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2021-03-31-accounts

Trecynon Free Library & Institute

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

Charity Number 525465 Mill Street, Aberdare, CF44 8NF

TRECYNON FREE LIBRARY & INSTITUTE

REFERENCE & ADMINISTRATIVE INFORMATION

Registered Charity Number 525465
Principal Address Mill Street
Aberdare
CF44 8NF
Trustees Gareth Jones (Chair)
Gareth Jones
John Ashton
Morfydd Jones
Bookkeepers Your Business Hub Services Ltd
Ty Menter
Navigation Park
Abercynon
CF45 4SN
Bankers Barclays Bank PLC
12 Victoria Square
Aberdare
CF44 7HY

Page 2

TRECYNON FREE LIBRARY & INSTITUTE

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2021

The trustees present their report and the financial statements of the charity for the year ended 31 March 2021

CONSTITUTION & LEGAL STATUS

Trecynon Free Institute & Library is an unincorporated Charity registered as a charity on 14 May 1964.

The trust is governed by its Indenture Trust Deed dated 28 April 1922, which establishes the objects and powers of the charity.

Under the Trust Deed the Trustees are elected to serve for an indefinite period.

OBJECTS OF THE CHARITY

The Trustees of Trecynon Free Library & Institute ('the charity') work to provide facilities and services to the area of Aberdare.

Each year the charity's trustees review our objectives and activities to ensure they continue to reflect our aims. In carrying out this review the trustees have considered the Charity's Commission's general guidance on public benefit.

Broadly, our objectives are to continue to enable the building to be used by the local community safely for a broad range of activities

The charity has been able to enable the safe use of the hall to local groups and organisations, including a local band, dance group and various yoga and fitness classes. It is enjoyed by the local community for parties and performances throughout the year.

TRUSTEES

The method of appointment of trustees is set out in the Trust Deed. No Trustees are remunerated.

During the year ended 31 March 2021 the following people acted as trustees:

Gareth Jones (Chair)

Gareth Jones John Ashton Morfydd Jones

The need for new trustees is reviewed regularly and when appropriate possible names are presented at a trustee meeting for consideration. The existing trustees make any new appointments, for an indefinite period. New trustees are given copies of the governing documents, appropriate Charity Commission information and recent trustee minutes.

RISK REVIEW

The management committee regularly reviews the major risks to which the charity is exposed and systems are established to mitigate these risks. These procedures are periodically reviewed to ensure that they still meet the needs of the charity.

RESERVES POLICY

The trustees decided to maintain a small financial reserve, approximately equivalent to the normal, predictable outgoings in one month.

Page 3

TRECYNON FREE LIBRARY & INSTITUTE

RESPONSIBILITIES OF THE TRUSTEES

Charity law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Trust as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure for the financial year.

In preparing those financial statements the trustees should follow best practice and

The trustees are responsible for maintaining proper accounting records which disclose at any time the financial position of the charity and to enable them to ensure that the financial statements comply with charity legislation. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the trustees on 28 January 2022 and signed on their behalf

………………………………………………………………. Mr Gareth Jones (Chair) Trustee

……………………………………………………………….

Mr Robert Matthews Secretary

Page 4

TRECYNON FREE LIBRARY & INSTITUTE

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES ON THE UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

I report on the accounts of Trecynon Free Library & Institute for the year ended 31 March 2021 set out on pages 3 to 10.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND INDEPENDENT EXAMINER

As the charity's trustees you are responsible for the preparation of the accounts, you consider that the audit requirement of section 144(2) of the Charities Act 2011 (the Act) does not apply and that an independent examination is needed. It is my responsibility to examine the accounts under section 145 of the Act, to follow the procedures laid down in the General Directions given by the Charity Commission under section 145(5)(b) of the Act, and to state whether particular matters have come to my attention.

BASIS OF INDEPENDENT EXAMINER'S STATEMENT

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 I do not express an audit opinion on the view given by the accounts.

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

……………………………………………………………….

Mr Paul Burnell C Management Services Ltd Independent Examiner 69 Velindre Road Cardiff CF14 2TF

Date: 31 January 2022

Page 5

TRECYNON FREE LIBRARY & INSTITUTE

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021

Notes
Incoming resources
Building Hire
Other Income
Grants
Total incoming resources
Resources expended
Charitable Activities
1
Governance Costs
3
Total resources expended
Net incoming/(outgoing)
resources before transfers
Transfer between funds
Net incoming/(outgoing)
resources for the year
Total funds brought forward
Total funds carried forward
Unrestricted
Funds
Restricted
Funds
2020-21
Total
£
£
£
4,831
0
4,831
95
0
95
14,000
33,000
47,000
18,926
33,000
51,926
5,593
20,000
25,593
285
0
285
5,878
20,000
25,878
13,048
13,000
26,048
0
0
0
13,048
13,000
26,048
31,608
0
31,608
44,656
13,000
57,656
2019-20
Total
£
12,095
51
3,798
15,944
17,981
469
18,450
(2,507)
0
(2,507)
34,115
31,608

The statement of financial activities includes all gains and losses in the year and therefore a separate statement of total recognised gains and losses has not been prepared.

