## LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 ## LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 ## CONTENTS Report of the Trustees Report of the Independent Examiner Statement of Financial Activities Balance Sheet Notes to the Financial Statements ## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION REPORT OF THE TRUSTEES** The trustees submit their annual report and the financial statements for the year ended 31[st] December 2021. ## **GOVERNING DOCUMENT** The Association is registered with the Charities Commission in England and Wales and is governed by a Trust Deed dated 22[nd] August 1944 and a scheme dated 11 July 1961. ## **TRUSTEES** The trustees who served during the year were:- Mr R Dewing (Chairman) Mr J Brown (Treasurer) resigned 13th May 2021 Mrs J Green (Secretary) Mrs C Brown resigned 13th May 2021 Mrs R Emm Mrs J Harding resigned 29 November 2021 Mr J Howell Mr M Lord resigned ??? date tbc Mrs S Shelton Mr M Weston Mr C Willsher Mr J Rickcord appointed 30th June 2021 Mr P Dawson appointed 30th June 2021 Mrs C Dawson appointed 30th June 2021 Mrs M Weston appointed 17th August 2021 ## **Charity Commission registered number:** 301883 **Principal office:** Lyndhurst Community Centre Main Car Park Off High Street Lyndhurst SO43 7NY ## **Bankers:** CAF Bank Ltd 25 Kings Hill Avenue West Malling Kent ME19 4JQ ## **Independent Examiner:** Mr Alan Nicholas 15a Wellands Road Lyndhurst ## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION REPORT OF THE TRUSTEES** ## **OBJECTS** The objects of the Association are:- - a) To promote for the benefit of the inhabitants of Lyndhurst, Emery Down, Bank and the surrounding area, the advancement of education and the provision of facilities to encourage interest in social welfare for recreation and leisure activities with the object of improving conditions of life for the said inhabitants. - b) To establish a Community Centre and to maintain and manage the same. ## **ACTIVITIES AND ACHIEVEMENTS** During the year, and after lockdown, the Association has provided facilities at the Community Centre for educational and leisure activities for the inhabitants, voluntary groups and associations in its area and provided facilities for exhibitions of interest and educational value to the local area and its inhabitants. It continues to encourage the use of its facilities by the local inhabitants, voluntary groups and associations in the furtherance of its objectives. ## **ELECTION AND APPOINTMENT OF TRUSTEES** All Trustees, with the exception of the President, shall retire at the Annual General Meeting of the Association, and are eligible for re-election. Honorary Officers – President, Chairman, Secretary and Treasurer and up to six additional Trustees shall be elected at the Annual General Meeting; additional Trustees may be co-opted during the year but their appointment must be confirmed at the next AGM. ## **FINANCIAL RESULTS AND ACTIVITIES** The Community Centre has inevitably been severely impacted by lockdown and tier restrictions during the first half of the year. The Centre was closed for much of that time as the types of activities which we host were mostly not permitted, and even where permitted, user groups were deciding not to participate. We make most of our income from room hire, and therefore we have had virtually none of our normal income for the first half of the year. Even after re-opening in June 2021 it became obvious that our usual clientele were taking a cautious approach with activity much reduced from what we would expect in more normal times. This became a feature throughout the remainder of the year with activity estimated to be around 50% of pre COVID levels. Great tribute must be paid to our staff who, along with volunteers, have worked hard to ensure that when the time came to re-open the Centre to the public we were a Covid safe environment. This was secured, again through great efforts by staff and volunteers, at only a modest cost. We have continued to receive substantial government funding during the year to alleviate the worst effects of lockdown - £24,500 in Business Support and £2,949 from the Coronavirus Job Retention Scheme. In spite of this support the closures and loss of income has led to an ordinary deficit for the year of £25,264; there is an unrealised gain on the COIF investment of £4,468 and a further amount of £27,676 withdrawn from reserves and put towards the library development costs (see below for further details). The net deficit after other gains and losses is therefore £48,472. The decision by Hampshire County Council in 2020 to close the library was a further major blow to our community with the removal of another source of rental income for the centre. Nevertheless the building works to convert the library for other uses were successfully completed during the first half of 2021. The scope of the project included an office for the Parish Council, a new meeting room with audio-visual facilities targeted at education and training, and a smaller library particularly aimed at younger members of the community. The Parish Council immediately occupied their office but a hitherto unexpected problem arose with lack of soundproofing between the new library and the Chestnut room. The strain on our funds caused by COVID has meant that the required remedial work has yet to be undertaken causing the opening of the new library to be deferred for the foreseeable future. Amid all of the COVID disruption we also suffered a major water leak within the premises which caused serious damage and