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2022-03-31-accounts

Charity No. 526088 (England and Wales)

d

Annual Report and Financial Statements

For The Year Ended 31 March 2022

CONTENTS

Charity Reference and Administrative Details 1
Report 2
Report to the Trustees 9
Group Statement of Financial Activities 13
Charity Statement of Financial Activities 14
Group Balance Sheet 15
Charity Balance Sheet 16
Group Cash Flow Statement 17
Notes to the Financial Statements 18

CHARITY REFERENCE AND ADMINISTRATIVE DETAILS

President

The Right Worshipful The Mayor of Preston

Honorary Vice Presidents

Mrs C Moss JP The Anglican Bishop of Lancaster The Roman Catholic Bishop of Lancaster The Chairman of the Methodist Church, North Lancashire District The Mayor of Lancaster The Mayor of Ribble Valley The Mayor of South Ribble The Mayor of West Lancashire District Council The Mayor of Penwortham The Mayor of Chorley

Trustees

Mr J J Ward OBE Mr S K Booth Chairperson Mr J Bretherton Vice Chairperson Mrs C J Holmes MBE Mr A V Kimpton Dr S Jain Mr Carl Harrison resigned 09/08/2022 Mrs Joanna Solanki Mrs Hannah Taylor Mrs Ruth Cuthbert Miss M Fecci - Treasurer

Chief Executive Officer

Mr S P Clayton resigned 10 November 2021 Mr I Pearson appointed 1[st] March 2022

Registered Office

Howick House Howick Park Avenue Penwortham Preston PR1 0LS

Registered charity number

526088

Auditor

MHA Moore and Smalley Chartered Accountants and Statutory Auditor Richard House Winckley Square Preston PR1 3HP

Investment Managers

Brown Shipley Hedley & Co Stockbrokers Ltd 3 Hardman Street 13b Winckley Square Manchester Preston M3 3HF PR1 3JJ

Page 1

REPORT OF THE TRUSTEES

The trustees present their annual report and audited financial statements of the charity for the year ended 31 March 2022.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the 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 published in October 2019.

Overview

The Society established in 1867 is registered charity number 526088 governed by a Constitution amended 14 August 2013.

The charity is an independent local organisation with a physical presence in Preston, Morecambe, Chorley and Southport, together with other local support groups throughout Central and North Lancashire and North Sefton.

It liaises with many other national and local charities with similar objectives. A proportion of the buildings owned by the charity are let to other Third Sector organisations which can, on occasion, complement the services provided by the charity itself.

Objectives and activities for the public benefit

The trustees

The purposes of the charity as set out in the governing document are to:

The Society is endeavouring to follow the objectives set out in its mission statement.

Mission statement

er independence and minimise the effects of reduced

Core Services

Core services provided by the charity as part of the strategy for meeting its charitable objectives included key

Page 2

REPORT OF THE TRUSTEES

Additional Services

Available to people in a number of outlying locations and open to all service users:

Engagement and Outreach Services

Events and activities undertaken to raise awareness and improve mainstream services for blind and partially sighted people. The list is extensive but includes engaging with:

The services offered by the charity are not restricted in any way and the objectives and activities are to include all individuals and other charitable organisations.

Geographical Reach

Ormskirk and Southport and parts of Sefton in the south. The areas to the east and west of Lancashire are supported by other similar societies but due to its size and range of services, it is common for people from all despatched to all parts of the UK.

Emerging from the Pandemic

As the charity transitioned into the 2021/2022 financial year and the UK Government began easing COVID19 measures further (as from 12[th] April 2021), it maintained its deliberate and cautious approach to service provision throughout the remainder of the financial year.

Many services continued across digital platforms which had proved so useful across the height of the pandemic the year in a conscious effort to maintain social distancing and to protect those deemed most vulnerable. In doing so; the charity routinely adhered to Local Authority advice and best practice to fully protect blind and partially sighted people, staff and volunteers.

-open, initially for one day per week, and in-person activities started to recommence such as outdoor adventure programmes and leisure pursuits such as climbing, curling and walking.

Page 3

REPORT OF THE TRUSTEES

The charity also started to prepare for the launch of its new three-year strategy commencing in 2022/2023, with an impetus on broader community working and reaching more people.

Furthermore; the 2021/2022 year witnessed the introduction of a new corporate structure in support of the new strategy and to this extent, the charity undertook a significant amount of recruitment to fill newly created and vacant roles in readiness for the start of the three-year strategy period commencing in 2022/2023.

Achievements in 2021/22

Services

positive outcomes which are testament to the measures initiated by the charity. Such outcomes included (but are not restricted to):

Income Generation and Communications

The financial year was challenging across a number of income generation streams with key headline factors such as the increasing cost of living crisis, inflation and funds to various degrees.

Overall; the income generation and communications annual target was exceeded by 43%, in large part due to legacies received by the charity, masking challenges within other fundraising lines which suffered as part of the ed by the Third Sector in year and expected to continue into 2022/2023.

Staff recruitment and retention factors also affected capacity within the team across the year in-line with the challenges faced across the whole Third Sector.

Central Resources

In addition to the aforementioned structural changes, which witnessed additional resources being devoted to Central Resources in the form of Human Resources, Data and Compliance and Facilities, the charity also welcomed a new Chief Executive Officer in Mar latter stages of 2021 after serving 10 years in post.

Much of the second half of the financial year was therefore focused on ensuring a smooth transition and towards the induction of the new Chief Executive Officer commencing 1[st] March 2022.

approx. 250 arising from the concerted effort of the Volunteer Coordinator.

It is also pleasing to note that no health and safety or data breaches were reported across the year.

Plans for the future 2022/2023

In 2022/2023 the charity will enter into its new three-year strategy. The strategy is designed to not simply achieving the following outputs:

Page 4

REPORT OF THE TRUSTEES

Strategic Aims:

  1. Reach more people

  2. Bring connection, choice and confidence

  3. Deliver the best outcomes for people affected by sight loss

  4. Develop the capacity and infrastructure of the organisation to achieve our ambition

Strategic Objectives:

  1. To develop community based services offering connection, advice and learning options so everyone it supports can manage their health and wellbeing with confidence and live life to the full

  2. To engage inform and inspire professionals to provide better support to everyone affected by sight loss

  3. Communications will bring to life its impact and support the delivery of its work

  4. Its infrastructure will support the delivery of its work

  5. Its financial model will be sustainable for the long term

ensuring the following key threads:

Unify unify everyone into one team with everyone contributing to the common aims and objectives Inspire our workforce define a powerful vision which has a clear motivational effect Provide a focal point provide a sense of purpose and direction

The key change elements to the new three-year plan are:

Financial review

Total group funds as at 31 March 2022 were £9,116,559. Overall resources have decreased by £61,438.

Principal funding sources including legacies, fundraising income, donations and investment income have supported the key objectives of the charity in sustaining running costs and continue to fund the current services on offer.

Management accounts enable the charity to closely monitor and carefully manage all aspects of its income and work and without these sources of income its ability to maintain a number of projects would be in doubt. The charity remains appreciative of all its funding bodies, Charitable Trusts, Clinical Commissioning Groups and its many loyal supporters and donors.

