COMPANY REGISTRATION NUMBER: 01302478 CHARITY REGISTRATION NUMBER: 0273424
The Warrington Homes Limited Company Limited by Guarantee Financial Statements
31 October 2020
HAINES WATTS
Chartered accountants & statutory auditor Old Station House Station Approach Newport Street Swindon Wiltshire SN1 3DU
The Warrington Homes Limited
Company Limited by Guarantee
Financial Statements
Year ended 31 October 2020
| Page | |
|---|---|
| Trustees' annual report (incorporating the director's report) | 1 |
| Independent auditor's report to the members | 6 |
| Statement of financial activities (including income and | |
| expenditure account) | 10 |
| Statement of financial position | 11 |
| Statement of cash flows | 12 |
| Notes to the financial statements | 13 |
| The following pages do not form part of the financial statements | |
| Detailed statement of financial activities | 23 |
| Notes to the detailed statement of financial activities | 24 |
The Warrington Homes Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report)
Year ended 31 October 2020
The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 October 2020.
Report of the Chairman
The trustees are to continue undertaking the development of the Claremont and Warrington Lodge establishments to provide enhanced care facilities.
Reference and administrative details
Registered charity name The Warrington Homes Limited Charity registration number 0273424 Company registration number 01302478 Principal office and registered The Warrington Homes Limited office Claremont Gastard Road Corsham Wiltshire SN13 9PD
The trustees
Mr J M Chatwin (Chairman) Mrs G Stafford Dr R C F Drummond (Retired 3 September 2020) Mrs K V H Hoffman Dr N J R Davis Ms C Reid Mr M N Canty Mr P Sexton Dr S J Burrell
Company secretary Mr R Mauldon (Homes Director) Auditor Haines Watts Chartered accountants & statutory auditor Old Station House Station Approach Newport Street Swindon Wiltshire SN1 3DU
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The Warrington Homes Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 October 2020
Structure, governance and management
The trustees meet regularly or are advised on and able to discuss and determine overall policy and capital expenditure decisions. The day to day operation of the establishments provided by the charitable company is the responsibility of the homes director (Mr R Mauldon) and the individual registered manager. The manager reports to the homes director who reports directly to the trustees. The remuneration of those responsible for the day to day operation of the charitable company is set by reference to market rates. Smaller working groups which report directly to the trustees and may utilise the services of an independent expert are formed as necessary.
Trustees
The responsibility for the recruitment and appointment of new trustees is delegated by the members to the existing trustees. The appointment of new trustees, their induction and the training provided, is on the basis of being deemed necessary to enable such an appointed person to be able to fulfil their role.
Objectives and activities
The main objectives and activities of the charitable company continue to be the provision and maintenance of housing accommodation and any associated amenities for the benefit of elderly persons, the elderly mentally infirm and the care of such persons resident at homes or establishments provided by the charitable company.
We review our aims, objectives and activities each year. This review looks at what we achieved and the outcomes of our work in the previous 12 months. The review looks at the success of each key activity and the benefits they have brought to those groups of people we are set up to help.
We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.
Our short term aim is to ensure we generate sufficient funds to maintain the best possible care for our residents and meet the day to day running costs of the business.
Our long term objectives include:
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Maintaining and improving both homes to ensure they meet or exceed current and anticipated future standards and to expand the facilities at the site.
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Ensuring the wellbeing of the staff is kept to a high standard.
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Being mindful of the environment by investing in more environmentally friendly technology and reducing wastage at both homes.
Bursaries
In fulfilment of the charitable objects of the company bursaries were granted during the year, to residents in necessitous circumstances totalling £60,275 (2019 - £97,887)
Achievements and performance
During the year the charity maintained a high level of occupancy and due to a proactive approach to the Covid-19 pandemic there were no Covid-19 infections amongst the residents.
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The Warrington Homes Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 October 2020
Financial review
The net surplus for the year amounted to £480,798 (2019 - £389,208). The trustees recommend that this be transferred to the general fund.
Principle Risks and Uncertainties
The trustees have reviewed the risks associated with the charitable company. They have concluded that all material risks have been addressed and that all practicable steps have been taken to minimise the effects of those risks.
