Northern Viaduct Trust Limited - Charities report - 20.2
Northern Viaduct Trust Limited - Charities report - 20.2
| REGISTERED COMPANY NUMBER: |
| REGISTERED CHARITY NUMBER: |
| Report of the Trustees and |
| Unaudited Financial Statements for the Year Ended 31 March 2020 |
| for |
| NORTHERN VIADUCT TRUST LIMITED |
| NORTHERN VIADUCT TRUST LIMITED |
| Contents of the Financial Statements |
| for the Year Ended 31 March 2020 |
| Page |
| Report of the Trustees | 1 | to | 3 |
| Statement of Financial Activities | 4 |
| Balance Sheet | 5 | to | 6 |
| Notes to the Financial Statements | 7 | to | 13 |
| NORTHERN VIADUCT TRUST LIMITED (REGISTERED NUMBER: 02351482) |
| Report of the Trustees |
| for the Year Ended 31 March 2020 |
| The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2020. The trustees have adopted the provisions of 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). |
| OBJECTIVES AND ACTIVITIES |
| Objectives and activities |
| The principal objective of the charity is to restore and preserve for the public benefit the fine disused railway viaducts at Smardale Gill, Podgill and Merrygill near Kirkby Stephen, Cumbria and other disused listed viaducts and structures of particular beauty or interest. |
| ACHIEVEMENT AND PERFORMANCE |
| Strategies for achieving objectives |
| The Northern Viaduct Trust has a team of very experienced trustees with a wide variety of skills. The Trust has established, through the hard work of the trustees, its business partners and others with which it has worked, a deserved reputation in delivering successful projects. The Trust is able to point to the two national awards received as indicators of these achievements. |
| The Trust has excellent relationships with numerous organisations both national and local and is well placed to obtain further grants for future suitable projects. The Trust operates a policy of prudent and sound financial management. |
| FINANCIAL REVIEW |
| Financial position |
| The results for the year and financial position of the company are as shown in the annexed financial statements. |
| The trustees met regularly during the year to 31 March 2020. |
| Following the changes to the board of trustees in March and July 2019 a full strategic review was undertaken to ensure the long term future of the Trust's assets. |
| The immediate focus was of necessity on Smardale Gill Viaduct which we had to close due to unsafe railings. At the time of writing, we have received listed building consent for a stainless steel mesh panel solution and having sourced grants and donations to cover the majority of the cost we have instructed contractors to commence fabrication and installation. |
| We are also in discussion with structural engineers for a full Inspection of the viaduct to be undertaken and are in the process of seeking grant funding for this inspection. |
| It is likely that we will face significant capital expenditure following the inspection, in addition to our normal revenue expenditure; as a result the main focus of the strategic review was income generation. To support this, we have developed edenviaducts, a new brand that incorporates a new website, a monthly newsletter, a greatly expanded social media presence and a publicity campaign. These are already showing results by way of increased public interest in and donations to the Trust. |
| NORTHERN VIADUCT TRUST LIMITED (REGISTERED NUMBER: 02351482) |
| Report of the Trustees |
| for the Year Ended 31 March 2020 |
| In addition to the tangible positive effects of the strategic review, we are also able to report that our search for new trustees has led us to appoint a new trustee/treasurer who will bring to the Trust a range of skills and expertise in addition to significant accounting and financial experience. Our search for new trustees with relevant skill sets continues. |
| The trustees continue to work closely with the Cumbria Wildlife Trust and Yorkshire Dales National Park in all areas of common interest. |
| The trustees are grateful to the local community, visitors to the area and all our supporters for the tremendous support by way of positive feedback and donations. We would also like to thank the Yorkshire Dales National Park Authority, HF Holidays, Pilgrim Trust and Railway Ramblers, Westmorland Dales Landscape Partnership Scheme (supported by a grant from the National Lottery Heritage Fund) and the Hadfield Trust for their generous grant funding. |