Investment policy and performance

y) are instructed to produce the best financial return with a medium level of risk. The investment objective is to generate a return in excess of inflation over the long term ance and Investment SubCommittee receives advice from Brown Shipley at their quarterly meetings to review the portfolio of stock- market investments. During the year the investments have brought in an income of £166,648 which was in-line with budgeted investment income. The market value of investments is £6,086,910 as at the year ending 31 March 2022. The movement in fixed asset investments is shown in note 12.

Page 5

REPORT OF THE TRUSTEES

Risk management

The trustees are ever mindful of potential risks to the organisation and regularly review and evaluate policies and procedures, ensuring that all risks to the organisation are mitigated as far as possible. The new three-year strategy will include annual key performance indicators which will be reviewed on a regular basis and achievements and outcomes evaluated against it. Professional advice is obtained across a variety of areas from Insurance, Investments, Health and Safety and Employment matters.

The main risk beyond the control of the trustees has been identified as a possible fall off in support from the general public leading to reduced income. This at a time when shrinking public services means that the numbers of visually impaired people requesting services/support from the Society continues to increase year on year would have serious consequences and no doubt affect our ability to continue the range and breadth of services currently available.

Mindful of this, the trustees have set in place strategies to develop income from legacies and maintain a high profile within which is why the trustees agreed to invest in new fundraising initiatives in this financial year.

The trustees consider variability of investment returns on the designated investment fund to constitute a financial risk. This is mitigated by retaining expert investment managers and having a diversified investment portfolio.

Income generation and communication activities

The Fundraising and Communications Team has been tasked with developing a variety of income streams to ensure that the charity is appealing to as wide an audience as possible whilst improving its profile, reach and supporter base through a wide variety of online and offline platforms.

The development of communication tools, including social media, will enabled the charity to reach broader on sight related issues, raise the profile of its work and spread important messages regarding sight loss. The importance of positive, professional and innovative communications work is recognised as a key theme within the new three-year strategy.

Regulator and follows their Code of Fundraising practice along with Institute of Fundraising and Charity Commission guidelines. When we do work with external agencies we prefer those who are members of the Institute of Fundraising and registered with the Fundraising Regulator. They will also be required to have policies and procedures in place to ensure an ethical and positive delivery of service to any potential supporters.

The charity received no complaints about fundraising practices in the year.

Reserves policy

Total funds held as at 31 March 2022 were £9,116,559. The balance held as unrestricted reserves as at 31 March 2022 was £2,323,992, of which £1,834,995 is designated (note 16). Group free reserves of £476,637.

The trustees aim to maintain free reserves in unrestricted funds at a level which equates to approximately three months of unrestricted charitable expenditure. Free reserves at 31 March 2022 are in line with this policy. A transfer has been made from investment funds to maintain this level.

the Hedleys investment funds can be liquidated as and when required. Trustees acknowledge that this has been an exceptional year and recommended to review the reserves policy in line with the new normal for Galloways. In addition, total funds include:

Page 6

REPORT OF THE TRUSTEES

Structure, governance and management

The charity is managed by a Board of Trustees with day to day management entrusted to the Chief Executive Officer and Senior Leadership Team. The trustees meet at least six times per year and consider reports prepared by the Chief Executive Officer and Senior Leadership Team.

The trustees listed in the charity details have been appointed in accordance with the constitution which states they shall consist of up to 12 competent persons, four of whom shall be appointed each year and serve for three years after which time they will be eligible for re-election. Vacancies occurring among trustees may be filled by the trustees and any such person so chosen shall retain his or her office so long only as the vacating member would have retained the same if no vacancy had occurred.

The trustees have according with the constitution appointed a Chairman, a Vice Chairman, Treasurer and trustees responsible for Property. Four trustees act as the Finance and Investment Sub-Committee with responsibility for strategic financial affairs and four trustees act as the Property Sub-committee with responsibility for strategic property and facility related activity.

Policies and procedures for the appointment, induction and training of trustees

The charity continues to act in accordance with its policies and procedures in relation to trustee recruitment, induction and ongoing training however, no new additional trustees were recruited within the reporting period.

As necessary; all new trustees are asked to sign a declaration under the Charities Act 2022 confirming that they are eligible to serve as a Trustee. A Trustee Induction Pack is then issued which includes information from the Organisational Structure and various other policies and information.

Trustee and management personnel remuneration

The trustees consider the Board of Trustees and the Chief Executive Officer, assisted by the Senior Leadership Team, as comprising the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a day to day basis. All trustees give their time freely and no trustee remuneration was paid in the year over and above those stated below.

Trustees are required to disclose all relevant conflicts of interest before all trustee meetings, these being minuted where necessary withdraw from decisions where a conflict of interest arises.

appointment and is reviewed periodically.

Staff, volunteers and beneficiaries

The charity endeavours to implement policies which facilitate security of employment, a safe working environment, appropriate remuneration and take into account the views of paid employees and volunteers. Staff and volunteer support is viewed as critical and in recognition of this, the charity appointed a new People and Quality Manager to help provide the highest level of support to people across the organisation.

Several key developments are now underway to further support staff and volunteers, some of which have been introduced in-year, whilst others will be implemented within 2022/2023. Such changes include; policy amendments and improvements and the review and eventual introduction of an HR management system.

Page 7

REPORT OF THE TRUSTEES

with many activities and services including; talking newspaper recordings, street and store collections, fundraising events, minibus driving, visiting, running support groups, administration and reception and outdoor pursuits.

All employees are appointed subject to two satisfactory references and where appropriate a Disclosure and Barring Service (DBS) check. Additionally; all volunteers receive appropriate induction and are offered ongoing training.

The charity relates to beneficiaries in a number of ways, via direct services, user groups, newsletters in various formats, the Annual Report and the Annual Meeting/Conference. The opinions of beneficiaries drive the development of services and this information is collected through formal meetings, surveys, feedback forms, one to one discussions and social networks. Involving beneficiaries in our planning and delivery of services is key to our culture. This has and continues to be a focus across all areas of the charity.

Subsidiaries: Lancashire Vision Services Limited & Galloways Enterprise Limited (Note 9)

The Society has two subsidiaries. A summary of the results of both trading companies is shown in note 9 and the statutory accounts for the respective companies will be filed with the Registrar of Companies.

Four charity trustees act as Directors of the two companies, which are being developed as arm, limiting any potential risk to the charity. The profits of the trading subsidiaries are covenanted to the charity.

-end outturn demonstrates an overall loss and this situation is under close scrutiny with an improvement plan being implemented for 2022/2023 to ensure breakeven or surplus position ideally.

Tru

The charity trustees are responsible for preparing a trustees report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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 charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2022, the applicable Charities (Accounts and Reports) Regulations and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 8

REPORT OF THE TRUSTEES

The trustees are responsible for the maintenance and integrity of the charity and financial information included in dissemination of financial statements.

09/12/2022 S K Booth Chair of Trustee

n their behalf by:

Page 9

Opinion

We have audited the financial statements of March 2022 which comprises the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable of the financial statements section of our report. We are independent of the charity in accordance with the ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our audit The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Page 10

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees

es statement set out on page 8, the trustees are responsible for the preparation of financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

tements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:

We identified the following areas as those most likely to have a material impact on the financial statements: employment law and compliance with the Charities Act.

