Charity registration number 81)0119 DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST LEGALAND ADMINISTRATIVE ll¥FORMATION Trustees Miss E McHale Miss G EasNood riss M Brogan Miss M Brenna Miss MAlphonsc MissA Boland Miss G Beg Charity number 800119 Principal address 41 Murray Road Wimbledon London SW194PD Independent examiner Richard Place Dobson Sejvices Limited Ground Floor ]- 7 Ststion Road Crawley West Susscx RHIO LHT Bankers National Wutminster Bank pl¢ 98 High Stre¢t Wimbledon London SW19 5ZH Solicitors Pothecary Witham Weld 70 St George's Square London SWIV 3RD Investment advisors Ch8rles Stanley & Company Limited 55 Bi5hopsgate LA>ndon EC2N 3AS
DAUGHTERS OF THE HEART OF MARY CHARrrABLE TRUST CONTENTS Page Trustees, rewrt Indq)endent examinerfs report Ststetn¢nt of financial activities Balance sheet io Nolcs to the financial statements
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT FOR THE YE4R ENDED 31 DECEMBER 2023 The trustees present their annual rewrt and financia] statements for the year ended 31 December 2023. The fitwicial statements have been prepared in accordance with the aeeounting tM)licies set out in note I to the financial statemerLts artd ¢omply with the charity's Trust De¢& the Charities Act 2011 and "Accounting and Reporting by Charities: Statement of Rcwmmended Practice appli(2ble to charities preparing their acwunts in accordan¢¢ with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective l January 2019)" Objeetives and artivities The obje¢t of the TnJsL as stated in the Tnt dee4 pag¢ 2, paragrnph 3 is: {a) "to promote the charitable work for the time being carried ON prOmod or SUPWJrted by the Daughters of th¢ H¢art of Mary" (b) To relieve the material or spiritual $uffering of others "through their efforts for human developmenL through edueltional. ul¢ural and social activities which o)ntribute to the changing of menlalitie5 and attiwdes...parti¢ipating in solidarity with mankind" (Constitution5- Daught¢rs of the Heart of Mary- Chapter V) (c) Main Str¥legies - To encourage and support the varÉ+>J a¢tiviti¢s of individual Daughters of th¢ He of Mary 8nd the OTganisations with which th¢y ¢Qwopcrat¢ and kn support the worldwid¢ charitable work of the Socicty througb: i) grants in aid of these works; ii) enabling Daughtsrs of the Heart of Mary from other Provintts to pursue their qualifications and skills in these works in their own countries; iii) providing accommodation for DHM students and financing their fomationlfjjrther education here when courses e not available in their own county. Wc have news from our sisterslstudents who completed the courses and hear how their periods of study hav¢ helF¢d them stnce ihcir return to their homeland. Public benefit The charilics trustees have referred to the gutdance in the Chartty Commissions general guidance on Public Benefit when reviewing the charitys aims objectives and in planning its fubjre ac¢ivitiC5. In particular, they hai'e considered how planned aciivitics will contrtbute to the airns and objectives they have seL B*tkground In 1790 at the lime that the Constiluuonal As$cmbly decreed the suppressÉon of rcligious orders in France, Peter Jos¢ph de Cloriviere received the inspiration of a neTh forni of religious life that would be possible in any GiUmstCes. Together with Maric Adelaide de Cice (who saw her projea in his inspiration) he organised the first members, whom he eallcd Daughter5 of thc Heart of Mary. inlo a religious society. This Society came to England in 1846 and thls was the first foundation outside France. The Provincial house is 5i¢uated at 41 Murray Road which also serves as th¢ Wimbledon comrnunity house. The tTus¢ees hav¢ paid due regard to guidance issued by the Charity Commission in deciding what activitiu the charity should undertake. This r¢lisious So¢iety came lo England in 1846 and this w&8 the first foundation outside Fran¢¢. Daughters of the Heart of Mary ¢ontinue to serve th¢ Th¢¢ds of many through clwitabl¢ aaivitics and support the disadvantagcd members of society. On the 31st March 2009 the status of the Engkndl]reland Province w&8 changed to that of a Rcgiorn The Regional house is situated at 41 Murray Road which also swes as the Wimbl¢don cotnmunity page I
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT (coiYfINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Athievements and perfornillce Charitable activities The year 2023 marked by the General Chapter of the CongTegatioTr The mission orientations galvani5e the Sistm to prioritis¢ their options to reaching out to th¢ n¢¢dy. most vulnerable ènd distressed. Aco)rdingly) the focus of the Trust got strength¢n¢d fvrth¢r to reach out to the margtnalised groups with cerrain priorities, such as homeless people, w¢lfaTe of the families and childretu support in building religious harmony 5UPPQrt to youth. peace building. ¢ollaborniion with the other like-minded organisations for sustainable developmenl in coth)tries like Afri¢a and Bangladesh. like food se¢urity. water access, and acce35 to hea]rh services and rebuilding of life in war affected country Ukraine. Awareness of the Climate change disastas: adopuon of a simple lifestyle. protection and conservation of bio<Thvironment have also become part of the agenda in iheir list of options. In particula£. The sisters at Kirkby