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2023-12-31-accounts

FRONTIERS ANNUAL REPORT & ACCOUNTS 2023

CONTENTS

Annual report
What we do 2
Our impact in 2023 2
Future plans 4
Financial review 4
Structure, governance & management 5
Corporate directory 8
Annual accounts
Statement of financial activities 9
Balance sheet
 10
Cash flow statement 11
Notes to the accounts 12
Independent auditor’s report 19

1

WHAT WE DO

We help churches to identify, train, send and support members overseas:

Our strategies to achieve this objective are:

media, podcast, publications, prayer news, conferences and events),

We are part of the wider Frontiers movement – an international fellowship of 300 local teams comprising 2,000 members in over 80 countries. Each team or organisation operates independently, but with accountability, oversight and a strong commitment to our shared vision and values.

OUR IMPACT IN 2023

Long-term Harvest Workers

We thank God for 12 new long-term members in the last 18 months, and 12 applicants currently preparing to join overseas teams in 2024-25. We also thank God for four teams launched to new locations in the last two years.

We continue to work closely with a cohort of some 100 young people taking active steps towards long-term overseas service. This group meets regularly online and with quarterly face-to-face weekend training events. 31 people went on a series of short-term vision/prayer/training overseas trips last year.

2

Our pre-field training programme has continued well, with Candidates Weekends now increased to four times a year, including increased practical training, coaching and mentoring, and the development and appointment of new team leaders.

We continue to serve and support newer bases within the Frontiers movement in Europe and South America with financial support, mentoring, shared resources and on-site training.

Most of our UK team travelled overseas last year, meeting field workers in every region we work, for mutual encouragement, pastoral support, vision-building and personal development.

Information and Communications

In partnership with other agencies, we continue to encourage wide use by churches and small groups of the popular MomentumYes video and discussion groups course. This course helps small groups and local churches understand better how every believer plays a role in inviting people of every culture into life-changing relationship with their loving Creator.

Our RAWMission podcast, which interviews people of many different backgrounds about their joys and challenges of making God in other cultures continues to grow, with 60 episodes and 50,000 downloads in over 150 countries.

We continued producing our popular Connected magazine, which is also circulated and used in translation in other European countries.

Care and support for local communities

We continue to raise up and pass on funds, with appropriate supervision, to support field members and an increasing number of field projects. Some of these provide short-term relief in situations of conflict or natural disaster and/or to displaced persons. Others, supported by our long-term teams, aim towards lasting development of local communities, including training, education and medical care.

Our member care team has worked exceptionally hard, in partnership with sending churches, to support many field members experiencing stress and other challenges.

3

FUTURE PLANS

We are proceeding, subject to contract, with the purchase of the freehold of our support base in central High Wycombe for £1.1m, to be financed mainly by sale of our existing freehold property. This facility is supporting better our increased home team and offers greater flexibility to offer training, internships etc.

We look forward to further deepening our collaboration and partnership with overseas teams, sending churches and others of similar vision.

We are offering more opportunities for young people for practical training within the UK and overseas, including short-term trips. We are also helping and supporting churches to develop their own vision for overseas ministry.

FINANCIAL REVIEW

We thank God for total income of £1.9M in 2023, (shown on page 9). This was below last year when we received a substantial legacy. Gifts for long-term overseas members fell with several returning to the UK, but project income was higher.

Total expenditure in 2023 was £2.0M, being 5% above last year due to increased expenditure on field projects and home staff. Specific gifts are promptly applied, when needed, to support members and relief and development projects.

Net assets at the year end (shown on page 10) of £1.13M comprised:

Volunteers on our home team contributed an average of 12 days per week during the year and were engaged in all areas of activity, especially pastoral care of overseas members.

Grants from restricted funds are made in line with donors’ wishes, and from unrestricted funds in line with the trustees’ judgment. In all cases, grants are made

4

only to projects and members with clear supervision, oversight and accountability, to ensure they are used effectively to benefit local communities.

The trustees’ reserves policy is to maintain the general fund at between 3 and 6 months of unrestricted expenditure. At this level, current activities could continue in the event of a significant drop in income, until remedial action becomes effective. The general fund on 31 December 2023, representing 5.4 months of unrestricted expenditure, was within this range.

