**Charity Registration No. 275415**
**RSPCA - MILTON KEYNES AND NORTH BUCKS ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020**
## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Mr J Kelly|
|---|---|
||J Ammon|
||S Jessop|
||C Spindler|
||G Scott|
||A Paton|
||J Trilsbach|
||S Parker|
|**Secretary**|G Scott|
|**Charity number**|275415|
|**Principal address**|60 Woburn Road|
||Heath and Reach|
||Leighton Buzzard|
||LU7 0AR|
|**Independent examiner**|Simon Gill FCCA|
||Moorgate House|
||201 Silbury Boulevard|
||Milton Keynes|
||MK9 1LZ|
**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' Annual report|1 - 7|
|Independent examiner's report|8|
|Statement of financial activities|9|
|Statement of financial position|10|
|Notes to the financial statements|11 - 19|
## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The Trustees present their report and financial statements for the year ended 31 December 2020.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Charity's governing document (the RSPCA Branch Rules), 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 UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016).
## **Objectives and activities**
The Charity's objects are the sale of donated goods and other fundraising activities to raise funds for the benefit of animal welfare, neutering and rehoming.
The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake.
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **Chairperson’s Statement**
The events seen in the UK last year have been unlike any ever seen in the history of the branch. The global pandemic caused by Coronavirus has impacted the branch, our staff, volunteers and trustees in many ways, fundamentally changing and limiting many of the activities we would normally undertake. However, throughout these challenges the team has remained committed to the branch and ensuring we are able to continue to meet our core purpose and help as many animals in need of rescue, rehabilitation and rehoming as possible. Whilst overall the number of animals entering the branch through the year is lower than seen in previous years, the branch has continued to operate key welfare activities throughout the pandemic, with 60% of our intake being attributed to direct animal welfare work in the local area. Where restrictions have allowed, rehoming has continued with unprecedented demand and a high success rate with staff, volunteers and trustees finding new ways to overcome the challenges the various restrictions have introduced. Further to this, previous investments in modernising the branches operations have greatly enabled the continuation of our operations.
Alongside of our animal welfare work, branch financial stability has been a key focus through the year. Investment in the branch has been primarily limited to ensuring our premises have been able to operate in a safe way for our staff, volunteers and the public, allowing the branch shops to operate inline with government guidance. Where opening our shops and undertaking traditional fundraising activities have been restricted, staff and volunteers again found ways to try and generate income for the branch, moving more sales to eBay and establishing relationships with Amazon locally who have supported the branch by donating damaged and returned pet supplies. As a result of these focused activities and with the additional support provided by various government schemes to assist businesses through the pandemic, the branch has ended the year in a stable financial position.
We continue to engage with the public through our website and Facebook page, providing education of key welfare topics and promoting wider animal welfare informational events alongside promoting branch activities including rehoming. The local media has also continued to support by featuring the branch’s animals, good news stories and appeals.
Our aims for 2021 are to continue to rescue, rehabilitate and rehome animals in need across Milton Keynes and North Bucks and offer additional support for our local community by the provision of subsidised veterinary support for those facing financial hardship. To enable us to be successful in this we will continue to build our network of volunteers, continue to raise awareness of the branch and our activities and ensure the branch remains finically stable through various fundraising activities.
Reflecting on 2020 it is through the hard work and commitment of our staff, volunteers and trustees that we have been able to continue to operate through the year. Thank you to our shop managers and fundraising volunteers who have faced many challenges in working and have remained adaptable and driven to ensure our shops remain profitable. Thank you to our animal coordinator and animal carers who have worked through different and difficult circumstances to ensure animals in need of rescue and rehabilitation have received the care needed to prepare them for new futures. Thank you to our supporters who have donated to our shops and branch and have adopted from us through the year. Finally, I would like to thank the trustees who have helped navigate us through the pandemic all of whom have gone above and beyond to ensure we were able to continue to keep abandoned and unwanted animals safe and cared for whilst also keeping our staff and volunteers protected. Without you all we would not be able to continue the amazing work we do in 2020.
Gillian Scott Chairperson
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**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **Treasurer’s Report**
Our aim in 2020 has been to continue to benefit the public and invest in animal welfare. We have assisted with funds towards neutering and veterinary treatment and have also rehomed 450 animals which includes 17 dogs, 373 cats, 40 rabbits and 20 guinea pigs All have either been given to us by the public or have been strays requiring veterinary treatment.