continue to work ¢lo$ely with their Parish with regard to fnIlY supporL reaching out to the sick and the housebound, SPiriDJal and matuial care of the pauents in the h05Pitals. eco-friendly lifesryle and rdIng necessary help for the horneless and other needy ittunigrants living in their areas. The sisters at WimbLedon continue to reaching to thc vuln¢rable women rescued from traffickin8, getting themselves involved in spiritual and moral education in collaboration with J¢suir Spirituality Centres in London and Glassgow. Jesuit Regee Service Centr¢ and Marist Refvgee Centre in London . caring for parents with ¢hildr¢n in difficult situations in the neighbouring arA8 of Si Alban. and supporting local Parish in its chuitable activirles. We sinccrcly thank God for ail the blessings upon us and on all our Tnst )ctLVltics for the poor and the MginalISed. We also ask His grace ro help us with His courage and stren8dL to continue to serve the poor and th¢ needy. Fin#neial Support given On the 81h February. £10,000 was given lo ZmbrA¢e the Middle Est In support of earthquake victims in Syria and Turkey. The decision was taken online through email Circul10n. - On the 13th of Juty. following organisations w¢r¢ given donations: Juuit Refugee Services UK- £20,000 - To esthblish a Shelter for the Refugees in Brixton, This decision was through the Circular em8il sent to Trustees after the Tttt Meeting on 29th June. as th¢ rcquest cgme a few days after the meeting. Now the shelter has been inaugurdted. and it can house at least 10 refugees. Aid to the Churches ID Need - £5.000 - To ¢x(end help to churches in Syria ond Lcbanon, whith arc in the process of rcbuilding. UY4HCR UK- £5,000- To build shelters for the horn¢l¢ss in Ukrain< who arc affccted by the continuing war situation. SPICMA- £IO,I)00- For the food security ef school children ID Arri esp¢ciaLly in Kenya and Ethiopi& Archbishop of Southwxrk dioces¢ - £2,000~ in supp)rt of thc diocese's effort to shelter a homeless family in one of th¢ parishes of the diocese. Marriage C%re- £l,000- in support of Marriage Couns¢lling services rendered in Parishes in IA)ndon. Currently a room in the premises of the Wimbledon FLouse is also given for the use of couple counselling SS1On$. Sacred Heart Parish, Wijnbledon, ui)00 - towards the financial needs of th¢ Chur¢h and its outrcach activities and io meet deficit of the Church expenses. - 19th October 2023.. L. Ar¢b¢ , UK-£5,000- In support of the catt of the disabled in the UK Lntr¢s. CAFOD UK - £20,000- In support of climate change prosrdmmes in BangladlL page 2
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT (CONTINUED) FOR THE YE4R ENDED 31 DECEMBER 2023 Safeguarding Training Some of the Trustees underwent safeguarding traintng given by Religious LÈfe Safe8uardin8 Sttyicc IRLSS) during the year 2023. Mary A]phon3¢: Basic Saf¢guarding Traini on 22Th1 March 2023 Trust¢cs: Trust% Safeguarding Tr8iniA& 4a May 2023 ( all Tnte¢S att+xded this training and each one r¢ttived thc certificate of RLSS. Mary Alphonse: Safeguarding training for Leaders. 4th April 2023 Gloria Beg: Safeguard Lead Trdintn& som¢tim¢ in Mard) 2023 Investment p¢rform•n¢e Despitc a hi8hcr int¢r¢st rate environment the US economy Surprisingly resilient over the course of the year, buoyed by significani government sp¢nding programlncs. A short perÈod of maxket volatiliry in the first quarter link regional bankin8 crisis w&% swiftly forgotten as the emerging theme of generative artificial intelligence started to dominate the invastmenl landscape. The large•cap t¢oI08Y companies were the main ben¢ficiaries and delivered oui-sized retums wFLich in tum pushed US indi¢¢s hi&h¢r. Other global economies and markets wer¢ more sluggish pthiculaJly China which experienced a sharp contraction in the property se¢tOT. but indices enjoyed a rally h¢ading into th¢ Ye end as sentiment became more positive. The improvement was prompted by indi¢10n5 that infiation w&% falling sharply and that mon¢ policy was therefore having the dcsired effecL This led to a shift in lone frotn the Federal Reserve and the expectation that intere51 rates would start to fall sooncr in 2024 tharl had fomiuly been 8nii¢ipated The mtket value of the investments stood at £5.626.300 as at the 31# December 2023. Income generdted durin8 the year camc to £210,390 which equates to a closing yield of 3.70/0. The total return (including income) from the portfolio during the year 0.60/0. which compares with fi8ur¢s of 9.1 /• and 10.1 /. for thc MSCI PIMFA In¢om¢ 8nd MSCE PIMFA Bal8meed Indices respeciively. The disapwinting relative perfonnance is linked to the low US ¢xptssure, discount-widenin8 across thc inveslment lrnst holdings and poor rettllns from sectors such &8 consumer goods and phamiaceuticals. The breakdown of the portfolio (230/0 Fixed Inkresi 27 /• UK Equities. IW/• overs Equities, 4Q/o Casl4 270/• Alt¢mative Assets) is deemed appropria in view of the investment objectiv¢$ and th¢ level of income is satisfactory. Flngtt¢i*l revlew The Statement of Financial Activiiies on page I I show$ a net outgoing movcment of Ojnds of £276.098 (2022 nct outgoin8 movement: £723.568). Also. a nct loss on investment &%sets of £139,043 (2022 net loss: £490.459). and withoui these overJll net loss¢s. th¢ ¢h8rity had net outgoing r¢SOur of£137.055 (2022: £233.109).
