**Charity Registration No. 294625** **Company Registration No, 02010021 (England and Wales)** ## INSTITUTE OF ST ANSELM # ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 ## INSTITUTE OF ST ANSELM ## LEGAL AND ADMINISTRATIVE INFORMATION |**President**|Bishop Vincenzo Viva - Bishop of Albano Diocese| |---|---| |**Trustees**|Reverend L Kofler| ||Miss T Slinn| ||Reverend A Chantry| ||Mr P Goodlace| ||Reverend P Mooney (Appointed 20 October 2021)| |**Charity number**|294625| |**Company number**|02010021| |**Registered office**|12 Madeira Road| ||Cliftonville| ||Kent| ||CT9 2QQ| |**Key Management Personnel**|The Trustees| |**Administration team**|L Wells - Finance clerk (To 11 May 2022)| ||C McGuire - Registrar| |**Independent examiner**|M Wilkes FCA| ||Azets Audit Services| ||Delandale House| ||37 Old Dover Road| ||Canterbury| ||Kent| ||CT1 3JF| |**Bankers**|HSBC Bank plc| ||9 Rose Lane| ||Canterbury| ||Kent| ||CT1 2JP| |**Solicitors**|Stone King| ||13 Queen Square| ||Bath| ||BA1 2HJ| ## INSTITUTE OF ST ANSELM ## CONTENTS |||**Page**|| |---|---|---|---| |Trustees' report|1|-|6| |Independent Examiners Report||7|| |Statement of financial activities||8|| |Balance sheet||9|| |Statement of Cash Flows||10|| |Notes to the financial statements|11|-|18| ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006 ('the 2006 Act'), present their annual report together with the financial statements of the charity for the year 1 July 2021 to 30 June 2022. The trustees confirm that the Annual Report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK (FRS 102) (effective 1 January 2015) as amended by Update Bulletin 1 (effective 1 January 2015). ## OBJECTIVES AND ACTIVITIES The chief objectives of the charity are the advancement of religion and education throughout the world and, in particular but without prejudice to the foregoing the analysis of the process of human growth and the training of individuals (and especially leaders) to foster psychological, physical and spiritual growth. Whatever we do, we want it to be in line with the principle objective of the company: “The advancement of religion and education throughout the world and in particular but without prejudice to the foregoing the analysis of the process of human growth and the training of individuals (and especially leaders) to foster psychological, physical and spiritual growth.” The Institute’s Mission is driven by the conviction that the formation of bishops, superiors, priests, religious and pastoral workers needs to be more process-oriented if the church of the future is to become a healing Church. Generally speaking, one can say that candidates learn to grow in love for themselves, others, the environment and God through learning to relate constructively to all four. The Institutes basic premise is that Christianity will become relevant to the needs of our time when the emphasis changes from its traditional teaching function to the healing ministry as seen in Jesus’ ministry. Healing played a fundamental role. The courses run by the Institute encourage and facilitate a process of inner growth and change in the participants. This moment of metanoia or spiritual conversion enables them to outgrow their fears and trust themselves in the “unfolding process of life and meaning”. The main objectives for the year are advertising, assessing and the smooth running of all courses. The strategies for achieving the objectives are: Leadership Training – to help them to understand themselves in a leadership role. Multi cultural – Community Living; Encouragement of people from countries worldwide to attend courses; Support of those, especially in need of psychological and spiritual enhancement. There are many significant activities that contribute to the achievement of the stated objectives. The Institute offers a variety of courses to meet the particular needs of participants. The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake. The Institute was established in 1984. Approximately 3,550 students have received a Diploma in Human Development after completing their nine-month experiential programme. Page 1 ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 ## OBJECTIVES AND ACTIVITIES (Continued) During the 2021/22 year we had the following participants on the various programmes as follows: 1SARDip - 1 year Diploma - Sep 2021 to May 2022 - 13 participants. 2SARDip - 1 year Diploma - Jan to May 2021 & Sep to Dec 2021 - 5 participants. 2SARDip - 1 year Diploma - Jan to May 2022 & Sep to Dec 2022 - 5 participants. 4SARCert - Sep 2021 to Dec 2021 - 12-week certificate programme - 6 participants. 4SARCert - Sep 2022 to Dec 2022 - 12-week certificate programme - 9 participants. 