The Covid-19 pandemic has hit everyone really hard. We started the year with big plans but they had to be put on hold in March 2020 with the first national lockdown. The 3 shops were closed and our rehoming cattery scaled down on all operations in line with the government guidelines. We did continue our animal welfare work and any animals that were rehomed were delivered to their new homes by staff or volunteers. All shops were prepared to be covid safe and we re-opened two of the shops in June when we were able to. Sadly, the Newport Pagnell shop was not re-opened. The figures for the year 2019 and the first 3 months of 2020 were down on previous years and it was decided that we would shut it till the end of the year. For this reason, we made the Newport Pagnell shop manager and assistant manager redundant. All staff were furloughed when possible and grants applied for. The Newport shop was opened for a couple of days per month by volunteers to cover costs. We hope to open it again in 2021. The Bletchley shop opened just 5 days per week to start with and we hope to increase that to 6 days per week in 2021. Stony opened its doors again 6 days per week. The shop income has obviously been hit hard but the shop managers and volunteers have really worked hard to keep everyone safe whilst keeping the shops open when possible.
The overall income for the year was £272,617 compared with £344,156 in 2020. A reduction of £71,539.
Our online donations and fundraising amounted to £31,736
EBay Sales in 2020 £3421. 2019 £2814 an increase of £606
## Grants received
- RSPCA Door to door collections, raised £25,173.
- Council closure grants £45,000
- Government grants for Covid restrictions £6,811
- Government furlough scheme £22,282
I would like to thank our shop managers and volunteers who have worked really hard to keep the shops going. With a fall in footfall and a difficult economic climate, sales have reduced this year to £106,731. A reduction of £95,739. We could not ask for a more dedicated team.
We have been left £10,000 in legacies this year although this amount has not yet been received it has been reported in 2020 financial report as probate was actioned in the year.
We have a healthy bank balance which will help us support the welfare and benefit cases we aspire to help. We are still working with other charities in Milton Keynes who have taken in more animals which has helped us significantly.
## Animal sales £31,036.
## Expenditure: -
The total outgoings were £197,266 compared with £279,145 in 2019. A decrease of £81,879. Veterinary Fees £67,752. 2019 £107934 decrease of £40,182. The restrictions throughout the year have reduced the number of animals in our care consequently reducing the veterinary fees.
Our cattery, built in 2015, has reduced the amount of boarding and hospitalisation. These fees were £2573 this year. Included in the veterinary fees above.
In 2020 we neutered 250 dogs, cats and rabbits. Our neutering campaign is ongoing.
I am pleased to report that we have another year with an operating profit of £75,351. Unrestricted Branch funds on 31st December 2020 stand at £395,040 including £50,000 designated funds towards a new cattery. Restricted funds £4,960 – The Van purchased in 2018.
We will continue to focus our activities on animal welfare, rehoming, neutering and microchipping.
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
Contractual and moral obligations from January 2021 Rent
- Bletchley break clause May 2023 with 6 months notice
- Rent £20,000
- TOTAL DUE £50,000 to June 2023
- Stony lease ends 25/3/2024
- Rent £10,000
- TOTAL DUE £32,500
- Newport break clause 1.4.2024
- Rent £13,000
- TOTAL DUE £42,250
- SHOP LEASE TOTAL £124,750
Plus Wages and salaries, utility bills and other creditors that fall due within the year.
The main body of the accounts discuss in more detail our charitable activities pursued for the public benefit and the group’s structure, governance and management.
It is the policy of the charity that unrestricted funds which have not been designated for a specific purpose, should be maintained at a level between 3 and 6 months expenditure. We consider that reserves at this level will ensure, that in the event of a significant drop in funding, we will be able to continue the charities current activities while consideration is given to ways additional funds may be raised. This level of funds has been maintained throughout the year.
I believe we have a strong branch with very committed volunteers who work hard to keep the charity operational.
I would like to thank our employees and the many volunteers in addition to the Trustees who willingly give up their time and allow us to operate as economically as we do. They all do a remarkable job and we could not manage without them.
Judy Ammon Branch Treasurer
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **Achievements and performance**
1. The MK and North Bucks RSPCA Branch is an unincorporated charitable association and a separately registered branch of the Royal Society for the Prevention of Cruelty to Animals (the Society), carrying out its direct animal welfare work in the areas of Milton Keynes and surrounding villages.
2. The objects of the Branch are to promote the work and objectives of the Society - to prevent cruelty, promote kindness and alleviate suffering of all animals by all lawful means - with particular reference to the area of the Branch, in accordance with the policies of the Society.
