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2022-12-31-accounts

Company registration number: 1397407 Charity registration number: 514172

North Staffordshire Railway Company (1978) Limited

(A company limited by guarantee) Annual Report and Financial Statements for the Year Ended 31 December 2022

P L Whittaker 50 Broad Street Leek Staffordshire ST13 5NS

North Staffordshire Railway Company (1978) Limited

Contents

----- Start of picture text -----
Reference and Administrative Details 1
Trustees' Report 2 to 3
Independent examiner's report 4
Statement of financial activities 5
Balance Sheet 6 to 7
Notes to the financial statements 8 to 14
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The following page does not form part of the statutory financial statements:

Statement of financial activities per fund 15

North Staffordshire Railway Company (1978) Limited Reference and Administrative Details

Charity name North Staffordshire Railway Company (1978) Limited
Charity registration number 514172
Company registration number 1397407
Principal office Cheddleton Station
Cheddleton
Leek
Staffordshire
ST13 7EE
Registered office Cheddleton Station
Cheddleton
Leek
Staffordshire
ST13 7EE
Trustees G H Bould, Chairman
A L Croft, Secretary
G I Chapman, Treasurer
B C Dunn
J Hulse
J A Kerr
N Moorby
E Haywood
Bankers Barclays Bank plc
83 Haywood Street
Leek
Staffordshire
ST13 5JW
Accountant P L Whittaker
50 Broad Street
Leek
Staffordshire
ST13 5NS

Page 1

North Staffordshire Railway Company (1978) Limited

Trustees' Report

The trustees are pleased to present their annual report together with the unaudited financial statements for the year ended 31 December 2022, which are also prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association; and the Statement of Recommended Practice – Accounting and Reporting by Charities.

Our Purpose and Activities

The purposes of the charity are:

The preservation, retainment, and restoration of Cheddleton Railway Station by encouraging and promoting public interest in the preservation of steam and other railway locomotives, rolling stock and items of historic interest.

Achievements and performance

The company has continued to raise funds from membership fees, grants, donations, and sundry income. Further support has been received from appeals and Gift Aid.

The profile of the members magazine, The Knotty, has been maintained. The company has continued to support the Churnet Valley Railway, having secured grants totalling £85,000 towards the cost of extension of the railway to Leek.

Structure, governance and management

The North Staffordshire Railway Company (1978) Limited is a company limited by guarantee, governed by its Memorandum and Articles of Association. It is registered as a charity with the Charity Commission, There are currently 618 members, each of whom agrees to contribute £1 in the event of the charity winding up.

The Chair of trustees, secretary and treasurer are elected by members at the Annual General Meeting each year. Other trustees are elected for three years by members at the Annual General Meeting. When considering co-opting trustees, the board has regard to the requirements for any specialist skills needed.

All major decisions are taken at full meetings of the trustees. These are held monthly.

The charity has a close relationship with the Churnet Valley Railway (1992) PLC. The principal activity of the company is to be a tourist steam railway.

Financial review

The company’s statement of financial activities showed a surplus for the year. We have total reserves of £380,386. Cash reserves total £48,526, of which £28,836 is reserved for specific projects.

Trustees responsibilities in relation to the financial statements

The charity trustees (who are also directors of the North Staffordshire Railway Company (1978) Limited for the purposes of company law) are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law and the law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources for that period, In preparing the financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;

observe the methods and principles in the Charities SORP;

Page 2

North Staffordshire Railway Company (1978) Limited

Trustees' Report

make judgements and estimates that are reasonable and prudent;

state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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 proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006, the Charity Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence taking reasonable steps for the prevention of fraud and other irregularities.

Small company provisions

This report has been prepared in accordance with the small companies regime under the Companies Act 2006

Approved by the Board on 24 July 2023 and signed on its behalf by:

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

G H Bould Trustee

Page 3

Independent Examiner's Report to the Trustees of

North Staffordshire Railway Company (1978) Limited

I report on the accounts of the company for the year ended 31 December 2022, which are set out on pages 5 to 14.

