THE SODOR AND MAN DIOCESAN ASSOCIATION (SAMANDA)
(UK CHARITY REGISTRATION NO: 507933)
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
THE SODOR AND MAN DIOCESAN ASSOCIATION
FINANCIAL STATEMENTS
For the year ended 31 December 2023
| Index | Page |
|---|---|
| Trustees’ Report | 1 - 3 |
| Independent Examiner’s Report | 4 |
| Receipts and payments Account | 5 |
| Statement of Assets & Liabilities | 6 |
| Notes to the accounts | 7 – 11 |
Professional Advisors
Bankers
Isle of Man Bank, 2 Athol Street, Douglas, Isle of Man.
Legal Advisor - Sodor & Man Diocesan Registrar
Mrs Louise Connacher, Lupton Fawcett LLP, Stamford House, Piccadilly, York, YO1 9PP
Independent Examiner
Louise Kelly FCA Grant Thornton Limited Exchange House, 54/62 Athol Street, Douglas Isle of Man, IM1 1JD
Address of Charity
Church House, Great Smith Street, London SW1P 3NZ
Investment Advisors
Sodor & Man Diocesan Board of Finance Investment Committee.
THE SODOR AND MAN DIOCESAN ASSOCIATION
TRUSTEES’ REPORT
For the year ended 31 December 2023
Structure, Governance and Management
The Society is registered with the Charity Commission for England and Wales (Registration number 507933). The charity was constituted on 30 June 1978. The Trustees are drawn from serving and past members of the Sodor and Man Diocesan Board of Finance, are elected annually at the Annual General Meeting and are listed below.
Trustees
President and Chairman - The Lord Bishop of Sodor and Man
Committee members - Mr J Power, the Venerable Irene Cowell, James E Noakes (retired 28.02.2024), David Foster (appointed 28.02.2024).
General Secretary
Mr Colin Kelsey
Principal Office
Church House, Great Smith Street, London SW1P 3NZ
Treasurer
Mrs Lisa Johnson, 21 Brighton Terrace, Douglas, Isle of Man, IM1 4AP
Charitable Objectives, Policies and Investment Powers
The Charity’s purpose is to further the advancement of the Christian religion in the Diocesan of Sodor and Man. The Charity is regulated by the Charities Act of 2011. In furtherance of its object the charity is to:
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A. obtain, collect and retain funds in the United Kingdom by donations, subscriptions, grants legacies and other means for this purpose.
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B. transmit funds from time to time to the Diocese of Sodor and Man for this purpose.
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C. support the charitable work of the Diocese of Sodor and Man.
The Trustees have given due consideration to the Charities Act 2011 and are satisfied that the activities noted above are adequate such that they have complied with public benefit guidance.
During the year Samanda has continued to have loans from The Sodor & Man Diocesan Board of Finance, St George’s Parish Church and other Parishes. Such loans have been invested in 'The Central Board of Finance of the Church of England'. Under the terms of the Charity, provision has been made for the income from such investments to be distributed to the lenders.
The Trustees consider the resources of the Charity to be appropriate in the context of the Charity’s activities. Samanda has received continued funding from the Sodor and Man Diocesan Board of Finance, an entity under the same common control, as disclosed in note 4 to the accounts.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
TRUSTEES’ REPORT
For the year ended 31 December 2023
Future Plans
There are no plans to change the activities of the Charity.
Review of investments
It is the Charity’s policy to provide a balance of income and capital growth.
During the year there were no significant changes in the proportion of underlying investment portfolio represented by the CBF Investment fund and the CBF Fixed Interest Securities fund. 97.3% (2022 - 97.3%) of the invested funds at the initial cost are now invested in the CBF Investment fund. An analysis of the portfolio by cost and market value is set out in note 9. Investments are stated at valuation. The market value adjustment for the year is gain of £405,434 (2022 – loss of £585,823) which arises as a consequence of the year end revaluation.
The original funding for such investments was by way of loan. As the lenders have confirmed that in the event of a loan repayment arising the amount to be repaid would reflect any movement in market value at that time, the trustees consider it is appropriate that a market value adjustment of £405,434 (2022 – loss of £585,823) be made to the value of the loans made to the charity to reflect the overall rise in market value of such loans during the year – see notes 2, 5 & 6 to the accounts.
