**Registered Charity No: 522124** # **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** # **REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31 DECEMBER 2020** **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **TRUSTEES ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS** **for the year ended 31 December 2020** ## **SMITHS ACCOUNTANTS & TAX ADVISERS LTD** **Chartered Accountants Alnwick Northumberland** **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **CONTENTS** ||**Page**| |---|---| |**Trustees’ Annual Report**|**1 - 3**| |**Independent Examiner’s Report**|**4**| |**Statement of Financial Activities**|**5**| |**Balance Sheet**|**6**| |**Notes to the Unaudited Financial Statements**|**7 - 12**| **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Objectives and Activities** The continuing objective of the Charity is to provide the facility for social, recreation and sporting activities to the people of Pegswood and neighbouring towns and villages. In 2020 the membership saw no movement and stood at 101 (2019: 101) The year started as normal with regular activities occurring however, in March the Pandemic and consequential lockdown suspended everything as we closed the Centre. There were sporadic openings but under the restrictions the activities that could be held, were limited to Education which only allowed for hire of the Halls by the two Nursery groups. The result being that for 9 months the Centre was unable to fully open for business and received emergency grants from Northumberland County Council to help maintain the building and cover overheads. When we did open there were additional demands and resources required to ensure the health and safety of users and a grant from the Parish Council supported purchase of cleaning materials and PPE. Recruitment of Trustees and volunteers continues through adverts in the Parish Council newsletter and our own mediums of social media and noticeboard. ## **Activities for the Public Benefit** The trustees can confirm that they have referred to the Charity Commission’s guidance on public benefit when reviewing the Centre’s charitable aims and objectives and in planning future activities. We publicise not only on our social media but also on the village Community page which has a wide audience. Ideas are encouraged to be put forward by consulting with members, users of the Centre and visitors on activities or events they wish to see. ## **Achievements and Performance** With the requirements for shielding a number of Trustees were unable to offer their normal input and we relied on volunteers to support activities on the occasions when we could open. Due this being sporadic and of insignificant volume there are no achievements to report other than to say with the grants given it enabled us to remain solvent and, in a position, to resume when restrictions sufficiently lifted to widen activities and events. (1) **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Financial Review** Our restricted reserves are matched against the depreciating assets of the charity plus any non-defrayed grant funding at the end of each financial year. Our unrestricted reserves, mainly represented by our cash resources, will continue to be managed carefully on a weekby-week basis to continue support for the Centre’s various activities. A summary of charity reserves at 31 December 2020 is as follows: |Restricted Funds
Unrestricted Funds
Restricted reserves at 31 December were as follows:
Fixed assets fund
Grants received carried forward|2020
£
26,932
13,659
_______
40,591
**_______**
26,932
-
_______
26,932
**_______**|2019
£
38,414
10,667
_______
45,481
**_______**
34,814
-
_______
34,814
