**Charity Registration No. 1012467**
## **THE CORNWELL CHARITABLE TRUST**
**ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 5 APRIL 2022**
## **THE CORNWELL CHARITABLE TRUST**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Nicholas Robert Cornwell|Appointed 6 September 2021|
|---|---|---|
||Mark Simon Bailey||
||Matthew Bennett||
|**Charity number**|1012467||
|**Principal address**|Devonshire House||
||1 Devonshire Street||
||London||
||W1W 5DR||
|**Independent examiner**|David Passey ACA||
||325-327 Oldfield Lane North||
||Greenford||
||Middlesex||
||UB6 0FX||
|**Bankers**|Coutts & Co.||
||440 Strand||
||London||
||W2R OQS||
|**Solicitors**|Boodle Hatfield LLP||
||240 Blackfriars Road||
||London||
||SE1 8NW||
|**Investment advisors**|Timothy James & Partners Ltd||
||16 Babmaes Street||
||St. James's||
||London||
||SW1Y 6AH||
## **THE CORNWELL CHARITABLE TRUST**
## **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 accounts|8 - 13|
## **THE CORNWELL CHARITABLE TRUST**
## **TRUSTEES REPORT**
## _**FOR THE YEAR ENDED 5 APRIL 2022**_
The Trustees present their report and financial statements for the year ended 5 April 2022.
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 Charity's Trust deed, the Charities Act 2011 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).
## **Objectives and activities**
The Trust's objectives are met in such proportion and manner as the board of trustees shall in their absolute discretion, from time to time, determine.
There have been no changes in the policies adopted by the Trust during the year.
The Trustees have paid due regard to the guidance issued by the Charity Commission in deciding what activities the Trust should undertake in relation to public benefit.
## **Grant making policy and how we delivered public benefit**
Applications for grants are open to all charities, individuals and community projects in the UK and worldwide who match the requirements of the Trust. This has enabled the Trust to provide benefit to the public at large. All applications to the Trust are reviewed and considered by the Trustees who consult with one another regularly.
## **Achievements and performance**
The Trust income decreased by £13,734 when compared to 2021.
The Trust committed £20,000 (2021: £133,000) to various organisations during the year.
Details of grants awarded in the year are disclosed in note 5 on page 11.
## **Financial review**
The Statement of Financial Activities set out on page 6 shows the Trust's income and expenditure for the year ended 5 April 2022.
Total income amounted to £32,199 a decrease of £13,734 on the previous year. This comprises of investment income and donations received.
Total expenditure for the year amounted to £27,640 (2021: £140,024), with £20,000 (2021: £133,000) defrayed in making grants, £6,281 (2021: £5,664) on investment management fees, and £1,359 (2021: £1,360) on governance costs.
After allowing for the realised and unrealised gains on the Trust's investments for the year of £99,159 (2021: £250,179), the net movement in the funds for the year resulted in a surplus of £103,718 (2021: £156,088).
The Balance Sheet on page 7 shows the financial position of the Trust as at 5 April 2022.
Total assets less liabilities amounted to £1,251,096 (2021: £1,147,379) which is represented by the accumulated balances on the expendable endowment funds of £1,189,564 (2021: £1,096,687) and the unrestricted income funds of £61,532 (2021: £50,692).
- 1 -
## **THE CORNWELL CHARITABLE TRUST**
## **TRUSTEES REPORT (CONTINUED)** _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **Reserves policy**
In accordance with the Trust deed the endowment funds are expendable at the discretion of the Trustees, that is the capital can be expended when the Trustees so decide, although it is the usual policy of the Trustees to make awards from the unrestricted funds only.
The net assets of the Trust's expendable endowment funds are held to generate sustainable income in order to support the Trust's activities. The net assets of the Trust's unrestricted income funds are held in order to meet the ongoing overheads and administrative expenses and are also applied towards the Trust's charitable objectives. The balance held as free reserves at the year end was £61,532 (2021: £50,692).
## **Funding sources and utilisation**
The main sources of income in the last few years continued to be dividends and interest receivable from investments which have been utilised to meet the Trust's commitments during those years.
