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2021-03-31-accounts

Charity Registration No. 1002463

Company Registration No. 02525240 (England and Wales)

THE SPEECH, LANGUAGE AND HEARING FOUNDATION ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees A. I. Jaye A Harding T. S. Kaplan A. C. Marks K. J. Lipton Charity number 1002463 Company number 02525240 Principal address Acre House 11-15 William Road London NW1 3ER United Kingdom Registered office Acre House 11-15 William Road London NW1 3ER United Kingdom Independent examiner Andy Rich c/o HW Fisher LLP Chartered Accountants Acre House 11-15 William Road London NW1 3ER Bankers Bank of Scotland St. James's Gate 14-16 Cockspur Street London SW1Y 5BL

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

CONTENTS

Page
Trustees' report 1 - 3
Statement of Trustees' responsibilities 4
Independent examiner's report 5
Statement of financial activities 6
Balance sheet 7
Notes to the financial statements 8 - 16

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 MARCH 2021

The Trustees present their report and financial statements for the year ended 31 March 2021.

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 charitable company's governing document, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (effective from 1 January 2019).

Objectives and activities

The Speech, Language and Hearing Centre Foundation is charitable company limited by guarantee.

The charity's principal objectives are, for the public benefit, to:

In addition, the quorum provisions for meetings of the Trustees were simplified and the provision for obligatory rotation of the directors removed.

Achievements and performance

We seek to maintain the fundraising capacity of the Foundation and adapt its offering to best meet the challenges it experence.

During this year we agreed terms with Blossom House School to take possession of 1/3, Christopher Place and we relet the building to BPAS who run pregnancy advisory clinics. We intend to continue as before in distributing the rental income that we receive and to continue our charitable activities as a grant-making trust.

Public benefit statement

Trustees of a charity have statutory duty to report in their Annual Report on their charity's public benefit. The Trustees have considered this requirement.

We will maintain the Foundation's commitment to enhancing the knowledge and understanding of heading impaired, autistic and communication delayed young children in out society, without providing direct intervention to needy children and their families.

The Trustees have therefore concluded:

Financial review

Financial reviews have been conducted for year ended 31 March 2021. It is the policy of the charitable company that free reserves which have not been designated for a specific use should be maintained at a level equivalent to not less than one year’s budget grant expenditure i.e. £150,000. The Trustees considers that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charitable company’s current activities for at least a year, while consideration is given to ways in which additional funds may be raised. At the year end, the free reserves were £949,204 (2020: £1,015,507).

Investment Policy

There are no restrictions on the Foundation's powers to invest and the Trustees have power to invest monies not immediately required for the Foundation's charitable purposes.

The Trustees have considered the most appropriate policy for investing funds and have decided to place the major part of their funds with a fund manager, with a small part held on short term deposit.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Risk factors

The Trustees have assessed the major risks to which the charitable company is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Structure, governance and management

The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

A. I. Jaye A Harding T. S. Kaplan A. C. Marks K. J. Lipton M.B. Durst (Resigned 17 December 2020)

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

The Trustees a r e responsible f or the financial planning and policies central to the Cha r ity. The Chairman of the Boa r d is And r ew Jaye.

The T r ustees meet r egulatly to discuss p r oposed grants, the management accounts and othe r matters p r esented to them.

The T r ustees have not inc urr ed any expenses on behalf of the Cha r ity du ri ng the year, and no r e-imbu r sement has the r efore been made to them. The t r ustees a r e considered to be the senio r management team and a re not r emune r ated for thei r services.

Employee involvement

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the charitable company continues and that the appropriate training is arranged. It is the policy of the charitable company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

Chairman's Comments:

Covid continues to provide challenges nationwide. Things are starting to improve and to get back to some normality though. However, firstly, the improvement is slow and secondly, we must be aware that restrictions could return as before if Covid numbers increase dramatically. Fortunately, we have not suffered any financial losses this year and so at present we are able to make donations as before.

As a grant making Trust, we have this year made a number of grants, including:

JFS School £15,000 Friends of Beit Issie Shapiro £35,000 RNID £15,000 ICAN £21,250 One to One £7,305 Jewish Deaf Association £9,420 St Mary Magdalene School £12,000 Nuwehoop School £5,000 The Mary Hare Foundation £25,000 Oxford Gardens Primary School £13,475 Haybrook College £5,400 The Sherwood School £18,000 The Southover Partnership £13,004

We hope to continue with further donations, and we have in hand a number of applications which we are currently considering. I would like to thank our administrator, Juliet Feldman, also Gavin Wilkinson our bookkeeper for their hard work and effort, and my co-trustees for their continued support.

The Trustees' r eport was approved by the Board of Trustees.

