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2025-02-28-accounts

Charity registration number: 301794

The Crofton Community Association

Annual Report and Financial Statements

for the Year Ended 28 February 2025

The Crofton Community Association

Contents (continued)

Reference and Administrative Details 1 to 3
Trustees' Report 4 to 5
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 to 18

The Crofton Community Association

Reference and Administrative Details

Trustees Mr D M Lewis MBE, Chairman Mrs J Holden, Hon Secretary Cllr S Dugan, FBC Representative Mrs A Hayes Mr S Murray Co-opt Members of Management Committee Mrs K Mandry Cllr P Hayre

Page 1

The Crofton Community Association

Reference and Administrative Details (continued)

Full Council

Ms A Hayes

Mrs J Holden, Honorary Secretary Mr S Murray Mr J Forrest Mr G Ross Mr A Lewis Mr M Lewis, Chairman Mrs K Mandry

Mr M Williams

Mrs J Wingate Mrs J McCreedy Cllr S Dugan, FBC Representitive (re-appointed May 2020)

Mr A Hathaway

Cllr P Hayre

Principal Office

Crofton Community Centre Stubbington Lane Stubbington Fareham PO14 2PP

Charity Registration Number 301794

Page 2

The Crofton Community Association

Reference and Administrative Details (continued)

Bankers United Trust Bank 1 Ropemaker Street London EC2Y 9AW Hampshire Trust Bank 131 Finsbury Pavement London EC2A 1NT Barclays Bank Plc Fareham 67-69 West Street Fareham Hampshire PO16 0AW Unity Trust Bank Plc 9 Brindley Place Birmingham B1 2HB Cambridge & Counties Bank Limited Charnwood Court New Walk Leicester LE1 6TE Accountant/Bookkeeper J Humphry Associates Limited 11a Stubbington Green Fareham Hampshire PO14 2JG Auditor MMO Limited Chartered Accountants and Statutory Auditors Wellesley House 204 London Road Waterlooville Hampshire PO7 7AN Solicitors Churchers 12 High Street Fareham PO16 7BL

Page 3

The Crofton Community Association

Trustees' Report

Review of Activities

As we prepare for the handover of operational responsibility to Crofton Community Hub, we acknowledge with both pride and sadness that this marks the final full set of annual accounts for Crofton Community Association, which has served the community continuously since 1965. Our centre once again remained well-used by long-standing and new groups alike, membership levels have held steady, reaffirming the essential role we play at the heart of the community.

As has been the experience for many organisations across the voluntary and community sector this year, the financial climate has remained extremely challenging. Rising utilities, inflationary pressures, and increasing maintenance needs have continued to place strain on our resources. We also undertook necessary improvements across several areas, recognising that providing a safe and welcoming facility remains core to our charitable purpose.

2024/25 has been a landmark year and we are pleased to report the formal establishment of Crofton Community Hub (CCH)—the new Charitable Incorporated Organisation (CIO) that will carry forward the work previously undertaken and overseen by CCA. The CIO Working Group has continued to meet regularly, ensuring disciplined progress throughout the year, supported by legal guidance and sustained engagement with the Charity Commission. This effort has culminated in CCH being in the position to assume day-to-day operations from 1 March 2025, with CCA thereafter focusing on the structured transfer of assets and responsibilities.

Future Developments and Transition to Crofton Community Hub (CCH)

The principal focus for the year ahead is to ensure a smooth, compliant, and well-managed transition of operational responsibilities to Crofton Community Hub. While CCA will continue to exist temporarily to steward the final phases of asset transfer and legal closure, CCH will become the primary operational body serving the community from March onward.

Summary of Financial Position

The wider financial environment of 2024/25 has remained difficult. Income levels improved across several areas, with total income rising to £255,423 (2024: £230,195), reflecting higher usage as well as increased investment income.

However, expenditure, driven by inflation, higher energy costs, and essential maintenance, rose to £275,848 (2024: £263,148). This resulted in a net deficit of £20,425, an improvement on last year’s deficit of £32,953, but still reflective of the pressures faced by the organisation.

