Colchester Archaeological Trust Limited - Charities report - 20.2

REGISTERED COMPANY NUMBER: 01578133 (England and Wales)

REGISTERED CHARITY NUMBER: 283354

Report of the Trustees and

Financial Statements

for the Year Ended 31st March 2020

for

COLCHESTER ARCHAEOLOGICAL TRUST LIMITED

Page

Report of the Trustees

1

to

5

Independent Examiner's Report

6

Statement of Financial Activities

7

Balance Sheet

8

to

9

Cash Flow Statement

10

Notes to the Cash Flow Statement

11

Notes to the Financial Statements

12

to

22

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 31st 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 aims

The objectives of the Trust are to advance the education of the public in the science of archaeology and to promote the appropriate preservation, recording, excavation and interpretation of archaeological sites and historic buildings in Colchester and the neighbouring districts.

To achieve these ends the Trust has the power to conduct archaeological excavations and surveys, carry out appropriate research, publish the results and mount exhibitions. The Trust is obliged to ensure the safe-keeping of all its finds and records and to arrange for their eventual deposition in an appropriate public institution.

Powers to achieve these ends include:

a) the ability to acquire, mortgage, rent or sell real or personal estate;

b) the ability to construct, maintain or alter houses or other buildings;

c) to accept gifts of property;

d) the ability to raise money by appeals or subscriptions or by accepting donations providing that the Trust does not undertake permanent trading activities in raising funds for the objectives of the Trust.

Ensuring our work delivers our aims

We review our aims, objectives and activities each year. The review looks at what we have achieved and the progress of our work in the previous 12 months.The review also helps us to ensure our aim, objectives and activities remain focused on our stated purpose. We have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing our aim and objectives and in planning our future activities.

Public benefit

The Trust promotes archaeology through lectures and open days on sites, these and other charitable activities are undertaken to further our charitable purposes for the public benefit.

Volunteers

Volunteers continue to play a crucial role in the development of the centre and in the work of the Trust. About 30 volunteers came to offer help on a regular basis throughout the year on a range of projects and tasks including interacting with visitors to the centre, gardening, helping process archaeological finds from recent excavations, or helping to make our giant 1:400 scale model of the Roman town. Trustee volunteer Neil Staff aided by Richard Todd and other volunteers continued to undertake much needed maintenance and improvement work in and around the visitor centre and the Trust offices above.

ACHIEVEMENT AND PERFORMANCE

STRATEGIC REPORT

Achievement and performance

Last year's increased performance was maintained. Total income this year was £880,390 (2019: £829,205) of which £855,562 (2019: £795,255) related to fieldwork contracts. The work programme was not significantly impacted by the Covid-19 pandemic since the outbreak in Britain started at the very end of this financial year.

As in recent previous annual reports, we present below a measure of performance based on the completion dates of the project reports since these provide a clearer indication of performance and achievement than project starting dates. The completed reports consist mainly of accounts of investigations on development sites, desktop assessments of archaeological sites, archaeological excavations, and historic building surveys. These reports were uploaded on to the CAT/University of Essex domain (http://cat.essex.ac.uk) and thereby, with the exception of the desktop assessments, made available for free and unrestricted public download.

Based on the reports finished in the year, the following table reveals the now familiar geographical spread of projects in which we can see a fairly even split between Colchester and the rest of Essex with limited penetration into the surrounding counties.

Year

2019-20

2018-19

2017-19

2016-17

2015-16

Colchester

112

61

68

78

52

Elsewhere in Essex

54

76

64

74

56

Suffolk

4

15

4

10

4

Hertfordshire

2

4

2

1

1

Cambridge

0

0

0

1

0

Totals

172

156

138

164

113

The number of quotations accepted in the financial year 2019-20 for future new projects (as opposed to further work on existing ones) is another good, albeit indirect, indicator of the Trust's performance during that period. The number of jobs for which quotations were given during this time was 243 (261) of which 76% (74%) were successful. The total value of the latter group is almost double that of the previous year although this is likely to be a large spike because a few of these projects are large and are likely to extend over several years.

