THE MACKIE FOUNDA TION UNAUDITED STA TEMENT OFACCOUNTS FOR YEAR ENDED 5 APRIL 2024
THE TRUSTEES OF THE MACKIE FOUNDATION AccouTrifs FOR THE YEAR ENDED 5 f*RIL 2024 PAGE Legal and Administrative Information Trustees, Report Independent Examinevs Report Statement of Financial Activities Noles 10 the accounts 7-13 App8ndlx 1
THE TRUSTEES OF THE MACKIE FOUNDATION AccouTrifs FOR THE YEAR ENDED 5 APRIL 2024 Founder: John Mackie as Settlor Govemlng Document: Declaration of Trust Deed dated 19 September 1990. as amended by Scheme dated 29 October 2015 Trusteos: Fiona Ann Smith James Cooper Mackie Riggs Nicholas Robert Lindsay Barton Charlly Address: Forsters LLP 22 Baker Street London W1U38W Charlty Reglstratlon No: 1000676 Soll¢llor8: Forsters LLP as above Bankers: C Hoare & Co 37 Fleet Street London EC4P 4DQ Investment Advlsers: Ruffer LLP 80 Victoria Street London sWlEL Brooks MacDonald 21 Lombard Street London EC3V 9AH Independent Examlner: Emily Smith FCA of Humphrey & Co Accountsnts: Humphrey & Co Chartered Accountants 7- 9 Th8 Avenue Eastbourne East Sussex BN213YA Page 1
THE TRUSTEES OF THE MACKIE FOUNDATION TRUSTEES. REPORT FOR THE YEAR ENDED S APRIL 2024 The Trustees present their Report together with the Accounts of the FoUlation for the year ended 5 AprS12024. The Accounts have been prepared In accordance with the accounllng policies sel out on pages 7 to 9. the Trust Deed, the Charities Act 2011 and Accounting and Reporting by Charities: Staternenl of Recommended Practice (second edition) applicable to chariti8s preparing Iheir accounts in accordance with the Financial Reporting Standard 102 (efl8Ctive 1 January 20191. Const tutlon Or anisatlon Ob ec Ives and Actlvl f r Ihe Publlc B8nefl The Mackie Foundation was established by a Declaration ol Trust dated 19 September 1990, as amended by Scheme dated 29 October 2015, and Ss a registered Charity, number 1000676. Original Trustees were John Mackie (died 20 November 20051, Thora Mary Mackie {dled 23 Decemb8r 20071 John Adrian Watney and Peter Duncan Inslone (relired 18 April 20181. Mr Watney retired In lavour of Fiona Ann Smith on 17 June 2002. Virginia Leask Riggs was appoinled on 13 December 2005, she subsequently retired on 16 November 2015. James Cooper Mackle Riggs was appolnled on 14 November 2011 and Nlcholas Robert Lindsay Barton was appointed on 2 November 2016. Under the terms ol the Declarailon of Trust, the power of appointing new Trustees is vested in the surviving or continuing Twstees. Trustees are selected having regard lo both their general exwrience. and their knowledge and experienc& ol ih8 objects of the Foundation, and any peisonal knowledge ol the existing Trustees. Professional advice Is available lo new Trusle6s from the exlsting Trust6es lor training purposes regardlng the dutles of a Trustee. Th8 Mackiè Foundatlon Is a grant.making Charlty whlch makes donatlons lo other r8glslergd Charltles. The Twstees ot the Foundation have powers to pay or apply income and capllal ol the Trust Fund lor such charities or for such Charitable purposes as they think Ilt. For charitable reasons they may accumulate any part of income as pemiltted by law. The objects are primarily lor the support of drug or alcohol rehabililallon and medical research charilles. Although the Foundatlon does nol provide 58rvlces directly lo these charities, the Trustees are confident that the charitie5 provide a slgnSficant benefit to the indivldual bgneficlarles concerned through their scrutiny of projects prlor to providing grant fundlng and through follow up dlscusslons with those charities supported. The Truslees conllrm that they have referred to the guldance contained within the Charity CommSssion g8n8ral guSdanee on public benefit when reviewing the Foundatlon's aims and obje0veS and In planning future activltles