## Financial Statements
Sutton Old People’s Welfare Committee (incorporating Sutton Lodge Day Centre)
**For the year ended 31 March 2023**
**Registered number:** 284231
Page | 1
**DRAFT**
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
**Registered number: 284231**
## Contents
||Page|
|---|---|
|**Reference and administrative details of the company, its trustees and advisers**|3|
|**Trustees' report incorporating the strategic report**|4 – 8|
|**Independent auditor's report**|9|
|**Consolidated statement of financial activities**|10|
|**Company balance sheet**|11|
|**Consolidated statement of cash flows**|12|
|**Notes to the financial statements**|13-19|
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**DRAFT**
## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
Reference and administrative details of the company, its trustees and advisers
## **For the year ended 31 March 2023**
## **Nominated Trustees during the year under review**
Mrs Marilyn Gordon-Jones MBE (Chair) Mrs Pam Norton MBE (Vice Chair) Mrs Reena Barai Mrs Pauline Bier Mrs Joan Crowhurst Mrs Shirley Phillips Ms Tracey Tibos Ms Lily Bande Mrs Kate Todd
## **Charity registered number**
284231
## **Principal and registered office**
139 Brighton Road Sutton Surrey SM2 5SW
## **Chair**
Mrs Marilyn Gordon-Jones MBE
## **Independent examiner**
Mayfair Associates London Limited 69 Banstead Road Carshalton Surrey SM5 3NP
## **Bankers**
Lloyds Bank PLC 49-53 High Street Sutton, Surrey SM1 1DT
## **Solicitors**
None
Page | 3
**DRAFT**
## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Trustees' Report incorporating the strategic report
## **For the year ended 31 March 2023**
The trustees present their annual report together with the examined financial statements of Sutton Old People’s Welfare Committee for the year ended 31 March 2023.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the charity's governing document, 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 (FRS102) (effective January 2015).
## **Structure, governance and management**
## **Structure of the charity**
Sutton Old People’s Welfare Committee is a registered charity and the Trustees are listed on the Charity Commission Site.
The trustees are the trustees of Sutton Old People’s Welfare Committee in accordance with the Charities Act 2011. The Committee is made up of voluntary individuals with relevant corporate skills and an interest in our work.
## **Method of recruitment and appointment**
Committee members are recruited through open advertisement in our facilities and word of mouth. Selection is carried out by the current committee members who evaluate the skills and experience of applicants against relevant criteria using assessments and interviews.
## **Policies adopted for the induction and training of Trustees**
All trustees, upon appointment, are introduced to the trust by the chair and other committee members. A short briefing on charitable, statutory and fiduciary duties; the role of committee members; and business planning and strategy is included. The committee intend to introduce a more formal induction training during the following year.
## **Organisational structure and decision making**
Strategy and business objectives are agreed by the committee annually and, where necessary, during the year. The Committee meets four times a year to review progress and to make decisions accordingly. There is also a regular operations meeting attended by representatives for trustees, management and volunteers. During this year a funding committee was introduced to deal more effectively with the lack of funds in the charity. All Health and Safety, staff policies and other legal/legislative matters are dealt with by the managers with support from the Committee.
Day-to-day management of the organisation is delegated to the one manager and the service support officers.
## **Risk management**
The Trustees currently consider the possible risks associated with the operation of the Charity and the actions required to mitigate those risks during their committee meetings. The trustees will make a more formal approach to review of risks during the next business year.
Page | 4
**DRAFT**
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Trustees' Report incorporating the strategic report (continued)
## **For the year ended 31 March 2023**
## **Objectives and Activities**
The trust’s principal objects are to provide a preventative day care service and other support services as appropriate in order to improve and maintain the welfare and wellbeing of older people within the local community supported by a significant band of volunteers.
The works of the trust include day centre activities including, provision of a hot meal; the provision of the delivery element of the boroughs meal on wheels service and provision of a mobile library service for those who are house bound. The Lodge is also a strategic building to be utilised in need of a major emergency and is always on call.
The staffing structure consists of a manager, one part time support officer and a caretaker/cleaner. There are a further 3 paid part time staff with the Meals on Wheels service. All other roles are filled by volunteers. With a band of approximately 90 essential volunteers care is given to their recruitment and retention.
