designated by the trustees for use in connection with particular projects.

22 Analysis of net assets between funds

Fund balances at 31 March 2020 are represented by:

	General fund £	Tangible fixed assets fund £	Designated funds £	Restricted funds £	Endowment funds £	Total 2020 £
Tangible fixed assets Investments Programme related investments Net current assets 2020 Total net assets	— — — 1,959,312	7,425,422 — — —	— 5,999,000 2,655,936 3,161,223	— — — 168,288	— 12,830 — —	7,425,422 6,011,830 2,655,936 5,288,823
	1,959,312	7,425,422	11,816,159	168,288	12,830	21, 382,011

Fund balances at 31 March 2019 are represented by:

	General fund £	Tangible fixed assets fund £	Designated funds £	Restricted funds £	Endowment funds £	Total 2019 £
Tangible fixed assets Investments Programme related investments Net current assets 2019 Total net assets	— — — 2,805,591	7,580,274 — — —	— 7,511,511 2,678,187 1,359,131	— — — 228,633	— 12,830 — —	7,580,274 7,524,341 2,678,187 4,393,355
	2,805,591	7,580,274	11,548,829	228,633	12,830	22,176,157

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Notes to the accounts 31 March 2020

22 Analysis of net assets between funds (continued)

The total unrealised gains as at 31 March 2020 constitutes movements on the revaluation of listed investments:

	Total 2020 £	Total 2019 £
Unrealised gains included above Total unrealised gains at 31 March 2020 Reconciliation of movements in unrealised gains Total unrealised gains at 1 April 2019 In respect to disposals in the year Net (losses) gains arising on revaluations in the year Total unrealisedgains at 31 March 2020	1,402,161	2,254,284
	2,254,284 (280,670) (571,453)	1,947,481 — 306,803
	1,402,161	2,254,284

23 Pension commitments

Full-time and part-time teaching staff employed at St Rose’s School, Stroud under a contract of service are eligible to contribute to the Teachers’ Pensions Scheme (TPS).

Teachers’ Pensions Scheme (TPS)

Under the definitions set out in section 28 of FRS 102, the TPS is a multi-employer pension scheme. The charity has accounted for its contributions to the Scheme as if it were a defined contribution scheme. The information available on the scheme is set out below.

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers’ Pension Scheme Regulations 2014. Membership is automatic for full-time teachers in academies and, from 1 January 2007, automatic for teachers in part-time employment following appointment or a change of contract, although they are able to opt out.

The TPS is an unfunded scheme and members contribute on a ‘pay as you go’ basis – these contributions along with those made by employers are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament.

Valuation of the Teachers’ Pension Scheme

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to specify the level of future contributions. Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2016. The valuation report was published by the Department for Education on 5 March 2019. The key elements of the valuation and subsequent consultation are:

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Notes to the accounts 31 March 2020

23 Pension commitments (continued)

Teachers’ Pensions Scheme (TPS) (continued)

Valuation of the Teachers’ Pension Scheme (continued)

• employer contribution rates set at 23.68% of pensionable pay (including a 0.08% administration levy);

• total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £218,100 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £196,100 million, giving a notional past service deficit of £22,000 million; and

• the SCAPE rate, set by HMT, is used to determine the notional investment return. The current SCAPE rate is 2.4% above the rate of CPI. The assumed real rate of return is 2.4% in excess of prices and 2% in excess of earnings. The rate of real earnings growth is assumed to be 2.2%. The assumed nominal rate of return including earnings growth is 4.45%.

A copy of the valuation report and supporting documentation is on the Teachers' Pension Scheme website. The next valuation result is due to be implemented from 1 April 2023.

Employer’s contributions paid to the scheme during the year amounted to £55,164 (2019 - £50,974).

National Employment Savings Trust

This is a defined contribution scheme and contributions made by St Rose’s School for its nonteaching staff and St Mary’s Home for its staff amounted to £56,208 (2019: £44,873).

24 Lease commitments

At 31 March 2020, the charity had the following future minimum commitments under noncancellable operating leases as follows:

	2020 £	2019 £
Office equipment . Due within one year . Due between one and five years	682 —	1,514 1,113
	682	2,627

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Notes to the accounts 31 March 2020

25 Related party transactions

As members of the Congregation, none of the trustees have resources of their own as all earnings, pensions and other income have been donated to the charity under a Deed of Covenant. During the year, the total amount donated by the trustees to the charity was £111,775 (2019 - £95,767).

During the year ended 31 March 2019, a grant of £2,500 was made towards the care cost of a relative of one of the charity’s trustees. The grant was discussed and approved without the trustee who was conflicted having any part in the process. There were no similar transactions for the year ended 31 March 2020.

There were no other related party transactions during the year (2019 – none).

26 Ultimate control

The charity, which is constituted as a trust, was controlled throughout the period by the English Dominican Congregation of Sisters by virtue of the fact that the Prioress General appoints the trustees. The Congregation does not hold any assets, incur liabilities or enter into any transactions in its own right. Assets and liabilities of the Congregation are vested in the trustees of the charity, who undertake all transactions entered into in the course of the Congregation’s charitable activities.

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