and setting the donallons Folicy for the year. chl vèments an rm nc Durlng the year thg Tru81ees made grants to other charltlos at th8lr discretion lolalllng £218,95312028: £163,150). as delailed Sn Nota 4 to the accounts. These charitles are primaroly involved In supporting organisations that help Individuals and their lamllles recover from problems related lo drug and alcohol addlclion. Th8 Charlly has various pledges for unrestri¢led donations as disclosed withln Note 12. Al 5 April 2024 the balance ol lunds pledged remaining payable tolalled £100.00012023.' £55,000). evlow for thè At the year end Ihe total Fund was valued at £6,385,019.00 against £6,428,205.27 in 2023. The investment stralegy is set by the Trustees and revlewed annually. In so doing they have regard to the income requirements, risk profile and iheir Investment managers, view of market prospects in the medium term. The Trustees addltionally strive to ensure that investments are appropriate having regard lor the Charity's objectlves by avoidirwJ investments connected wth companies maklng more than 10Yo ol their prolits Irom tobacco and alcohol. Page 2
THE TrUSTEES OF THE MACKIE FOUNDATION ThUSTEES' REPORT FOR THE YEAR ENDED S APRIL 2024 It is the aim of the Trusteès to maintain a balance betsveen investments for capital growth and income generation and to maintain cash funds sufficient to fund anticipated charitable donations over the coming year. Reserves available for distribution total £39,867.31 {2023: £80,722.29) encompassing funds not maintained in inveslments, the Trustees consider this reasonable to fund future donations. Rlsk M na emen The Trustees, wh thè aid of thelr investment managers, malntain a regular vlew over the major strategic, investmènt and 0rational risks that the Foundallon latss in order that, wherever posslble, such risks are Identilied and steps tsken lo less8n these risks. stees A The Truste8s receSve no remuneratlon for thelr $8rvic88 as Trustees. Stateme onslblll The Trustees are responsible for preparing an Annual Report and Flnancial Slalements In accordance wllh applicable law and Unll8d Kingdom Accounting Standards IUnlt8d Kingdom Generally Accepted Accounting Pracllce). The Law applicable to Charities In England and Wales requires the Trustees to prepare flnancial statements for each financial year whSch give a true and fwr view of the stale of affaSrs of the Foundation and of tha incomlng resources and application of resources of the Foundatlon for that perlod. In pr8paring such financlal Statements, the Trustees are required to: select sultable accountlng policies and apply them consistently; observe the methods and prlnclples in the Charities, SORP; make Judgements and eslimales that are reasonable and prudent. stale whether applicable accolsnting standards and statemènts ot recommended practice havè been followed. subject to any departur8s disclosed and explalned in the linanclal slatements; prepare the financial statements on the going concem basls unless It is inapproprlale lo presume that the Trust wlll conllnue ils activlly. The Trusteès are responslble for keeping SLrtricient accounting records whlch dlsclose wlth reasonable accuracy the financlal posilion ol the Foundation and enable them lo ensure that the linancSal slatements comply wlth th8 Charities Act 2011, The chatY (Accounts and Repottsl R8gulations 2008 and the provisions ol the Trust Deed. They are also responsible lor safeguarding the assets ol the Foundation and for laking reasonable steps lor the prgV8ntlon and deleclion ol fraud and other Irr8gularities. Slgned on behalf ot the Trustees A Sfflilh Date Page 3
