REGISTERED COMPANY NUMBER: 01276976 (England and Wales) REGISTERED CHARITY NUMBER: 505609
REPORT OF THE TRUSTEES AND
AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2022
FOR
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
Graham Paul Limited (Statutory Auditor) Court House Court Road Bridgend CF31 1BE
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 12 |
| Report of the Independent Auditors | 13 | to | 15 |
| Statement of Financial Activities | 16 | ||
| Statement of Financial Position | 17 | ||
| Statement of Cash Flows | 18 | ||
| Notes to the Statement of Cash Flows | 19 | ||
| Notes to the Financial Statements | 20 | to | 34 |
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
The trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2022. The trustees have adopted the provisions of 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) (effective 1 January 2015).
OBJECTIVES AND ACTIVITIES
Charitable Object
The object for which the Trust is established is 'to advance the education of the public in archaeology'. The powers by which it may do this are set out in the Articles. These include: being able to undertake, prepare or promote archaeological research, excavations, surveys, reports and advice and for any consequent or similar activities; to publish or otherwise distribute information; to arrange for the safe-keeping of all records arising from such objects and for their eventual deposition; to arrange for the safe-keeping of all materials and objects recovered as a result of such archaeological work, and, where appropriate, to arrange for their eventual deposition and/or display.
In 2008 The Trust established a separate trust the GGAT HER Charitable Trust to hold much of this data and has made transfers to it under Deeds. The object of the GGAT HER Charitable Trust is for the benefit of the public to advance the education of the public in archaeology by promoting and undertaking the creation maintenance repair up-dating safe keeping dissemination and publication of records relating to archaeology and the historic environment. The powers by which it may do this are set out in the GGAT HER Charitable Trust Deed. These include: the safe keeping of records resulting from archaeological work and where appropriate to arrange for their eventual deposition; the safe keeping of materials and objects recovered as a result of archaeological work and, where appropriate, to arrange for their eventual deposition; to promote and encourage the objects of the charity by means of the circulation of all forms of printed matter and to print publish and sell books papers circulars and periodicals requisite for that purpose.
Composition
The Trust is comprised of Members and Trustees. Membership is open to any individual or organisation interested in promoting the Object subject to satisfying a formal application and consent procedure. Membership is personal and incapable of transfer. The number of Trustees is presently limited to a minimum of three and a maximum of nine. The number of Members is unlimited.
Membership
The total number of Members not being Trustees at the 31 March 2022 was 93. The Trust retains a register of Members. The Trustees have not enacted a power to establish different kinds of membership (including informal membership) with different rights and obligations.
Appointment of Trustees
All Trustees must be Members, except that the Trustees may appoint a single Trustee (who is not a Member) duly qualified to provide expert advice to fill a vacancy up to the next Annual General Meeting. The Trustees may appoint a Member of the Trust (whom the Trustees reasonably consider to be a person suitable and qualified to act) as a Trustee. In filling vacancies, the Board of Trustees looks to widen the range of available expertise. Any Member so appointed shall retain office until the next Annual General Meeting, but then be eligible for re-appointment by the Members. The Members may, by ordinary resolution, at an Annual General Meeting, elect a member to become a Trustee. Trustees are elected for a term of three years running from the time of appointment by the Members at an Annual General Meeting but may on completion stand for up to two further terms to a maximum of nine years, after which they are ineligible to serve as Trustee until the expiry of a further three years from the end of the nine-year period.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
Trustee training and induction
Prior to appointment new Trustees are provided with a job description and information packs detailing Trust constitution, structure, key current objectives, and copies of recent Annual Reports and Accounts, as well as literature on the responsibilities of being Charity Trustees. Each new Trustee is required to make a signed declaration of commitment and qualification for Trusteeship. An induction includes a review of company/charity history, structure and organisation, role of the trustees, trust business cycles, staffing, policies, financial management and control practices, forward strategies, current operations plan, and the purpose and function of the GGAT HER Charitable Trust. New Trustees are introduced to staff. Documents are provided in a digital handbook. Trustees are made aware of the wide range of guidance available from the Charity Commission in both hard copy and digital forms.
Organisation
The Trustees as charity trustees have control of the Trust and its property and funds, and as permitted by and in accord with the Articles they manage the business of the Trust. The Board of Trustees held eight meetings in the year ended 31 March 2022. The GGAT HER Charitable Trust did not meet in the reporting period. Particular oversight continued through the office of the corporate trustee. Some of the trust business is considered in detail by committees who report back to the board. Senior staff attend these meetings and when appropriate those of the Board of Trustees.
The Trustees voluntarily contribute their unpaid time and expertise to the charitable objectives of the Trust. The extent of this contribution is not reflected in the Trust's financial statements, but the Trust is dependent upon the services and expertise provided by its Trustees. Some Trustees have very detailed knowledge and expertise in Historic Environment matters. Others may have a more general interest but bring in skills from other disciplines. The composition of the present Board comprises persons with experience and knowledge of the practice of archaeology by National and Local Government and its delivery through the professional and voluntary archaeological sectors, along with knowledge of historic environment records and archive management practice, the administration of national and regional societies, and third sector engagement.
At the end of the reporting period the Trust employed twenty-one staff, both full-time and part-time with a full-time equivalent of seventeen. Other staff may be employed on a short-term contract basis and volunteers assist with some works. Most of the staff are graduate qualified archaeologists, who bring a wide range of skills, knowledge of the discipline, and experience to the work of the Trust. All but four of the permanent archaeological staff are members of the Chartered Institute for Archaeologists. At the end of the reporting period, nine were full Members, four Associate Members and two Practitioners. Two other staff support its administration.
The Trustees are responsible for determining and approving any amendments or changes to the Trust's strategies, policies and financial and administrative controls. The day-to-day management of the Trust is carried out by the Chief Executive Officer and team managers, who are charged with delivering agreed works, and, where changing circumstances require, preparing proposals for consideration in respect of improvements or additions. Senior staff review and plan these programmes of work and report back to the Board of Trustees on progress against agreed forward plans.
Public Benefit
The Trustees are aware of their responsibilities in ensuring that the Trust delivers identifiable benefits to the public in accord with the established object and permitted activities. Our report here complies with the Charity Commission's guidance on reporting public benefit it provides details of purposes and objectives, a review of significant activities undertaken by the charity to carry out its charitable purposes for the public benefit, details of strategies adopted and activities undertaken to achieve our purposes and objectives and details of the achievements by reference to the purposes and objectives. The Trustees have complied with their duty to have due regard to the commission's public benefit guidance when exercising any powers or duties to which the guidance is relevant.
