Chailty registration number NIC107866 THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWNAND CONN0 AND DROMORE ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE CONTENTS Page Charity information Governors, report Independent oxaminerfs report Statement of finandal activltles Balance sheet Notes to Ihe financial statements 10-15
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE LEGALAND ADMINISTRATIVE INFORMATION Governors Ex-officio Governor(s) The Bishop of Down and Drom0. The Right Reverend D A Mcclaf (whalr) The Bishop of Connor. The Right Reverend G T W Dawson. {CChaIr) Clerical Representative Govemors Down: The Revd C Darling until June 2023 Connor: The Rev DrA P Campbell. The Rev Brian Lacef from June 2023 Dromore: The Venerable T R West until June 2023 The Rev S Cooke" from June 2023 Lay Representative Governors Down.. Mr J E 8unting until June 2023 Connor: Mr N R Boll Mr R Gilberf until June 2023 Dromore.. Mr S Cassells. Honorary Troasurer Mr N R Bolt Honorary Secretary Mr J E Bunting until June 2023 The Rev DrA P Campbell Irom June 2023 "Governors marked an asterix are Trustees ftlr purposes of compllance with the Charity Commk8slon of Northern Ireland.
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE LEGAL AND ADMINISTRATIVE INFORMATION HMRC Charlty number NIC107866 Nl Charfty number 107866 Indepondent examlner Moore (N.I.) LLP 4th Floor Donegall House 7 Donegall Square North Belfast BT1 5GB Bankern AIB 35 Unlv8rsity Road Belfast BT7 1ND Sollcltors Edwards & Co Sollcitors 28 Hill Street Belfast 8T1 2LA
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE GOVERNORS. REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Govemors present their annual report and financial statements for the year ended 31 December 2023. The financial ststements have been prepared in accordance with the accounting poliaes set out in note 1 to the financial statements and comply with the Charitie5 Act (Northem ITeland) 2008 & 2013 and "Accounting and Reporting by Charthes.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and Repubfic of Ireland (FRS 1021 (effective 1 January 2019)". Objectives and activitips The principal objective of the chafity is to manage the property and financial ass8ts vested wth il as educational endowments, arising from the transfer to il of parochial school properbes within the present dioceses of Down and Dromore, and Connor. Proceeds from the disposal of redundant school properties are held upon trust by the Charity, and the net income therefrom is transferred annualty to the respective parishgs under the ternis of the scheme. The maln activities of the charity remain urtchanged since last year. Public Benefft The expression of the precepts of Ihe Christian religion through engagement with the public, and in particularfy by way of promoting religious education, is a public benefft. This can be measured and emdenced through increased social integration and pasloral care especially of the young. The direct benefits of this element of religious life include the encouragement of learning, the promsion of premises for soaal and religious purpose$. community cohesion through church based organisations an(i improved edueAtional outcomes. The beneficiariès are the general public as eVIdend by social and intei4enominational organisations and church members through the provision of religious education at all levels and indeed for all ages. Any private benefit arising out of the futfilment of this religious educational ministry is essential lo the fulfilment of the purpose of the charity. No trustee receives remuneration, reward or other privale benefit for carrying out their INstee responsibility with the exception of one Ccpopted trustee and secretarial staff who help with the provislon of financial and other services through the agency of a separate b¢)dy to which the charity makes payment. The Governors have paid due regard lo guidance issued by the Charity Commisslon in deThding what actlvltles the Charity should undertake. Achievements and performance SignifiG8nt activities and achievements against otyecbves The Governors continued to review all operating and financial pr0dureS. The Charity completed an active year with net incorne of {£167.060 (2022: net expendtture of £430,707). As the Charity makes no direct use of the propertres impressed with it under Scheme 89. the parishes, being responslble as beneficial users, are qUired to insure. maintain and develop the properties for their own needs. Accordingly, the Govemors have decided it is not appropriate to apply a depreciation sum on any of Ihern and thus have allocated a rate of depreCIatn of 0% per annum. The basic value is established by insurance replacement values or govemor's estimates. Dividend Income decreased by £9.603 or 8%. Donations from parishes increased to £550 (2022: £257). Unre51ricted charitable expendrture increased by £6.185. Core administration costs increased to £4,345 (2022= £640). Governance costs decreased to £1.620 (2022." £2,511).