Respective responsibilities of trustees and examiner

The trustees (who are also the directors of the company for the purposes of company law) are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

Having satisfied myself that the charity is not subject to audit under company law and is eligible for independent examination, it is my responsibility to:

Basis of independent examiner's report

My examination was carried out in accordance with the General Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a 'true and fair view' and the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, no matter has come to my attention:

have not been met; or

......................................... 50 Broad Street Peter Lee Whittaker Leek P L Whittaker Staffordshire ST13 5NS 19 July 2023

Page 4

North Staffordshire Railway Company (1978) Limited

Statement of Financial Activities (including Income and Expenditure Account) for the Year Ended 31 December 2022

Note
Incoming resources
Incoming resources from generated funds
Voluntary income
2
Other incoming resources
4
Total incoming resources
Resources expended
Costs of generating funds
Costs of generating voluntary income
5
Other resources expended
5
Total resources expended
Net movements in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
Unrestricted
Funds
£
54,311
85,000
139,311
24,160
100,585
124,745
14,566
365,820
380,386
Total Funds
2022
£
54,311
85,000
139,311
24,160
100,585
124,745
14,566
365,820
380,386
Total Funds
2021
£
64,270
-
64,270
37,373
28,980
66,353
(2,083)
386,138
384,055

The notes on pages 8 to 14 form an integral part of these financial statements.

Page 5

North Staffordshire Railway Company (1978) Limited (Registration number: 1397407) Balance Sheet as at 31 December 2022

Note
Fixed assets
Tangible assets
9
Investments
10
Current assets
Stocks and work in progress
Debtors
11
Cash at bank and in hand
Creditors: Amounts falling
due within one year
12
Net current assets
Total assets less current
liabilities
Creditors: Amounts falling
due after more than one year
13
Net assets
The funds of the charity:
Unrestricted funds
Other reserves
Unrestricted income funds
Total unrestricted funds
Total charity funds
2022
£
£
188,986
66,632
255,618
55
130,527
48,526
179,108
(46,668)
132,440
388,058
(7,672)
380,386
27,356
353,030
380,386
380,386
2021
£
£
196,102
66,232
262,334
55
130,406
43,647
174,108
(44,715)
129,393
391,727
(7,672)
384,055
45,593
338,462
384,055
384,055
2021
£
£
196,102
66,232
262,334
55
130,406
43,647
174,108
(44,715)
129,393
391,727
(7,672)
384,055
45,593
338,462
384,055
384,055
262,334
129,393
391,727
(7,672)
384,055
45,593
338,462
384,055
384,055

The notes on pages 8 to 14 form an integral part of these financial statements.

Page 6

North Staffordshire Railway Company (1978) Limited (Registration number: 1397407)

Balance Sheet as at 31 December 2022

......... continued

For the financial year ended 31 December 2022, the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and with the Financial Reporting Standard for Smaller Entities (effective April 2008 January 2015).

Approved by the Board on 19 July 2023 and signed on its behalf by:

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

G H Bould Trustee

The notes on pages 8 to 14 form an integral part of these financial statements.

Page 7

Notes to the Financial Statements for the Year Ended 31 December 2022

North Staffordshire Railway Company (1978) Limited

1 Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice 'Accounting and Reporting by Charities (SORP 2005)', issued in March 2005, the Financial Reporting Standard for Smaller Entities (effective January 2015) and the Companies Act 2006.

Fund accounting policy

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

Further details of each fund are disclosed in note 16.

Incoming resources

Voluntary income including donations and grants that provide core funding or are of a general nature is recognised where there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.

Incoming resources from tax reclaims are included in the statement of financial activities at the same time as the gift to which they relate.

Resources expended

Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.

Costs of generating funds are the costs associated with attracting voluntary income.

Support costs

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.

Fixed assets

Individual fixed assets costing £0 or more are initially recorded at cost.

Depreciation

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

Land and Loco Shed 2% straight line basis Building Restoration 2% straight line basis Rolling Stock 5% reducing balance basis Track Work 5% straight line basis Equipment 10% reducing balance

Page 8

North Staffordshire Railway Company (1978) Limited

Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

Investments

Fixed asset investments are included at market value at the balance sheet date.

Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the statement of the financial activities in the period of disposal.

Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the statement of financial activities based on the market value at the year end.

Stock

Stock is valued at the lower of cost and net realisable value, after due regard for obsolete and slow moving stocks. Net realisable value is based on selling price less anticipated costs to completion and selling costs. Items donated for resale or distribution are not included in the financial statements until they are sold or distributed.