**_______**| |---|---|---| ## **Structure, Governance and Management** The governing document is the trust deed dated 20 December 1965 and scheme dated 16 June 1967 as amended by scheme dated 21 January 2004. Due to ill health and the Covid-19 situation one long standing Trustee took the decision to retire and this resulted in a change of Chairmanship and Treasurer positions (2) **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Reference and Administration Details** Charity Name Pegswood Recreation Ground and Social Welfare Centre Charity Number 522124 Principal Address Pegswood Recreation Ground and Social Welfare Centre Front Street Pegswood Northumberland NE61 6UF Board of Trustees S Lonsdale (Chair) (appointed June 2021) J Froud (Treasurer) C H Buczko (resigned) M Coulson (resigned) M Davison (resigned) C Hogg (resigned) R Stocks D Hodgson (appointed October 2021) Independent Examiner Smiths Accountants & Tax Advisers Ltd Chartered Accountants 8 Linnet Court Alnwick Northumberland NE66 2GD Bankers Barclays Bank plc Co-operative Bank plc Morpeth Branch Norfolk House Bridge Street 84-86 Grey Street Morpeth Newcastle upon Tyne Northumberland NE1 6BZ NE61 1YY ## **Approval** This report was approved by order of the Board of Trustees on 19[th] October 2021 and signed on its behalf by ………………………………………………… S Lonsdale Chair of Trustees (3) **INDEPENDENT ACCOUNTANTS REPORT TO THE TRUSTEES OF PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE FOR THE YEAR ENDED 31 DECEMBER 2020** I report to the trustees on my examination of the accounts on the accounts for the year ended 31 December 2020, which are set out on pages 5 to 12. ## **Responsibilities and basis of report** As the charity trustees of the Trust 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 Trust’s accounts carried out under section 145 of the 2011 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 Trust 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. …………………………………………………… I R Smith (ACA) Smiths Accountants & Tax Advisers Ltd Chartered Accountants 8 Linnet Court Cawledge Business Park Alnwick Northumberland NE66 2GD 19[th] October 2021 (4) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020** |Unrestricted Restricted
Note
Funds
Income
Funds
£
£
**Incoming Resources**
**Income and endowment from:**
Donations and legacies
143
-
Charitable activities
Grants receivable
15,573
-
Refreshment sales
3,755
-
Games and entertainments
4,833
-
Sundry income
7,416
-
_______ _______
**Total**
3
31,720
-
_______ _______
**Resources Expended**
**Expenditure on:**
Raising funds
3,921
-
Charitable activities
24,399
7,882
Other
408
-
_______ _______
**Total**
4
28,728
7,882
_______ _______
**Net income / (expenditure)**
2,992
(7,882)
**Transfers between funds**
-
-
_______ _______
**Net movement in funds**
2,992
(7,882)
**Reconciliation of funds**
Total funds brought forward
10,667
34,814
_______ _______
**Total funds carried forward**
11
13,659
26,932
|Unrestricted Restricted
Note
Funds
Income
Funds
£
£
**Incoming Resources**
**Income and endowment from:**
Donations and legacies
143
-
Charitable activities
Grants receivable
15,573
-
Refreshment sales
3,755
-
Games and entertainments
4,833
-
Sundry income
7,416
-
_______ _______
**Total**
3
31,720
-
_______ _______
**Resources Expended**
**Expenditure on:**
Raising funds
3,921
-
Charitable activities
24,399
7,882
Other
408
-
_______ _______
**Total**
4
28,728
7,882
_______ _______
**Net income / (expenditure)**
2,992
(7,882)
**Transfers between funds**
-
-
_______ _______
**Net movement in funds**
2,992
(7,882)
**Reconciliation of funds**
Total funds brought forward
10,667
34,814
_______ _______
**Total funds carried forward**
11
13,659
26,932
|Unrestricted Restricted
Note
Funds
Income
Funds
£
£
**Incoming Resources**
**Income and endowment from:**
Donations and legacies
143
-
Charitable activities
Grants receivable
15,573
-
Refreshment sales
3,755
-
Games and entertainments
4,833
-
Sundry income
7,416
-
_______ _______
**Total**
3
31,720
-
_______ _______
**Resources Expended**
**Expenditure on:**
Raising funds
3,921
-
Charitable activities
24,399
7,882
Other
408
-
_______ _______
**Total**
4
28,728
7,882
_______ _______
**Net income / (expenditure)**
2,992
(7,882)