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT (coffflNUED) FOR THE YE4R ENDED 31 DECEMBER 2023 Restrves Polity It is the policy of the chartty io maintain wrt%tricted fvnds. which arc the free reserv of the charity, at a Icvel which equates to approximately a yeals exFendifur& In the eveni of a si&nific8nt drop in the in¢xJm¢. the free reserves are lik¢ a standby or working Capital to help the charity to ntinue its activities. However. this was lower during th¢ 2022 year givcn the uncertsinty following thc pandemi¢, the clwity aim to gd the funds ba¢k to a Icvel that is in line with policy staled above. Investment policy The charity divested from fossil fjJels from 6 Scptemb¢r 2021 onward8 and a¢)rdinglY they have revis¢d thetr Investmcnt Policy, thanks to the inveslment mzna8er and Charles Stanley. The charity has an Invcstmcnt Policy which w&$ approved by th¢ Trusttts on 25th August 2022. Reflecting on our role as Truste¢s, we beli¢v¢ that this poli rnust rcflcct the social and Gospel values of the Catholic Church, both in the way we invest our money and in the way that it is ed to enhance the qualiry of life for all ppIe, spiritually and in their daily lives. In view of this. no investment should be held in any company ftiiling to ¢vidence signific4nt positive critwia s¢t out within this poliw, The Truste¢s will work closely with thcir nominated investment fund manager who will monitor the portfolio in respect of the ethi] guidelines. notify the Tnjstees of any significant developments and provide a full upd8te at the 8nnuai m¢¢tin83. Future PIAn$ The fvture plans for the ChaTity involvc c8nying on the good work they are doing in the communities that they currently serv¢. Audits and Independent examinations The independently examined accounts and the rcpon of activiiies ftir the year 2021 w¢re su¢SsfUllY submitted tt) the Charity Commission on 31 October 2022, thanks to th¢ tcam at Richard Place Dobson. DHM Trust accounts submission to Eg2ras¢t from 2021 onwards On 4 July 2022. 8 zoom meetin8 was held among the following members with r¢gard to enty of Trust aLYounts in the Egaraset accounting system of Paris. General House team, E8araset tram and some rnembers of the Trutt. It was decided that from the accouniing year 2021. the Ronan of Treland will submit the Annual Accounts in fjjll detsils to the Provincial who will then forward to the General Bursar in park. Another dlSion was that both the Auditors will us¢ th¢ forn]at given by the Tnjstee to submit the Annual A¢eounts lo Egaras Obtaining Irish VISA In September 2021. with th¢ v¢rbal agreement of the trustees. Miss M AlpFnSe received £20.000 into her float account in HSBC, from the Province AccouThts for the purpose of obtsining one year Irish visa for her travel needs to Dublin. It was a r¢quirement to show adequate fld3 in her Float accouni of the bank which th¢n was subtnitted for the visa PUTPOS¢. A¢tivities of the Commoll Houses ill Wimbledon and Kirkby - The heating system of the Community House in Kirkby w8s r¢furbisheiL - Several small repair works were undertaken for the Community House at WwnbIedo This seems to be on incre8se as the house Ès getting older. Sever¢ Covid restrictions continued thts year too which affected the charitabl¢ adivities. HoM'ev¢r. activities sv¢h as Retreat Gutdance, telephonic couns¢llin& urgent services to the nccdy ¢ldcrly, handtcapp¢d. house-bound and immigr8nts were undthaken for the yw 2022 in Kirkby. Blackpool and in knndon. Spiritual support w&% given over the phone by some members to the houseud. - Towards the end of the year. in October. th¢ Province was happy to receive the vislt of the General Superior and her Council to London and Kirkby. Their presence and encouragement Was very much 8ppre¢iated by everyone. page 4
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT (CONfINUED) FOR THE YE4R ENDED 31 DECEMBER 2023 Risk m2nagem¢nt The trustces have a duty to identify and review the risks to which the charity 15 exposed and kn ensure appropriate Controls are in place provide reasonable a%surAnce against fraud and ¢rror. The trustees are aware of the risks the charity may fa and have estsblished procedures to mitigate known risks where possible. Covi(k19 has atr¢ady E]ad an impact on operations and investments. However. the trustees are wnfidenc that th¢ chariry will continue to undertake its opcrntions and lfIl ail its financial liabilities and charity obligations. It was noted that adequate Insurance must be cured for our property and t8k¢n consistently on 8 yearly b&sis. Our Investments are marLa8ed by Charles Stanley FCA regiskred investment fund so as io achievc the bc5t financial outcom The Truste¢s wThtinue to work to ensure complignc¢ with GDPR whith came into effe in August 2022. GDPR Policy The GDPR Policy has been drdfted this ye8r. m[ M Br¢nn4 a trustee reworked the GDPR policy and prepared draft Privacy Policy according to th¢ r¢quircm¢nts of Charitable Tr1 necd% in Ireland. This was then refted to an expert for the Jesuit congregation in th¢ UK. Bas¢d on r0mMendationS a draft h&$ been prepared for the DHM Charitabl¢ Trust in th¢ UK. It needs to be approved by thc Trlees. Reglstratltsn of Saftzuxrdinz Seryices in UK The 10 DHM sisters of England have be¢n rcgist¢red with Religious Life Safeguardin8 Services IRLSS) and with Catholic Saf¢guwding S¢rvi¢¢s Agency {CSSA) for England and Wales for the year 2022 by paying £200 for each one, Hen¢¢fortl the DHM sisters their Reunions will be governed by thc safeguarding policies of these organisations. This will be publish in the website of the Province. Ev¢Dts Since the end of the year Lnfonnation relating to ¢vents since the end of the year is given in the tte$ to the financial statements. Strurturej goverttttte and mAttxg¢rnent The name of the charity is Daughiers of Ihc Heart of Mary Charithble Trt. The chartty w&$ established by a tharitablc tnlst de on 13 S¢piemb¢r 1988 and is regisiered with the Charity Commission under referen¢¢ number 800119. The address of the principal officc of the cELarÈty is 41 MurTay Road Wimbledoo London SW19 4PD. page 5
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST TRUSTEES, REPORT (CONTINUED) FOR THE FE4R ENDED 31 DECEMBER 2023 The trustees who s¢rvcd during thc year and up to the date of signature of the financia] statements were: Miss E McHale Miss G Eastwood Miss M Biogan Miss M BrcnTran Mtss M Alphonse Miss A Boland Miss G Beg Th¢ power to appoint new trustees resLs wtth the Provinci81 Superior. The trustees, report was approved by the Board of Trustees. Miss MAlph Provincial Su use erior pag¢ 6
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF DAUGHTERS OFTHE EART OF MARY CHARITABLE TRUST l port to the trustees on my examination of the financial statements of Daughters of The Hcart of Mary Cbaritsble Trust (thc charity) for the year ¢nded 31 December 2023. Responsibiliti¢s Ind bsis of report A5 the trustees of the charity you are rcspon3ible for the preparation of the rtnan¢ial statements in accordancL with the r4uirctDents of the Charities Art 2011 (th¢ 2011 Act). I report in r¢spect of my examination of the elwity's financial statements carried out under section 145 of the 2011 Act. In caTrying out my examinaiion I have follow all the applicable Directions given by the Charity Commission undcr scGtÉon 145(5)(b) of tbe 2011 ACL Indtptndent examiD¢r's $tst¢m¢nt Your atteniion is drawn to the fact that the charity has prepared financia] stalements in accordance with Acwunting and Reporting by Charities preparing their accounts in accordance with thc Financial Reporting Stsndard applicable in th¢ UK d Rwubli¢ of Ir¢land (FRS 102) in preference to the Accounting and R¢porting by chitIeS.. Statement of R¢commended Pra¢iiGe issued on l April 2005 which is referred to in the extant r¢gulations but has now been withdrawn. l understand that this has IK¢n done in order for fmancial ststernents to provide a true and fair view in accordance with Generally Accepted ACrunting Practtrx effective for rq)oning periods beginning on or dfter l January 2015. I have ¢omplet¢d my ¢xamination. l ¢¢nfum th no matt¢rs havc come to my att¢nUon in nnectiOn with the examination giving mc C8LLS¢ to believe that in any material rtspecL' accounting records were not kept in rcspeci of the charity as required by section 130 of the 2011 ACL or the financial s¢atements do not accord with those records; or the finan¢iai s¢¢m¢n do noi comply with the applicable requirements concernin8 th¢ forn and content of accounis set Out in the Charities (AccounTS and Reports) Regulations 2008 other than any requirement that the accounts 8ivc a true and fair view which is not a maIr comidered a5 Part of gn independenl examination. I have no concerns and have come a¢ross no other matters in connection with the examination to whi¢h attenlion should be drawn in ihis report in order to enable a proper und¢rstanding of the financial statements to be reached. Darren Harding ACA, FCC& DChA Richard P14¢¢ DobsoD Ground Floor 1- 7 Station Road Crawley West Sussex RHIO IHT p4¢7