We have identified the values that our beneficiaries should expect. These are centred on three generic user groups: Users who need advice about archaeology; Users who need information about archaeology; Users who participate in what we do.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
The values are set out in three short statements:
Advising
Users should be given advice that is ethically sound, not detrimental to the archaeological resource, and meets professional standards. It must be appropriate and relevant to the needs, clear, impartial, consistent, accessible and timely.
Informing
Users should be given information that meets professional standards. It should be properly researched, accurate and validated or have clearly defined limitations and caveats. It must be proportionate to need and well-collated with rights of future use clearly defined.
Participating
Users should be treated fairly and ethically. We believe in inclusivity and openness. Participants should be heard, respected, nurtured, supported, developed and empowered to advocate.
Activity
Reporting of activity is made against the delivery of agreed strategic objectives. On review, the strategic objectives may be replaced or expanded provided they are consistent with delivering the Trust's Object. Report on achievement and performance refers to that occurring in the accounting period.
ACHIEVEMENT AND PERFORMANCE
The Trust achieves its Object through carrying out a broad spectrum of works and activities as articulated under our forward strategy. Achievements and performance are monitored.
The current identified strategic objectives are:
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Fostering Public Understanding
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Improve Access and Engagement
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Discovery and Research
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Developing the Trust
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Archive Care & Deposition
Despite the impacts of the SARS-CoV-2 (Covid-19) pandemic during the reporting period the Trust continued to provide deliveries under all areas of its forward strategy.
A year in numbers
212,035 Historic Environment Records maintained; 11,586 records added, 9,000+ records edited. 469 Information enquiry responses (247 HER, 242 non-HER enquiries).
801 reports digitized for future inclusion on Archwilio.
103 assessments, evaluations, excavations, surveys, building recording and watching-briefs.
76 reports produced.
374 Planning applications identified as needing mitigation actions.
128 Pre-planning discussions; 201 conditions for works to mitigate the impact of development on the historic environment.
73 Written Schemes of Investigation approved, 120 reports on work approved.
165 Actions on proposed land-use change outside the planning regime.
7,400+ Social Media engagements; 788 taught course attendees.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
Fostering Public Understanding
A resumption of some general face-to-face public engagement in the middle part of 2021 was limited to a handful of events most notably the Hidden Hillforts project led by Cardiff University, whose 'Time-travelling Fun Day was well attended. However, we were also able to deliver two face-to-face skills training, one with the Pentyrch Local History Society on researching the archaeology of their local area, and the other with Neath Young Archaeologists Club including visits to Cwm Green, as well as examining the Cat Hole, Parc le Breos chambered tomb and the nearby limekiln. We also ran a digital Introduction to Landscape Archaeology course. This comprised seven sessions organised into three parts Introduction, Characterisation, Period recording. The course was very well-subscribed with several sessions having to be repeated. Quantitative and qualitative outcomes were good.
As part of its advocacy work, the Trust made particular inputs into two joint historic environment sector responses. The first was into the Welsh Government Sustainable Farming Scheme in order to ensure integration of historic environment need. Inputs included contributing to preliminary Deep Dive exercises. The second was the development of key performance indicators to capture and report meeting the social policy objectives for the Historic Environment under the Marine Bill as applicable in Wales.
We continued to provide specific heritage management advice outside of the planning process on such issues as damage to Scheduled Monuments, condition of non-scheduled sites, reports of new sites, improving access to heritage assets, or for archaeological projects or sites requiring specific heritage management input. This year 242 requests for such advice were successfully processed and 165 actions on proposed land-use change recommended. Additionally, we processed 61 non-commercial enquiries to the Historic Environment Record, 43 mostly from members of the public can be classified as general interest, with the remainder being academic and predominantly made by lecturers or post-graduate students.
Separately, the Trust provided an advisory service to local authorities in South Wales which enabled archaeological and related historic environment assessment or recording works to be carried out by archaeological organisations to ensure that certain environmental obligations in connection with land use change controlled by the planning regime could be met. 374 planning applications were identified as needing mitigation actions and 201 conditions for works to mitigate the impact of development on the historic environment agreed by planning authorities in South Wales. In monitoring the execution of related work 73 Written Schemes of Investigation and 120 reports on work undertaken were approved.
Improve Access and Engagement
The Trust has a role in the management of and facilitation of access to the Welsh historic environment. The Trust recognises that legislation, notably the Historic Environment (Wales) Act 2016, and related new or amended regulation and guidance has changed the context within which we deliver our object in Wales. We have continued to make improvements to the Historic Environment Record (HER) as a result of particular measures introduced in 2017 under provisions in the Historic Environment (Wales) Act 2016. In the reporting period the Trust has worked with the other Welsh archaeological trusts to improve public access to the record through the on-line portal Archwilio, with the improved site due to go live in 2022-23.
Information available to the public was extended; nearly 12,000 new records were created, and more than 9,000 existing ones edited. A particular focus was given to incorporating records of, and creating cross-references for, Locally Listed Buildings in Merthyr Tydfil unitary authority area. With grant-aid support from Cadw, we were able to make publically accessible further data relating to Industrial Ironworks Landscapes in the Heads of the Valleys region. This comprised records of water management features and extraction sites in the Upper Sirhowy, Ebbw and Ebbw Fach Valley, and the Cynon Valley. This led to the creation of 1,378 new records and cataloguing of 640 project photographs including metadata to facilitate on-line access in due course.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
We also prepared a business case for additional long-term support to address the backlog of new data to be created from 'grey literature' deposited with the HER. At the end of March 2022 we held 1,152 reports waiting to be processed, which would result in an estimated 2,000 new event records, 7,000 new primary records and 12,700 record edits. The business case has been accepted and will result in additional staff resourcing through dedicated funding coming into place after 1 April 2023.
Many of the ways the trust had carried out engagement previously continued to be impacted by the SARS-CoV-2 (Covid-19) pandemic. Whilst some of our volunteers monitoring change on the coastline continued to be active, we were unable to bring back volunteers to work with our records and archives. However, we hope this may change in 2022-23, and in the latter part of 2021-22 engaged widely across our networks to ascertain where we could reinvigorate or expand into new ventures in the future. This has included preparing a re-launch of our Arfordir Coastal Monitoring Project to take place early in 2022-23 and preliminary works to enable several different community projects in the Vale of Neath.
Discovery & Research
The Trust undertakes investigative and research works, which inform the knowledge base for public education.
As part of wider project with the principal aim to create a consistent landscape-level understanding of farmstead character and survival in Wales in order to inform future land-use policy and interpretation, analysis and digitisation of traditional farm buildings was carried out for the Unitary Authority areas of Bridgend and Vale of Glamorgan. This work led to the creation of 853 new or enhanced farmstead records each mapped as a polygon. Some 271 farmsteads were considered to be Intact, and 250 Near Intact.