Page 11

GALLOWAY'S SOCIETY FOR THE BLIND INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES {continuedl Because of the inherent limitations of an audit, there is a risk that we will not delecl all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at." w1￿.frC.org.UkIaudIt0rsreSponSIblI1lIes. This description forms part of our auditor's report. Use of our report This report is made solely lo the charity's trustees, as a body, in accordance with Part 4 of the Charities IAccounls and Reportsl Regulations 2008. Our audit work has been undertaken so that we might slate lo the charity's Iruslees those matters we are required lo slate lo them in an auditor's report and for no other purpose. To the fullest exlenl permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's Iruslees as a body, for our audit work, for this report, or for the opinions we have fomied. MHA Moore and Smalley Chartered Accountants & Statutory Auditor Richard House Winckley Square Preston PR1 3HP 1411212022 MHA Moore and Smalley is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006. Page 12

GROUP STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2022

Note
Income from:
Donations and legacies
2
Charitable activities
3
Trading activities
4
Fundraising activities
5
Investment income
6
Total income
Expenditure on:
Charitable activities
8
Raising funds
9
Investment management
Total expenditure
Net income/(expenditure) before
other gains and losses
Net gains on investments
12
Net income/(expenditure)
for the year
Transfers between funds
16
Net movement in funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
600,873
152,626
191,850
106,019
178,439
1,229,807
901,283
384,418
31,661
1,317,362
(87,555)
-
(87,555)
329,341
241,786
2,082,206
2,323,992		 Investment
fund
£
-
-
-
-
-
-
-
-
-
-
-
89,187
89,187
(329,341)
(240,154)
5,842,957
5,602,803		 Restricted
funds
£
109,020
-
-
-
-
109,020
158,365
-
-
158,365
(49,345)
-
(49,345)
-
(49,345)
469,870
420,525		 Permanent
Endowment
Funds
£
-
-
-
-
-
-
13,725
-
-
13,725
(13,725)
-
(13,725)
-
(13,725)
782,964
769,239		 2022
Total
£
709,893
152,626
191,850
106,019
178,439
1,338,827
1,073,373
384,418
31,661
1,489,452
(150,625)
89,187
(61,438)
-
(61,438)
9,177,997
9,116,559		 2021
Total
£
511,619
80,735
87,485
12,009
148,182
840,030
1,099,585
255,482
32,190
1,387,257
(547,227)
1,150,520
603,293
-
603,293
8,574,704
9,117,997

All activities are classed as continuing activities. The statement of financial activities includes all gains and losses recognised during the year.

The accompanying accounting policies and notes form an integral part of these financial statements.

Page 13

CHARITY STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2022

Income from:
Donations and legacies
2
Charitable activities
3
Trading activities
4
Fundraising activities
5
Investment income
6
Total income
Expenditure on:
Charitable activities
8
Raising funds
9
Investment management
Total expenditure
Net income/(expenditure) before
other gains and losses
Net gains on investments
12
Net income/(expenditure)
for the year
Transfers between funds
16
Net movement in funds
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
£
595,099
152,626
89,970
106,019
178,439
1,122,153
832,106
330,679
31,661
1,194,446
(72,293)
-
(72,293)
329,341
257,048
2,112,179
2,369,227		 Investment
fund
£
-
-
-
-
-
-
-
-
-
-
-
89,187

89,187
(329,341)

(240,154)
5,843,157
5,603,003		 Restricted
funds
£
109,020
-
-
-
-
109,020
158,365
-
-
158,365
(49,345)
-
(49,345)
-
(49,345)
469,870
420,525		 Permanent
Endowment
Funds
£
-
-
-
-
-
-
13,726
-
-
13,726
(13,726)
-
(13,726)
-
(13,726)
782,964
769,238		 2022
Total
£
704,119
152,626
89,970
106,019
178,439
1,231,173
1,004,197
330,679
31,661
1,366,537
(135,364)
89,187
(46,177)
-
(46,177)
9,208,170
9,161,993		 2021
Total
£
488,068
80,735
71,246
12,009
148,182
800,240
1,055,256
237,226
32,190
1,324,672
(524,432)
1,150,520
626,088
-
626,088
8,582,082
9,208,170

All activities are classed as continuing activities. The statement of financial activities includes all gains and losses recognised during the year.

The accompanying accounting policies and notes form an integral part of these financial statements.

Page 14

GROUP BALANCE SHEET

AS AT 31 MARCH 2022

Note
Fixed assets
Tangible assets
11
Investments
12
Current assets
Stock
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one year
14
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more than
one year
Net assets
Charity funds:
Unrestricted funds
Designated funds
Investment funds
Endowment funds
Restricted funds
Total funds
16		 2022
£
2,131
110,857
36,360
149,348
(162,664)		 2022
£
3,042,965
6,086,910
9,129,875
(13,316)
9,116,559
-
9,116,559
488,997
1,834,995
5,602,803
769,239
420,525
9,116,559		 2021
£
3,415
79,435
42,627
125,477
(390,534)		 2021
£
3,129,097
6,313,957
9,443,054
(265,057)
9,117,997
-
9,117,997
188,453
1,893,753
5,842,957
782,964
469,870
9,117,997

The financial statements

09/12/2022

and signed on their behalf by:

S K Booth Chair M Fecci Treasurer

Page 15

CHARITY BALANCE SHEET

AS AT 31 MARCH 2022

Note
Fixed assets
Tangible assets
11
Investments
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within one year
14
Net current assets
Total assets less current liabilities
Creditors: amounts falling due after more than
one year
Net assets
Charity funds:
Unrestricted funds
Designated funds
Investment funds
Endowment funds
Restricted funds
Total funds
16		 2022
£
160,904
35,891
196,795
(164,372)		 2022
£
3,042,460
6,087,110
9,129,570
32,423
9,161,993
-
9,161,993
533,672
1,835,555
5,603,003
769,238
420,525
9,161,993		 2021
£
134,509
29,887
164,396
(398,416)		 2021
£
3,128,033
6,314,157
9,442,190
(234,020)
9,208,170
-
9,208,170
218,426
1,893,753
5,843,157
782,964
469,870
9,208,170

The financial statements were approved by the trustees on

09/12/2022

signed on their behalf by:

----- Start of picture text -----
S K Booth Chair M Fecci Treasurer
----- End of picture text -----

Page 16

GROUP CASH FLOW STATEMENT

FOR THE YEAR ENDED 31 MARCH 2022

Note
Cash flow from operating activities
A
Cash flow from investing activities
Net cashflow from investments
B
Net increase/(decrease) in cash and cash equivalents
Cash and cash equivalents brought forward
Cash and cash equivalents carried forward
Consists of:
Cash at bank
Cash in hand
Notes to cash flow statement
A
Reconciliation of cash flow from operating activities
Net income for the year
Investment income received
Net gains on investments
Depreciation of tangible assets
Decrease/(increase) in stock
Decrease/(increase) in debtors
(Decrease)/increase in creditors
Net cash flow from operating activities
B
Cash flow from investing activities
Investment income received
Purchase of investments
Cash released from sale of investments
(Increase)/decrease in short term deposits
Net cash flow from investments		 2022
2021
£
£
(500,940)
(312,984)
494,673
313,378
(6,267)
394
42,627
42,233
36,360
42,627
34,687
41,435
1,673
1,192
36,360
42,627
(61,438)
603,293
(178,439)
(148,182)
(89,187) (1,150,520)
86,132
100,511
1,284
2,731
(31,422)
(8,341)
(227,870)
287,524

(500,940)
(312,984)
178,439
148,182
(4,477,171) (1,950,601)
4,884,449,
1,958,516
(91,044)
157,371
494,673
313,378

Page 17

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies

The significant accounting policies applied in the preparation of these financial statements are set out below.