Financial Results and Reserves Policy
The results for the year are set out fully in the Receipts and payments Account on page 5. The investment income available for distribution in the year has increased. Day to day costs of management and administration continue to be met by the Sodor and Man Diocesan Board of Finance, which enables expenditure of a non direct charitable nature to be kept to a minimum. The Trustees consider that the assets of the charity are sufficient to fulfil its obligations. As a consequence no reserves are held or considered necessary.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
TRUSTEES’ REPORT
For the year ended 31 December 2023
STATEMENT OF TRUSTEES’ RESPONSIBILITIES
The trustees are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and regulations.
The Charities Act 2011 and the Charities (Accounts and Reports) Regulations 2008 require the trustees to prepare the financial statements for each financial period. Under that law the trustees have prepared the financial statements on a receipts and payments basis. 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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make judgements and estimates that are reasonable and prudent; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011 and regulations made thereunder. 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.
Approved by the Trustees at a Trustees meeting held on by
2024 and signed on its behalf
For the Trustees
For the Trustees
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Independent examiner’s report to the charity trustees of The Sodor and Man Diocesan Association
We report on the accounts of the Charity for the year ended 31 December 2023, which are set out on pages 5 to 11.
Respective responsibilities of charity trustees and examiner
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the Charities Act 2011 (“the Charities Act”). It is our responsibility to:
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Examine the accounts under section145 of the Charities Act;
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Follow the procedures laid down in the general Directions given by the Charity Commission (“the Commission”) under section 145(5) (b) of the Charities Act; and
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State whether particular matters have come to our attention.
Basis of independent examiner’s report
We have examined your Charity accounts as required under section 145 of the Charities Act and our examination was carried out in accordance with the general Directions given by the Commission under section 145(5)(b) of the Charities Act.
Our examination included a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also included consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as Charity trustees concerning any such matters.
Our role is to state whether any material matters have come to our attention giving us cause to believe:
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That accounting records were not kept in accordance with section 130 of the Charities Act;
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That the accounts do not accord with those accounting records;
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That the accounts do not comply with the accounting requirements of the Charities Act; and
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That there is further information needed for a proper understanding of the accounts to be reached.
Independent examiner’s statement
We have completed our examination and have no concerns in respect of the matters (1) to (4) listed above and, in connection with following the Directions of the Commission, we have found no matters that require drawing to your attention.
Louise Kelly FCA Grant Thornton Limited Chartered Accountants Douglas Isle of Man
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Independent examiner’s report to the charity trustees of The Sodor and Man Diocesan Association
Date:
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THE SODOR AND MAN DIOCESAN ASSOCIATION
RECEIPTS AND PAYMENTS ACCOUNT
For the year ended 31 December 2023
| Note Receipts: 1 Donations CCLA- Dividends & interest received CCLA Share fund dividends Total receipts Payments: Direct charitable expenditure Grants paid 8 Total payments Net movement in funds Unrealised Gains on investments 5 Realised Gains on investments 5 Market Value Adjustment 5/6 Balance brought forward Balance carried forward |
£ £ £ £ - - 99,528 97,916 11,753 11,689 111,281 109,605 111,281 109,605 (111,281) (109,605) - - 405,434 585,823 9,122 - (414,556) (585,823) - - - - - - Restricted funds Restricted funds 2022 2023 |
|---|---|
Unrestricted funds amount to £100 and there has been no movement in un-restricted funds during the current or previous year.