The Trust continued post-excavation study and reporting works in respect of excavations that had been carried out at Cardiff Castle and commenced similar works for a site in Caerleon. The Trust also worked on 83 other archaeological projects, mostly in the nominal geographic area. These included: ten excavations or evaluations, forty-five watching-briefs, and seventeen assessments or surveys.
A small excavation undertaken for Cadw on Sully Island explored a cist-like structure exposed through coastal erosion, which if accepted as a Bronze-Age short form cist, adds to the wide and diverse suite of new important prehistoric funerary sites located along the Welsh coastline, which illustrate both the variability of prehistoric funerary practices, but also past connectivity.
Developing the Trust
The Trust continued to deliver its object in rapidly-changing context as a consequence of the continuing impacts of the SARS-CoV-2 (Covid-19) pandemic. However, this also led to working in new ways which may have beneficial outcomes in the future.
The Trustees have given considerable thought to improving the operating structure of the Trust and in 2019 had identified a preferred structural model, which has and is continuing to be implemented organically. Support from the Cultural Recovery Fund assisted the Trust with its transformation plans and in particular provided: some provisions that will support future cost benefits; more certain retention of highly competent professional staff thereby ensuring continuance of well-informed advice and decision making; reduction of risks to historic environment advisory and records management functions; and, a better focus on delivering for future generations as allowable within the parameters of the Trust's established Object and powers.
During the reporting period the Trust has taken part in a collaborative discussions with the other Welsh archaeological trusts, together we would like to enhance the historic influence of the trusts for the benefit of future generations, and to ensure long-term stability so that we can maintain and build on the accrued legacy achievement. In April 2021 the Trusts formed a Strategic Collaboration Group to consider collective futures, and this group was able to obtain pro bono assistance. Following review, it is proposed that the Trusts explore merging into a single legal entity, while retaining regionally-based teams to provide local connectivity and delivery. A transition steering group has been set up to examine this possibility more closely. Continuance of these discussions has been subject to on-going agreement by the respective boards.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
Archive care and deposition
Preservation of accessible information is a critical part of the work that the Trust carries out in delivering its Object. The Trust continued to digitise retained data and maintained databases of content and condition of temporarily held archives. During the year our physical stewardship, and Historic Environment Record archives were transferred to our new offices in Baglan and our archaeological project archives to our offices and store in Newport. Fully re-establishing these and particularly those at our main offices was hindered by restrictions resulting from the pandemic. However, digitisation of some of the reports held in our Historic Environment Record further information files was able to be continued.
FINANCIAL REVIEW
The results for the year and the charity's financial position at the end of the year are shown in the attached financial statements.
Transactions and financial position
Income for the year declined marginally (0.62%). Expenditure increased (19.63%) but this was due to the need to expeditiously spend certain restricted funds and also to meet one-off costs related to the move to new accommodation. In overall terms the balance sheet improved by £390,386. Outside current staff costs the largest charges to the trust were the costs relating to premises refurbishment and relocation and those relating to the now frozen Archaeological Organisations Pension Scheme.
The liability attached to this scheme fell by £346,925. The scheme has a long-term recovery plan agreed with the Pension Regulator and the greater part of the debt falls due more than one year from the balance sheet date, that falling due after more than one year stood at £690,000.
The Trustees have assessed the charity's future programme of works and commitments against working capital in place. Financial projections have been prepared for the period to 30 September 2023. These show that the Trust expects to be able to meet the liabilities falling due within one year of the date of the statements.
Benefits in kind
Trustees voluntarily contribute their unpaid time and expertise to the charitable objectives of the Trust. The extent of these contributions are not reflected in the Trust's financial statements.
During the reporting period two members of the Worshipful Company of Management Consultants provided pro bono advice to the four Welsh archaeological trusts in regard to the possibility of a merging. Using notional rates used by the Worshipful Company the value of this advice to the trust is calculated at £18,750.
Reserves policies
The Trustees' policy is to establish a position where the Trust holds sufficient reserves, as a general fund, to meet the liability of the Trust and, where appropriate, to establish additional funds for future initiatives or development.
Discrete Funds
The Trust has established a Youth Heritage Fund to support the engagement of young persons with heritage and specifically archaeology. The value of this fund at the 31 March 2022 was £1,727.
Investment authority & restrictions
The Trust has a power to set aside funds for special purposes or as reserves against future expenditure. Deposits or investments may only be exercised in promoting the Object of the Trust. For such purposes, the Trustees may employ a professional investment manager and to arrange for investments or other property of the Trust to be held in the name of a nominee in the same manner and subject to the same conditions as the trustees of a trust are permitted to do by the Trustee Act 2000.
Going Concern
Attention is drawn to Notes 19 and 21 to the accounts.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
FUTURE PLANS
The Trust will continue to engage with the other three Welsh archaeological trusts to explore ways in which organisations with shared objectives, practice, and general mutual interests can be better protected, existing knowledge retained, and the public benefit educational purposes safe-guarded, whether as separate or more closely conjoined organisations. The possible impact is stated in the notes to the accounts. If this leads to an agreed change to a merged corporate entity, the object of the Trust would still be retained and the various components of its operations within its current nominal geographic area would not change in the near future. Whilst these discussion continue, and a decision to merge may not be made before 2023, then the trust will carry on delivering its object using existing powers. If there is no such transition then it will move forward under a refreshed forward strategy and business plan benefitting from the reflection, examination, vision modelling and potential eventuality planning that inform such transition consideration exercises.
In the short term it will continue to deliver its works through two main teams (Advisory Services and Archaeological Services) leading to sharper divisions between regulatory advisers and information providers and those who deliver particular archaeological services, whether to assist amelioration of impacts of land-use and other change to the historic environment or those deriving well-being from engagement with it. The Trust will continue to advocate the importance of what we do and, with careful consideration of best approaches, and continue to provide our offer in changing circumstances, emerging form the pandemic but in tightened economic conditions.
The Trust needs to ensure that it retains staff with the competencies necessary to deliver the outcomes that clients, funders, and users require, and therefore it will continue to look to strengthen their capability and competence under the banner of retained recognised professional accreditation. We shall continue to keep our policies and systems under review and take appropriate specialist consultancy advice implementing improvement or enhancement measures as necessary in order to provide a secure environment for both our employees, volunteers and visitors.
The Trust appreciates that it needs to hold information securely and then make it accessible. The Trust needs to ensure on a continuing review basis the appropriateness and security of systems on which the Trust's data is held and that our Intellectual Property Rights and Copyright privilege over our assets, which are there for public benefit, are not compromised and that our data is protected within contracts and other agreements through effective polices and controls. Much of this information is now held on digital platforms and we shall continue to work to expand and enrich content. However, in addition to our core systems there are some for which we share ownership (e.g. Archwilio the on-line access to the Historic Environment Records of all four Welsh archaeological trusts). During 2022-2023 we shall continue to work closely with our partners so that these records can better accessed and safeguarded for the long term.
