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← The Cecil King Memorial Foundation

2025-04-30-accounts

THE CECIL KING MEMORIAL FOUNDATION

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2025

Registered number: 1002318

THE CECIL KING MEMORIAL FOUNDATION CONTENTS

Page
Trustees’ Report 3 – 6
Independent Auditor’s Report to the Trustees 7 – 9
Statement of Financial Activities 10
Balance Sheet 11
Statement of Cash Flows 12
Notes to the Financial Statements 13 – 20

2

THE CECIL KING MEMORIAL FOUNDATION TRUSTEES’ REPORT FOR THE YEAR ENDED 30 APRIL 2025

Charity Name and Number

Cecil King Memorial Foundation: registered charity number: 1002318

Correspondence Address

C/o 12 Mountain Road, Newtownards, Co. Down, BT23 4UL

Trustees Dates of Service Mr David Railton, Chair of trustees 1991 - current Mr John Clark 1994 - current Professor Colin Gough 1996 - current Ms H McLachlan 2016 – current William Colin Dawson Clark June 2023 - current

Professional Advisors

Independent Auditors: Forvis Mazars, Harcourt Centre, Block 3, Harcourt Road, Dublin 2 Bankers: Hoares Investment Managers, 37 Fleet Street, London

Investment Management: Cazenove Capital, 12 Moorgate, London

Trustees’ Annual Report for the year ended 30 April 2025

The trustees present their annual report and financial statements of the charity for the year ended 30 April 2025. The financial statements have been prepared in accordance with the accounting policies set out in note 2 to the accounts. They comply with the charity’s trust deed, the Charities Act 2011, and Accounting and Reporting by Charities: Statement of Recommended Practice(SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland(FRS 102), as published in November 2019.

History, objectives and activities of the Trust

The Cecil King Memorial Foundation was established in 1991 by Dame Ruth King, the widow of the late Cecil King to advance particular interests which he espoused during his lifetime.

Cecil Harmsworth King was born on 20 February 1901 and was educated at Winchester and Christchurch College Oxford. After university, he worked for a number of papers including the Daily Mail and Daily Mirror. In 1929 he was made advertising director of the Daily Mirror and in 1951 became its chairman. He held this post until 1963 when he became chairman of the International Publishing Corporation. Cecil King died in 1987.

Both the initial donation made by Dame Ruth and additional amounts donated since, have been under terms which allow the trustees to either retain the amounts as capital or to spend them.

The Trust objectives are certain charitable purposes including Medical and Research, Education and Vocational Training, Promotion and Performance of the Arts and Conservation and Preservation, which were concerns of the late Cecil Harmsworth King.

The trustees identify projects and approach organisations they wish to support. The Foundation does not make grants to people or organisations who apply speculatively.

The Trust also has a policy of not responding to any correspondence unless it relates to grants it has agreed to make or to the general management of the Trust.

3

THE CECIL KING MEMORIAL FOUNDATION TRUSTEES’ REPORT FOR THE YEAR ENDED 30 APRIL 2025

Management and governance arrangements

The trust deed provides for a minimum of 2 trustees. Where there is a requirement for new trustees, this is identified, and the appointment made by the remaining trustees.

The chair of trustees is responsible for the induction of any new trustee which involves awareness of a trustee’s responsibilities, the governing document, administrative procedures and the history and philosophical approach of the charity. A new trustee would receive copies of the previous year’s annual report and accounts and a copy of the Charity Commission leaflet ‘The Essential Trustee: What You Need to Know’.

Risk management

The trustees annually review the risks that the charity faces. To date these have mainly related to investment management, and these have been ameliorated by diversified portfolio management.

Procedures and policy for grant making

The trustees normally meet twice a year to consider what grants they will make and to review any feedback they have received. Nominations for grants are elicited by formal and informal means.

The trustees travel widely in the UK and abroad and use knowledge gained to support the work of the charity and to inform grant making. In the normal course of providing grants, trustees invite potential applicants to make a proposal for funding, and the nature and content of this proposal will vary dependant on the grant type.

Where the Foundation has been working with a recipient for a number of years, and only in some cases, the trustees have entered into fixed term agreements of providing grant aid support. This can range from three to five years. Otherwise, the trustees have a policy that they make only once off grants with no guarantees of future funding.