## **Strategic report**
## **Achievements and performance**
The results for the year are set out in the annexed financial statements.
Sutton Old People’s Welfare Committee has met its planned revised targets by continuing to work within funding means as far as possible. During 2021/2022 the charity began to return to pre Covid openings although numbers are down and the Lodge is still not open on a Wednesday. This, together with income from various grants has resulted in a deficit of £9,055 (2020/21 loss£22,121). Numbers are climbing and it is hoped to open for the further day during 2022/23 (2022/23 loss £16,570.87), which together with an increase in revenue from hire of the building will close the deficit further.
## **Public benefit**
No private benefit is derived from the activities of the charity. The Trustees believe that the work of the Committee demonstrates a real public benefit in both preventative works and to the wider community.
## **Financial review**
## Principal risks and uncertainties
The principal risks and uncertainties facing the charity are:
- withdrawal of funding from London Borough of Sutton for meals on wheels deliveries;
- health & safety compliance.
- more immediate risk of future funding
The Committee have continued to work on filling the funding gap left by the withdrawal of the grant from The London Borough of Sutton (Please see above achievements and performance report). These results show the effort so far achieved and the ability of the trust to continue to close this gap.
As noted above, the pandemic has not aided this situation in the current year but all work continues to give the charity full funding. The trustees continue to apply for all government and other support during the current months, post year end, including the rates rebates, rent holidays and any specific grant applicable to the Lodge.
Page | 5
**DRAFT**
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Trustees' Report incorporating the strategic report (continued)
## **For the year ended 31 March 2023**
## **Financial management and reserves policies**
The charity’s business plan and associated financial budget is prepared by the treasurer and management staff and approved by the Board of Trustees; the charity’s risks and reserves policy are updated as part of this process and are incorporated into any plans.
Sutton Old People’s Welfare Committee retains at least three months expenditure as “free” reserves to meet the shortfalls in income or unexpected expenses.
The Trustees keep under review the need for free reserves, which are those unrestricted funds not otherwise designated. There are currently no restricted funds and those reserved accounts are able to be used were this to become appropriate.
## **Related parties and co-operating with other organisations**
None of our trustees receive remuneration or other benefit from their work with the charity. Any connection between a trustee or senior manager of the charity must be disclosed to the full board of trustees in the same way as any contractual relationship with a related party. In the current year no such related party transactions were reported.
## **Employee involvement and employment of the disabled**
All employees have the opportunity for training, career development and promotion in accordance with their skills and ability.
The charity recognised its responsibility to disabilities and equal opportunities as required and has continued to ensure that all employees are considered on an equal basis in respect of all areas of employment, including recruitment, training, career development and promotion. We endeavour to promote continuing employment and, where necessary, arrange appropriate training for employees who have become disabled or need other help during their employment.
The charity has implemented a number of detailed policies in relation to all aspects of personnel matters including:
- Equal opportunities policy
- Volunteers' policy
- Health & safety policy
In accordance with the charity's Equal opportunities policy, the charity has long established fair employment practices in the recruitment, selection, retention and training of disabled staff and volunteers.
Full details of these policies are available from the charity's offices.
## **Trustees' responsibilities statement**
The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with
Page | 6
**DRAFT**
## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Trustees' Report incorporating the strategic report (continued)
## **For the year ended 31 March 2023**
applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the charity Trustees to prepare financial statements for each year, which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing these financial statements, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP (Statement of Recommended Practice);
- make judgments and accounting estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees have done additional work and held extra meetings during the pandemic and are presently of the opinion that this charity is a going concern.
## **Statement as to disclosure of information to the independent examiner**
In so far as the Trustees are aware at the time of approving the Trustees' annual report:
- there is no relevant information, being information needed by the independent examiner in connection with preparing their report, of which the charity’s independent examiner is unaware, and
- the Trustees have each taken all steps that he/she is obliged to take as a trustee in order to make themselves aware of any relevant audit information and to establish that the independent examiner is aware of that information.