3. The trustees have reviewed the outcomes and achievements of our objectives and activities for the year, to ensure they remain focused on our charitable aims, and continue to deliver benefits to the public. We have complied with the duty under the Charities Act 2006 to have due regard to public benefit guidance published by the Commission.
## Advancement of animal welfare
1. Under the Charities Act 2006, the advancement of animal welfare is recognised as a distinct statutory charitable purpose. This legislation and the Animal Welfare Act of the same year indicate an acceptance by society that treating living creatures with compassion has a moral benefit for the public as a whole. Whilst this public benefit is clear, it is sometimes difficult to quantify and must be balanced against any detriment.
2. The Branch's animal welfare work, although local in nature, benefits society at large, and also aims to help people in need with the care of their animals. The next section of this report highlights the Branch's main activities and demonstrates the benefit provided to the public. All our charitable activities, as described in more detail in the following pages of this report, focus on promoting kindness and preventing or suppressing cruelty to animals and are undertaken to further these purposes for the public benefit.
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**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **TRUSTEES' ANNUAL REPORT (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## Charitable activities pursued for the public benefit
1. We support our local Inspector(s) by taking in, free of charge, mistreated or abandoned animals, including pets whose owners suffer ill health or financial difficulties or pass away. The Society's Inspectorate (as well as providing education, information and advice) rescues animals in distress and enforces laws against the cruel mistreatment of animals in England and Wales by bringing prosecutions. This work is key to 'the prevention or suppression of cruelty' part of the RSPCA objects, and promotes humane sentiments towards animals which involves moral benefit to humankind as a whole.
2. We provide subsidised veterinary treatment for animals which are sick or injured and belong to local people on low incomes, which are assessed on an individual basis. We do this through direct contact with the owner and the veterinary surgeons concerned. This work benefits those on means tested benefits by giving them financial help to obtain care for companion animals in need of veterinary treatment. Help is given in urgent or emergency situations in order that owners are able to get their animal seen by a vet. In some cases a proportion of the consultation charge is agreed, but in the most desperate of situations the whole consultation charge may be allowed, or the full cost of euthanasia agreed. The aim is to ensure that no animal is allowed to be left to suffer. Owners of course are usually on benefits, but some are on low income and struggling due to a sudden change of circumstances.
3. When possible, financial commitments permitting, we provide subsidised neutering of companion animals for those in the Branch area on low incomes. We do this by direct contact with owner and veterinary surgeon. This work helps to control dog and cat populations through neutering and benefits those on means tested benefits by giving them financial help to neuter companion animals, thereby promoting responsible pet ownership.
4. Animals in our care are vet checked and receive veterinary treatment, vaccination, neutering, micro-chipping and are assessed for re-homing. This work helps to control the incidence and spread of disease and suffering through vaccination and neutering.
5. We re-home animals in need at low cost to people willing and able to have a companion animal. Whilst we recognise that companion animals provide measurable benefits to people's physical and mental health, we consider the provision of pets as subsidiary to the main charitable aim of this service, which is to reduce animal suffering. Our policy to charge a reasonable adoption fee for animals aims to highlight the ongoing personal and financial commitment of pet ownership. It would not be in the best interests of animals, and therefore would fall outside our objects, to re-home to those who could not afford them.
6. We take in, free of charge, lost animals and take steps to reunite them with owners. This work benefits our local community (including local authorities) by preventing animals straying and posing a risk to themselves and to people through road traffic accidents.
7. We respond to enquiries (both direct and via the Society's national call centre) from the public about animals locally. The public benefits from knowing that we can intervene to assist animals in need.
8. We offer free animal care advice by providing leaflets on animal care, advice on our website and talking to people at fundraising events. The public benefits through the promotion of responsible pet ownership.
9. Within the terms of our governing document, we support the National Society / other RSPCA branches / local animal welfare charities through collaborating on national and local awareness events, supporting the Inspectors and Animal Welfare officers with stray and injured animals and providing funds through our regional head quarters for distribution to other branches as agreed through the regional board.
We provide volunteering opportunities for those who wish to support our work, including trusteeship, fostering and fundraising. This benefits local people and companies by providing the possibility of doing work which is compassionate and rewarding.
