OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-03-31-accounts

Charity No. 508357

Hoghton Tower Preservation Trust

Unaudited Financial Statements

For The Year Ended 31 March 2021

HOGHTON TOWER PRESERVATION TRUST

CONTENTS

Page
Legal and administrative details 1
Trustees’ annual report 2
Independent examiner’s report 6
Statement of financial activities (incorporating the income and expenditure account) 7
Balance sheet 8
Notes to the accounts 9

HOGHTON TOWER PRESERVATION TRUST

LEGAL AND ADMINISTRATIVE DETAILS

FOR THE YEAR ENDED 31 MARCH 2020

Registered charity name

Hoghton Tower Preservation Trust

Charity registration number

Registered office

508357 Hoghton Tower Hoghton Preston Lancashire PR5 0SH

The trustees

The trustees who served the charity during the period were as follows :-

Mary E Langford ArwelI Lewis Ellie C Botti Duccio M Faraoni Elena Faraoni Edward Perry Accountants and Independent Examiners MHA Moore and Smalley Chartered Accountants Richard House 9 Winckley Square Preston Lancashire PR1 3HP

-1-

HOGHTON TOWER PRESERVATION TRUST

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Introduction

The trustees present their report and financial statements for the charity for the year ended 31 March 2021. The financial statements have been prepared in accordance with the accounting policies set out on pages 9 to 11 which comply with the charity's Trust Deed, dated 27 October 1978, and applicable law. The charity is a registered charity, number 508357.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)(effective October 2019).

Structure, governance and management

Statutory background: governing document

The Hoghton Tower Preservation Trust (Charity) is an unincorporated trust, constituted under a Trust Deed dated 27 October 1978. The charity was established by Sir Bernard de Hoghton Bt DL with an initial restoration fund to be held and applied by the Trustees for the purposes of the preservation and maintenance of Hoghton Tower for the public benefit.

Organisation and structure

Recruitment, appointment and training of trustees

The trustees of the Charity are shown on page 1.

The Trust Deed gave the power to appoint new trustees to Sir Bernard de Hoghton Bt DL who resigned from the Board in 2015. A new Chair was appointed by Sir Bernard de Hoghton who has been assigned the right to appoint new Trustees to the Charity Board. The Trust Deed stipulates that there must be a minimum of three trustees serving at any time and a maximum of seven trustees. Trustees have been recruited on the basis of their established credentials in their respective areas of professional expertise and they have been asked to bring the full benefit of their experience and skill set to support the Charity at board level. All trustees operate on an entirely voluntary basis. The Trust Deed states that any trustee who is absent from all meetings for a period of more than eighteen months shall cease to be a trustee. The Trustees meet as a minimum every 3 months but communicate more frequently via email outside of meetings or have zoom meetings as required.

New trustees receive information about the Charity, its aims and objectives and are given a tour of the Tower and meet staff and volunteers. Trustees are encouraged to attend appropriate external training where this will facilitate the undertaking of their role. In addition to this, the trustees gain regular updates from their professional advisers and Charity Commission bulletins are circulated to all Trustees.

Organisational structure

The charity is currently supervised by six trustees who meet regularly to supervise the strategic and administrative organisation of the charity. The charity depends to a large degree on the trustees' executive direction and energy. Trustees assist on operations as much as possible as a way of understanding all issues thoroughly and supporting the small number of staff. .

Key management personnel

The trustees are supported by a small staff and a body of volunteer guides. There are no key management personnel.

-2-

HOGHTON TOWER PRESERVATION TRUST

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2021

Trading Subsidiary

Hoghton Tower Ltd operates as Hoghton Tower Preservation Trust’s trading arm and the Chair of the Board of Trustees is Hoghton Tower Ltd’s director.

Charity has three main ‘objects’ as follows:

  1. The restoration and preservation of Hoghton Tower, a fortified Tudor Elizabethan manor house, considered to be a building of outstanding historical and architectural importance, both to its locality and the nation.

  2. Providing access for the benefit and enjoyment of the public and, where possible, the advancement of education as related to the house and its historic eras. The latter objective seeks to encourage and foster historic research into both the history of Hoghton, as well as the county of Lancashire with special reference to historic documents and records.

  3. Fostering public education and interest in matters connected with the preservation of the flora and fauna in Hoghton and the environment generally in the county.

Public benefit

In establishing the objects of the charity, the trustees have had due regard to the guidance published by the Charity Commission on public benefit.

Strategic Plan

A full strategic review of the Trust’s Business Plan was carried out in early 2021 thanks to Cultural Recovery Funding. This concentrated on how the charity can regain stability and resilience by focussing on increasing efficiency in operations, developing a better understanding of our key audiences, increasing our use of data to inform management decisions underpinned by a more robust data model and mapping out key strategic priorities into the next 4 years.

Vision to 2024

‘The foundation is sound. From the financials to the families, from the experience to the exploration, Hoghton Tower has strong foundations built on evidence and mortared with monitoring so that good decisions are easier to make.’

Financial review

The surplus for the year amounted to £53,485 (2020: Deficit of £18,050). Expenditure in the year on charitable activities has been £162,157 (2020: £112,790).

Risk management

The Trustees examine the organisational risk register at every board meeting in particular those risks relating to the financial position and the ongoing operations. They are satisfied that systems are in place to mitigate the major risks in particular having driven the organisation through the pandemic.