General information, basis of preparation and assessment of going concern

The address of the registered office is given in the charity information on page 1 of these financial statements.

The charity constitutes a public benefit entity as defined by FRS 102. 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) issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, and UK Generally Accepted Accounting Practice.

ave departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to p This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

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 currency of the charity and group.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated

Going concern

The trustees are required to assess whether the use of going concern is appropriate, i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity 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 the accounts.

The UK current fiscal plans and Global events are not considered by the trustees to be likely to create material uncertainties in relation to going concern. The trustees and management have put plans in place to manage the situation and monitor reserves levels. At the date of approving these accounts, the trustees have a reasonable expectation that the charity will be able to manage the situation and that it 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 trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Funds structure

Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The cost of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Page 18

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies (continued)

Funds structure (continued)

Endowment funds represent those assets which must be held permanently by the charity. Income arising on the endowment funds can be used in accordance with the objects of the charity and is included as unrestricted income.

Income recognition

All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

Donated facilities and donated professional services are recognised in income at their fair value when their economic benefit is probable, it can be measured reliably and the charity has control over the item. Fair value is determined on the basis of the value of the gift to the charity. For example the amount the charity would be willing to pay in the open market for such facilities and services. A corresponding amount is recognised in expenditure.

No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102). Further detail

Where practicable, gifts in kind donated for distribution to the beneficiaries of the charity are included in stock and donations in the financial statements upon receipt. If it is impracticable to assess the fair value at receipt or if the costs to undertake such a valuation outweigh any benefits, then the fair value is recognised as a component of donations when it is distributed and an equivalent amount recognised as charitable expenditure.

Gifts in kind donated for resale are included at fair value, being the expected proceeds from sale less the expected costs of sale. Where estimating the fair value is practicable upon receipt it is recognised in stock and impracticable to fair value the items due to the volume of low value items they are not recognised in the financial

Fixed asset gifts in kind are recognised when receivable and are included at fair value. They are not deferred over the life of the asset.

For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. At this point income is recognised. On occasion legacies will be notified to the charity however it is not possible to measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Page 19

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies (continued)

Income recognition (continued)

Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent. Where it is not practicable to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs. It is included when the amount can be measured reliably. Interest income is recognised using the effective established.

Income from service level agreements is recognised when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably.

The charity is not registered for VAT; consequently expenditure incurred by the charity is included in the financial statements inclusive of VAT charged as this cannot be recovered by the charity.

Allocation of support and governance costs

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, and administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity.

Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs.

Operating leases

Rentals payable under operating leases are charged to expenditure on a straight line basis over the lease term.

Tangible fixed assets and depreciation

Tangible fixed assets are initially measured at cost and subsequently measured at cost or deemed cost where the option in FRS102 to use a fair value of an asset at transition as deemed cost has been taken, less accumulated depreciation and impairment losses.

All assets costing more than £2,000 and having a useful economic life of more than four years are capitalised and included at cost which includes costs directly attributable to making the asset capable of operating as intended.

Assets are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss.

Page 20

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies (continued)

Tangible fixed assets and depreciation (continued)

Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset on a systematic straight line basis over its expected useful life as follows:

Property refurbishment - 7 years
Fixtures and fittings - 5 years
Café and computer equipment - 4 years
Motor vehicles - 5 years (fully depreciated)
Freehold land and property:
Freehold land - Nil
Freehold buildings - 30 and 40 years

Fixed asset investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction ly. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between their carrying value at the year end and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

Other investments including shares in subsidiaries are measured at cost less impairment.

Financial instruments

Financial instruments are recognised in the charity's balance sheet when the charity 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.

Other financial assets

All the charity's financial assets fall to be classed as basic financial assets and the charity therefore has no other financial assets.

Page 21

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies (continued)

Impairment of financial assets

Financial assets, other than those held at fair value through statement of financial activities, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present is recognised in the statement of financial activities.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities are classified according to the substance of the contractual arrangements entered into.

Basic financial liabilities

Basic financial liabilities, including creditors, 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 receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts 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.

Other financial liabilities

All the charity's financial liabilities fall to be classed as basic financial liabilities and the charity therefore has no other financial liabilities.

Derecognition of financial liabilities

ged or cancelled.

Stocks

Stocks are stated at the lower of cost and net realisable value.

Consolidation of wholly owned trading subsidiaries

The consolidated financial statements incorporate those of Galloway's Society For The Blind and its subsidiary undertakings, Lancashire Vision Services Limited and Galloways Enterprises Limited, (i.e. entities that the group controls through its power to govern the financial and operating policies so as to obtain economic benefits).

All financial statements are made up to 31 March 2022. Where necessary, adjustments are made to the financial statements of the subsidiaries to bring the accounting policies used into line with those used by the group.

Page 22

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

1 Accounting policies (continued)

Consolidation of wholly owned trading subsidiaries (continued)

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

No consolidated financial statements were presented for the year ended 31 March 2017 as Lancashire Vision Services Limited, the charity's sole subsidiary at the time, was not considered to be material for the purpose of presenting a true and fair view in any consolidated accounts. Therefore, in accordance with paragraph 19 of The Charities (Accounts and Reports) Regulations 2008 the subsidiary was excluded and in accordance with paragraph 139 of the Charities Act 2011, where all subsidiaries are permitted to be excluded from any consolidated accounts, the trustees were not required to prepare and present consolidated accounts .

Related charities

number 222823). The trustees do not consider this charity to be under common control since there are additional trustees on the Board of Fulwood Senior Citizens Committee, and the Charity Commission would not permit the merger of the two charities, since their objects and activities are dissimilar. Therefore, the accounts of Fulwood Senior Citizens Committee are not consolidated within these accounts.

Taxation

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

Defined contribution pension scheme

contribution schemes are included within support and governance costs and charged to the unrestricted funds of the charity.

Defined benefit pension scheme

Until the year ended 31 March 2021 the charity operated a defined benefit plan for the benefit of its employees. During the previous no further benefits were being built up in the Scheme and the pension deficit liability crystallised. The trustees requested a valuation of this liability from the Actuary and £221,000 was was payable immediately but was only fully settled during the current year.

Page 23

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

Judgements and key sources of estimation uncertainty

The following judgements and assumptions 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:

Impairment of tangible fixed assets

At the end of the reporting period, management undertake an assessment of the net book values of tangible fixed assets, including properties, compared to recoverable amount. The recoverable amount is the higher of net realisable value and value in use. The recoverable amount, for the purposes of the impairment review, is estimated and therefore may differ from actual recoverable amount. Where necessary, an impairment charge is recognised in the statement of financial activities.

