JOHN GOLDING HOUSE
REPORT OF THE TRUSTEE AND FINANCIAL STATEMENTS
31 MARCH 2021
JOHN GOLDING HOUSE
| Contents | |
|---|---|
| Page | |
| Report of the Trustee | 2 |
| Report of the independent examiners | 3 |
| Statement of Financial Activities | 4 |
| Statement of Financial Position | 5 |
| Statement of Cash Flows | 6 |
| Notes to the Financial Statements | 7-13 |
JOHN GOLDING HOUSE
| TRUSTEE | The Industrial Dwellings Society (1885) Limited |
|---|---|
| SOLICITORS | Osmond Gaunt & Rose |
| Winston House | |
| 349 Regents Park Road | |
| Finchley | |
| London N3 1DH | |
| BANKERS | National Westminster Bank Plc |
| 198 Stoke Newington High Street | |
| London N3 IDH | |
| INDEPENDENT EXAMINER | Michael Tourville ACA |
| Beever and Struthers | |
| 15 Bunhill Row | |
| London EC1Y 8LP | |
| REGISTERED OFFICE | 1stFloor, Anna House |
| 214-218 High Road | |
| London N15 4NP | |
| REGISTERED CHARITY | Charities registration No. 280010 |
| WORKING NAME | John Golding Trust |
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DocuSign Envelope ID: DECDF771-1B28-42EE-9C7A-78ACD0A55AD8
JOHN GOLDING HOUSE
REPORT OF THE TRUSTEE
The Trustee presents the report and financial statements for the year ended 31 March 2021.
Charitable objects
The charitable objects of the Trust, as set out in the will that established the charity, are to establish and maintain John Golding House on a non-profit making basis for the accommodation of elderly impoverished Jewish ladies.
Organisation
The Trust owns John Golding House, a property managed by the Industrial Dwellings Society (1885) Limited, as Trustee.
Review of progress and achievements
The Trust continued to meet its aims in the year by providing secure housing for elderly Jewish women of limited means.
Review of financial activities and affairs
The increase in the surplus compared to the previous year was mainly due to decreased expenditure on day to day repairs.
In the opinion of the Trustee, at the balance sheet date the Trust’s assets were available and adequate to meet its obligations and there are no uncertainties relating to going concern.
Reserves
The Charity’s reserves are retained to meet possible excess expenditure on repairs in the future, major replacements and the provision of amenities according to the terms of the trust deed.
Trustee
The Industrial Dwellings Society (1885) Limited, a company formed under the Co-operative and Community Benefit Societies Act 2014, acted as Trustee throughout the year.
Public benefit
The Trustee confirms that it has complied with the duty to have regard to the Charity Commission guidance on provision of public benefit. As noted, the Trust provides housing to needy Jewish women and the Trustee considers that this meets the Charity Commission’s public benefit criteria.
Approved by the Trustee on 4 August 2021 and signed on its behalf by:
Ray Peacock
2
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF JOHN GOLDING HOUSE
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2021 which are set out on pages 4 to 13.
Responsibilities and basis of report
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I can confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants of England and Wales which is one of the listed bodies.
I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material aspect:
-
accounting records were not kept in respect of the charity as required by section 130 of the Act;
-
• the accounts do not accord with those records; and
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the 2011 Act other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination;
-
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland. (FRS 102)).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable to a proper understanding of the accounts to be reached.