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE GOVERNORS. REPORT (CONTINUED> FOR THE YEAR ENDED 31 DECEMBER 2023 Flnanclal rovlew The Ilnancial slatements are presented in the standard format required by the Accounting and Reporting by Charities.. Slalemenl of Recommended Practice applicable to charities preparing th8ir ac£ounls in accordance with Flnancial Reporting Standard 102. The Statemenl of Financial Activits'es (SOFA) Shows the gros5 income from all sources. Going concern At Ihe time of approving the financbal statements, the Govemors have a reasonable expectation that th8 Charity has adequate resources lo continue in op8ralional existence for the foreseeable future. Thus the Govemors continue lo adopt the going concern basis of accounting in preparing the finanGial statements. R8S8ryes pollcy The charity's dedafed unrestricted reserves at 31 December 2023 were £569,324, 11 Is lfve charity's policy not lo maintain unrestricted revenue reserves greater than 100% of actual resoufces expended in any nomial year. The Boafd noles that of ils stated unrestricted reserves of £569,324, £25,657 consists of unrealised gains on inv8Sted capltal. an uncertain base which may not be relled upon in difficull economic fAIGtsmstanGes. Inv8slmentpolicy Wlh the excepllon of certain unrestrl¢ted r8serves. the vast bulk of investment assets are held for feslricled ITU5ts normally arlsing from Ihe proceeds of sale of redundanl school properties. Almost all inv851ment assets are held by Church of Ireland Trustees. They are actlvely managed by Sarasln & Partners LLP of London and regular performance reports are given to the Board. Major risks Rlsk managemont The governors keép undar review the major rtsks, to whlth the charity may become exposed. in particular those relating to the finances of the charity. and are satisfied that appropnate systems are kept in place lo mlllgale exposure lo such major risks. AS part of this slr8tegy, investmonl assets were reinvesled in Church of Ireland Trustee unils In 2015 which provides a pooled investment structure consisting for the greater part of equities and bonds, and designed to prode a Combination of capital and Income growth. Pl•n• for futurn P•TlodJ The governors intend that the charity shall continue with Its existing policy of goveming and managing those assets with whlch it Is Impressed. The process of registration wilh the Charities Commission for Northem Ireland was completed on the 15th February 2021, with the Charity registered under the name "The Parochial Schools of th8 Dioceses of Down and Connot, and Dromore" Structuro, govemance and management The charity Is a body corporate framed under the Educatlonal Endowments {Ireland) Act 1885 which established, under Scheme 89 of thal Act. a 5truclure for the government and management of the parochial Schools of the dioceses of D¢)wn and Connor. and Dromore. Scheme 89 was given f5nal approval by the Lords Justices General and General Governors of Ireland wrth the consent of the Privy Council in Ireland at Oublin Castle. on the 6th N¢)vember. 1893. The charity is managed by a Goveming Body, establSshed undef Scheme 89, consisting of of two ex-officio Govemors-The Blshop of Connor and Thè Bishop of Down and Dromore. Clerical Represenlalive Govemors and Lay Represenlalive Gov8mors from each diocese. elected by diocesan synods. and up lo four co-opted Governors. Th8 Governing Body meets approximalely four tsmes per annum. Day lo day administration is managed through the Executive Secretary, Assistant Secretary and other governors as required. The members of Ihe Govemlng Body as al 31st December 2023 are as oulllned bek)w:
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWNAND
CONNOR, AND DROMORE
GOVERNORS, REPORT {CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
Ex-officio Govemorls)
The Bishop of Down and Dromor?: The Right Revend D A M¢Clay' (co
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE GOVERNORS. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 The Govemors, report was approved by the Board of Governors.
