## **Evangelical Housing Association Limited**
## **Report and Financial Statements**
**31 December 2024**
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**Evangelical Housing Association Limited**
## **REPORT AND FINANCIAL STATEMENTS 2024**
|**CONTENTS**|**Page**|
|---|---|
|**Legal and administrative details**|**3**|
|**Report of the Committee**|**4**|
|**Independent Auditors' report to the members**|**6**|
|**Income and expenditure account**|**9**|
|**Balance sheet**|**10**|
|**Notes to the financial statements**|**11**|
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**Evangelical Housing Association Limited**
## **LEGAL AND ADMINISTRATIVE DETAILS**
## **CONSTITUTION**
Evangelical Housing Association Limited is registered:
1. under the Co-operative and Community Benefit Societies Act 2014. The registration number is 21575R.
2. with the Scottish Charity Regulator, registration number SC053267, from 9 April 2024.
## **COMMITTEE OF MANAGEMENT**
The members of the Committee of Management who served throughout the year or as otherwise disclosed herein are as follows:
## **REGISTERED OFFICE**
41 The Point Market Harborough LE16 7QU
## **BANKERS**
The Co-operative Bank Kingdom Bank
## **AUDITORS**
George Arthur Chartered Accountants & Registered Auditors Suite 6B, Wentworth Lodge Great North Road Welwyn Garden City Hertfordshire AL8 7SR
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**Evangelical Housing Association Limited**
## **REPORT OF THE COMMITTEE**
Members of the Committee present their annual report and the audited financial statements for the year ended 31 December 2024.
## **POLICY**
The chief aim of the Association is to provide accommodation for retired ministers and missionaries and other Christian workers and to offer advice and assistance to churches and other Christian organisations who have their own housing projects.
## **ACTIVITIES**
The Association made an operating surplus after depreciation of £247,938 (2023: £58,035), and donations and legacies, for which the committee is profoundly grateful, amounted to £3,235 (2023: £2,288).
The surplus for the year of £247,938 has been added to the surplus brought forward.
The Association has no staff and operates through the voluntary contribution of time by the members of its Committee of Management. The Committee meets at least three times each year and members visit all tenants each year to ensure that the properties are maintained to a high standard. Management expenses were restricted to £13,105 (2023: £10,992) as detailed in the financial statements.
The committee agreed to bring in administration resource to assist the committee and we are very grateful that a member of staff from FIEC was seconded to help from the second half of 2023 until the end of December 2024
## **REVIEW OF THE YEAR AND FUTURE DEVELOPMENTS**
The Committee continues to receive applications for assistance from ministers and other full-time Christian workers who are about to retire and seeks to assist them with advice, and where possible, rented accommodation.
One new property was purchased during the year and two properties was sold.
The Association has £441,672 (2023: £217,395) of cash resources at the end of the year.
The Committee anticipate that the Association’s current financial position means that it can provide another two properties in the short-term – and the first of these property purchases was completed on 9 May 2025. Beyond the provision of these two new properties, the Association will continue to endeavour to meet housing needs when they arise, but donations, grants and legacies will continue to be needed to enable this, alongside new bank borrowing. Gifts can be made through the Gift Aid scheme by those who pay income tax.
The Association registered as a charity with the Scottish Charity Regular on 9 April 2024 – so that it can provide rented accommodation in Scotland.
## **HOUSING SCHEMES UNDER MANAGEMENT**
A total of twenty-one homes were being managed at the end of the year, as detailed in the notes to the financial statements.
## **COMMITTEE MEMBERS**
Members of the Committee of Management shown on page 3 have served throughout the year except as otherwise disclosed therein.
was co-opted to serve on the committee on 19 September 2024 and, in accordance with the rules, was not included in “Committee Members”.
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**Evangelical Housing Association Limited**
## **REPORT OF THE COMMITTEE**
## **RESPONSIBILITIES OF THE COMMITTEE OF MANAGEMENT**
The Co-operative and Community Benefit Societies Act 2014 require the Committee of Management to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Association and of the surplus or deficit of the Association for that period. In preparing those financial statements, the Committee are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Association will continue in business.