THE TRUSTEES OF THE MACKIE FOUNDATION ACCOUNTS FOR THE YEAR ENDED S APRIL 2024 Inde endent Examlner's Re orl to the Trustees of The Mackle Foundation I report to the Irustees on my examination of the accounts of The Mackie Foundation {the Trust} for the year ended 5 April 2024. which are set out on pages 5 10 13. Res onslbllltles and basls ol re As Ihe charity trustees of The Mackie Foundalion you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act'l. I report in respect of my examination of the Trustees, accounts carried out under Section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charily Commission under Section 14515)Ib) of Ihe 2011 Act. Inde endpnt Fxxminftr, I have completed my examinalion. I confirm that no material matters have come lo my attention in connection with the examination giving me cause to believe that in, any material respect: 1) accounting records ware not kept in respect of the Trust as required by section 130 of the Charities Acl. or 21 the accounts do not accord wSth those records. or 3) the accounts do not comply with the applicable requirements concernlng the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'lrue and fair, view which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection with the examination to wthich attention should be drawn in this report in ord8r to enable a proper understanding of the accounts to be r8ach8d. Name: Date 2111112024 E Smlth FCA Humphrey & Co Chartered Accountants 7-9 The Avenue Eastt)ourne East Sussex BN213YA Page 4
THE TRUSTEES OF THE MACKIE FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 5 APRIL 2024 Unrestricted funds Note 2024 2023 INCOMING RESOURCES Investment Income Outstanding tax relief 186,307.39 1,782.12 186,307.39 1,782.12 181,876.83 1,662.75 TOTAL INCOMING RESOURCES 188,089.51 188,089.51 183.539.58 RESOURCES EXPENDED Costs of generatlng fund8 Investment management fees 21,651.11 21,651.11 20,996.44 Charllable actlvltles Donations 218,953.00 218,953.00 163,150.00 Support cos18 Legal fee5 Accountancy fees Bank charges Trustee expenses 14 28,891.20 3,840.00 15.49 110.79 28,891.20 3,840.00 15.49 110.79 22,045.20 3,840.00 44.00 256.92 13 TOTAL RESOURCES EXPENDED 273,461.59 273,461.59 210.332.56 NET (OUTGOING) RESOURCES BEFORE OTHER RECOGNISED GAINSI(LOSSES) 185,372,08} (85,372.08) 126,792.98) OTHER RECOGNISED GAINSI(LOSSES) Gainsl(1055es) on investments held for charitable use 42,185.81 42,185.81 (289,243.60> NEf MOVEMENT IN FUNDS 143,186.271 143,186.27) (316,036.58} TOTAL FUNDS brought fonvard at 6 Aprll 2023 6.428,205.27 6,428,205.27 6.744,241.85 TOTAL FUNDS carrled loNJard al 5 Aprll 2024 6,385,019.00 6,385,019.00 6,428,205.27 The notes on pages 7 to 13 form part ol these accounts. Page 5
THE TRUSTEES OF THE MACKIE FOUNDATION BALANCE SHEET AS AT 5 APRIL 2024 Unreslricted lunds Note 2024 FIXED ASSErs Investments 6,345,151.69 6,345,151.69 6,347.482.98 6.345,151.69 6,345,151.89 6.347,482.98 CURRETrif ASSETS cash at bank Dabtors 152,920.06 1,782.12 152,920.06 1,782.12 143.162.38 1.662.7S 154,702.18 154.702.18 144.825.13 CURRETrif LIA81LITIES Creditors: amounts falllng du8 wlthln one year 184,834,871 184,834.87) 144,102.84) NET CURRENT ASSETS 69,867.31 69,867.31 100,722.29 LONG TERM LIABILITIES Creditors: amounts falllng due after one year 10 130,000.IJ)I 130,000.00) 120,000.00) TOTAL ASSETS LESS CURRENT LIABILITIES 8,385,019.00 6,385,019.00 6.428,205.27 FUNDS OF THE CHARITY UNRESTRICTED FUNDS 6,385,019.00 6.385,019.00 6.428,205.27 The notes on pages 7 to 13 form part of Ihe5e accounts. Approved on behall ot the Trustee8 by:" na A Smlth Dated:. Page 6
