HCI (Uk) Limited - Charities report - 19.1
HCI (Uk) Limited - Charities report - 19.1
| REGISTERED COMPANY NUMBER: |
| REGISTERED CHARITY NUMBER: |
| REPORT OF THE TRUSTEES AND |
| UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED |
| 31 MARCH 2018 |
| FOR |
| HCI (UK) LIMITED |
| HCI (UK) LIMITED |
| CONTENTS OF THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| Page |
| Report of the Trustees | 1 to 3 |
| Independent Examiner's Report | 4 |
| Statement of Financial Activities | 5 |
| Balance Sheet | 6 to 7 |
| Notes to the Financial Statements | 8 to 12 |
| HCI (UK) LIMITED |
| REPORT OF THE TRUSTEES |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 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 2018. 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 2015). |
| ACHIEVEMENT AND PERFORMANCE |
| Objectives and activities |
| The 2017/18 financial year has been challenging for HCI (UK) Limited with a more limited income stream and |
| fewer fund-raising opportunities. |
| However, the charity has continued to undertake research, publish a range of research reports that accord |
| with its charitable objectives, to disseminate research findings in the media and social media, and to the |
| general public. The charity has campaigned effectively in a non-partisan way on behalf of disadvantaged |
| groups, targeting exclusion and disadvantage, as well as promoting more human cities. |
| Website and Social Media |
| A new website was designed by administrative support Kevin Gulliver for HCI (UK), and maintained |
| thereafter. Visited by almost 4,000 individuals during the financial years, the charity now has a major new |
| resource with which to promote its work to sit alongside its prominent social media platforms. |
| Annual Lecture |
| Another highly successful annual lecture was held in Birmingham in February 2018, which was attended by |
| around 120 key stakeholder agencies in the charity's region. Professor Sir Michael Marmot, an internationally |
| renowned public health expert and speaker, delivered the lecture on the 'social determinants of health |
| inequalities'. HCI (UK) also published a report - 'The Power of Place - Health Inequalities, Housing and |
| Community in the West Midlands' - to sit alongside the lecture, for which Sir Michael wrote the foreword. |
| Research and Dissemination |
| HCI's research has continued to underline the charity's commitment to exploring issues relating to social |
| exclusion and social justice, austerity and welfare reform, equality and diversity while promoting potential |
| solutions. Research findings have been deployed to inform policy-makers, stakeholders, the media and the |
| general public of the need to develop strategies, policies and practice to improve the position of deprived |
| people. |
| Further work was been undertaken with BMENational, the national representative for BME housing |
| organisations, including publication of a report marking forty years of racial discrimination legislation. HCI |
| continued to work with a range of housing organisations, local government and third sector agencies. A |
| number of housing-related reports and think-pieces were published. HCI also published a major report on |
| housing issues in the West Midlands for the West Midlands Combined Authority (WMCA). |
| HCI has achieved major coverage in the media throughout the year, contributing articles about human city |
| issues on a regular basis to national, regional and local newspapers and to a range of housing, health, |
| regeneration and urban policy journals. All of this is crucial in promoting solutions to urban disadvantage, |
| augmented by report launches, policy round-tables and conference speeches and presentations. |
| Governance |
| Trustees have met regularly to review both progress on individual projects and the development of HCI as a |
| successful charitable endeavour. Between Board meetings, Trustees communicated by email and social |
| media, with views sought on a range of topics and governance issues. The charity continues to explore new |
| sources of revenue. The costs of the administrative costs of the charity remain low because of 'in kind' |
| contributions. |
| It is this stable, yet innovative and flexible platform of achievements, reaching back to the 1990s that enables |
| today's HCI charity to thrive and continue its important work. |
| HCI (UK) LIMITED |
| REPORT OF THE TRUSTEES |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| FINANCIAL REVIEW |
| Reserves policy |
| In the year an unrestricted operating deficit of £6,572 (2017 surplus: £3,127) occurred. The directors aim to |