The key risks and uncertainties are regarded as compliance with legislation relevant to the company and the occupancy of sufficient rooms to ensure fixed costs are fully covered. Indications are that this risk has reduced in the year as, following completion of the refurbishment at Claremont, occupancy rates have improved.
Impairment Review
The trustees have reviewed the values at which the fixed assets are included in the accounts. They have no reason to believe the assets not to be worth their current value in the accounts.
Land and buildings
The premises from which the company operates is included at historic cost. The last formal valuation was carried out on 16 February 2016. The market valuation was £2,030,000 for the Claremont site and £1,550,000 for the Warrington Lodge site on the basis of the charitable company continuing as a going concern.
Replacement and Renewal of Equipment
During the year both homes continued to replace and renew old equipment, the expenses of which have been charged to the Income and Expenditure account in full.
Reserves
The trustees' policy is to produce sufficient surplus of unrestricted funds each year to adequately maintain and replace its fixed assets and to improve continually the facilities provided to its residents. At the year end reserves amounted to £4,844,983 (2019 - £4,364,185). This is represented by £4,824,228 of unrestricted reserves and £20,755 of restricted reserves.
Free reserves at the year end (unrestricted reserves not represented by fixed assets) amounted to £2,348,877 (2019 - £1,848,614)
In addition to an ongoing review of improvements to the facilities within the existing buildings, consideration is currently being given to the building of a further dementia unit on land forming part of or adjacent to the existing site.
Future Plans
The charitable company is committed to the ongoing improvement of facilities used by residents.
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The Warrington Homes Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 October 2020
Trustees' responsibilities statement
The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.
In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the applicable Charities SORP;
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make judgments and accounting estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
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 financial statements comply with the Companies Act 2006. 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.
Auditor
Each of the persons who is a trustee at the date of approval of this report confirms that:
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so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
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they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.
The Auditors, Haines Watts, Chartered Accountants, will be proposed for re-appointment in accordance with Section 487(2) of the Companies Act 2006.
Small company provisions
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
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The Warrington Homes Limited
Company Limited by Guarantee
Trustees' Annual Report (Incorporating the Director's Report) (continued)
Year ended 31 October 2020
The trustees' annual report was approved on 4 March 2021 and signed on behalf of the board of trustees by:
Mr R Mauldon (Homes Director) Charity Secretary
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The Warrington Homes Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of The Warrington Homes Limited
Year ended 31 October 2020
Opinion
We have audited the financial statements of The Warrington Homes Limited (the 'charity') for the year ended 31 October 2020 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the charity's affairs as at 31 October 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;
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have been prepared in accordance with the requirements of the Companies Act 2006.
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 financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
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:
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the trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
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the trustees have not disclosed in the financial statements 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 financial statements are authorised for issue.
However, not all future events or conditions can be predicted. The COVID-19 viral pandemic is one of the most significant economic events for the UK with unprecedented levels of uncertainty of outcomes. It is therefore difficult to evaluate all of the potential implications on the charity's operations, income, suppliers and wider economy.
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The Warrington Homes Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of The Warrington Homes
Limited (continued)
Year ended 31 October 2020
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the trustees' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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the trustees' report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees' remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit; or
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the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the directors' report and from the requirement to prepare a strategic report.
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The Warrington Homes Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of The Warrington Homes
Limited (continued)
Year ended 31 October 2020
Responsibilities of trustees
As explained more fully in the trustees' responsibilities statement, the trustees (who are also the directors for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
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Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
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Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.
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Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
· Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.
- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
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The Warrington Homes Limited
Company Limited by Guarantee
Independent Auditor's Report to the Members of The Warrington Homes
Limited (continued)
Year ended 31 October 2020
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Use of our report
This report is made solely to the charity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's members 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 members as a body, for our audit work, for this report, or for the opinions we have formed.
