LIBURY_HALL - Accounts

The Trustees present their report and financial statements for the year ended 31 March 2020.

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)".

Libury Hall

Libury Hall is a residential care home and is situated near the village of Great Munden in what is considered to be a beautiful part of the Hertfordshire countryside. The home consists of one large house, four cottages, Schorr House Cottage, 4 individual Courtyard flats and an activities centre (known as the Day Centre). It provides residential accommodation for thirty nine adults of both sexes. 17 of the residents live in the main house. The Cottages and Courtyard provide 20 residents with a greater degree of independence. Schorr House Cottage provides intensive 1-1 support 24 hours a day for 2 residents.

Purpose

A fundamental component part of Libury Hall’s constitution is the provision of care and shelter for people with mental health issues and learning difficulties. This is delivered through the auspices of an original Declaration of Trust, which states “the land and buildings belonging to the Charity are used for the aged or mentally infirm of both sexes.” It is achieved through the good governance of Libury Hall’s trustees, its management team and staff.

Mission statement

The ethos of Libury Hall is best summed up in its Mission Statement.

“Libury Hall believes in people; that every individual has a right to be heard with dignity, to receive optimum care and encouragement to achieve individual goals.”

Public benefit

We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities.

Funding

The main source of funding for Libury Hall is residents’ fees paid by the local authority, and NHS, in Hertfordshire. Other residents’ fees are paid by other, out of county, local authorities and self-funding residents.

Achievements

A busy and demanding year for Libury Hall has provided many achievements, a selection of which are listed below. The home has remained clear of Covid-19 up to the date of completing this report. Libury Hall went in to “lockdown” midway through February and this impacted the home in several areas, mainly with activities outside the home along with numbers within the Day Centre for social distancing. All new admissions of residents to Libury Hall has been stopped. Keeping staff save with additional PPE and making sure a robust operating plan and risk assessment is activated and cascaded to all staff remains a major priority.

Unfortunately the impact of Covid-19 on the home activities was difficult for the residents as many activities and holidays had to be cancelled or transferred to the following year. A tuck shop has started which supports the residents who are unable to visit the local shops to buy the things they want. Staff are able to access some items with on-line shopping, this is evident as being the only way that certain items can be acquired for them whilst keeping them and the home Covid-19 free.

• Several staff have started their NVQ 2 in Health and Social Care. Two members of staff have achieved Level 3. Developing and encouraging staff has been of vital importance towards enabling and promoting “Workforce Wellbeing”. This was recognised by CQC with an overall rating of “GOOD” with one “OUTSTANDING”. Covid-19 is now integral to all training provided.

• Throughout most of last year the residents have enjoyed several walking holidays in Devon. Several residents - maximum number of 4- have enjoyed meals out twice a month as they cannot cope with large groups or holidays away. A lot of day activities to the Theatre, Museums and Aircraft open days in and around Cambridge have gone very well. Chair-based activities for health and well- being progressed well. The Day Centre has become a vital part of the home to encourage social and daily living skills.

• Embedding a three level Care pathway has been established giving the residents the ability to move between areas within the home, to aid and support their recovery. This ranges from “full support” in the main house to “semi-supported” in the Bungalows and Independent living within the Courtyard. Schorr House is a Covid-19 Isolation unit until further notice which has slowed down the progress needed.

• Improvements with recording in care plans and cross matching into risk assessments has now been completed coupled with Covid-19 risk assessments being uppermost in their care package.

Training and development

A clear and concise policy for training and development of all staff is now in place. Its effectiveness is evident throughout the development of the independent living areas. The Trustees and Management Team are committed to the continued delivery of this policy.

Review of financial position

Total income in the year amounted to £1,579,475 and total expenditure incurred was £1,567,207. The net movement in funds for the financial year, after investment revaluations, was a surplus of £5,897.

Reserves policy

The Trustees aim to achieve a level of reserves (excluding tangible assets) to cover at least 1.5 months' running expenses. The situation is kept under regular review. The level of general unrestricted funds at the year-end was £184,297.

Investment policy

The Investment Managers aim to produce sufficient growth to match or better inflation rates and to produce income to make possible structural or other major repairs. The Trustees review performance on a regular basis and discuss results with the investment manager. The Trustees are satisfied with the current performance of investments.