**Transfers between funds**
-
-
_______ _______
**Net movement in funds**
2,992
(7,882)
**Reconciliation of funds**
Total funds brought forward
10,667
34,814
_______ _______
**Total funds carried forward**
11
13,659
26,932
|2020
Total
Funds
£
143
15,573
3,755
4,833
7,416
_______
31,720
|2019
Total
Funds
£
346
308
7,382
8,535
21,563
_______
38,134
_______
8,379
43,501
-
_______
51,880
_______
(13,746)
-
_______
(13,746)
59,227
_______
45,481
| |---|---|---|---|---| ||_______
3,921
24,399
408
_______
28,728
_______
2,992
-
_______
2,992
10,667
_______
13,659
|_______
-
7,882
-
_______
7,882
_______
(7,882)
-
_______
(7,882)
34,814
_______
26,932
|_______
3,921
32.281
408
_______
36,610
_______
(4,890)
-
_______
(4,890)
45,481
_______
40.591
|| The statement of financial activities includes all gains and losses in the year. All incoming recourses expended derive from continuing activities. (5) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** **BALANCE SHEET AS AT 31 DECEMBER 2020** |Note
Unrestricted Restricted
Funds
Income
Funds
£
£
**Fixed assets**
Tangible assets
6
-
26,932
**Current assets**
Stocks
7
250
-
Debtors
8
3,442
-
Cash in hand and at bank
9
14,333
-
_______ _______
18,025
-
**Creditors:**Amounts falling
due within one year
10
4,366
-
_______ _______
**Net current assets / (liabilities)**
13,659
-
_______ _______
**Total assets less current liabilities**
13,659
26,932
**_______ _______**
**Funds of the charity**
Restricted income funds
-
26,932
Unrestricted funds
13,659
-
_______ _______
**Total funds**
11
13,659
26,932
**_______ _______**|Note
Unrestricted Restricted
Funds
Income
Funds
£
£
**Fixed assets**
Tangible assets
6
-
26,932
**Current assets**
Stocks
7
250
-
Debtors
8
3,442
-
Cash in hand and at bank
9
14,333
-
_______ _______
18,025
-
**Creditors:**Amounts falling
due within one year
10
4,366
-
_______ _______
**Net current assets / (liabilities)**
13,659
-
_______ _______
**Total assets less current liabilities**
13,659
26,932
**_______ _______**
**Funds of the charity**
Restricted income funds
-
26,932
Unrestricted funds
13,659
-
_______ _______
**Total funds**
11
13,659
26,932
**_______ _______**|Note
Unrestricted Restricted
Funds
Income
Funds
£
£
**Fixed assets**
Tangible assets
6
-
26,932
**Current assets**
Stocks
7
250
-
Debtors
8
3,442
-
Cash in hand and at bank
9
14,333
-
_______ _______
18,025
-
**Creditors:**Amounts falling
due within one year
10
4,366
-
_______ _______
**Net current assets / (liabilities)**
13,659
-
_______ _______
**Total assets less current liabilities**
13,659
26,932
**_______ _______**
**Funds of the charity**
Restricted income funds
-
26,932
Unrestricted funds
13,659
-
_______ _______
**Total funds**
11
13,659
26,932
**_______ _______**|2020
Total
Funds
£
26,932
250
3,442
14,333
_______
18,025
4,366
_______
13,659
_______
40,591
**_______**|2019
Total
Funds
£
34,814
921
3,732
12,044
_______
16,697
6,030
_______
10,667
_______
45,481
**_______**| |---|---|---|---|---| ||
-
13,659
_______
13,659
**_______**|
26,932
-
_______
26,932
**_______**|
26,932
13,659
_______
40,591
**_______**|
34,814
10,667
_______
45,481
**_______**| The financial statements were approved by the Board of Trustees on 19[th] October 2021 and were signed on its behalf by: ………………………………………………… S Lonsdale Chair of Trustees The notes on pages 7 to 11 form part of the financial statements (6) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** ## **1. BASIS OF PREPARATION** - (a) Basis of accounting The financial statements have been prepared under the historical cost convention with items recognised at cost of transaction values unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) and the Charities Act 2011. The charity constitutes a public benefit entity as defined by FRS102. The financial statements have been prepared on the going concern basis which assumes that the Welfare Centre will continue in operational existence for the foreseeable future. The validity of this assumption depends