The trustees always seek feedback on the actual use of the grants given and the achievements made, including those given to individuals. The explanations and feedback received are sufficient for monitoring the quality of the grants made.

The Foundation has an administrator who handles the correspondence relating to grants. The financial affairs of the charity are handled by the administrator.

Achievements and performance of the Trust

This year grants were made under each of the charitable objectives to the following: Medical and Research – Psoriasis Association, St Vincent’s Nurse Award Education and Vocational Training – Young Mathematician of the Year Award, Elmhurst Ballet School, International Christian Youthworks Africa and Young Journalist of the Year Award

Conservation and Preservation – National Churches Trust, Wildlife Protection Society of India Promotion and Performance of the Arts – Music for Awhile, National Youth Orchestra, National Children’s Orchestra, Gabrieli Consort and Young Sounds UK.

Other – The Salvation Army

The trustees will continue to monitor these awards through reports from the recipients to ensure that they have been utilised appropriately.

Financial review, investment policy and reserves

The trustees have set a policy that the expendable endowment should be invested so as to maximise the total return (capital growth plus income) with a medium to high level of risk. The net gain in investment funds for the year was £44,918 (2024 net gain £104,750).

4

THE CECIL KING MEMORIAL FOUNDATION TRUSTEES’ REPORT FOR THE YEAR ENDED 30 APRIL 2025

Although the trustees have the power to spend the expendable endowment, the investment of capital is the only source of ongoing income and so the fund is invested with the objective of ensuring that the expendable endowment retains approximately its real value in the medium term. This approach means the money available to spend as income can fluctuate and, ensures that the amount available for grants remains relatively stable from year to year.

The Foundation employed Cazenove Capital as investment advisors and managers during 2017 and they have continued in this capacity since then.

During the year the investment managers fees were £55,379 (2024: £53,828) and under their management the portfolio earned dividend income of £90,796 (2024: £96,420).

The Foundation has ethical investment policies; these were formulated in February 2013 in the Foundation's Investment policy statement and reconfirmed in July 2017 and December 2019. Cazenove Capital is fully aware of this policy statement.

The net resources, after grants for charities activities, operational expenses, and losses/gains on investments, show a deficit of £115,571 (2024: deficit £31,333).

Given the size of its capital fund, and the size and terms of its annual distributions, the Foundation does not have a reserves policy. For the same reasons, the Trustees do not consider it necessary to hold reserves.

Future plans

The trustees intend to continue providing grants in a similar way to the recent past continuing the emphasis on current areas of giving but retaining flexibility as to the timing, and scale of grant making.

Trustees’ responsibilities in relation to the financial statements

The charity’s trustees are responsible for preparing a trustees’ annual report and financial statements in accordance with applicable law and FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland” issued by the Financial Reporting Council, and the Statement of Recommended Practice (Charities SORP (FRS 102), issued by the Charity Commission for England and Wales, the Charity Commission for Northern Ireland and the Office of the Scottish Charity Regulator.

The law applicable to charities in the United Kingdom requires the charity trustees to prepare financial statements for each 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 charity for that period. In preparing the financial statements, the trustees are required to:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations 2008, and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

5

THE CECIL KING MEMORIAL FOUNDATION TRUSTEES’ REPORT FOR THE YEAR ENDED 30 APRIL 2025

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the Charity Commission’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements. Approved and signed on alf ofthe trustees by: Mr John W.A/|Clafk MrRowseDavid Railton Trustee Trustee Date: 2i/u [2025

6

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE CECIL KING MEMORIAL FOUNDATION

Opinion

We have audited the financial statements of The Cecil King Memorial Foundation (the ‘charity’) for the year ended 30 April 2025, which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and 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 FRS 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:

Basis for opinion

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.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from the date when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report, other than the financial statements and our auditor’s report thereon. 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.

7

INDEPENDENT AUDITOR’S REPORT TO THE TRUSTEES OF THE CECIL KING MEMORIAL FOUNDATION (continued)

Matters on which we are required to report by exception

In 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 Trustees’ Report.

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the trustees’ responsibilities statement set out on page 5 and 6, the trustees 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 charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. Based on our understanding of the charity and its activities, we identified that the principal risks of non-compliance with laws and regulations related to the Charities Act 2011, anti-bribery, corruption and fraud, money laundering, and we considered the extent to which non-compliance might have a material effect on the financial statements . We also considered those laws and regulations that have a direct impact on the preparation of the financial statements, such as the Charities Act 2011.