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RSPCA. MILTON KEYNES AND NORTH BUCKS
TRUSTEES. ANNUAL REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2020
Flnanclal rovlew
It is the policy of the Charity that unr8strictgd funds which have not been designated for a specific use should be
maintained al a level equivalent to beeen three and six month's axpèndilurè. The TrLSSto8s considèrs that
reserves al this level will ensure that, in the event of a significant drop in fundin9, Ihey wtll be able to continue the
Charitys current activitie5 while consideration is given to ways in which additional funds may be raised. This level
of r8serves has been maintained throughout the year.
The Trustees has assessed ihe major risks lo whith the Charity is exposed, and are satisfied that systems are In
place lo mitigate exposure lo the major risks.
Structural govoman¢• and managomont
The Milton Keynes & North Bucks RSPCA is an unincorporatsd chaaty and was registered on 5 April 1978. The
charity operates as an independent bran¢h subje¢t to the Nation81 RSPCA branch rules118 February 20091.
A Committee govems th& branch and are elected every AGM. Cornmittee members are the Truslees of the
branch. Truslees are inlorrneil of their respon5ibilitses prior to their acceptsnce of the role.
The Trustees hold meetings every month or b1-FrnthlY and discuss any arising issues and vote for the best
solutions. Day lo day running ol the animal ¢8nlre is deleg8le(J to the Animal Co-ordinators. and the day to day
njnning ol the shops is delegated to the shop managers.
The Trustees actively review financial and operational mattefs affecting the branch and ensure that procedures
are in place to comply with leg81 quIreMents and to pTrvenl loss of income through fraud and èrror.
The Trustees, 8nnual Teport was approved by the Board of Trustees.
mmon
Tnjstee
Dated.. ..>.q
RSPCA- MILTON KEYNES AND NORTH BUCKS
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF RSPCA- MILTON KEYNES AND NORTH BUCKS
l ptsrt to the Truste8s on rny examination of the financial statements of RSPCA - Millon K8yn8s and North
Bucks (the Charity) for the year ended 31 December 2020.
Responslbllltlés and ba$1$ of rgport
As the Trustees of the Charity you are r8spons¢ble for the preparation of the financSal statements In accordance
with the requirement5 of th8 Charities Act 2011 Ithe 2011 Acti.
I report In respect of my examinabon of the Charity's financial statements carried out uniJer section 145 of the
2011 Ad. In ryIng out my examination I have follow8d all the applicable Directions given by the Charity
Commission under section 14515llbl of the 2011 Act.
Independent examinerfs Statement
Since the Charity's gross income exceeded £250,000 your eM8min8r must be a member of a body listed in
section 145 of the 2011 Act. I confirm that l am qualified to undertake the examination because l am a member
of As5(Kiation of Ch8rtered Certified Accountants. which is one of thè li5t8d bodies.
Your attention is drawn lo the fact that th8 charity ha$ prepared financial statements in accordan with
Accounting and R8porting by Charities preparing their accounts in accordanc8 Wlth the Financial Reporting
Standard 8pplieable in the UK an¢ Republic of Ireland IFRS 1D21 in preferenc8 to the Accounts"ng and Reporting
by Charities. Statement ol Reeommend8d Practi( issued on 1 April 2005 which is referred to in the extant
regulations but has now been withdrawn.
l under$tsnd thatthis has been ¢Jone in orderforfinancial ststernents to provide a true and fairview in accordance
with GenerallyAccept8d Acunting Pracl'ce effecl've for pOrting penods beginning on orafter 1 January2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the
6xatnination giving me cause lo believe that in any material spect..
accounting rècords were not kept in respect of the Charty as required by section 130 of the 2011 Act". or
the financial stslemenls do not acGord with those records., or
the financial statements ¢Jo not ctsmply with the pICable requirements concerning the forni 8nd content
ol account5 set out in the Charities IArKounts and Reports) Regulations 2008 other than any requirement
that the accounts give a true and fair vlew whlch is not a matter considered as part of an independent
examinalion.
I have no concerns and have come acros5 no other matt8r5 in conn8Ction with th8 8xamination to which attention
should be drawn in this report in ord8rtO 8nablea proper understanding olthe finanTral statements to b9 r¢a¢hed.