The Committee of Management are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Association and to enable them to ensure that the financial statements comply with the Co-operative and Community Benefit Societies Act 2014. They are also responsible for safeguarding the assets of the Association and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **AUDITORS**
A resolution to reappoint George Arthur as auditor will be proposed at the forthcoming Annual General Meeting.
For and on behalf of the Management Committee
Chairman
15 May 2025
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**Evangelical Housing Association Limited**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF**
## **EVANGELICAL HOUSING ASSOCIATION LIMITED**
## **Opinion**
We have audited the financial statements of the Evangelical Housing Association Limited for the year ended 31[st] December 2024 which comprise the Income and Expenditure Account, the Balance Sheet and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the Association’s affairs as at 31[st] December 2024 and of its income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Co-operative and Community Benefit Societies Act 2014.
## **Basis for opinion**
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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Association in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and the provisions available for small entities, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the committee of management's 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 Association's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the committee of management with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The committee of management are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, we do not express any form of assurance conclusion thereon.
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**Evangelical Housing Association Limited**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF**
## **EVANGELICAL HOUSING ASSOCIATION LIMITED (** _**continued**_ **)**
## **Other information (** _**continued**_ **)**
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Co-operative and Community Benefit Societies Act 2014 requires us to report to you if, in our opinion:
- the Association has not kept proper books of account, and not maintained a satisfactory system of control over its transactions, in accordance with the requirements of the legislation; or
- the revenue account, any other accounts to which our report relates, and the balance sheet are not in agreement with the Association’s books of account; or
- we have not obtained all the information and explanations necessary for the purposes of our audit.
## **Responsibilities of the committee of management**
As explained more fully in the committee of management’s responsibilities statement set out on page 3, the committee of management is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the committee of management is responsible for assessing the Association’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the committee of management either intends to liquidate the Association or to cease operations, or has no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the financial 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 auditor’s 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 (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 economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below:
- Assessed the level of risk, including fraud risk, on the basis of internal controls and separation of duties and responsibilities;
- Searched the Mutuals Public Register held by the Financial Conduct Authority;
- Reviewed all minutes of meetings held by the committee of management during the year and subsequent to the year end;
- Checked disclosures in accounts as well as clerically together with testing items to supporting documentation and journal entries.
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**Evangelical Housing Association Limited**
## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF**
## **EVANGELICAL HOUSING ASSOCIATION LIMITED (** _**continued**_ **)**
## **Auditor’s responsibilities for the audit of the financial statements (c** _**ontinued**_ **)**
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the Association’s members, as a body, in accordance with section 87 of the Co-operative and Community Benefit Societies Act 2014. Our audit work has been undertaken so that we might state to the Association’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Association and the Association’s members as a body, for our audit work, for this report, or for the opinions we have formed.
George Arthur Ltd Chartered Accountants & Registered Auditors Suite 6B, Wentworth Lodge Great North Road Welwyn Garden City Hertfordshire AL8 7SR
18-07-2025
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**Evangelical Housing Association Limited**
## **INCOME AND EXPENDITURE ACCOUNT For the year ended 31 December 2024**
|**Note**
**INCOME**
Rents receivable
Interest receivable
**EXPENDITURE**
Management expenses
7
Insurance
Repairs and maintenance
Interest on housing loans
Other property costs
Depreciation
Donations and legacies
**OPERATING SURPLUS**
Profit on sale of property
**SURPLUS FOR THE YEAR**
**SURPLUS at beginning of year**
**SURPLUS at end of year**|**£**
13,105
8,297
41,264
32,256
5,316
29,930|**2024**
**£**
134,764
5,536
140,300
130,168
10,132
3,235
13,367
234,571
247,938
3,026,309
3,274,247|**£**
10,992
7,335
38,977
29,091
1,285
28,990|**2023**
**£**
132,861
1,369
134,230
116,670
17,560
2,288
19,848
38,187
58,035
2,968,274
3,026,309|
|---|---|---|---|---|
The notes numbered 1 to 9 form part of the financial statements.
All of the Association's operations are classed as continuing.
The Association has no recognised gains or losses other than the surplus for the year.