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE INDEPENDENT EXAMINER'S REPORT TO THE GOVERNORS OF THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE I report on the financial statements ol the Charity for the year ended 31 December 2023, which are set out on pages 8 to 15. Respective regponsibilities of Governws and examiner A5 the charity's Trustees you are responsible for the preparation of the accounts in accordance with the Charities Act (Northem Ireland) 2008. In accordance with the temis of our erlgagement, and to assist you to fulfil your duties under the relevant diarity laws and regulations, I have compiled the financial statements of The Down and Connor. and Dromore Oiocesan Board of Education for the year ended 31 December 2023, set out on pages 8 10 15, from the accounting records and infonnation and explanations you have given to me. It is my responsibility to: examine the financial statements under seciion 65 of the Charities Act <iiy follow the proGedures laid down in the general Directtons given by the Charity Commission under section 65(9)(b) of the Charity Act ISI) state whether particular matters have come to my attention. Basis of independent examlnerfs rnport I have examined your charity accounts as required under section 85 of the Charities A¢t and my examinatlon was carried out In accordance with the general Diredions given by the Charity Commission for Northem Ireland under section 65(9)(b) of the Charities AGt. My examinalioll included a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also included consideration of any unusual items or disdosures in the accounls and seekin9 explanations from you as charity Trustees conceming any such matters. My role is to state wh8ther any material matters have come to my attention gmng me cause to believe.. 1. That accounting records were not kept in accordance with section 63 of the Charities Act 2. That the accounts do not accord wtth those accounting records 3. That the accounts do not comply with the accounting requirnents of the Charitles Act 4. That there is fvrther information needed for a proper understsnding of the accounts to be reached. Independent examinerfs statement I have completed my examination and have no con¢xms in respect of the matters (1) to (4) Ilsted above and, In connection with foll¢)wing the Directions of the Charity Commission for Northem Ireland, I have found no matters that require drawing to your attenb'on. s f£ lJWr- Dr R I Peters Gallagher OBE FCA For and on behalf of Moore (N.I.) LLP 4th Floor Donegall House 7 Donegall Square North Belfast BT15GB
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 DECEMBER 2023 Unrestrlcted Restrictod fund$ funds 2023 2023 Totsl Unrestrlctsd Restrlcted funds funds 2022 2022 Total 2023 2022 Not•s come Donations Investments 550 550 109,725 257 4,272 2S7 119,328 109.725 115,058 Total incornè 550 109.725 110,27S 4.529 115,056 119,585 Ex ondlture Charitable activities 10,494 94,483 104,977 4.310 103,830 108,140 Net galns (losses) on Investments 18.915 142,847 161,762 (8,852) (433,300) (442,1521 N•1 movem•nl In funds 8,971 158.089 167,060 (8.833) 1422.0741 1430,7071 Fund balances at 1 January 2023 580.353 16,277,455 16,B37,808 568,986 16,699,529 17,268.616 Fund balancos at 31 Dgcember 2023 569.324 16,435.544 17,004,868 560,353 16,277,455 16,837,808 The statement of financial activitiW4 includes all gains and losses recognised in tho year, The statement of financyal aotivilies includes all gains and losses focognlsed In th8 year. Al income and expen¢Jlture derive from continuing adivilies,
THE PAROCHIALSCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE BALANCE SHEET ASAT31 DECEMBER 2023 2023 2022 Notss Flxed assets Investment properties Investments 13.133,556 3.768,507 13,179,992 3,607,677 Current assets Cash at bank and in hand 16,902,063 16,787,669 107,802 66,247 Credltors: amounts talling du? withln one year 10 14,9971 (16.108) Net current assets 102.806 50.139 Total as$ets le$8 current liablllties 17,004.868 16,837,808 Incorne funds Restricted fijnds Unrestrided funds 11 16A35,$44 569,324 16,277,455 560,353 17,004,868 16,837,808 The flnancial statements were approved by the Govemors on ...... ..... Trustee