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The purpose of the body, its organisation and the powers and duties of governance are set out in the Memorandum and Articles of Association of Glamorgan-Gwent Archaeological Trust Limited. Subscribers to the Memorandum signed the governing document on 12 August 1976. The company was formally incorporated on 13 September 1976 and registered with the Charity Commission shortly afterwards. The Articles were most recently amended by a special resolution dated 8 February 2014.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
STRUCTURE, GOVERNANCE AND MANAGEMENT
Risk management
The trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The Trustees carry out regular reviews of the charity's activities and systems in use. This is to assist future planning and assessing any major risks to which the charitable company might be exposed. The current risk register identifies two high risks. These are being managed in a context of on-going discussions with similar bodies.
Financial (including income reduction and cash flow pressures)
The relative low level of reserves provide a context wherein the resilience of the Trust to fiscal shocks is weakened, particularly where there is more volatility in income streams. The Trustees recognise that insufficient liquidity could lead to the collapse of the Trust through technical insolvency. A number of measures have been identified to reduce the risk or impact of the risk including: a) improve and retain reserves; b) strategic review of possible clients and funding streams; c) specific staff training and development to ensure commercial competitiveness; d) general professional improvement review; e) improved operational logistics; f) marketing and promotion to raise awareness among potential clients; g) maintenance of professional standards whilst ensuring delivery to agreed time and costs; h) staffing redeployment or other adjustments.
Given the urgent short-term priority to secure greater profitability of current works there is a particular focus on managing improvements in performance, especially in terms of the archaeological services operations and business development. In the medium to long-term improving income stream diversification remains an ambition.
Strategic development
The existing forward strategy and plan is in urgent need of revision with the risk of working in unfocused and misdirected ways and the effective management balance of the Trust becoming more skewed. This is coupled with a trend to over reliance on particular individuals in a declining workforce cut back because of financial pressures. Whilst a high level of professional competency exists to provide complex deliveries, this is vested in only a few individuals with particular knowledge or delivery abilities and there is a concomitant risk of disruptions to workflow, delivery failures and breakdown of client/customer relationships. Some possible measures have been identified to reduce these risks or impact of the risk: a) devise mission statement; b) produce new Forward Strategy and Strategic Plan; c) ensure annual review of Forward Strategy and Strategic Plan; d) ensure sufficient resourcing for the implementation of the strategic plan, and prioritise as necessary; e) promulgate Forward Strategy and Plan, f) specific staff training and development to limit the extent to which knowledge and expertise rests with one individual; g) ensure corporate knowledge transfer; h) ensure staff are sufficiently familiar with colleagues' roles to be able to cover those roles in the short-term; i) explore expanding use of third party support services. The trust has actively promoted the concept of a changed structure to ensure the continuance of the Welsh archaeological trusts, if this comes to fruition then these risks will quickly dissipate, if it does not then strategic and business planning for the trust as stand-alone body will be the priority.
The risk register is next due to be reviewed early in 2023.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
STRUCTURE, GOVERNANCE AND MANAGEMENT
Trustees
The Trustees are registered as Directors of the Company and as such, their report serves as the Statutory Directors' report. Since there is no share capital, the Directors do not hold any beneficial interest in the company.
In the reporting period meetings of the Board of Trustees were chaired by, Mr N Clubb (3), Mr K Whittaker (2), Ms JK Howell, Ms C Jones and Mr W Mitchell.
Chief Executive Officer
Mr AG Marvell is appointed as the Chief Executive Officer.
GGAT HER Charitable Trust
The Glamorgan-Gwent Archaeological Trust created the GGAT HER Charitable Trust on 31 January 2008. The purpose of the body, its organisation and the powers and duties of governance are set out in the GGAT HER Charitable Trust Deed. There are two Trustees the Glamorgan-Gwent Archaeological Trust as a corporate trustee and Ms C Jones.
The Trust transferred material forming the Historic Environment Record at the point of creation and has made subsequent transfers. The Glamorgan-Gwent Archaeological Trust has managed the record and actions are reported in the main body of this report.
The cost of managing the GGAT HER Charitable Trust is reported in the notes to the accounts.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
1276976 (England and Wales)
Registered Charity number 505609
Registered office
Sa12 Business Centre Seaway Parade Industrial Estate Baglan Port Talbot SA12 7BR
Trustees
| Trustees | ||
|---|---|---|
| Mr N Clubb | ||
| Ms C Jones | appointed 22 May 2021 | |
| Mr C Jones-Jenkins | appointed 10 May 2021 | |
| Ms J K Howell | resigned 7 June 2022 | |
| Mrs C Hutchings | appointed 28 May 2021; | resigned 17 February 2022 |
| Mr J Lewis | ||
| Mr W L Mitchell | resigned 7 June 2022 | |
| Mr J Parkhouse | ||
| Mr K Whitaker | appointed 10 May 2021; | resigned 30 May 2022 |
Company Secretary
Mr A G Marvell
Auditors
Graham Paul Limited (Statutory Auditor) Court House Court Road Bridgend CF31 1BE
The re-appointment of Graham Paul as auditors to the Trust was duly approved at the Annual General Meeting held on 7 June 2022.
Additional Advisers
During the year ended 31 March 2022, the Trust received specialist advice in the management of its affairs from:-
Accountancy Support
Macey Owen Limited, 5 Willow Walk Cowbridge Vale of Glamorgan CF71 7E
Banking
NatWest Bank plc 9 Belle Vue Way Swansea SA1 5BZ
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
HR and Health & Safety Consultancy
Ellis Whittam (now part of WorkNest) Woodhouse Church Lane Aldford Chester CH3 6JD
Insurance Brokers
Towergate Insurance Funtley Court Funtley Hill Funtley Fareham PO19 7UY
During the reporting period the Trust also received particular legal advice from:
Geldards LLP Capital Quarter No.4 Tyndall Street Cardiff CF10 4BZ
Pension Partners LLP The Old Rectory Church Lane Hallow Worcester Worcestershire WR2 6PF
EVENTS SINCE THE END OF THE YEAR
Information relating to events since the end of the year is given in the notes to the financial statements.