2 Voluntary income

Donations and legacies
General donations
Gift Aid tax reclaimed
Grants - other agencies
Subscriptions
Other donations
Interest received
Unrestricted
Funds
£
24,814
8,544
-
9,559
11,393
1
54,311
Total Funds
2022
£
24,814
8,544
-
9,559
11,393
1
54,311
Total Funds
2021
£
33,641
6,954
4,401
12,117
7,156
1
64,270

3 Grants receivable

Grants - other agencies

Unrestricted Total Funds Total Funds
Funds 2022 2021
£ £ £
85,000 85,000 4,401

Page 9

North Staffordshire Railway Company (1978) Limited Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

4 Other incoming resources

Other income
Grants - other agencies
Unrestricted
Funds
£
85,000
Total Funds
2022
£
85,000
Total Funds
2021
£
-

5 Total resources expended

Total resources expended
Direct costs
Fundraising costs
Other fundraising costs
Depreciation of tangible fixed assets
Office expenses
Subscriptions and donations
Support costs
Sundry and other costs
Donations
and legacies
£
-
-
7,116
920
6,902
14,938
9,222
24,160
Other income
£
85,000
15,585
-
-
-
100,585
-
100,585
Total
£
85,000
15,585
7,116
920
6,902
115,523
9,222
124,745

6 Trustees' remuneration and expenses

During the year J Kerr was paid expenses of £3554.31 of which £2950.00 was donated back.

7 Net income/(expenditure)

Net income/(expenditure) is stated after charging:

Depreciation of tangible fixed assets

2022 2021
£ £
7,116 8,925

Page 10

North Staffordshire Railway Company (1978) Limited Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

8 Taxation

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

Page 11

North Staffordshire Railway Company (1978) Limited Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

9 Tangible fixed assets

Cost
As at 1 January 2022 and 31
December 2022
Depreciation
As at 1 January 2022
Charge for the year
As at 31 December 2022
Net book value
As at 31 December 2022
As at 31 December 2021
Land & Loco
Shed
£
50,044
19,000
(512)
18,488
31,556
31,044
Rolling Stock
etc.
£
165,592
72,333
4,962
77,295
88,297
93,259
Building
Restoration &
Track
£
112,528
40,729
2,666
43,395
69,133
71,799
Total
£
328,164
132,062
7,116
139,178
188,986
196,102

10 Investments held as fixed assets

Market value
As at 1 January 2022 and 31 December 2022
Net book value
As at 31 December 2022
As at 31 December 2021
All investment assets were held in the UK.
11
Debtors
Trade debtors


2022
£
130,527
Churnet Valley
Railway (1992)
plc
£
66,632
66,632
66,632
2021
£
130,406

Page 12

North Staffordshire Railway Company (1978) Limited Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

12 Creditors: Amounts falling due within one year

Trade creditors
Accruals and deferred income
2022
£
45,327
1,341
46,668
2021
£
43,302
1,413
44,715

13 Creditors: Amounts falling due after more than one year

Other creditors 2022
£
7,672
2021
£
7,672

14 Members' liability

The charity is a private company limited by guarantee and consequently does not have share capital. Each of the members is liable to contribute an amount not exceeding £nil towards the assets of the charity in the event of liquidation.

Page 13

North Staffordshire Railway Company (1978) Limited Notes to the Financial Statements for the Year Ended 31 December 2022

......... continued

15 Related parties

Controlling entity

The charity is controlled by the trustees who are all directors of the company.

16 Analysis of funds

General Funds
Unrestricted income fund
At 1
January
2022
£
365,820
Incoming
resources
£
139,311
Resources
expended
£
(124,745)
At 31
December
2022
£
380,386

17 Net assets by fund

Tangible assets
Investments
Current assets
Creditors: Amounts falling due within one year
Creditors: Amounts falling due after more than
one year
Net assets
Unrestricted
Funds
£
188,986
66,632
179,108
(46,668)
(7,672)
380,386
Total Funds
2022
£
188,986
66,632
179,108
(46,668)
(7,672)
380,386
Total Funds
2021
£
196,102
66,232
174,108
(44,715)
(7,672)
384,055

Page 14

North Staffordshire Railway Company (1978) Limited

Statement of financial activities by fund Year Ended 31 December 2022

Incoming resources
Incoming resources from generated funds
Voluntary income
Other incoming resources
Total incoming resources
Resources expended
Costs of generating funds
Costs of generating voluntary income
Other resources expended
Total resources expended
Net movements in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
Unrestricted
income fund
2022
£
54,311
85,000
139,311
24,160
100,585
124,745
14,566
365,820
380,386
Unrestricted
income fund
2021
£
64,270
-
64,270
37,373
28,980
66,353
(2,083)
386,138
384,055

This page does not form part of the statutory financial statements.

Page 15