on the continued support of grant funding, which the Board of Trustees is confident will continue. - **2** . **ACCOUNTING POLICIES** - (a) Income - All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received, and the amount can be measured reliably. - (b) Expenditure - Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. - (c) Depreciation - Depreciation is provided by the Welfare Centre to write off the cost of tangible fixed assets by equal annual installments over their estimated useful life as follows:- Building extension - straight line over remaining lease term to 12.05.24 Building renovations - straight line over remaining lease term to 12.05.24 Furniture, fittings and equipment - straight line over remaining lease term to 12.05.24 - (d) Stocks - Stocks have been valued at cost by the trustees of the Welfare Centre. (7) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** ## **2** . **ACCOUNTING POLICIES (continued)** - (e) Support costs Support costs represent the cost of running the charity’s premises and general costs incurred in carrying out the charitable objectives of the charity. - (f) Management and administration expenditure Expenditure on management and administration of the charity includes all expenditure not directly related to the charitable activity. (g) Taxation As a charity, Pegswood Recreation Ground and Social Welfare Centre is exempt from tax on income and gains falling within Section 505 of the Taxes Act 1988 or Section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to charitable objects, no tax charges have arisen on the charity. - (h) Fund Accounting Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. |**3.**
**ANALYSIS OF INCOME**
Donations and legacies
**Grants receivable**
Big Lottery Fund
Pegswood Parish Council
NCC COVID19 grants
HMRC – CJRS grants
CO-OP Local Community Fund
Community Foundation
**Refreshment sales**
Bar and shop sales|2020
£
143
**_______**|2019
£
346
**_______**| |---|---|---| ||
1,711
250
11,334
2,278
-
-
_______
15,573
**_______**
3,755
**_______**|
-
-
-
-
58
250
_______
308
**_______**| |||7,382
**_______**| (8) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** |**FOR THE YEAR ENDED 31 DECEMBER 2020**
2020
**3.**
**ANALYSIS OF INCOME (continued)**
£
**Games and Entertainments**
Forecast pool
-
Housey
2,085
Pool and snooker table
2,238
Dominoes
320
Draws and raffles
190
_______
4,833
_______
**Sundry Income**
Members subscriptions
414
Hall rents
5,222
Other income
245
Bowls
315
Dance
884
Fundraising
336
_______
7,416
_______
**TOTAL INCOME**
**31,720**
**_______**
**4.**
**ANALYSIS OF EXPENDITURE**
**Raising funds**
Bar and shop purchases
3,407
Games and entertainments
514
Grant deposit
-
_______
3,921
**_______**
**Charitable activities**
Salaries, wages and national insurance
7,026
Repairs and renewals
1,084
Repairs and renewals (restricted)
-
Heating and lighting
7,271
Glasses, bar requisites and cleaning materials
-
Rates and water
2,153
Insurances, rentals and licenses
5,026
Telephone
1,012
Printing, stationery, postage and advertising
624
Transport and catering
-
Transport and catering (restricted)
-
Sundry expenditure and donations
203
Depreciation (restricted)
7,882
_______
32,281
_______|**FOR THE YEAR ENDED 31 DECEMBER 2020**
2020
**3.**
**ANALYSIS OF INCOME (continued)**
£
**Games and Entertainments**
Forecast pool
-
Housey
2,085
Pool and snooker table
2,238
Dominoes
320
Draws and raffles
190
_______
4,833
_______
**Sundry Income**
Members subscriptions
414
Hall rents
5,222
Other income
245
Bowls
315
Dance
884
Fundraising
336
_______
7,416
_______
**TOTAL INCOME**
**31,720**
**_______**
**4.**
**ANALYSIS OF EXPENDITURE**
**Raising funds**
Bar and shop purchases
3,407
Games and entertainments
514
Grant deposit
-
_______
3,921
**_______**
**Charitable activities**
Salaries, wages and national insurance
7,026
Repairs and renewals
1,084
Repairs and renewals (restricted)
-
Heating and lighting
7,271
Glasses, bar requisites and cleaning materials