We evaluated the trustees’ and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates and significant one-off or unusual transactions.

8

INDEPENDENT AUDITORS’ REPORT TO THE TRUSTEES OF THE CECIL KING MEMORIAL FOUNDATION (continued)

Auditor’s responsibilities for the audit of the financial statements (continued)

Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations (irregularities) and fraud that are material to the financial statements. Our audit procedures included but were not limited to:

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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

Use of the audit report

Our audit work has been undertaken so that we might state to the charity’s members those matters we are required to state to them in an auditor’s 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 charity and the charity’s members as a body for our audit work, for this report, or for the opinions we have formed.

Aedv Nox lac

Aedín Morkan

Senior Statutory Auditor Forvis Mazars Chartered Accountants & Statutory Audit Firm Dublin 2

05 December 2025

9

THE CECIL KING MEMORIAL FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 APRIL 2025

Note
Income and endowments from:
Investments
4
Other income
4
Total
Expenditure on:
Raising funds
5
Charitable activities
6
Total
Net gains on investments
9
Net expenditure
Net movement in funds
Total funds brought forward
Total funds carried forward		 2025
STG£
Unrestricted
Funds
101,538
1,674
103,212
55,379
208,322
263,701
44,918
(115,571)
(115,571)
7,320,629
7,205,058		 2024
STG£
Unrestricted
Funds
112,794
1,267
114,061
53,828
196,315
250,143
104,750
(31,333)
(31,333)
7,351,962
7,320,629

The statement of financial activities includes all gains and losses recognised in the year. The notes on pages 13 to 20 form part of these financial statements. All income and expenditure relate to continuing activities.

10

THE CECIL KING MEMORIAL FOUNDATION BALANCE SHEET AS AT 30 APRIL 2025

Note 2025 2024
STG£ STG£
Fixed assets
Investments 9, 12 7,033,824 7,188,205
Current assets
Debtors 10 3,929 2,254
Cash at bank 12 193,831 155,071
197,760 157,325
Creditors: Amounts falling due within one year 11 (26,526) (24,901)
Net current assets 171,234 132,424
Net assets 7,205,058 7,320,629
The funds of the charity:
Unrestricted funds 7,205,058 7,320,629

On behalf of the Trustees:

Trustee: John W. Clark

Trustee: David Railton

Date:

11

THE CECIL KING MEMORIAL FOUNDATION STATEMENT OF CASHFLOWS FOR THE YEAR ENDED 30 APRIL 2025

Note
Net cash flows from operating activities
13
Cash flows from investing activities
Proceeds from sale of investments
9
Payments for investments
9
Proceeds from dividend income
4
Proceeds from interest income
4
Net cash inflow / (outflow) from investing
activities
Increase / (Decrease) in cash and cash
equivalents
Cash and cash equivalents at the beginning of
year
Cash and cash equivalents at the end of year		 2025
STG£
(263,752)
1,857,358
(1,658,059)
90,796
12,417
302,512
38,760
155,071
193,831		 2024
STG£
(256,335)
2,593,229
(2,883,120)
96,420
16,374
(177,097)
(433,432)
588,503
155,071

12

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

1.

General Information

The Cecil King Memorial Foundation (the “charity”) was established in 1991 by Dame Ruth King, the widow of the late Cecil King to advance particular interests which he espoused during his lifetime. The correspondence address is C/o 12 Mountain Road, Newtownards, Co. Down, BT23 4UL. The objectives and principal activities of the charity are set out in the Trustees’ Report.

Statement of Compliance

These financial statements have been prepared in accordance with “FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland”.

2. Accounting Policies

The following accounting policies have been applied consistently in dealing with items which are considered material in relation to the company’s financial statements.

a) Basis of Preparation

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the FRS 102 “The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland”, Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed

The trust constitutes a public benefit entity as defined by FRS 102.