There were no movements in reserves other than the surplus for the year.
_Page_ _**9** of_ _**14**_
**Evangelical Housing Association Limited**
## **BALANCE SHEET As at 31 December 2024**
|**Note**
**FIXED ASSETS**
Housing properties at cost less depreciation
3
**CURRENT ASSETS**
Debtors
Short-term deposits
Cash at bank and in hand
**CURRENT LIABILITIES**
Housing loans repayable in less than one year
4
Sundry creditors
**NET CURRENT ASSETS**
**EXCESS OF ASSETS OVER CURRENT**
**LIABILITIES**
Creditors due in more than one year – housing loans
4
**Net assets**
**Financed by**
Share capital
5
Accumulated surplus|**£**
2,577
250,601
191,071
444,249
(33,258)
(11,209)
(44,737)|**2024**
**£**
3,495,921
399,512
3,895,433
(621,175)
3,274,258
11
3,274,247
3,274,258|**£**
937
141,257
76,138
218,332
(32,940)
(10,978)
(43,918)|**2023**
**£**
3,395,658
174,414
3,570,072
(543,752)
3,026,320
11
3,026,309
3,026,320|
|---|---|---|---|---|
The notes numbered 1 to 9 form part of the financial statements.
Signed on behalf of the Committee of Management on 15 May 2025.
_Page_ _**10** of_ _**14**_
**Evangelical Housing Association Limited**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024**
## **1. ACCOUNTING POLICIES**
## **Accounting convention**
The financial statements are prepared under the historical cost convention and in compliance with FRS 102 ‘The Financial Reporting Standard applicable in the UK and the Republic of Ireland’. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are presented in Sterling which is the functional currency of the Association. Monetary amounts in these financial statements are rounded to the nearest £.
## **Donations and legacies**
Donations and legacies are brought into account when received. Donations and legacies received in kind are brought into account when received at their estimated value.
## **Fixed assets - housing properties**
Housing properties are stated at cost less depreciation. Cost includes the purchase consideration, legal fees, loan agreement costs and costs of capital improvements. Purchases and disposals of housing properties are accounted for on the date of exchange of contracts.
## **Depreciation**
No depreciation is charged on freehold land. Depreciation is calculated on each individual freehold property from the date of first occupation of such property by the Association’s tenant on the straight line basis calculated to write off the total cost of purchase and subsequent improvements over the remainder of each property’s useful economic life of 150 years from the date that the property was built. This calculation results in rates between 0.60% to 1.20%.
## **2. CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS**
In the application of the Association’s accounting policies, the Committee of Management are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are 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 current and future periods.
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**Evangelical Housing Association Limited**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024**
## **3. HOUSING PROPERTIES**
|**COST**
**Date of**
**purchase**
Coton Green Tamworth
July 1998
Lancing, West Sussex
Feb 1999
Moreton, Wirral
Oct 2001
Trelawnyd
Sept 2002
Sompting, Lancing
Nov 2004
Whitehill, Bordon
July 2005
Stowmarket, Suffolk
May 2007
St Kentigerns, Aspatria
June 2007
Melksham, Wiltshire
July 2010
Halesworth, Suffolk
July 2011
Evesham
Wantage, Oxfordshire
Jun 2012
Dec 2013
Danesmoor, Chesterfield
Feb 2015
Bridgend, Mid Glamorgan
Paignton, Devon
Aug 2016
Oct 2016
Wem, Shropshire
Nov 2018
Callington, Cornwall
Feb 2020
Rugby, Warwickshire
Apr 2020
Bridgend, Mid Glamorgan
Ipswich, Suffolk
Jul 2021
Aug 2022
Birmingham
Jan 2023
Swindon, Wiltshire
Dec 2023
Edinburgh, Scotland
Jun 2024
**Cost**
At 1 January
Additions in the year
Disposals in the year
At 31 December
**Depreciation**
At 1 January
Charged in the year
Eliminated on disposals
At 31 December
Written down value|**Opening**
**balance**
**£**
69,100
83,956
82,880
71,019
189,922
165,034
171,027
150,916
150,641
159,012
157,213
186,842
100,183
151,429
185,168
226,640
193,223
186,941
171,911
237,339
305,148
271,714
-
3,667,258|**Costs/**
**(disposals)**
**in year**
**£**
-
-
(82,880)
(71,019)
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
174
-
13,818
241,760
101,853
**2024**
**£**
3,667,258
255,752
(153,899)
3,769,111
271,600
29,930
(28,340)
273,190
3,495,921|**Closing**
**balance**
**£**
69,100
83,956
-
-
189,922
165,034
171,027
150,916
150,641
159,012
157,213
186,842
100,183
151,429
185,168
226,640
193,223
186,941
171,911
237,513
305,149
285,532
241,760
3,769,111
**2023**
**£**
3,350,188
576,862
(259,792)
3,667,258
255,730
28,990
(13,120)
271,600
3,395,658|
|---|---|---|---|
|||||
|||||
In the opinion of the Committee of Management, the open market value of housing properties at 31 December 2024 was £5,008,000 (2023: £4,888,000).
