The Gansey Charitable Trust
End of Year Financial Statements and Trustees’ Report
Year ending 31[st] March 2021
THE GANSEY CHARITABLE TRUST
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Mr K Cubbon |
|---|---|
| Mr A D Manuel | |
| Mr J J Matheson | |
| Mr A Q Rickard | |
| Mr D A Stewart | |
| Mrs E M Stewart | |
| Secretary | Mrs E M Stewart |
| England & Wales Charity Commission number | 801860 |
| Principal address | Bowden Barn, Church Hill, Eggbuckland |
| Plymouth | |
| Devon | |
| Great Britain | |
| PL6 5RB | |
| Website | None |
| Bankers | CAF Bank Limited |
| 25 Kings Hill Avenue, Kings Hill | |
| West Malling | |
| KENT | |
| ME19 4JQ | |
| Shawbrook Bank Limited | |
| Lutea House, Warley Hill Business Park, The Drive | |
| Great Warley, Brentwood | |
| Essex, CM13 3BE | |
| Solicitors | Poole Alcock LLP Solicitors |
| Lychgate Barn | |
| Tarporley | |
| Cheshire | |
| CW6 0AG | |
| Independent examiner | Richard Bray ACA DChA |
| 17 Thornhill Road | |
| Plymouth | |
| PL3 5NF |
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THE GANSEY CHARITABLE TRUST
CONTENTS
| Page | |
|---|---|
| Trustees' report | 4-8 |
| Independent examiner’s report | 9 |
| Receipts and payments | 10 |
| Statement of assets and liabilities | 11 |
| Notes to the Financial Statements | 12-13 |
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THE GANSEY CHARITABLE TRUST
TRUSTEES’ REPORT
For the year ended 31 March 2021
The Trustees present their annual report and accounts for the year ended 31 March 2021.
The Charity
The Gansey Charitable Trust (TGCT) was established as a charitable trust by a deed executed on 6 July 1989 and which is subject to a supplemental trust deed dated 18 November 2013.
TGCT can use its capital and income for charitable purposes as The Trustees see fit within England and elsewhere.
Objectives & Activities
TGCT owns and maintains a property, called “Mallmore”, in the Isle of Man. It has 22 bedrooms & a flat; and is registered as a hostel with the Isle of Man Department of Tourism.
During 2020-21, as in previous years, TGCT has worked in partnership with:
-
The Port St Mary SU Beach Mission, providing a base for team accommodation and activities for children and young people
-
Scripture Union Ministries Trust (SUMT) providing a base for a range of activities that benefit the community as a whole
Our focus is on Christian activities in the Isle of Man.
The Trustees reviewed the original 1989 Trust Deed during the year ending March 2013 in order to introduce a supplementary deed to provide a framework for updated best practice. Additionally, in 2013 The Trustees produced an "Aims and Ethos" document to more precisely identify the focus of TGCT. The aims and ethos document is:
The Gansey Charitable Trust seeks to support Christian mission and ministry predominantly in the Isle of Man. In particular, the Trust will:
-
Provide facilities for the Port St Mary SU Beach Mission for up to one month every summer, as required
-
Provide facilities for other Christian organisations, including those working with children and young people, or providing leadership training.
Mallmore is used as the base for activities for the annual Port St Mary SU Beach Mission, and storage is provided on the property for their equipment and resources. The Beach Mission typically runs for a fortnight every summer and is free and open to all. In recent years up to and including 2019, approximately 350
children and young people registered with the Beach Mission each summer, with a daily attendance of over 200 children and young people aged 0-17. A team of over 70 adults provided up to three sessions per day with children divided into seven age groups. Activities included games, sports, crafts, drama, music and interactive Bible teaching. Typically there were also three large family events. The Beach Mission works closely with the three local churches with team members participating in their Sunday services during the fortnight. Activities are open to all children, and provision is made for children with additional needs by team members who are experienced in this specialist area. The Beach Mission team also support local community initiatives whenever possible such as the local Lifeboat Day. In summer 2020 the island’s borders were closed, although at that time the Island was Covid free. Therefore, in addition to an online programme, a small team of local team members ran a reduced “in person” Beach Mission programme, working with
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around a hundred children and young people. Activities were all held outside, but the team members were able to use Mallmore as their base. In summer 2021 there were still some border restrictions, but a smaller than usual team were able to run a full programme of activities for one week, with about half of the regular number of children attending. Given the restrictions of the pandemic, the fact that the Beach Mission was able to continue using Mallmore as its base, provided significant support to the local community in terms of activity and in our opinion the overall mental health of the families of those attending.