The trustees’ investment policy is to maintain high liquidity while ensuring maximum security, with funds invested with financial institutions protected by the government-regulated Financial Services Compensation Scheme. The Charity has no social investments.

Fundraising practices

No outside agents are engaged to approach the public on our behalf. All applications for funding are prepared in-house. No complaints have been received about our fundraising practices.

We seek to protect vulnerable people and others from unreasonable intrusion from any fundraising communications. Where vulnerable people or those acting on their behalf request no further communications, we act on their wishes immediately. We also remove recipients from our mailing list when requested. We are registered with the Fundraising Regulator and committed to the Fundraising Promise and adhere to the Code of Fundraising Practice.

STRUCTURE, GOVERNANCE & MANAGEMENT

Frontiers is a charity and a company limited by guarantee, governed under a memorandum and articles of association. Legal and administrative details are set out on page 8.

Overall responsibility lies with the board of trustees (who are directors for the purposes of company law). Trustees retire each year but are eligible for re-election. Additional trustees are appointed by the board, who seek people with relevant skills and experience, and in sympathy with the Charity's objectives and ethos. Induction and training are provided on a personal basis as appropriate. Policy and major

5

financial decisions are made by the trustees. Day-to-day running of the Charity and responsibility for implementing these decisions are committed to the chief executives.

Trustees give their time freely and receive no remuneration. Trustees' expense payments and other related party transactions are disclosed in Note 6 to the accounts.

Members located overseas are accountable to local team leaders and raise their own financial support. They have the backing of the Charity in raising support, including the provision of training and expertise.

Home staff are encouraged to raise their own financial support. Modest salaries are paid to some staff, including the chief executives. Remuneration of all staff is set with regards to market rates and the relevant experience of the staff member and reviewed on an annual basis to ensure pay levels are fair.

The trustees have regard to the Charity Commission’s published guidance on public benefit. The Charity delivers a public benefit to many communities through services provided by overseas members, including support to communities suffering from the effects of the covid-19 pandemic, conflicts and natural disasters.

Risks and uncertainties

The trustees have reviewed the Charity’s current and planned future activities in the light of major risks, and the effectiveness of systems and procedures designed to manage them.

The principal risks and uncertainties are reputational damage in the event of a highprofile complaint or legal action alleging lack of due care for staff or field members; a sharp reduction in donation income; or financial mismanagement.

Our plans to manage risks include careful assessment of applicants, risk assessments and contingency plans, a support network for overseas members, financial controls, a robust safeguarding policy, incident reporting, strong oversight and accountability of field projects, maintaining adequate financial reserves, and insurance cover.

The trustees consider adequate resources will continue to be available to fund activities for the foreseeable future, there are no material uncertainties about the Charity’s ability to continue operating, and it therefore remains a going concern.

6

Auditor Jacob Cavenagh & Skeet offer themselve5 for re-appointment as auditor in accordance with Chapter 2 of Part 16 of the Companies Act 2006. Trustees, responslbllftles In relatlon to the accounts The trustees are responsible for preparing this report and financial statements in accordance with United Kingdom Generally Accepted Accounting Practice. Accounting Standards and applicable law. Company law require5 the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the net income and expenditure of the Charity for that period. In preparing these financial statements, the trustees are required to: select suitsble accounting policies and apply them consistently, observe the methods and principles in the Charities SORP, make judgments and estimates that are reasonable and prudent, state whether applicable UK Accounting Standard5 have been followed. subject to any material departures explained in the financial statements, prepare financial statements on a going concern basis unle55 it is inappropriate to presume the Charity will continue in business. The trustees are responsible for keeping proper accounting records that are sufficient to show and explain the Charitvs transactions. to disclose with reasonable accuracy at any time the financial position of the Charity, and to enable them to ensure financial ststements comply with the Companies Act 2006. They are also responsible for safeguarding the ChariVs assets and taking reasonable steps for the prevention and detection of fraud and other irregularities. A5 far as each trustee is aware: there is no relevant information of which the Charity's auditor is unaware; and trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to e5tabli5h that the auditor is aware of that information. This report, prepared in accordance with the small companies. regime, wa5 approved by the board on 10 July 2024. K Elrnitt (Trustee)