The results derive entirely from continuing operations.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
STATEMENTS OF ASSETS AND LIABILITIES AS AT 31 DECEMBER 2023
| 2023 | 2022 | ||||
|---|---|---|---|---|---|
| Notes | £ | £ | |||
| Fixed assets | |||||
| Investments | 1f & 5 | 4,880,026 | 4,456,348 | ||
| 4,880,026 | 4,456,348 | ||||
| Current assets | |||||
| Bank | - | - | |||
| Debtor | 100 | 100 | |||
| 100 | 100 | ||||
| Current liabilities | |||||
| DBF Loan | 2 | (4,880,026) | (4,456,348) | ||
| (4,880,026) | (4,456,348) | ||||
| Net current (liabilities) | (4,879,926) | (4,456,248) | |||
| Total net assets | 100 | 100 | |||
| Represented by: | |||||
| Restricted funds | - | - | |||
| Un-restricted funds | 3 | 100 | 100 | ||
| Total funds | 100 | 100 |
Approved on and authorised for issue by:
For the Trustees
For the Trustees
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THE SODOR AND MAN DIOCESAN ASSOCIATION
NOTES TO THE ACCOUNTS
For the year ended 31 December 2023
1 Accounting Policies
The financial statements have been prepared on a receipts and payments basis in accordance with applicable law. The charity’s income is below the level which would trigger full Statement of Recommended Practice for Charities compliance.
A summary of the material accounting policies is set out below:
a) Basis of accounting
The financial statements are prepared on a receipts and payments basis, as modified by the revaluation of investments and loan liabilities to fair value.
b) Unrestricted Funds
Unrestricted funds represent the initial funding capital.
c) Investment and donation income and Grants
CCLA Dividend income and interest are accounted for when received. Tax recoverable relating to specific donations received is accounted for when received. Investment income received is distributed via grants to those parties providing loans to the Association. The grants paid equal the investment income arising on the loans provided and donations received.
d) Direct charitable expenditure
Direct charitable expenditure includes all expenditure directly related to the objectives of the Charity and comprises grants made during the year.
e) Other expenditure
Day to day costs of management and administration have been met by the Sodor and Man Diocesan Board of Finance.
f) Investments
Investments are held with CCLA Investment Management Limited and are stated at fair value on an open market basis, as advised by that institute. An analysis of the portfolio by cost and market value is set out in note 9. The market value adjustment each year arises as a consequence of the year end revaluation. See note 6 for detail.
g) Taxation
The Sodor and Man Diocesan Association is a registered UK charity, whose activities are exempt from taxation under the Income and Corporation Taxes Act 1988 and Taxation of Chargeable Gains Act 1992.
h) Loans
Loans advanced to the Association are used to acquire investments. These loans are subject to an annual market value adjustment such that the liability of the Association is equal to the market value of the investments acquired.
i) Cash at bank
Cash at bank represents funds held with CCLA Investment Management Limited.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
NOTES TO THE ACCOUNTS (continued) For the year ended 31 December 2023
j) Pensions
Samanda acts as an agent for the DBF regarding the transmission of pension contributions to the Church Of England Pensions Board at a rate agreed with the actuaries from time to time. From 1 January 2011 the rate was 38.2% from 1 January 2015 the contribution rate is set at 39.9% of pensionable stipends (of which 14.1% is in respect of the £293m shortfall in the Scheme and 25.8% is in respect of accrual of future benefits and the day-to-day expenses of running the scheme). From April 2022 rate was reduced to 36%. The rate has been further reduced to 28% from January 2023 with no remaining deficit anticipated.
k) Going Concern
Taking into account the Board’s intention to continue its activities, and the net asset position, the financial statements have been drawn up on a going concern basis.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
NOTES TO THE ACCOUNTS (continued) For the year ended 31 December 2023
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THE SODOR AND MAN DIOCESAN ASSOCIATION
| 2 Current Liabilities The Sodor and Man Diocesan Board of Finance St Georges PCC Rushen PCC Patrick PCC The Sodor and Man Diocesan Board of Finance as custodian Trustee on behalf of: |
B/f loan £ 3,450,778 121,463 880,574 3,533 |
Loans advanced/ (repaid) £ - 50,000 (40,878) - 9,122 |
Market value adj (note 6) £ 328,872 14,252 71,096 336 |
2023 2022 £ £ 3,779,650 3,450,778 185,715 121,463 910,792 880,574 3,869 3,533 |
|---|---|---|---|---|
| 4,456,348 | 414,556 | 4,880,026 4,456,348 |
The loans are unsecured, interest free and have no fixed date for repayment.