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST STATEMENT OF FINANCIALACTIvrtIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023 Curftnt financial year Unrtstricted Unrestricted funds fullds geDeral Design2t¢d 2023 2023 Rutri¢ted fullds Thtsl Total 2023 2023 2022 Notes Income 2nd eDdowments from: Donations and legacies Charitable activities Investments Other income .475 8.665 214.827 6,271 1.475 8,665 214,827 6,271 54,712 11.850 205,909 103 Total Income 231238 231,238 272.574 Expenditutt on: Raising fijnds Charitable activities 50.714 261.686 50,714 317.580 54.812 450,871 55,894 Total expenditure 312,400 55,894 368.294 505.683 Net 8ainsl(losscs) on investments 13 (139,043) (139.043) (490,4591 Net expenditurt (220.205) {55,894) (276,099) (723,568) Transfers bctwcen funds 314,069 (314.069) Net movement in funds io 93,864 (369.963) (276,099) (723.568) Recolleili*tion of futtds: Fund balances at l January 2023 85.032 9.558.873 8,338 9.652.243 10,375,811 Fund balances at 31 December 2023 178.896 9.188,910 8,338 9,376.144 9.652,243 The statement of financial activities includes all gains and losses recognised in the year. All incom¢ 8nd ¢xp¢nditure derive from continuing activities. page 8
DAUGHTERS OF THE HEART OF MARY CHARTTABLE TRUST STATEMENT OF FINANCIALACTIVITIES (CONTINUED) INCLUDING INCOME AND EXPENDITURE AccouNr FOR THE YE4R ENDED 31 DECEMBER 2023 Prior financial year Unrestricted Unrtstrirt¢d funds funds gelleral DesiEnated 2022 Restrirted llds Totsl 2022 2022 2022 Notes Income 2nd endowments fn)m: Donations and le8acies Charitable activitie5 Investments Other income 54.712 11.850 205,909 103 54,712 11,850 205,909 103 Total income 272,574 272.574 Expendithre on: Raising fimds Charitable activities 54.812 254.807 54,812 450.871 196,064 Total txptnditure 309,619 196,064 505.683 Net gainsl(losses) on invcsiments 13 (490.459) (490,459) Net ineome {527,504) {196,064) {723.568) Transfer5 between fimds 518.071 (518.071) Net movement in fund5 io (9.433) (714.135) (723,568) Re¢on¢iligtion of fyDds: Fund balances at l Jarkuary 2022 94.465 10.273.008 8,338 10,375,811 Fund balantes xt 31 December 2022 85,032 9,558.873 8.338 9.652,243 page 9
DAUGHTERS OF THE HEART OF MARY CHARrrABLE TRUST BALANCE SHEET ASAT31 DECEMBER 2023 2023 2022 Not¢s Fixed asstts Tangible assets Investments 15 16 3.338.960 5.420.318 3,386,813 5,547,660 8,759278 8.934.473 Current assets Dcbtors C&8h ai bank and in hand l7 13,761 626.350 9.319 732,161 640,111 741.480 Creditors: amounts falllng due wlthin ott¢ yèar 18 (23245) (23,710) Ntt current ss¢ts 616,866 717,770 Total sssets less cyrrent liabilitles 9.376.144 9,652,243 N¢t #$$¢ts excludinz pension liability 9,376,144 9.652.243 The funds of the charity Restricted income funds Unrestricted fijnds - general Unrestricted fimds . Desigrnaied 20 8,338 178,896 9,188,910 8,338 85,032 9,558,873 21 9.376.144 9.652,243 The financial ststements were approved by the trusttts on ... . . Miss M Al ProviD¢il Sup¢rior onse p4¢ 10
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YE4R ENDED 31 DECEMBER 2023 Accounting polici Charity iDforniatio Daughtcrs of The Heart of Mary Clwitable Trust is a charity th* promotes charitablc work for the time being carried orL 1.1 Accounting convention The financial 51at¢ments have been prepared in aCrdanCe with the diariry's Tn]st Dce(L the ChaJities Act 2011. FRS 102 "Thc Finèncial RertIn8 Standard applicable in the UK and R¢public of Ireland" ("FRS 102.) and the CFLarities SORP "Accounting and Reporting by Chariiics: Stsrcment of Recommendcd Practice applicable to ¢tLtIeS preparing th¢ir attounts in aCrdance with the Financial Reporting Standard xpplicable in the UK and Republic of Ireland (FRS 102)" (effectiv¢ l January 2019). The chariry is a Rtblic Benefit Entity a% defined by FRS 102. The charity has taken advantage of the provisions in the SORP for charities not to pr¢par¢ a Statement of CL8h Flows. The financial statem¢nts have departed from the Chariti¢S (A¢wunts and Rerts) Rcgulatlons 2008 only to the &xtent required providc a true and fair view. This departure has involved following the Statement of Recomm¢nd¢d Practice for ChitieS applying FRS 102 rather than the vetsion of the Statemeftt of R¢comm¢nded Practice whi¢h is ref¢rrcd to in the Regulations bul which h&s since bttn withdraw Th¢ finan¢ial statcm¢nts are pr¢pared in stsrlin& which is the fiCtIOnal ru¢Y of the chariry. Monew amounts in these financial SWqncn¢3 ar¢ rounded to the neaxest £. The financiat statements have be¢n prepared under the historical ¢o$t Wnventio [modified include the revaluation of freehold properties and to include investment properties and ¢¢rtain fllwiciat insmunents at fair valuel. The principal accouncing policies adopted are set out below. 1.2 Going concern At the time of approving th¢ financial statements, the trust¢¢s hav¢ a reasonable expectation that the charity has adequate resources to wntinu¢ in operationat existence for the fores¢eablc ture. Thus the tNst¢es continue to adopt the going oncem basis of accounting in preparing the fuwicial 5tst¢ments. 