CORPORATE DIRECTORY

Company Registration Number 2585745 Charity Registration Number 1012566 Trustees K Elmitt (Chair) D A Aanderud A Dimmock (retired 29 November 2023) M J Knell I M Linton P N Maclnnes R Moffat (appointed 22 February 2023) Chief Executives P A Bancroft M D Jones Principal Address PO Box 1445 High Wycombe, HP12 9BU Registered Office 5 Robin Hood Lane Sutton, SM1 2SW Auditor Jacob Cavenagh & Skeet Chartered Accountants 5 Robin Hood Lane Sutton, SM1 2SW Principal Bankers Barclays Bank pic PO Box 23 Northampton, NN1 4YD CAF Bank Limited 25 Kings Hill Avenue West Malling, ME19 4JQ

8

FRONTIERS

STATEMENT OF FINANCIAL ACTIVITIES

(incorporating an income & expenditure account) for the year ended 31 December 2023

Funds
Note
£
INCOME & ENDOWMENTS
Donations & legacies
2
227,365
Charitable activities
3
14,985
Investment income
13,535
Total income
255,885
EXPENDITURE
Raising funds
4
23,731
Charitable activities:
5
Programme development & support
306,909
Information & education
56,482
Management & administration
34,299
Total expenditure
7
421,421
(165,536)
Funds brought forward
1,135,439
Funds carried forward
969,903
Net (expenditure)/income
Unrestricted		 Funds
Note
£
INCOME & ENDOWMENTS
Donations & legacies
2
227,365
Charitable activities
3
14,985
Investment income
13,535
Total income
255,885
EXPENDITURE
Raising funds
4
23,731
Charitable activities:
5
Programme development & support
306,909
Information & education
56,482
Management & administration
34,299
Total expenditure
7
421,421
(165,536)
Funds brought forward
1,135,439
Funds carried forward
969,903
Net (expenditure)/income
Unrestricted		 Restricted
Total
Restricted
Total
Funds
2023
Funds
Funds
2022
£
£
£
£
£
1,654,207
1,881,572
805,289
1,696,235
2,501,524
-
14,985
14,182
-
14,182
-
13,535
1,981
-
1,981
1,654,207
1,910,092
821,452
1,696,235
2,517,687
1,539
25,270
22,032
1,673
23,705
1,585,488
1,892,397
175,378
1,600,518
1,775,896
26,125
82,607
77,397
35,364
112,761
2,787
37,086
32,390
2,615
35,005
1,615,939
2,037,360
307,197
1,640,170
1,947,367
38,268
(127,268)
514,255
56,065
570,320
124,710
1,260,149
621,184
68,645
689,829
162,978
1,132,881
1,135,439
124,710
1,260,149
Unrestricted
14,985
13,535
255,885
23,731
306,909
56,482
34,299
421,421
(165,536)
1,135,439
969,903

The Company had no recognised gains or losses other than those shown above for either financial year.

The notes on pages 12 to 18 form part of these financial statements.

9

FRONTIERS BALANCE SHEET Al 31 Dacambor 2023 2022 FIXED ASSETS T￿gIble as8ets 496,683 496,939 CUPJiEKf ASSETS Stock 10 228.571 691712 In¥EStments 85.000 C#h al bank •nd In hand 698.735 1.010,927 47Z327 1, 164884 CREDITORS Arnounts tslb"rwJ due wilhin on& 12 374.709 674 NEf CLRRENT ASSETS 636,218 764210 NEf ASSETS 1 132881 1260 a4• FUNDS Unrnslrld•d fvr)ds'. Ganeral fuThJ 187.961 9&.172 DesiLwhated funds 13 781,942 969.9Q3 7,036,267 1, 134439 Restric￿1 funds 13 182,978 124.710 Total lunds 1 132881 Tlw fin￿￿1￿1 $18tements on pages g to 18 have pr8pared in ar£a>rdanc8 wlh thè spwaal provlslons of Part 15 ofthe Companie¥Ad 2006 r¢laling to small c¥)mpanies. They were approved bythe t￿￿rd of dlrKlorn on 10 J￿Y 2024 and are gigned on their behow by.. K Elmitt Dir•cior 10

