Annual Report and Financial Statements 2022-2023 - Flipbook - Page 29
Principal accounting policies
CHARITABLE COMPANY INFORMATION
The Conservation Volunteers (TCV) is a charitable
company limited by guarantee (company number
0976410). The registered office is Sedum House, Mallard
Way, Doncaster DN4 8DB. It is registered as a company
and charity in England and Wales and in Scotland.
BASIS OF PREPARATION
The Charity is a public benefit entity.
These financial statements have been prepared in
accordance with the Statement of Recommended
Practice ‘Accounting and Reporting by Charities (FRS
102)’ effective 1 January 2015 (“2015 SORP”), Financial
Reporting Standard 102 (“FRS 102”), the Charities
and Trustee Investment (Scotland) Act 2005 and
regulations 6 and 8 of the Charities Accounts (Scotland)
Regulations 2006 and the Companies Act 2006.
They have been prepared under the historical cost
convention.
These financial statements are presented in Pounds
sterling (£’000).
The principal accounting policies of the Charity are set
out below.
GOING CONCERN
The Trustees have prepared these financial statements
on the going concern basis. The Trustees have reviewed
forecasts to 31 March 2023 and on the basis of those
forecasts believe that the Charity will be able to meet
its liabilities as they fall due. These forecasts have been
prepared having regard to risks and sensitivities to
anticipated financial performance, a review of actual
performance compared to previous forecasts and
consideration of financing arrangements including
overdraft facilities available to the Charity. Based on the
information currently available in respect of the future,
the Trustees consider that the Charity has the plans and
resources to manage its business risks successfully and
that accordingly the Charity will be able to continue
as a going concern for twelve months after the date of
signing the financial statements.
INCOME
Income is recognised when receipt is probable, and the
amount can be reliably measured. Income is deferred
only when the Charity has to fulfil conditions before
becoming entitled to it or where the donor has specified
that the income is to be expended in a future period.
Restricted grants are recognised when they are
receivable provided condition for receipt has been met,
unless they relate to a specified future period, in which
case they are deferred. Grants for the purchase of fixed
assets are recognised when receivable.
Contractual health, conservation and community income
is recognised in the periods in which the associated
work is delivered.
Grants are recognised at the fair value of the asset
received or receivable when there is a reasonable
assurance that the grant conditions will be met and the
grants will be received.
A grant which specifies performance conditions is
recognised as income when the performance conditions
are met. Where a grant does not specify performance
conditions it is recognised in income when the proceeds
are probable and can be reliably measured. A grant
received before the recognition criteria are satisfied is
recognised as a liability.
Whilst time given by our many volunteers in delivering
health, conservation and community activities and
provision of administration, advisory and other support
functions is essential to the work of TCV, this donation
of time is not recognised in these financial statements
since its value cannot be measured reliably for
accounting purposes.
EXPENDITURE
Resources expended are included in the Statement of
Financial Activities on an accruals basis, inclusive of any
VAT that cannot be recovered.
Certain expenditure is directly attributable to specific
activities and has been included in those cost categories.
Support costs, which are attributable to more than one
activity, are apportioned across cost categories on the
basis of direct costs.
FIXED ASSETS
Individual fixed assets costing £2,000 or more are
capitalised at cost.
Tangible fixed assets are initially stated at cost, then
cost net of depreciation. On adoption of the 2015 SORP,
deemed cost of freehold land and buildings was based
on independently prepared valuations as at 1 April 2014.
Existing book values were retained on adoption of the
2015 SORP for all other fixed assets.
Where relevant, income is presented net of VAT.
Income from donations and legacies to the Charity is
included in full in the Statement of Financial Activities
when receipt is probable, the amount can be estimated
reliably and all conditions have been met.
TCV Annual Report and Financial Statements 2022-2329