2 Income from donations and legacies

Unrestricted Investment Restricted Endowment
funds funds funds funds 2022
£ £ £ £ £
Donations and gifts 38,528 - - - 38,528
Legacies 526,402 - - - 526,402
Collections 2,906 - - - 2,906
Grants 26,195 - 109,020 - 135,215
Gift Aid 6,842 - - - 6,842
600,873 - 109,020 - 709,983
Unrestricted Investment Restricted Endowment
funds funds funds funds 2021
£ £ £ £ £
Donations and gifts 68,297 - - - 68,297
Legacies 12,229 - - - 12,229
Collections 1,378 - - - 1,378
Grants 119,092 - 298,243 - 417,335
Gift Aid 12,380 - - - 12,380
213,376 - 298,243 - 511,619

Page 24

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

3 Charitable activities

Service level agreements
Low vision assessments
Service user activities		 Unrestricted
funds
£
133,623
10,509
8,479
15
152,626		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
£
133,623
10,509
8,479
15
152,626		 2021
£
61,029
19,329
1,738
(1,361)
- - -
- - -
- - -
-
-		 - -
- - 80,735

All of the income from charitable activities in the current and previous years was attributed to unrestricted funds.

4 Trading activities

Trading activities
Office rental income
Bungalows rental income
Hiring of social rooms
Visual awareness training
Other trading income
LVS
sale of equipment
GE
Café income		 Unrestricted
funds
£
33,385
35,885
13,443
2,125
5,132
5,850
96,030		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
2021
£
£
33,385
33,170
35,885
36,113
13,443
(360)
2,125
1,275
5,132
1,144
5,850
791
96,030
15,352
191,850
87,485
- - -
- - -
- - -
- - -
- - -
- - -
- - -
191,850 - - -

All of the income from trading activities in the current and previous years was attributed to unrestricted funds.

5 Fundraising activities

Fundraising activities
Fundraising events
Corporate and community
Lotteries and raffles
Merchandise		 Unrestricted
funds
£
86,633
4,026
13,207
2,153
106,019		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
£
86,633
4,026
13,207
2,153
106,019		 2021
£
1,270
2,720
6,961
1,058
- - -
- - -
- - -
- - -
12,009
- - -

All of the income from fundraising activities in the current and previous years was attributed to unrestricted funds.

Page 25

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

6 Investment income

Dividends and interest
Interest on deposits		 Unrestricted
funds
£
178,348
91
178,439		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
£
178,348
91
178,439		 2021
£
148,127
55
- - -
- - -
148,182
- - -

All of the income from investments in the current and previous years was attributed to unrestricted funds.

7 Employee costs

Fundraising Delivery of
and comms services Café Governance Total 2022
£ £ £ £ £
Wages and salaries 180,548 542,182 64,859 4,098 791,687
Social security costs 16,145 44,221 2,397 - 62,763
DC pension costs 6,541 17,756 1,361 - 25,658
203,234 604,159 68,617 4,098 880,108
Fundraising Delivery of
and comms services Café Governance Total 2021
£ £ £ £ £
Wages and salaries 186,401 472,983 41,748 7,304 708,436
Social security costs 15,951 36,803 1,060 - 53,814
DC pension costs 6,816 18,286 962 - 26,064
209,168 528,072 43,770 7,304 788,314
DB pension crystallisation - 221,000 - - 221,000
209,168 749,072 43,770 7,304 1,009,314

There are no non statutory severance payments included within wages and salaries (2021: one payment of £6,074). In addition, £nil (2021: £221,000) has been recognised this year relating to the defined benefit pension scheme liability that has crystalised as explained on page 23.

Page 26

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

7 Employee costs (continued)

Fundraising and communications
Charitable activities
delivery of services
Governance
Café
igh paid staff		 2022
Number		 2022
FTE		 2021
Number		 2021
FTE
7
17
1
2
8 6 9
34 19 30
3 1 1
6 2 6
51 28 46 27

High paid staff

The number of staff whose emoluments fell within the following bands are:

£60,000 - £69,999 2022
Number		 2021
Number
1
1

Trustees and key management personnel remuneration and expenses

The Trust considers its key management personnel comprise the Trustees, Chief Executive Officer and the Senior Management Team.

Wages and salaries
Social security costs
Pension costs		 2022
£		 2021
£
171,032
18,759
9,575
178,527
19,758
8,766
207,051
199,366

The Treasurer was appointed as paid interim Chief Executive Officer to assist between the incumbent Chief Executives departure and until a replacement was appointed and commenced in post. For this they received remuneration of £7,193 (2021: £nil). No other trustees received remuneration in the year, neither were they reimbursed expenses during the year (2021: £nil). Trustees made donations to the charity totalling £nil (2021: £nil).

Page 27

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

8 Charitable activities

Staff costs
Service user activities
Property costs
Insurances
Office administration
Repairs and maintenance
Property refurbishment
Motor expenses
Other staff/volunteer costs
Publications expenditure
Legal and professional fees
Depreciation
Other
Governance costs
Staff costs
Service user activities
Property costs
Insurances
Office administration
Repairs and maintenance
Property refurbishment
Motor expenses
Other staff/volunteer costs
Legal and professional fees
Depreciation
Pension deficit contributions
Other
Governance costs		 Unrestricted
funds
£
528,060
32,409
57,724
11,392
40,563
55,426
504
16,056
16,258
36
64,717
58,758
1,597
17,783
901,283
Unrestricted
funds
£
211,547
6,578
36,512
11,186
30,628
57,495
49
10,341
4,018
28,459
73,137
221,000
396
20,570
711,916		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
£
672,776
32,409
57,724
11,392
40,563
55,426
504
16,056
16,258
36
64,717
86,132
1,597
17,783
- 144,716 -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- 13,649 13,725
- - -
-
-
Investment
funds
£		 -
158,365
Restricted
funds
£		 -
13,725
Endowment
funds
£
1,073,373
2021
£
571,842
6,578
36,512
11,186
30,628
57,495
49
10,341
4,018
28,459
100,511
221,000
396
20,570
- 360,295 -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- 13,649 13,725
- - -
- - -
-
-		 -
373,944		 -
13,725
1,099,585

Page 28

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

8 Charitable activities (continued)

Analysis of governance costs

Unrestricted Unrestricted Investment Restricted Endowment
funds funds funds funds 2022
£ £ £ £ £
Governance support - salary 4,098 - - - 4,098
AGM and office costs 105 - - - 105
13,580 - - - 13,580
17,783 - - - 17,783
Unrestricted Investment Restricted Endowment
funds funds funds funds 2021
£ £ £ £ £
Governance support - salary 7,304 - - - 7,304
AGM and office costs 56 - - - 56
13,210 - - - 13,210
20,570 - - - 20,570
Unrestricted Investment Restricted Endowment
funds funds funds funds 2022
£ £ £ £ £
Audit of charity accounts 8,850 - - - 8,850
Other services 4,730 - - - 4,730
13,580 - - - 13,580
Unrestricted Investment Restricted Endowment
funds funds funds funds 2021
£ £ £ £ £
Audit of charity accounts 8,850 - - - 8,850
Other services 4,360 - - - 4,360
13,210 - - - 13,210

Page 29

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

9 Raising funds

Staff costs
Grant funded activities
Fundraising events
Promotional expenses
Other staff/volunteer costs
Office administration
LVS - equipment purchases
GE - Café purchases
Staff costs
Grant funded activities
Fundraising events
Promotional expenses
Other staff/volunteer costs
Office administration
GE - Café purchases		 Unrestricted
funds
£
203,234
11,352
91,679
12,301
2,037
29,882
4,054
29,879
384,418
Unrestricted
funds
£
209,168
14,805
551
7,190
625
13,494
2,689
248,522		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 2022
£
203,234
11,352
91,679
12,301
2,037
29,882
4,054
29,879
- - -
- - -
- - -
- - -
- - -
- - -
- - -
- - -
384,418
-
Investment
funds
£		 -
Restricted
funds
£		 -
Endowment
funds
£
2021
£
209,168
14,805
551
7,190
625
13,494
2,689
- - -
- -
-
- - -
- - -
- - -
- - -
- - -
- 248,522
- - -

Page 30

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

9 Trading subsidiary

The charity has two wholly owned subsidiaries incorporated in the United Kingdom. Lancashire Vision Services Limited (02844404) sells donated and purchased goods together with distribution of braille leaflets and talking newspapers. During the year the Charity transferred the activities of its Café in Morecambe into its rprises Limited (10901305). A summary of the results of both trading companies is shown below and accounts will be filed with the Registrar of Companies.