15 Bunhill Row London EC1Y 8LP
Michael Tourville ACA Beever and Struthers Chartered Accountants Date: 28 January 2022
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JOHN GOLDING HOUSE
STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 MARCH 2021
| Note Income Charitable activities - rent receivable 4 Expenditure Charitable activities 5 Governance 6 Total expenditure Surplus/(Deficit) for the year and net movement in funds Funds brought forward 13 Funds carried forward 13 |
Unrestricted funds 2021 2020 £ £ 30,172 28,824 19,404 24,961 5,034 4,872 24,438 29,833 5,734 (1,009) 230,425 231,434 236,159 230,425 |
Unrestricted funds 2021 2020 £ £ 30,172 28,824 19,404 24,961 5,034 4,872 24,438 29,833 5,734 (1,009) 230,425 231,434 236,159 230,425 |
|---|---|---|
| 24,961 4,872 |
||
| 29,833 | ||
| (1,009) 231,434 |
||
| 230,425 |
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DocuSign Envelope ID: DECDF771-1B28-42EE-9C7A-78ACD0A55AD8
JOHN GOLDING HOUSE
STATEMENT OF FINANCIAL POSITION as at 31 MARCH 2021
| Note Fixed assets Property, plant and equipment – Housing properties 7 Current assets Trade and other debtors 8 Cash at bank and in hand Creditors:amounts falling due within one year 9 Net current assets Net assets Unrestricted funds Income and expenditure account 13 Revaluation reserve 13 |
2021 £ 106,837 83,247 49,112 132,359 (3,037) 129,322 236,159 183,748 52,411 236,159 |
2020 £ 109,065 |
|---|---|---|
| 75,110 49,112 |
||
| 124,222 (2,862) |
||
| 121,360 | ||
| 230,425 | ||
| 178,014 52,411 |
||
| 230,425 |
Approved by the Trustee on 4 August 2021 and signed on its behalf by:
Ray Peacock
5
JOHN GOLDING HOUSE
STATEMENT OF CASHFLOWS for the year ended 31 MARCH 2021
| 2021 Note £ Cash flow from operating activities - Cash flow from investing activities - Cash flow from financing activities - Net increase / (decrease) in cash and cash equivalents - Cash and cash equivalents at 1 April 2020 49,112 Cash and cash equivalents at 31 March 2021 49,112 Cash and cash equivalents consists of: Cash at bank and in hand 49,112 Short term deposits - Cash and cash equivalents at 31 March 2021 49,112 Reconciliation of net income / (expenditure) to net cash flow from operating activities Net income / (expenditure) for year / period: 5,734 Depreciation of tangible fixed assets 2,228 (Increase) / decrease in debtors (8,137) Increase / (decrease) in creditors 175 Net cash flow from operating activities - |
2020 £ - - - |
|---|---|
| - 49,112 |
|
| 49,112 | |
| 49,112 - |
|
| 49,112 | |
| (1,009) 2,228 (1,325) 106 |
|
| - |
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021
1. Status
John Golding House (“the Trust”) is constituted as a Charitable Trust under the Charities Act 2011, registered number 280010. The address of the registered office is 1[st] Floor, Anna House, 214-218 High Road, London, N15 4NP.
The Trustee of the Trust is The Industrial Dwellings Society (1885) Limited, a company formed under the Co-operative and Community Benefit Societies Act 2014, registered number 14044R, and having its registered office at 1st Floor, Anna House, 214-218 High Road, London N15 4NP. The Trustee is a registered provider of social housing with the Regulator of Social Housing, registration number L0266 and is an exempt charity.
2. Accounting policies
The following accounting policies have been applied consistently in dealing with items which are considered to be material in relation to the financial statements of the Trust.
Basis of preparation
These financial statements are prepared in accordance with The Financial Reporting Standard applicable in the UK and Republic of Ireland (“FRS 102”), including section 1A applicable to small entities, and the Charity Commission Statement of Recommended Practice: Charities SORP (FRS 102), Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) 2019. The financial statements are also prepared in accordance with The Charities Act 2011.
The Trust is a public benefit entity, as defined by FRS 102.
The financial statements have been prepared under the historical cost convention. On transition to FRS 102, the previous revaluation of the property was frozen and the property is now stated at deemed cost. The revaluation reserve created under the previous accounting framework has been retained.
Going concern
The financial statements have been prepared on the going concern basis as, after making enquiries, the Trustee has reasonable assurance that the Trust has adequate resources to continue in operational existence for the foreseeable future.
Income recognition
Revenue is measured at the fair value of the consideration received or receivable and represents amounts receivable for rental and service charge income. Income is recognised in the Statement of Financial Activities on a time apportioned basis.
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
2. Accounting policies (continued)
Expenditure recognition
Liabilities are recognised once a legal or constructive obligation can be reliably estimated.