| designate a level of reserves equal to some 8 weeks of cash operating costs which is considered sufficient to |
| ensure that all current activities of the charitable company may be carried out to completion. |
| As at 31 March 2018, £5,000 (2017: £8,000) has been designated in order to reflect this policy leaving a |
| surplus on unrestricted funds of £2,717 (2017: £6,289). |
| STRUCTURE, GOVERNANCE AND MANAGEMENT |
| Governing document |
| The charity is constituted as a company limited by guarantee with charitable status, having no share capital. It |
| was incorporated on 14 May 1997 and registered with the Charity Commission on 7 January 1999. |
| It is governed by its memorandum and articles of association and the policies made from time to time by the |
| Board of Directors. |
| Name |
| The name was changed from HCI Birmingham Limited to HCI (UK) Limited by a resolution passed at an |
| Extraordinary general Meeting held on 8th June 2009, and registered by Companies House on 24th June |
| 2009. It is operationally known as "the Human City Institute". |
| Recruitment and appointment of directors |
| Directors, who are trustees for the purposes of charity law, are appointed and resign in accordance with the |
| Articles of Association. In appointing directors, due regard is given to the skills mix and profile of the existing |
| board. |
| Organisational structure |
| The charitable company is governed by its Board of Directors which is responsible for formulating the |
| strategies and policies of the charitable company including the approval of budgets and the annual accounts. |
| The Board meets in formal session approximately 8 times a year to determine overall strategy, oversee the |
| furtherance of the charitable company's objectives and consider reports. |
| The charitable company does not employ staff and hence has no key management personnel. |
| The charitable company also benefits from many voluntary hours and unclaimed out of pocket expenses |
| contributed by its volunteer helpers. |
| Risk management |
| The consideration of risks is inherent in the charitable company's planning and decision making processes. |
| The directors have identified major risks to which they consider the charitable company to be exposed and |
| are now in the process of reviewing the actions considered necessary to mitigate those risks. |
| In Kind Contributions |
| Four trustees (2017: 3) provided in kind service contributions to the value of £5,300 during the year (2017: |
| £7,200). |
| During the year ended 31 March 2018 Kevin Gulliver received in kind contributions of £18,300 (2017: |
| £13,550). A further £11,330 (2017: £44,230) in kind contributions were received from various institutions in |
| the form of focus groups, information provision, event support and administrative support. |
| REFERENCE AND ADMINISTRATIVE DETAILS |
| Registered Company number |
| HCI (UK) LIMITED |
| REPORT OF THE TRUSTEES |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| REFERENCE AND ADMINISTRATIVE DETAILS |
| Registered Charity number |
| Registered office |
| Trustees |
| Professor Guy Daly (Chair) |
| Abigail Robson |
| Dr Jill Jesson |
| Judith Jenner (resigned 14 December 2017) |
| Georgia Edmunds |
| Maria Hughes |
| Company Secretary |
| Independent examiner |
| Jeremy Kitson FCA |
| Prime |
| Chartered Accountants |
| 1 Homer Road |
| Solihull |
| B91 3QG |
| This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act |
| 2006 relating to small companies. |
| Approved by order of the board of trustees on |
| INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF |
| HCI (UK) LIMITED |
| Independent examiner's report to the trustees of HCI (Uk) Limited ('the Company') |
| I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2018. |
| Responsibilities and basis of report |
| As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act'). |
| Having satisfied myself that the accounts of the Company 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 your charity's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act. |
| Independent examiner's statement |
| 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: |
| 1. | accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or |
| 2. | the accounts do not accord with those records; or |
| 3. | the accounts 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 |
| 4. | the accounts 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 accounts to be reached |
| Jeremy Kitson FCA |
| Prime |
| Chartered Accountants |
| Corner Oak |
| 1 Homer Road |
| Solihull |
| B91 3QG |
| Date: ............................................. |