TGCT has continued its partnership with SUMT which has contact with over 12,000 children and young people each year through their work in churches and schools. Mallmore was the base for SUMT providing accommodation, storage and office space for staff & volunteers; a venue for short residential events (mainly but not exclusively for young people); day time meetings and team accommodation. After 12 years of using Mallmore as its base, SUMT moved out of Mallmore at the end of August 2020. They no longer have a need for a permanent residential base, so now have office space in Douglas instead. However, they have continued to use Mallmore on a regular basis for their residential youth weekends plus consider using Mallmore for other purposes such as planning or housing volunteers from off-island.
The rent charged to SUMT was based on an independent valuation which was updated in September 2013 and represented a discount of around 25% of the market rate when taking into account provision by TGCT of additional items not included within the valuation. Rent was set at this level to support the work of SUMT whilst ensuring that TGCT had sufficient funds to maintain the property. TGCT entered into a formal lease with SUMT on 1st March 2012. The lease ran until 31st August 2020.
Following SUMT’s departure in August 2020, it was difficult to develop the use of the building because of the restrictions of the Pandemic. SUMT continued with their residential weekends, and one local church also used the house for youth residential events. However, as restrictions began to ease, there have been additional bookings in the summer and autumn of 2021 including several church bookings and one booking by a local primary school. In particular The Trustees were delighted to be able to support the local school by providing Mallmore as a base when they were unable to go off island due to restrictions because of the pandemic. The Trustees are working towards increasing awareness of Mallmore’s availability and hope to grow the number of bookings by churches, schools and other organisations.
Maintaining and improving Mallmore
Our strategy is to continually develop the building in order to upgrade the facilities for the organisations which use it, in line with our charitable objectives. £3,391 was spent in 2020-21 (year to 31 March 2020 - £8,441). Major maintenance work which had been planned for 2020 had to be postponed to summer 2021 because of the Pandemic restrictions. These projects, which were completed during 2021 included, provision of a tea bar in the dining room; full damp proofing and refurbishment of the basement flat; and painting and window repairs to the front exterior of the house. Final costs for some of these projects have still to be confirmed at time of writing, but will total in the region of £38,000.
Trustees and Governance
The activities of TGCT are administered by its Trustees with day to day running of Mallmore undertaken by SUMT who were our tenants until August 2020. Since then, The Trustees have taken a more active role in the management of the building, although the border restrictions made this difficult. We are, therefore, extremely grateful to Kevan Cubbon, our only Manx resident Trustee, and a number of local supporters for their time and effort in looking after the building during this time.
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The Trustees serving from 1 April 2020 to the date this report was approved were:
Mr Kevan Cubbon Mr Andrew D Manuel Mr Jeremy J Matheson
Mr Andrew Q Rickard Mr David A Stewart Mrs Evelyn M Stewart
Mr A D Manuel continued as Chairman, Mrs E M Stewart as secretary & financial administrator during the year.
Typically, four Trustees’ Meetings are held each year to review the work of TGCT and make plans for future developments. There are no sub-committees. New Trustees are appointed by a majority decision of the existing Trustees.
The Trustees are aware of the public benefit guidance issued by the Charity Commission in relation to section 4 of the Charities Act 2006. The Trustees are confident that the charity is providing public benefit by acting as a base for numerous activities including the Port St Mary Beach Mission as described above, which is free and open to all.