Susan Plumb ACA (Senior Statutory Auditor)
For and on behalf of Haines Watts Chartered Accountant & Statutory Auditor Old Station House Station Approach Newport Street Swindon Wiltshire SN1 3DU 19 April 2021
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The Warrington Homes Limited
Company Limited by Guarantee
Statement of Financial Activities (including income and expenditure account)
Year ended 31 October 2020
| 2020 | 2019 | ||||
|---|---|---|---|---|---|
| Unrestricted | Restricted | ||||
| funds | funds | Total funds | Total funds | ||
| Note | £ | £ | £ | £ | |
| Income and endowments | |||||
| Charitable activities | 5 | 2,252,725 | – | 2,252,725 | 2,235,026 |
| Investment income | 6 | 1,282 | – | 1,282 | 2,524 |
| Other income | 7 | 20,549 | 64,548 | 85,097 | – |
| ----------------------------------------- | ---------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Total income | 2,274,556 | 64,548 | 2,339,104 | 2,237,550 | |
| ========================================= | ============================ | ========================================= | ========================================= | ||
| Expenditure | |||||
| Expenditure on charitable activities | 8 | 1,810,055 | 43,793 | 1,853,848 | 1,885,285 |
| ----------------------------------------- | ---------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Total expenditure | 1,810,055 | 43,793 | 1,853,848 | 1,885,285 | |
| ========================================= | ============================ | ========================================= | ========================================= | ||
| Net (losses)/gains on investments | 9 | 4,458 | – | 4,458 | (36,943) |
| ----------------------------------------- | ---------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Net income and net movement in | funds | 460,043 | 20,755 | 480,798 | 389,208 |
| ========================================= | ============================ | ========================================= | ========================================= | ||
| Reconciliation of funds | |||||
| Total funds brought forward | 4,364,185 | – | 4,364,185 | 3,974,977 | |
| ----------------------------------------- | ---------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Total funds carried forward | 4,824,228 | 20,755 | 4,844,983 | 4,364,185 | |
| ========================================= | ============================ | ========================================= | ========================================= |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 13 to 21 form part of these financial statements.
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The Warrington Homes Limited
Company Limited by Guarantee
Statement of Financial Position
31 October 2020
| 2020 | 2019 | ||||
|---|---|---|---|---|---|
| Note | £ | £ | £ | £ | |
| Fixed assets | |||||
| Tangible fixed assets | 14 | 2,475,351 | 2,515,571 | ||
| Investments | 15 | 713,828 | 718,286 | ||
| ----------------------------------------- | ----------------------------------------- | ||||
| 3,189,179 | 3,233,857 | ||||
| Current assets | |||||
| Debtors | 16 | 7,765 | 3,592 | ||
| Cash at bank and in hand | 1,687,326 | 1,177,975 | |||
| ----------------------------------------- | ----------------------------------------- | ||||
| 1,695,091 | 1,181,567 | ||||
| Creditors: amounts falling due | |||||
| within one year | 17 | 39,287 | 51,239 | ||
| ----------------------------------------- | ----------------------------------------- | ||||
| Net current assets | 1,655,804 | 1,130,328 | |||
| ----------------------------------------- | ----------------------------------------- | ||||
| Total assets less current liabilities | 4,844,983 | 4,364,185 | |||
| ----------------------------------------- | ----------------------------------------- | ||||
| Net assets | 4,844,983 | 4,364,185 | |||
| ========================================= | ========================================= | ||||
| Funds of the charity | |||||
| Restricted funds | 20,755 | – | |||
| Unrestricted funds | 4,824,228 | 4,364,185 | |||
| ----------------------------------------- | ----------------------------------------- | ||||
| Total charity funds | 19 | 4,844,983 | 4,364,185 | ||
| ========================================= | ========================================= |
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime.
These financial statements were approved by the board of trustees and authorised for issue on 4 March 2021 and are signed on behalf of the board by:
Mr J M Chatwin (Chairman) Trustee
The notes on pages 13 to 21 form part of these financial statements.