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees (who are also the directors of Glamorgan-Gwent Archaeological Trust Limited (The) for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland"
Company law 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 charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2022
STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
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there is no relevant audit information of which the charitable company's auditors are unaware; and
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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
AUDITORS
The auditors, Graham Paul Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
Approved by order of the board of trustees on 27 September 2022 and signed on its behalf by:
A G Marvell - Secretary
-12-
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
Opinion
We have audited the financial statements of Glamorgan-Gwent Archaeological Trust Limited (The) (the 'charitable company') for the year ended 31 March 2022 which comprise the Statement of Financial Activities, the Statement of Financial Position, the Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In our opinion the financial statements:
-
give a true and fair view of the state of the charitable company's affairs as at 31 March 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and
-
have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
Without qualifying our opinion, we draw attention to Notes 19 and 21 in the financial statements, and the Future Plans section of the Trustees Report which indicates that the charitable company may merge with the other three Welsh Archaeological Trusts. A proposed merger indicates the existence of a material uncertainty that may cast significant doubt about the charitable company's ability to continue as a going concern
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the Report of the Trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the Report of the Trustees has been prepared in accordance with applicable legal requirements.
-13-
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
-
adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
-
the financial statements are not in agreement with the accounting records and returns; or
-
certain disclosures of trustees' remuneration specified by law are not made; or
-
we have not received all the information and explanations we require for our audit; or
-
the trustees were not entitled to take advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
Our responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
The audit was planned on the basis that the testing undertaken and procedures carried out would have a reasonable expectation of detecting any instances of irregularity including fraud. The plan involved assessing the risk of the financial statements containing material misstatements taking into account various factors such as the control systems in place, the standard of record keeping and an assessment of the influence and role of the stakeholders involved. The audit plan was followed and benefitted from the audit teams knowledge of the client. They considered how fraud may occur and where the financial statements may be susceptible to error.
Suitable transaction sample testing was made on the high risk areas of the financial statements. Enquiries were made of the charitable company directors for information and explanations as required during the course of the audit and any contentious areas appropriately challenged to ensure that sufficient audit evidence was obtained.
The procedures and testing undertaken as a result of our risk assessments were deemed sufficient to identify material errors for which adjustment was then made in the financial statements. There is however no guarantee that all errors, including those related to fraud, would be identified as part of the audit.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
-14-
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
Use of our report
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Jon Payne ACA (Senior Statutory Auditor) for and on behalf of Graham Paul Limited (Statutory Auditor) Court House Court Road Bridgend CF31 1BE
27 September 2022
-15-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2022
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Charitable activities Other Curatorial Services Grant Aided Work Other Archaeological Projects Investment income 3 Total EXPENDITURE ON Charitable activities 5 Grant Aided Work Archaeological service provision Other Archaeological Projects Pension deficit provision movement Total NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds £ 112,776 28,245 - 259,832 - 400,853 - - 342,847 (346,925) (4,078) 404,931 (1,010,154) (605,223) |
Restricted funds £ - - 422,645 - - 422,645 366,724 70,466 - - 437,190 (14,545) 134,547 120,002 |
2022 Total funds £ 112,776 28,245 422,645 259,832 - 823,498 366,724 70,466 342,847 (346,925) 433,112 390,386 (875,607) (485,221) |
2021 Total funds £ 114,364 35,230 479,939 199,148 9 828,690 331,848 23,225 271,853 (78,153) 548,773 279,917 (1,155,524) (875,607) |
|---|---|---|---|---|
The notes form part of these financial statements
-16-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE) (REGISTERED NUMBER: 01276976)
STATEMENT OF FINANCIAL POSITION 31 MARCH 2022
| Notes FIXED ASSETS Tangible assets 11 CURRENT ASSETS Debtors 12 Cash at bank CREDITORS Amounts falling due within one year 13 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES CREDITORS Amounts falling due after more than one year 14 NET ASSETS FUNDS 16 Unrestricted funds Restricted funds TOTAL FUNDS |
Unrestricted funds £ 8,468 122,025 48,421 170,446 (94,137) 76,309 84,777 (690,000) (605,223) |
Restricted funds £ - 45,400 74,602 120,002 - 120,002 120,002 - 120,002 |
2022 Total funds £ 8,468 167,425 123,023 290,448 (94,137) 196,311 204,779 (690,000) (485,221) (605,223) 120,002 (485,221) |
2021 Total funds £ 5,937 63,713 167,682 231,395 (69,489) 161,906 167,843 (1,043,450) (875,607) (1,010,154) 134,547 (875,607) |
|---|---|---|---|---|
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue on 27 September 2022 and were signed on its behalf by:
C Jones-Jenkins - Trustee
C Jones - Trustee
The notes form part of these financial statements
-17-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022
| 2022 | 2021 | ||
|---|---|---|---|
| Notes | £ | £ | |
| Cash flows from operating activities | |||
| Cash generated from operations | 1 | (37,434) | 124,589 |
| Net cash (used in)/provided by operating activities | (37,434) | 124,589 | |
| Cash flows from investing activities | |||
| Purchase of tangible fixed assets | (7,241) | (814) | |
| Sale of tangible fixed assets | 16 | - | |
| Interest received | - | 9 | |
| Net cash used in investing activities | (7,225) | (805) | |
| Change in cash and cash equivalents | |||
| in the reporting period | (44,659) | 123,784 | |
| Cash and cash equivalents at the | |||
| beginning of the reporting period | 167,682 | 43,898 | |
| Cash and cash equivalents at the end | |||
| of the reporting period | 123,023 | 167,682 |
The notes form part of these financial statements
-18-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2022
| 1. | RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM | OPERATING ACTIVITIES | OPERATING ACTIVITIES |
|---|---|---|---|
| 2022 | 2021 | ||
| £ | £ | ||
| Net income for the reporting period (as per the Statement of | |||
| Financial Activities) | 390,386 | 279,917 | |
| Adjustments for: | |||
| Depreciation charges | 4,694 | 1,906 | |
| Interest received | - | (9) | |
| (Increase)/decrease in debtors | (103,712) | 111,085 | |
| Decrease in creditors | (328,802) | (268,310) | |
| Net cash (used in)/provided by operations | (37,434) | 124,589 | |
| 2. | ANALYSIS OF CHANGES IN NET FUNDS |
| At 1.4.21 | Cash flow | At 31.3.22 | |
|---|---|---|---|
| £ | £ | £ | |
| Net cash | |||
| Cash at bank | 167,682 | (44,659) | 123,023 |
| 167,682 | (44,659) | 123,023 | |
| Total | 167,682 | (44,659) | 123,023 |
The notes form part of these financial statements
-19-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
The Trustees have reviewed the financial position of the Charitable Company, taking account of reserves and cash, the 2022-2023 Budget and longer term plans, together with its financial and risk management systems. The Trustees believe that the Charitable Company has adequate resources to continue to operate for the foreseeable future. Therefore, they continue to adopt the going concern basis of accounting in preparing the annual Financial Statements.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
The following specific policies are applied to particular categories of income:
-
Grants are recognised in full in the Statement of Financial Activities in the period in which they are receivable.