3SARCert - Jan 2022 to May 2022 - 18-week certificate programme - 12 participants. 5SARCert - Jan 2022 to Feb 2022 - 7-week certificate programme - 2 participants. To date, the Institute has assisted over five thousand participants in different courses; these in turn have helped countless others throughout the world, which is a vast achievement for the Institute. Each year we know that the participants will take with them that they have learned and go on to teach others back in their own countries. We hope that in this way our teaching will be passed on for many years to come. To see the students when they first arrive and then when they leave, and to see how much they have grown in maturity and integration as well rounded and balanced and gained from the courses is extremely beneficial and highly gratifying for staff and participants. All of the properties except for one are now rented out and one property is kept as our UK Headquarters. We held a 2-week training course for ‘team members’ in May/June and there will be another in September also for two weeks, for our 2nd and 3rd year students to prepare them for the intake in September & January. During the year the Institute offered bursaries to Four second-years and Two third-year team members which would be worth approximately £16,600 (€19,380) each and approximately £5,150 (€6,000) of this goes to Il Carmelo ## ACHIEVEMENTS AND PERFORMANCE ## _**a. Review of activities**_ ## _**Diploma and Certificate Programmes commenced September 2020 in Rome**_ We began the courses with 21 participants for the September 2021 intake, 5 of these were completing the course they began at the beginning of January 2021. In January 2022 we had 31 participants join us, 13 of these were completing the Diploma programme they started in September 2021. In January 2022, we were very aware of the effects that Covid 19 can have on the programme from the previous year, therefore we had taken the measure of requesting that each new arrival wear their mask for the first 2 weeks of the Programme, to protect themselves and others that were already here. We also requested that they do not mix in the local shops until they were sure they were covid free. This seemed to work well, and we were able to continue with the normal running of the Programme. ## _**Seven-Week Programme**_ As we are not offering a summer course in Rome due to high temperatures. This is an intensive course for those who are very limited for time. We now have this 7-week Certificate, it is for Superior Generals, Bishops, and those who are in the Generalates who are responsible for Formation. Our experience has been, the 7 week is only a taster programme for Superiors to understand the nature of the Programmes and it is not sufficient for people who want to train as Leaders or Formators. We offered this seven-week course at our intakes for both September 2021 and January 2022 for the above. Page 2 ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 ## _**2nd and 3rd Year students**_ They had a two-week training course in May and another 2 weeks training will take place in September 2022. ## _**Management Team**_ Fr. Len Kofler, Founder and Director, Thalia Slinn and Claire McGuire shared the daily planning and running of the Institute. Sr. Therese Garman is our consultant and guide for requirements for NCFE and ASIC; in addition she has the role of internal assessor. The visa process in Rome is challenging but they get their visas. The visa process in Rome is challenging but they get their visas. ## _**Academic staff**_ Fr. Len Kofler, Thalia Slinn, Fr Wijnand Huijs, Fr Lote Raiwalui. In addition to these we have Fr Peter Verity, Fr John Breen, Sr Lettedinghil, Fr Giuseppe Crea here in Rome who come on a regular basis. We also have Fr John McCluskey, Fr Jim McManus, Fr Denis McBride, Fr Denis Tindall coming from England or via zoom and are continuing to build up a team of guest lecturers from Rome. ## _**Inspection of courses**_ Our NCFE Inspection took place on Tuesday 3rd November 2021 remotely with a request that their next EQA sample should be carried out in person due to the nature and volume of their delivery and work carried out by the students. In this inspection we received another excellent report. Our ASIC reaccreditation service continues to give their support remotely until their next inspection before 2025 ASIC’s has also been given a new status: ASIC has been awarded Full Membership status of the International Network for Quality Assurance Agencies in Higher Education (INQAAHE) ## _**b. Investment policy and performance**_ Under the Memorandum and Articles