ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2024
GOSPORT CORNERSTONE TRUST
CHARITY REGISTRATION No: 282517
Independent Examiners Ltd Unit 2 The Broadbridge Business Centre Bosham Delling Lane Bosham PO18 8NF
GOSPORT CORNERSTONE TRUST
CONTENTS
Page 3 Legal and Administrative Information Page 4 to 6 Trustees Report Page 7 Independent Examiner's Report on the Accounts Page 8 Statement of Financial Activities Page 9 Balance Sheet Pages 10 to 15 Notes to the Accounts
2
GOSPORT CORNERSTONE TRUST
LEGAL AND ADMINISTRATIVE INFORMATION
CHARITY NUMBER START OF FINANCIAL YEAR END OF FINANCIAL YEAR
TRUSTEES 31ST DECEMBER 2024
282517 1st January 2024 31st December 2024 Charles R Atkinson (Chair) Lynn Pettersen Brian H Cossins
New Trustees are appointed by the existing Trustees.
LEGAL STATUS
Unincorporated Charity
GOVERNING INSTRUMENT
Declaration of Trust dated 14th April 1981, amended 20th
OBJECTS
To advance the Christian Religion.
CORRESPONDENCE ADDRESS
Cornerstone Books 9 Bemisters Lane Gosport Hampshire PO12 1HB
PRIMARY BANKERS
Santander UK Plc 128 High St Gosport PO12 1DT
INDEPENDENT EXAMINER
Lomax Pavey Independent Examiners Ltd Unit 2 The Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
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GOSPORT CORNERSTONE TRUST
TRUSTEES REPORT FOR THE YEAR ENDED 31ST DECEMBER 2024
The trustees present their report and accounts for the year ended 31 December 2024.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s governing document, applicable law and the requirements of 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 (FRS102) and with the Charities Act 2011.
Structure, Governance and Management
The trust was established by a declaration of trust dated 14 April 1981. The trust's objects are to promote the better knowledge and understanding of the doctrines of the Christian faith through the sale of literature.
The trustees who served this year were: Mr C R Atkinson Mr B Cossins
Mrs L Pettersen
The long term future operation is entirely dependent on the active involvement of the trustees, supported by a small group of willing volunteers, especially Mrs Sylvia Atkinson, Mrs June Powell and Mrs Carole North. The trustees are grateful to the committed team of volunteers who are members of local churches, who give their time on a regular basis, and whose vision and perseverance allows the shop to continue running in good order.
The Trustees have assessed the major risks to which the charity is exposed and they are satisfied that systems are in place to mitigate exposure to major risks, with the exception of the holding of reserves which is dealt with more fully below in paragraph one of Achievements and Performance.
Objectives and Activities
The trust has traded since its inception as Cornerstone Books and Cards, known locally as Cornerstone Books, and has achieved the aims of the trust through the sale of Bibles, Christian books and other goods having a direct connection with the propagation of the Christian faith.
The shop managed a full years trading this year. Trading was up slightly on the previous year although footfall remains reduced, and the age profile of our customers is heavily biased towards older customers. Gosport town centre is very run down, with a large number of empty retail units. The council’s decision to allow 1 hour free parking in council carparks does make the shop more accessible. Our trading pattern showed peaks in trading at Easter and Christmas.
Due to the low cost base of the shop, owning the property and with volunteer staff, along with much reduced stock replenishment the finances have been held in a stable state. Costs have continued to increase with the cost of electricity and the need to subscribe to a more advanced version of QuickBooks for bookkeeping. We continue to qualify for 80% reduction in Business Rates from Gosport Borough Council. Cedaroak have paid their full rent again this year, and now have a consistent contingent of trained and enthusiastic volunteers.
4
GOSPORT CORNERSTONE TRUST
TRUSTEES REPORT(continued) FOR THE YEAR ENDED 31ST DECEMBER 2024
The trading pattern for year 2024 was down on 2023. Quarter 1 showed a slight increase in takings, Quarters 2 and 3 were up. The final quarter was quiet, with sales dropping back on the previous year, but a strong 4 weeks immediately before Christmas meant the year ended well. The higher cost of living pressures in the economy may have caused a delay in people shopping for Christmas, and the increased cost of postage could well have hit sales of Christmas cards. The underlying trend shows a slight upward tick, which we hope will be continued into the coming year, although it is clear that our trading is now well down on 5 years ago.
Achievements and Performance
It has been the policy of the trust that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that in the event of a significant drop in trading they will be able to continue the trust’s current activities while consideration is given to ways in which additional funds may be raised. The trustees adjusted their policy of building up a reserve fund of £20,000 over the next 3 years, to £25000 to account for inflation, to be in a place to cover the cost of any future repairs needed to the flat roof. A survey of the existing flat roof shows it to be in good overall condition. This year the toilet area has been completely updated and the sales floor lighting has all been replaced with low energy equivalent lighting . The level of reserves in bank at 31 December 2024 stood at £34,259.92, which is inside the target band.