Risk management

The Trustees and Director have constructed a Risk Register that identifies the various levels of major risk faced by the Charity and the mitigating factors that control or reduce the level of risk in respective areas. A comprehensive monitoring and review process is in place to identify any new risks and implement any actions required. An action plan is devised to address any concerns and the plan is reviewed annually at the AGM or before if required.

The following is a summary of the principal risks and uncertainties facing the Charity, as identified by the Trustees, together with their plans and strategies for managing those risks:

• Risk 1: Libury Hall loses its status as a registered home through failure to comply with necessary standards of care and operation. The Charity is regulated by CQC and has annual inspections by the local authority. The Trustees review reports and ensure any shortcomings are addressed as a matter of urgency. Robust monitoring and governance are in place with regular meetings of / visits from the Trustees.

• Risk 2: Libury Hall is not able to maintain a sufficient income stream to perform activities. The financial situation is monitored through monthly management accounts, prepared by the internal accountant and reviewed monthly by the Trustees. More analysis is now provided every quarter by the internal accountant. A robust approach with funding authorities is a priority regarding low fees. A two-year plan is in place with an emphasis on 11 residents who were originally £200 per week below fellow residents.

• Risk 3: Libury Hall does not comply with health and safety regulations thus risking harm to (or death of) a resident, member of staff or a visitor and / or financial or other penalties. Regular risk assessments are performed, including risk assessments for individual residents. Staff awareness on health and safety requirements is kept up-to-date through regular training.

Future planning

Planning for the future is an ongoing exercise and covers every aspect of Libury Hall. Financially, operationally and professionally, the Management Team are focused on maintaining current standards of excellence and making improvements wherever necessary. Covid-19 continues to be a high risk to the financial stability of the home. Currently the home has remained clear with robust risk assessments covering all aspects of operational and strategic planning. Staffing numbers have been stable with no future plans for Agency staff.

Governing document and constitution

Libury Hall is a company limited by guarantee and not having a share capital, incorporated on 11 June 2013 and registered as a charity on 1 July 2013.

The Charity was established under a memorandum of association, which established the objects and powers of the Charity, and it is governed by its articles of association.

The Trustees

The Trustees, who are also the directors for the purpose of company law, and who served during the year were:

Recruitment and appointment of trustees

The Trustees shall consist of at least three persons who are individuals over the age of 18 all of whom must be members, support the objects and have signed a written declaration of willingness to act as a charity trustee of the Charity.

The Trustees may at any time co-opt any individual who is eligible under Article 5.3 as a trustee to fill a vacancy in their number or as an additional trustee, but a co-opted trustee holds office only for one year. A retiring trustee who is eligible under Article 5.3 may be reappointed. A quorum at a meeting of the Trustees may be fixed by the Trustees and unless so fixed shall be two trustees.

None of the Trustees has any beneficial interest in the Charity. All of the Trustees are members of the Charity and guarantee to contribute £1 in the event of a winding up.

Management team

Mrs Smith is the CEO of Libury Hall to lead the change needed with the strategic development of the business. Mrs Smith has been employed at the home since the year 2000. Before her appointment to CEO in 2014 she was the Registered Manager.

Ms Jane Davis (previously the Deputy Manager 2015-2018), has been appointed the Registered Manager of Libury Hall and has held the post since 31st July 2018, reporting to the Trustees/CEO.

Mr Lloyd Graver was appointed Deputy Manager 1st July 2018, reporting to the Trustees /CEO. Supporting the Registered Manager in all aspects of the day to day running of the home.

How decisions are made

Trustees exercise leadership by setting priorities towards strategic issues. The Trustees meet regularly with the Director to discuss strategic issues. Day to day operational management of the home is dealt with by the Registered Manager overseen by the Director and Trustees.

Induction and training of trustees

Training and induction will accord with NCVO guidelines.

Trustees seek ways to improve board effectiveness by updating and reviewing their training on an annual basis. Several Trustees completed training days over the year covering a variety of topics: Mental Capacity Act, Deprivation of Liberty, Governance Responsibilities of Charitable Trustees.

Remuneration policy

Pay and remuneration for the Charity's key management personnel is discussed and approved at the AGM by the Trustees. National Industry information is available for benchmarks and parameters.