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED S APRIL 2024 1. ACCOUNTING POLICIES 1.1 Charily Informatlon The Mackie Foundation was established und8r the terms of the Declaration of Trust Deed dated 19 September 1990, as amend8d by Scheme dated 29 October 2015 and is a Chariiy registered in England and Wales (Charity number 1000676). 1.2 Accounllng Conventlon The Financial Statements have been prepared in accordance wlth Accounting and Reportlng by Charities: Statement of Recommended Practice (second edilion} applicable to charities preparing their accounts in accordance wlth the Financial Reporting Standard 102 (eff8clive 1 January 2019}. the Charities Act 2011 and applicable regulatlons. The Charity is a publlc beneflt entity as defined by FRS 102. The Accounts have departed Irom the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recornmended Practice which Is referred to in the Regulations bul which has since been withdrawn. The Financial Statements are prepared in sterling, which is the functional currency of the Charity. The Financial Statements have been prepared und8r the historical cost convention as modrfied by the inclusion of Investmenls at market value. 1.3 Golng Concern At Ihe time of approving the Accounts, th8 Trustees have a reasonable expectation that the Charty has adequate resources to continue in operational exist8nce for the toreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial slatements. 1.4 Incomlng Resources All income is recognised once the Charity has entitlement to the income, it is probabl8 that the Income will be received and the amount of Income receivab18 can be measured reliably. Investment income is accounted for in the period in which the Charity is entitled to r8ceipt. there Is sufficient cerlainty of receipt and so It Is probable that the income wlll be received, and the amount of income receivable can be measured reliably. The Charity is a regislered Charity and therefore is not liable for income tax or corporation tax on income derlved from ils charitable activities, as il falls within the various exemptions available to registered charities. Pag8 7
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE Accoufrifs FOR THE YEAR ENDED 5 APRIL 2024 1.5 Resources Expended Expenditure is recognised on an accrual basis as a liability is incurred. Costs of generating funds comprise the Investmenl Managers. costs associated with the management of the investment portlolio in accordance with the strategy set by the Trustees. Grants payable are payments made to third parties in the furtherance of the charitable objects of the Trust. In the case of an unconditional grant offer this is accrued once the recipient has been notified of Ihe grant award. The notification gives the recipient a reasonable expectation that they will receive the one year or multi-year grant. Grants awards that are subject to th8 recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled conditions attaching to that grant are outside of the control of the Trust. Provisions for grants arg made when thp intp.nlinn In makp. a arani has been communi¢ai¢d to the recipi8nt but there is uncertainty as to Ihe timing ol the grant or the amount of grant payable. A provision for a mulli-year grant is recognised at its present value where settlement is due over more than one year from the date of Ihe award, there are no unfulfilled performance conditions under the control of the Trust that would permit the Trust to avoid making the fulure paymentlsl, settlement is probable, and the efl8¢t of discounting Is material. Th8 dlscount rate used is the rate offer8d on government bonds (Gilts) for a commensurat8 or similar time period offered in the year in whlch th8 grant award is made. Governance cosls include those costs associated with meeting the constitutional and statutory requirements of the Charity and include the accountancy fees and legal costs linked to slrategic management of the Charity. 1.6 Flxed Asset Investments Investments ar8 initially recognised at their transaction value and subsequently measured by their market value as at the Balance Sheet dale. Listed investments ar8 Stated at Ihe mid price on th8 London Stock Exchange and the bid prices provided by ihe Fund Managers for unit trust holdings. Gains and losses on investment assets are crediled, or debited, to the Statement of Financial Activities in the year in which they aris8. Page 8
