Charity Registration No. NIC100773 Company Registration No. N1003511 INorthem Ireland> THE TOWELL BUILDING TRUST LIMITED ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022
THE TOWELL BUILDING TRUST LIMITED LEGAL AND ADMINISTRATIVE INFORMATION Trustees Mr D.G. Galbraith Mr S. DuffieSd Mr D. Kealey Mrs M. Guiler Mrs L. Hyndman Mr l. Laird Mrs V. Lapsley MrA.J. Martin Mr G.R. McGowan Mr J.C. Morton Mr B. Robinson Mrs J. Whiteside Secretsry Mrs J. Brooker Charity number NIC100773 Company number N1003511 Principal address Towell House 57 Kings Road Knock CoAntrim BT5 7BS Registered office 4th Fk)or Donegall House 7 Donegall Square North Belfast BT15GB Auditor Moore (N.I.) LLP 4th Floor Donegall House 7 Donegall Square North Belfast BT15GB Bankers Danske Bank Donegall Square West Beffast BT1 6JS Solicitors Crawford Lockhart Black Linenhall House 13 Linenhall Street Betfast BT2 8AA
THE TOWELL BUILDING TRUST LIMITED TRUSTEES. REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 How our activities deliver public benefft Public benefit from our Services is directed at the frail and elderly population aged over 65 yèars or physically disabled population aged under $5 years irrespecttve of their means. Direct benefits are derived from a number of our services- -Provision of accommodation. -Assessing need and providing care appropriate to these assessed needs- -Providing an all inclusive facility with a range of activities appropriate to the individual to prevent feelings of boredom and social isolation- -Providing an environment th81 promotes improved physical and mental heallh and well being; -Providing respite care to Ihe frail and elderfy population aged over 65 years or physically disabled population aged under 65 years, enabling carers to have a break. This provides additional support to carers, assisting ihem in continuing their Garing role at home with their service user,. and -Providing stepdown care to hospitalised patients who are elther frail and eldèrly and aged 65 years and above or physically disabled and aged under 65 years. We assist with the recovery and rehabilitation as a stepping stone to retuming to their own homes. Achievements and performance The operation of the home has rètumed to nomal following the ending of the Covid-19 directives and regulations. Demand for the type of care we offer rose signrficantly WFth average occupancy of 97Q/o compared to 910/9 for2021. Financial review The Trustees believe Ft is very important that the Trust is finanrially secure and that the financial performance is reviewed regulady. A budget is prepared annualty and is discussed and agreed by the board. In the course of the discussion the directors consider issues Ihat are likely to impact on the current year and issues that are known will arise in the future. The key issues that have been identified are the adèquacy of the level of funding paid by the Health & Social Care Trusts and the cost implications of retaining and recruiting staff in a compelitive labour market. The financial performance is reviewed at each board meeting. A report detailing the perforrnance for the previous month and the year to date relative to the budgel. together with commentary there-on, is circulated in advance of each meeting. The Trust's investments are managed on a discretionary basis by Investment Managers who submit a report on the performance of the investments on a quarterly basis. This is reviewed by the Chief Executive Officer and the Finance Director and is available to all the Trustees. Meetings are held with the Investment Managers to review the performance ofthe investments as required. The Trust recorded a satisfactory financial outcome for the year although this owed much to Covid related financial support prov5ded by the Government and Health and Social Care Trusts. The operating surplus for the year was £30,424 as compared with a deficit of £7,511 for 2021. The direclors recognise that, without the support referred to above, the outcome for the year would have been a significant deficit. This demonstrates that, given the substantial inflation-driven increases in operating costs that arose in 2022 and are continuing, it is essential that the Government increases the funding of care for the elderly to a level that adequately reflects the cost of providing this service. The Trustees consider it prudenl to hold monies in reserve in the event that unforeseen circumstances should lead to financial difficulties which might put the future of its trading as a going concem and its employment capacity, general charitable work and propety in jeopardy. The Trustees believe the strength of the Balance Sheet has helped maintain the business as a going concem during this year.