-3-

HOGHTON TOWER PRESERVATION TRUST

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Reserves policy

The Trustees have reviewed the Charity’s need for reserves in line with the guidance issued by the Charity Commission. Taking this into account, the Trustees have established that the target is to hold reserves equal to 3 months expenditure. At the year end, free reserves were in deficit by £4,104 (2020: deficit of £20,848).

Review of 2020/21

The Trust continues with its mission to protect this important heritage asset in Lancashire. The meticulous dayto-day care of the house, gardens and grounds is key to the preservation of the Tower. The Trust has a maintenance plan which continues to be the guide for the necessary care and conservation work. Throughout the pandemic, the building was protected by the Trustees as all staff were furloughed.

Reopening started gradually and in line with government guidance. This started in June 2020 with the first Farmers Market which has continued strong ever since. The house and grounds reopened at the end of July 2020 for small groups of visitors with innovative new outdoor tours. The November and winter restrictions brought further cancellations and closures but also the opportunity to redevelop different offerings based on the outdoors. The staff continued working thanks to the Cultural Recovery Fund 1 and 2. The time was used to redevelop digital offerings as well as renew our website.

Visitor Numbers, Events and Income Generation

Covid has a dramatic impact on visitor numbers in 2020/21, when only a total of 14,000 visitors came to Hoghton Tower, of which over 1130 visitors came inside the house. The house tours were redesigned and shortened to be Covid safe.

In 2020/21 the house open season of the house and grounds was between end of July- September (Thursdays to Sundays on a prebooked basis).

Some fundraising events were held in 2020/21 but many of the regular favourites could not go ahead. The events held were

Limited trading activities were carried out by the trading arm, Hoghton Tower Ltd including:

Press and Publicity

The Trust has continued to develop the Hoghton Tower website thanks to Cultural Recovery Funding. A grant from the Architectural Heritage Fund is helping up develop a robust marketing plan, reconsider our tone of voice and marketing position. Social media figures continue to increase.

-4-

HOGHTON TOWER PRESERVATION TRUST

TRUSTEES’ ANNUAL REPORT

FOR THE YEAR ENDED 31 MARCH 2021

Review of 2020/21 continued

Education, Learning and volunteer engagement

Our popularity as a learning destination for schools remains strong although we were unable to have onsite visits during the year. Some digital lessons were developed which will help the further widening of this offer into 2021/22

Volunteers: The Trust continues to be grateful for the tireless energy and commitment of a core of dedicated volunteers without whom a lot of the work undertaken would be impossible. The volunteers help to guide visitors round the house and gardens, design events and run them, help with ticketing and staffing the gift shop, welcoming visitors as well as helping in the office. We certainly count our Trustees amongst these volunteers and thank them also for the guidance and direction.

Restoration, Preservation and Grounds Maintenance

Spending on essential restorative works to the house continued within the year. Some of the highlights of this year include:

Investment in staff

The Trust continues to have a very small staff establishment, with 3 FTEs as well as a number of part time roles in particular in the catering operations.

Looking Forward 2021/22

The priorities will be as follows:

………………………………………….

Elena Faraoni

29/10/2021 Date:

-5-

HOGHTON TOWER PRESERVATION TRUST

INDEPENDENT EXAMINER’S REPORT TO THE MEMBERS

FOR THE YEAR ENDED 31 MARCH 2021

I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2021 which are set out on pages 7 to 19.

Responsibilities and basis of report

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

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

Independent examiner's statement

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

  1. accounting records were not kept in respect of the charity as required by section 130 of the Act; or

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

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Nicola Mason (Independent Examiner) For and on behalf of MHA Moore and Smalley Chartered Accountants Preston

29/10/2021 Date: ………………..........................

-6-

HOGHTON TOWER PRESERVATION TRUST

STATEMENT OF FINANCIAL ACTIVITIES

(INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Income from:
Donations
2
Charitable activities
3
Other trading activities
4
Investment income
Total
Expenditure on:
Raising funds		 Total
Total
Unrestricted
Restricted
funds
funds
funds
funds
2021
2020
£
£
£
£
13,669
-
13,669
51,444
6,612
197,227
203,839
42,158
12,736
-
12,736
40,937
2
-
2
2
33,019
197,227
230,246
134,541
14,604
-
14,604
39,801
Charitable activities 21,112
141,045
162,157
112,790
Total
5
Net income/(expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
15
35,716
141,045
176,761
152,591
(2,697)
56,182
53,485
(18,050)
7,049
(7,049)
-
-
4,352
49,133
53,485
(18,050)
7,907
72,680
80,587
98,637
12,259
121,813
134,072
80,587

All of the above amounts relate to continuing activities.