-
Investment income is included when receivable.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 15% on reducing balance Computer equipment - 33% on cost
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
continued...
-20-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
1. ACCOUNTING POLICIES - continued
Fund accounting
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Hire purchase and leasing commitments
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
Pension costs and other post-retirement benefits
The Trust operates a Defined Contribution Scheme and a Defined Benefit Scheme.
Payments into the Defined Contribution scheme are charged to the Statement of Financial Activities in the year incurred. The accounting charge for the period represents the employer's contributions payable.
The Defined Benefit Scheme, which is closed to new members, is a multi-employer scheme. The percentage share of underlying assets and liabilities belonging to the individual participating employers has been advised to the Trust by the Scheme Trustees. Therefore the liabilities attributed to the Trust have been valued in accordance with FRS 102, based on actuarial advice, and the appropriate share of the resulting deficit has been recognised as a liability in the balance sheet.
A deficit repayment plan has been entered into by the Scheme Trustees and Employers. Because the actuarial assumptions used for accounting and funding differ the present value of these additional contributions may differ from the liability recognised in the balance sheet.
2. DONATIONS AND LEGACIES
| 2. DONATIONS AND LEGACIES |
||
|---|---|---|
| Curatorial Services UA Support Donations and other income 3. INVESTMENT INCOME Deposit account interest |
2022 £ 103,632 9,144 112,776 2022 £ - |
2021 £ 96,357 18,007 |
| 114,364 | ||
| 2021 £ 9 |
continued...
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
| 4. | INCOME FROM CHARITABLE ACTIVITIES | INCOME FROM CHARITABLE ACTIVITIES | ||||
|---|---|---|---|---|---|---|
| 2022 | 2021 | |||||
| Activity | £ | £ | ||||
| Other Curatorial Services | Other Curatorial Services | 28,245 | 35,230 | |||
| Grants | Grant Aided Work | 422,645 | 479,939 | |||
| Other projects | Other Archaeological Projects | 259,832 | 199,148 | |||
| 710,722 | 714,317 | |||||
| Grants received, included in the above, are as follows: | ||||||
| 2022 | 2021 | |||||
| £ | £ | |||||
| CADW | 337,245 | 330,000 | ||||
| Welsh Government | - | 149,939 | ||||
| WG WATT | 85,400 | - | ||||
| 422,645 | 479,939 | |||||
| 5. | CHARITABLE ACTIVITIES COSTS | |||||
| Support | ||||||
| Direct | costs (see | |||||
| Costs | note 6) | Totals | ||||
| £ | £ | £ | ||||
| Grant Aided Work | 356,727 | 9,997 | 366,724 | |||
| Archaeological service provision | 70,466 | - | 70,466 | |||
| Other Archaeological Projects | 225,339 | 117,508 | 342,847 | |||
| Pension deficit provision movement | - | (346,925) | (346,925) | |||
| 652,532 | (219,420) | 433,112 | ||||
| 6. | SUPPORT COSTS | |||||
| Governance | ||||||
| Management | costs | Totals | ||||
| £ | £ | £ | ||||
| Grant Aided Work | 2,605 | 7,392 | 9,997 | |||
| Other Archaeological Projects | 95,872 | 21,636 | 117,508 | |||
| Pension deficit provision movement | (346,925) | - | (346,925) | |||
| (248,448) | 29,028 | (219,420) |
continued...
-22-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
7. NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Auditors' remuneration | 6,625 | 4,950 |
| Depreciation - owned assets | 4,694 | 1,906 |
| Hire of plant and machinery | 6,759 | 1,955 |
| Other operating leases | 6,430 | 5,870 |
8. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021.
Trustees' expenses
During the period payments were made to trustees of £Nil (2021: £Nil) and key management of £52 (2021: £144) in respect of reimbursement of expenses incurred wholly and exclusively for the purposes of trust activities.
All transactions were performed on an arms length basis.
9. STAFF COSTS
| Wages and salaries Social security costs Other pension costs |
2022 £ 485,056 39,362 18,194 542,612 |
2021 £ 438,767 34,952 24,922 |
|---|---|---|
| 498,641 |
The average monthly number of employees during the year was as follows:
| Administration Archaeological staff |
2022 4 17 21 |
2021 4 18 |
|---|---|---|
| 22 |
No employees received emoluments in excess of £60,000.
Included in staff costs is remuneration paid to Key Management Personnel of £39,823 (2021 £30,013).
continued...
-23-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
| 10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted funds £ INCOME AND ENDOWMENTS FROM Donations and legacies 114,364 Charitable activities Other Curatorial Services 35,230 Grant Aided Work - Other Archaeological Projects 199,148 Investment income 9 Total 348,751 EXPENDITURE ON Charitable activities Grant Aided Work - Archaeological service provision - Other Archaeological Projects 271,853 Pension deficit provision movement (78,153) Total 193,700 NET INCOME 155,051 RECONCILIATION OF FUNDS Total funds brought forward (1,165,205) TOTAL FUNDS CARRIED FORWARD (1,010,154) |
Restricted funds £ - - 479,939 - - 479,939 331,848 23,225 - - 355,073 124,866 9,681 134,547 |
Total funds £ 114,364 35,230 479,939 199,148 9 828,690 331,848 23,225 271,853 (78,153) 548,773 279,917 (1,155,524) (875,607) |
|---|---|---|
continued...
-24-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
11. TANGIBLE FIXED ASSETS
| COST At 1 April 2021 Additions Disposals At 31 March 2022 DEPRECIATION At 1 April 2021 Charge for year Eliminated on disposal At 31 March 2022 NET BOOK VALUE At 31 March 2022 At 31 March 2021 12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Trade debtors Amounts recoverable on contracts Prepayments and accrued income Prepayments |
Fixtures and fittings £ 40,452 - (15,541) 24,911 36,061 3,702 (15,524) 24,239 672 4,391 |
Computer equipment £ 54,029 7,241 (15,172) 46,098 52,483 992 (15,173) 38,302 7,796 1,546 2022 £ 60,610 56,325 45,400 5,090 167,425 |
Totals £ 94,481 7,241 (30,713) 71,009 88,544 4,694 (30,697) 62,541 8,468 5,937 2021 £ 24,228 26,178 - 13,307 63,713 |
|
|---|---|---|---|---|
continued...