additional workload for our staff and trustee volunteers. No sooner had the Linden Hall floor been replaced because of water damage we then had another water damage incident causing almost half of the new wooden floor to be replaced [I don’t think half was replaced; I think half was relaid of which a lesser proportion was actual replacement]. In both cases it is pleasing to report that 3rd party insurance (the first a contractor and the second a customer) covered all costs. The Centre has been accumulating a reserve fund over the past 10 years, earmarked for such needs as roof replacement and the development of new facilities. The opportunity for the library redevelopment seemed a good reason to dip into those reserves, and the trustees agreed to release just under half of our reserve fund for the redevelopment. We have also been fortunate to receive substantial grants from Hampshire County Council to assist us to transition to a new model of library, supplemented by a grant from the Community Lottery Fund, and a grant via the Parish Council from INEOS for our conference room development. We still retain a much reduced level of reserves, and we are soon going to have to address the less exciting need to replace large parts of our felted roof area, but we have also been able to move the Centre forward to be even more of a community hub with the Parish Office, meeting suite, and the reshaped Community Library. Due to COVID, Omicron and the various after effects, the Centre is still some way from being back in a positive trading position. It is also with great disappointment that Trustees report a significant loss for the second year running. Trustees are now placing great emphasis on marketing the first class facilities on offer as well as seeking other fund raising opportunities throughout the community. However, we believe with continued help and support from Trustees and volunteers we are now well placed and in a good position to serve our community even better in the future. Many thanks are due to Trustees and our many volunteers for their efforts and commitment through what has been a difficult year for all concerned. ## **RESERVES POLICY** All of the Association’s funds are unrestricted funds (sometimes referred to as free reserves). It is the policy of the Trustees to maintain reserve funds as follows: - (a) £25,000 set aside for the library refurbishment project which has now been spent - (b) to provide a buffer so that normal expenditure can be continued for a period of two months in the event of further major disruption in the Centre’s stream of income; the Trustees calculate this to be £15,000 at current levels of expenditure; - (c) £10,000 previously set aside for major planned roof repairs was used up during 2021 - (d) In view of our recognised roofing vulnerability the Trustees intend to build a reserve for eventual replacement of large areas of the roof. Due to the current strain on finances this plan has now been deferred, but it is the firm intention of Trustees to reintroduce this plan as soon as cash flows allow - (e) to provide for the necessary expenditure to ensure that the premises and equipment are maintained to a good standard and, if necessary, enhanced for the benefit of members, visitors and staff. ## **INVESTMENT POWERS** Under the Trust Deed the charity has the power to make any investments that the trustees see fit. ## **RISK MANAGEMENT** The major risks to which the charity is exposed, as identified by the trustees, have been subject to a major review and procedures have been established to mitigate these risks. ## **STATEMENT OF PUBLIC BENEFIT** The Association owns and operates a Community Centre in Lyndhurst whose halls and rooms are available for hire by local organisations for events such as health and fitness activities, wellbeing clinics, training and educational activities, film nights, community lunches and meetings and fairs. The building also hosts the local library for the benefit of the local community. ## **ACCOUNTING AND REPORTING RESPONSIBILITIES** The trustees are responsible for keeping proper accounting records which disclose, with reasonable accuracy at any time, the financial position of the charity and enable them to ensure that any financial statements comply with the governing document, applicable Accounting Standards and the Statement of Recommended Practice, Accounting and Reporting by Charities and the regulations made under the Charities Act 2016. 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. Signed on behalf of the Trustees on ………………………………………………..by: ……………………………………………………………………..…… R Dewing - Chairman ## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION REPORT OF THE INDEPENDENT EXAMINER** I report to the trustees on my examination of the financial statements of the Lyndhurst and District Community Association (the fund) for the year ended 31[st] December 2021. ## **Responsibility and basis of report** As the charity trustees of the fund 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 Fund’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145 (5) (B) of the Act. ## **Independent examiner’s statement** I have completed my examination. I can 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 Association as required by section 130 of the Act; or 2. The accounts do not accord with those records. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the account to be reached. …………………………………………………… A Nicholas Examiner Date: ………………………………. ## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[st] DECEMBER 2021** **----- Start of picture text -----**
Income Note 2021 2020