The Association’s total funds at year end stood at £415,119, Whilst this remains a strong position, it continues a gradual year-on-year reduction (2024: £435,544). Trustees remain committed to careful stewardship of reserves throughout the final phase of CCA’s existence, ensuring that the transfer to CCH is undertaken from a position of financial strength and transparency.

A Closing Reflection: The Final Chapter of Crofton Community Association

Across six decades, CCA has weathered societal change, economic challenges, shifts in legislation, and vast developments in the needs and expectations of the community. Through it all, the Association has remained steadfast in its purpose to provide an accessible, welcoming, venue providing meaningful opportunities for local people to come together. The establishment of CCH is not an ending of that purpose, but the next stage of its continual renewal.

Page 4

The Crofton Community Association

Trustees' Report (continued)

CCA will continue to exist only for as long as required to complete the careful transfer of assets, responsibilities, and legal commitments to CCH. Once this work is complete, CCA will be formally laid to rest.

Our Thanks

The current trustees wish to express their profound and heartfelt thanks to all who have supported, guided, visited and worked for Crofton Community Association. Above all, to all the trustees, committee members and other volunteers who have given freely of their energy, time, skills, and passion - thank you, without you, none of this would have been possible.

We look forward with optimism to the future under Crofton Community Hub, and we wish the new charity every success as it carries forward the legacy, values, and community spirit that have defined CCA for 60 years.

The annual report was approved by the trustees of the charity on .................... and signed on its behalf by: 18/12/25

......................................... Mr D M Lewis MBE Trustee

Page 5

The Crofton Community Association

Independent Examiner's Report to the trustees of The Crofton Community Association

I report to the trustees on my examination of the accounts of The Crofton Community Association for the year ended 28 February 2025.

Responsibilities and basis of report

As the charity trustees of The Crofton Community Association you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).

I report in respect of my examination of the The Crofton Community Association's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner’s statement

Since The Crofton Community Association'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 , which is one of the listed bodies.

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of The Crofton Community Association as required by section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 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.

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 accounts to be reached.

...................................... Gillian McIntosh Chartered Accountants and Statutory Auditors

Wellesley House 204 London Road Waterlooville Hampshire PO7 7AN

Date:.............................

Page 6

The Crofton Community Association

Statement of Financial Activities for the Year Ended 28 February 2025

Note
Income and Endowments from:
Charitable activities
2
Investment income
3
Other income
4
Total Income
Expenditure on:
Charitable activities
5
Total Expenditure
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
16
Note
Income and Endowments from:
Charitable activities
2
Investment income
3
Other income
4
Total Income
Expenditure on:
Charitable activities
5
Total Expenditure
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
16
Unrestricted
£
229,920
7,523
17,980
255,423
(275,848)
(275,848)
(20,425)
435,544
415,119
Unrestricted
£
205,869
6,403
17,923
230,195
(263,148)
(263,148)
(32,953)
468,497
435,544
Total
2025
£
229,920
7,523
17,980
255,423
(275,848)
(275,848)
(20,425)
435,544
415,119
Total
2024
£
205,869
6,403
17,923
230,195
(263,148)
(263,148)
(32,953)
468,497
435,544

All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2024 is shown in note 16.

The notes on pages 9 to 18 form an integral part of these financial statements. Page 7

The Crofton Community Association

(Registration number: 301794) Balance Sheet as at 28 February 2025

Note
Fixed assets
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
14
Creditors: Amounts falling due within one year
15
Net current assets
Net assets
Funds of the charity:
Unrestricted income funds
Unrestricted funds
Total funds
16
2025
£
69,718
10,457
351,478
361,935
(16,534)
345,401
415,119
415,119
415,119
2024
£
64,969
14,916
367,479
382,395
(11,820)
370,575
435,544
435,544
435,544

The financial statements on pages 7 to 18 were approved by the trustees, and authorised for issue on 18/12/25 .................... and signed on their behalf by:

.........................................