Turnover
Cost of sales
Administrative expenses
Profit/(loss) for the year
Charitable donations to the charity
Other Operating Income
Retained profit/(loss) for the year
Fixed assets
Current assets
Current liabilities
Net assets
Ordinary share capital
Profit and loss account		 2022
Lancashire
Vision
Services
Limited
£		 2022
Enterprises
Limited
£		 2021
Lancashire
Vision
Services
Limited
£
791
(2,729)
(879)
(2,817)
-
-
(2,817)
-
17,205
(1,935)
15,270
100
15,170
15,270		 2021
Enterprises
Limited
£
15,352
(46,694)
(12,324)
5,850 81,091
(6,158) (98,388)
(962) (18,626)
(1,270) (35,923) (43,666)
-
23,647
- -
-
(1,270)		 20,713
(15,210)
(20,019)
1,064
13,719
(60,066)
- 505
15,961 2,906
(1,735) (63,904)
14,226 (60,493) (45,283)
100
(45,383)
100 100
14,126 (60,593)
14,226 (60,493) (45,283)

Page 31

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

10 Tangible fixed assets
group
Cost or deemed cost
At 1 April 2021
Additions
Disposals
At 31 March 2022
Depreciation and impairment
At 1 April 2021
Charge for the year
Eliminated on disposal
At 31 March 2022
Net book value
At 31 March 2022
At 31 March 2021
Tangible fixed assets
charity
Cost or deemed cost
At 1 April 2021
Additions
Disposal
At 31 March 2022
Depreciation and impairment
At 1 April 2021
Charge for year
Disposal
At 31 March 2022
Net book value
At 31 March 2022
At 31 March 2021		 Freehold land
and buildings
£
4,055,597
-
-
4,055,597
956,613
79,177
-
1,035,790
3,019,807
3,098,984
Freehold land
and buildings
£
4,055,597
-
-
4,055,597
956,613		 Fixtures and
equipment
£
169,790
-
-
169,790
167,864
1,205
-
169,069
721
1,926
Fixtures and
equipment
£
163,975
-
-
163,975
163,113		 Motor
vehicles
£
102,605
-
-
102,605
74,418
5,750
-
80,168
22,437
28,187
Motor
vehicles
£
102,605
-
-
102,605
74,418		 Total
£
4,327,992
-
-
4,327,992
1,198,895
86,132
-
1,285,027
3,042,965
3,129,097
Total
£
4,322,177
-
-
4,322,177
1,194,144
79,177 646 5,750 85,573
- - - -
1,035,790
3,019,807
3,098,984		 163,759
216
862		 80,168
22,437
28,187		 1,279,717
3,042,460
3,128,033

Page 32

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

11 Tangible fixed assets (continued)

Certain freehold land and buildings included above are shown at deemed cost on transition to SORP (FRS102). These assets are being depreciated from their valuation date of 31 March 2014 and have a net book value of £1,563,005 (2021: £1,609,085).

The independent professional valuation undertaken at 31 March 2014 was carried out by Amcat (UK) Ltd. All valuations have been undertaken in accordance with the RICS Valuation Professional Standards UK, January 2014 (revised April 2015). Only fixed items of plant and machinery, which form part of the buildings structure or service installation, were included in the valuations.

12 Movement in fixed asset investments (charity and group)

Market value brought forward
Additions at cost
Disposals at carrying value
Unrealised gain/(loss)
Equalisation payment
Movement in temporary deposit
Market value at 31 March 2022
Investment in subsidiaries
200 (2021: 200) £1 ordinary shares
Total fixed asset investments
Investments comprise
Collectives
Equities
Fixed interest securities
Cash held within portfolio
Market value at 31 March 2022		 Total
listed
investments
£
6,274,041		 Cash held in
investment
portfolio
£
39,916
-
-
-
-
91,044
130,960
2022
Market value
£		 Total
2022
£
6,313,957
4,477,171
(4,884,449)
89,187
-
91,044
6,086,910
200
6,087,110
2021
Cost
£
757,311
3,380,447
1,186,944
39,917
5,364,619		 Total
2021
£
5,328,633
1,951,601
(1,958,516)
1,150,520
(910)
(157,371)
4,477,171
(4,884,449)
89,187
-
-
5,955,950
2022
Cost
£
6,313,957
200
6,314,157
2021
Market value
£
774,384
4,315,150
1,184,506
39,917
604,803 606,507
4,063,711 4,099,779
1,453,357 1,249,664
130,960 130,960
6,252,831 6,086,910 6,313,957

Page 33

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

12 Movement in fixed asset investments (charity and group) (continued)

There were no individual investments in excess of 5% of the total market value.

Net realised gains in year
Net unrealised gains in year
Debtors
Trade debtors
Amounts due from group undertakings
Prepayments and accrued income		 Group
2022
£
43,657
-
67,200
110,857
Charity
2022
£
41,450
52,254
67,200
160,904		 2022
£		 2021
£
243,192
907,328
232,994
(143,807)
89,187
Group
2021
£
33,422
-
46,013
79,435		 1,150,520
Charity
2021
£
33,539
54,957
46,013
134,509

13 Debtors

14 Creditors: amounts falling due within one year

Trade creditors
Accruals and deferred income
Other creditors
Taxation and social security
Amounts owed to group undertakings
Amounts owed to related charities		 Group
2022
£
48,347
85,795
10,484
18,038
-
-
162,664		 Charity
2022
£
37,120
84,769
10,484
18,038
13,961
-
164,372		 Group
2021
£
28,387
65,246
281,689
13,732
-
1,480
390,534		 Charity
2021
£
23,343
63,286
281,689
13,732
14,886
1,480
398,416

Page 34

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

14 Creditors: amounts falling due within one year (continued)

Accruals and deferred income includes amounts deferred into future periods for where income relates to events due to take place or work to be performed after the year end as follows:

Balance brought forward
Amounts released in the year
Amounts deferred at the year end
Balance carried forward		 2022
£
51,071		 2021
£
27,143
(27,143)
51,071
(51,071)
54,713
54,713 51,071

15 Pension contributions and commitments - defined contribution money purchase pension plans:

The charity operates various contributory pension schemes for two employees (2021: two). They are personal defined contribution schemes and contributions are charged in the statement of financial activities as they accrue. A defined contribution pension scheme was introduced on 1 October 2015 for all eligible employees in compliance with Auto Enrolment Regulations. The amount recognised as an expense in the year for employer defined contribution costs was £24,297 (2021: £26,064).