THE TOWELL BUILDING TRUST LIMITED TRUSTEES, REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 Structure, govemance and management The Trust is a company limited by guarantee. not having a share capttal. It is registered in Northern Ireland (registration number.. N1003511) and has obtsined charitable status with The Charity Commission for Northern Ireland (referen number- NIC100773). It is governed by its Memorandum and Artides of Association. In the event of the company being wound up and a shortfall ensuing, the members are required to contribute an amount not exceeding fifty pence. The Trustees, who are also the directors for the purpose of company law, and who served durlng the year and up to the date of signature of the financial slalements were: Mr D.G. Galbraith Mr S. Duffield Mr D. Kealey Mrs M. Guiler Mrs L. Hyndman Mr l. Laird Mrs V. Lapsley MrA.J. Martin Mr G.R. McGowan Mr J.C. Morton Mr B. Robinson Mrs J. Whiteside Mr P.G. Fair (Resigned 14 April 2022) Under the lerms of the Articles of Association one third of the Trustees are required to retlre each year but may offer themselves for re-election at the Annual General Meeting. The Trustees retiring by rotation this year are: Mr J.C. Morton Mr l.J. Laird Mr G.R McGowan Mrs J. Vvhiteside Mr P G Fair relired from the Board on 14 April 2022 having served with great distinction for very many years. All of the Trustees give their time and skills voluntarily and receive no payments for the services they provide. The Trustees aim lo ensure that the Board consists of people surtably qualrfied wtth wide experience from variety of backgrounds so as to bring a broad skills mrx to the management of the company. The Trustees have established a Risk Register to facilitate the development of the risk management process. The Register seeks to identify all signlficant risks thal Ihe Home faces along with action to mttigate and manage each risk that has been identified. The Register is subjecl to regular review and updated as deemed appropriate. The Board of Trustees, appointed by the members of the Trust, meet regularly throughout the year. The executive management, in charge of the day-l¢>day operations, reports to the Board on a monthly basis. Sub- committees which have been established by the Board to deal with specific issues, meet as required and report to the Board accordingly.
THE TOWELL BUILDING TRUST LIMITED STATEMENT OF TRUSTEES, RESPONSIBILITIES FOR THE YEAR ENDED 31 DECEMBER 2022 The Trusteès. who are also the directors of The Towell Building Trust Limited for the purpose of company law, are responsible for preparing the Trustees. Report and the accounts in accordance wtth applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company Law requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the Trusl and of the incoming resources and application of reSoUrs, induding the income and expenditure. of the charitable company for that year. In preparing these accounts, the Trustees are required to: select suitable accounting policies and then apply them consistently; observe the methods and principles in the Chartties SORP- make judgements and eslimates Ihat are reasonable and prudent; state whether applicable UK Accounting Standards have been followed. subject to any material departures disclosed and explained in the accounts; and prepare the accounts on the going COnM basis unless it is inappropriate to presume that the Trusl will continue in operation. The Trustees are responsible for keeping adequate accounting records that disdose with reasonable accuracy at any time the financial position of the Trust and enable them lo ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
THE TOWELL BUILDING TRUST LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF THE TOWELL BUILDING TRUST LIMITED Matters on which we are required to report by exception In the light of the knowledge and understanding of the Trust and its environmenl obtained in the course of the audit, we have not identtfied material misstatements in the directors, report included within the Trustees. report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion". adequale accounting records have not been kept. or returns adequate for our audit have not been received from branches not visited by us., or the financial ststements are not in agreement with the accounling records and relums. or certain disclosures of trustees. remuneration spectfied by law are not made- or we have not received all the infomation and explanations we require for our audtt: or the Trustees were not enti(led to prepare the finanal statements in accordance with the small companies regime and take advantage of the small companies. exemptions in preparing the Trustees, report and from the requirement to prepare a strategic report. Rèsponsibilities of Trustees As explained more fully in the statement of Trustees, responsibilities, the Trustees, who are also the directors of the Trust for the purpose of company law, are responsible for the preparation of the financial statèments and for being satisfied that they 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 misstalement. whether due to fraud or error. In preparing the financial statements. the Trustees are responsible for assessing the Trust's abilily to continue as a going concem, disclosing, as applicable, matters related to going conrn and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to ¢ease operations, or have no alistic alternative bul to do so. Auditorfs responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance aboul whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditols report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAS IUIQ will always detect a material misstalement when il exisls. Misstatements Can arisè from fraud or error and are ¢onsidered material rf, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial stalemenls. The extent to which our procedures are capable of detecting irregularities, induding fraud, is detailed below. Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud The objectives of our audit in respect of fraud, are., to identify and assess the risks of material misslatemenl of the financial statements due to fraud,. to obtain sufficient appropriate audtt evidence regarding the assessed risks of material misstatement due to fraud. through designing and implementing appropriate responses to those assessed risks,. and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and deteGtion of fraud rests with both management and those Gharged with governance of the charitable company.