£ £
Room hire and education 24,789 28,252
Library rent 1,050 5,250
Social and catering income 3,469 4,369
Film shows 788 1,192
Advertising 7,108 9,422
Government grants 24,500 27,000
Coronavirus Job Retention Scheme 2,949 13,456
Donations for furniture 4,739 -
Other donations 1,021 -
Insurance claim for loss of income 4,968 -
Membership and affiliation fees 1,117 1,080
Book sales 1,509 594
Electricity feed-in tariff 1,285 1,418
Miscellaneous income 562 591
-
Surplus on fundraising events 1,933
Gift Aid tax refund 250 -
Bank interest 1 16
Total income 82,038 92,640
Expenditure
Salaries and national insurance 61,727 69,512
Contributions to staff pension scheme 1.124 1,320
-
Redundancy payments 1,724
Staff training 18 -
Staff uniforms 225 81
Insurance 2,523 2,074
Heat, light and water 6,635 5,193
Copier costs 2,752 2,947
Postages and stationery 1,363 1,296
Telephone 1,988 1,132
Library consumables and software 471 -
Advertising 622 50
Social and catering expenditure 2,643 1,386
Cleaning 1,519 1,622
Repairs and renewals 17,359 10,942
Payroll and accountancy fees 364 492
Film hire 539 461
Miscellaneous expenditure 1,585 1,216
**----- End of picture text -----**
**----- Start of picture text -----**
Bank charges 171 60
Depreciation 3,674 3,570
Total expenditure 107,30 105,078
2
Ordinary deficit for the year (25,264) (12,438)
-
Costs of redeveloping the old library (47,676)
Donations and grants towards that 20,000 498
redevelopment
Deficit for the year (52,940) (11,940)
Realised and unrealised gains on Investment 4.468 4,256
Bonds
Net Deficit after other gains and losses (48,472) (7,684)
Retained funds brought forward 99,459 107,143
Retained funds carried forward 50,987 99,459
**----- End of picture text -----**
## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION** ## **BALANCE SHEET AS AT 31[st] DECEMBER 2021** **----- Start of picture text -----**
2021 2020
Fixed assets
At cost brought forward 25,658 20,868
Additions in the year 9,926 4,790
Depreciation brought forward (10,732 (7,162)
)
Depreciation for the year (3,674) (3,570)
21,178 14,926
Current assets
Trade debtors 4,752 1,876
Prepayments 8,981 1,920
COIF Charity Funds investment 18,359 58,893
Bank deposit account 6,535 24,035
Bank current account 8,997 1,517
Cash in hand 80 247
Total current assets 47,704 88,488
Creditors: Amounts falling due within 17,895 3,955
one year
Current assets less liabilities 29,809 84,533
Total assets less liabilities 50,987 99,459
Funds
Unrestricted funds
Balance brought forward 99,459 107,143
(Deficit)/Surplus for the year (48,472 (7,684)
)
50,987 99,459
We are responsible for the preparation of the accounts and consider that the
Charity is exempt from an audit.
The accounts were approved by the Trustees on ………………………………… and
signed on their behalf by:
**----- End of picture text -----**
______________________________________________ R Dewing Chairman ______________________________________________ J Rickord Treasurer ## **LYNDHURST AND DISTRICT COMMUNITY ASSOCIATION** ## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31[st] DECEMBER 2021** ## **1. ACCOUNTING POLICIES** ## **Basis of preparation** The accounts are prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to the accounts. The accounts have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities, applicable to charities preparing the accounts in accordance with the Financial Reporting Standard applicable in The UK and Republic of Ireland (FRS 102) and the Charities Act 2011. ## **Funds** All funds are held as unrestricted funds and are available to the Trustees for expenditure to support the charity’s purposes. ## **Incoming resources** ## **Donations** Donations are recognised in the accounts when they are received. ## **Legacies** Legacies are recognised once the charity has entitlement to the income and it is certain the income will be received. ## **Volunteers** The value of services provided by volunteers is not incorporated into these accounts. ## **Resources expended** Resources expended are accounted for on an accruals basis and include irrecoverable VAT where applicable. ## **2. TRANSACTIONS WITH TRUSTEES** The charity’s trustees do not receive remuneration or expenses. ## **3. EMPLOYEES** During the year an average of four staff were employed; no employee earned in excess of £60,000. ## **4. FIXED ASSETS** - **a) Fixed assets** are stated at cost less depreciation. Depreciation is provided at rates calculated to fully amortise the cost of the asset by the end of its useful life. The rates used during the year were:- Kitchen equipment – 20% on reducing balance Computer equipment – 33% on reducing balance Fixtures & equipment – 20% on reducing balance Office equipment – 15% on reducing balance ## **a) Property** The land upon which the Community Centre stands is leased from Forestry England at a peppercorn rent; that lease expires in 2060. The building was constructed and has been extended over many years with grants, donations from the local community and funds generated by its activities. Whilst it has a value to the Association as a functioning building enabling the many activities by which the Association carries out its purposes the Trustees considers that there are a number of restrictions on a possible disposal preventing it having a realistic resale value. Accordingly no cost or value is included in the financial statements. The property is owned by the Association but is held on its behalf by the The Official Custodian for Charities. It has a value for insurance purposes of £1.25m.