Mr D M Lewis MBE Trustee

The notes on pages 9 to 18 form an integral part of these financial statements. Page 8

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025

1 Accounting policies

Statement of compliance

The financial statements have been prepared in accordance with the second edition of the Charities Statement of Recommended Practice issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

Basis of preparation

The Crofton Community Association meets the definition of a public benefit entity under FRS 102. The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

Income and endowments

Investment income

Investment income is recongnised on a receivable basis.

Charitable activities

Income from charitable activities includes income recognised as earned (as the related goods or services) under contract.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including preparation and examination of the accounts, bank charges and the cost of any legal advice to trustees' on governance or constitutional matters.

Page 9

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

Taxation

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Tangible fixed assets

Individual fixed assets costing £45.00 or more are initially recorded at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Depreciation and amortisation

Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:

Asset class Depreciation method and rate
Computer equipment 33% straight line
Fixtures and fittings 25% straight line
Equipment 20% straight line
Leasehold improvements 5% straight line
Property works 10% straight line

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business and are measured at cost, reviewed annually for impairment.

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.

Trade creditors

Trade and other creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities unless there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

They are recognised initially at the transaction price.

Page 10

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

Fund structure

Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.

Designated funds are unrestricted funds set aside for specific purposes at the discretion of the trustees.

Pensions and other post retirement obligations

The costs arising on the charity's defined contribution schemes are recognised in the SOFA in the period in which the related service is provided.

Financial instruments

Classification

Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.

Recognition and measurement

All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.

Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.

Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.

Page 11

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

Debt instruments

Debt instruments which meet the following conditions are subsequently measured at amortised cost using the effective interest method:

(a) The contractual return to the holder is (i) a fixed amount; (ii) a positive fixed rate or a positive variable rate; or (iii) a combination of a positive or a negative fixed rate and a positive variable rate.

(b) The contract may provide for repayments of the principal or the return to the holder (but not both) to be linked to a single relevant observable index of general price inflation of the currency in which the debt instrument is denominated, provided such links are not leveraged.

(c) The contract may provide for a determinable variation of the return to the holder during the life of the instrument, provided that (i) the new rate satisfies condition (a) and the variation is not contingent on future events other than (1) a change of a contractual variable rate; (2) to protect the holder against credit deterioration of the issuer; (3) changes in levies applied by a central bank or arising from changes in relevant taxation or law; or (ii) the new rate is a market rate of interest and satisfies condition (a).

(d) There is no contractual provision that could, by its terms, result in the holder losing the principal amount or any interest attributable to the current period or prior periods.

(e) Contractual provisions that permit the issuer to prepay a debt instrument or permit the holder to put it back to the issuer before maturity are not contingent on future events, other than to protect the holder against the credit deterioration of the issuer or a change in control of the issuer, or to protect the holder or issuer against changes in levies applied by a central bank or arising from changes in relevant taxation or law.

(f) Contractual provisions may permit the extension of the term of the debt instrument, provided that the return to the holder and any other contractual provisions applicable during the extended term satisfy the conditions of paragraphs (a) to (c).

Debt instruments that are classified as payable or receivable within one year on initial recognition and which meet the above conditions are measured at the undiscounted amount of the cash or other consideration expected to be paid or received, net of impairment.

With the exception of some hedging instruments, other debt instruments not meeting these conditions are measured at fair value through profit or loss.

Commitments to make and receive loans which meet the conditions mentioned above are measured at cost (which may be nil) less impairment.

Fair value measurement

The best evidence of fair value is a quoted price for an identical asset in an active market. When quoted prices are unavailable, the price of a recent transaction for an identical asset provides evidence of fair value as long as there has not been a significant change in economic circumstances or a significant lapse of time since the transaction took place. If the market is not active and recent transactions of an identical asset on their own are not a good estimate of fair value, the fair value is estimated by using a valuation technique.