The breakdown in terms of project type for 2019-20 as compared with previous years:

Year

2019-20

2018-19

2017-18

2016-17

2015-16

Desktop assessment

21

8

13

14

14

Building recording

11

6

9

14

6

watching briefs

72

56

58

54

35

Excavations

17

22

11

12

9

Evaluations

36

58

47

69

48

Geophysical surveys

4

0

0

1

1

Heritage impact statements

11

6

0

0

0

Totals

172

156

138

164

113

Fieldwork

As regards fieldwork, two projects stood out, both within the walled Roman town. Under the former 'Jacks' shop, remains were discovered of a public bath house thus providing a major step forward in the exploration and mapping of Roman Colchester. At the other side of town, next to the Mercury Theatre, the remains of Roman houses were uncovered which provided rare and evocative evidence for their abandonment not long before the end of the Roman town, roofless but with walls left standing

Out in the countryside, two large multi-period sites both over 2 ha in size kept the team very busy. At Dovercourt there was a Middle Bronze Age barrow, a Romano-British field system with enclosure, an Anglo-Saxon sunken-featured building and a rectangular post-built hall whereas, in north Ipswich, a whopping 15 km of evaluation trenching revealed evidence of Late Neolithic/Early Bronze Age occupation and flint axe production, and an Iron Age field system.

Roman Circus Centre and CAT outreach

The Roman Circus Visitor Centre was re-opened in March for the summer of 2019. This time aspirations were raised and, for the first time, a manager cum outreach officer was appointed to run and develop the centre.

During the summer, a team of six volunteer guides led by trustee Jonathan Pearsall worked hard to provide visitors with tours around the Roman circus site. Their efforts were well rewarded because, by the end of the season, there had been 85 tours with over 600 participants.

Inside the centre, there was Digit!, a new exhibition about some of the discoveries from the most recent excavations in the town. These included the Roman public bath house (a major find) and the extraordinary remains of several Roman houses which had been vacated and abandoned at the end of the Roman period (both mentioned above).

On top of this, in the Visitor Centre there were:

a) six educational visits nearly all of which were by primary schools

b) six other group visits

c) various special events in the Centre including National Heritage Open Days in the company of the Colchester Roman Society, a Christmas Craft Fair, three fund-raising shows (featuring Martin Newell, Quatro Amici, and the Myland Singers), and various public talks by CAT archaeologists about recent discoveries.

As part of the CAT outreach programme generally, there were also:

a) 18 external presentations by members of staff to societies of various sorts, conferences and the general public,

b) two well-attended public open days (Mercury Theatre and Essex County Hospital) and

c) four TV appearances and two radio interviews.

The Friends of the Colchester Archaeological Trust is a support group for the Trust, though is independent of it. However, its function is to make it easier for members of the public to keep in touch with the latest archaeological developments in the area, and to provide a means whereby they can express their interest in Colchester's past. Membership of the Friends stood at around 300.

The Trust also continues to welcome and support the Young Archaeologists Club by providing a free venue for the club's meetings.

The importance of the web continued to grow with the number of views on our main website,

thecolchestearchaeologist.co.uk, reaching 378,277 by the end of the calendar year 2019.

FINANCIAL REVIEW

Financial position

The charity has general reserves of £468,849 at the end of the year, which are sufficient to cover 5 years and 5 months management and administrative expenses and other costs.

Principal funding sources

The principal funding sources are fees for archaeological work, donations, gifts and reserves.

Reserves policy

The Council of Management has resolved to establish reserves to provide for future activities. Designated contingency funds are maintained to cover future costs.

Going concern

The Council of Management is satisfied that the Trust's assets in each fund are available and adequate to fulfil its obligations in respect of each fund.

The charity has adequate reserves to continue as a going concern for the forseeable future.

FUTURE PLANS

The charity plans continuing the activities outlined above in the forthcoming years subject to satisfactory funding arrangements.

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.

Recruitment and appointment of new trustees

Members are elected or re-elected by rotation at the Annual General Meeting. There are no restrictions on the number of terms of office a member can serve but the Trust's constitution does specify a maximum number of members.

New trustees are selected because of their expertise and competencies that they are able to offer; no specific training is required.

Organisational structure

The Council of Management meets regularly throughout the year to discuss and plan objectives and the implementation thereof. Matters of general concern are raised with all members. A committee of members with voting rights meets separately to discuss financial matters.

The Council of Management consists of the Trustees and a number of members appointed by other bodies, some of whom are entitled to vote while others are non-voting members. All members are welcomed to contribute to the discussions.

The day to day management of the Charity is delegated by the trustees to the Chief Archaeologist.

Wider network

The Essex Society for Archaeology and History, The Royal Archaeological Institute and the Colchester Archaeological Group are members of the Trust and, as such, each nominates a voting member to the Council of Management.