This year saw one active book stall at Christchurch, which brought in additional income. We have a loyal core customer base within the local churches, but with the ongoing trend towards internet shopping, and the change to electronic media for both books and music, there is clear pressure on the shop to compete in the current market place. Our response has been to focus advertising in the local Christian community and to maintain offers from suppliers as they become available. Mrs Lynn Pettersen has increased the shop profile through generating regular social media postings.
The only customer data held is personal contact information provided by customers on placing orders. No computer data bases are held.
This year the Council applied the 80% charity rates relief from the start of the financial year.
Financial review
There is a continued focus on managing overheads effectively and reducing the levels of new stock purchased. We continue to experience unit price inflation on books, with new books often having retail prices well in excess of similar previous publications. Even with the quantity of stock held reducing, and with a considerable withdrawal of older stock, there has been a small increase in the value of stock held at the stock take. The target continues to be reducing both the volume of stock and the value of stock held with a view to increasing cash reserves. Compliance for PCIDSS continues through our card handling company.
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GOSPORT CORNERsfoNETRusr
TRusfEES REPORT(condnued)
FOR THE YEAR ENDED 31ST DECEMBER 2024
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GOSPORT CORNERSTONE TRUST
INDEPENDENT EXAMINER’S REPORT ON THE ACCOUNTS
Report to the trustees of Gosport Cornerstone Trust on the accounts for the year ended 31st December 2024, set out on pages 8 to 15.
Respective responsibilities of trustees and examiner
The organisation's trustees are responsible for the preparation of the accounts. The organisation's trustees consider that an audit is not required for this year (under section 144 of the Charities Act 2011) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to audit under company law and is eligible for an independent examination, It is my responsibility to:
examine the accounts (under section 145 of the Act,),
-
to follow the procedures laid down in the General Directions given by the Charity Commission (under section 145(5)(b) of the Act, as amended), and
-
to state whether particular matters have come to my attention.
Basis of independent examiner's statement
My examination was carried out in accordance with General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the organisation and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from the trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In the course of my examination, no matter has come to my attention:
-
which gives me reasonable cause to believe that in, any material respect, the trustees have not met the requirements to ensure that:
-
proper accounting records are kept (in accordance with section 130 of the Act); and
-
accounts are prepared which agree with the accounting records and comply with the accounting requirements of the Act; or
-
to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
.................................................................................
Lomax Pavey Independent Examiners Ltd Unit 2
The Broadbridge Business Centre Delling Lane Bosham West Sussex PO18 8NF
16 July 2025
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GOSPORT CORNERSTONE TRUST
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31ST DECEMBER 2024
| Notes INCOME Donations and Legacies 3a Charitable Activities 3b TOTAL INCOME EXPENDITURE Charitable Activities 4a TOTAL EXPENDITURE NET INCOME/(EXPENDITURE) NET MOVEMENT IN FUNDS Total Funds Brought Forward Opening Balance Adjustment 11 TOTAL FUNDS CARRIED FORWARD |
Unrestricted Restricted TOTAL TOTAL Funds Funds 2024 2023 £ £ £ £ 680 - 680 - 26,677 - 26,677 25,592 |
|---|---|
| 27,357 - 27,357 25,592 |
|
| 29,073 - 29,073 26,443 |
|
| 29,073 - 29,073 26,443 |
|
| (1,716) - (1,716) (850) |
|
| (1,716) - (1,716) (850) |
|
| 81,298 - 81,298 81,532 417 417 616 |
|
| 79,999 - 79,999 81,298 |
Movements on all reserves and all recognised gains and losses are shown above.
The notes on pages 10 to 15 form part of these financial statements.
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GOSPORT CORNERsfoNETRusr BALAN SHEEr AS AT 31sr DECEMBER 2024 91.O•e.24 T•t•l 31-DK.23 T•#1 FurvJ$ FuTh45 TarJ1bA%S6ts 17.053 17,053 17.053 StkS DebioK5& PreP3MentS Cashèt8ank arhd in Hond .158 30.158 30M53 960 35,471 66M14 34,694 05.032 34.694 65.032 2.087 2,087 2239 J1 am(wntsf•lliThJ duvwithin 02.946 64245 TOTALASISIAsscurrentlab4it 79,999 79.1199 01,291 GeneRI Fur$ Rastrictod Funds 79.999 81298 The nc¢•lty) PAg0s IOto15f¢%m partC4the5•f1n¥rlAl4t•mefits. TRUSIR5REONg•ILfflE51N RUATIONTO HNAN(aALSTATBAB115 tharftyL•w r£qwrestheTrusteest0preparefinèK9l1érnQrts10[tr8¢hf1n11llrwhh¢¢ynptythth?regUIJ1ltrst ini OwritwsAA2011.TFT¢tos havael¢ctod totake adYdma9odth&prrMSwthagapPt08m•II ¢hai1tS0nd hJN pTrp8red a Recepts Paynentsk¢wnt and Statstnont dAssetsaNI LhIbditswhharèSetth pa90$8•nd 9. prmd bvth8Tntsteeson...... Li 2oif &grd thrb•ha1f byMrCRAtkird &gnature'.
GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2024
1. ACCOUNTING POLICIES
Basis of Preparation
The accounts have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2015) - (Charities SORP (FRS102)).
The Charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost unless otherwise stated in the relevant accounting policy notes.
Income
Recognition of Income
These are included in the Statement of Financial Activities (SOFA) when:
the charity becomes entitled to the resources;
the trustees believe it is probable they will receive the resources; and
the monetary value can be measured with sufficient reliability
Income with Related Expenditure
Where income has related expenditure (as with fundraising or contract income) the income and related expenditure are reported gross in the SOFA.
Grants and Donations
Grants and Donations are only included in the SOFA when the charity has unconditional entitlement to the income.
Tax Reclaims on Donations and Gifts
Income from tax reclaims are included in the SOFA during the same period as the gift to which they relate.
Contractual Income and Performance Related Grants
This is only included in the SOFA once the related goods or services has been delivered.
Gifts in Kind
Gifts in kind are accounted for at a reasonable estimate of their value to the charity or the amount actually realised. Gifts in kind for sale or distribution are included in the accounts as gifts only when sold or distributed by the charity. Gifts in kind for use by the charity are included in the SOFA as income when receivable.
Donated Services and Facilities
These are only included in income (with an equivalent amount in resources expended) where the benefit to the charity is reasonably quantifiable, measurable and material. The value placed on these resources is the estimated value to the charity of the service or facility received.
Volunteer Help
The value of any voluntary help received is not included in the accounts but is described in the trustees' annual report.
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GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2024
1. ACCOUNTING POLICIES (continued)
Investment Income
This is included in the accounts when receivable.
Investment Gains and Losses
This included any gain or loss on the sale of investments and any gain or loss resulting from revaluing investments to market value at the end of the year.
Expenditure and Liabilities
Liability Recognition
Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to pay out resources.
Governance Costs
Include costs of the preparation and examination of statutory accounts, the costs of the trustees meetings and cost of any legal advice to trustees on governance or constitutional matters.
Grants with Performance Conditions
Where the charity gives a grant with conditions for its payment being a specific level of service or output to be provided, such grants are only recognised in the SOFA once the recipient of the grant has provided the specified service or output.
Grants Payable Without Performance Conditions
These are only recognised in the accounts when a commitment has been made and there are no conditions to be met relating to a grant which remain in control of the charity.
Assets
Tangible Fixed Assets
These are capitalised if they can be used for more than one year, and cost at least £500. They are valued at cost or, if gifted, at the value to the charity on receipt.
Depreciation is calculated at a rate to write off the cost of tangible fixed assets basis over their estimated useful lives. The rates applied per annum are as follows:
| Fixtures and Fittings | 20% |
|---|---|
| Equipment | 20% |
| Motor Vehicles | 20% |
No depreciation is charged to freehold property (land and buildings) as the property is maintained to such a standard that the estimated residual value is not less than cost.
Stocks and work in progress
Stocks held for sale as part of non-charitable trade are measured at the lower or cost or net realisable value.