## **Independent Examiner**
The Mayfair Associates London Limited was appointed as independent examiner for this current year at the last AGM. This report was approved by the Trustees on 27[th] October 2023, and signed on their behalf by:
## **Chair**
Page | 7
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Independent Examiner's Report to the Members and Trustees of Sutton Old People’s Welfare Committee
## **For the year ended 31 March 2023**
Chartered Management Accountants' report to Trustees on the preparation of the unaudited statutory accounts Sutton Old People’s Welfare Committee for the year ended 31[st] March 2023.
In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the accounts of Sutton Old People’s Welfare Committee for the year ended 31[st] March 2023 which comprise of the Profit and Loss Account, the Balance Sheet and the related notes from the company's accounting records and from information and explanations you have given us.
As a practising member firm of the Chartered Institute of Management Accountants, we are subject to its ethical and other professional requirements which are detailed at http://www.cimaglobal.com.
This report is made solely to the Board of Trustees of Sutton Old People’s Welfare Committee, as a body, in accordance with the terms of our engagement letter dated [accountant_engagement_date]. Our work has been undertaken solely to prepare for your approval the accounts of Sutton Old People’s Welfare Committee and state those matters that we have agreed to state to the Board of Trustees of Sutton Old People’s Welfare Committee, as a body, in this report in accordance with the requirements of the Chartered Institute of Management Accountants as detailed at http://www.cimaglobal.com. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Sutton Old People’s Welfare Committee and its Board of Trustees as a body for our work or for this report.
It is your duty to ensure that Sutton Old People’s Welfare Committee has kept adequate accounting records and to prepare statutory accounts that give a true and fair view of the assets, liabilities, financial position and profit Sutton Old People’s Welfare Committee.
We have not been instructed to carry out an audit or a review of the accounts of Sutton Old People’s Welfare Committee. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory accounts .
Page | 8
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Statement of Financial Activities
## **(including income and expenditure account)**
## **For the year ended 31 March 2023**
|**Note**
**Income:**
Income from donors and grants
3
Income from charitable activities
4
Investment income
5
**Total income**
**Expenditure**
Expenditure on charitable activities:
Operation of charity
6
**Total expenditure**
**Net movement in funds for the year**
Other commercial Income:
Furlough grant from the government
Rent waiver during Covid period
Total funds at beginning of year
**Total funds at end of year**|**Total**
**funds**
**2023**
**£**
104,161
2053
186|
**Total**
**funds**
**2022**
**£**
99,430
21028
14
120,472|
|---|---|---|
||106,400||
||122,971|
129,527
128527
(9055)
3003
52916
91494
138,358|
||122,971||
||
(16,571)
-
-
138,358||
||
121,788||
All income and expenditure derive from continuing activities. All activities relate to unrestricted funds.
The Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 13 to 19 form part of these financial statements.
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## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Company Balance Sheet
|**As at 31 March 2023**
**Note**
**Fixed assets**
9
**Current assets**
Debtors
10
Prepayment & Advance
Cash at bank and in hand
**Total current assets**
**Creditors:**amounts falling due within one
year
11
**Net current assets**
**Total assets less current liabilities**
**Creditors:**amounts falling due after more
than one year
12
**Net assets**
**The funds of the charity**
Unrestricted funds:
Unrestricted funds
Total unrestricted funds
Restricted funds:
Restricted funds
Reserved account - Transport
**Total restricted funds**
**Total charity funds**|**£**
0
0
9,467
112,320|**2023**
**£**
121,787|
**£**
2410
140,799|**2022**
**£**
0
138,358
138,358
-
138,358
105,898
32,460
138,358|
|---|---|---|---|---|
||
121,787
-||
143,209
4851||
||88,435
-
33,352||105,898
-
32,460||
|||121,787
-|||
|||121,787|||
|||
88,435
33,352|||
|||121,787|||
The financial statements were approved by the Trustees on 27[th] October 2023 and signed on their behalf
The notes on pages 13 to 17 form part of these financial statements.