## **Investment policy and performance**
There are no restrictions on the Trust's power to invest.
The Trust deed authorises the Trustees to make and hold investments using the funds of the charity. The policy of the Trustees is to maximise the total return on the charity's investment portfolio without placing the capital of the trust at undue risk. The portfolio remains defensively positioned with a bias towards income generation. The yield on investments for the year was 9.22% (2021: 15.0%).
## **Risk assessment**
The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the Trust, and are satisfied that systems are in place to mitigate their exposure to the major risks. The major risk is centred on the variability of investment returns hence the Trustees have ensured that funds are invested in lower risk investments.
## **Plans for the future**
The Trustees are keen to put the Trust's reserves to work rather than allowing these to accumulate and intend to make charitable donations to causes that respect the roots of the late David Cornwell in both Cornwall and elsewhere. Apart from this the Trustees do not plan for any significant changes to the Trustees' activities.
## **Structure, governance and management**
The Cornwell Charitable Trust is a charitable trust established under a deed of settlement dated 12 June 1992. It is a charity registered with the Charity Commission (number 1012467). It is governed by this deed and by the Charities Act 2011.
The Trustees who served during the year and up to the date of signature of the financial statements are detailed on the legal and administrative information page.
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## **THE CORNWELL CHARITABLE TRUST**
## **TRUSTEES REPORT (CONTINUED)** _**FOR THE YEAR ENDED 5 APRIL 2022**_
The statutory power of appointing new or additional Trustees is vested in the Trustees named on the legal and administration information page.
The Trust's day to day activities are overseen by the Trustees as there are no employees. The Trustees are responsible for the consideration and authorisation of all the charitable donations made.
The Trustees consider the board of Trustees as the key management personnel of the Trust in charge of directing, running, and controlling the Trust. All Trustees give their time freely and no Trustee remuneration was paid in the year.
The Trustees' report was approved by the Board of Trustees and signed on their behalf by:
## **Nicholas R Cornwell**
Trustee Dated: 30 January 2023
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## **THE CORNWELL CHARITABLE TRUST**
## **STATEMENT OF TRUSTEES RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 5 APRIL 2022**_
The Trustees are responsible for preparing the Trustees Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the Trust and of the incoming resources and application of resources of the Trust for that year.
In preparing these accounts, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts; and
- prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the Trust and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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## **THE CORNWELL CHARITABLE TRUST**
## **INDEPENDENT EXAMINER'S REPORT**
## **TO THE TRUSTEES OF THE CORNWELL CHARITABLE TRUST**
I report to the Trustees on my examination of the financial statements of The Cornwell Charitable Trust (the Trust) for the year ended 5 April 2022.
## **Responsibilities and basis of report**
As the Trustees of the Trust you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the Trust’s financial statements carried out under section 145 of 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**
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with 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) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
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:
- 1 accounting records were not kept in respect of the Trust as required by section 130 of the 2011 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the applicable requirements concerning 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 true 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 which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **Use of my report**
This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My independent examination work has been undertaken so that I might state to the charity's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's Trustees, as a body, for my independent examination work, for this report, or for the opinions I have formed.