1.3 Income Income is recognised when the charity is le8ally ¢ntitled to it after any perfomian¢¢ ¢onditions havc been m< the amounts ¢an be me&sured reliably. and it is probablc that income will be r¢¢eiv¢d. Cash donations arc recognised on receipt. Other donations are Tecognised once the charity has been notified of the donation, unless perfornian¢e conditions require defeTral of the amount. In¢omc tax rewverable in relalion to donations received under Gift Aid or deeds of covenant ts re¢ognised at th¢ tim¢ of th¢ donation. Legacy gifts are rccognised on a c&se by case basis following the granting of probate when the athninistratorlexecutor for th¢ estate MmunIted in writing both the amount and settletnent date. In the event that the gift is in the forni of an s¢t oth¢r than ¢ash or # fin¢141 asset traded on a recogtiised stock ex¢hang¢. r¢EnItiOft is subject to the value of the gift being reliably m¢&8ur¢d with a d¢gr¢e of rcasonablc accuracy and the title to the et has been trSferred to the charity. Inv¢stm¢nt income which includes dividends receive¢ other listed investment income and interest receivable is includcd in the statement of financial activitics in th¢ year in whith it Is receivable. Charitable actlVLties incom¢ in¢lud¢s members, iKJard inwme atLd royaltie5 and 15 included in thc statement of finomcial activities in the year to which it relat&s. page 11
DAUGHTERS OF THE HEART OF MARY CHARrrABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTIIYUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting poliei (ContiDued) 1.4 Expenditure Expenditure is recognised once there ts a legal or constructiv¢ obligation to trdnsfer ewnomic benefit to a third party, it is probable that a tr8nsf¢r of e¢onornic befits will be required in settletDenL and the amount of th¢ obligation can be m¢asur¢d reliably. Expenditure is cl&8sified by activity. The costs of each a¢tivity are made up of the total of direct Costs arkd sh8r¢d costs, including support Costs involved in Undertaki each activity. Direct costs attributable to a single activity are allo¢ated dI[Y EO that activity. Shared costs which contribute to niore tban orLe activity and support Costs which arc not attributable to a single activity apportioned beCen those activities on & basis eonsistcnt with the use of resources. Central staff costs are allocated on the basis of time spcnL and deprttiation ¢g¢S are all0ed on th¢ portion of the &sset'S Liabilities ar¢ reCoaSed as expenditure as soon &s there ts a legat or constructiv¢ obligation committing th¢ rharily to that expenditure. il is probable that a trnnsfer of economic benefits will be required in settlcm¢nt and the amount of the obligation can be measured reliably. Expcnditure is accounted for on an accruals basis h&8 been classified under headings that aggregate all cost related the ¢at¢gory. Wh¢re costs eanrnot b¢ dir¢¢tly attributed to particular headings they have been alloted to a¢l1viU on a basis consistent with th¢ us¢ of rcsources. Costs of raising thds includes inv¢stsnent manager fe. Charitable accivities relate to thc c05t of serving th¢ ¢omtnunkty and supporting te¢ approved projects. 1.5 Tangible fjxed assets Tangible fixed assets are initially measured at ¢ost and subsequendy me&8ured at wst or valuatioN net of depreciation and any impaiment loss¢s. All assets costing more than £250 are capitalise Tangible fed Sets arc scated at eo$i less d¢prwiation. Dcprcciation is providcd at rates Ca1lated to write off the ¢ost less estimated residual value of cach asset over its expected SefUl life. as follows: Freehold Property Fixtttres, fittings & equipment Motor vehicles 150/0 reducing b8lan 2/ty on cost The gain or loss arising on the disposal of an et As dcterniined a5 the difference between the sale proceeds and the carrying vaEue of the ass¢¢ is recognised in the statement of financial activities. 1.6 Fixed *s$et inv¢stm¢nts Fixed asset investments a initially mcasured at transaction price ¢x¢luding transaction costs, and are subsequently m¢asur¢d at fair valuc at cach rcporting date. Chan8es in lair value arc recognised in net incomel(expenditure) for the year. Transaction costs are ¢xp¢nsed as incurred. 1.7 Cgsh 2nd cash equTvalents Cash and cash ¢quivalents includ¢ cash in Iwhl. deposits held at oll with banks. other short-tenn liquid investments with origin3J rnaturities of three rnonths or less. and bank ov¢rdpafts. Bank overdrali8 are shown within borrowings in current liabilities. pw12