| Investment policy and performance |
| The Trust operates within the Memorandum and Articles of Association and regularly reviews its investment policy. |
| Reserves policy |
| The Trust has a duty to ensure that there are adequate reserves for the maintenance and repair of the structures under its control. The trustees have a programme of frequent monitoring inspections together with a detailed inspection carried out by an independent engineer once every five years. This enables the trustees to ascertain the likelihood of a significant expense in the future. The reserves policy takes these matters into account. |
| Going concern |
| After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. |
| Risk management |
| The trustees have examined the major strategic business and operational risks which the charity faces and confirm that systems are in place to enable regular reports, in particular reports relating to the structures, to be produced so that the necessary steps can be taken to reduce these risks. |
| The trustees are conscious of the need to balance carefully the risk/reward ratio of the Trust's investments and regular reviews are undertaken to ensure the suitability of that ratio. |
| FUTURE PLANS |
| No formal plans have been drawn up for the acquisition of any further viaducts. The Trust's immediate aim is to maintain and improve its current estate and continue to develop regular and reliable income streams. |
| STRUCTURE, GOVERNANCE AND MANAGEMENT |
| Governing document |
| 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. |
| Charity constitution |
| The charity is constituted under a Memorandum of Association dated 23 February 1989 and is a registered charity, number 702573. |
| Recruitment and appointment of new trustees |
| The management of the charity is the responsibility of the trustees who are elected and co-opted under the terms of the Articles of Association. |
| NORTHERN VIADUCT TRUST LIMITED (REGISTERED NUMBER: 02351482) |
| Report of the Trustees |
| for the Year Ended 31 March 2020 |
| STRUCTURE, GOVERNANCE AND MANAGEMENT |
| Organisational structure and decision making |
| The Northern Viaduct Trust is an independent charity. The trustees hold regular meetings and receive reports regarding for example, current maintenance, finance and investment reviews etc. |
| Induction and training of new trustees |
| The charity, through the current trustees, has adequate expertise and resource to enable it to function effectively. However, apart from the situation where a trustee does not stand for re-election or resigns, the trustees are always alert to the possibility of inviting individuals who will bring other skills and experience onto the board of trustees. New trustees are given advice as to their role and and all trustees maintain their skills and knowledge through a variety of informal means. |
| REFERENCE AND ADMINISTRATIVE DETAILS |
| Registered Company number |
| Registered Charity number |
| Registered office |
| Trustees |
| Company Secretary |
| Approved by order of the board of trustees on |
| NORTHERN VIADUCT TRUST LIMITED |
| Statement of Financial Activities |
| for the Year Ended 31 March 2020 |
| 31/3/20 | 31/3/19 |
| Unrestricted | Restricted | Total | Total |
| fund | fund | funds | funds |
| Notes | £ | £ | £ | £ |
| INCOME AND ENDOWMENTS FROM |
| Donations and legacies | ( |
) |
| Investment income | 2 |
| Total |
| EXPENDITURE ON |
| Charitable activities |
| Net gains/(losses) on investments | ( |
) | ( |
) | ( |
) |
| NET INCOME/(EXPENDITURE) | ( |
) | ( |
) | ( |
) |
| RECONCILIATION OF FUNDS |
| Total funds brought forward |
| TOTAL FUNDS CARRIED FORWARD | 967,566 |
| NORTHERN VIADUCT TRUST LIMITED (REGISTERED NUMBER: 02351482) |
| Balance Sheet |
| 31 March 2020 |
| 31/3/20 | 31/3/19 |
| Notes | £ | £ |
| FIXED ASSETS |
| Tangible assets | 8 |
| Investments | 9 |
| CURRENT ASSETS |
| Cash at bank | 10 |
| CREDITORS |
| Amounts falling due within one year | 11 | ( |
) |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| NET ASSETS |
| FUNDS | 13 |