Page | 10
**DRAFT**
## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
**Registered number: 284231**
## Statement of cash flows
**For the year ended 31 March 2023**
|**Note**
**Cash flows from operating activities**
Operating loss
Adjustments for:
Depreciation of tangible assets
Interest received
Rent waiver during Covid period
(Increase)/decrease in debtors
(Decrease)/increase in trade creditors
**Net cash (utilised by)/ generated from operating activities**
**Cash flows from investing activities**
Proceeds from sale of tangible assets
Purchase of tangible assets
**Net cash from investing assets**
Net (decrease)/increase in cash and cash equivalents
**Cash and cash equivalents at the beginning of the year**
**Cash and cash equivalents at end of year**|**2023**
**£**
(16,571)
-
186
-
2,410
(4,851)
(18,826)
-
-
-
(28,479)
140,799
112,320||**2022**
**£**
(6066)
1017
14
52,916
(1,070)
(71,041)
(24,230)
-
-
-
(24,230)
165,029
140,799|
|---|---|---|---|
|||||
|||||
|||||
Page | 11
**DRAFT**
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
## **For the year ended 31 March 2023**
## **1. Accounting Policies**
## **1.1 Basis of preparation of financial statements**
The financial statements have been prepared under the historical cost convention, unless otherwise stated in the relevant notes(s) to these accounts.
The financial statements have been prepared in accordance with 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 (FRS102) (effective 1 January 2015) – (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland and the Companies Act 2006.
These financial statements for the year ended 31 March 2023 comply with FRS102 and Charities SORP (FRS 102).
Sutton Old People’s Welfare Committee meets the definition of a public benefit entity under FRS102.
## **1.2 Going concern**
The financial statements have been prepared on a going concern basis, which assumes that the charity will continue to have sufficient resources available to it to continue as a going concern.
Management prepares, and the trustees review, regular financial information which summarises financial performance to date and that forecast for future periods. That financial information also includes cash flow projections. The trustees have considered the future trading forecasts of the charity, together with its levels of forecast capital expenditure and cash reserves. Accordingly, they have concluded that it is appropriate to prepare the financial statements on a going concern basis at present.
Additional work has continued to be done during the continual Covid lockdowns including extra meetings and figures for cash flow forecasts on various bases. All relevant grants and donations have been sought and the Charity has taken some advantage of the government grant for furlough during the second lockdown. The trustees are still of the opinion that cash resources are adequate for a further period of eighteen months without any improvement of funds or situation.
## **1.3 Fund accounting**
General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the company and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. There are currently no restricted funds.
Page | 12
**DRAFT**
**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
## **For the year ended 31 March 2023**
## **1.4 Incoming resources**
All incoming resources are included in the Statement of Financial Activities when the charity has entitlement to the funds, certainty of receipt and the amount can be measured with sufficient reliability.
Grants receivable in respect of specified period relating to the general activities of the charity are recognised in the Statement of Financial Activities in the period to which they relate or cover.
## **1.5 Resources expended**
All expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.
## **1.6 Tangible fixed assets and depreciation**
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Motor Vehicles - Over 5 years Equipment - Over 3 to 5 years
## **1.7 Liabilities**
Liabilities are recognised when there is a legal or constructive obligation to pay cash or other assets, and are carried at the present value of the obligation until the obligation is extinguished.
Sutton Council are now raising rent invoices quarterly and the large creditor has therefore been settled. This has shown an improvement in the 2022-23 accounts as the rent foregone by Sutton Council and rent foregone by the Council due to Covid reductions has been written back into reserves.
## **1.8 Taxation**
Sutton Old People’s Welfare Committee is a registered charity and is subject to neither corporation tax nor income tax on its charitable activities.
## **2. Judgements in applying accounting policies and key sources of estimation uncertainty**
There are no material judgements or estimates applied in the preparation of these accounts.
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## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
**For the year ended 31 March 2023**
## **3. Income from donors**
|Grants and subsidies from London Borough of Sutton MOW
Other Grants
Other Fees
Hire of building
Donations
|**Total**
**funds**
**2023**
**£**
57,725
2,053
6,936
4,857
3,235
74,806
|**Total**
**funds**
**2022**
**£**
56,303
29,670
4,196
6,062
3,199
99,430|
|---|---|---|
Included in other grants are a restart grant of £8,000, a community grant of £5,700 and other grant wins from bids of £15,970.