The trustees consider that there are no material uncertainties about the charity’s ability to continue as a going concern. With respect to the next reporting period, 2025-2026, the most significant areas of uncertainty that affect the carrying value of assets held by the charity are the level of investment return and the performance of investment markets.

b)

Funds Structure

The charity trust deed allows the trustees to either retain the initial amount donated or any amounts donated since then or to spend them. The trustees, at their discretion, may allocate any part of the funds to the general purposes of the charity, namely to charitable purposes including Medical and Research, Education and Vocational Training, Promotion and Performance of the Arts and Conservation and Preservation, which were concerns of the late Cecil Harmsworth King.

Unrestricted funds comprise those funds which the trustees are free to use for any purpose in furtherance of the charitable objects.

c) Presentation, functional and foreign currency

The financial statements have been presented in GBP (£) which is also the functional currency of the charity.

Transactions in foreign currencies are recorded at the date of the transactions. All differences are taken to the statement of financial activity.

d) Income recognition

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received, and the amount of income receivable can be measured reliably.

13

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

2. Accounting Policies (continued)

d) Income recognition (continued)

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio.

All income is classified as unrestricted.

e) Expenditure recognition

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 settlement will be required, and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accrual basis. All expenses including support costs and governance costs are allocated to the applicable expenditure headings.

Grants payable are payments made to third parties in the furtherance of the charitable objects of the charity. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive the one-year or multi-year grant. Grant awards that are subject to the recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to that grant is outside of the control of the charity.

All expenditure is classified as unrestricted.

f) Support costs

Support costs arise from those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include administration costs, finance and governance costs which support the charity’s activities. Support costs are allocated on a proportionate basis.

g) Costs of raising funds

The costs of generating funds consist of investment management costs.

h) Charitable activities

Costs of charitable activities include grants made.

i) Fixed asset investments

Investments are a form of basic financial instrument and are initially recognised at their transaction price and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

The charity does not acquire put options, derivatives or other complex financial instruments. The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

14

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

2. Accounting Policies (continued)

i) Realised gains and losses

All gains and losses are taken to the statement of financial activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the statement of financial activities.

j) Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. Cash equivalents that are maturing in more than three months but within one year from the balance sheet date are classified as Current Investments

3. Related party transactions and trustees’ expenses and remuneration

The trustees all give freely of their time and expertise without any form of remuneration or other benefit in cash or kind (2024: £Nil). There were expenses paid on behalf of the trustees for seminar, conference or trustee meeting related travel and accommodation expenses amounting to £5,029 (2024: £3,130). The charity also paid trustee indemnity insurance on behalf of the trustees totalling £430 (2024: £430).

4. Investment Income

Dividend Income
Bank Interest
Expenditure on raising funds
Investment management costs
Expenditure on charitable activities:
Medical and Research
St Vincent’s Nurse Award
Psoriasis Association
Support costs (Note 7)		 2025
STG£
90,796
12,417
103,213
2025
STG£
55,379
55,379
2025
STG£
2,000
11,000
1,794
14,794		 2024
STG£
96,420
16,374
112,794
2024
STG£
53,828
53,828
2024
STG£
2,000
1,000
438
3,438

5. Expenditure on raising funds

6.

15

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

6. Expenditure on charitable activities (continued):

(Continued)
Education and Vocational
Young Mathematician of the Year
Elmhurst School of Dance
International Christian Youthworks Africa
Young Journalist of the Year
Support costs (Note 7)
Conservation and Preservation
National Churches Trust
Wildlife Protection Society of India
Support costs (Note 7)
Promotion and Performance of the Arts
Music for Awhile
National Youth Orchestra
Young Sounds UK
National Children’s Orchestra
Gabrieli Consort
Support costs (Note 7)
Other Grants
The Salvation Army
Support costs (Note 7)
Total
Support Costs
Trustee expenses (Note 3)
Administration expenses (Note 8)
Auditor remuneration		 2025
STG£
12,500
10,000
-
12,500
4,831
39,831
45,100
7,255
7,227
59,582
7,500
25,000
5,000
25,200
5,000
9,346
77,046
15,000
2,069
17,069
208,322
2025
STG£
5,029
14,170
6,068
25,267		 2024
STG£
13,000
10,000
10,000
-
4,821
37,821
45,100
5,991
7,464
58,555
9,000
25,000
5,000
25,200
5,000
10,110
79,310
15,000
2,191
17,191
196,315
2024
STG£
4,381
14,643
6,000
25,024

7. Support Costs

16

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

8. Administration expenses

Professional administrator
Other administration expenses		 2025
STG£
13,715
455
14,170		 2024
STG£
14,207
436
14,643

The average number of employees during the year was nil (2024: nil). Administrative services are outsourced to an external provider. The total cost of these services in the year was £13,715 2024: £14,207.