3 Un-restricted Funds
| Un-restricted Funds Initial funding Capital |
2023 2022 £ £ 100 100 |
|---|---|
4 Related Party Transactions
As disclosed within the Trustees' report, during the year, Samanda has received continued funding from the Sodor and Man Diocesan Board of Finance, an entity under the same common control, in order to further its activities. Grants have also been paid from Samanda to the Sodor and Man Diocesan Board of Finance in respect of investment income received. At the year end, the outstanding loan balances (after market value adjustment - note 6) in respect of these transactions was £3,779,650 (2022 - £3,450,778). This loan is unsecured, interest free and not subject to any fixed repayment date. The Trustees' have not received any remuneration from the charity during the year (2022 - £nil). Admin costs incurred in the Diocesan Board of Finance accounts relating to Samanda for the Treasurer salary and examination fee are not re charged to Samanda.
| Investments Investment fund 1 January Net Loans in year Movement on unrealised gains Realised Profit/Loss on disposal/transfer Investment fund at 31 December Cost £2,032,406.41 (2022 - £2,795,374)) |
2023 2022 £ £ 4,456,348 4,916,151 9,122 126,020 405,434 (585,823) 9,122 - |
|---|---|
| 4,880,026 4,456,348 |
|
5 Investments
Details of investments, including those comprising over 5% of the value of the portfolio, are shown in note 9.
6 Market Value Adjustment
As a consequence of stock market fluctuations the underlying value of the investment portfolio will vary over time. The original funding of such investments was by way of loan. The lenders have confirmed that in the event of a loan repayment arising the amount to be repaid will reflect any movement in market value at that time. As such a market value adjustment has been applied to the amount of such loans to reflect this situation and state the loan balances at the amounts repayable.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
NOTES TO THE ACCOUNTS (continued) For the year ended 31 December 2023
7 Pension Fund Contributions - CBF Pension Fund
Samanda acts as an agent for the Diocesan Board of Finance regarding the transmission of pension contributions to the Church Of England Pensions Board. During the year £92,275 (2022: £130,905) was paid in connection with this arrangement. No funds are held on behalf of the Diocesan Board of Finance at the year end (2022: Nil).
8 Grants Paid
| Grants Paid | |
|---|---|
| Sodor and Man Diocesan Board of Finance re: Administration Benefice Endowments Bishops Property (Residence Fund) Clergy Stipends Cubbon Cathedral Trust Clergy Widows & Children Development fund Diocesan Pastoral Account Hoare Trust Lady Hastings Retired clergy St Johns Church St Judes Parsonage Training fund German PCC Malew PCC Patrick PCC Rushen PCC St Georges PCC |
2023 2022 £ £ 12,812 12,680 11,729 11,722 5,069 5,041 28,911 28,752 11,521 11,458 1,701 805 6,799 1,457 159 5,638 98 161 1,338 84 152 1,482 106 61 26,354 1,123 2,201 60 534 - 85 60 105 1,141 25,360 510 3,615 |
| 111,281 109,605 |
All grants have been made directly to churches, charitable bodies and the Sodor and Man Diocesan Board of Finance, all of which are based in the Isle of Man, and share the same charitable objectives as the charity as set out on page 1 of the Trustees Report.
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THE SODOR AND MAN DIOCESAN ASSOCIATION
NOTES TO THE ACCOUNTS (continued) For the year ended 31 December 20239 Investment Schedule
Nominal Holding |
Nominal Holding |
Nominal Holding |