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 1.7 Fund Structure The Charity holds unreslricted income funds. Unrestricted income funds comprise those fund5 which Ihe Trustees are free to use for any purpose in furtherance of the charitable objects. 1.8 Flnanclal Instruments The Charty has elected to apply the provisions of Section 11 'Basic Financial Instruments. and Section 12 '0ther Financial Instrument Issues, of FRS 102 lo all of its financial inslruments. Financial instruments are recognised in the Charitys Balance Sheet when the Charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounls presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention lo settle on a n81 basis or to realise the asset and settle the liability simultaneously. Flnan¢lal Assets Basic flnancial assets, which Include debtors and cash and bank balances. are initially measured at transaclion price Including transaction costs and are subsequently carried at amortised cost uslng the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured al the present value of the future receipts discounted at a market rale of interest. Financial assets classified as receivable within one year are not amortised. Flnanclal Llabllltles Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction. where th8 debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financlal liabilities classified as payable within one year are not amortised. Debt Instruments are subsequently carried at amortlsed cost, using the effectlve Interest rate method. 1.9 Crltlcal aeeountlng estlmaio$ and Judgements In the application of the Charitys accounting policies, the Trustees are required lo make judgements. eslimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from olher sources. The estimates and associated assumptions are bas8d on historical experience and other factors thal are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affect5 both current and future p8riods. In the year ended 5 April 2024 the Truste8s consider thal there w8r6 no critical accounting estimat8s and judgements arising that require disclosure. Page 9
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APHIL 2024 Not• 2024 2023 2. INVESTMENT INCOME Investment Incomp )pendlx 1 1BO,338.57 177.564.92 M & G ChabOnd Interest 4DpBndlx 1 1,448.00 959.30 M & G Charlfvnd Divld8nd App8ndlx 1 3,242.54 3,148.29 Bank interest 1,278.28 204.32 £ 186,307.39 181,876.83 3. NET GAINSI LOSSES ON INVESTME R6valuallon of Investments 37,248.35 (296,985.751 Galnl{Lossl on Sale of Investments Appondlx 1 4,937.46 7.742.15 42,185.81 289,243.601 4. Donatlon Number Macmlllan Cancer Support 261017 30,000.00 30,000.00 Tha Neh8mlah Prol8Ct 1058536 90,000.00 St Mungo Communlty Houslng AssoclatSon 11485 35,000.00 The Foard Trust 1001701 21,900.00 Bethany Christlan Trust 1171178 12,500.00 13.750.00 Brynawel Housè Alcohol and Drug Rehabilltatlon Centre 1113952 19,503.00 Row8n Alba SC036775 10,000.00 Hebron Trust 1020095 40,000.00 Spltalflelds Crypt Trust 107&a47 60,000.00 Hope UK 104447S 2,000.00 Tha Nafjonal AsslatIon fDT Chlldren of AlcoholScs 1009143 2.500.(H) TLC- Talk, Listen, Change 512710 14,950.00 £ 218 953.00 163.150.00 The above grants were provided lo instilulSons. Pagg10
