The trustees present their annual report and financial statements for the year ended 31 October 2025.
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)" (effective 1 January 2019).
The charity's objects and principle activities are to:-
Promote the benefit of the inhabitants of the Melin and Neath cluster and the neighboring area together defined by the boundaries of the County Borough of Neath and Port Talbot, to advance the area of benefit economically, socially, environmentally, culturally and through the provision of opportunities.
Promote urban regeneration for the benefit of the inhabitants of the Melin/Neath cluster and neighboring areas.
Encourage participation of the inhabitants in the regeneration of the community.
The trustees have had due regard to public benefit and consider that each of the activities that the charity is engaged within helps promote the aims of the charity in respect of improving the conditions of the life of the inhabitants of Melincryddan and the county of Neath Port Talbot as defined below.
The main activities for the year continue to focus on the charity's objectives and included the following:-
The Melin Advice Centre:
This is central to our everyday running. The centre is open five days a week to help and advise/support our communities as best we can.
DIY Store:
The DIY Studio is based at our Payne Street venue. This facilitates the learning of basic DIY skills so users are able to do maintenance to their own homes to prevent the expense of tradesmen, and keep costs low.
Technology classes:
The promotion and facilitation of digital inclusion for people of all ages to access free 1-2-1 classes to help with any tech needs, whether that be learning to use a mobile phone or a laptop.
Environmental Projects
The charity continues to support the work of environmental organisations and has become a litter picking hub, and now has an ecofriendly and sustainable garden project to inhabit bees and bug hotels to promote regeneration. Our garden club helps us manage and maintain the new garden.
ALD Groups
The MCT work alongside adults with learning difficulties and their carers to help build relationships and confidence among the group. The project was designed to provide care and support to carers as well as providing a base that is familiar for the adult with learning needs to socialize and build friendships with additional needs.
Adult Literacy Classes
The charity works alongside NPT Adult Learners to help facilitate a base for adults to learn reading, writing, and numeracy skill and qualifications.
Mens Support Group
Every Tuesday the MCT opens its doors to a men's only support group that is volunteer lead. The group has become very popular and aims to cut down isolation and loneliness and sets about men opening up in a confidential safe space.
Lets Talk About Music
Therapeutic music mental health support group, where open debates on music choices help with building confidence, friendships, and inadvertently helps with depression, anxiety and mental health issues.
Art Class
Every Tuesday evening the MCT host art classes where our volunteer teaches how to paint with various paints and different styles explaining all the details that are required to help paint the perfect painting, building on skills and creating cohesion with our community.
Working with volunteers and volunteering
The recruitment, training and support of all our volunteers in all projects with emphasis on volunteer involvement in the design and operation of those activities, building confidence, skills and employability of volunteers according to their needs and ambitions.
The charity has a desire for continuing improvements and effectively demonstrating good practice.
The charity has a mission statement which is as follows:
"Our mission is to work with individuals and groups to identify and build on their strengths and to enhance community wellbeing through active participation, volunteering, engagement and empowerment."
The board of trustees meets monthly excluding December including the AGM and has additional training meetings to plan for future developments. The executive group which includes the Chair, Vice Chair, Treasurer and the Manager meet as required, and reports at the following meeting.
The Melin Advice Centre: Our purpose-built advice centre continues to be an invaluable asset to the charity and the community we serve. Since our inception, having an advice centre has been central to all the charity's activities. Not only does it provide a base for giving direction to the public where they may seek advice and make other community-linked activities, with 60-100 participants each week. Further, because our community told us it was needed, it also demonstrates very clearly our beliefs in the "bottom-up" community-led approach and our readiness to help realise community aspirations.
The DIY Studio facilitates the community learning basic DIY skills for in and around their homes, to prevent them having to pay for tradesmen at a high cost and to enable them to learn new skills as well as socialize and gain confidence in their abilities.
Health and wellbeing initiatives: The MCT continues to support the Melin Walkers and has created additional support services that include the Mens Support Group, The Friendship Group, and Gardening Club. This continued support sees many people utilizing our services from many catchment areas within Neath Port Talbot. We thrive to enhance the wellbeing of our service users, and have put workshops and courses in place to enable them to work on their mental wellbeing and general health and welfare
Community Safety Initiatives: The MCT hold weekly 'cupper with a copper' in which the local PSCO's attend the centre and allow residents to approach them with any issues
Community Events: The MCT hosts annual Christmas fetes in the month of December where each child that attends gets the opportunity to meet Santa and receive a small gift.