of Association the charity has the power to invest the monies of the Trust not immediately required for its purposes in or upon such investments, securities or property as the Trustees (meaning in the memorandum the persons holding such office as constitute under the Trust’s Articles of Association) shall think fit. The Institute has adopted a strategy in its investment policy for capital appreciation. The investment portfolio performed in line with market expectations. ## FINANCIAL REVIEW Income for the year was £518,349 (2021: £365,977) and expenditure amounted to £375,367 (2021: £316,291). The resulting surplus, before valuation adjustments of fixed asset investments and investment property's was £142,982 against a 2021 surplus of £49,686. The charity's balance sheet shows a positive position of £2,971,418 (2021: £2,683,959). Net current assets have increased from £470,222 to £616,956 and the charity holds the level of reserves it requires (see Reserves policy below). The cash balance has increased from £634,774 to £676,009 with £14,193 decrease (2021: £111,385 increase) from charitable activities and an increase of £55,428 (2021: £54,372 increase) from investments held by the charity to generate income. ## _**a. Going concern**_ After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Page 3 ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 ## _**b. Reserves policy**_ The Trustees have considered future income streams, budgeted expenditure and cyclical maintenance programmes for the charity's various properties and have assesed the need for a reserves policy of £100k (2021 - £100k). At 30 June the charity had unrestricted (undesignated) reserves of £115k (2021 - £88k) against a required target of £100k (2021 - £100k). At 30 June the charity had designated reserves of £2,856k (2021: £2,596k) which comprised the Designated Building fund of £306k (2021: £310k), the designated Investment fund of £2,048k (2021: £1,904), the designated fund for the purchase of property in Rome of £450k (2021 : £350k) and the repairs to building in Rome fund of £52k (2021 : £32k). ## _**c. Principal Funding**_ Aside from the income generated from the Charity’s investment properties, the principal funding source comes from fees received for courses provided by the Charity during the year and a percentage of the fee income will go to Il Carmelo for the use of the rooms and building. ## _**d. Future developments**_ We are a Legal Entity in Rome and we are now aiming to become a Legal Institute with Canonical Rights under the Vatican State as we need both of these for visas. Despite our visa situation our numbers continue to rise. Il Carmelo no longer continuing to do the invitation letters for any of the intending Participants who do not a house in Rome, but this has not deterred them from coming. Somehow, they all seem to find a way around this. We had 23 first year Participants attending the September 2021 Programmes, while we had 31 attending the January 2022 Programmes. Thankfully the charity is still providing courses. We also have 2 second year Participants, along with 2 third year Participants. One of the third year Participants who has just completed his programme will continue on here at the Institute working as a staff member. He had been a great support to the Management in his experience of contacts and having the Italian language. We have 42 rooms at the Institute for first year participants which we hope to fill before long. If our numbers increase, we have been offered further rooms in the campus. We are looking to make further contacts in Rome and find additional suitable guest lecturers from Rome so we are not dependent on the UK. We also hope to offer a conference to Major religious superiors for a day, to become better known. We still carry on doing some consultation, counselling and spiritual direction in Cliftonville. ## _**The New Academic Year September 2022/23**_ Our advertising this year will have a new input from a short video that was created in the Spring, with the Participants, Team and Staff all having an opportunity to express their own personal appreciation for the work that happens at the Institute. Their life-changing experiences. Along side of this, Fr Len has had several meetings with Superior Generals of different Congregation who are very interested to know more and send their Priests or Religious. The Properties, houses 63, 65, 67 Norfolk Road and Flats 1 & 2 at 61 Norfolk Road, 38 Madeira Road and also offices at Cumberland Lodge continue to be let out for which we receive rental income and they are managed by a local firm. Page 4 ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 ## STRUCTURE, GOVERNANCE AND MANAGEMENT ## _**a. Constitution**_ The company is a charitable company limited by guarantee and was set up by a Memorandum of Association on 14 April 1986. The company is constituted under a Memorandum of Association dated 14 April 1986 and is a registered charity number 294625. ## _**b. Method of appointment or election of Trustees**_ The management of the charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association. ## _**c. Policies adopted for the induction and training of Trustees**_ When a new Trustee joins the Institute they are first introduced to the existing Trustees and staff members. The trustees are informed of what is expected of them and made aware of their legal obligations. To assist them they are issued with a copy of the latest edition of “The Essential Trustee: What you need to know” to give them a guide of what is expected. A copy of “The Essential Trustee” is also given to existing trustees as and when a new edition is updated. Updated literature about Charities and Charity Law is distributed to the Trustees as and when received. ## _**d. Organisational structure and decision making**_ The management of the company is the responsibility of the Trustees who are co-opted under the terms of the memorandum and articles of association. None of the Trustees have any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up. The charity is UK based and runs courses in both the UK and Italy. It's headquarters are in Cliftonville, near Margate, Kent The Institute's management structure has three tiers of Executive, Staff and Team. An advisory board meets twice each year offering guidance and direction to the trustees. ## _**e. Related party relationships**_ The charity has related party relationships with the following two charities: ‘World Movement for Reconciliation’ was founded by the Institute as it is central theme of what we do and this was a simple way of expanding it to many others. Most of our participants choose to become members. Choreo' is an Accreditation Board for Therapist an, Counsellors, Growth Facilitators. It was started for participants of the Institute so when leaving the Institute after 3 years they have an extra recognition for their work. ## _**f. Risk management**_ The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks. These have been updated in response to the Covid-19 pandemic. We are a Legal Entity in Rome and we are now aiming to become a Legal Institute with Canonical Rights under the Vatican State as we need both of these for visas. This will reduce any risk regarding visas. We have a risk assessment which has been completed for 12 Madeira Road which is now our registered office in the UK. We also have 3 contracts of employment. We remain under the auspices of Peninsula to ensure we maintain the up-todate standards required. Page 5 ## INSTITUTE OF ST ANSELM ## TRUSTEES' REPORT ## FOR THE YEAR ENDED 30 JUNE 2022 ## Trustees' responsibilities statement The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial 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 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; - make judgments and accounting estimates that are reasonable and prudent; - state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping sufficient accounting records that 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 Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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. This report was approved by the Trustees, on 8 March 2023 and signed on their behalf by: ## **Reverend A Chantry** Trustee Page 6 ## INSTITUTE OF ST ANSELM ## INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 30 JUNE 2022 ## INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF INSTITUTE OF ST ANSELM (the ## "company") I report on the trustees on my examination of the accounts of the charity for the year ended 30 June 2022 which are set out on pages 8 to 18. ## **Responsibilities and basis of report** As the charity's trustees of the company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 ('the 2006 Act'). Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act. ## **Independent examiner's statement** Since the Company's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of ICAEW, which is one of the listed bodies. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe: - accounting records were not kept in respect of the Company as required by section386 of the 2006 Act; or - the accounts do not accord with those records; or - the accounts do not comply with the accounting requirements of section 396 of the 2006 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; or - 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 to the UK (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 a proper understanding of the financial statements to be reached. ## **M A Wilkes (FCA) Azets Audit Services** Delandale House, 37 Old Dover Road, Canterbury, Kent, CT1 3JF **Date:** 22 March 2023 Page 7. ## INSTITUTE OF ST ANSELM ## STATEMENT OF FINANCIAL ACTIVIES ## INCLUDING INCOME AND EXPENDITURE ACCOUNT ## FOR THE YEAR ENDED 30 JUNE 2022 |**Notes**
**Income from:**
Donations and legacies