| HCI (UK) LIMITED |
| STATEMENT OF FINANCIAL ACTIVITIES |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| Period |
| 1.4.15 |
| Year ended | to |
| 31.3.18 | 31.3.17 |
| Unrestricted funds |
Total funds |
| Notes | £ | £ |
| INCOME AND ENDOWMENTS FROM |
| Charitable activities |
| Investment income | 2 |
| Total |
| EXPENDITURE ON |
| Charitable activities |
| NET INCOME/(EXPENDITURE) | ( |
) |
| RECONCILIATION OF FUNDS |
| Total funds brought forward |
| TOTAL FUNDS CARRIED FORWARD | 14,289 |
| HCI (UK) LIMITED |
| BALANCE SHEET |
| AT 31 MARCH 2018 |
| 2018 | 2017 |
| Unrestricted funds |
Total funds |
| Notes | £ | £ |
| CURRENT ASSETS |
| Debtors | 7 |
| Cash at bank |
| CREDITORS |
| Amounts falling due within one year | 8 | ( |
) | ( |
) |
| NET CURRENT ASSETS |
| TOTAL ASSETS LESS CURRENT LIABILITIES |
| NET ASSETS |
| FUNDS | 9 |
| Unrestricted funds | 7,717 | 14,289 |
| TOTAL FUNDS | 14,289 |
| HCI (UK) LIMITED |
| BALANCE SHEET - CONTINUED |
| AT 31 MARCH 2018 |
| The charitable company is entitled to exemption from audit under |
| Section 477 of the Companies Act 2006 for the year ended 31 March 2018. |
| The members have not required the company to obtain an audit of its financial statements for the year ended |
| 31 March 2018 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. |
| These financial statements have been prepared in accordance with the special provisions of Part 15 of the |
| Companies Act 2006 relating to charitable small companies. |
| The financial statements were approved by the Board of Trustees on |
| HCI (UK) LIMITED |
| NOTES TO THE FINANCIAL STATEMENTS |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 1. | ACCOUNTING POLICIES |
| Basis of preparing the financial statements |
| HCI (UK) Limited is a charitable company in the United Kingdom. In the event of the charity being |
| wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The |
| address of the registered office is given in the charity information on page 1 of these financial |
| statements. The nature of the charity's operations and principal activities are to advance education |
| and training by enabling the people of Birmingham and other cities to associate together in a common |
| human endeavor to gather and share visions, experiences, insights and resources in relation to the |
| promotion of good citizenship with a view to the fuller development of the capacities of such people as |
| citizens. |
| 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 2015)', 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. |
| The financial statements are prepared on a going concern basis under the historical cost convention. |
| The financial statements are prepared in sterling which is the functional currency of the charity and |
| rounded to the nearest £. |
| The significant accounting policies applied in the preparation of these financial statements are set out |
| below. These policies have been consistently applied to all years presented unless otherwise stated. |
| Income |
| All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is |
| legally entitled to the income after any performance conditions have been met, the amount can be |
| measured reliably and it is probable that the income will be received. |
| For donations to be recognised the charity will have been notified of the amounts and the settlement |
| date in writing. If there are conditions attached to the donation and this requires a level of performance |
| before entitlement can be obtained, then income is deferred until those conditions are fully met or the |
| fulfilment of those conditions is within the control of the charity and it is probable that they will be |
| fulfilled. |
| No amount is included in the financial statements for volunteer time in line with the SORP. |
| Income from trading activities includes income earned from fundraising events and trading activities to |
| raise funds for the charity. Income is received in exchange for supplying goods and services in order |
| to raise funds and is recognised when entitlement has occurred. |
| Investment income is earned through holding assets for investment purposes such as surplus funds |
| on bank deposit. Interest income is recognised using the effective interest method. |
| Expenditure |
| All expenditure is accounted for on an accruals basis and has been classified under headings that |
| aggregate all costs related to the category. Expenditure is recognised where there is a legal or |
| constructive obligation to make payments to third parties, it is probable that the settlement will be |
| required and the amount of the obligation can be measured reliably. |