Page 35

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

16 a) i) Fund reconciliation group (current year)

Balance at 1
April 2021
Income
Expenditure
£
£
£
Unrestricted funds
General fund
188,453
1,229,807
(1,258,604)
Designated funds
Assets in use by the charity
1,891,724
-
(58,758)
Southport Macular Group
2,029
-
-
1,893,753
-
(58,758)
Total unrestricted funds
2,082,206
1,229,807
(1,317,362)
Investment funds
5,842,957
-
-
Restricted funds
Howick Court bungalows
429,225
-
(8,700)
Southport Blind Aid Society
40,645
-
(40,645)
Other restricted funds
-
109,020
(109,020)
Total restricted funds
469,870
109,020
(158,365)
Endowment fund
Howick House property
782,964
-
(13,725)
Total funds
9,177,997
1,338,827
(1,489,452)
16 a) ii) Analysis of net assets between funds
group (current year)
Unrestricted
funds
Investment
funds
£
£
Tangible fixed assets
1,845,326
-
Investments
484,107
5,602,803
Current assets/liabilities
(5,441)
-
Total funds
2,323,992
5,602,803		 Balance at 1
April 2021
Income
Expenditure
£
£
£
Unrestricted funds
General fund
188,453
1,229,807
(1,258,604)
Designated funds
Assets in use by the charity
1,891,724
-
(58,758)
Southport Macular Group
2,029
-
-
1,893,753
-
(58,758)
Total unrestricted funds
2,082,206
1,229,807
(1,317,362)
Investment funds
5,842,957
-
-
Restricted funds
Howick Court bungalows
429,225
-
(8,700)
Southport Blind Aid Society
40,645
-
(40,645)
Other restricted funds
-
109,020
(109,020)
Total restricted funds
469,870
109,020
(158,365)
Endowment fund
Howick House property
782,964
-
(13,725)
Total funds
9,177,997
1,338,827
(1,489,452)
16 a) ii) Analysis of net assets between funds
group (current year)
Unrestricted
funds
Investment
funds
£
£
Tangible fixed assets
1,845,326
-
Investments
484,107
5,602,803
Current assets/liabilities
(5,441)
-
Total funds
2,323,992
5,602,803		 Balance at 1
April 2021
Income
Expenditure
£
£
£
Unrestricted funds
General fund
188,453
1,229,807
(1,258,604)
Designated funds
Assets in use by the charity
1,891,724
-
(58,758)
Southport Macular Group
2,029
-
-
1,893,753
-
(58,758)
Total unrestricted funds
2,082,206
1,229,807
(1,317,362)
Investment funds
5,842,957
-
-
Restricted funds
Howick Court bungalows
429,225
-
(8,700)
Southport Blind Aid Society
40,645
-
(40,645)
Other restricted funds
-
109,020
(109,020)
Total restricted funds
469,870
109,020
(158,365)
Endowment fund
Howick House property
782,964
-
(13,725)
Total funds
9,177,997
1,338,827
(1,489,452)
16 a) ii) Analysis of net assets between funds
group (current year)
Unrestricted
funds
Investment
funds
£
£
Tangible fixed assets
1,845,326
-
Investments
484,107
5,602,803
Current assets/liabilities
(5,441)
-
Total funds
2,323,992
5,602,803		 Balance at 1
April 2021
Income
Expenditure
£
£
£
Unrestricted funds
General fund
188,453
1,229,807
(1,258,604)
Designated funds
Assets in use by the charity
1,891,724
-
(58,758)
Southport Macular Group
2,029
-
-
1,893,753
-
(58,758)
Total unrestricted funds
2,082,206
1,229,807
(1,317,362)
Investment funds
5,842,957
-
-
Restricted funds
Howick Court bungalows
429,225
-
(8,700)
Southport Blind Aid Society
40,645
-
(40,645)
Other restricted funds
-
109,020
(109,020)
Total restricted funds
469,870
109,020
(158,365)
Endowment fund
Howick House property
782,964
-
(13,725)
Total funds
9,177,997
1,338,827
(1,489,452)
16 a) ii) Analysis of net assets between funds
group (current year)
Unrestricted
funds
Investment
funds
£
£
Tangible fixed assets
1,845,326
-
Investments
484,107
5,602,803
Current assets/liabilities
(5,441)
-
Total funds
2,323,992
5,602,803		 Other
gains and
losses
£
-
-
-
-
-
89,187
-
-
-
-
-
89,187
Restricted
funds
£		 Transfers
£
329,341		 Balance at
31 March
2022
£
488,997
1,832,966
2,029
1,834,995
2,323,992
5,602,803
420,525
-
-
420,525
769,239
9,116,559
Total
£
-
-
-
329,341
(329,341)
-
-
-
-
-
-
Endowment
funds
£
1,845,326 - 428,400 769,239 3,042,965
484,107 5,602,803 - - 6,086,910
(5,441) - (7,875) - (13,316)
2,323,992 5,602,803 420,525 769,239 9,116,559

Page 36

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

16 b) i) Fund reconciliation charity (current year)

Balance at 1
April 2021
Income
Expenditure
Other
gains and
losses
£
£
£
£
Unrestricted funds
General fund
218,426
1,122,153
(1,136,248)
-
Designated funds
Assets in use by the charity
1,891,724
-
(58,198)
-
Southport Macular Group
2,029
-
-
-
1,893,753
-
(58,198)
-
Total unrestricted funds
2,112,179
1,122,153
(1,194,446)
-
Investment funds
5,843,157
-
-
89,187
Restricted funds
Howick Court bungalows
429,225
-
(8,700)
-
Southport Blind Aid Society
40,645
-
(40,645)
-
Other restricted funds
-
109,020
(109,020)
-
Total restricted funds
469,870
109,020
(158,365)
-
Endowment fund
Howick House property
782,964
-
(13,726)
-
Total funds
9,208,170
1,231,173
(1,366,537)
89,187
16 b) ii) Analysis of net assets between funds
charity (current year)
Unrestricted
funds
Investment
funds
Restricted
funds
£
£
£
Tangible fixed assets
1,844,822
-
428,400
Investments
484,107
5,603,003
-
Current assets/liabilities
40,298
-
(7,875)
Total funds
2,369,227
5,603,003
420,525		 Income
£
1,122,153		 Income
£
1,122,153		 Expenditure
£		 Expenditure
£		 Other
gains and
losses
£		 Transfers
£		 Balance at
31 March
2022
£
(1,136,248) - 329,341 533,672
- (58,198) - - 1,833,526
- - - - 2,029
- (58,198) - - 1,835,555
1,122,153 (1,194,446) - 329,341 2,369,227
- - 89,187 (329,341) 5,603,003
- (8,700) - - 420,525
- (40,645) - - -
109,020 (109,020) - - -
109,020 (158,365) - - 420,525
- (13,726) - - 769,238
-
Endowment
funds
£		 9,161,993
Total
£
3,042,460
6,087,110
32,423
9,161,993
- 428,400 769,238
5,603,003 - -
- (7,875) -
5,603,003 420,525 769,238

Page 37

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

16 c) i) Fund reconciliation group (prior year)