-7-

HOGHTON TOWER PRESERVATION TRUST

BALANCE SHEET

AS AT 31 MARCH 2021

Fixed assets
Intangible assest
8
Tangible assets
9
Heritage assets
10
Investments
11
Current assets
Debtors: Amounts falling due within one
year
12		 Total
Total
Unrestricted
Restricted
funds
funds
funds
funds
2021
2020
£
£
£
£
9,000
-
9,000
82,402
63,952
146,354
145,270
32,410
-
32,410
32,410
2
-
2
2
123,814
63,952
187,766
177,682
17,056
32,460
49,516
12,757
Cash at bank and in hand 73,614
25,401
99,015
7,490
90,670
57,861
148,531
20,247
Creditors:amounts falling due within
one year
13		 (94,774)
-
(94,774)
(33,842)
Net current assets
Total assets less current liabilities
(4,104)
57,861
53,757
(13,595)
119,710
121,813
241,523
164,087
Creditors:amounts falling due after
more than one year
14		 (107,451)
-
(107,451)
(83,500)
Net assets
Funds:
Unrestricted funds
Restricted funds
Total funds
15
12,259
121,813
134,072
80,587
12,259
-
12,259
7,907
-
121,813
121,813
72,680
12,259
121,813
134,072
80,587

The financial statements were approved by the trustees on the ........................ and are signed on their behalf 29/10/2021 by:

…………………………………… Elena Faraoni

-8-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations are the restoration and preservation of the tower as a building of historic interest for the benefit and education of the community at large.

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Basis of preparation

The financial statements have been prepared in accordance with 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) – (Charities SORP (FRS 102)) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are presented in sterling which is the functional current of the charity and rounded to the nearest £.

The financial statements have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the 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) – (Charities SORP (FRS 102)) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Hoghton Tower Preservation Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Preparation of the accounts on a going concern basis

The trustees are required to assess whether the use of going concern is appropriate, ie. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charitable company to continue as a going concern. The trustees make this assessment in respect of a period of at least one year from the date of authorisation of issue of the accounts. The Trustees have considered the impact of the measures taken to combat the spread of the corona virus and are confident that they can manage the situation. They have concluded that the charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the charitable company’s ability to continue as a going concern. Thus, they continue to adopt the going concern basis of accounting in preparing the accounts.

Incoming resources

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.

-9-

HOGHTON TOWER PRESERVATION TRUST

.

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies (continued)

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

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.

Resources expended

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Taxation

The Trust is a registered charity and therefore is not liable for income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

Heritage assets

Heritage assets are recognised on the balance sheet and initially measured at cost when purchased or if donated, their valuation. Assets are subsequently stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Fair values for donated assets are estimated by reference to market prices. Where information on the cost or valuation of heritage assets is not available or the cost of providing such information significantly outweighs any benefit to the users of the accounts then heritage assets are not recognised on the balance sheet.

The Trust owns part of a collection of Dollshouses which is included in the accounts at a value of £32,410. Depreciation is not provided on heritage assets. The Dollshouse collection is included in the tour of Hoghton Tower provided during public and private viewing.

Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:

Fixtures, fittings and equipment - 20% p.a. straight line Leasehold improvements - 2% p.a. straight line

Investments

Investments in subsidiaries are measured at cost less impairment.

-10-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2021

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

Judgements and key sources of estimation uncertainty

The following judgements (apart from those involving estimates) have been made in the process of applying the above accounting policies that have had the most significant effect on amounts recognised in the financial statements:

Valuation of heritage assets

As detailed in accounting policies, the charity values heritage assets donated at fair value with reference to market prices. The valuation of the heritage assets requires judgements to be made regarding the fair value.

There have been no key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

2 Income from donations

Sir Bernard de Hoghton Bt DL – donation
Thomas de Hoghton
Sundry donations		 Unrestricted
Restricted
Total
Total
funds
funds
2021
2020
£
£
£
£
-
-
1,500
30,000
13,669
-
13,669
19,944
13,669
-
13,669
51,444

Income from donations in the current and prior year was all unrestricted.

-11-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

3 Incoming resources from charitable activities

Gate monies
School and private tours
Grant income		 Unrestricted
Restricted
funds
funds
£
£
6,612
-
-
-
-
197,227		 Total
Total
2021
2020
£
£
6,612
30,563
-
11,595
197,227
-
6,612
197,227		 203,839
42,158
106,700
33,800
26,297
30,430
197,227
Grants received in year
National Heritage Lottery Fund - Cultural recovery grant
National Heritage Lottery Fund - Emergency Covid 19 Grant
Historic England
The Arcitectural Heritage Fund

The income from charitable activities was £203,839 of which £6,612 (2020: £42,158) was unrestricted and £197,227 (2020 £Nil) was restricted.

4 Incoming resources from trading activities

Incoming resources from trading activities
Fundraising events Unrestricted
Restricted
Total
Total
funds
funds
2021
2020
£
£
£
£
12,736
-
12,736
40,937
12,736
-
12,736
40,937

The income from trading activities was £12,736 (2020: £40,937) all of which was unrestricted.