The Trustees have a broad range of experience which is relevant to the needs of the TGCT including experience on other trusts, business, management, training and development, engineering, finance and Manx Government practice.
We have previously referred to the “Hallmarks of an Effective Charity” and have now reviewed its replacement “The Charity Governance Code”. Gansey is a niche charity with a very narrow remit, no paid staff and a small number of supporters with little fund raising. Much of what is suggested is not relevant to our situation. We have, however, worked on a number of the areas highlighted in the principles, and will continue to check our ethos and procedures annually against the good practice suggested in the document. In particular, as we look to recruit new Trustees we will seek to apply the suggestions in the document to our situation.
Financial Review
The attached financial statements set out on pages 9 to 12 show the current state of finances which the Trustees consider to be sound.
In the period there was an excess of receipts over payments of £30,033 (year to 31 March 2020 excess of receipts over payments of £20,804). The significant surplus reflected the reduction of expenditure and limited development work primarily because of the delays caused by the restrictions of the Pandemic.
Cash balances at 31 March 2021 amounted to £170,474 (31 March 2020 was £140,441). Expenditure on refurbishment and maintenance of Mallmore amounted to £3,391 (year to 31 March 2020 - £8,441). There is a rolling plan of refurbishment and maintenance work to ensure that Mallmore is maintained in good order, although, as mentioned above, some significant work was delayed by the Pandemic during 2020 and completed in summer 2021.
During the 2020-21 financial year, until August 2020 TGCT received a significant proportion of its income from its tenants, SUMT. The rent was based on an independent valuation carried out in 2013. SUMT received a 16% discount on this valuation. However when taking into account provision by TGCT of additional items not included within the valuation the overall discount provided to SUMT was in the region of 25%. The Beach Mission occupies Mallmore rent free. It supports TGCT where it is able but with only minimal activities taking place in summer 2020, there was no donation for the 2019-20 year (year to 31 March 2019 - £500)
6
One charitable donation of £10,000 was made during 2020-21 (year to 31 March 2020 - £nil). This was a donation of £10,000 to SUMT following their request for support since their income had been significantly affected by the cancellation of TT and the Manx Grand Prix during the Pandemic, meaning that they were unable to off-set their rental costs with income from guests. The other major expenditure in the year related to the insurance of Mallmore which cost £3,125 (year to 31 March 2020 - £3,483).
TCGT was advised in 2019 that it would be in receipt of a legacy from the estate of the late Miss Irene Dixon that could lead to income of close to £40,000. £35,000 was received in August 2020 with the remaining balance of £3,292 being received in September 2021. Under the terms of the will this is provided towards meeting the expenses of the Port St Mary Beach Mission. This legacy has been added to the Legacy Development Fund, and will be allocated to some of the Mallmore Development costs. Since the primary purpose of TGCT is to provide accommodation for the PSM Beach Mission, it is the view of the Trustees all spending on Mallmore is for the benefit of the Beach Mission.
A key change that happened in August 2020 is that SUMT vacated Mallmore and stopped using Mallmore as their residential base and office. SUMT are continuing to book accommodation at Mallmore for residential events for young people and other ad hoc meetings. The Trustees have therefore developed & implemented their topline strategy during 2021 to safeguard the financial position of TGCT. The increased levels of bank balances, including reserves and designated funds, are primarily as a result of the limitations on development work caused by the Pandemic. In addition, the Trustees will continue to take a cautious approach to expenditure until a new way of operating, which meets the Trust’s charitable objectives following SUMT’s departure, is well established. The Trustees are confident that TGCT remains a going concern.
Covid 19 has had an impact on the charity’s finances. For a number of years, rooms have been let out in Mallmore to guests during the International TT Races and The Manx Grand Prix. Previously, with the approval of TGCT, the income from this supported SUMT with their costs as tenants of Mallmore. Since SUMT have moved out, income from TT and the Manx Grand Prix is a key part of our plan to ensure the ongoing financial viability of TGCT, enabling us to make the building available for youth work throughout the rest of the year at an affordable cost.