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The Warrington Homes Limited
Company Limited by Guarantee
Statement of Cash Flows
Year ended 31 October 2020
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Cash flows from operating activities | ||
| Net income | 480,798 | 389,208 |
| Adjustments for: | ||
| Depreciation of tangible fixed assets | 40,220 | 48,933 |
| Net (losses)/gains on investments | (4,458) | 36,943 |
| Other interest receivable and similar income | (1,282) | (2,524) |
| Accrued (income)/expenses | (1,997) | 1,689 |
| Changes in: | ||
| Trade and other debtors | (4,173) | 2,593 |
| Trade and other creditors | (9,955) | 3,617 |
| -------------------------------- | -------------------------------- | |
| Cash generated from operations | 508,069 | 406,573 |
| Interest received | 1,282 | 2,524 |
| -------------------------------- | -------------------------------- | |
| Net cash from operating activities | 509,351 | 409,097 |
| ================================ | ================================ | |
| Net increase in cash and cash equivalents | 509,351 | 409,097 |
| Cash and cash equivalents at beginning of year | 1,177,975 | 768,878 |
| ----------------------------------------- | ----------------------------------------- | |
| Cash and cash equivalents at end of year | 1,687,326 | 1,177,975 |
| ========================================= | ========================================= |
The notes on pages 13 to 21 form part of these financial statements.
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements
Year ended 31 October 2020
1. General information
The charity is a public benefit entity and a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales. The address of the registered office is The Warrington Homes Limited, Claremont, Gastard Road, Corsham, Wiltshire, SN13 9PD.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Charities SORP (FRS 102)) and the Companies Act 2006.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Going concern
There are no material uncertainties about the charity's ability to continue.
Fund accounting
Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.
Designated funds are unrestricted funds earmarked by the trustees for particular future project or commitment. The Charitable Company currently has no designated funds.
Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal, and fall into one of two sub-classes: restricted income funds or endowment funds.
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
3. Accounting policies (continued)
Incoming resources
All incoming resources are included in the statement of financial activities when entitlement has passed to the charity; it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income:
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income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable and its amount can be measured reliably.
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legacy income is recognised when receipt is probable and entitlement is established.
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income from donated goods is measured at the fair value of the goods unless this is impractical to measure reliably, in which case the value is derived from the cost to the donor or the estimated resale value. Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.
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income from contracts for the supply of services is recognised with the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.
Resources expended
Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any VAT which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:
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expenditure on raising funds includes the costs of all fundraising activities, events, noncharitable trading activities, and the sale of donated goods.
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expenditure on charitable activities includes all costs incurred by a charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.
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other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.
All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
3. Accounting policies (continued)
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Warrington Lodge - 1% per annum - straight line Claremont - 1% per annum - straight line Furniture, Fittings & - 8 year - straight line Equipment
Debtors and Creditors
Debtors and Creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
Employee benefits
When employees have rendered service to the charity, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service. The charity operates a defined contribution plan for the benefit of its employees. Contributions are expensed as they become payable.
Investments
Unlisted equity investments are initially recorded at cost, and subsequently measured at fair value. If fair value cannot be reliably measured, assets are measured at cost less impairment.
Listed investments are measured at fair value with changes in fair value being recognised in income or expenditure.
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
4. Limited by guarantee