Related parties

Transactions with related parties are disclosed in the notes to the financial statements.

Risk management

The Council of Management identifies the major risks to which the Trust is exposed each financial year when preparing and updating its strategic plans. The members review any major risks which have been identified and establish systems to mitigate those risks. The Trustees are satisfied that systems are in place to mitigate their exposure to the major risks that have been so identified and reviewed.

The Trust is open to the usual financial risks of any organisation and the Trust has introduced controls to minimise those risks. In addition management accounts are regularly produced and explained to the Council of Management and are open for member inspection at any time.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

01578133 (England and Wales)

Registered Charity number

283354

Registered office

Roman Circus House

Roman Circus Walk

Colchester

Essex

CO2 7GZ

Trustees

N P Wickenden Chairman

J I Fulford Vice Chairman (deceased 1/11/2020)

E A Bourton

G A P Chadwick

A F Clark

N Cochrane

G M R Davies

S C Lansley

C P Liddy (resigned 31/3/2020)

J C Pearsall

A B Phillips

N C Staff

D J Goodman

J Mallinson

C Farndell

B Lawrence (appointed 31/1/2020)

N Cope (appointed 31/1/2020)

Company Secretary

W J Mallinson

Independent Examiner

Attenboroughs (Accountants) Limited

Chartered Certified Accountants

1 Tower House

Tower Centre

Hoddesdon

Hertfordshire

EN11 8UR

Bankers

The Co-operative Bank p.l.c

P.O. Box 250

Skelmersdale

WN8 6WT

Approved by order of the board of trustees on 25th November 2020 and signed on its behalf by:

N P Wickenden - Trustee

Independent examiner's report to the trustees of Colchester Archaeological Trust Limited ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31st March 2020.

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

Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of FCCA which is one of the listed bodies.

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.

Mr David Roger Pattman

FCCA

Attenboroughs (Accountants) Limited

Chartered Certified Accountants

1 Tower House

Tower Centre

Hoddesdon

Hertfordshire

EN11 8UR

25th November 2020

31/3/20

31/3/19

Unrestricted

Restricted

Total

Total

fund

funds

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2

(2

)

11,942

11,940

16,622

Other trading activities

3

868,434

-

868,434

812,582

Investment income

4

16

-

16

1

Total

868,448

11,942

880,390

829,205

EXPENDITURE ON

Raising funds

5

751,338

14,006

765,344

605,686

Charitable activities

6

Management and administrative costs

118,666

946

119,612

49,597

Other

-

-

-

46,322

Total

870,004

14,952

884,956

701,605

NET INCOME/(EXPENDITURE)

(1,556

)

(3,010

)

(4,566

)

127,600

Transfers between funds

20

120,070

(120,070

)

-

-

Net movement in funds

118,514

(123,080

)

(4,566

)

127,600

RECONCILIATION OF FUNDS

Total funds brought forward

470,404

154,100

624,504

496,905

TOTAL FUNDS CARRIED FORWARD

588,918

31,020

619,938

624,505

Surplus and Deficit Account 968

Posting discrepancies were found in the reserve accounts listed below. This is because the brought forward postings in the current year are not equal to the figures carried forward by IRIS at the end of last year. Please check your postings in the brought forward account for the surplus and deficit account 968.

Unrestricted

funds

Total funds

£

£

Brought forward - 968/1

470,404

470,404

Carried forward

470,405

470,405

Difference

1

1

Post to relevant accounts (see ICHA chart of accounts for further details)

31/3/20

31/3/19

Notes

£

£

FIXED ASSETS

Tangible assets

12

473,126

471,727

CURRENT ASSETS

Stocks

13

2,238

2,377

Debtors

14

303,484

337,005

Cash at bank and in hand

161,410

132,187

467,132

471,569

CREDITORS

Amounts falling due within one year

15

(195,498

)

(179,369

)

NET CURRENT ASSETS

271,634

292,200

TOTAL ASSETS LESS CURRENT LIABILITIES

744,760

763,927

CREDITORS

Amounts falling due after more than one year

16

(124,822

)

(139,422

)

NET ASSETS

619,938

624,505

FUNDS

20

Unrestricted funds

588,918

470,405

Restricted funds

31,020

154,100

TOTAL FUNDS

619,938

624,505

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31st March 2020.

The members have not required the company to obtain an audit of its financial statements for the year ended 31st 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.