-12-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

5 Analysis of expenditure on raising funds

Analysis of expenditure on raising funds
Basis of
allocation		 Total
Total
Raising
Charitable
funds
funds
funds
activities
2021
2020
£
£
£
£
Directly allocated to activities
Wages and salaries
Direct
Flowers and gardening
Direct
Repairs and maintenance
Direct
Event costs
Direct
Castle Studies Project costs
Direct
Support costs
Wages and salaries
Staff time
Rates
Equally
Heat and light
Equally
Marketing, printing and postage
Equally
IT costs
Usage
Insurance
Usage
Bank charges
Equally
Sundries
Equally
Depreciation
Usage
Legal and professional
Direct
Loan interest
Direct
Direct
Accountancy and bookkeeping
costs		 -
-
-
50,742
6,422
6,422
-
-
30,885
30,885
26,619
9,306
8,963
18,269
15,853
-
4,834
4,834
247
-
29,074
29,074
14,603
-
-
-
801
1,029
514
1,543
5,106
720
11,283
12,003
-
429
6,724
7,153
-
1,532
23,994
25,526
16,310
483
242
725
872
682
341
1,023
5,310
423
6,625
7,048
6,815
-
26,950
26,950
35
-
900
900
900
-
4,407
4,407
8,378
14,604
162,157
176,761
152,591

Total resources expended were £176,761 (2020: £152,591), of which £141,045 (2020 £1,722) was restricted and £35,716 (2020: £150,869) was unrestricted.

-13-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

6 Net (incoming)/outgoing resources

Net (incoming)/outgoing resources
Net resources are stated after charging/(crediting):
Depreciation of tangible fixed assets		 2021
2020
£
£
7,048
6,815
Independent examination fee (exclusive of VAT) 1,600
1,510

7 Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel

personnel
2021
2020
£
£
Wages and salaries 26,331
60,270
Social security costs 2,743
5,075
29,074
65,345

Analysis of staff costs, trustee remuneration and expenses and the cost of key management personnel

Particulars of employees:

The average number of employees during the year was as follows:

2021
2020
No
No
Number of staff 3
6

No employees had employee benefits in excess of £60,000 per annum (2020: £nil).

The charity trustees were not paid and did not receive any other benefits from employment with the charity in the year (2020: £nil). Travelling and other reimbursed expenses and costs amounting to £3,548 (2020: £230) were paid to trustees during the year.

The key management personnel of the charity comprises of the board of trustees. The charity does not have any paid key management personnel.

-14-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

8 Intangible fixed assets

Cost
At 1 April 2020
Additions
Disposals
At 31 March 2021
Amortisation
At 1 April 2020
Charge for the year
Eliminated on disposals
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020		 Website
Total
£
£
-
-
9,000
9,000
-
-
9,000
9,000
-
-
-
-
-
-
-
-
9,000
9,000
-
-

9 Tangible fixed assets

Cost
At 1 April 2020
Additions
Disposals
At 31 March 2021
Amortisation
At 1 April 2020
Charge for the year
Eliminated on disposals
At 31 March 2021
Net book value
At 31 March 2021
At 31 March 2020		 Leasehold
Improvements
Fixtures,
fittings &
equipment
Total
£
£
£
154,806
21,546
176,352
8,132
8,132
-
-
-
154,806
29,678
184,484
14,334
16,748
31,082
3,096
3,952
7,048
-
-
-
17,430
20,700
38,130
137,376
8,978
146,354
140,472
4,798
145,270

Fixtures, fittings and equipment include £8,510 of assets which are not depreciated.

-15-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

10 Heritage assets

Heritage assets
Dollshouse Collection
£
Valuation
At 1 April 2020 32,410
Additions -
Revaluation -
At 31 March 2021 32,410

The Dollshouse collection was valued in the year ended 31 March 2015 by St George Valuations. An additional two dollshouses have been donated to the Charity since this valuation. A value has not yet been attributed to this donation.

Five year summary of heritage asset transactions

Cost brought forward
Additions
Revaluation
Cost carried forward		 2021
2020
2019
2018
2017
£
£
£
£
£
32,410
32,410
32,410
32,410
32,410
-
-
-
-
-
-
-
-
-
-
32,410
32,410
32,410
32,410
32,410

11 Investments

Investment in subsidiary Total
Total
2021
2020
£
£
2
2

The Charity owns 100% of the issued share capital of Hoghton Tower Limited, a company registered in England and Wales. During the year, the company made a deficit of £13,820 (2020: deficit of £996) and as at 31 March 2021 had capital and reserves of £(12,483) (2020: £1,337).

-16-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

12 Debtors: Amounts falling due within one year

Debtors: Amounts falling due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 2021
2020
£
£
564
623
16,492
6,026
32,460
6,108
49,516
12,757

13 Creditors: Amounts falling due within one year

Bank loan
Trade creditors
Accruals and deferred income
Amount due to subsidiary undertaking
14
Creditors: Amounts falling due after more than one year
Bank loan
Other creditors		 2021
2020
£
£
433
-
57,366
2,054
7,186
6,010
29,789
25,778
94,774
33,842
2021
2020
£
£
23,951
-
83,500
83,500
107,451
83,500

The charity has received a bounce back loan during the year. The loan is repayable over 6 years and repayment begins 13 months after draw down. The loan is not secured on the assets of the charity.

