The Trustees present their annual report and financial statements for the year ended 31 July 2023.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016)
The charity's objects are to preserve the historical, architectural and constructional heritage that may exist in and around the parish of Shipton Gorge, Dorset in buildings (including any structure or erection and any part of a building so defined) of particular beauty or historical, architectural or construction interest. The charity works for the protection and conservation of the environment in and around the parish of Shipton Gorge, Dorset for the benefit of the public.
The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake:
1) Stewardship and management of the Saunders Richardson Wood in the tenth year of a 999 year lease, to retain it as a managed but unspoilt native woodland and a wildlife habitat and to increase diversity of species and pollinators.
2) To continue to maintain and improve the Orchard in Brook Street as an amenity for the village residents and visitors.
3) To hold community events to increase local resident’s interest and involvement in the woodland. Fundraising through events and other means including raising funds via website portals and donations.
1) Continued general maintenance of fruit trees, borders and grass in The Orchard in Brook Street and on-going review of the management of the land.
2) The trustees were active in ensuring continued compliance with the covenants in the lease of the Saunders Richardson Wood in Smacombe Lane. Continued maintenance of the boundary hedges and general conservation and maintenance work in the wood was carried out. A review of the Woodland Management Plan was carried out and advice sought on ways to increase diversity of species with particular emphasis to those that attract pollinators into the wood and the surrounding area. Very little tree felling was carried out during the year. The glades were improved and minor changes to the casual walkway through the wood on the eastern side to improve safety. The young saplings and specimen trees planted the previous year were tended in order to provide more mid canopy cover in the wood. All work was carried out in a way that would cause the least disruption to animals and plants.
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to two year’s expenditure. The Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
Reserves held at 31 July 2023 were £43,520.
The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
The charity is a company limited by guarantee. The company is constituted under a Memorandum of Association dated 20 July 2006 and is a registered charity (charity number 1121571). The company was given its charity registration number on 12 November 2007. Its registered address is Gullivers, Shipton Gorge, Bridport, Dorset, DT6 4LP and its company number is 05883056.
There have been no changes in the objectives since the last trustees' report.
The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
Trustees/directors are recruited when required to fulfil the aims of the trust. The Articles of Association state that the directors may at any time appoint as a director any person willing so to act. That person must retire at the next annual general meeting, but then may stand for reappointment. Members of the trust may propose the election of a director which is then approved at the next annual general meeting.
The Trustees' report was approved by the Board of Trustees.
This report is made to the charity's Trustees, as a body, in accordance with the terms of our engagement letter dated 7 September 2021. Our work has been undertaken solely to prepare for your approval the financial statements of Shipton Gorge Heritage Ltd and state those matters that we have agreed to state to the charity's Trustees, as a body, in this report in accordance with ICAEW Technical Release 07/16 AAF. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than Shipton Gorge Heritage Ltd and the charity's Trustees as a body, for our work or for this report.
It is your duty to ensure that Shipton Gorge Heritage Ltd has kept adequate accounting records and to prepare statutory financial statements that give a true and fair view of the assets, liabilities, financial position and surplus of Shipton Gorge Heritage Ltd. You consider that Shipton Gorge Heritage Ltd is exempt from the statutory audit requirement for the year, and is not required to obtain an independent examiner's report.
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
Shipton Gorge Heritage Ltd is a private company limited by guarantee incorporated in England and Wales. The registered office is Gullivers, Shipton Gorge, Bridport, Dorset, DT6 4LP, United Kingdom.
The financial statements have been prepared in accordance with the charity's [governing document], the Companies Act 2006, FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements.
Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.
Charitable activities and Governance costs are costs incurred on the company's educational operations, including support costs and costs relating to the governance of the company apportioned to charitable activities.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. Items held for distribution at no or nominal consideration are measured the lower of replacement cost and cost.
Net realisable value is the estimated selling price less all estimated costs of completion and costs to be incurred in marketing, selling and distribution.
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
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 assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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 classified 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.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
Unrestricted
funds
Unrestricted
funds
Repairs & maintenance
Hire of hall
Fundraising expenses
Sundry expenses
Depreciation
Accountancy fees
Insurance
Companies House
None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year.
During the year, 4 trustees received reimbursement of expenses amounting to £1,092 (2022 - 2 trustees received £611).
The average monthly number of employees during the year was:
The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.
There were no disclosable related party transactions during the year (2022 - none).