| Unrestricted funds | 8,996 | 8,130 |
| Restricted funds | 959,436 |
| TOTAL FUNDS | 967,566 |
| The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2020. |
| The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2020 in accordance with Section 476 of the Companies Act 2006. |
| The trustees acknowledge their responsibilities for |
| (a) | ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and |
| (b) | preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company. |
| NORTHERN VIADUCT TRUST LIMITED (REGISTERED NUMBER: 02351482) |
| Balance Sheet - continued |
| 31 March 2020 |
| These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime. |
| The financial statements were approved by the Board of Trustees and authorised for issue on |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements |
| for the Year Ended 31 March 2020 |
| 1. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value. |
| Income |
| All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably. |
| Expenditure |
| Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. |
| Tangible fixed assets |
| The three historic viaducts and ancillary property are stated at their cost of acquisition of the freeholds, £2 in total plus the cost of initial restoration and of subsequent improvements. No provision is made for depreciation on the grounds that the properties comprise freehold land and structures which are subject to a policy and practice of regular maintenance and repair. They will therefore be kept to the previously assessed (restored) standard. Annual impairment reviews are carried out and a detailed structural survey undertaken every five years by a qualified engineer. |
| Taxation |
| The charity is exempt from corporation tax on its charitable activities. |
| Fund accounting |
| Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. |
| Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes. |
| Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. |
| Hire purchase and leasing commitments |
| Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease. |
| Fixed asset investments |
| Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless fair value cannot be measured reliabily in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading 'Net gains/(losses) on investments" in the Statement of financial activities incorporating income and expenditure account. |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 2. | INVESTMENT INCOME |
| 31/3/20 | 31/3/19 |
| £ | £ |
| Other fixed asset invest - FII | 4,683 | 4,283 |
| 3. | SUPPORT COSTS |
| Governance |
| Management | Finance | costs | Totals |
| £ | £ | £ | £ |
| Restoration and Preservation | 230 | 60 | 855 | 1,145 |
| Activity | Basis of allocation |
| Management | Support Cost |
| Finance | Support Cost |
| Governance costs | Support Cost |
| Support costs, included in the above, are as follows: |
| Management |
| 31/3/20 | 31/3/19 |
| Restoration |
| and | Total |
| Preservation | activities |
| £ | £ |
| Computer running cost | 230 | 170 |
| Sundries | - | 32 |
| 230 | 202 |
| Finance |
| 31/3/20 | 31/3/19 |
| Restoration |
| and | Total |
| Preservation | activities |
| £ | £ |
| Bank charges | 60 | 60 |
| Governance costs |
| 31/3/20 | 31/3/19 |
| Restoration |
| and | Total |
| Preservation | activities |
| £ | £ |
| Trustees' expenses | 38 | 83 |
| Accountancy and legal fees | 817 | 13 |
| 855 | 96 |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 4. | NET INCOME/(EXPENDITURE) |
| Net income/(expenditure) is stated after charging/(crediting): |
| 31/3/20 | 31/3/19 |
| £ | £ |
| Hire of plant and machinery | - | 180 |
| 5. | TRUSTEES' REMUNERATION AND BENEFITS |
| There were no trustees' remuneration or other benefits for the year ended 31 March 2020 nor for the year ended 31 March 2019. |
| Trustees' expenses |
| 31/3/20 | 31/3/19 |
| £ | £ |
| Trustees' expenses |
| 6. | AVERAGE NUMBER OF EMPLOYEES |
| The average number of employees during the year was |
| 7. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
| Unrestricted | Restricted | Total |
| fund | fund | funds |
| £ | £ | £ |
| INCOME AND ENDOWMENTS FROM |
| Donations and legacies |
| Investment income |
| Total |
| EXPENDITURE ON |
| Charitable activities |
| Net gains/(losses) on investments | ( |