The Charity is a company limited by guarantee. In the event of the charity being wound up, the members are liable under the guarantee subject to a limit of £1 per member.
5. Charitable activities
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Residents Rents Chargeable | 2,313,000 | 2,332,913 |
| Less: Burseries | (60,275) | (97,887) |
| ----------------------------------------- | ----------------------------------------- | |
| Total Income from charitable activities | 2,252,725 | 2,235,026 |
6. Investment income
| Unrestricted | Total Funds | Unrestricted | Total Funds | |
|---|---|---|---|---|
| Funds | 2020 | Funds | 2019 | |
| £ | £ | £ | £ | |
| Other interest receivable | 1,282 | 1,282 | 2,524 | 2,524 |
| ======================= | ======================= | ======================= | ======================= | |
| Other income | ||||
| Unrestricted | Restricted | Total Funds | ||
| Funds | Funds | 2020 | ||
| £ | £ | £ | ||
| Grants received (Coronavirus) | – | 64,548 | 64,548 | |
| Furlough income received | 20,549 | – | 20,549 | |
| ---------------------------- | ---------------------------- | ---------------------------- | ||
| 20,549 | 64,548 | 85,097 | ||
| ============================ | ============================ | ============================ |
7. Other income
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
8. Expenditure on charitable activities
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Staff Costs | 1,372,516 | 1,402,397 |
| Other Direct Charitable Expenses | 269,773 | 258,250 |
| Administration & Office Costs | 34,466 | 39,938 |
| Depreciation | 40,220 | 48,933 |
| Governance Costs (as detailed below) | 10,578 | 12,599 |
| ----------------------------------------- | ----------------------------------------- | |
| Total costs of charitable activities | 1,727,553 | 1,762,117 |
| ========================================= | ========================================= | |
| Governance Costs | ||
| 2020 | 2019 | |
| £ | £ | |
| Sundries | 2,049 | 4,200 |
| Bank Charges | 689 | 579 |
| Audit Fee | 2,670 | 2,660 |
| Fees paid for other services to an entity associated with the | ||
| Auditors | 5,170 | 5,160 |
| ---------------------------- | ---------------------------- | |
| Total Governance Costs | 10,578 | 12,599 |
| ============================ | ============================ |
Governance Costs
| 9. | Net (losses)/gains on investments | ||||
|---|---|---|---|---|---|
| Unrestricted | Total Funds | Unrestricted | Total Funds | ||
| Funds | 2020 | Funds | 2019 | ||
| £ | £ | £ | £ | ||
| Gains/(losses) on other investment | |||||
| assets | (4,458) | (4,458) |
36,943 | 36,943 | |
| ======================= | ======================= | ============================ | ============================ | ||
| 10. | Net income | ||||
| Net income is stated after charging/(crediting): | |||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Depreciation of tangible fixed assets | 40,220 | 48,933 | |||
| ============================ | ============================ | ||||
| 11. | Auditors remuneration | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Fees payable for the audit of the financial statements | 2,670 | 2,660 | |||
| ======================= | ======================= |
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The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
12. Staff costs
The total staff costs and employee benefits for the reporting period are analysed as follows:
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Wages and salaries | 1,372,516 | 1,402,397 |
| Social security costs | 94,687 | 92,665 |
| Employer contributions to pension plans | 31,552 | 30,503 |
| ----------------------------------------- | ----------------------------------------- | |
| 1,498,755 | 1,525,565 | |
| ========================================= | ========================================= |
The charitable company operates a contributory pension scheme. It is a defined contribution scheme and contributions are charged in the statement of financial activities as they accrue. The charge for the year was £31,552 (2019 - £30,503) which includes £8,448 (2019 - £8,228) paid in respect of employees earning more than £60,000.
The average head count of employees during the year was 94 (2019: 97). The average number of full-time equivalent employees during the year is analysed as follows:
| 2020 | 2019 | |
|---|---|---|
| No. | No. | |
| Number of staff - Claremont | 46 | 42 |
| Number of staff - Warrington Lodge | 31 | 33 |
| -------------- | -------------- | |
| 77 | 75 | |
| ============== | ============== |
| The number of employees whose remuneration for the year fell within the following | The number of employees whose remuneration for the year fell within the following | bands, were: |
|---|---|---|
| 2020 | 2019 | |
| No. | No. | |
| £80,000 to £89,999 | – | 1 |
| £90,000 to £99,999 | 1 | – |
| -------------- | -------------- | |
| 1 | 1 | |
| ============== | ============== |
The total amount of remuneration received by key management personnel is £175,371 (2019: £219,187). The charity considers its key management personnel to be the Homes Director and Registered Manager.
13. Trustee remuneration and expenses
No amounts were paid directly to or by way of non monetary benefits to trustees including reimbursed expenses and pension contributions on their behalf.