THE TOWELL BUILDING TRUST LIMITED INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MEMBERS OF THE TOWELL BUILDING TRUST LIMITED Use of our report This report is made solely to the charitable company's members. as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibilty to anyone other than the charitable company and the charitable company's membèrs as a body. for our audit work. for this report. or for Ihe opinions we have formed. k.s,JX 4 Dr R I Peters Gallagher OBE FCA (Senior Statutory Auditor) for and on behalf of Moore IN.I.I LLP Chartered Accountants ststutory Auditor 4th Floor Donegall House 7 Donegall Square North Belfast BT15GB 11
THE TOWELL BUILDING TRUST LIMITED BALANCE SHEET AS AT31 DECEMBER 2022 2022 2021 Notes Fixed assets Tangible assets Investments 12 13 1.545.679 415,252 1,618,500 441,831 1,960,931 2.060.331 Current assets Debtors Cash at bank and in hand 14 63,802 292,616 70,705 273.477 356,418 344,182 Creditors: amounts falling due within one year 17 {395.448) (423,731) Net current liabilities (39,0301 (79,549) Total assets less current liabilities 1,921,901 1,980.782 Creditors: amounts falling due after more than one year {74,742) (148,002> Net assets 1,847,159 1,834,780 Income funds Restricted funds Unreslricled funds - general 117,019 1,730.140 121.584 1.713.196 1,847,159 1,834,780 These financial slatements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. The accounts were approved by the Trustees on ........ . ........ Lkn Mr D.G. Galbraith Trustee Mrs M. Guiler Trustee Company Registration No. N1003511 13-
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022 Accounting policies Charity information The Towell Building Trust Limited is a private company limited by guarantee incorporated in Northem Ireland. The registered Offi is 4th Floor Donegall House. 7 Donegall Square North, Belfast, BT15GB. 1.1 Aecounting convention The accounts have been prepared in accordance with the Trusl'5 Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities- Slatemenl of Recommended Practice applicable to ¢harities preparing their accounts in accordan with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102)° (as amended for accounting periods commencing from 1 January 2016). The Trust is a Public Benefft Entty as defined by FRS 102. The financial stslements are prepad in sterling, which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £. 1.2 Going concem At the time of approving the financial statements. the Trustees have a reasonable expeclalion that the Trust has adequate resources lo Continue in operational exislence for the foreseeable future. Thus the Trustees Continue to adopt the going concem basis of accounting in preparing the financial statements. 1.3 Charitsble funds Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objective$. Restricted funds are subject to specific ¢onditions by donors as to how they rnay be used. The purposes and uses of the strIcted funds are set out in the notes to the financial statements. Endowment funds are subject to spectfic conditions by donors that the capital must be maintained by the Trust. 1.4 Incoming resources Income is recognised when the Trust is legally entitled to it after any perfomian¢e Conditions have been met, the amounls can be measured reliably. and il is probable that income will be received. Cash donations are recognised on receipt. Olher donations are recognised once Ihe Trust has been notified of Ihe donation, unless perfomiance conditions require deferral of the amount. Income tsx recoverable in relation to donations reiVed under Gift Aid or deeds of covenant is recognised at the time of the donation. Legacies are recognised on reipt. 15-
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 Accounting policies (Continued) 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 asset5 classifsed as receivable within one year are not amortised. Basic financial liabilities Basic financial liabilities, including credttors and bank loans are intlially recognised at transaction price unless Ihe arrangement constitutes a financing transaction. where the debt instrument is measured al the present value of the future payments discounted at 2 market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carrted at amortised cost, using the effective interest rate melhod. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are dassified 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. Derecognitlon of financial liabilities Financial liabil¢lies are derecognised when the Trust's contractual obligations expire or are discharged or cancelled. 1.11 Employee benefits The cost of any unused holiday entttlement is recognised in the period in which the employee's services are received. Temination benefits are recognised immediately as an expense when the Trust is demonstrably committed to terminale the employment of an employee or to provide temination benefits. 