Charitable activities
**2**
Investments
**3**
Other income
**Total income**
**Expenditure on:**
Raising funds
**4**
Charitable activities
**5**
**Total expenditure**
**Net income**
Net gains/(losses) on investments
**9**
**Net movement in funds**
**Fund balances**
at 1 July 2021
**At 30 June 2022**|**Unrestricted**
**fund**
**2022**
**£**
300
417,446
100,543
60
518,349
45,115
330,252
375,367
142,982
144,477
287,459
2,683,959
2,971,418|Total
2021
£
-
265,910
99,979
88
365,977
38,477
277,814
316,291
49,686
34,687
84,373
2,599,586
2,683,959| |---|---|---| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. All income and expenditure in 2021 related to unrestricted funds. Page 8 ## INSTITUTE OF ST ANSELM ## BALANCE SHEET ## AS AT 30 JUNE 2022 ## Company Registration No. 02010021 |**Notes**
**Fixed assets**
Tangible assets
**10**
Investment properties
**11**
Investments
**12**
**Current assets**
Debtors
**13**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**14**
Net current assets
**Total assets less current liabilities**
**Funds**
Designated funds
18
Unrestricted funds|**2022**
**£**
113,126
676,009
789,135
(172,179)|**2022**
**£**
306,413
1,815,000
233,049
2,354,462
616,956
2,971,418
2,856,095
115,323
2,971,418|2021
£
8,219
634,774
642,993
(172,771)|2021
£
310,165
1,650,000
253,572
2,213,737
470,222
2,683,959
2,596,057
87,902
2,683,959| |---|---|---|---|---| The charitable company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 June 2022. The members have not required the charitable ompany to obtain an audit of its financial statements for the year ended 30 June 2022 in accordance with section 476 of the Companies Act 2006. The Trustees acknowledge their responsibilities for: (a) ensuring the charitable company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2005; and (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. The financial statements were approved by the Trustees on 8 March 2023 and signed on their behalf by: Trustee **Reverend A Chantry** Page 9 ## INSTITUTE OF ST ANSELM ## STATEMENT OF CASH FLOWS ## FOR THE YEAR ENDED 30 JUNE 2022 Company Registration No. 02010021 |**Cash flows from operating activities**
Net income / (expenditure for the year)
_Adjustment for:_
Depreciation
Gains / (losses) on investments
Interest received / rents from investments
Cost of investing activities
Increase in debtors
Increase in creditors
Net cash used in operating activities
**Investing activies**
Interest received / rents from investments
Cost of investing activities
Purchase of tangible fixed assets
**Net cash from investing activities**
**Net increase / (decrease) in cash and cash**
**equivalents**
Cash and cash equivalents at beginning of year
**Cash and cash equivalents at end of year**|**2022**
**£**
287,459
3,752
(144,477)
(100,543)
45,115
(104,907)
(592)
100,543
(45,115)
-|**2022**
**£**
(14,193)
55,428
41,235
634,774
676,009|2021
£
84,373
3,057
(34,687)
(99,979)
38,477
12,129
108,015
99,979
(38,477)
(7,130)|2021
£
111,385
54,372
165,757
469,017
634,774| |---|---|---|---|---| Page 10 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 ## **1. Accounting policies** ## **1.1 Accounting convention** The financial statements have been prepared in accordance with the charity's [governing document], the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the forseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. ## **1.4 Income** Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. Investment income is earned through holding assets for investment purposes such as Investment Properties and includes rental income. Rental income is recognised when it is due in accordance with the lease agreements. Course income is recognised when the courses are undertaken which are in the periods January to May and September to December each year. ## **1.5 Expenditure** Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management carried out at Headquarters. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements. Page 11 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 ## **1. Accounting policies (continued)** ## **1.5 Expenditure** Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds. Charitable activities and Governance costs are costs incurred on the charity's educational operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities. ## **1.6 Tangible fixed assets** Assets costing £1,000 or more are capitalised as tangible fixed assets and are carried at cost, net of depreciation and any impairment. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Freehold Buildings - 2.5% straight line Freehold Land - Not depreciated Fixtures and Fittings - 5% to 20% straight line The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year. ## **1.7 Investment properties** Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss. ## **1.8 Fixed asset investments** Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred. ## **1.9 Impairment of fixed assets** At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). ## **1.10 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## **1.11 Financial instruments** The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Page 12 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 ## **1. Accounting policies (continued)** ## **1.11 Financial instruments (continued(** ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. ## **1.12 Employee benefits** The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits. ## **1.13 Retirement benefits** Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. ## **1.14 Critical accounting estimates and judgements** In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below. ## Useful economic lives of tangible assets The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are reassessed annually. They are amended when necessary to reflect current estimates based on economic utilisation and the physical condition of the assets. ## Investment Properties Investment Properties are measured at fair value at the Balance Sheet date. The fair values are assessed annually by the trustees. Page 13 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS ## FOR THE YEAR ENDED 30 JUNE 2022 |**2.**
**3.**
**4.**
**5.**
**6.**|**Charitable activities**
Diploma / Sabbatical
**Investments**
Rental income
Interest receivable
**Costs of generating voluntary income**
Investment property management fees
Investment property repairs
Other investment property costs
**Expenditure**
**Staff**
**costs**
**£**
Cost of generating funds
-
Charitable activity:
Advancement of religion and
education
36,039
36,039
**Support costs**
Depreciation
Rates
Light and heat
Other expenditure
Travel and subsistence
Telephone, printing and stationery
Equipment maintenance and repairs
Legal and professional fees
Governance costs:
Independent Examination Fee|**Direct**
**costs**
**£**
45,115
247,095
292,210|**Support**
**costs**
**£**
-
47,118
47,118|**2022**
**£**
417,446
**2022**
**£**
100,535
8
100,543
**2022**
**£**
12,624
18,995
13,496
45,115
**Total**
**2022**
**£**
45,115
330,252
375,367
**2022**
**£**
2,096
2,808
1,802
4,613
11,895
5,203
6,585
3,992
8,124
47,118|**2021**
**£**
265,910
**2021**
**£**
99,894
85
99,979
**2021**
**£**
14,328
14,435
9,714
38,477
**Total**
**2021**
**£**
38,477
277,814
316,291
**2021**
**£**
2,367
2,675
1,704
1,934
10,109
3,117
8,140
8,658
7,194
45,898| |---|---|---|---|---|---| Page 14 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 ## **7. Trustees** During the year the charity re-imbursed £5,137 to 2 Trustees (2021: £2,248 - 1 Trustee) for expenses paid on the charity's behalf in respect of travel and running costs incurred in Rome. ## **8. Employees** ## **Number of employees** |The average monthly number of employees during the year was:
Support staff
**Employment costs**
Wages and salaries
Other pension costs|**2022**
**no.**
2
**2022**
**£**
35,513
526
36,039|**2021**
**no.**
3
**2021**
**£**
36,249
676
36,925| |---|---|---| No employee received remuneration amounting to more than £60,000 in either year. The Key Management Personnel of the charity are considered to be the Trustees who receive no remuneration. ## 9. **Net gains / (losses) on investments** |9.
**Net gains / (losses) on investments**
Revaluation of investments
Revaluation of Investment Properties
**10.**
**Tangible fixed assets**
**Cost**
At 1 July 2021 and 30 June 2022
**Depreciation and impairment**
At 1 July 2021
Depreciation charged in the year
**At 30 June 2022**
**Carrying amount**
At 30 June 2022
At 30 June 2021|**Freehold**
**land and**
**buildings**
**£**
353,468
64,936
586
65,522
287,946
288,532|**2022**
**£**
(20,523)
165,000
144,477
**Fixtures**
**and**
**fittings**
**£**
33,779
12,146
3,166
15,312
18,467
21,633|**2021**
**£**
34,687
-
34,687
**Total**
**£**
387,247
77,082
3,752