| Irrecoverable VAT is charged as an expense against the activity for which expenditure arose. |
| Taxation |
| The charity is exempt from corporation tax on its charitable activities. |
| HCI (UK) LIMITED |
| NOTES TO THE FINANCIAL STATEMENTS - CONTINUED |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 1. | ACCOUNTING POLICIES - continued |
| Fund accounting |
| Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general |
| objectives of the charity and which have not been designated for other purposes. |
| Designated funds comprise unrestricted funds that have been set aside by the trustees for particular |
| purposes. The aim and use of each designated fund is set out in the notes to the financial statements. |
| Support cost allocation |
| Support costs are those that assist the work of the charity but do not directly represent charitable |
| activities and include office costs, governance costs, and administrative payroll costs. They are |
| incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be |
| directly attributed to particular headings they have been allocated to cost of raising funds and |
| expenditure on charitable activities on a basis consistent with use of the resources. Premises and |
| other overheads have been allocated on a percentage use of resources basis. |
| 2. | INVESTMENT INCOME |
| Period |
| 1.4.15 |
| Year ended | to |
| 31.3.18 | 31.3.17 |
| £ | £ |
| Interest received | - | 1 |
| 3. | SUPPORT COSTS |
| Management |
| £ |
| 4,566 |
| Support costs, included in the above, are as follows: |
| Period |
| 1.4.15 |
| Year ended | to |
| 31.3.18 | 31.3.17 |
| Charitable activities |
Total activities |
| £ | £ |
| Promotion and event support | 2,715 | 11,103 |
| Management and administration costs | 91 | 74 |
| Accountancy & examination fees | 1,760 | 1,760 |
| 4,566 | 12,937 |
| HCI (UK) LIMITED |
| NOTES TO THE FINANCIAL STATEMENTS - CONTINUED |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 4. | TRUSTEES' REMUNERATION AND BENEFITS |
| There were no trustees' remuneration or other benefits for the year ended 31 March 2018 nor for the |
| period ended 31 March 2017. |
| Trustees' expenses |
| There were no trustees' expenses paid for the year ended 31 March 2018 nor for the period ended |
| 31 March 2017. |
| 5. | STAFF COSTS |
| The average monthly number of employees during the year was as follows: |
| Period |
| 1.4.15 |
| Year ended | to |
| 31.3.18 | 31.3.17 |
| No employees received emoluments in excess of £60,000. |
| 6. | COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES |
| Unrestricted funds |
| £ |
| INCOME AND ENDOWMENTS FROM |
| Charitable activities |
| Investment income |
| Total |
| EXPENDITURE ON |
| Charitable activities |
| Total |
| NET INCOME/(EXPENDITURE) |
| RECONCILIATION OF FUNDS |
| Total funds brought forward | 11,162 |
| TOTAL FUNDS CARRIED FORWARD | 14,289 |
| HCI (UK) LIMITED |
| NOTES TO THE FINANCIAL STATEMENTS - CONTINUED |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 7. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2018 | 2017 |
| £ | £ |
| Trade debtors |
| VAT |
| 8. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
| 2018 | 2017 |
| £ | £ |
| Trade creditors |
| Accrued expenses |
| 9. | MOVEMENT IN FUNDS |
At 1.4.17 |
Net movement in funds |
Transfers between funds |
At 31.3.18 |
| £ | £ | £ | £ |
| Unrestricted funds |
| General fund | 6,289 | (6,572 | ) | 3,000 | 2,717 |
| Designated fund | 8,000 | - | (3,000 | ) | 5,000 |
| (6,572 | ) |
| TOTAL FUNDS | (6,572 | ) | 7,717 |
| Net movement in funds, included in the above are as follows: |
| Incoming resources |
Resources expended |
Movement in funds |
| £ | £ | £ |
| Unrestricted funds |
| General fund | 12,207 | (18,779 | ) | (6,572 | ) |
| TOTAL FUNDS | ( |
) | (6,572 | ) |
| HCI (UK) LIMITED |
| NOTES TO THE FINANCIAL STATEMENTS - CONTINUED |
| FOR THE YEAR ENDED 31 MARCH 2018 |
| 9. | MOVEMENT IN FUNDS - continued |
| Comparatives for movement in funds |
At 1.4.15 |
Net movement in funds |
At 31.3.17 |
| £ | £ | £ |
| Unrestricted Funds |
| General fund | 3,162 | 3,127 | 6,289 |
| Designated fund | 8,000 | - | 8,000 |
| 11,162 | 3,127 | 14,289 |
| TOTAL FUNDS | 11,162 | 3,127 | 14,289 |
| Comparative net movement in funds, included in the above are as follows: |
| Incoming resources |
Resources expended |
Movement in funds |
| £ | £ | £ |
| Unrestricted funds |
| General fund | 43,770 | (40,643 | ) | 3,127 |
| TOTAL FUNDS | 43,770 | (40,643 | ) | 3,127 |
| 10. | RELATED PARTY DISCLOSURES |
| During the year ended 31 March 2018 Kevin Gulliver invoiced HCI (UK) Limited £13,683 (2017: |
| £19,875). |