FRONTIERS

CASH FLOW STATEMENT

for the year ended 31 December 2023

Note
Cash inflow from operating activities
16
Cash flows from investing activities:
Investment income
Purchase of tangible fixed assets
Cash inflow/(outflow) outflow from investment activities
Increase in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2023
£
218,293
13,535
(5,420)
8,115
226,408
472,327
698,735		 2022
£
137,150
1,981
(27,642)
(25,661)
111,489
360,838
472,327

11

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 December 2023

1. ACCOUNTING POLICIES

Basis of preparation

The Charity is a public benefit entity. The financial statements are prepared in compliance with the Companies Act 2006, the Charities Act 2011, Financial Reporting Standard 102, and the Charities Statement of Recommended Practice (FRS102). The financial statements are prepared in pounds sterling rounded to the nearest pound.

The principal accounting policies, which have been applied consistently, are described below.

Fund accounting

Incoming resources for specific purposes declared by donors are held separately as restricted funds. General reserves are unrestricted funds available for use at the trustees’ discretion in furtherance of the Charity’s charitable objectives. Designated funds are set aside by the trustees for specific purposes.

Income

Income is recognised when entitlement is established, receipt is probable, and its amount can be quantified with reasonable accuracy.

Donated goods are included in income at their market value when received. Time donated by volunteers is not recognised in the financial statements, but their significant contribution is discussed in the trustees’ report.

Individual members make contributions to the general funds of the Charity out of the gift income they receive at a rate of 5% for UK-based members and projects and 10% for members based overseas.

Expenditure

Grant payments to third parties are accrued once the recipient has been notified of the grant award and where any unfulfilled conditions attaching to the grant are outside the control of the Charity. Other expenditure is recognised once there is a legal or constructive obligation to make a payment, it is probable that settlement will be required, and the amount of obligation can be measured reliably.

Expenditure is accounted for on an accruals basis and apportioned between the costs of raising funds and charitable activities. Charitable activities expenditure is further analysed between programme development & support, information & education, and management & administration, as described in notes to the accounts. Expenditure apportionment is based on an analysis of time spent.

Pensions

The Charity operates a defined contribution scheme for the benefit of employees. Contributions are charged to the income and expenditure account in the year they are payable.

12

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 December 2023

1. ACCOUNTING POLICIES (continued)

Depreciation

Depreciation is provided to write off the cost of tangible fixed assets over their estimated useful economic lives, as follows:

Building services 10 years Furniture & other equipment 3-5 years

No depreciation is provided on freehold land and buildings. The trustees have a policy of maintaining the property to a high standard which prolongs its useful life and enhances its residual value and accordingly consider any depreciation to be insignificant and immaterial. Properties are reviewed annually by the trustees for any impairment of value.

Debtors

Debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and in hand includes accounts held at call with banks and cash in hand. Cash equivalents include monies available within 3 months without interest penalty.

Creditors and provisions

Creditors and provisions are recognised when the Charity has a legal or constructive financial obligation that can be reliably estimated for which payment is expected to be made.

Financial instruments

The Charity has financial assets and liabilities only of a kind that qualify as basic financial instruments. These are initially recognised at transaction value and subsequently measured using amortised cost on the effective interest rate method.

Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

13

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 December 2023

2. DONATIONS & LEGACIES

Donations and legacies
Contributions from members		 Unrestricted
funds
£
95,514
131,851		 Restricted
Total
Funds
2023
£
£
1,654,207
1,749,721
-
131,851
1,654,207
1,881,572		 Total
2022
£
2,378,653
122,871
2,501,524
227,365

3. INCOME & ENDOWMENTS FROM CHARITABLE ACTIVITIES

These comprise income from training events, book sales, a hospitality house and short-term assignments. The primary aim of these activities is to assist members preparing to go overseas and to raise understanding of the Charity's activities and opportunities for service, with charges being made to defray costs.

4. EXPENDITURE ON RAISING FUNDS

Most voluntary income is generated by members on an unpaid voluntary basis. Costs to the Charity of generating voluntary income are those incurred in seeking donations and do not include the costs of disseminating general information about the Charity’s activities and opportunities.