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GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2024
| 2. TANGIBLE FIXED Notes ASSETS Cost 01-Jan-24 Additions Disposals Cost at 31-Dec-24 Depreciation 01-Jan-24 Charge Disposal Depreciation at 31-Dec-24 Net Book Value 31-Dec-24 Net Book Value 31-Dec-23 |
Land & Fixtures, Fittings Motor Total Buildings & Equipment Vehicles £ £ £ £ 17,053 9,386 - 26,439 - - |
|---|---|
| 17,053 9,386 - 26,439 |
|
| - 9,386 - 9,386 - - - |
|
| - 9,386 - 9,386 |
|
| 17,053 - - 17,053 |
|
| 17,053 - - 17,053 |
The annual commitments under non-cancelling operating leases and capital commitments are as follows:
31st December 2024: None 31st December 2023: None
| 3. INCOME FROM: Notes a) Donations and Legacies Donations b) Charitable Activities Office Let Income Shop Trading Income Bank Interest Sundry Income |
Unrestricted Restricted TOTAL TOTAL Funds Funds 2024 2023 £ £ £ £ 680 - 680 - |
|---|---|
| 680 - 680 - |
|
| 2,040 - 2,040 170 24,369 - 24,369 25,209 253 - 253 213 15 - 15 - |
|
| 26,677 - 26,677 25,592 |
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GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2024
| 4. EXPENDITURE Notes a) Charitable Activities Trading Costs (Purchases) Advertising and Promotion Cash Expenses Comestibles Staff Costs 9 Bank charges Computer & Internet Charitable Donations Insurance Dues & Subscriptions Utilities Electricity Rent & Rates Office Expenses Repairs and Maintenance Transport Professional Fees Independent Examiner's Fee Accrued Accountant Fee Other Expenses |
Unrestricted Restricted TOTAL TOTAL Funds Funds 2024 2023 £ £ £ £ 13,829 - 13,829 15,178 - - - 23 - - - 22 137 - 137 85 3,819 - 3,819 3,540 592 - 592 619 314 - 314 390 155 - 155 - 1,295 - 1,295 1,223 925 - 925 777 209 - 209 481 1,786 - 1,786 1,428 729 - 729 748 300 - 300 465 3,022 - 3,022 501 151 - 151 31 338 - 338 - 530 - 530 870 900 - 900 - 43 - 43 63 |
|---|---|
| 29,073 - 29,073 26,443 |
| 5. CASH AT BANK AND IN HAND Current Account Savings Account Cash in Hand |
Unrestricted Restricted Total Total Fund Fund 31-Dec-24 31-Dec-23 £ £ £ £ 12,769 - 12,769 13,963 21,550 - 21,550 21,326 375 - 375 182 |
|---|---|
| 34,694 - 34,694 35,471 |
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GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2024
| 6. STOCKS Opening stock Purchases less Cost of Goods Sold Closing Stock |
Stock for Resale £ 30,053 13,934 43,987 13,829 30,158 |
TOTAL TOTAL 2024 2023 £ £ 30,053 31,665 13,934 13,566 |
|---|---|---|
| 43,987 45,231 13,829 15,178 |
||
| 30,158 30,053 |
7. DEBTORS & PREPAYMENTS
| Trade Debtors Overpayment Held On Account VAT Control Account |
Unrestricted Restricted Total Total Fund Fund 2024 2023 £ £ £ £ - - - 960 - - - - 180 - 180 - |
|---|---|
| 180 - 180 960 |
8. CREDITORS, ACCRUALS AND DEFERRED INCOME: AMOUNTS DUE WITHIN ONE YEAR
| Accounts Payable Taxation Creditors Independent Examiner's Fees |
Unrestricted Restricted Total Total Fund Fund 2024 2023 £ £ £ £ 561 - 561 890 446 - 446 479 1,080 - 1,080 870 |
|---|---|
| 2,087 - 2,087 2,239 |
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GOSPORT CORNERSTONE TRUST
NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31ST DECEMBER 2024
9. STAFF COSTS
The charity had no employees during the year.
The charity made payments totalling £3,819 during the year to a small number of individuals for casual work associated with the operation of the charity’s bookshop. Although these individuals are not considered employees for legal or payroll purposes, the payments have been appropriately accounted for as staff costs in accordance with the Charities SORP, reflecting the nature of the services provided.
10. TRUSTEES AND OTHER RELATED PARTIES
During the year, one trustee received remuneration amounting to £3,819 in connection with services provided in the operational management of the charity's bookshop. The payment was made in accordance with the charity’s governing documents and in compliance with relevant charity law and regulatory guidance. No other trustees received any remuneration or benefits during the year for their role as trustees.
No payments were made to trustees or any persons connected with them during this financial period other than small reimbursements for expenses on behalf of the charity. No material transaction took place between the organisation and a trustee or any person connected with them.
11. OPENING BALANCE ADJUSTMENT
An opening balance adjustment was entered in the year ended 31st December 2023 financial statements for the following reason:
| Total adjustment December 31st 2023 A credit balance (overpayment) held by a utility company amounting to £1,033 was not recorded in the previous year's accounts. Cash in hand, which should have been reported as £104 at 31st December 2022, was overstated by £417 due to a clerical error. Based on information available at the time, it appeared to be the case that these discrepancies arose partly due to the charity's transition from desktop accounting software to a cloud-based accounting system. |
£ 1,033 (417) |
|---|---|
| 616 |
An opening balance adjustment was entered in the year ended 31st December 2024 financial statements for the following reason:
During the preparation of the 31st December 2024 financial statements, it became apparent that the previous year adjustment of £417 was not necessary, and thus it has now been reversed. The Trustees confirm that the correct figures for cash held are now reflected in the financial statements.
£ 417
Total adjustment December 31st 2024 417
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