## **4. Income from charitable activities**
|Meals
Activities with users
Total income from charitable activities
**Investment income**
Deposit Account Interest||**Total**
**funds**
**2023**
**£**
31,408
-
31,408
**2023**
**£**
186
186|**Total**
**funds**
**2022**
**£**
20,428
600|
|---|---|---|---|
||||21,028|
||||
**2022**
**£**
14
14|
|||||
## **5. Investment income**
Page | 14
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## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
**For the year ended 31 March 2023**
## **6. Summary by expenditure type**
|**Staff costs**
**£**
**Direct costs**
**£**
Sutton Lodge day centre
32,771
35649
Meals on wheels
34,462
13,933
Transport
-
6,156
67,233
55,737
|**Total**
**2023**
**£**
**Total**
**2022**
**£**
68,420
74,525
48,395
47,849
6,156
7,153
129,971
129,527|
|---|---|
All support costs relate to the sole charitable activity of the company.
## **7. Analysis of direct costs**
|Cost of meals
Direct overheads of day centre premises
Costs relating to Meals on wheels
Transport
Volunteer expenses
Benefits to users
Staff training
Equipment maintenance/purchase
Depreciation of assets
Bank charges|**Total**
**2023**
6,922
31,504
7010
6,156
324
2819
-
537
-
465
55,737|
**Total**
**2022**
3,938
34,637
5,954
7154
383
2,367
-
7,173
1,017
297
62,920|
|---|---|---|
Direct costs are allocated to the charitable activities on the basis of headcount or on the estimated service delivered by the support service or other bases if these are more appropriate.
In previous years the costs of running the meals on wheels have been netted off against the grant from Sutton Council. This should be shown separately in the costs and this has now been done. No adjustment has been done to the prior year, if this had been done a transfer of £3,860 of costs would have been the amount.
Direct costs are stated after charging depreciation of tangible fixed assets of £0 (2022 £1017)
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**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
**For the year ended 31 March 2023**
## **8. Staff costs**
Staff costs were as follows:
|Wages and salaries
National insurance costs
Other pension costs||**2023**
**£**
64,880
-
1,727|**2022**
**£**
64880
-
1,727|
|---|---|---|---|
|||66,607|66,607|
The average monthly number of employees during the year was as follows:
|Full time employees
Part time employees
Volunteers|**2023**
**No.**
0
8
90|**2022**
**No.**
0
8
90|
|---|---|---|
During the year, no Trustees received any remuneration (2023 - £Nil). During the year, no Trustees received any benefits in kind (2023 - £Nil).
Reimbursed expenses in respect of trustee meetings, amounted to £Nil (2023 - £Nil).
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**Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
**For the year ended 31 March 2023**
9 **Tangible fixed assets**
|**Company**
**Cost**
At 1 April 2022
Additions
Disposals
At 31 March 2023
**Depreciation**
At 1 April 2022
Charge for the year
On disposals
At 31 March 2023
**Net book value**
At 31 March 2023
At 31 March 2022|**Motor**
**vehicles**
**£**
30,000
-
-|**Equipment**
**£**
8,595
-
-|**Total**
**£**
38,595
-
-
38,595
37,578
1,017
-
38,595
-
-|
|---|---|---|---|
||30,000|8,595||
||
30,000
-
-|
7,578
1,017
-||
||30,000|8,595||
||
-|
-||
||-|-||
**Note: The assets were written off in 2022** .
Page | 17
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## **Sutton Old People’s Welfare Committee (Incorporating Sutton Lodge Day Centre)**
## **Registered number: 284231**
## Notes to the Financial Statements
**For the year ended 31 March 2023**
## **10. Debtors**
|Cash owing from hire of premises
Cash owing from members
Advance payments
**Creditors: Amounts falling due within one year**
Cash owing to members
Salaries creditor
Rent owing to Sutton Council
|**2023**
**£**
360
-
1,340|**2022**
1,049
21
1,340
2,410
**2022**
**£**
-
4,851
-
____________
4,851|
|---|---|---|
||1700||
||**2023**
**£**
-
-
-
____________
4,851||
## **11. Creditors: Amounts falling due within one year**
## **12. Creditors: Amounts falling due after more than one year**
There are no creditors due after more than one year (2023 = £Nil)
## **13. Controlling party**
There is no ultimate controlling party. The charity is controlled by the Board of Trustees.
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