David Passey ACA 325-327 Oldfield Lane North Greenford Middlesex UB6 0FX
Dated: 2 February 2023
- 5 -
## **THE CORNWELL CHARITABLE TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## _**FOR THE YEAR ENDED 5 APRIL 2022**_
|**Unrestricted Endowment**
**funds**
**funds**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
100
-
Investments
**2**
32,099
-
**Total income**
32,199
-
**Expenditure on:**
Raising funds
Investment management fees
**3**
-
6,281
Charitable activities
**4**
21,359
-
**Total expenditure**
21,359
6,281
Net gain on investments
**9**
-
99,159
**Net movement in funds**
10,840
92,878
Fund balances at 6 April 2021
50,692
1,096,686
**Fund balances at 5 April 2022**
61,532
1,189,564|**Total**
**2022**
**£**
100
32,099
32,199
6,281
21,359
27,640
99,159
103,718
1,147,378
1,251,096|**Total**
**2021**
**£**
5,924
40,009|
|---|---|---|
|||45,933|
|||5,664|
|||134,360|
|||140,024|
|||250,179|
|||156,088
991,291|
|||1,147,379|
- 6 -
## **THE CORNWELL CHARITABLE TRUST**
## **BALANCE SHEET**
## _**AS AT 5 APRIL 2022**_
|**Notes**
**Fixed assets**
Investments
**10**
**Current assets**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**11**
Net current assets
**Total assets less current liabilities**
**Capital funds**
Endowment funds
**12**
**Income funds**
Unrestricted funds
**13**|**2022**
**£**
**£**
1,176,512
75,784
(1,200)
74,584
1,251,096
1,189,564
61,532
1,251,096|**2021**
**£**
**£**
1,082,988
66,591
(2,200)
64,391
1,147,379
1,096,687
50,692
1,147,379|**2021**
**£**
**£**
1,082,988
66,591
(2,200)
64,391
1,147,379
1,096,687
50,692
1,147,379|
|---|---|---|---|
||||1,147,379|
||||1,096,687
50,692|
||||1,147,379|
The financial statements were approved by the Trustees and authorised for issue on 30 January 2023 and are signed on their behalf by:
## Nicholas R Cornwell **Trustee**
- 7 -
**THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **1 Accounting policies**
## **Charity information**
The Cornwell Charitable Trust is an unincorporated charity governed by a Trust deed. The charity is registered in England and Wales with the Charity Commission. The charity's registered address is Devonshire House, 1 Devonshire Street, London, United Kingdom, W1W 5DR.
The principle accounting policies adopted and judgements made in the preparation of the financial statements are as follows.
## **1.1 Basis of preparation**
The financial statements have been prepared in accordance with the Trust's deed, the Charities Act 2011 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 Trust meets the definition of a Public Benefit Entity as defined by FRS 102.
The financial statements have departed from 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 Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £.
Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.
## **1.2 Going concern**
The Trustees have reviewed the cash position of the Trust and it's commitments at the date of signing the financial statements and also considered the fact that the endowment funds are expendable at any time at the discretion of the Trustees. They are confident that the Trust has adequate resources to continue in operational existence for the foreseeable future. The Trustees therefore continue to adopt the going concern basis of accounting in preparing these financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.
Endowment funds represent those assets which are held permanently by the Trust. The funds are attributable to the original amount settled on the Trust, subsequent settlements and accumulated recognised gains and losses. Income arising on the Endowment funds can be used in accordance with the objects of the Trust and is included as unrestricted income. Investment management charges relating to the funds are charged against the funds. The Endowment funds are expendable at the discretion of the Trustees.
## **1.4 Income recognition**
All income is included in the Statement of Financial Activities when the Trust is legally entitled to the income, receipt is probable, and the amount can be quantified with reasonable accuracy.
Donations are included in the year in which they are receivable, which is when the Trust becomes entitled to the resource and the Trust has been notified in writing of both the amount and settlement date. No amounts are included in the financial statements for services donated by volunteers.
- 8 -
## **THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **1 Accounting policies**
**(Continued)**
Investment income is earned through holdings of assets for investment purposes such as shares and gilts, and it includes dividends and interest. Where it is not practical to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs, and it is included when the amount can be measured reliably.
Dividend and interest income is recognised when the Trust's right to receive payment is established.
## **1.5 Expenditure recognition**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Trust 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 accruals basis. All expenses including governance costs are allocated or apportioned to the applicable expenditure headings.
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 the 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 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 Trust.
Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty as to the timing of the grant or the amount of grant payable.
Irrecoverable VAT is charged against the expenditure heading for which it was incurred.
## **1.6 Investments**
Investments are a form of basic financial instruments and are initially recognised at their transaction value and subsequently measured at 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 Trust does not acquire put options, derivatives or other complex financial instruments.
## **1.7 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 they were 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.
## **1.8 Debtors and creditors**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the Statement of Financial Activities.
- 9 -
## **THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **2 Investments**
|**Unrestricted**
**funds**
**2022**
**£**
Income from listed investments
32,093
Interest receivable
6
32,099
**3**
**Raising funds**
**2022**
**£**
Investment management fees
6,281|**Total**
**2021**
**£**
39,995
14|
|---|---|
||40,009|
||**2021**
**£**
5,664|
Investment management fees in the year were attributable to endowment funds.