Acknowledgements

The Trustees wish to express their grateful thanks to Angela Smith for her effective management and commitment to the home. They also wish to express their appreciation for the hard work and dedication of the Manager Jane Davis, Deputy Lloyd Graver and the staff throughout the year.

The Trustees, who are also the directors of Libury Hall for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the Trustees are required to:

- select suitable accounting policies and then apply them consistently;

- observe the methods and principles in the Charities SORP;

- make judgements and estimates that are reasonable and prudent;

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The auditor, Moore Northern Home Counties Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The Trustees' report was approved by the Board of Trustees.

Opinion

We have audited the financial statements of Libury Hall (‘the Charity’) for the year ended 31 March 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

give a true and fair view of the state of the charitable company's affairs as at 31 March 2020 and of its incoming resources and application of resources, for the year then ended;

have been prepared in accordance with the requirements of the Companies Act 2006.

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

the Trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the Charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

In our opinion, based on the work undertaken in the course of our audit:

the information given in the Trustees' Report, which includes the directors’ report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the directors’ report included within the Trustees' report has been prepared in accordance with applicable legal requirements.

In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the Trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

we have not received all the information and explanations we require for our audit; or

the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the Trustees' report and from the requirement to prepare a strategic report.

As explained more fully in the statement of Trustees' responsibilities, the Trustees, who are also the directors of the Charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Residential care home

Residential care home

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

Libury Hall is a private company limited by guarantee incorporated in England and Wales. The registered office is Libury Hall, Great Munden, Near Ware, Hertfordshire, SG11 1JD.

The financial statements have been prepared in accordance 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 Charity is a Public Benefit Entity as defined by FRS 102.

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 accounts have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

At the time of approving the accounts, 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 accounts.

The trustees have considered the impact of the Covid-19 pandemic on the charity's activities and do not believe there to be any change in the going concern status of the charity.

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.

Designated funds comprise funds which have been set aside at the discretion of the Trustees for specific purposes. The purposes and uses of the designated funds are set out in the notes to the financial statements.

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.

Residents' fees are accounted for when receivable.

As the charity is not registered for VAT, all expenditure includes VAT and is recorded on an accruals basis. Charitable expenditure is expenditure incurred in running the home and includes governance costs.

Governance costs are those costs associated with the governance arrangements of the charity, and these include audit, legal advice for trustees, costs associated with trustee meetings and the cost of the preparation of the statutory accounts.

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:

Freehold land and assets in the course of construction are not depreciated.

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 net income/(expenditure) for the year.

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

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 and other short-term liquid investments with original maturities of three months or less.

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.

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.

Residential care home

Residential care home

Residents' fees

Investment income

Repairs and decorations

Food and beverages

Household and laundry

Travel expenses

Light and heating

Telephone

Water

Insurance

Garden

Staff recruitment and training

Office expenses

Other expenses

Governance costs includes payments to the auditors of £8,948 (2019- £9,280) for audit fees.

None of the trustees (or any persons connected with them) received any remuneration during the year and none of the trustees were reimbursed any expenses (2019 - one trustee was reimbursed travelling expenses of £495).

The average monthly number of employees during the year was:

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 charge to profit or loss in respect of defined contribution schemes was £16,884 (2019 - £11,525).

Income

Income

The Amenity fund represents money received from fundraising on behalf of residents and is managed for the general benefit of all residents at the home.

Expenditure

Expenditure

The designated fund represents the net book value of the charity's tangible fixed assets.

Unrestricted funds

Restricted funds

Unrestricted funds

Restricted funds

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:

The remuneration of key management personnel is as follows.

The charity is related to Hertford Planning Service (“HPS”) as one of the trustees, Mr Barry Bennett, is a partner in HPS. It is also related to Chapelfarm Consultants Limited ("CCL"), which is controlled by the spouse of a member of the charity's key management personnel.

During the year, the charity was charged fees of £nil (2019 - £1,278) by HPS and £6,721 (2019 - £20,647) by CCL relating to the ongoing development and maintenance of the charity’s properties. All of the fees have been charged to the statement of financial activities and are inclusive of irrecoverable VAT.

The Charity had no debt during the year.