The trustees, who are also the directors for the purposes of company law, present their report and accounts for the year ended 31 March 2024.
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 Memorandum and Articles of Association, 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) (effective 1 January 2019)".
The Objects of the charity are set out in the Memorandum of Association as being 'to advance education of the public in matters relating to conservation, protection and enhancement of the environment, public safety, and in matters pertaining to those in necessitous circumstances, the elderly, and those suffering or recovering from physical or mental ill health', and any other charitable purposes which the trustees may from time to time determine.
The Company has been involved in a range of activities aimed at promoting sustainability and well-being particularly in the West Midlands but also into other regions of England. During the financial year the Charity continued to run a successful project, with the aid of grants from various organisations, to place bird boxes at locations in England. With locations ranging from village halls, churches, schools, hospices as well as countryside locations via the National Trust, this scheme has not only provided homes to birds but brought enjoyment to those people brought closer to this wildlife
WTOF has been using these funds to distribute grants to organisations engaged in activities which comply with the objectives of the charity, principally schools to engage pupils in environmental projects, but also to other projects which involve enhancing the environment for the enjoyment of the public.
In other environmental and social campaigns, the Sustainable Communities booklet distribution continued.
We also supported the work of Transition Evesham Vale, an organization which encourages the community to engage in action to reduce reliance on fossil fuels particularly in use of recycling and utilising local resources rather than those from further afield.
WTOF's long standing subsidiary company, MRRT Ltd, worked to promote sustainable businesses in the West Midlands, but in particular enterprises within Herefordshire, Shropshire, and Worcestershire. This subsidiary ceased to be a member of the group with effect from the 1st April 2023.
The trustees confirm that they have complied with the duty in section 4 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit, 'Charities and Public Benefit'.
Funds are adequate and available to fulfil the obligations of the charity. Reserves are split between Restricted Reserves and those available for the day to day running of the company. At the year end Restricted Reserves amounted to £nil (2023: £8,758). The unrestricted funds were £32,933 (2023: £124,857).
During the period the charity had net expenditure of £100,682 (2023 net expenditure of £21,647), of which £8,638 outgoing (2023: £17,415 outgoing) related to the Restricted funds.
The charity currently holds unrestricted reserves at a level that equates to sixty months unrestricted expenditure and the aim, which is the policy of the charity, is to reduce unrestricted funds, which are free reserves, to a level that equates to twelve months unrestricted expenditure, by way of distributing discretionary grants. This is sufficient to cover management and administration costs and to fund the objects of the charity, and ensure that the Charity can met its statutory obligations. This policy is under regular review.
The trustees have assessed the major risks to which the charity is exposed. The trustees are satisfied that such exposure is controlled.
For a number of years the Charity has supported the work of Transition Evesham Vale, primarily by being the named tenant of a property in Evesham enabling the occupation of it to be rent free. The property has now become the administrative base and registered office of the charity. The ImaGine project, the principal user of the property, has also been fully integrated into the operations of the Charity.
ImaGine will continue to be the trading name as it aims to provide a catalyst for change, working with local communities, exploring sustainability, discovering how we can work together for a healthier, happier, lower carbon future. It looks to foster and nurture relationships with voluntary and civic organisations in and around Evesham, and encourage their active use of imaGine as a place to meet, talk and promote their activities. ImaGine also acts as an information centre for local environmental organizations. Imagine is run by volunteers and recycles books for free. As at November 2024 it has received over 25,000 donated books and issued over 20,000. Books are free, but small donations are welcomed. The donations pay for the running costs of the facility with any excess funds being passed into WTOF's grant reserve. This reserve provides small grants to organisations based in the Vale of Evesham for projects aligned to the objectives of the Charity.
The trustees who are also the directors for the purpose of company law, who have served during the period from 1st April 2022, were:
None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
The trustees may, through their involvement in other enterprises provide services to entities applying for grant aid. In such instances declarations of interest are made at the start of Board meetings and the respective trustees are excluded from the decision making process regarding those applications.
New trustees are appointed by the members and elected at the AGM.
The trustees receive induction training upon appointment, usually from the Company Secretary,
The charitable company is administered by its Board. The Board should comprise not more than ten persons elected by and from the membership of the charity, and not more than five persons co-opted onto the Board. At every AGM one third of the elected Board should retire.
The Board governs the general policy of the charity, with the administrative work being done by the Company Secretary. Rates of pay for all staff and key management personnel are set by the Board.