All the above amounts relate to continuing services

Page 6

TRECYNON FREE LIBRARY & INSTITUTE

BALANCE SHEET AS AT 31 MARCH 2021

Notes
Current Assets
Cash at bank and in hand
Debtors
Total Current Assets
Current Liabilities
Creditor amounts falling due within
one year
4
Net Current Assets
Fixed Assets
Tangible assets
Total Assets less Current Liabilities
Non-Current Liabilities
Creditor amounts falling due after
more than one year
Net assets
Funds
Restricted funds
5
Unrestricted funds
6
Total funds
31 March 21
£
58,399
0
58,399
(743)
57,656
0
57,656
0
57,656
33,000
24,656
57,656
31 March 20
£
33,462
0
33,462
(1,854)
31,608
0
31,608
0
31,608
0
31,608
31,608

Notes in pages 8 to 10 form part of these accounts

Approved by the trustees on 28 January 2022 and signed on their behalf

----- Start of picture text -----
……………………………………………………………….
----- End of picture text -----

………………………………………………………………. Mr Gareth Jones (Chair) Trustee

………………………………………………………………. Mr Robert Matthews Secretary

Page 7

TRECYNON FREE LIBRARY & INSTITUTE

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. Accounting Policies

The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year and the year preceding.

1.1. 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 Charities Act 2011.

The accounts have been prepared on a cash basis.

1.2. Cashflow

The charity has taken advantage of the exemption in FRS1 from the requirement to produce a cashflow statement because it is a small charity.

1.3. Fund Accounting

Funds held by the charity are either:

  1. Unrestricted Funds - these are funds which can be used in accordance with the charity's objectives, at the discretion of the trustees.

  2. Designated Funds - these are funds set aside by the trustees out of unrestricted general funds for a specific future purpose or projects

  3. Restricted Funds - these are funds that 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.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

1.4. Incoming resources

All incoming resources are included in the statement of financial activities when the charity is entitled to the income and the amount can be quantified with reasonable accuracy. The following specific polices are applied to particular categories of income:

  1. Voluntary income is received by way of grants, donations and gifts and is included in full in the statement of financial activities when receivable.

  2. Donated services and facilities are included at the value to the charity where this can be quantified. The value of services provided by volunteers has not been included.

  3. Grants where entitlement is not conditional on the delivery of a specific performance by the charity, are recognised when the charity becomes unconditionally entitled to the grant. Other grants, including grants for the purchase of fixed assets, are recognised in full in the statement of financial activities in the year in which they are receivable.

  4. Legacies are included when the charity is advised by the personal representative of an estate that payment will be made or property transferred and the amount involved can be quantified

1.5. Resources expended

Expenditure is recognised on a cash basis as a liability is paid. Expenditure includes any VAT which cannot be fully recovered and is reported as part of the expenditure to which it relates.

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of as indirect nature necessary to support them.

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TRECYNON FREE LIBRARY & INSTITUTE

Governance costs include those associated with meeting the constitutional and statutory requirements of the charity and include accountancy fees, costs relating to the strategic development of the charity, management of assets and organisational administration.

2. Charitable Activities

Administration
Grant Costs
Premises & Maintenance
Total
Unrestricted
Funds
Restricted
Funds
2020-21
Total
£
£
£
1,679
0
1,679
0
20,000
20,000
3,915
0
3,915
5,593
20,000
25,593
2019-20
Total
£
1,601
9,798
6,582
17,981

3. Transactions with Trustees

There were no transactions with the Trustees during the year

4. Governance Costs

.
Governance Costs
Professional - Accountancy Fees
Total
Unrestricted
Funds
Restricted
Funds
2020-21
Total
£
£
£
285
0
285
285
0
285
2019-20
Total
£
469
469

5. Creditors: amounts falling due within one year

RCT Loan Unrestricted
Funds
Restricted
Funds
2020-21
Total
£
£
£
743
0
743
743
0
743
2019-20
Total
£
1,343
1,343

6. Restricted Funds

Pen y Cymoedd Wind Farm
Community Fund
Welsh Government
Total
At 1st
April
2019
Incoming
resources
Outgoing
resources
Transfers
£
£
£
£
0
23,000
(20,000)
0
0
10,000
0
0
0
33,000
(20,000)
0
At 31st
March
2020
£
3,000
10,000
13,000

Page 9

TRECYNON FREE LIBRARY & INSTITUTE

7. Unrestricted Funds

.
Unrestricted Funds
Unrestricted Funds
Total
At 1st
April
2019
Incoming
resources
Outgoing
resources
Transfers
£
£
£
£
31,608
18,926
(5,878)
0
31,608
18,926
(5,878)
0
At 31st
March
2020
£
44,656
44,656

Page 10