Simon Gill FCCA
Moorgale House
201 Silbury Boulevard
Milton Kgynes
MK9 1LZ
## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2020**
**2020**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
143,480
-
Charitable activities
**4**
148,680
-
Investments
**5**
2,740
-
**Total income**
294,900
-
**Expenditure on:**
Raising funds
**6**
103,673
-
Charitable activities
**7**
115,876
2,308
**Total resources**
**expended**
219,549
2,308
**Net income/(expenditure) for**
**the year/**
**Net movement in funds**
75,351
(2,308)
Fund balances at 1
January 2020
319,689
7,268
**Fund balances at 31**
**December 2020**
395,040
4,960|**Total**
Unrestricted
Restricted
funds
funds
**2020**
2019
2019
**£**
**£**
**£**
143,480
79,761
-
148,680
262,655
-
2,740
1,740
-
294,900
344,156
-
103,673
116,576
-
118,184
162,569
3,202
221,857
279,145
3,202
73,043
65,011
(3,202)
326,957
254,678
10,470
400,000
319,689
7,268|Total
2019
**£**
79,761
262,655
1,740|
|---|---|---|
|||344,156|
|||116,576|
|||165,771|
|||282,347|
|||61,809
265,148|
|||326,957|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
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RSPCA- MILTON KEYNES AND NORTH BUCKS
STATEMENT OF FINANCIAL POSITION
AS A T31 DECEMBER 2020
2020
2019
Fixed asset
Tangible assets
Investments
11
12
24,860
297,000
31,675
222,000
321.860
253.675
Currant assats
Debtors
Cash al bank and in hand
13
44,973
48,516
30,356
61,918
93,489
g2,274
Credltors.. 8mounts f¥lling due within
ono yèar
14
115.3491
(18,9921
Net current assets
78,140
73,282
Total assets less current liabllltlos
400,000
326.957
Incom• funds
Restricted funds
Unrestricted funds
4,960
395.040
7,268
319,689
400,000
326,957
mon
Trustee
10-
**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **Charity information**
RSPCA - Milton Keynes and North Bucks is a registered charity in England and Wales and is unincorporated. The address of the principal office is 60 Woburn Road, Heath and Reach, Leighton Buzzard, LU7 0AR.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the RSPCA branch rules, 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 UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The Charity is a Public Benefit Entity as defined by FRS 102.
The Charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Charity.
## **1.4 Incoming resources**
Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
Legacies are recognised on receipt or otherwise if the Charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
## **1.5 Resources expended**
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
Fundraising costs are those incurred in seeking voluntary contributions.
Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings 25% reducing balance Computers 25% reducing balance Motor vehicles 25% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.
## **1.7 Investment**
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.
## **1.8 Impairment of fixed assets**
At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.9 Stocks**
No items of stock are bought in; all shop stock is donated and therefore has a nil cost.
## **1.10 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
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**RSPCA - MILTON KEYNES AND NORTH BUCKS**
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **1.11 Financial instruments**
The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.
## **1.12 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
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**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **2 Critical accounting estimates and judgements**
In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## **3 Donations and legacies**
|**Unrestricted**
**funds**
**2020**
**£**
Donations
27,143
Legacies receivable
10,000
RSPCA - Door to Door
25,173
Grants
-
Other income
2,140
Council, COVID furlough grants and income
76,972
RSPCA - Neutering
2,052
143,480
**Charitable activities**
**2020**
**£**
Fundraising events
4,245
Shop income
106,731
Income from animal sales
31,046
Pet insurance sales
6,142
Subscriptions received
516
148,680|Total
2019
£
34,372
100
26,739
7,710
4,454
-
6,386|
|---|---|
||79,761|
||**2019**
**£**
16,921
202,470
37,465
5,783
16|
||262,655|
## **4 Charitable activities**
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **5 Investments**
|**6**|**Unrestricted**
**funds**
**2020**
**£**
Income from investments
2,740
Bank interest receivable
-
2,740
**Raising funds**
**Unrestricted**
**funds**
**2020**
**£**
Other trading activities
Shop costs - other office costs
2,684
Shop costs - rent and rates
40,150
Shop costs - light and heat
3,338
Shop costs - repairs and maintenance
3,142
Shop costs - insurance
1,009
Shop costs - purchases
3,984
Shop costs - wages and salaries
49,366
103,673|Total
2019
£
1,562
178|
|---|---|---|
|||1,740|
|||Total
2019
£
996
41,105
4,351
6,765
2,229
6,225
54,905|
|||116,576|
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**RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **7 Charitable activities**
|Staff costs
Animal food and supplies
Vet fees and medications
Motor costs
Depreciation
Bad debts written off/(recovered)
Share of support costs (see note 8)
**Analysis by fund**
Unrestricted funds
Restricted funds
**For the year ended 31 December 2019**
Unrestricted funds
Restricted funds|**2020**
**£**
14,753
5,167
67,752
495
1,813
613
90,593
27,591
118,184
115,876
2,308
118,184|**2019**
**£**
15,593
11,836
107,937
784
2,418
(1,551)
137,017
28,754
165,771
162,569
3,202
165,771|
|---|---|---|
- 16 -
## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**8**
**Support costs**
**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Repairs and maintenance
5,212
-
Insurance
1,605
-
Branch contribution
5,110
-
Motor and travel costs
1,374
-
Printing, postage and stationery
5,125
-
Telephone
1,353
-
Other office costs
-
-
Depreciation
6,454
-
Training
-
-
Independent Examiner's Fee
-
1,125
Legal and professional
-
233
26,233
1,358|**2020**
**£**
5,212
1,605
5,110
1,374
5,125
1,353
-
6,454
-
1,125
233
27,591|2019
£
7,960
-
110
2,890
7,090
1,184
42
7,090
8
1,080
1,300|
|---|---|---|
|||28,754|
## **9 Trustees**
None of the trustees received any remuneration during the year (2019: nil).