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 Note 2024 5. INDEPENDENT XAMINER REMUNERATION During the year the Independent Examlner received remuneratlon for provldlng the below services: Examinalion of the accounts 1.500.00 1.500.(K) Other linancld seNlces 2,340.00 2,340.C 3,840.00 ED ASSET INVE ME TS Listed Investm8nts £ 6,345,151.69 £ 6.347,482.98 UK Equitles and Unit Trusts Flxed Inl8resl Sgcurities Overseas Equiti8S Gl¢Jbal Funds Other Investments £ 2,519.630.32 £ 601,698.93 £ 788,815.27 £ 2,127,947.52 £ 307,059.65 £ 2,439,589.59 £ 459,417.31 £ 817,642.51 £ 2.353.199.64 £ 277.633.93 Flxed Asset Inveslmen18 Revalued Investments are included on the Balance Sheèt al their market value at th& 8nd of the flnanclal perSod. Llsl8d investments are staled at the mid price on the London Stock Exchange and the bid prices provided by the Fund Managers for unlt trust holdings. The hislorlcal cost of the flx8d assot investments Is £5,498,025.07 {2023 . £5,537,604.71 J Movement In Flxed Asset Inve8lmen18 Cost or valuatlon At 5 April 2023 Additlons Valuation changes Dlsposals 6,347,482.98 196,328.68 42,185.81 (240,845.78) 6,670.277.77 360,322.49 1289,243.60} 1393,873.68} At 5 April 2024 6,345,151.69 £ 6,347,482.98 7. CASH AT BANK C Hoare & Co 88.558.56 60,800.97 Brooks MacDonald Capital Account 38,844.45 54.208.92 Brooks Mactbnald Income Account 25.517.05 28,152.49 £ 152,920.06 £ 143,162.38 Page 11
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 2024 2023 8. DEBTORS Tax rec1M on net investments 1,782.12 1,662.75 1,782.12 1,662.75 EDITORS: am un due wlthln Fundlng commltment8 due In under one year 70,000.00 35,000.00 A¢crual8 Investmant Manager fees Accountancy and examinatlon services Leg fees 5,623.67 3.840.00 5,371.20 14,834,87 5.262.84 3,840.00 9,102.84 84.834.87 44,102.84 10. REDITORS: mount f Illn after one ear Fundlng comfflltment8 due after one year 30,000.00 20,C.00 30,000.00 20.000.00 11. FINANCIAL INSTRUMENT Carrylng Amount of Flnanclal Asse18 Debt instruments measured at amortlsed cost Me&8ured at fair value through statement of Ilnanclal actlvities 1,782.12 £ 6,345,151.69 1,662.75 £ 6 347,482.98 Carrylng Jrnount of Flnanclal Llabllllles Measured at amortlsed cost £ 114834.87 64 102.84 Page 12
THE TRUSTEES OF THE MACKIE FOUNDATION NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2024 12. FUNDING COMMITMENTS Spilallields Crypt Trust In June 2022 the Charity enlered into a fundlng commitment lo providg a donation of £60,000 payable In equal quarterly payments of £5,000 lo Spitalfields Crypt Trust commencing In June 2022. AI 5 April 2024 the Charity had paid £40.000 to Spilallields Crypt Trust with £20,000 payable over the remainino term ol Ihe agreement. A balance of £20,000 ig recognised within current funding commitments. Hebron Trust The Charity entered Into a funding commitment lo provlde a donation of £20,000 per annum for years to Hgbron TrusL Al the year and £20,000 Is payable to th8 Charity. B8thany Chrlslian Trust In April 2021 the Charfty entered into a commitment to provlde unreslricted donations 01 £15,000 per annum lor three years to the Bethany Christian Trust. The final contribution was pald on 25 April 2023. At the 5 April 2024 the Charity hadpald £45,CN)O and therefore the commSlment ha8 been fullllled. The Nehmlah Project The Charity enlered into a lundlng commitmenl lo providé a donation 01 £30,000 to The Nehmiah Project per annum lor three yoafs. Al 5 April 2024 the Charity had paSd £30,000 lo The Nehmiah Prolecl wlth £60,000 payable ovar tha remaining term ol thg agr8emenl. A balance of £30.000 is recognlsed within current fundlng commitments. . TRUS NERATION AND EXPE The Truslees received no rernuneration or benefits in the year {2023'. nill. One Trusl8e had thelr expenses met by Ihe ChaTity amounllng to £110.79, th888 exp8nses related lo travel and subsistsnc8 on Charlty related matters the year {2023: £256.92). ELATED PARTY TRANSAC Ms Flona A Sfflilh. Trustee, Is a Partn&r at Forsl8rs LLP who have provlded legal $8rvic8S, totalllng £28,891.20 12023: £22.045.201 k) the Charity. At the yoar end £5,371.20 is owed to Forsters LLP. Page 13
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