Unfortunately, TT and the Manx Grand Prix were cancelled in May and August 2020 respectively and again in 2021. This has resulted in lost income of circa £20,000 over the two years. Fortunately, TGCT has sufficient reserves to weather this storm with total bank balances at 31 December 2021 of £133,210. The Trustees think it highly unlikely that TT and The Manx Grand Prix will be cancelled again in 2022. The Trustees will continue to review expenditure in light of the current uncertainty, however they are confident of the long term viability of the charity.
The Trustees are grateful to many people who have made donations over the year, both financial and of time, without which the development and activities at Mallmore would not have been possible.
Risk Management
The Trustees consider the major risks to TGCT. It was previously recognised that a key risk was the financial impact of SUMT vacating Mallmore. TGCT developed a “Survival Budget” to show that TGCT could operate without the SUMT income by only spending on essential activity. This survival budget relied to a large extent on income from TT which as indicated earlier was cancelled for 2020 & 2021 causing loss of circa £20K of income. Despite this, TGCT remains financially viable due to the cautious approach of the Trustees and receiving additional unexpected income from legacies and from rental income from individuals. In the opinion of the Trustees TGCT consequently remains financially secure.
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Th• anery ol &Jblbn House. net doof lo Mafmore, 5uI)mlrted • pl•nnlr appll&itbtsn In lanuary 2020 lof • substanti real thensk•n. TGcf Trvstses sybmllled • challerye to the pl•ns on yod5 of redvctd 118ht to ol Mallrn(xrfs room& In Ayll 2020. PlrIn• Pefflth •pprvrtd ffvsiees then submltted an appeal tthkh foirettsbly has not been upheld. The Trvstee5 afe ol the that the Ouse ension wll rot have 4 $irf1¢an1 knwct on Cwrenl usay ol Malkre. Iwi could have •) Impact on Ihe alt propefty shad TGcf de(bJe to sell yoperty In future. Thlj Is nol err41wed In the loreseeabl fwwe. TGCT reser¥e lof cl1& wx9e¢le enfin¢y iepatr5 Iw th? prt¥tny ts io hold •1 le•sl £25.?. Thls •fflouni is sh)wn •s • deted lund In Ihe •(¢Trts. With tht Induslon ol ihe le8 rttel¥d fr(Mn Ihe esi4te of l•¢e Irent Dlxoo the Leiacy De¥lopfflent Fund Stood ai £62. 1131 March 2021. Some ol th15 WIN be •ll¢xated m•lor dertlopm•nt Wofk whl¢h has t4kn plK• kn wmmofl4ulwnn 1021. k b•l•n¢•s at 31 M•rth 2011 toialed £170A7414131 M4fch 2020. É140.4411. As mefillolied b•nk balènces •$ 0131 Decembtrr 2021 were £lJJ,110 W•thkh rdects the develowient work undertaken sIK¢ M>rch. Tht Trnstees lxlleve it ¢$ to malnL¥n a sknlfKani ol willl new mode ol operatry to luifii ow ¢h•r¥table obJtt1tr4S Fs wel siit4lih•d, lsl•rlni TGcf M • Ch•rttyln th• lth•l M• Th• Twitses Iw¥e re%lew•d Wslatloh lty thwities In th¢ KIM Ind beliM111g •ppffjwTrai• th•t TGcr rrybstef a • th•rlty In th IOP•l. Thls wocem $ now b¢¢yrn attlMy4h 11 Is stll ai e•rfr¢ st¥e. TGCT wl# •150 ¥em•ln re81st0d •$ a th•rty ryth £Ind & Walo Ctynm155kn. Pthlk 8•Mfft Despth¢ Covld the Tfysiees •fe pltased th•1 TGCf h ntIn to pr•b4de snlfk•nt pullk neO 15 xilllned •bm. In Pkl thrwh the Beach MIS W•thlth $1111 IwKikned desplte tht parbd¢mic, the u5¢ ol ihe pfemlses lof a numir olclwrch iroups and to help oui • loc•1 ¥hool ¥then th were vn•ble to take the thlldrffi off4sl•nd tr*li ittldenU•l evert. On beh•lf ol the Bowd of Tru5tee5 A D Mawel Trustee. Dated. 17