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 25th November 2020 and were signed on its behalf by:

N P Wickenden - Trustee

Cash flows from operating activities

Cash generated from operations

1

48,166

64,277

Interest paid

(5,826

)

(6,063

)

Net cash provided by operating activities

42,340

58,214

Cash flows from investing activities

Purchase of tangible fixed assets

(5,731

)

(9,712

)

Sale of tangible fixed assets

-

958

Interest received

16

1

Net cash used in investing activities

(5,715

)

(8,753

)

Cash flows from financing activities

Loan repayments in year

(14,741

)

(5,154

)

Net cash used in financing activities

(14,741

)

(5,154

)

Change in cash and cash equivalents in the reporting period

21,884

44,307

Cash and cash equivalents at the beginning of the reporting period

2

132,187

87,880

Cash and cash equivalents at the end of the reporting period

2

154,071

132,187

1.	RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

31/3/20

31/3/19

£

£

Net (expenditure)/income for the reporting period (as per the Statement of Financial Activities)

(4,566

)

127,600

Adjustments for:

Depreciation charges

4,332

4,301

Loss on disposal of fixed assets

-

1,972

Interest received

(16

)

(1

)

Interest paid

5,826

6,063

Decrease in stocks

139

273

Decrease/(increase) in debtors

33,520

(49,646

)

Increase/(decrease) in creditors

8,931

(26,285

)

Net cash provided by operations

48,166

64,277

2.	ANALYSIS OF CASH AND CASH EQUIVALENTS

31/3/20

31/3/19

£

£

Cash in hand

520

520

Notice deposits (less than 3 months)

160,890

131,667

Overdrafts included in bank loans and overdrafts falling due within one year

(7,339

)

-

Total cash and cash equivalents

154,071

132,187

3.	ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS

At 1/4/19

Cash flow

At 31/3/20

£

£

£

Net cash

Cash at bank and in hand

132,187

29,223

161,410

Bank overdraft

-

(7,339

)

(7,339

)

132,187

21,884

154,071

Debt

Debts falling due within 1 year

(5,033

)

141

(4,892

)

Debts falling due after 1 year

(139,422

)

14,600

(124,822

)

(144,455

)

14,741

(129,714

)

Total

(12,268

)

36,625

24,357

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.

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.

Income derived from the rendering of services is stated after trade discounts and net of VAT.

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.

Allocation and apportionment of costs

The following policies are applied to the resources expended by the charity:

Costs of raising funds - expenditure directly related to the receipts of funds.

Charitable activities - Other labour costs not directly related to the receipt of funds, the costs of the Trusts premises and all other costs.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

20% on cost

Motor vehicles

-

20% on cost

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

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.

Pension costs and other post-retirement benefits

The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.

2.	DONATIONS AND LEGACIES

31/3/20

31/3/19

£

£

Donations

11,940

16,622

3.	OTHER TRADING ACTIVITIES

31/3/20

31/3/19

£

£

Fieldwork contracts

855,562

795,255

Publication and miscellaneous sales

879

892

Roman Circus Café income

6,747

12,557

Roman Circus Centre hire

5,246

3,878

868,434

812,582

4.	INVESTMENT INCOME

31/3/20

31/3/19

£

£

Deposit account interest

16

1

5.	RAISING FUNDS

Other trading activities

31/3/20

31/3/19

£

£

Purchases

202,538

106,770

Staff costs

540,712

483,227

Travel and subsistence

9,893

6,842

Computer and website costs

1,869

435

Roman Circus Centre costs

3,148

7,508

Town model costs

1,097

309

Art exhibition costs

-

595

Bernard Colbron costs

6,068

-

Freda Nichols costs

19

-

765,344

605,686

6.	CHARITABLE ACTIVITIES COSTS

Support

costs (see

note 7)

£

Management and administrative costs

119,612

7.	SUPPORT COSTS

Governance

Management

Finance

Other

costs

Totals

£

£

£

£

£

Management and administrative costs

68,622

5,878

42,474

2,638

119,612

8.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31/3/20

31/3/19

£

£

Independent Examiner's fee

2,638

2,625

Depreciation - owned assets

4,332

4,301

Deficit on disposal of fixed assets

-

1,972

9.	TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31st March 2020 nor for the year ended 31st March 2019.

Trustees' expenses

There were no trustees' expenses paid for the year ended 31st March 2020 nor for the year ended 31st March 2019.

10.	STAFF COSTS

31/3/20

31/3/19

£

£

Wages and salaries

558,029

481,632

Social security costs

39,508

43,374

Other pension costs

9,510

5,193

607,047

530,199