-25-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
| 13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2022 £ Trade creditors 13,533 Social security and other taxes 17,530 VAT 34,939 Pension creditor 3,545 Accruals and deferred income 24,590 94,137 14. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR 2022 £ Pension creditor 690,000 15. LEASING AGREEMENTS Minimum lease payments under non-cancellable operating leases fall due as follows: 2022 £ Within one year 17,357 Between one and five years 21,000 38,357 16. MOVEMENT IN FUNDS Net movement At 1.4.21 in funds £ £ Unrestricted funds General fund (1,010,154) 404,931 Restricted funds CADW 2,116 (5,788) Youth Volunteering Grant 3,990 - Youth Heritage Fund 1,727 - Cultural Recovery Funding 126,714 (70,466) Welsh Government WATT Grant - 61,709 134,547 (14,545) TOTAL FUNDS (875,607) 390,386 |
2021 £ 2,195 14,156 16,616 23,968 12,554 69,489 2021 £ 1,043,450 2021 £ 22,811 34,268 57,079 At 31.3.22 £ (605,223) (3,672) 3,990 1,727 56,248 61,709 120,002 (485,221) |
|---|---|
continued...
-26-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
16. MOVEMENT IN FUNDS - continued
Net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Restricted funds CADW Cultural Recovery Funding Welsh Government WATT Grant TOTAL FUNDS Comparatives for movement in funds Unrestricted funds General fund Restricted funds CADW Youth Volunteering Grant Youth Heritage Fund Cultural Recovery Funding TOTAL FUNDS |
Incoming resources £ 400,853 337,245 - 85,400 422,645 823,498 At 1.4.20 £ (1,165,205) 3,964 3,990 1,727 - 9,681 (1,155,524) |
Resources expended £ 4,078 (343,033) (70,466) (23,691) (437,190) (433,112) Net movement in funds £ 155,051 (1,848) - - 126,714 124,866 279,917 |
Movement in funds £ 404,931 (5,788) (70,466) 61,709 (14,545) 390,386 At 31.3.21 £ (1,010,154) 2,116 3,990 1,727 126,714 134,547 (875,607) |
|
|---|---|---|---|---|
continued...
-27-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
16. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Restricted funds CADW Cultural Recovery Funding TOTAL FUNDS |
Incoming resources £ 348,751 330,000 149,939 479,939 828,690 |
Resources Movement expended in funds £ £ (193,700) 155,051 (331,848) (1,848) (23,225) 126,714 (355,073) 124,866 (548,773) 279,917 |
|---|---|---|
A current year 12 months and prior year 12 months combined position is as follows:
| At 1.4.20 £ Unrestricted funds General fund (1,165,205) Restricted funds CADW 3,964 Youth Volunteering Grant 3,990 Youth Heritage Fund 1,727 Cultural Recovery Funding - Welsh Government WATT Grant - 9,681 TOTAL FUNDS (1,155,524) |
Net movement in funds £ 559,982 (7,636) - - 56,248 61,709 110,321 670,303 |
At 31.3.22 £ (605,223) (3,672) 3,990 1,727 56,248 61,709 120,002 (485,221) |
|---|---|---|
continued...
-28-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
16. MOVEMENT IN FUNDS - continued
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
| Incoming | Resources | Movement | |
|---|---|---|---|
| resources | expended | in funds | |
| £ | £ | £ | |
| Unrestricted funds | |||
| General fund | 749,604 | (189,622) | 559,982 |
| Restricted funds | |||
| CADW | 667,245 | (674,881) | (7,636) |
| Cultural Recovery Funding | 149,939 | (93,691) | 56,248 |
| Welsh Government WATT Grant | 85,400 | (23,691) | 61,709 |
| 902,584 | (792,263) | 110,321 | |
| TOTAL FUNDS | 1,652,188 | (981,885) | 670,303 |
Grants received from CADW: Welsh Historic Monuments are awarded for specific projects and on condition that separate audited accounts are submitted to them.
Grants to support encouragement of Youth Volunteering made by the Welsh Council for Voluntary Action under the Gwirvol initiative are awarded for specific purposes.
The Youth Heritage Fund was established as part of the charitable company's 40th Anniversary celebrations. The purpose of the fund is to carry out or support projects that engage young persons with heritage and in particular archaeology.
The Cultural Recovery Fund and Welsh Archaeological Trusts Transition Grants received from Welsh Government and administered by Cadw are restricted for specific purposes. The Cultural Recovery Grant was made in accord with a scheme established by Welsh Government to support Cultural Organisations not only recover from the impacts of the Sars-2-Cov (Covid 19) pandemic, but build up future resilience. The Welsh Archaeological Trusts Transition Grant is provided to support legal and additional administrative costs in exploring in detail a possible merger of the four Welsh archaeological trusts into a national Welsh archaeological trust. The grant was made to the Glamorgan-Gwent Archaeological Trusts as the applicant but supports the collective endeavour in this matter of the four Welsh archaeological trusts.
The rational for the treatment follows Charites SORP (FRS102) 2nd edition October 2019 with particular reference to paragraphs 5.26 and 5.27. The full income has been recognised in the reporting period even when as in the case of the Welsh Archaeological Trusts Transition Grants not fully received in the reporting period or in the case of both grants not fully expended in the period when received. The actual expenditure in the reporting period is recorded with restricted fund carried forward equal to the amount of grant unspent at 31 March 2022. The balance of the Welsh Archaeological Trusts Transition Grant not received as at the Balance Sheet date is a debtor in the accounts.
The Glamorgan Gwent HER Charitable Trust
The Glamorgan-Gwent Archaeological Trust created a separate Trust, the GGAT HER Charitable Trust on 31 January 2008. The GGAT is presently the sole Trustee of this body.
Transactions during the year for this restricted fund are as follows:-
continued...
-29-
GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
16. MOVEMENT IN FUNDS - continued
| £ | £ | |
|---|---|---|
| Balance at 1 April 2021 | - | |
| Add: Resources Expended | ||
| Governance Costs | ||
| Salary costs | 3,884 | |
| Office rent | 354 | |
| Insurance | 90 | |
| Office & computer expenses | 193 | |
| 4,521 | ||
| Less: Deficit funded by the Trustee of the Trust | (4,521) | |
| Balance at 31 March 2022 | - | |
17. EMPLOYEE BENEFIT OBLIGATIONS
The Trust is a member of a defined benefit pension scheme operated for the benefit of the employees of a number of archaeological organisations, called the 'Archaeological Organisations Pension Scheme', which requires contributions to be made to a separate administered fund.
The latest full actuarial funding valuation was undertaken by Rachael Mills FIA, as at 5 April 2021. In valuing the scheme, the Actuary used the projected unit method. The pension provision as at 31 March 2022 is based on the triennial valuation as at 6 April 2021.
The pension cost charge to the statement of financial activities for the year amounts to £18,194 (2021:£24,923).
Included in these figures are contributions made to a defined contribution pension scheme of £11,981 (2021 £15,985)
From the draft triennial valuation the scheme assets, liabilities and deficits are listed below: -
| Annual | |
|---|---|
| Update | |
| 6 April 2021 | |
| £m | |
| Value of Assets | 10.6 |
| Past Service Liability: | |
| Active Members | - |
| Deferred Members | 7.0 |
| Pensioner Members | 8.8 |
| Insured Pensioners | 1.6 |
| GMP Equalisation | 0.1 |
| Total technical provisions | 11.7 |
continued...