1.12 Retirement benefits Payments to defined contribution retirement benefft s¢hemes are charged as an expense as they fall due. Crltical accounting estimates and judgements In the application of Towell Building Twst Limtted's CThe Trusfs,) accounting policies, the Trustees a required to make judgements, estimates and assumptions about the carying amount of assets and liabilities thal a not readily apparent from other SoUrs. The estimales and associated assumptions are based on hislorical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimales and underlying assumptions a reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both ¢urfent and fvture periods. 17-
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 Investmentslincome Unrestricted Restricted funds funds general Totsl 2022 Total 2021 Dividend income Bank interesl receivable 13,727 919 4,596 18,323 919 21,225 967 14,646 4.596 19,242 22,192 For the year ended 31 December 2021 17.898 4,294 22,192 Charitable activtties Provision of charitable serrfices Support costs Totsl 2022 Total 2021 Staff costs Depre¢ialion and impairment Other direct costs other overheads Audit & accountancy Bank interest and charges 1,764,180 126,883 249,426 549.293 6.400 10,728 673,998 2,438,178 126,883 249,426 549,293 6,400 10,728 2,277,252 159.062 218.517 510,782 5,850 18,692 2,706,910 673,998 3,380,908 3,190,155 2,706,910 673,998 3,380,908 3,190,155 Net movement in funds 2022 2021 Net movement in funds is stated after chargingl(crediling) Fees payable to the company's auditor for the audit of the company's financial statemenls Depreciation of owned langible fixed assets 5,850 126,883 5.850 159,062 Trustees None of the Trustees (or any persons connected with them) re¢1Ved any remuneration or benefits from the Trust during the year. (2021 none.) 19-
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 11 Net gainsl(losses) on investments Unrestricted Restricted funds funds general Totsl 2022 Total 2021 Revaluation of investments Loss on sale of investments (14,436) (3,3391 (271 (14,7071 13.3391 31.409 1,136 (17,775) (271) {18,046) 32,545 For the year ended 31 De¢ember 2021 23,803 8.742 32.545 12 Tangible fixed assets Freehold land Fixtures and and buildiny$ rittings Sensory Garden Caphal Total Cost At 1 January 2022 Additions 2.195,522 1,728,936 22.969 31,094 57,307 3,981,765 54,063 At 31 Dernber 2022 2,218.491 1,760,030 57,307 4,035,828 Depreciation and impairnient At 1 January 2022 Depreciation charged in the year 764,642 1,541.317 43,370 83,513 57,307 2,363,266 126,883 At 31 December 2022 808,012 1,624,830 57,307 2,490,149 Carrying amount At 31 Dember 2022 1,410,479 135.200 1,545,679 At 31 December 2021 1.430,880 187.620 1,618,500 21
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 15 Financial instruments 2022 2021 Carrying amount of financial assets Debt instruments measured at amortised cost Instruments measured at fair value through profit or loss 32,181 415,252 46,245 441.831 Carrying amount of financial liabilities Measured at amortised cost 422,301 507,562 16 Loans and overdrafts 2022 2021 Bank overdrafts Bank loans 3,107 145,944 4,173 214,350 149,051 218,523 Payable within one year Payable after one year 74,309 74,742 72,521 146.002 17 Creditors: amounts falling due within one year 2022 2021 Notss Bank loans and overdrafts Other taxation and social security Trade creditors Other creditors Accruals and deferd income 16 74,309 47,889 80,599 4,538 188,113 72,521 62,171 162,207 1,415 125,417 395,448 423,731 18 Creditors: amounts falling due after more than one year 2022 2021 Notes Bank loans 16 74,742 146.002 19 Retirement benefit schemes Defined contribution schemes The Trust operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Trust in an independenily administered fvnd. The charge to profft or loss in respect of defined contribution schemes was £91,402 (2021- £82,600). -23-
THE TOWELL BUILDING TRUST LIMITED NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022 24 Cash generated from operdtions 2022 2021 Surplus for the year 12.379 25,034 Adjustments for-. Investment income recognised in statement of financial activities Lossl(gain) on disposal of investrnents Fair value gains and losses on inveslments Depreeiation and impairmenl of tangible fixed assets {19.242) 3.339 14,707 126,883 122,192) (1,136) {31,409) 159,062 Movements in working capitsl: Decrease in debtors {Decreasel in creditors 6,903 130,D71) 31,876 119,694 Cash generated from operations 114,898 280,929 25 Auditors. Ethical Standards In common with many businesses of our size and nature we use our auditors to assisl with the compilation of the statutory financial statements. -25-