Expenses incurred on behalf of the charity to the value of £7,073 were reimbursed to the trustees in the year (2019: £4,164).
## **10 Employees**
## **Number of employees**
The average monthly number of employees during the year was:
||**2020**|**2019**|
|---|---|---|
||**Number**|**Number**|
|Shop staff|4|6|
|Administrative staff|1|1|
||5|7|
|**Employment costs**|**2020**|**2019**|
||**£**|**£**|
|Wages and salaries|64,119|70,498|
There were no employees whose annual remuneration was £60,000 or more.
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## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**11**|**Tangible fixed assets**||||||
|---|---|---|---|---|---|---|
|||**Fixtures and**|**Computers Motor vehicles**|||**Total**|
|||**fittings**|||||
|||**£**|**£**|**£**||**£**|
||**Cost**||||||
||At 1 January 2020|68,392|5,007|10,092||83,491|
||Additions|1,452|-|-||1,452|
||At 31 December 2020|69,844|5,007|10,092||84,943|
||**Depreciation and impairment**||||||
||At 1 January 2020|48,353|624|2,839||51,816|
||Depreciation charged in the year|5,358|1,096|1,813||8,267|
||At 31 December 2020|53,711|1,720|4,652||60,083|
||**Carrying amount**||||||
||At 31 December 2020|16,133|3,287|5,440||24,860|
||At 31 December 2019|20,039|4,383|7,253||31,675|
|**12**|**Investments**||||**Cash or cash**||
||||||**equivalents**||
|||||||**2020**|
|||||||**£**|
||**Cost**||||||
||At 1 January 2020|||||222,000|
||Additions|||||157,013|
||Disposals|||||(1,666)|
||At 31 December 2020|||||297,000|
||||||||
||**Carrying value**||||||
||At 31 December 2020|||||297,000|
||At 31 December 2019|||||222,000|
|**13**|**Debtors**||||||
|||||**2020**||**2019**|
||**Amounts falling due within one year:**|||**£**||**£**|
||Trade debtors|||9,563||5,142|
||Other debtors|||25,900||6,281|
||Prepayments and accrued income|||9,510||18,933|
|||||44,973||30,356|
- 18 -
## **RSPCA - MILTON KEYNES AND NORTH BUCKS**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **14 Creditors: amounts falling due within one year**
|Trade creditors
Accruals and deferred income|**2020**
**£**
12,473
2,876
15,349|**2019**
**£**
16,783
2,209|
|---|---|---|
|||18,992|
## **15 Retirement benefit schemes**
The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund.
## **16 Analysis of net assets between funds**
|**Analysis of net assets between funds**|||
|---|---|---|
|**Unrestricted**
**Restricted**
**2020**
**2020**
**£**
**£**
Fund balances at 31 December 2020 are
represented by:
Tangible assets
24,860
-
Investments
297,000
-
Current assets/(liabilities)
78,140
-
400,000
-|**Total**
**2020**
**£**
24,860
297,000
78,140
400,000|Total
2019
£
31,675
222,000
73,282|
|||326,957|
The restricted fund consists of a grant from Support Adoption For Pets to finance the van purchased in 2018.
## **17 Financial commitments, guarantees and contingent liabilities**
Total financial commitments which are not included in the balance sheet are £126,000 (2019: £164,500), in respect of operating leases.
## **18 Related party transactions**
There were no disclosable related party transactions during the year (2019 - none).
- 19 -