- 18 -
The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
14. Tangible fixed assets
| Furniture, | |||||
|---|---|---|---|---|---|
| Warrington | Fittings & | ||||
| Lodge | Claremont | Equipment | Total | ||
| £ | £ | £ | £ | ||
| Cost | |||||
| At 1 November 2019 and | |||||
| 31 October 2020 | 1,554,178 | 1,078,273 | 180,868 | 2,813,319 | |
| ========================================= | ========================================= | ================================ | ========================================= | ||
| Depreciation | |||||
| At 1 November 2019 | 77,710 | 53,067 | 166,971 | 297,748 | |
| Charge for the year | 15,542 | 10,783 | 13,897 | 40,220 | |
| ----------------------------------------- | ----------------------------------------- | -------------------------------- | ----------------------------------------- | ||
| At 31 October 2020 | 93,252 | 63,850 | 180,868 | 337,968 | |
| ========================================= | ========================================= | ================================ | ========================================= | ||
| Carrying amount | |||||
| At 31 October 2020 | 1,460,926 | 1,014,423 | - | 2,475,351 | |
| ========================================= | ========================================= | ================================ | ========================================= | ||
| At 31 October 2019 | 1,476,468 | 1,025,206 | 13,897 | 2,515,571 | |
| ========================================= | ========================================= | ================================ | ========================================= | ||
| 15. | Investments | ||||
| CAF | |||||
| investment | |||||
| fund | |||||
| £ | |||||
| Cost or valuation | |||||
| At 1 November 2019 | 718,286 | ||||
| Capital depreciation | (4,458) | ||||
| -------------------------------- | |||||
| At 31 October 2020 | 713,828 | ||||
| ================================ | |||||
| Carrying amount | |||||
| At 31 October 2020 | 713,828 | ||||
| ================================ | |||||
| At 31 October 2019 | 718,286 | ||||
| ================================ | |||||
| All investments shown above are held at valuation. | |||||
| 16. | Debtors | ||||
| 2020 | 2019 | ||||
| £ | £ | ||||
| Trade debtors | 7,765 | 3,592 | |||
| ======================= | ======================= |
- 19 -
The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
17. Creditors: amounts falling due within one year
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Trade creditors | 9,792 | 10,759 |
| Accruals | 18,707 | 20,704 |
| Other creditors | 10,788 | 19,776 |
| ---------------------------- | ---------------------------- | |
| 39,287 | 51,239 | |
| ============================ | ============================ |
18. Analysis of charitable funds
Unrestricted funds
| Unrestricted funds | |||||
|---|---|---|---|---|---|
| At | At | ||||
| 1 November | Gains and | 31 October | |||
| 2019 | Income | Expenditure | losses | 2020 | |
| £ | £ | £ | £ | £ | |
| General funds | 4,364,185 | 2,274,556 | (1,810,055) | (4,458) | 4,824,228 |
| ========================================= | ========================================= | ========================================= | ======================= | ========================================= | |
| At | At | ||||
| 1 November | Gains and | 31 October | |||
| 2018 | Income | Expenditure | losses | 2019 | |
| £ | £ | £ | £ | £ | |
| General funds | 3,974,977 | 2,237,550 | (1,885,285) | 36,943 | 4,364,185 |
| ========================================= | ========================================= | ========================================= | ============================ | ========================================= | |
| Restricted funds | |||||
| At | At | ||||
| 1 November | Gains and | 31 October | |||
| 2019 | Income | Expenditure | losses | 2020 | |
| £ | £ | £ | £ | £ | |
| Grants received | |||||
| (Coronavirus) | – | 64,548 | (43,793) | – | 20,755 |
| ============== | ============================ | ============================ | ============== | ============================ |
The restricted fund is a grant from Wiltshire Council to be specifically used on infection control expenditure.
- 20 -
The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Financial Statements (continued)
Year ended 31 October 2020
19. Analysis of net assets between funds
| Unrestricted | Restricted | Total Funds | Total Funds | |
|---|---|---|---|---|
| Funds | Funds | 2020 | ||
| £ | £ | £ | ||
| Tangible fixed assets | 2,475,351 | - | 2,475,351 | |
| Investments | 713,828 | - | 713,828 | |
| Cash at Bank & In Hand | 1,666,571 | 20,755 | 1,687,326 | |
| Current assets | 7,765 | - | 7,765 | |
| Creditors less than 1 year | (39,287) | - | (39,287) | |
| ----------------------------------------- | ----------------------------------------- | ----------------------------------------- | ||
| Net assets | 4,824,228 | 20,755 | 4,844,983 | |
| ========================================= | ========================================= | ========================================= | ||
| Unrestricted | Total Funds | |||
| Funds | 2019 | |||
| £ | £ | |||
| Tangible fixed assets | 2,515,571 | 2,515,571 | ||
| Investments | 718,286 | 718,286 | ||
| Cash at Bank & In Hand | 1,177,975 | 1,177,975 | ||
| Current assets | 3,592 | 3,592 | ||
| Creditors less than 1 year | (51,239) | (51,239) | ||
| ----------------------------------------- | ----------------------------------------- | |||
| Net assets | 4,364,185 | 4,364,185 |
20. Transactions with trustees
There have been no material transactions during the year or preceding year with a trustee of the charitable company or person connected to a trustee of the charitable company which require disclosure under the statement of recommended practice accounting by charities, or under the provisions of the Financial Reporting Standards.