Cost | Cost | Cost | Cost | Market | |||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Brought | Additions | Carried | Brought | Additions | Carried | Proceeds on | Profit/(Loss) | Value | ||||||
| Forward | (Disposals) | Forward | Forward | (Disposals) | Forward | Disposal/Transfer | on disposal | 31-Dec-23 | ||||||
| CBF Fixed Interest Securities Fund | £ | £ | £ | £ | £ | £ | ||||||||
| HoareTrust | 63.00 | - | 63.00 | 104.40 | - | 104.40 | - | - | 91.19 | |||||
| Retired Clergy | 3,854.93 | - | 3,854.93 | 6,190.08 | - | 6,190.08 | - | - | 5,580.01 | |||||
| Trainingfund | 711.00 | - | 711.00 | 1,122.39 | - | 1,122.39 | - | - | 1,029.17 | |||||
| Benefice Endowment | 6,822.82 | - | 6,822.82 | 11,039.59 | - | 11,039.59 | - | - | 9,876.03 | |||||
| Clergy Widows & Children | 7,555.94 | 7,555.94 | 12,544.58 | 12,544.58 | - | - | 10,937.22 | |||||||
| 19,007.69 | - | 19,007.69 | 31,001.04 | - | 31,001.04 | - | - | 27,513.62 | ||||||
| CBF Investment Fund | ||||||||||||||
| Administration | 20,763.08 | - | 20,763.08 | 247,525.75 | - | 247,525.75 | - | - | 470,090.05 | |||||
| BeneficeEndowments | 51,085.16 | - | 51,085.16 | 609,140.18 | - | 609,140.18 | - | - | 1,154,807.06 | |||||
| BishopsResidenceFund (wasBishopsProperty) | 8,203.77 | - | 8,203.77 | 126,946.11 | - | 126,946.11 | - | - | 185,448.68 | |||||
| Clergy Stipends | 46,789.57 | - | 46,789.57 | 410,457.01 | - | 410,457.01 | - | - | 1,057,695.21 | |||||
| CubbonCathedral Trust | 18,652.64 | - | 18,652.64 | 154,686.39 | - | 154,686.39 | - | - | 421,646.11 | |||||
| Development fund | 2,357.00 | - | 2,357.00 | 25,969.17 | - | 25,969.17 | - | - | 53,287.99 | |||||
| Diocesan Pastoral Account | 11,008.19 | - | 11,008.19 | 117,959.10 | - | 117,959.10 | - | - | 248,848.80 | |||||
| HoareTrust | 238.00 | - | 238.00 | 2,618.99 | - | 2,618.99 | - | - | 5,371.91 | |||||
| LadyHastings | 155.95 | - | 155.95 | 1,216.00 | - | 1,216.00 | - | - | 3,525.30 | |||||
| Retired Clergy | 2,167.61 | - | 2,167.61 | 23,884.22 | - | 23,884.22 | - | - | 49,011.44 | |||||
| Trainingfor Ministry | 109.00 | - | 109.00 | 840.16 | - | 840.16 | - | - | 1,724.61 | |||||
| Patrick PCC | 171.14 | - | 171.14 | 1,419.00 | - | 1,419.00 | - | - | 3,868.67 | |||||
| Rushen PCC | 42,651.27 | (2,360.19) | 40,291.08 | 931,407.22 | (40,877.74) | 890,529.48 | 50,000.00 | 9,122.26 | 910,791.95 | |||||
| St Georges-General / PCC | 2,937.23 | 2,332.41 | 5,269.64 | 28,582.72 | 50,000.00 | 78,582.72 | - | - | 119,122.47 | |||||
| St GeorgesPCCre | ||||||||||||||
| GravesTrust account | 863.94 | - | 863.94 | 8,780.19 | - | 8,780.19 | - | - | 19,529.62 | |||||
| Poor Fund | 137.49 | - | 137.49 | 1,230.38 | - | 1,230.38 | - | - | 3,108.00 | |||||
| Keyes Legacy | 97.91 | - | 97.91 | 988.74 | - | 988.74 | - | - | 2,211.02 | |||||
| BarrackStMissionSchm. | 1,846.66 | - | 1,846.66 | 19,909.74 | - | 19,909.74 | - | - | 41,744.30 | |||||
| Clergy Widows & Children | 838.00 | - | 838.00 | 9,223.36 | - | 9,223.36 | - | - | 18,924.05 | |||||
| 211,073.61 | (27.78) | 211,045.83 | 2,722,784.43 | 9,122.26 | 2,731,906.69 | 50,000.00 | 9,122.26 | 4,770,757.24 | ||||||
| CBF Investment Fund - accumulation shares | ||||||||||||||
| BishopsResidenceFund (wasBishopsProperty) | 691.14 | - | 691.14 | 6,626.60 | - | 6,626.60 | - | - | 41,277.76 | |||||
| SquireTrust | 677.86 | - | 677.86 | 34,962.33 | - | 34,962.33 | - | - | 40,477.60 | |||||
| TOTAL | 231,450.30 | (27.78) | 231,422.52 | 2,795,374.40 | 9,122.26 | 2,804,496.66 | 50,000.00 | 9,122.26 | 4,880,026.22 |
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