Page 12

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

2 Income from charitable activities

Hammond Wing
Sports Hall Wing
Crofton Hall Link Wing
Subscriptions
Unrestricted
funds
General
£
95,625
62,983
53,126
18,186
229,920
Total
2025
£
95,625
62,983
53,126
18,186
229,920
Total
2024
£
81,003
58,953
50,057
15,856
205,869
Total
2025
£

3 Investment income

Interest receivable and similar income;
Interest receivable on bank deposits
4
Other income
Other income
Fareham Borough Council recharges
Unrestricted
funds
General
£
7,523
Unrestricted
General
£
647
17,333
17,980
Total
2025
£
7,523
Total
2025
£
647
17,333
17,980
Total
2024
£
6,403
Total
2024
£
251
17,672
17,923

Page 13

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

5 Expenditure on charitable activities

Note
Direct costs of charitable activities
Depreciation, amortisation and other similar
costs
Staff costs
Governance costs including examiners fees
Unrestricted
General
£
88,994
17,235
163,731
5,888
275,848
Total
2025
£
88,994
17,235
163,731
5,888
275,848
Total
2024
£
92,042
12,505
155,910
2,691
263,148

Page 14

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

6 Analysis of governance and support costs

Governance costs

Audit fees
Audit of the financial statements
Legal fees
Other governance costs
Unrestricted
funds
General
£
1,253
3,298
1,337
5,888
Total
2025
£
1,253
3,298
1,337
5,888
Total
2024
£
1,248
211
1,232
2,691

7 Net incoming/outgoing resources

Net outgoing resources for the year include:

Audit fees
Depreciation of fixed assets
2025
£
1,253
17,235
2024
£
1,248
12,505

8 Trustees remuneration and expenses

No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.

Page 15

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

9 Staff costs

The aggregate payroll costs were as follows:

The aggregate payroll costs were as follows:
Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs
2025
£
149,257
11,811
2,663
163,731
2024
£
142,515
10,134
3,261
155,910

The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was as follows:

Charitable activities - Full time staff
Charitable activities - Part time staff
2025
No
-
-
-
2024
No
4
3
7

No employee received emoluments of more than £60,000 during the year

10 Auditors' remuneration

Audit of the financial statements

2025 2024
£ £
1,253 1,248

Page 16

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

11 Taxation

The charity is a registered charity and is therefore exempt from taxation.

12 Tangible fixed assets

12 Tangible fixed assets
Cost
At 1 March 2024
Additions
At 28 February 2025
Depreciation
At 1 March 2024
Charge for the year
At 28 February 2025
Net book value
At 28 February 2025
At 29 February 2024
13 Debtors
Trade debtors
Prepayments
14 Cash and cash equivalents
Cash at bank
Land and
buildings
£
99,202
1,553
Furniture and
equipment
£
138,558
20,431
158,989
110,371
11,306
121,677
37,312
28,187
2025
£
4,197
6,260
10,457
2025
£
351,478
Total
£
237,760
21,984
259,744
172,791
17,235
190,026
69,718
64,969
2024
£
9,915
5,001
100,755 158,989
62,420
5,929
110,371
11,306
68,349 121,677
32,406 37,312
36,782 28,187
2025
£
4,197
6,260
10,457
2025
£
351,478
14,916
2024
£
367,479

Page 17

The Crofton Community Association

Notes to the Financial Statements for the Year Ended 28 February 2025 (continued)

15 Creditors: amounts falling due within one year

Trade creditors
Other creditors
Accruals
16 Funds
Unrestricted funds
General
General Funds
Designated
Designated Funds
Reserved Funds
Total funds
Unrestricted funds
General
General Funds
Designated
Designated Funds
Reserved Funds
Total funds
Balance at 1
March 2024
£
156,344
165,500
113,700
279,200
435,544
Balance at 1
March 2023
£
189,297
165,500
113,700
279,200
468,497
Incoming
resources
£
255,423
-
-
-
255,423
Incoming
resources
£
230,195
-
-
-
230,195
2025
£
6,207
1,051
9,276
16,534
Resources
expended
£
(275,848)
-
-
-
(275,848)
Resources
expended
£
(263,148)
-
-
-
(263,148)
2024
£
981
1,159
9,680
11,820
Balance at 28
February 2025
£
135,919
165,500
113,700
279,200
415,119
Balance at 29
February 2024
£ (As restated)
156,344
165,500
113,700
279,200
435,544

Page 18