The principal activity of MRRT Limited was that of lending money to local businesses to assist in the development of the local economy, trading under the name of Impetus. Trading profits from MRRT were remitted to WTOF under a perpetual Deed of Covenant, subject to sufficient funds being held to support working capital requirements. With effect from the 1st April 2023 the membership of MRRT Ltd was transferred and it is no longer a subsidiary undertaking.
Investment powers are governed by the Memorandum of Association and the charity can invest monies not immediately required for its purposes as it sees fit.
Note 17 sets out an analysis of the assets attributable to the various funds and a description of the trusts can be found in note 16. These assets are sufficient to meet the charity's obligations on a fund by fund basis.
The trustees' report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Welcome To Our Future (Local Agenda 21) (the charity) for the year ended 31 March 2024.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act). In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or
the financial statements do not accord with those records; or
the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
Investments
Welcome To Our Future (Local Agenda 21) is a charitable company limited by guarantee, incorporated in England and Wales (company number: 03677986) and a charity registered in England and Wales (charity number: 1075371). Its registered address is Unit 16 Riverside Centre, Evesham, WR11 4BG.
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. 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 and that there are no material uncertainties about its ability to continue. 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 or grantors 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.
Income is included in the Statement of Financial Activities on an accruals basis.
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.
Grants from the government and other agencies have been included within income from activities in furtherance of the charity's objects where they represent reimbursement of restricted fund costs incurred.
Investment income is accounted for on an accruals basis and gross of tax.
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.
All expenditure is accounted for on an accruals basis. Charitable expenditure comprises those costs directly attributable to the charity's work.
Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include audit fees and costs linked to the strategic management of the charity. This includes a proportion of staff costs (25%) and other non support costs.
Support costs include 75% of staff costs, as the trustees feel this accurately reflects level of staff activity on each class of expenditure.
Wages are apportioned between restricted and unrestricted funds based on estimated staff time. Rent, rates and insurance are apportioned between restricted and unrestricted funds based on estimated use of office space.
Grants payable are charged in the year when the offer is conveyed to the recipient.
Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
Liabilities are recognised where there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the charitable company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
In the application of the charity’s accounting policies, the trustees 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.
Investments
Deed of covenant
The service charge includes management fees of £6,516 (2023: £9,638) due in respect of the management of restricted grant funding received and as permitted under the funding agreements. This is shown as income in the unrestricted activities of the charity and expenditure in the restricted activities of the charity rather than as a transfer between funds as it is considered that this better reflects the nature of the activities of the charitable company.
Use of Facilities
Print, Postage and Stationery
Travel and Other Sundry Costs
Rent
Benches
Bird Boxes
Administration Fees
Housing project support
Insurance
Bank charges
Legal fees
Other governance costs
Governance costs includes payments to the independent examiner of £1,500 (2023: £2,800) for VAT inclusive examination fees.
None of the trustees (or any persons connected with them) received any remuneration during the year, but one of them was reimbursed a total of £236 for travelling expenses (2023 - one was reimbursed £40).
The average monthly number of employees during the year was:
Wages and salaries costs include redundancy costs of £10,806 (2023 - £14,275).
Actual payments made in the year regarding defined contribution pension costs amounted to £nil (2023: £720).
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
A transfer of £180 (2023 £nil) has been made from unrestricted funds to restricted funds to cover the over spend on the Sustainable Communities Fund and Bird Box Fund as detailed in Note 16.
Income
Expenditure
Income
Expenditure
The Sustainable Communities fund is for a variety of leaflets and pamphlets in aid of improving sustainability among local parishes.
The Benches fund was a grant to provide four benches at various locations in Worcestershire.
The Bird Box fund is for the provision of bird boxes to be installed in church yards, village halls, schools, hospices and National Trust properties.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
Welcome To Our Future (Local Agenda 21) is the sole member and has appointed directors to manage MRRT Limited, a company incorporated in England and Wales and limited by guarantee. With effect from 1st April 2023 the subsidiary undertaking was transferred to ART Share (Social Help Association for Reinvesting in Enterprise) Limited, an Industrial and Provident Society registered in England and Wales.
The charity paid expenses on behalf of MRRT Limited amounting to £nil (2023: £29,873), and on behalf of Marches Centre for Community Led Housing Limited £nil (2023: £29,883).
At the year end there were balances due from MRRT Limited of £nil (2023: £18,000) and these are included within debtors.