9. Fixed asset investments

(a) Movement in Investments during the year

Investments at market value 1 May
Acquisitions at market value during the year
Disposals at market value during the year
Gain on investments
Investments at market value 30 April		 2025
STG£
7,188,205
1,658,059
(1,857,358)
44,918
7,033,824		 2024
STG£
6,793,564
2,883,120
(2,593,229)
104,750
7,188,205

17

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

9. Fixed asset investments (continued)

(b) Classification of Investments

Equities - UK
Equities – Non UK
Bonds – UK
Bonds – Non UK
Multi-Asset Funds
Alternatives
Private Equity
Hedge Funds
Cash
Investments at market value 30 April		 2025
STG£
128,250
4,715,369
584,386
462,277
-
449,252
317,320
257,445
119,525
7,033,824		 2024
STG£
203,750
4,669,213
659,085
478,255
50,978
770,995
33,302
239,077
83,550
7,188,205

All investments are carried at their fair value. Investment in equities and fixed interest securities are all traded in quoted public markets. Holdings in common investment funds, unit trusts and open-ended investment companies are at the bid price. The basis of fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value).

The main risk to the charity from financial instruments lies in the combination of uncertain investment markets and volatility in yield. Due to ‘quantitative easing’ and market sentiment favouring lower risk investments, the yield on bonds has been abnormally low giving rise to a significant downside risk of a fall in capital values when interest rates return to normal levels. Although rising interest rates resulting from a stronger economy and improved economic activity should be indicative of improving dividend yields and equity values, there is a concern that the abnormal availability of ‘cheap money’ to the banking sector has led to wider over-valuation of traded assets (an ‘asset bubble’) that may depress equity values once economic conditions ease.

The charity is reliant on dividend yield in part to finance its work and this leads to a greater exposure to international companies, the values of which, together with their yield are exposed to exchange rate risk when converting the holdings into sterling. The outlook for the sterling exchange rate is that it is anticipated to weaken as European, US and Asian economies strengthen. A weakening in the exchange rate will improve sterling returns from foreign currency denominated holdings.

Liquidity risk is anticipated to be low as all assets are traded and the commitment to intervention by central banks and market regulators has continued to provide for orderly trading in the markets and so their ability to buy and sell quoted equities and stock is anticipated to continue. The charity‘s investments are mainly traded in markets with good liquidity and high trading volumes. The charity manages these investment risks by engaging an investment manager and

18

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

9. Fixed asset investments (continued)

operating an investment policy that provides for a high degree of diversification of holdings within investment asset classes that are quoted on recognised stock exchanges. The charity does not make use of derivatives and similar complex financial instruments.

10. Debtors

Accrued interest
Creditors
Grants Payable
Fees and Expenses Payable		 2025
STG£
3,929
3,929
2025
STG£
13,500
13,026
26,526		 2024
STG£
2,254
2,254
2024
STG£
12,500
12,401
24,901

11. Creditors

The 2025 grants payable are for The Young Journalist of the Year (£7,500) and The Young Mathematician of the Year (£6,000).

12. Financial Instruments

Financial assets
Cash at bank
Financial assets measured at fair value through profit or loss		 2025
€’000
2024
€’000
193,831
155,071
7,033,824
7,188,205

Financial assets measured at fair value through profit or loss comprise of fixed asset investments as outlined in Note 9.

13. Cash Flows

Net movement in funds
Increase in debtors
(Increase) / decrease in creditors
Gain on investments
Dividend income
Interest income
Net cash used in operating activities		 2025
STG£
(115,571)
(1,674)
1,624
(44,918)
(90,796)
(12,417)
(263,752)		 2024
STG£
(31,333)
(679)
(6,779)
(104,750)
(96,420)
(16,374)
(256,335)

14. Post balance sheet events

There were no post balance sheet events that would materially affect the financial statements.

19

THE CECIL KING MEMORIAL FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

  1. Approval of financial statements

The financial statements were approved by the Trustees on _</ [1 [2925

20