-
Rates and water
2,153
Insurances, rentals and licenses
5,026
Telephone
1,012
Printing, stationery, postage and advertising
624
Transport and catering
-
Transport and catering (restricted)
-
Sundry expenditure and donations
203
Depreciation (restricted)
7,882
_______
32,281
_______|2019
£
118
4,172
3,212
900
133
_______
8,535
_______
98
15,147
593
536
4,372
817
_______
21,563
_______
**38,134**
**_______**
5,750
2,629
-
_______
8,379
**_______**
5.742
1,265
-
9,342
-
3,466
6,591
1,349
700
-
-
126
14,920
_______
43,501
_______| |---|---|---| ||_______
414
5,222
245
315
884
336
_______
7,416
_______
**31,720**
**_______**|| ||
3,407
514
-
_______
3,921
**_______**|| ||
7,026
1,084
-
7,271
-
2,153
5,026
1,012
624
-
-
203
7,882
_______
32,281
_______|| (9) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** |**4.**
**ANALYSIS OF EXPENDITURE (continued)**
**Other expenditure**
Accountancy and independent examination
Bank charges
**TOTAL EXPENDITURE**|2020
£
408
-
_______
408
_______
**36,610**
**_______**|2019
£
-
-
_______
-
_______
**51,880**
**_______**| |---|---|---| ## **5. PAID EMPLOYEES** The average monthly number of employees during the year was one. No employee received emoluments in excess of £60,000. ## **6. TANGIBLE FIXED ASSETS** |**TANGIBLE FIXED ASSETS**|**TANGIBLE FIXED ASSETS**|**TANGIBLE FIXED ASSETS**||| |---|---|---|---|---| |Furniture
Building & fittings &
renovationsequipment
£
£
Cost
At 1 January 2020
159,575
31,290
Additions
-
-
Disposals
-
-
_______ _______
At 31 December 2020
159,575
31,290
_______ _______
Depreciation
At 1 January 2020
127,366
28,685
Charge for the year
7,292
590
Disposals
-
-
_______ _______
At 31 December 2020
134,658
29,275
_______ _______
Net book value
At 31 December 2020
24,917
2,015
**_______** **_______**
**STOCKS**
Bar stocks on hand|||2020
Total
£
190,865
-
-
_______
190,865
_______
156,051
7,882
-
_______
163,933
_______
26,932
**_______**|2019
Total
£
190,865
-
-
_______
190,865
_______
141,131
14,920
-
_______
156,051
_______
34,814
**_______**| ||||250
**_______**|
921
**_______**| ## **7. STOCKS** Bar stocks on hand (10) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** |**FOR THE YEAR ENDED 31 DECEMBER 2020**
2020
£
**8.**
**DEBTORS AND PREPAYMENTS**
Payments in advance
2,824
Debtors
618
_______
3,442
_______
**9.**
**CASH AT BANK AND IN HAND**
Barclays Bank plc – community current account
3,430
Co-operative Bank plc – current account
10,355
Cash in hand
548
_______
14,333
_______
**10.**
**CREDITORS AND ACCRUALS**
Sundry creditors and accrued charges
4,366
_______
**11.**
**CHARITY FUNDS**
Analysis of net assets between funds
Unrestricted RestrictedDesignated
Funds
Funds
Funds
£
£
£
Fund balances at 31 December 2020
are represented by:
Tangible fixed assets
-
26,932
-
Net current assets
13,659
-
-
_______ _______ _______
Total net assets
13,659
26,932
-
_______ _______ _______
**Statement of funds**
As at
Net
01.01.20
IncomeExpenditure Transfers
£
£
£
£
Restricted reserves
34,814
-
(7,882)
-
Unrestricted reserves
10,667
31,720
(28,728)
-
_______ _______ _______ _______
45,481
30,009
(36,610)
-
_______ _______ _______ _______|2019
£
3,139
593
_______
3,732
______
3,430
7,850
764
_______
12,044
_______
6,030
_______
Total
£
26,932
13,659
_______
40,591
_______
As at
31.12.20
£
26,932
13,659
_______
40,591
_______| |---|---| (11) ## **PEGSWOOD RECREATION GROUND AND SOCIAL WELFARE CENTRE** ## **NOTES TO THE UNAUDITED FINANCIAL STATEMENTS** ## **FOR THE YEAR ENDED 31 DECEMBER 2020** ## **12. GRANT INCOME** The £1,711 Bowls Club grant received from the Big Lottery Fund, was unspent at the year end. The expenditure related to this grant will be incurred in year ending 31 December 2021. ## **13. TRANSACTIONS WITH TRUSTEES** No trustee received any remuneration or expenses during the year. The control of the club vests in the members, via the committee. No individual has control. There were no significant transactions with related parties. (12)