_Page_ _**12** of_ _**14**_
**Evangelical Housing Association Limited**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024**
## **4. CREDITORS DUE IN MORE THAN ONE YEAR - HOUSING LOANS**
|Bank loans secured by charge on properties and
repayable by instalments
Unsecured loans from charities
Other unsecured loans
Less: repayable in less than one year|**2024**
**£**
409,703
80,000
165,000
654,703
33,528
621,175|**2023**
**£**
446,692
80,000
50,000
576,692
32,940
543,752|
|---|---|---|
The secured bank loans referred to above are repayable over terms ranging from 5 months to 28 years with interest rates charged thereon ranging between 1.25% to 3.25% above the Bank of England base rate.
An unsecured loan from a charity amounting to £80,000 is repayable upon sale of the property in Swindon. The amount repayable is 29.6% of the net sale proceeds.
An unsecured loan of £50,000 is repayable upon sale of the property in Birmingham. The amount repayable is based on the loan of £50,000 plus £7,000 spent on improvements by the lender and is 18.4% of the net sale proceeds, less a deduction for 18.4% of the maintenance costs since purchase.
A new unsecured loan of £115,000 is repayable upon the sales of the property in Edinburgh. The amount repayable is 47.6% of the net sale proceeds.
## **5. SHARE CAPITAL**
|**SHARE CAPITAL**|||
|---|---|---|
||**2024**|**2023**|
||**£**|**£**|
|Shares of £1 each fully paid and issued|||
|at the beginning and end of the year|11|11|
## **6. PAYMENTS TO OFFICERS AND COMMITTEE MEMBERS**
No remuneration, gifts or benefits have been paid or provided to honorary officers. During the year, the Association reimbursed Committee Members’ expenses amounting to £2,248 (2023: £2,023).
## **7. MANAGEMENT EXPENSES**
|Publicity
Printing, postage and stationery
Meeting expenses
Administration resource
Auditors’ remuneration
Legal fees
Contribution to Affinity
Bank charges
Travel and motor expenses
Mobile phone|**2024**
**£**
56
281
-
5,774
2,400
1,466
180
269
2,493
186
13,105|**2023**
**£**
57
87
-
1,342
2,880
3,798
182
334
2,312
-
10,992|
|---|---|---|
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**Evangelical Housing Association Limited**
## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024**
## **8. CAPITAL COMMITMENTS**
At the year-end, the Committee had not contracted to purchase any properties (2023: nil) and had authorised property improvements amounting to £nil (2023: £nil).
## **9. POST BALANCE SHEET EVENTS**
A property purchase in Bristol was completed on 9 May 2025 for £325,000 plus costs, funded by an unsecured £100,000 loan and the balance from our cash resources.
The Committee agreed at its February 2025 meeting not to refinance one of its loans with the Cooperative Bank and this loan was repaid on 22 April 2025 – the amount repaid was £113,754.
## **10. MEMBERS**
|Members at start of year
Members admitted during the year
Members ceased during the year
Members at end of year|**2024**
**No.**
11
-
-
11|**2023**
**No.**
10
1
-
11|
|---|---|---|
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