- 21 -
The Warrington Homes Limited
Company Limited by Guarantee
Management Information
Year ended 31 October 2020
The following pages do not form part of the financial statements.
- 22 -
The Warrington Homes Limited
Company Limited by Guarantee
Detailed Statement of Financial Activities
Year ended 31 October 2020
| 2020 | 2019 | |
|---|---|---|
| £ | £ | |
| Income and endowments | ||
| Charitable activities | ||
| Residents Rents Chargeable | 2,313,000 | 2,332,913 |
| Less: Bursaries | (60,275) | (97,887) |
| ----------------------------------------- | ----------------------------------------- | |
| 2,252,725 | 2,235,026 | |
| ----------------------------------------- | ----------------------------------------- | |
| Investment income | ||
| Other interest receivable | 1,282 | 2,524 |
| ----------------------- | ----------------------- | |
| Other income | ||
| Grants received (Coronavirus) | 64,548 | – |
| Furlough income received | 20,549 | – |
| ---------------------------- | -------------- | |
| 85,097 | – | |
| ---------------------------- | -------------- | |
| ----------------------------------------- | ----------------------------------------- | |
| Total income | 2,339,104 | 2,237,550 |
| ========================================= | ========================================= | |
| Expenditure | ||
| Expenditure on charitable activities | ||
| Wages and salaries | 1,372,516 | 1,402,397 |
| Employer's NIC | 94,687 | 92,665 |
| Pension costs | 31,552 | 30,503 |
| Other establishment | 269,773 | 258,250 |
| Legal and professional fees | 7,840 | 7,820 |
| Telephone | 34,522 | 39,938 |
| Depreciation | 40,220 | 48,933 |
| Sundries | 2,049 | 4,200 |
| Bank charges | 689 | 579 |
| ----------------------------------------- | ----------------------------------------- | |
| 1,853,848 | 1,885,285 | |
| ----------------------------------------- | ----------------------------------------- | |
| ----------------------------------------- | ----------------------------------------- | |
| Total expenditure | 1,853,848 | 1,885,285 |
| ========================================= | ========================================= | |
| Net (losses)/gains on investments | ||
| Gains/(losses) on other investment assets | (4,458) | 36,943 |
| ----------------------------------------- | ----------------------------------------- | |
| -------------------------------- | -------------------------------- | |
| Net income | 480,798 | 389,208 |
| ================================ | ================================ |
- 23 -
The Warrington Homes Limited
Company Limited by Guarantee
Notes to the Detailed Statement of Financial Activities
Year ended 31 October 2020
| Year ended 31 October 2020 | ||
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Expenditure on charitable activities | ||
| Activities undertaken directly | ||
| Staff costs | 1,372,516 | 1,402,397 |
| Employers NIC | 94,687 | 92,665 |
| Pension costs | 31,552 | 30,503 |
| Direct charitable activity | 269,773 | 258,250 |
| Administration & Office Costs | 56 | – |
| ----------------------------------------- | ----------------------------------------- | |
| 1,768,584 | 1,783,815 | |
| ----------------------------------------- | ----------------------------------------- | |
| Support costs | ||
| Administration & Office costs | 34,466 | 39,938 |
| Depreciation | 40,220 | 48,933 |
| ---------------------------- | ---------------------------- | |
| 74,686 | 88,871 | |
| ---------------------------- | ---------------------------- | |
| Governance costs | ||
| Fees paid for other services to an entity associated with the Auditors | 5,170 | 5,160 |
| Audit fees | 2,670 | 2,660 |
| Sundries | 2,049 | 4,200 |
| Bank Charges | 689 | 579 |
| ---------------------------- | ---------------------------- | |
| 10,578 | 12,599 | |
| ---------------------------- | ---------------------------- | |
| ----------------------------------------- | ----------------------------------------- | |
| Expenditure on charitable activities | 1,853,848 | 1,885,285 |
| ========================================= | ========================================= |
- 24 -