Environment: The ever-growing concern for climate change and the environment around us has enabled us to become a litter picking hub and work closely with Keep Wales Tidy for local projects and group cleans. We have recently developed a community garden which helps with the regeneration of bees and wildlife.
Help for people claiming benefits: The charity continues to support the provision of welfare rights and advice, and provides help in overcoming barriers that people often face when trying to seek help and support with paperwork.
Employment responsibilities: The MCT employs 1 full-time member of staff and has 7 regular volunteers. There are no plans to increase the size of the workforce at present thanks to the regular volunteers that devote their time to the centre.
The MCT is working to improve its position with regard to funding. This has been achieved via an increase in applications submitted and a more strategic approach to financing the needs of the organisation. We have improved our governance with a revision of our policies and procedures and introduction of many new ones, and regular financial reports at our bimonthly board meetings.
A strong business plan and strategies are now in place and will be continually reviewed and updated to meet ever changing opportunities and challenges
The MCT will always ensure 3 months running costs are available in addition to wind up fees and at least £1,000 for unforeseen expenses.
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
The organisation is a Charitable Company limited by guarantee, incorporated on 24th October 2002 and registered as a charity on 26th September 2005. The company was established under a Memorandum of Association, which established the objectives and powers of the Charitable Company and is governed under its Articles of Association.
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:
The number of trustees is subject to a maximum of twenty and a minimum of five.
A Trustee can be appointed at an general meeting if
(1) they are recommended by the trustees; or
(2) not less than fourteen nor more than thirty five days before the meeting, notice executed by a member qualified to vote at the meeting has been given to the charity of the intention to propose that person for appointment.
Trustees must be at least eighteen years of age and cannot have been disqualified from acting under the provision of Article 38.
Notice of between seven and twenty eight days before the general meeting must be given of any person who is recommended by the trustees for appointment as a trustee.
The charity may by ordinary resolution appoint a person who is willing to act to be a trustee, subject to the above conditions.
One third of the trustees must retire and be re-appointed at every annual general meeting. The trustees retiring by rotation are those that have been longest in office since their last appointment or re-appointment.
A new trustee appointed will only hold office for one year and must be re-appointed in the following annual general meeting. These trustees are not taken into account when deciding the trustees to retire by rotation.
The trustees report was approved by the Board of Trustees.
I report to the trustees on my examination of the financial statements of Melin Community Trust (the charity) for the year ended 31 October 2025.
Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the Companies Act 2006 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. In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the Charities Act 2011.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
accounting records were not kept in respect of the charity as required by section 386 of the Companies Act 2006.
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 Companies Act 2006 other than any requirement that the financial statements 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 financial statements 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.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Melin Community Trust is a private company limited by guarantee incorporated in England and Wales. The registered office is Melin Advice Centre, 80 Briton Ferry Road, Melincryddan, Neath, SA11 1AP.
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. 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.
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.
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).
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.
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.
Performance related grants
Postage and stationery
Subscriptions and licences
Rates and water
Therapeutic drumming
DIY project
Christmas lighting
Wellbeing workshops
Training
Art classes
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
The building was purchased by Melin Community Trust in 2007 from NPTCBC.
If the charity decides to sell the building it is committed to ensure that the building is put back into the community and hence is still available for use by the Melin residents.
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
The purpose of the restricted funds are detailed below;
Garfield Weston Foundation
This was core cost funding for the Melin Advice Centre.
Neath Port Talbot (1)
This was funding for a breakfast club.
Neath Port Talbot (2)
This was funding for a warm hub.
Swansea Bay University Health Board
This was funding for ALD crafty potters.
The Moondance Foundation
This was core cost funding for the Melin Advice Centre.
The National Lottery (1)
This was funding for Art classes.
CF in Wales
This was core funding for the Melin Advice Centre.
The National Lottery (2)
This was core funding for the Melin Advice Centre.
Archers Trust
This was funding for game for a laugh.
The Bailey Thomas Charitable Fund
This was funding for game for a laugh.
Groundworks/Tesco
This was funding for lets talk music.
Technology Centre
This represents the net book value of the assets purchased and held on the balance sheet.
Marquee Trust
This represents the net book value of the assets purchased and held on the balance sheet.
May Day Trust
This represents the net book value of the assets purchased and held on the balance sheet.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
During the year the charity has transferred restricted funds to unrestricted funds as a contribution towards the general day to day costs of the charity.
There were no disclosable related party transactions during the year (2024 - none).