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 AGcountlng pollcle8 Charity Information The Parochial Schools OfThe Diocese$ Of Down And Connor, and Dromore is a registered charity. 1.1 Accountlng convontion The finandal ststernenls are prepared in accordance wllh Accounting and Reporting by Charities: Slalement of Recommended Practice applicable to charities preparing their accounts in accordanc8 with Flnancial Reporting Standard 102. The financial 51atemenls have been prepared under the historical cost convention, modified lo include the revaluation of freehold properties and lo include investmenl properties and certain finanaal In$tfuments at fair valu8. The principal accounting polici8s adopted are sel out below. 1.2 Golng Concom Al the lime of approving Ihe financial statements. Ihe Govemors have 8 reasonablo expectatlon thal the Charrty has adequate reSoUrS lo continue in operational exislence for the foreseeable future. Thus the Governors continue lo adopt the golDg concem basis of accounling in preparing the financial 8tatemgnts. 1.3 Charftsble fund8 UnreslriGte¢J funds are available for use at the discretion of tho Governors in furtherance of Ihair charitable objectSves. Restricleé funds are those donated for use In a partlcular area or lor spéclfic purposas, tha use ol whlch is reslncted to Ihal area or purpose. Endowment fund$ are sublecl to specific conditions by donofs that the capital must be maintained by th• Charity. 1.4 Incomo All Incomlng resources are Induded in the statem8nt of finandal 8Ctivities when the Chartty is enlilled to the Income and the amount can be quantified with reasonable accuraty. The following specific polldas are applied lo particular categorles of income,. Voluntary Income is received by way of donations and gift5 and is Induded in full in the Statem8nt of FinaneAal Activities when re¢elvabie. Investment incomo is included when receivable. 1.6 Expgndlture Charitable actiwties expendibjre is recognised on an accruals basis as a liability 15 incurred. Governance costs include those incurred in the govemance of its assets and are primarily associated with conslllutional and statutory requirements. 10-
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWNAND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting policies (Continued) 1.6 Investrnent propety Buildings are slated al cost, except for those buildings which were not captsfised until many years after being acquired. Their original c051 could not be ascertained and a reasonable estimate of Iheir value to the charity had been used. 8uildlngs are not depcIated as the Board is of the opinion that both the depreciation charge and the accumulated depreciation are nol material because the estimated residual value (based on reasonable estimates of their current value when recognised in the financial statements) of the assel is not materially different from the carrying amount of the asset. The buildings are subject to an annual impairment review. 1.7 Fixed asset investments All income from investrft8nts is aco)unted for on an acuuals basis. Deposit interest recetvable. expenses and interest payable are accounted for on an accruals basis. Listed investments comprise those quoted on Stock Exchange. 1.8 Cash and cash equlvalents Cash and cash equivents indude cash in hand, deposits held at call with banks, other short-term liquld Investrients with ortginal maturities of three months or less, and bank overdrafts. Bank ovèrdrafts are shown within borrowings in ojrrenl Ilabililies. 1.9 Employfte banefits The cost of any unused hoilday entitlement18 recognised in the period in whith the employee's servlces ara received. Termlnation benefrts are recognised immediatew as an expense when the Charity is demonstrabty committed to terminate the employment of an employee or to provide termination beneffts. Critical accounting estimates and Judgements In the applicatlon of the Charity's accoun1ing polides, the Govemors are required lo make judgements estimates and assumption5 about the carrying amount of assets and liabilities that are not readily apparent from other Sour$. The estimates and associated assurnptions are based on historical experience and other factors that are considered to be relevanL Actual results may differ from thèse eslimates. The estimates and underlying assumptions are reviewed on an ongoin9 basis. Revisions to aCUnting 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 period5 where the revision affects both currenl and future periods. 11