A. I. Jaye

Trustee Dated: 20 December 2021

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2021

The Trustees, who are also the directors of The Speech, Language And Hearing Foundation 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 charitable company 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:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company 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 charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

INDEPENDENT EXAMINER'S REPORT

TO THE TRUSTEES OF THE SPEECH, LANGUAGE AND HEARING FOUNDATION

I report to the Trustees on my examination of the financial statements of The Speech, Language And Hearing Foundation (the charitable company) for the year ended 31 March 2021.

Responsibilities and basis of report

As the Trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act).

Having satisfied myself that the financial statements of the charitable 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 the charitable company’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

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 that in any material respect:

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 financial statements to be reached.

Andy Rich c/o HW Fisher LLP Chartered Accountants Acre House 11-15 William Road London NW1 3ER

Dated: 20 December 2021

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted Unrestricted
funds funds
2021 2020
Notes £ £
Income and endowments from:
Voluntary Income 3 4,215 4,191
Investment income 4 140,801 139,602
Other income 5 4,171 3,053
Total income 149,187 146,846
Expenditure on:
Charitable activities 6 275,205 137,491
Net gains/(losses) on investments 11 59,715 (27,890)
Net expenditure for the year/
Net movement in funds (66,303) (18,535)
Fund balances at 1 April 2020 3,215,507 3,234,042
Fund balances at 31 March 2021 3,149,204 3,215,507

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

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

BALANCE SHEET

AS AT 31 MARCH 2021

Notes
Fixed assets
Investment properties
12
Investments
13
Current assets
Debtors
15
Cash at bank and in hand
Creditors: amounts falling due within one year
16
Net current assets
Total assets less current liabilities
Income funds
Unrestricted funds
Designated funds:
Building fund
Property revaluation reserve
17
General unrestricted funds
2021
£
736
270,102
270,838
(62,491)
1,517,962
682,038
2,200,000
949,204
£
2,200,000
740,857
2,940,857
208,347
3,149,204
3,149,204
3,149,204
2020
£
39,127
328,063
367,190
(32,824)
1,517,962
682,038
2,200,000
1,015,507
£
2,200,000
681,141
2,881,141
334,366
3,215,507
3,215,507
3,215,507

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 March 2021. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these financial statements.

The Trustees acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the 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 company.

The accounts were approved by the Trustees on 20 December 2021

A. I. Jaye Trustee

Company Registration No. 02525240

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Charity information

The Speech, Language And Hearing Foundation is a private company limited by guarantee incorporated in England and Wales. The registered office is Acre House, 11/15 William Road, London, United Kingdom, NW1 3ER.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charitable company's governing document, 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 from 1 January 2019). The charitable company is a Public Benefit Entity as defined by FRS 102.

The charitable company has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements are prepared in sterling , which is the functional currency of the charitable company . Monetary a mounts in these financial statements are rounded to the nearest £.

The accounts have been prepared on the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

The Trustees have considered the effect of the prolonged Covid-19 outbreak. The Trustees consider that the outbreak is unlikely to cause a significant disruption to the charity’s activities and are confident that the charity can continue as a going concern for a period of at least twelve months from the date of approval of these financial statements. The Trustees have a reasonable expectation that the charity has adequate free reserves and resources to continue in operation for the foreseeable future.

1.3 Charitable funds

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

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.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charitable company.

1.4 Incoming resources

All i ncome , including rental income, is recognised when the charitable company is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charitable company has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charitable company has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.5 Resources expended

Expenditure is recognised on an accruals basis, inclusive of value added tax.

Costs of generating funds are those costs incurred in attracting voluntary income, in particular grant funding and the costs of maintaining the charity's profile within the sector.

Expenditure relating to The Speech, Language and Hearing Foundation are those elements of expenditure directly incurred in performing these activities.

Governance costs include those costs incurred in the governance of the charity's assets and are primarily associated with constitutional and statutory requirements.

1.6 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is measured using the fair value model and stated at its fair value as at the reporting year end date. The surplus or deficit on revaluation is recognised in net income/(expenditure) for the year.

Recoverable amount is the higher of fair value less costs to sell and value in use. ln assessing value in use, the estimated future cash flows are discounted to their present value using a discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

lf the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in income/(expenditure for the year, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately, unless the relevant asset is carried in at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.7 Cash and cash equivalents

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.

1.8 Financial instruments

The charitable company 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 charitable company 's balance sheet when the charitable company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

2 Critical accounting estimates and judgements

In the application of the charitable company’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that 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 affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Valuation of investment property

Determining the fair value of the Charity's property as at each balance sheet date involves an element of estimation due to the nature of the property. For further information as to how the fair value is determined, see note 12.