-17-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

15 Analysis of charitable funds

Current year
At 1
At 31
April
Incoming Outgoing
March
2020 resources resources Transfers
2021
£
£
£
£
£
Unrestricted funds
General fund
7,907
33,019
(35,716)
7,049
12,259
Restricted funds
Windows restoration
1,000
-
-
-
1,000
The Country House Association - Roof
restoration
56,554
-
(1,275)
-
55,279
Garfield Weston Foundation - Roof restoration
8,873
-
(200)
-
8,673		 Current year
At 1
At 31
April
Incoming Outgoing
March
2020 resources resources Transfers
2021
£
£
£
£
£
Unrestricted funds
General fund
7,907
33,019
(35,716)
7,049
12,259
Restricted funds
Windows restoration
1,000
-
-
-
1,000
The Country House Association - Roof
restoration
56,554
-
(1,275)
-
55,279
Garfield Weston Foundation - Roof restoration
8,873
-
(200)
-
8,673
Castle Studies Trust 6,253
-
(4,834)
-
1,419
National Heritage Lottery Fund - Emergency
Covid 19 Grant
Historic England
The Arcitectural Heritage Fund
Total restricted funds
Total funds		 -
140,500
(133,451)
(7,049)
-
-
26,297
-
-
26,297
-
30,430
(1,285)
-
29,145
72,680
197,227
(141,045)
(7,049)
121,813
80,587
230,246
(176,761)
-
134,072
Prior year At 1 At 31
April Incoming Outgoing March
**2019 ** **resources ** **resources ** Transfers 2020
£ £ £ £ £
Unrestricted funds 24,235 134,541 (150,869) - 7,907
General fund
Restricted funds
Windows restoration 1,000 - - - 1,000
The Country House Association - Roof restorat 57,829 - (1,275) - 56,554
Garfield Weston Foundation - Roof restoration 9,073 - (200) - 8,873
Castle studies 6,500 - (247) 6,253
Total restricted funds 74,402 - (1,722) - 72,680
Total funds 98,637 134,541 (152,591) - 80,587

The Country House Association and the Garfield Weston Foundation funds represent funds received for the restoration of the roof.

The Castle Studies Trust income is a grant to complete an archaeological dig at Hoghton Tower.

The Historic England grants was for window restoration.

The Architectural Heritage fund grant was for the development of a marketing plan.

-18-

HOGHTON TOWER PRESERVATION TRUST

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2021

16 Net assets fund

The current year split of assets by fund is included on the balance sheet. The split for the year ended 31 March 2020 is as follows:

Tangible fixed assets
Heritage assets
Investments
Current assets
Current liabilities
Long term liabilities		 Unrestricted
Restricted
Total
funds
funds
2020
£
£
£
79,843
65,427
145,270
32,410
-
32,410
2
-
2
12,994
7,253
20,247
(33,842)
-
(33,842)
(83,500)
-
(83,500)
7,907
72,680
80,587

17 Related party transactions

The Charity leases property at Hoghton Tower from the De Hoghton Settled Estate at a cost of £10 per year. In a separate lease the Charity leases the use of the Great barn and other ancillary outbuildings at Hoghton Tower from the De Hoghton Settled Estate at a cost of one peppercorn per year.

The Charity has granted a licence to Hoghton Tower Limited to allow the use of the property for events and holiday lettings. In exchange, the company must pay any residual profits to the Charity by way of a gift aid donation. During the year the Charity received a donation of £nil (2020 : £nil) from Hoghton Tower Limited. There was also an amount of £29,790 due to Hoghton Tower Limited (2020 : £25,778) at the year end.

During the year re-imbursed expenses were paid to other related parties of £1,709 (2020: £419). At the end of the year, the Charity had amounts due to other related parties of £83,500 (2020: £83,500).

16 Continuing activities and going concern

The Charity has a business plan in place including budgets up to the year 2022/23. Activities have been prioritised and the Trustees are looking at funding sources. All costs are being reviewed and contingencies put in place for fluctuations in income. The Trustees are confident that they are able to meet all liabilities as they fall due.

-19-

HOGHTON TOWER LIMITED

Registered office address: Hoghton Tower Hoghton Preston PR5 0SH

Company number: 02637777 Place of incorporation: England & Wales

MHA Moore and Smalley Richard House 9 Winckley Square Preston PR1 3HP

Dear Sirs

Financial statements for the year ended 31 March 2021

We confirm that the following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience and, where appropriate, of inspection of the supporting documentation sufficient to satisfy ourselves that we can properly make each of the following representations to you in connection with your report on the financial statements of the company for the year ended 31 March 2021.

We confirm that in our opinion the financial statements give a true and fair view and in particular where any additional information must be disclosed in order to give a true and fair view that information has in fact been disclosed.

All the accounting records have been made available to you for the purpose of your work and all the transactions undertaken by the company have been properly reflected and recorded in the accounting records.

All other records and related information, including minutes of all management and shareholders' meetings, have been made available to you.

Page 2

Yours faithfully

………………………………………… Director On behalf of the board of directors

29/10/2021 Date …………………………………

Company Registration No. 02637777 (England and Wales)

HOGHTON TOWER LIMITED

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

HOGHTON TOWER LIMITED

COMPANY INFORMATION

Directors Lady R de Hoghton Mrs E Faraoni Company number 02637777 Registered office Hoghton Tower Hoghton Preston PR5 0SH Accountants MHA Moore and Smalley Richard House 9 Winckley Square Preston PR1 3HP

HOGHTON TOWER LIMITED

CONTENTS

Page
Directors' report 1
Accountants' report 2
Statement of income and retained earnings 3
Balance sheet 4 - 5
Notes to the financial statements 7 - 12

HOGHTON TOWER LIMITED

DIRECTORS' REPORT

FOR THE YEAR ENDED 31 MARCH 2021

The directors present their annual report and financial statements for the year ended 31 March 2021.