DAUGHTERS OF THE HEART OF MARY CHARTTABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE FEAR ENDED 31 DECEMBER 2023 Accounting polities (Colltinued) 1.8 Finaneial instrnmtthts Th¢ charxty has elected to apply the provisions of Sectton 11 'B8si¢ Financial InstnThents' and Section 12 '0thcr Financiat Instruments Issues. of FRS 102 to all of its financial instnments. Financial instrumcnts are recolSed in the charity5 baIance sheet when the ¢harity becomes paty to the contracal provisions of the instrument. Financial Sets and liabilities are offsei with the net amounts prcscnted in the financial stst¢m¢nt& when there is a legally enfor¢eabl¢ right to sct off the rccogniscd amowts and th¢r¢ is an intention to settle on a net b1& or to realise the asset and settle the liability simu1taneAbIy. Btuicfinancial asjets Other debtors arc recognised at the settlement arnount du¢ after any trade discount offere<L Prepayments are valued at the 8mtstmt prepaid net of any trade discounts due. Basicfinanuul liubihttes Creditors are recognised where the ¢harity has a pres¢nt obliwion resulting from a past eVt that will probably results in the transfer of ndS to a third party and th¢ amount due to settle the obligation can be measured or estimated reliably. Creditors norma]ly reco$S¢d at their settlement amount after allowin8 for any discounts due. 1.9 Txtlon As a charity, the Trust is not subject to corporation w or any Qther ¥¢S on income and gains arising from its charitable objectives, 1.10 Fund accouDtiug Unrestricted fimds can be used in accordance with the ¢haritable objectives at the discretion of the trustees. Restricted funds ¢an only be used for particular restricted purwses within the objects of the charity. Restri¢tions Arise when specified by the donor or whcn fimds are raised for Fwlicular restricted purposes. Designated furtds are unrestricted funds e&rniarked by the Tnstees for particular purposes. Further explanation of the nature and purpose of each fund is in¢luded in the notes to the fiTkaThcial SL2tements. Critical accounting estimates and judgements In the application of the ¢harity'$ accounting policies, th¢ tswstees are required to mak¢ judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not rcadily apparent from other sources. The estimates and associated as8[ptionS arc based on htsioricai experlence and other factors th&t are considered to bc r¢l¢vant. Actyal r¢sutts may differ from th¢s¢ estimates. The estimates and urkderlying assumptions are reviewed on an ongoing basis. Revisions to accountin8 ¢stimates are recognised the period tn which the estimatc is reviscd where the revision affects only that perio<L or in the period of the revision and fvture p¢riods v4h¢r¢ the revision affects both current and futur¢ periods. page 13
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE FE4R EJVDED 31 DECEMBER 2023 In¢om¢ from donations #nd leg2CiLS Unr¢stri¢ted funds 2023 Unrestricted funds 2022 Donations and gifts L¢8aci¢s receivable 1,475 2,180 52,532 1.475 54,712 Income from chAritable #rtivities Unrestrlcted futyds 2023 Unrestricted funds 2022 Religious services provisio Rcligious services provision 8,665 11.850 Inv¢stmeDts general 2023 genera] 2022 Investment Income Deposit actount interest 210,397 4,430 205.091 818 214.827 205,909 Oth¢r in¢om¢ gener*1 2023 general 2022 Royalties Other income 132 6,139 103 6271 103 pag¢ 14
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR TIIE YEAR ENDED 31 DECEMBER 2023 Raising funds general 2023 general 2022 Investment man ernent 50.714 54,812 50,714 54.812 Expenditure cbaritable adivities Direct tharitable expenditure 2023 Direct charitable expenditure 2022 Direct eosts S(aff costs Depreciation and impairnJ¢nt Religious servi Provision Payments to mission intcnance 41.198 47,853 99.154 87,840 9.761 40,993 47,854 96,001 179.873 59.324 285.806 424,045 Share of support and governance costs (stt ttot¢ 9) Govemanee 31,774 26,826 317,580 450.871 AD*tysis by fund Unrestricted rtits- general UnTcstrict¢d fvnds- Designd 261,686 55,894 254,807 196.064 317,580 450,871 page 15
DAUGITfERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Support costs Snpport costs Govtrnance ¢osts 2023 2022 Accountancy and aUdi1ndependent examination Legaj and professional Bank Charges 16.922 14.536 316 16,922 14.536 316 17,520 9.007 299 31,774 31.774 26,826 Analysed between Ctrwiuble activities 31.774 31,774 26,826 10 Net rnovement itt funds 2023 2022 The net movement in fimds is Statrd after chargingl{crediting): Depreciation of owned tangible fixcd assc 47,853 47,854 11 Trustees Nonc of the trustees (or any persons connected with them) received any remuneration during the year. The trustees arc also members of the ngregation Some members tre maintained by the ¢haTity the cost of the premises, meats and other living expenses in resp¢¢t of such mcmbers is paid either to them or on their behalf by the charity. 12 Employees Employment costs 2023 2022 Wages and salari¢s Other pension costs 38,409 2.789 38,340 2.653 41.198 40,993 page 16