## **4 Charitable activities**
||**General**|**General**|
|---|---|---|
||**charitable**|**charitable**|
||**purposes**|**purposes**|
||**2022**|**2021**|
||**£**|**£**|
|Grant funding of activities (see note 5)|20,000|133,000|
|Governance costs (see note 7)|1,359|1,360|
||21,359|134,360|
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## **THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **5 Grants payable to institutions in the year:**
|DEC Ukraine Humanitarian Appeal
Medicins San Frontieres (UK)
Centrepoint
Crisis UK
The Trussell Trust
COVID-19 Healthcare Support Appeal
St Petrocs (Penzance Breadline)
The Salvation Army
Freedom From Torture
CITPA
Soloman Browne & Union Star
Royal Cornwall Hospital
Royal Free Hospital
Bodmin Public Rooms Trust|**2022**
**£**
10,000
-
-
-
-
-
5,000
-
-
-
3,000
1,500
1,500
(1,000)
20,000|**2021**
**£**
-
50,000
20,000
20,000
15,000
10,000
6,000
6,000
5,000
1,000
-
-
-
-|
|---|---|---|
|||133,000|
## **6 Trustees**
None of the Trustees (or any persons connected with them) received remuneration during the year; nor were they reimbursed expenses.
## **7 Governance costs**
|**Governance costs**|||
|---|---|---|
|Independent examiner fees
Bank charges|**2022**
**£**
1,260
99
1,359|**2021**
**£**
1,260
100|
|||1,360|
## **8 Employees**
There were no employees during the year.
## **9 Net gains on investments**
|Unrealised gain on revaluation of investments
Realised gain on sale of investments|**2022**
**£**
98,842
317
99,159|**2021**
**£**
199,692
50,487|
|---|---|---|
|||250,179|
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## **THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **10 Fixed asset investments**
||**Listed**|
|---|---|
||**investments**|
||**£**|
|**Cost or valuation**||
|At 6 April 2021|1,082,988|
|Additions|646|
|Valuation changes|98,842|
|Disposals|(5,964)|
|At 5 April 2022|1,176,512|
|**Carrying amount**||
|At 05 April 2022|1,176,512|
|At 05 April 2021|1,082,988|
Listed investments are carried at fair value and represent investments primarily in equities.
## **11 Creditors: amounts falling due within one year**
|Other creditors
Accruals and deferred income|**2022**
**£**
-
1,200
1,200|**2021**
**£**
1,000
1,200|
|---|---|---|
|||2,200|
## **12 Endowment funds**
The Endowment funds represent those assets which are held permanently by the Trust. The funds are attributable to the original amount settled on the Trust, subsequent settlements and accumulated recognised capital gains and losses. In accordance with the Trust deed, the endowment is expendable at the discretion of the Trustees.
||||**Movement in funds**|**Movement in funds**|||
|---|---|---|---|---|---|---|
||**Balance at**|**Incoming**|**Resources**|**Transfers**|**Gains**|**Balance at**|
||**6 April 2021**|**resources**|**expended**||**5 April 2022**||
||**£**|**£**|**£**|**£**|**£**|**£**|
|**Expendable endowments**|||||||
|Fund analysis|1,096,686|-|(6,281)|-|99,159|1,189,564|
- 12 -
## **THE CORNWELL CHARITABLE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 5 APRIL 2022**_
## **13 Analysis of net assets between funds**
|**Analysis of net assets between funds**||
|---|---|
|**Unrestricted**
**funds**
**Endowment**
**funds**
**2022**
**2022**
**£**
**£**
Fund balances at 5 April 2022 are represented by:
Investments
-
1,176,512
Current assets/(liabilities)
61,532
13,052
61,532
1,189,564|**Total**
**2022**
**£**
1,176,512
74,584|
||1,251,096|
## **14 Related party transactions**
The Trust did not receive any donations (2021: £2,134) from related parties during the year.
- 13 -