19th January 2022
The Gansey Charitable Trust Receipts and Payments for the year to 31 March 2021
| Note Receipts Donations Gift Aid received for prior year Interest received Rent received AirBnB Other bookings Legacies Total receipts Payments Routine maintenance Property refurbishment work 2 Improvement expenditure for property 2 Total development and maintenance costs Fixtures, fittings and equipment 2 Insurance Cleaning Utilities Planning appeal costs Sundries Trustee expenses 5 Donations Bank charges Total payments Excess of receipts over payments Cash funds at 1 April Cash funds at 31 March |
2021 2020 Total Total Funds Funds £ £ 3,695 11,415 771 780 650 754 9,313 21,750 631 - 998 - 35,000 - |
|---|---|
| 51,058 34,699 |
|
| 3,391 4,275 - 300 - 3,866 |
|
| 3,391 8,441 1,726 1,639 3,125 3,483 84 - 2,314 - 285 - 31 44 - 228 10,000 - 69 60 |
|
| 21,025 13,895 |
|
| 30,033 20,804 140,441 119,637 |
|
| 170,474 140,441 |
All funds received and paid during the period were unrestricted
The attached notes on pages 12 and 13 form part of these financial statements
Page 10
The Gansey Charitable Trust Statement of assets and liabilities as at 31 March 2021
----- Start of picture text -----
No
C.a.sh funds\
Ctlrrent account 1,792 5,909\
Oepcs.it aocoul'lt 38,682 54,532\
EO Day notice acoount 100,000 50,000\
12 Montrl fixed rate saver 30.000 30.000\
170,474 140,441\
Othtt" monetary assets\
Oifl Aid aue tor periOd 671 n1\
Oil delivered on 30'03/2021 395\
Balance due on tegaey from Irene Dixon 3,292\
Deposit with Menx Utilities 120\
4,478 711\
A s ets maintained for the\
Charity's own use {note 2)\
Nallmote improvements at cost ' 178,159 178,159\
Fixtu.res. fitt ng$ & eqUipment ' 12.593 10,866\
190.752 189,025\
U.abilitles\
Manx UtiII1ies {electricitv) for January• April 660\
Ellan vannin Fuds (oil) delivered 31$t March 395\
1,055\
Tie attached notes on pages 12 and 13 form part of thes financial statementl\
The financial statements were app,ovect by The Trustees on 17th January 2022\
and signed on their behalf by.\
r\-D. He.• ,,::-> ........ � ....... ............................ .
Tl'l. stee Trustee
Andrew D Manuel Evelyn M Stewart
.... � ................... . .... .,
----- End of picture text -----
Pogt 11
The Gansey Charitable Trust Notes to the financial statements
1. Basis of financial statements
The financial statements have been prepared on the receipts and payments basis as permitted by S133 Charities Act 2011
2. Assets maintained for the Charity's own use
TGCT owns the freehold of Mallmore a property and former guesthouse at Port St Mary on the Isle of Man. The property was gifted to TGCT on 29 April 1997.
In 2006 the property was valued by The Trustees at £635,000. The valuation was based on a formal market valuation . on 6 January 2004 as subsequently updated informally in 2006.
Fixtures and fittings at the property were valued by The Trustees at £35,000 at a similar time.