Principal activities

The principal activity of the company continued to be that of the management and running of events at Hoghton Tower, Hoghton. In addition, all trading activities of the Hoghton Tower Preservation Trust are managed via Hoghton Tower Ltd including the running of the Hoghton Tower tea room, gift shop, farmers markets and the accommodation.

The Company is controlled by the Hoghton Tower Preservation Trust. All staff who work at Hoghton Tower are employed by Hoghton Tower Limited and work for both Hoghton Tower Ltd and Hoghton Tower Preservation Trust as stated in their contracts of employment.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Lady R de Hoghton Mrs E Faraoni

Small companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

On behalf of the board

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

Mrs E Faraoni Director

29/10/2021 .........................

HOGHTON TOWER LIMITED

CHARTERED ACCOUNTANTS' REPORT TO THE BOARD OF DIRECTORS ON THE PREPARATION OF THE UNAUDITED STATUTORY FINANCIAL STATEMENTS OF HOGHTON TOWER LIMITED FOR THE YEAR ENDED 31 MARCH 2021

In order to assist you to fulfil your duties under the Companies Act 2006, we have prepared for your approval the financial statements of Hoghton Tower Limited for the year ended 31 March 2021 set out on pages 3 to 12 from the company’s accounting records and from information and explanations you have given us.

As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed at http://www.icaew.com/en/ members/regulations-standards-and-guidance .

This report is made solely to the Board of Directors of Hoghton Tower Limited, as a body, in accordance with the terms of our engagement letter. Our work has been undertaken solely to prepare for your approval the financial statements of Hoghton Tower Limited and state those matters that we have agreed to state to the Board of Directors of Hoghton Tower Limited, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF as detailed at icaew.com. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Hoghton Tower Limited and its Board of Directors as a body, for our work or for this report.

It is your duty to ensure that Hoghton Tower Limited has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and profit of Hoghton Tower Limited. You consider that Hoghton Tower Limited is exempt from the statutory audit requirement for the year.

We have not been instructed to carry out an audit or a review of the financial statements of Hoghton Tower Limited. For this reason, we have not verified the accuracy or completeness of the accounting records or information and explanations you have given to us and we do not, therefore, express any opinion on the statutory financial statements.

MHA Moore and Smalley Chartered Accountants

Richard House 9 Winckley Square Preston PR1 3HP

29/10/2021 .........................

HOGHTON TOWER LIMITED

STATEMENT OF INCOME AND RETAINED EARNINGS

FOR THE YEAR ENDED 31 MARCH 2021

2021 2020
£ £
Turnover 61,072 226,605
Cost of sales (21,339) (114,932)
Gross profit 39,733 111,673
Administrative expenses (101,969) (122,669)
Other operating income 65,231 10,000
Profit/(loss) before taxation 2,995 (996)
Tax on profit/(loss) - -
Profit/(loss) for the financial year 2,995 (996)
Retained earnings brought forward 1,335 2,331
Retained earnings carried forward 4,330 1,335

HOGHTON TOWER LIMITED

BALANCE SHEET

AS AT 31 MARCH 2021

2021 2020
Notes £ £ £ £
Fixed assets
Tangible assets 3 21,016 22,622
Current assets
Stocks 5,031 3,460
Debtors 4 37,316 42,221
Cash at bank and in hand 27,968 -
70,315 45,681
Creditors: amounts falling due within
one year 5 (36,675) (66,966)
Net current assets/(liabilities) 33,640 (21,285)
Total assets less current liabilities 54,656 1,337
Creditors: amounts falling due after
more than one year 6 (50,324) -
Net assets 4,332 1,337
Capital and reserves
Called up share capital 2 2
Profit and loss reserves 4,330 1,335
Total equity 4,332 1,337

For the financial year ended 31 March 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

T he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476 .

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

HOGHTON TOWER LIMITED

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2021

29/10/2021 The financial statements were approved by the board of directors and authorised for issue on ......................... and are signed on its behalf by:

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

Mrs E Faraoni Director

Company Registration No. 02637777

HOGHTON TOWER LIMITED

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 MARCH 2021

Share
capital
Profit and
loss
reserves
£
£
Balance at 1 April 2019
2
2,331
Year ended 31 March 2020:
Loss and total comprehensive income for the year
-
(996)
Balance at 31 March 2020
2
1,335
Year ended 31 March 2021:
Profit and total comprehensive income for the year
-
2,995
Balance at 31 March 2021
2
4,330		 Total
£
2,333
(996)
1,337
2,995
4,332

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Company information

Hoghton Tower Limited is a private company limited by shares incorporated in England and Wales. The registered office is Hoghton Tower, Hoghton, Preston, PR5 0SH.

1.1 Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling , which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

The Directors are required to assess whether the use of going concern is appropriate, ie whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The Director makes this assessment in respect of a period of at least one year from the date of authorisation of the accounts. The directors have considered the impact of the the measures taken by the Government to combat the spread of the corona virus. At the date of approving these accounts the directors have a reasonable expectation that the company will be able to manage the situation and that it is has sufficient cash resources to enable it to meet its liabilities as they fall due for at least 12 months from the date of approval. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Turnover

The turnover shown in the profit and loss account represents amounts invoiced during the year, exclusive of Value Added Tax.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods) , the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Property alterations 50 years straight line Computer equipment 15% pa reducing balance Fixtures and fittings 3 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss .

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.5 Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.7 Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.8 Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset , with the net amounts presented in the financial statements , when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Classification of financial liabilities

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

Basic financial liabilities

Basic financial liabilities, including creditors and , loans from fellow group undertakings are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future paymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. A m ounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.9 Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.10 Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12 Government grants

Government grants are recognised at the fair value of the asset receive d or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met . Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable . A grant received before the recognition criteria are satisfied is recognised as a liability.

1.13 Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

2 Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2021 2020
Number Number
Total 7 9
3 Tangible fixed assets
Property Computer Fixtures and Total
alterations equipment fittings
£ £ £ £
Cost
At 1 April 2020 and 31 March 2021 25,242 9,686 44,249 79,177
Depreciation and impairment
At 1 April 2020 8,584 9,005 38,966 56,555
Depreciation charged in the year 505 301 800 1,606
At 31 March 2021 9,089 9,306 39,766 58,161
Carrying amount
At 31 March 2021 16,153 380 4,483 21,016
At 31 March 2020 16,658 681 5,283 22,622
4 Debtors
2021 2020
Amounts falling due within one year: £ £
Trade debtors 124 5,946
Amounts owed by group undertakings 29,790 25,778
Other debtors 7,402 10,497
37,316 42,221

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

5 Creditors: amounts falling due within one year

Bank loans and overdrafts
Trade creditors
Taxation and social security
Other creditors
6
Creditors: amounts falling due after more than one
year
Bank loans and overdrafts		 2021
£
3,549
2,837
1,533
28,756
36,675
2021
£
50,324		 2020
£
28,841
1,670
944
35,511
66,966
2020
£
-

The company has received a bounce back loan during the year. The loan is repayable over 6 years and repayments commence 13 months from drawdown. The loan is not secured on the assets of the company.

7 Operating lease commitments

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2021 2020
£ £
- 1,873

8 Related party transactions

Transactions with related parties

During the year the company entered into the following transactions with related parties:

2021 2020
£ £
Entities with control, joint control or significant influence over the company - 3,828

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

8
Related party transactions
T he following amounts were outstanding at the reporting end date:
Amounts due to related parties
Entities
with
control,
joint
control
or
significant influence over the company
The following amounts were outstanding at the reporting end date:
Amounts due from related parties
Hoghton Tower Preservation Trust		 (Continued)
2021
2020
£
£
7,500
7,500
2021
2020
£
£
29,789
25,778

Other information

The company is controlled by Hoghton Tower Preservation Trust, a charity of which Elena Faraoni, director of the company was a Trustee during the year.

The company has a licence with Hoghton Tower Preservation Trust which allows the company to hold events, run the tea room, the shop and holiday accommodation on property leased by Hoghton Tower Preservation Trust. The terms of the licence require the company to pay residual profits on activities to Hoghton Tower Preservation Trust by way of a gift aid donation.

HOGHTON TOWER LIMITED

DETAILED TRADING AND PROFIT AND LOSS ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

Turnover
Sales
Cost of sales
Activities
Purchases
Wages and salaries
Gross profit
Other operating income
Government grants receivable and released
Administrative expenses
Wages and salaries
Social security costs
Staff pension costs defined contribution
Security costs
Cleaning
Power, light and heat
Repairs and maintenance
Insurance
Computer running costs
Software costs
Hire of equipment
Travelling expenses
Professional subscriptions
Legal and professional fees
Accountancy
Bank charges
Bad and doubtful debts
Printing and stationery
Advertising
Telephone
Sundry expenses
Depreciation
Operating profit/(loss)		 2021
£
£
61,072
13,377
3,744
4,218
(21,339)
65.06%
39,733
65,231
76,229
76
1,218
70
818
3,617
6,745
-
-
790
1,450
-
75
1,970
880
2,974
71
303
2,170
909
-
1,604
(101,969)
2,995		 2020
£
£
226,605
35,902
31,161
47,869
(114,932)
49.28%
111,673
10,000
25,613
3,756
2,265
1,349
3,490
11,006
21,274
14,724
1,105
-
3,282
80
75
17,661
856
6,117
530
588
5,278
1,645
99
1,876
(122,669)
(996)

Company Registration No. 02637777 (England and Wales)

HOGHTON TOWER LIMITED

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 PAGES FOR FILING WITH REGISTRAR

HOGHTON TOWER LIMITED

COMPANY INFORMATION

Directors Lady R de Hoghton Mrs E Faraoni Company number 02637777 Registered office Hoghton Tower Hoghton Preston PR5 0SH Accountants MHA Moore and Smalley Richard House 9 Winckley Square Preston PR1 3HP

HOGHTON TOWER LIMITED

CONTENTS

Page
Balance sheet 1 - 2
Notes to the financial statements 3 - 8

HOGHTON TOWER LIMITED

BALANCE SHEET

AS AT 31 MARCH 2021

2021 2020
Notes £ £ £ £
Fixed assets
Tangible assets 3 21,016 22,622
Current assets
Stocks 5,031 3,460
Debtors 4 37,316 42,221
Cash at bank and in hand 27,968 -
70,315 45,681
Creditors: amounts falling due within
one year 5 (36,675) (66,966)
Net current assets/(liabilities) 33,640 (21,285)
Total assets less current liabilities 54,656 1,337
Creditors: amounts falling due after
more than one year 6 (50,324) -
Net assets 4,332 1,337
Capital and reserves
Called up share capital 2 2
Profit and loss reserves 4,330 1,335
Total equity 4,332 1,337

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.

