MORNING STAR HOUSE INDEPENDENT AUDITOR'S REPORT TO THE MANAGEMENT COMMITTEE OF MORNING STAR HOUSE Opinion We have audited the financial statements of Morning Star House (the 'charty') for the year ended 31 March 2023 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framewcfk that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Stand8rd applicable in the UK 8nd Republic of Iraland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements.. give a true and fair view of the state of the charity's affairs as at 31 March 2023 and of its incoming resources and application of resources, for the year then ended- have been properly prepared in accordance with United Klngdom Generally Accepted Accounting Practice; end have been prepared in accordance with the raqulrements of the Charities Act (Nl) 2008. Basls for oplnlon We conducted our audit in accordance with International Standards on Auditing (UK) {ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors responsibilities for the audil ol the financial st8tements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial stalements in the UK, including the FRC'S Ethical standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit eviden we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions relatlng to golng concern In auditing the financial statements, we have concluded that the Management Committee use of the going concern basis of 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 charty's ability to continue as a going concern for a period of at least e1ve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Management Committee with respect to going c(CeM are described in the relevant sections of this report. Other Inforniatlon The other information comprlses the information included In the Directors, Report, other than the financial ststements and our auditor's report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other Information and, except to the extent otherwise expllcitly state(i in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other informatlon and, in doing so, consider whether the other information is materia51y inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misststements, we are required to determine whether there is a mat8rial misstatement in the financial statements or a material misstatement of the other infomiation. 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.
MORNING STAR HOUSE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MANAGEMENT COMMIThEE OF MORNING STAR HOUSE Matters on which we are requlred to report by exception We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulats'ons 2008 require us to report to you rf, in our opinion= adequate accounting records have not been kept or retums adequate for our audit have not been r1Ved from branches not visited by us- or the financial statements are not in agreement with the accounting records and retums,. or the financial statements are not in agreement with the accounting records and retums,. or we have not received all the information and explanations we require for our audit. Responslbllltles of Management Commlttee As explained more fully In the statement of Management Committee responsibilities. the Management Committe8 are responslble for the preparation of the financial statements and for being satisfied that they give a true and falr view, and for such internal control as the Management Committee determine is neSSary to enable the preparats'on of financial statements that are free from material misstatem8nt, whether due to fraud or eor. In preparlng the financial statements, the Management Committee are responsible for assessing the charity's abllity to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concem basis of accounting unless the Management Committee either intend to cease operations, or have no realistic alternative but to do so. Audltorfs responslbllltles for the audlt of the flnanclal statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement. whether due to fraud or error, and to issue an auditorfs report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audrt 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 8conomic decisions of users tsken on the basis of these financial statements. A further description of our responsibilities is available on the Financial Reporting Council's website at= https-11 www.frc.org.ukjauditorsresponsibilities. This description forms part of our auditols report.
MORNING STAR HOUSE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MANAGEMENT COMMirrEE OF MORNING STAR HOUSE Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: the engagement partner ensured that the engagement team collectively had the appropriate competen, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. we identified the laws and gUlationS applicable to the company through discussions with directors andlor senior management. and from our commercial knowledge and experience of the sector,. We focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including Companies Act 2006, taxation legislation, data protection, anti-bribery, employment. environmental and health and safety legislation we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence", and identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the suscaptlblllty of the company's financlal statements to material mlsstatement, including obtalnlng an underslanding of how fraud might occur, by.. making enquiries of management as to where they consldered there was susceptlbllty to fraud, thelr knowledge of actual, suspected and alleged fraud., and considering the intemal controls in place to mitigate risks of fraud and non-compliance with laws and regulations., To address the risk of fraud through management bias and override of controls, we= perfomied analytical procedures to identify any unusual or unexpected relationships., tested journal entries to identify unusual transactions., assessed whether judgements and assumptions made in determining the accounting estimates set out in Note 2 were indicative of potential bias; and investigated the rats'onale behind significant or unusual transactions., In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: agreeing financial statement disclosures to underlying supporting documentation., reading the minutes of meetings of those charged with governance; enquiring of management as to actual and potential litigation and claims. and reviewing correspondence with HMRC and the company's legal advisors; There are inherent Ilmitations in our audit procedures described above. The more removed that laws end regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. Your attention is drawn to the fact that the charty has prepared financial statements 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 th8 UK and Republic of Ir8land (FRS 102)" {as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn. This has been done in order for the finanaal statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice.
MORNING STAR HOUSE INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE MANAGEMENT COMMITTEE OF MORNING STAR HOUSE This report Is made solely to the Gharity's tmstees, as a body. in accordanea with part 4 of the CharitS8s (Accounts and Reports) Regulations 2008. Our audlt work has been undertaken so that we might state to the charity's trustees those matters we ar8 required to stste to them in an audllor's report and for no oth8r purpose. To the fullest extent pemltted by law, we do not accept or assume responsibility to anyonè other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed. Angola Cralgan {S6nior Statutory Audhor} for and on behalf of Harblnson Mulholland Chartered Accountants Statutory Audltor Centrepoint 24 Ormeau Avenue Belfast Co. Antrim Northem Ireland BT2 8HS Harblnson Mulholland Is eligible for appointment as audltor of the charlty by virtue of Its eligibility for appointment as audltor of a company under of sectlon 1212 of the Companle5 Act 2006.