# **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 3 ## **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. 5 GOSPORT CORNERsfoNETRusr TRusfEES REPORT(condnued) FOR THE YEAR ENDED 31ST DECEMBER 2024 The tr￿teeS actwty the majLW r*k$ wh￿hthe chaiityfa¢•s CAia rogular ba￿5 al￿ bolw that maintaiThrg thtfree ¢8S£Th*S Stated. t￿bIfied w¢ththt•S)nual￿I￿ ¢¢xrtrds ryer kvyfin•ncd wms ¢4rried (NJt£* ananrvAI b•¥prLMde $uffi¢w)tresource5 inthe e¥*rtc4 ad￿ts8 ha%*a¢50 ex•m1￿￿ rAher CperatKrf￿lO1WJ b￿1r￿ thattlw f¥ce8ThJ £rffilwmthJt thtyhg%* osrab1￿hed s>*tomstomitKJat4th•signrficant li5k¥. PubllÉ B•n4fit Th&th•rityackrK*vhd9eSitsrequYem**todgmcrf￿ee1*atyth3tI1 murthav?ch•rit¥bJe pwpc6escf'ains'th•t•r¢ftwthe PLèI boDÈfrt. Detsi15ofhw th•chatityhas a¢li￿d tlws are prtrAd8d intheTru5tee5roP(thtThfttnJ5tee5conlimthattrwhavepaiddu8 regard toÈho ChrityCl pubkc benefit bef(YedecvJing what8Cbviti¢sthechJrityshwkl undortake. SYATaivifoFTruMw R15PON9BILrne5 The O*titièsAct 2011 reqwrÈth•tn￿tOprOParorlna￿hry1 **•m0ntsfor￿£h financk41 yoal %YhKh9￿ a ttue and fair viewd thtrststo affair5ufthtrtr￿and Lrfthe $urplusofthetnJ5tfrythot perirA. In prep8Dn9 thwlinanc4115tstemontsthetru5te8sar&rwu*rod t Sdtret¥uitab￿Jc¢aUnti￿j P￿￿￿and 8p?tyth￿¢c￿si51eTht Makejud9omét)tsand estimatsSth•tar• reasonab￿and p¥udent Prepartfironctsil statfmonts4)7thogL¥rrfJ cth*8m bas* Lml•ss it ￿InaPPr(￿r￿it4lopresUrn&￿f￿trttst willctjntin trustees are reswsibjtr fv keeping prffjor aCC¢YJitry feco*d$, which disclc6e with ro8$tThbSè accuracy time the financk41 P(55itW d the tnJ5t. aro also re5P¢yL%Ib￿ 5afeguardiry th• as50ts d the trvtt arKI he￿e fry takiry reaS(rnb￿ step5 fry th* 4)prty*d by1heTwst￿ ￿.......... . SvJned c￿￿￿rbehaWbY Mrc RAtkinx Signaturo.. ## **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: 1. 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 2. 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 7 ## **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. 8 GOSPORT CORNERsfoNETRusr BALAN￿ SHEEr AS AT 31sr DECEMBER 2024 91.O•e.24 T•t•l 31-DK.23 T•#1 FurvJ$ FuTh45 Tar￿J1b￿A%S6ts 17.053 17,053 17.053 St￿kS DebioK5& PreP3￿MentS 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 TOTALAS*ISIAsscurrentlab4it 79,999 79.1199 01,291 GeneRI Fur￿$ Rastrictod Funds 79.999 81298 The nc¢•lty) PAg0s IOto15f¢%m partC4the5•f1n¥r*￿lAl4t•mefits. TRUSIR5RE*ONg•ILfflE51N RUATIONTO HNAN(aALSTATBAB115 tharftyL•w r£qwrestheTrusteest0preparefinè￿K9l￿1érnQrts10[tr8¢hf1n1￿1ll￿rwh￿h¢¢ynpty*thth?regUIJ1ltr￿s*t ini OwritwsAA2011.TF*T¢￿to*s havael¢ctod totake adYdma9odth&prrMSw￿thagapP￿t08m•II ¢hai1t￿S0nd hJN* pTrp8red a Recepts Paynentsk¢wnt and Statstnont dAssetsaNI LhIbdit*swh￿harèSet￿th ￿pa90$8•nd 9. prmd bvth8Tntsteeson...... Li 2oif &gr*d ￿th￿rb•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. 10 ## **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. 11 ## **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**| 12 ## **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**| 13 ## **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**| 14 ## **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 15