Unrestricted funds
General fund
Designated funds
Assets in use by the charity
Southport Macular Group
Total unrestricted funds
Investment funds
Restricted funds
Howick Court bungalows
Southport Blind Aid Society
Other restricted funds
Total restricted funds
Endowment fund
Howick House property
Total funds		 Balance at 1
April 2020
£
134,767
1,964,302
2,029
1,966,331
2,101,098
5,131,346
437,925
85,074
22,572
545,571
796,689
8,574,704		 Income
£
541,787
-
-
-
541,787
-
-
-
298,243
298,243
-
840,030		 Expenditure
£
(927,010)
(72,578)
-
(72,578)
(999,588)
-
(8,700)
(44,429)
(320,815)
(373,944)
(13,725)
(1,387,257)		 Other gains
and losses
£
-
-
-
-
-
1,150,520
-
-
-
-
-
1,150,520		 Transfers
£
438,909		 Balance at
31 March
2021
£
188,453
1,891,724
2,029
1,893,753
2,082,206
5,842,957
429,225
40,645
-
469,870
782,964
9,177,997
-
-
-
438,909
(438,909)
-
-
-
-
-
-

16 c) ii) Analysis of net assets between funds group (prior year)

Tangible fixed assets
Investments
Current assets/liabilities
Total funds		 Unrestricted
funds
£		 Investment
funds
£		 Restricted
funds
£		 Endowment
funds
£		 Total
£
1,909,033 - 437,100 782,964 3,129,097
471,000 5,842,957 - - 6,313,957
(297,827) - 32,770 - (265,057)
2,082,206 5,842,957 469,870 782,964 9,177,997

Page 38

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

16 d) i) Fund reconciliation charity (prior year)

Balance at 1
April 2020
Income
Expenditure
£
£
£
Unrestricted funds
General fund
141,945
501,997
(864,425)
Designated funds
Assets in use by the charity
1,964,302
-
(72,578)
Southport Macular Group
2,029
-
-
1,966,331
-
(72,578)
Total unrestricted funds
2,108,276
501,997
(937,003)
Investment funds
5,131,546
-
-
Restricted funds
Howick Court bungalows
437,925
-
(8,700)
Southport Blind Aid Society
85,074
-
(44,429)
Other restricted funds
22,572
298,243
(320,815)
Total restricted funds
545,571
298,243
(373,944)
Endowment fund
Howick House property
796,689
-
(13,725)
Total funds
8,582,082
800,240
(1,324,672)
d) ii) Analysis of net assets between funds
charity (prior year)
Unrestricted
funds
Investment
funds
£
£
Tangible fixed assets
1,907,969
-
Investments
471,000
5,843,157
Current assets/liabilities
(266,790)
-
Total funds
2,112,179
5,843,157		 Income
£
501,997		 Expenditure
£		 Expenditure
£		 Other
gains and
losses
£		 Transfers
£		 Balance at
31 March
2021
£
(864,425) - 438,909 218,426
- (72,578) - - 1,891,724
- - - - 2,029
- (72,578) - - 1,893,753
501,997 (937,003) - 438,909 2,112,179
- - 1,150,520 (438,909) 5,843,157
- (8,700) - - 429,225
- (44,429) - - 40,645
298,243 (320,815) - - -
298,243 (373,944) - - 469,870
- (13,725) - - 782,964
1,150,520
Restricted
funds
£
437,100
-
32,770
469,870		 -
Endowment
funds
£
782,964
-
-
782,964		 9,208,170
Total
£
3,128,033
6,314,517
(234,020)
9,208,170

16 d) ii) Analysis of net assets between funds charity (prior year)

Page 39

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

16 e) Fund reconciliation

Permanent endowment fund

Howick House was donated to the charity by the William Wilding Galloway Charity during 1997/98. The property was revalued in March 2014 and the revalued amount has been treated as deemed cost on transition under the SORP (FRS102) at 1 April 2014. Depreciation calculated to write off the value of the building over a period of 40 years is charged to the fund.

Restricted funds

Howick Court bungalows

The properties were revalued at March 2014 and the revalued amount has been treated as deemed cost on transfer under SORP (FRS102) at 1 April 2014. Depreciation calculated to write off the value of the building over a period of 40 years is charged to the fund.

Southport fund

lind, who continue to operate services for blind people in Southport and the surrounding area. Expenditure including depreciation charged against the fund during the year totalled £40,645 (2021: 44,429) and represents the operating costs of the centre at 22 Wright Street. Plans for refurbishment are in place but no commitment has been made as at 31 March 2022.

Morecambe development fund

Grants were received towards the development of the new property at Morecambe. The property opened in October 2016 and a transfer was made to unrestricted funds as the purpose of the grants awarded had been fulfilled.

Investment fund

The purpose of the Investment Fund is to generate essential annual income to allow for the charitable objectives to be met; to be called upon for future capital expenditure; and as a reserve to ensure that fixed costs of the organisation can be covered when other sources of income may be less reliable.

Designated funds

Southport Macular Fund

Funds were received from Southport at North West Macular Support Group (Charity No 1142183) in May 2016 when it was removed from the charity register are held to fund the ongoing activities of the Southport Macular Group.

Cottrill Capital Trust fund

The funds from the above associated Charity was transferred to GSB as a part of the closure process agreed by the trustees of Cottrill Capital Trust.

Page 40

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

17 Related parties transactions and trustees expenses and remuneration

The trustees all give freely their time and expertise without any form of remuneration or other benefit in cash or kind (2021: £nil). The Treasurer was appointed as paid interim Chief Executive Officer to assist between the incumbent Chief Executives departure and until a replacement was appointed and commenced in post. For this they received remuneration of £7,193 (2021: £nil). There were no other transactions with any trustees during the year and no expenses were paid to or on behalf of the trustees (2021: £nil).

Related party transactions

Lancashire for the Blind £13,961 (2021: £14,886) as at 31 March 2022. The balance is due to be repaid after the year end.

on 4 August 2017 and is also a wholly owned trading subsidiary. £52,254 (2021: £54,957) from the subsidiary as at 31 March 2022. The balance is due to be repaid after the year end.

Sightline Vision (North West) Limited

Sightline Vision (North West) Limited is a related charity. During the year £4,979 (2021: £4,200) was charged to Sightline Vision North West Ltd for secondment of staff salaries and office rental etc. The amount owed by the charity at 31 March 2022 21: nil).

Page 41

SOCIETY FOR THE BLIND

NOTES TO THE ACCOUNTS

FOR THE YEAR ENDED 31 MARCH 2022

18 Commitments under operating leases (office equipment) group and charity

The charity is committed to future leasing payments under non-cancellable operating leases for each of the following periods:

Not later than one year
Later than one year and not later than five years
Later than five years
Total commitment up to the end of the lease		 2022
£
4,388
5,157
-
9,545		 2021
£
4,159
2,386
-
6,545

19 Contingent assets

During the year the charity was bequeathed a share in the number of death estates. It is the policy of the charity to recognise the income once the amounts can be accurately quantified. All assets quantified have been included in the accounts.

At the year end there were a number of donations in wills still pending and due to the uncertainty of the amounts, the income will be recognised in the year in which the donations are either received or the amounts can be determined with reasonable certainty. The approximate value of such donations in wills to which the charity can put a value is £nil (2021: £21,600).

Page 42