Liabilities are recognised using the best estimate of the expenditure required to settle the present obligation at the balance sheet date.
All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities.
Irrecoverable VAT is charged against the expenditure heading for which it was incurred.
Property, plant and equipment - housing property
Housing properties are included in the financial statements at deemed cost (based on the previously reported valuations as at the date of transition to FRS 102 (1 April 2014)) less accumulated depreciation and any recognised impairment loss.
Freehold land is not depreciated. Depreciation is charged on major components so as to write down the cost of the components to their estimated residual value on a straight line basis over their estimated useful lives as follows:
| Freehold Housing Properties – structure | 100 years |
|---|---|
| Kitchens | 20 years |
| Bathroom | 30 years |
| Electricals | 30 years |
| Windows and external doors | 40 years |
| Roof | 50 years |
| Heating | 30 years |
Subsequent expenditure which relates to either the replacement of previously capitalised components or the enhancement of such components which results in incremental future benefits, is capitalised and the carrying amount of any replaced component or part component is derecognised.
Any other expenditure incurred in respect of repairs is charged to the Statement of Financial Activities.
Impairment of property, plant and equipment - housing property
At each statement of financial position date, the property is assessed to determine if there are indicators that the property may be impaired in value; if there are such indicators of impairment, then a comparison of the property’s carrying value to its recoverable amount is undertaken. Any excess over the recoverable amount is recognised as an impairment loss and charged as expenditure in the Statement of Financial Activities; the carrying value is reduced accordingly.
8
JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
2. Accounting policies (continued)
Impairment of property, plant and equipment - housing property (continued)
The recoverable amount of the property is the higher of its fair value less costs to sell and its value in use. The future economic benefits of the housing properties are not primarily dependent on the asset’s ability to generate net cash inflows but instead are derived from the social benefit from providing accommodation at a time of significant shortage in the supply of such properties. Consequently, where the property is in demand its value in use is based on the depreciated replacement cost of the asset.
When an impairment loss is subsequently reversed, the carrying amount of the property is increased to the revised estimate of its recoverable amount, but only to the extent that the revised carrying amount does not exceed the carrying amount that would have been determined (net of depreciation) had no impairment loss been recognised in prior periods. A reversal of an impairment loss is recognised in the Statement of Financial Position.
Cash and cash equivalents
Cash and cash equivalents include cash in hand and bank deposits with maturities of three months or less and bank overdrafts.
Financial instruments
Financial assets and financial liabilities are recognised in the statement of financial position when the Trust becomes a party to the contractual provisions of the instrument.
Trade and other debtors and creditors, including rent arrears and rent paid in advance, are classified as basic financial instruments and measured at initial recognition at transaction price. Such debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the Trust will not be able to collect all amounts due.
Cash and cash equivalents and longer term bank deposits are classified as basic financial instruments and initially recognised at their transaction price and subsequently at amortised cost.
3. Accounting judgements and estimates
The preparation of financial statements in conformity with generally accepted accounting practice requires management to make judgements and estimates that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the Statement of Financial Position date and the reported amounts of revenues and expenses during the reporting period.
Critical judgements
In preparing the financial statements, the following judgements which have, or could have, a material impact on the financial statements were made:
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
3. Accounting judgements and estimates (continued)
Identification of housing property components
Housing property depreciation is calculated on a component by component basis. The identification of such components is a matter of judgement and may have a material impact on the depreciation charge. The components selected are those which reflect how the major repairs to the property are managed.
Critical estimates
Useful lives
Depreciation of assets is calculated based on the cost and the estimated useful lives of the assets. The expected useful lives for housing property components is estimated based on the expected replacement frequency used for asset management purposes.
Carrying values
The carrying amount of the assets and liabilities affected by the above judgements and estimates are set out in the following notes.