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Expenditure on charltable aetlvltie8 Unrestricted Restricted Funds Funds 2023 2023 Total Unrèstrlcted Re8trfctod Funds Funds 2022 2022 Total 2023 2022 Dlrect costs Parochial dividends Administr8live-. core G051s Adminlstr8tive: sundry costs Student grants 94,483 94,483 103.830 103,830 640 4,345 640 169 4,360 169 4,360 159 1,000 159 1,000 8.874 94,483 103.357 1.799 103,830 105.629 Share 01 support and govern•nGO co3ts18oe nots 4) Governance 1,620 1.620 2,511 2,511 10,494 94,483 104,977 4.310 103,830 108,140 Analysls by fund Unr&stri¢lÈd funds Raslricted funds 10,494 10,494 94,483 4,310 4,310 103,830 94,483 103,830 10.494 94,483 104,977 4.310 103,830 108.140 Support costs Support Govomanc• Costs costs 2023 Support Governanc• costs costs 2022 Independent examination fees Legal and professional 1.620 1.620 1,620 891 1,620 891 1,620 1,620 2,511 2,511 Analysed beeen Charitsble activities 1.620 1.620 2,511 2,511 Governance costs indudes payments to Ihe independent examiner of £1,620 (2022- £1,620) for Independenl examinalion fees. Governors None of the Governots (or any persons Gonnect&J wilh Ihem) received any remuneration or benefits from the Charlly during the year. 12-
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWNAND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMETrtrs (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Net galnsl(lossesl on investments Unrestricted Restricted funds funds Total Unrestricted Restricted funds funds Total 2023 2023 2023 2022 2022 2022 Revaluation of investments Loss on sale of investment properties 18.915 141.915 160.830 (8,8521 (433,300) (442.152) 932 932 18,915 142,847 161.762 (8,852) {433,300) (442,1521 Taxation The charity is exempt frorn taxation on its activities because all its income Is applied far charitable purpcsgs. Investrnent propety 2023 Fair value Al 1 January 2023 Disposals 13,179.992 (46,436) Al 31 December 2023 13,133,S56 Flxed asset investments Unlisted Invesiknents Cost or valuation At 1 January 2023 Valuation changes 3.607,677 160,830 At 31 December 2023 3.768,507 Carrying amount At 31 December 2023 1768,507 At 31 December 2022 3,607,677 13-
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 10 Creditors: amounts falllng due withln one year 2023 2022 Other creditors 4.997 16,108 11 Rastrl¢ted fvnds The restricted funds of the charty comprise the unexpended balances of donations and grants held on trusl Bubje¢l to speclfic conditions by donor$ as to how they may be used. Incomlng Resources rosources Oxpondgd At 1 January 2023 Galns and losses At31 December 2023 16,277,4SS 109.725 194,483} 142.847 16,435,544 Pr•vlou¥ year: At1 January 2022 Incomlng r¢$ourteg Resources xpended Gains and loss•9 At31 December 2022 16,699.529 115.056 (103,8301 <433.300) 16,277,455 12 Unro8trfcted funds The unreslrlcted funds of the charity comprise the unexpended balances of donations and grants which are not subject lo specific condSllons by donors and 9ranlors as to how they may be used. These Include designated funds which h8ve been set aside out of unTestrictsd fvnds by the Irustees for specifi¢ purpose8, Resources Galns and At31 oxpendèd losses Decembor 2023 At 1 January 2023 Incomlng iesour¢o4 General funds 560.353 550 110,4941 18,915 569,324 Provlous year: At l January 2022 InGomlng rosources Resource* expended Gaing and loss89 At31 December 2022 General funds 568,986 4,529 (4,310) (8,852) 560.353 14-
THE PAROCHIAL SCHOOLS OF THE DIOCESES OF DOWN AND CONNOR, AND DROMORE NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 13 Analysls of net assets beiween funds Unresti7¢ted Restricted funds funds Total Unrestricted Restrl¢ted funds funds Total 2Q23 2023 2023 2022 2022 2022 Fund balan5 at 31 De¢ember 2023 are represented by.. Investrnent properties Inveslments Current assetsl{liabilities) 13.133.556 3.768,507 99,848 13,133,556 3,768.507 102,805 13.179,992 13,179,992 545,109 3.062.568 3,607,677 38,913 11.226 50,139 2.957 17,001.911 2.957 17,004,868 584,022 16,253,788 16,837.808 14 Related party transactlons The Governors of the chaiity are affiliated wlth the varlous Parfshes the Board repsentS. By nature this makes them related parties. However there are no transactions entered into with the individual parishes other than the dividends paid to them on their investments. The58 dividends are a representative share of tle individual Parish's investment with the charity and as such there is no judgement in its ¢alwlation. 15-