For the financial year ended 31 March 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

T he members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476 .

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

HOGHTON TOWER LIMITED

BALANCE SHEET (CONTINUED)

AS AT 31 MARCH 2021

29/10/2021

The financial statements were approved by the board of directors and authorised for issue on ......................... and are signed on its behalf by:

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

Mrs E Faraoni Director

Company Registration No. 02637777

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Company information

Hoghton Tower Limited is a private company limited by shares incorporated in England and Wales. The registered office is Hoghton Tower, Hoghton, Preston, PR5 0SH.

1.1 Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling , which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

The Directors are required to assess whether the use of going concern is appropriate, ie whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the company to continue as a going concern. The Director makes this assessment in respect of a period of at least one year from the date of authorisation of the accounts. The directors have considered the impact of the the measures taken by the Government to combat the spread of the corona virus. At the date of approving these accounts the directors have a reasonable expectation that the company will be able to manage the situation and that it is has sufficient cash resources to enable it to meet its liabilities as they fall due for at least 12 months from the date of approval. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Turnover

The turnover shown in the profit and loss account represents amounts invoiced during the year, exclusive of Value Added Tax.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods) , the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.4 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Property alterations 50 years straight line Computer equipment 15% pa reducing balance Fixtures and fittings 3 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss .

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.5 Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.6 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.7 Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.8 Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset , with the net amounts presented in the financial statements , when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Classification of financial liabilities

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

Basic financial liabilities

Basic financial liabilities, including creditors and , loans from fellow group undertakings are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future paymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. A m ounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.9 Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.10 Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12 Government grants

Government grants are recognised at the fair value of the asset receive d or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met . Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable . A grant received before the recognition criteria are satisfied is recognised as a liability.

1.13 Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

2 Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2021 2020
Number Number
Total 7 9
3 Tangible fixed assets
Property Computer Fixtures and Total
alterations equipment fittings
£ £ £ £
Cost
At 1 April 2020 and 31 March 2021 25,242 9,686 44,249 79,177
Depreciation and impairment
At 1 April 2020 8,584 9,005 38,966 56,555
Depreciation charged in the year 505 301 800 1,606
At 31 March 2021 9,089 9,306 39,766 58,161
Carrying amount
At 31 March 2021 16,153 380 4,483 21,016
At 31 March 2020 16,658 681 5,283 22,622
4 Debtors
2021 2020
Amounts falling due within one year: £ £
Trade debtors 124 5,946
Amounts owed by group undertakings 29,790 25,778
Other debtors 7,402 10,497
37,316 42,221

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

5 Creditors: amounts falling due within one year

Bank loans and overdrafts
Trade creditors
Taxation and social security
Other creditors
6
Creditors: amounts falling due after more than one
year
Bank loans and overdrafts		 2021
£
3,549
2,837
1,533
28,756
36,675
2021
£
50,324		 2020
£
28,841
1,670
944
35,511
66,966
2020
£
-

The company has received a bounce back loan during the year. The loan is repayable over 6 years and repayments commence 13 months from drawdown. The loan is not secured on the assets of the company.

7 Related party transactions

Transactions with related parties

During the year the company entered into the following transactions with related parties:

Entities with control, joint control or significant influence over the company
T he following amounts were outstanding at the reporting end date:
Amounts due to related parties
Entities
with
control,
joint
control
or
significant influence over the company
The following amounts were outstanding at the reporting end date:
Amounts due from related parties
Hoghton Tower Preservation Trust		 2021
£
-
2021
£
7,500
2021
£
29,789		 2020
£
3,828
2020
£
7,500
2020
£
25,778

Other information

HOGHTON TOWER LIMITED

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

7 Related party transactions

(Continued)

The company is controlled by Hoghton Tower Preservation Trust, a charity of which Elena Faraoni, director of the company was a Trustee during the year.

The company has a licence with Hoghton Tower Preservation Trust which allows the company to hold events, run the tea room, the shop and holiday accommodation on property leased by Hoghton Tower Preservation Trust. The terms of the licence require the company to pay residual profits on activities to Hoghton Tower Preservation Trust by way of a gift aid donation.

Charity number: 508357

HOGHTON TOWER PRESERVATION TRUST

Hoghton Tower Hoghton Preston Lancashire PR5 0SH

MHA Moore and Smalley Richard House 9 Winckley Square Preston PR1 3HP

Dear Sirs

Financial statements for the year ended 31 March 2021

The following representations are made on the basis of enquiries of management and staff with relevant knowledge and experience such as we consider necessary in connection with your independent examination of the charity’s financial statements for the year ended 31 March 2021. These enquiries have included inspection of supporting documentation where appropriate and are sufficient to satisfy ourselves that we can make each of the following representations. All representations are made to the best of our knowledge and belief.

General

Assets and liabilities

Page 2

Accounting estimates

Legal claims

Laws and regulations

Related parties

Subsequent events

Going concern

Grants and donations

Yours faithfully

………………………………………… Trustee

29/10/2021