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 13 Gains 2nd losses on investmeots Unrestricted Unrestricted nds funds 2022 2023 Gainsl(losses) arising on". Revaluation of investments Sale of investments (157.374) 18,331 (490,459) (139.043) (490,459) 14 Tax The ckjarity is ¢xetnpt from taxation on its activities beuse all its InMe is applied for charitablc purp03es. 15 TAngible fixed 2ssets Fnebold Flxtur¢& fittiny MotorvthStles Proptrty & ¢quipth¢Dt Totil Cost At l January 2023 3.839.975 145.061 13.893 3,998,929 At 31 December 2023 3,839,975 145.061 13,893 3,998,929 Depreciatlon and Impaiment Ai l January 2023 Dcpreciatiork Charg in the year 462,906 46,133 135,317 1,72Q 13,893 612,116 47,853 At 31 DeGembcr 2023 509,039 137.037 13,893 659,969 Carrying amount At 31 Dccembcr 2023 3.330,936 8.024 3,338,960 At 31 December 2022 3,377,069 9.744 3.386.813 16 Fixed asset investments Listed illvesttneDts Cost orvaluatio At l January 2023 & 31 December 2023 5,547,660 Carrying amount At 31 December 2023 5.547,660 At 31 December 2022 5.547.660 page 17
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (coiYfINUED) FOR THE YE4R ENDED 31 DECEMBER 2023 16 Fixed asset investments (ContÉttued) Htstorical cost: 2023- £4,322,540 2022: £4.318,301 There were invesknents held at the year end which were valued over 5% of the totsl portfolio markct vaiuc. Revaluation reserves of £1,097,778 (2022-. 1229J59) are included within the designatcd funds. 17 Dtbtors 2023 2022 Amounts f*lliDg due witbill oue year: Oiher debtors Prepayments and accrued income 2,827 10.934 2.556 6,763 13.761 9,319 18 Creditors: amounts falliDg die witbill one year 2023 2022 Other creditors 23,245 23.710 19 Rt¢Srèm¢nt bell¢fit sebemes 2023 2022 Defined contribution scb¢m Charge to profit or loss in respect of defined ¢ontribution 5themes 2.789 2,653 Thc charity operates a defin¢d contribution pension stheme for all quatifying employees. The assets of the schem¢ ar¢ held separately from thosc of the charity in an independentty administered fijn 20 R¢5trt¢t¢d fuDds Th¢ r¢strictcd fvnds of the charity comprise the unexpended balantts of donations and grants held on trust subject to specific conditions by donors as to how they may be use At l JalluaryAt 31 Dttember 2023 2023 8.338 8,338 page 18
DAUGHTERS OF THE HEART OF MARY CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE IFAR ENDED 31 DECEMBER 2023 20. Restrirt¢d funds (Continued) Previous ytar. At l JanuaryAt 31 Deeember 2022 2022 Mission fjjnd 8.338 8.338 The tncome to the missior restrIed fund is rettived in the forni of donaiions from sources outside the charity for the purpose of donating money to mission work 21 Unrestricted funds- DtsigDated The income fvnds of the chariry in¢lude the following deS1t¢d fidS which have been set aside out of unrestrict¢d fijnds by the trustees for specific purpos&4: At l January 2023 Resourc¢s expended TransfersAt 31 De¢tmbtr 2023 Maintenance fund Properry fund Provin¢ia] fimd Communities fund Special projects fund Propety maint¢n8nGe fimd 5,547.660 3J77,069 448.221 15,923 120,000 50,000 (9,761) (46.133) (117,000> 5,420,899 3.330,936 351,152 15,923 20,000 50.000 (97,069) (100.000) 9.558,873 (55.894) (314,069) 9.188,910 Previous ye4r. Ai l January 2022 Resourees expended Tr*nsfersAt 31 De¢ember 2022 maint¢¢ fijnd Prop¢ny fimd Provincial fid Communtties fimd Special Projects Fund Property maintenance fund 6,156.775 3.423.202 521,427 1.604 120.000 50,000 (609,115) 5,547,660 3,469,335 448,221 15.923 301,214 168,648 46.133 (73,206) 14.3L9 90,607 59,324 90,607 59.324 10.273,008 (196,064) (518.071) 9,558.873 pag¢ 19
DAUGHTERS OF THE HEART OF MARY CHARrrABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 21 UDr¢stricted funds- Designated (Continued) The Maint¢nance fimd is held to provide for the maintenance of members Ls thry grow older 8md inves*d to m8ximis¢ the return on the cFkarÈty's assets. Included within the maint¢nanc¢ fund is unreaiis¢d gains on tnvesrments tsf £1:097,778. (2022 - £1,229,359). The Property fund rcprescnts thc fillmls necessarily s¢t aside for the charity's occupation of the land and buildings. The movcm¢nt in the year repe[lts the depreciation charg The Provincial fund is set 18ide by the truscees for the financial needs of the Provincial. The Community fund is s¢t aside for the nec&s of the individual hous¢s. The Special Pmjects fijnds reprt8ents monies set aside for $[5¢ that the Trustees intend make to projects. The Propety Maintenanc¢ fund is set asid¢ for the repairs and mainlenan¢e of the Charities Properties. 22 Analysis of net assets between funds Unrestritted Designated funds funds 2023 2023 Restritt¢d funds 2023 Total 2023 Fund balances ai 31 December 2023 are represented Tomgible assets Investments Current assetsl(liabilities) 8,024 (127.342) 35.081 3,330.936 5,547,660 573,447 3,338,960 5,420,318 616,866 8,338 (84237) 9,452,043 8.338 9.376,144 Unrestrictd Desiated fiujds funds 2022 2022 Restricted funds 2022 Total 2022 Fund balances at 31 Dcccmber 2022 are r¢present¢d by: Tangible &8sets Investments Current assetsl(liabilities) 9.744 3 J77,069 5.547.660 634,144 3,386,813 5.547.660 7E7,770 75288 8,338 85.032 9.558.873 8.338 9.652,243 Rtiated party tran32etions There were no disclosable related party transactions durino the y¢ar (2022- none). page 20