80,834
306,413
310,165| |---|---|---|---| The carrying value of land included in land and buildings was £70,694 (2021: £70,694). Page 15 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS ## FOR THE YEAR ENDED 30 JUNE 2022 |**11.**
**Investment properties**
**Fair value**
At 1 July 2021
Surplus / (deficit) on revaluation
**At 30 June 2022**|**2022**
**£**
1,650,000
165,000
1,815,000|**2021**
**£**
1,650,000
-
1,650,000| |---|---|---| The 2022 valuations were made by the trustees, on an open market value for existing use basis. The historic cost of the Investment Properties at 30 June 2022 was £1,431,235 (2021: £1,431,235). |**12.**
**Fixed asset investments**
**Market value**
At 1 July 2021
Revaluations
**At 30 June 2022**
**Investments at market value comprise:**
United Kingdom
**Asset distribution**
Unit Trusts
**Material investments**
Global Equity Class Unit Trust
Balance Mgd Class Unit Trust
Managed Growth Class Unit Trust
**Historical cost**
Listed securities
**13.**
**Debtors**
Trade debtors - Course fees
Other debtors|**2022**
**£**
253,572
(20,523)
233,049
233,049
233,049
14,783
11,522
12,034
38,339
191,749
**2022**
**£**
109,494
3,632
113,126|**2021**
**£**
218,885
34,687
253,572
253,572
253,572
16,511
13,246
12,678
42,435
191,749
**2021**
**£**
-
8,219
8,219| |---|---|---| Page 16 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS ## FOR THE YEAR ENDED 30 JUNE 2022 |**14.**
**Creditors: amounts falling due within one year**
Trade creditors
Other taxes and social security costs
Other creditors
Accruals and deferred income
**15.**
**Deferred income**
Deferred income is included within:
Creditors due within one year
Deferred income at 1 July 2022
Released from previous years
Resourses deferred in the year
Deferred income at 30 June 2022|**2022**
**£**
438
199
5,365
166,177
172,179
**2022**
**£**
154,460
160,186
(160,186)
154,460
154,460|**2021**
**£**
2,156
-
3,235
167,380
172,771
2021
**£**
160,186
53,758
(53,758)
160,186
160,186| |---|---|---| ## **16. Retirement benefit schemes** ## **Defined contribution schemes** The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund. The charge to income and expenditure in respect of defined contribution schemes was £526 (2021: £710). ## **17. Related party transactions** ‘World Movement for Reconciliation’ was founded by the Institute as it is central theme of what we do and this was a simple way of expanding it to many others. Most of our participants choose to become members. Choreo' is an Accreditation Board for Therapist an, Counsellors, Growth Facilitators. It was started for participants of the Institute so when leaving the Institute after 3 years they have an extra recognition for their work. The charity made expenses on behalf of the following related parties that will be repaid in full: Choreo - Balance due to the charity in respect of payments made on its behalf - £1,875 (2021: £1,875). Tribos World Movement for Reconciliation - Balance due to the charity in respect of payments made on its behalf - £1,720 (2021: £1,720). Page 17 ## INSTITUTE OF ST ANSELM ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022 |**18.**
**Designated funds**
**CURRENT YEAR**
Fixed Asset Fund
Investment Fund
New Building Fund - Rome
Building Fund - Rome
**PRIOR YEAR**
Building Fund
Investment Fund
New Building Fund - Rome
Building Fund - Rome|**Balance at**
**01 Jan 22**
**£**
310,165
1,903,572
350,000
32,320
2,596,057
**Balance at**
**01 Jul 20**
**£**
306,092
1,868,885
21,680
2,196,657|**New**
**designations**
**£**
-
165,000
100,000
19,313
284,313
**New**
**designations**
**£**
7,130
-
350,000
10,640
367,770|**Designations**
**released**
**£**
(3,752)
(20,523)
-
-
(24,275)
**Designations**
**released**
**£**
(3,057)
34,687
-
31,630|**Balance at**
**30 Jun 22**
**£**
306,413
2,048,049
450,000
51,633
2,856,095
**Balance at**
**31 Dec 21**
**£**
310,165
1,903,572
350,000
32,320
2,596,057| |---|---|---|---|---| ## _Fixed Asset Fund_ This fund represents land and buildings and related fixtures and fittings which are used for charitable use. ## _Investment Fund_ This fund represents tangible fixed assets in the form of investment properties and an investment portfolio which are used by the charity for both the purposes of income generation and capital appreciation and thus do not form part of the charity's free reserves. ## _New Building Fund - Rome_ This fund represents amounts held towards the potential acquisition of property in Rome to run courses in the future. ## _Building Fund - Rome_ This fund represents 5% of fees that is held towards the contribution of building work in Rome and is agreed with Il Carmelo in advance of spending. Page 18