Subsequent improvements to the property
| These are as follows: Year to 31 March 2008 Year to 31 March 2009 Year to 31 March 2010 Year to 31 March 2011 Year to 31 March 2012 Year to 31 March 2013 Year to 31 March 2014 Year to 31 March 2015 Year to 31 March 2016 Year to 31 March 2017 Year to 31 March 2018 Year to 31 March 2019 Year to 31 March 2020 Year to 31 March 2021 Fixtures, fittings and equipment Year to 31 March 2015 Year to 31 March 2016 Year to 31 March 2017 Year to 31 March 2018 Year to 31 March 2019 Year to 31 March 2020 Year to 31 March 2021 Payments in the current year consisted of: Improvements to property: New windows and cladding in attic Property refurbishment costs: Water proofing of front steps Fixtures, fittings & equipment: Fridge/Freezer Beds & Mattresses Oil tank & radiators Microwave |
2021 2020 £ £ 25,100 25,100 15,852 15,852 23,219 23,219 28,672 28,672 4,447 4,447 45,968 45,968 7,254 7,254 16,183 16,183 3,040 3,040 - - 1,843 1,843 2,715 2,715 3,866 3,866 - - |
|---|---|
| 178,159 178,159 |
|
| 3,095 3,095 1,858 1,858 1,127 1,127 2,221 2,221 927 927 1,639 1,639 1,726 - |
|
| 12,593 10,866 |
|
| - 3,866 |
|
| - 300 |
|
| - 249 450 1,390 1,001 - 276 - |
|
| 1,726 1,639 |
Page 12
The Gansey Charitable Trust Notes to the financial statements
3. Contingent liability
On 14 August 2007 a grant of £8,582 was received from the Isle of Man Government's Department of Tourism and Leisure to finance part of the cost of replacement of windows at Mallmore under the Visitor Facility Improvement Scheme 2007. Grant, plus related interest, will have to be repaid if Mallmore ceases to be used as tourist premises or if the property is sold before 14 August 2022. The full grant is repayable within the first 10 years and then on a sliding scale thereafter. The Department of Tourism and Leisure has a mortgage debenture over the property for this amount.�
4. Funds
Designated funds
| Designated funds | ||
|---|---|---|
| At 1 April 2020 Arising in period Utilised in period At 31 March 2021 General fund At 1 April 2020 Transfers from general fund to designated funds Excess of receipts over payments in period At 31 March 2021 Total funds at 31 March 2021 |
Emergency Legacy repairs Development Fund £ £ £ 25,000 27,906 52,906 - 35,000 35,000 - - - |
|
| 25,000 62,906 |
87,906 | |
| £ 87,535 35,000 - 30,033 |
||
| 82,568 | ||
| 170,474 |
The Trustees have designated reserves of £57,906 to a legacy development fund. This represents a legacy received from the late Mrs Fay Rickard in the year to 31 March 2016, and £35,000 from the late Irene Dixon in August 2021.
The intention of The Trustees is to spend these funds on a specific project or projects to develop Mallmore.
5. Trustee Expenses
In the year to 31 March 2021, no Trustees received expenses (year to 31 March 2020, one Trustee received expenses of £228 in respect of travelling and susistence costs).
6. Related party transactions
In the year to 31 March 2021 the following related party transactions took place involving The Trustees:
Mr DA Stewart is a Trustee of SUMT:
-
SUMT leased Mallmore from TGCT until August 2020, for an annual rent of £21,750 per annum. The rent received in the year to 31 March 2021 was £5,438 (year to 31 March 2020 - £21,750)
-
During the year TGCT made a donation to SUMT of £10,000 to support it financially in view of the loss of income of SUMT due to the impact of the pandemic (year to 31 March 2020 - £nil)
-
SUMT used Mallmore for accommodation for which it was charged £440 in the year to 31 March 2021 (year to 31 March 2020 - £nil)
Mr DA Stewart, Mrs EM Stewart, Mr JJ Matheson and Mr AQ Rickard are leaders of The Port St Mary Beach Mission which uses Mallmore rent free in August each year.
Page 13