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
17. EMPLOYEE BENEFIT OBLIGATIONS - continued
| Deficit | 1.1 |
|---|---|
| Funding Level | 90% |
The principal funding assumptions in the Actuarial Report were:-
| Discount rate - pre-retirement | 2.4% |
|---|---|
| Discount rate - post-retirement | 1.9% |
| Price inflation - RPI | 3.4% |
| Price inflation - CPI | 2.7% |
| Pension Increases - RPI up to 5% | 3.3% |
| Deferred revaluation - CPI up to 5% | 2.7% |
| S3PxA tables projected | |
| by birth year in line with | |
| the CMI 2020 Model with | |
| long term rate of | |
| Mortality after retirement | improvement of 1.5%pa |
| 22.5% of pension will be | |
| Commutation allowance | commuted for cash |
Members who joined the scheme before 6 April 2000 retire at age 60 or their next birthday if over 60 at the valuation date whereas later joiners retire at normal retirement age.
At 5 April 2021 there were no active members and 62 members with preserved benefits with 31 pensioner members being paid from the fund.
There is currently a recovery plan in place to reduce the deficit on the pension scheme, this aims to eliminate the deficit by April 2042.
For the year ended 31st March 2022 the Trust has obtained, from a qualified actuary in accordance with the requirements of FRS102, an estimated liability at the balance sheet date related to its proportion of the overall pension scheme liability.
The disclosures provided are as follows:
The Archaeological Organisations Pension Scheme provides defined benefits and is closed to new entrants.
| Principal actuarial assumptions at the balance sheet date Year to 31/3/2022 |
Principal actuarial assumptions at the balance sheet date Year to 31/3/2022 |
|---|---|
| Discount rate 2.70% |
|
| RPI price inflation 3.70% |
|
| CPI price inflation 3.00% |
|
| Rate of increase in pensions in payment (LP15) 3.50% |
|
| S3PxA (CMI2020 projections with 1.25% Post retirement mortality LTR) |
|
| The amounts recognised in the Statement of Financial Position (£000s) | £ |
| Present value of funded obligations | 4,265 |
| Fair value of plan assets | (3,575) |
continued...
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
17. EMPLOYEE BENEFIT OBLIGATIONS - continued
| Net defined benefit liability | 690 |
|---|---|
| Deferred Tax | - |
| Net liability recognised in the balance sheet (post tax) | 690 |
| The amounts recognised in the Statement of Financial Activities (000s) | £ |
| Service cost | - |
| Administration costs incurred during the period | 16 |
| Net interest cost | 21 |
| Curtailments | - |
| Settlements | - |
| Past service cost | - |
| Total pension expense | 37 |
| Other gains/(losses) recognised in the Statement of Financial Activities (£000's) |
£ |
| Actuarial (loss)/gain on plan assets | (35) |
| Actuarial (loss)/gain on defined benefit obligation | 397 |
| of which due to experience | (9) |
| of which due to demographic assumptions | 7 |
| of which due to financial assumptions | 399 |
| Total (loss)/gain in Statement of Financial Activities | 362 |
| Changes in the present value of the defined benefit obligation (£000s) | £ |
| Liabilities at the start of the period | 4,683 |
| Interest cost | 93 |
| Service cost | - |
| Contribution by members | - |
| Actuarial loss/(gain) | (397) |
| Benefits paid | (114) |
| Curtailments | - |
| Settlements | - |
| Past service cost | - |
| Liabilities at the end of the period | 4,265 |
| Changes in the fair value of plan assets (£000s) | £ |
| Fair value of plan assets at the start of the period | 3,618 |
| Interest income | 72 |
| Actuarial (loss)/gain | (35) |
| Contributions by the employer | 50 |
| Contributions by members | - |
| Benefits paid | (114) |
| Non-investment expenses | (16) |
| Curtailments | - |
| Settlements | - |
continued...
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
17. EMPLOYEE BENEFIT OBLIGATIONS - continued
| Fair value of plan assets at the end of the period | Fair value of plan assets at the end of the period | 3,575 £ 72 (35) 37 |
|---|---|---|
| Analysis of return on plan assets (£000s) | ||
| Interest income | ||
| Actuarial (loss)/gain on plan assets | ||
| Return on plan assets | ||
| Major categories of plan assets as a percentage of total assets (£000s) | ||
| £ | 33.7% 18.5% 23.5% 16.3% 8.0% 100.0% |
|
| Equities | 1,204 | |
| Bonds | 661 | |
| Alternatives | 840 | |
| Annuities | 583 | |
| Cash | 287 | |
| 3,575 | ||
18. RELATED PARTY DISCLOSURES
The Glamorgan-Gwent Archaeological Trust is a Trustee of the GGAT HER Charitable Trust, which was created on 31st January 2008.
19. POST BALANCE SHEET EVENTS
The Trustees consider that there are no events occurring after the end of the reporting period and before the date of signing that necessitate an adjustment to the stated positions.
However, the Welsh archaeological trusts have established a Shadow Board comprised of two trustees from each of the four Welsh archaeological trusts which with the assistance of principal executives in a continuing Strategic Transition Management Group is examining in detail a range of matters, which if pursued to fruition would result in the four Welsh archaeological trusts becoming a single body with regional units.
The Articles are clear in that the Trust must pass on the assets remaining in specified ways, it also has a power of amalgamation (3 (I)). The strengthening of Charities with similar objects helps to ensure continuance of public benefit and can remove or reduce future uncertainties and risks. The principal creditor is the Archaeological Organisations Pension Scheme and the four trusts are the only employers in the 'frozen' scheme. The attitude of that pension scheme to the possible change has yet to be established but would be critical.
Were the four trusts to become a single body this would not occur until after December 2022 and most likely at the end of the financial year.
continued...
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GLAMORGAN-GWENT ARCHAEOLOGICAL TRUST LIMITED (THE)
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 MARCH 2022
20. ULTIMATE CONTROLLING PARTY
There is no individual controlling party as the Trust is managed collectively by a board of Trustees.
21. GOING CONCERN
The Trustees have reviewed the financial position of the Charitable Company, taking account of reserves and cash, the 2022/23 Budget and longer term plans, together with its financial and risk management systems. The Trustees believe that the Charitable Company has adequate resources to continue to operate for the foreseeable future. Therefore, they continue to adopt the going concern basis of accounting in preparing the annual Financial Statements.
Were the Trust to merge with three similar entities before the end of the next financial reporting period it would cease to exist.
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