) | ( |
) |
| NET INCOME/(EXPENDITURE) | ( |
) | ( |
) |
| Transfers between funds | (8,853 | ) | 8,853 | - |
| Net movement in funds | ( |
) | ( |
) | ( |
) |
| RECONCILIATION OF FUNDS |
| Total funds brought forward | 13,313 | 962,143 |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 7. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued |
| Unrestricted | Restricted | Total |
| fund | fund | funds |
| £ | £ | £ |
| TOTAL FUNDS CARRIED FORWARD | 8,130 | 959,436 | 967,566 |
| 8. | TANGIBLE FIXED ASSETS |
| Freehold |
| property |
| £ |
| COST |
| At 1 April 2019 and 31 March 2020 |
| NET BOOK VALUE |
| At 31 March 2020 |
| At 31 March 2019 |
| 9. | FIXED ASSET INVESTMENTS |
| Listed |
| investments |
| £ |
| MARKET VALUE |
| At 1 April 2019 |
| Disposals | ( |
) |
| Impairments | ( |
) |
| At 31 March 2020 |
| NET BOOK VALUE |
| At 31 March 2020 | 131,239 |
| At 31 March 2019 | 167,091 |
| There were no investment assets outside the UK. |
| 10. | CASH AT BANK |
| 31/3/20 | 31/3/19 |
| General | Restricted | Total | Total |
| fund | Fund | funds | funds |
| £ | £ | £ | £ |
| Current Bank Account | 9,278 | 3,025 | 12,303 | 8,013 |
| Bank deposit account | 118 | - | 118 | 117 |
| Total | 9,396 | 3,025 |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 31/3/20 | 31/3/19 |
| £ | £ |
| Accrued expenses |
| 12. | ANALYSIS OF NET ASSETS BETWEEN FUNDS |
| 31/3/20 | 31/3/19 |
| Unrestricted | Restricted | Total | Total |
| fund | fund | funds | funds |
| £ | £ | £ | £ |
| Fixed assets | - | 792,345 | 792,345 | 792,345 |
| Investments |
| Current assets |
| Current liabilities | ( |
) | ( |
) |
| 8,996 | 926,609 | 935,605 | 967,566 |
| 13. | MOVEMENT IN FUNDS |
| Net |
| movement | At |
| At 1/4/19 | in funds | 31/3/20 |
| £ | £ | £ |
| Unrestricted funds |
| General fund | 8,130 | 866 | 8,996 |
| Restricted funds |
| Restricted Fund | 959,436 | (32,827 | ) | 926,609 |
| TOTAL FUNDS | (31,961 | ) | 935,605 |
| Net movement in funds, included in the above are as follows: |
| Incoming | Resources | Gains and | Movement |
| resources | expended | losses | in funds |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 2,011 | (1,145 | ) | - | 866 |
| Restricted funds |
| Restricted Fund | 4,682 | (9,223 | ) | (28,286 | ) | (32,827 | ) |
| TOTAL FUNDS | ( |
) | ( |
) | (31,961 | ) |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 13. | MOVEMENT IN FUNDS - continued |
| Comparatives for movement in funds |
| Net | Transfers |
| movement | between | At |
| At 1/4/18 | in funds | funds | 31/3/19 |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 13,313 | 3,670 | (8,853 | ) | 8,130 |
| Restricted funds |
| Restricted Fund | 962,143 | (11,560 | ) | 8,853 | 959,436 |
| TOTAL FUNDS | 975,456 | (7,890 | ) | - | 967,566 |
| Comparative net movement in funds, included in the above are as follows: |
| Incoming | Resources | Gains and | Movement |
| resources | expended | losses | in funds |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 4,028 | (358 | ) | - | 3,670 |
| Restricted funds |
| Restricted Fund | 4,283 | (13,136 | ) | (2,707 | ) | (11,560 | ) |
| TOTAL FUNDS | 8,311 | (13,494 | ) | (2,707 | ) | (7,890 | ) |
| A current year 12 months and prior year 12 months combined position is as follows: |
| Net | Transfers |
| movement | between | At |
| At 1/4/18 | in funds | funds | 31/3/20 |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 13,313 | 4,536 | (8,853 | ) | 8,996 |
| Restricted funds |
| Restricted Fund | 962,143 | (44,387 | ) | 8,853 | 926,609 |
| TOTAL FUNDS | 975,456 | (39,851 | ) | - | 935,605 |
| NORTHERN VIADUCT TRUST LIMITED |
| Notes to the Financial Statements - continued |
| for the Year Ended 31 March 2020 |
| 13. | MOVEMENT IN FUNDS - continued |
| A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows: |
| Incoming | Resources | Gains and | Movement |
| resources | expended | losses | in funds |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 6,039 | (1,503 | ) | - | 4,536 |
| Restricted funds |
| Restricted Fund | 8,965 | (22,359 | ) | (30,993 | ) | (44,387 | ) |
| TOTAL FUNDS | 15,004 | (23,862 | ) | (30,993 | ) | (39,851 | ) |
| 14. | RELATED PARTY DISCLOSURES |
| There were no related party transactions for the year ended 31 March 2020. |