4. Analysis of charitable income
The Trust undertakes its charitable activities through renting accommodation to elderly impoverished Jewish ladies.
| Charitable income Rent receivable net of voids Rent losses from voids nalysis of charitable expenditure Charitable activities Insurance Depreciation Gas/electricity Water Legal & Professional Gardening Day to day repairs Void repair Cleaning Service and maintenance Council tax Total resources expended |
2021 £ 30,172 331 2021 £ 271 2,228 2,597 2,961 - - 6,035 2,139 617 2,486 70 19,404 |
2020 £ |
|---|---|---|
| 28,824 | ||
| - 2020 £ 174 2,228 2,650 1,267 - 1,359 3,966 - 1,465 11,735 117 |
||
| 24,961 |
5. Analysis of charitable expenditure
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
6. Analysis of governance costs
| Management costs Independent examiners remuneration 7. Housing properties Cost At 1 April 2020 Additions Disposals At 31 March 2021 Depreciation At 1 April 2020 Charge for the year Eliminated on disposal At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 8. Trade and other debtors Rental debtors Amounts due from the Trustee |
2021 £ 3,234 1,800 5,034 2021 £ 423 82,824 83,247 |
2020 £ 3,234 1,638 |
|---|---|---|
| 4,872 | ||
| £ 162,963 - - |
||
| 162,963 | ||
| 53,898 2,228 - |
||
| 56,126 | ||
| 106,837 | ||
| 109,065 | ||
| 2020 £ 248 74,862 |
||
| 75,110 |
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
9. Creditors: amounts falling due within one year
| Rent in advance Other creditors |
2021 £ 2,777 260 3,037 |
2020 £ 1,887 975 |
|---|---|---|
| 2,862 |
10. Trustee remuneration and transactions with the Trustee
The Charity has no staff of its own and all its activities are managed by the staff of its Trustee. The Trustee received a management fee of £3,234 (2020: £3,234) to meet the costs of managing the Trust, including the costs of the independent examination of £1,800 (2020 - £1,638) which was paid by the Trustee.
The income and the expenditure of the Trust are initially received and paid by the Trustee, which gives rise to a balance between the two entities (see note 6). The balance is unsecured, repayable on demand and is interest free.
The Trust’s parent undertaking is its Trustee. The charitable object of the Trustee is the provision of housing. The Trustee does not prepare consolidated financial statements as the activities of the Trust are immaterial to it.
11. Financial instruments
| Financial Assets Measured at cost: Cash at bank and in hand Measured at amortised cost: Rent and service charge debtors Total financial assets Financial Liabilities Measured at amortised cost: Other creditors Total financial liabilities |
2021 £ 49,112 423 49,535 3,037 3,037 |
2020 £ 49,112 248 |
|---|---|---|
| 49,360 | ||
| 2,862 | ||
| 2,862 |
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JOHN GOLDING HOUSE
NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 MARCH 2021 (continued)
12. Capital and Major Repairs Commitments
| Contracted but not invoiced Authorised but not contracted for |
2021 £ - - - |
2020 £ - - |
|---|---|---|
| - |
13. Fund reconciliation
Unrestricted funds
| I&E Revaluation Total |
Balance at 31 March 2020 Income Expenditure Transfer Balance at 31 March 2021 £ £ £ £ £ 178,014 30,172 (24,438) - 183,748 52,411 - - - 52,411 |
|---|---|
| 230,425 30,172 (24,438) - 236,159 |
14. Analysis of net assets between funds
| Unrestricted | Total funds at | Total funds at 31 | Total funds at 31 | |
|---|---|---|---|---|
| funds | 31 March 2021 | March 2020 | ||
| £ | £ | £ | ||
| Fixed Assets | 106,837 | 106,837 | 109,065 | |
| Current Assets | 132,359 | 132,359 | 124,222 | |
| Creditors within one year | (3,037) | (3,037) | (2,862) | |
| ______ | ______ | ______ | ||
| 236,159 | 236,159 | 230,425 | ||
| ______ | ______ | ______ | ||
| 15. Analysis of changes in net debt | ||||
| At 1 April 2020 | Cashflow |
At | 31 March 2021 | |
| £ | £ |
£ | ||
| Cash | 49,112 | - |
49,112 | |
| Overdraft | - | - |
- | |
| Cash equivalents | - | - |
- | |
| ______ | ______ |
______ | ||
| Borrowings | - | - |
- | |
| ______ | ______ |
______ |
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