3 Voluntary Income

Donations and gifts
Donated services
2021
£
1,215
3,000
4,215
2020
£
1,191
3,000
4,191

Donated services

The donated services comprise the independent examiners fees.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

4 Investment income

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Rental income 127,840 126,310
Dilapidations 3,333 -
Interest receivable 9,628 13,292
140,801 139,602

5 Other income

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Royalties - 53
Insurance 324 3,000
Other income from Tenants 3,847 -
4,171 3,053

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

6 Charitable activities

Premises costs
Travel
Printing, postage and stationery
Property repairs and Building EPC
Sundry expenses
Promotional cost
Subscriptions and donations
Insurance
Grant funding of activities (see note 7)
Share of support costs (see note 8)
Share of governance costs (see note 8)
2021
£
1,800
-
434
3,783
724
295
265
3,232
10,533
194,854
66,818
3,000
275,205
2020
£
1,800
279
351
-
669
-
251
1,350
4,700
127,018
2,773
3,000
137,491

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

7 Grants payable

The Speech, Language & Hearing Centre has opted to utilize a disclosure exemption from providing the names of grant recipients and the amounts of such grants.

8 Support costs

Support costs
Governance
costs
£
£
Consultancy fees
2,160
-
Legal and professional
62,785
-
Bad debt written off
406
-
Bookkeeping and admin fee
1,467
-
Independent examiner fee
-
3,000
66,818
3,000
Analysed between
Charitable activities
66,818
3,000
2021
Support costs
Governance
costs
£
£
£
2,160
-
-
62,785
2,773
-
406
-
-
1,467
-
-
3,000
-
3,000
69,818
2,773
3,000
69,818
2,773
3,000
2020
£
-
2,773
-
-
3,000
5,773
5,773

9 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or expenses during the year (2020: £nil).

10 Employees

There were no employees during the year.

11 Net gains/(losses) on investments

2021 2020
£ £
Revaluation of investments 59,715 (27,890)

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

12 Investment property
2021
£
Fair value
At 1 April 2020 and 31 March 2021 2,200,000

The fair value of the investment property has been arrived at on the basis of a valuation carried out at 18 October 2017 by A.I. Jaye, a trustee of the charity. A.I. Jaye is a Fellow of the Royal Institute of Chartered Surveyors and a member of the Institute of Revenues Ratings and Valuation. The valuation was made on an open market value basis by reference to the current annual rentals, the term of the lease and the current market conditions. The trustees consider the fair value of the investment property to be materially the same as at 31 March 20 20 and 31 March 20 21 .

lf investment properties were stated on an historical cost basis rather than a fair value basis, the amounts would have been included as follows:

Cost
Accumulated depreciation
Carrying amount
13
Fixed asset investments
Cost or valuation
At 1 April 2020
Valuation changes
At 31 March 2021
Carrying amount
At 31 March 2021
At 31 March 2020
14
Financial instruments
Carrying amount of financial assets
Debt instruments measured at amortised cost
Equity instruments measured at cost less impairment
Carrying amount of financial liabilities
Measured at amortised cost
2021
2020
£
£
1,517,962
1,517,962
-
-
1,517,962
1,517,962
I nvestments
£
681,141
59,715
740,856
740,856
681,141
2021
2020
£
£
-
36,717
740,857
681,141
62,491
32,824
2020
£
1,517,962
-
1,517,962
740,856
740,856
681,141
2020
£
36,717
681,141
32,824

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

15
Debtors
Amounts falling due within one year:
Trade debtors
Prepayments and accrued income
16
Creditors: amounts falling due within one year
Other creditors
Accruals and deferred income
2021
£
-
736
736
2021
£
15,000
47,491
62,491
2020
£
36,717
2,410
39,127
2020
£
-
32,824
32,824

Other creditors includes grant payable to 'Action on Hearing Loss'.

17 Designated funds

The income funds of the charity include the following designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes:

Movement in Movement in
funds funds
Balance at Incoming Balance at Incoming Balance at
1 April 2019 resources 1 April 2020 resources 31 March 2021
£
£
£
£
£
Building fund 1,517,962
-
1,517,962
-
1,517,962
Revaluation fund 682,038
-
682,038
-
682,038
2,200,000
-
2,200,000
-
2,200,000

The building fund represents the deemed cost of the building when it was transferred to investment property in the accounts. The revaluation fund represents the fair value adjustments made to the investment property.

THE SPEECH, LANGUAGE AND HEARING FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

18 Operating leases

Lessor

At the reporting end date the charitable company had contracted with tenants for the following minimum lease payments:

2021 2020
£ £
Within one year - 36,840

19 Related party transactions

There were no disclosable related party transactions during the year (2020 - none) .

Remuneration of key management personnel

The key management personnel are the trustees, who are also directors. They are not remunerated for their services.

20 Analysis of changes in net funds

The charity had no debt during the year.