5. CHARITABLE ACTIVITIES

Programme development & support expenditure from restricted funds comprises gifts to members and projects, in line with donors’ wishes. Such expenditure from unrestricted funds comprises the costs of providing support and training to prospective and current overseas members.

Information & education expenditure comprises the costs of raising awareness of the needs and opportunities for service, through the website, video and podcast resources, literature, conferences, and other events.

6. RELATED PARTIES

Related parties are the trustees, key management personnel (considered to be the chief executives) and their close family members.

The trustees receive no remuneration for their services. In 2023, total compensation paid to the chief executives was £52,260 (2022: £47,471).

In 2023, no expenses on behalf of the Charity were incurred by trustees (2022: Nil).

In 2023, total donations received from trustees were £3,150 (2022: £2,400), of which donations of £1,660 (2022: £1,800) were for restricted purposes.

14

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2023

7. EXPENDITURE

Member support
Field projects
Office running costs
Frontiers International Office
Travel
Training & conferences
Website & media
House running costs
Governance costs: audit fee
Professional advisers
Other expenses
Depreciation
Comprising:
Restricted funds
Unrestricted funds
Totals in 2022		 Raising
funds
£
20,531
-
2,358
-
376
231
1,052
-
-
325
-
397
25,270
1,539
23,731
25,270
23,705		 Programme
development		 Programme
development		 Information Information Management
&
Total
administration
2023
£
£
19,611
1,762,262
-
133,708
2,481
36,101
7,180
35,174
1,272
21,359
197
14,582
-
11,455
-
5,955
5,640
5,640
-
2,238
319
3,190
386
5,696
37,086
2,037,360
2,787
1,615,939
34,299
421,421
37,086
2,037,360
35,005
1,947,367		 Total
2022
£
1,707,293
73,365
25,457
40,426
18,380
17,353
41,464
4,650
5,480
6,271
3,099
4,129
1,947,367
1,640,170
307,197
1,947,367
&
education
£
63,279
-
5,583
-
2,183
285
10,403
-
-
-
-
874
82,607
26,125
56,482
82,607
112,761
& support
£
1,658,841
133,708
25,679
27,994
17,528
13,869
-
5,955
-
1,913
2,871
4,039
1,892,397
1,585,488
306,909
1,892,397
1,775,896

8. EMPLOYEES

Salaries
Employer's national insurance
Employer's pension contributions
Average number of employees
Average number of full-time equivalent employees
No employee received benefits exceeding £60,000 in either year.		 2023
£
384,148
23,480
8,654
416,282
21
12		 2022
£
312,098
16,234
6,312
334,644
17
12

The Company operates a defined contribution pension scheme. Contributions of £2,547 (2022: £2,557) were outstanding at the year end.

15

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 December 2023

9. TANGIBLE FIXED ASSETS

COST
At 1 January 2023
Additions
Disposals
At 31 December 2023
DEPRECIATION
At 1 January 2023
Provision for year
Disposals
At 31 December 2023
NET BOOK VALUE
At 31 December 2023
At 31 December 2022
10. DEBTORS
Amounts falling due within one year:
Other Frontiers offices
Accrued income
Gift Aid receivable
Prepayments and other debtors
11. INVESTMENTS
Amounts falling due within one year:
Deposits with financial institutions
12. CREDITORS
Amounts falling due within one year:
Members and projects
Other Frontiers offices
Other creditors		 Freehold
Land &
Buildings
£
535,525
-
-
535,525
44,308
2,172
-
46,480
489,045
491,217		 Furniture &
Equipment
£
28,320
5,420
(3,057)
30,683
22,598
3,524
(3,057)
23,065
7,618
5,722
2023
£
110,305
60,835
33,264
22,167
226,571
2023
£
85,000
85,000
2023
£
356,145
530
18,034
374,709		 Total
£
563,845
5,420
(3,057)
566,208
66,906
5,696
(3,057)
69,545
496,663
496,939
2022
£
75,290
571,506
32,917
12,999
692,712
2022
£
-
-
2022
£
327,198
51,763
23,713
402,674

16

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS

for the year ended 31 December 2023

13. MOVEMENT IN FUNDS

General fund
Designated funds:
Fixed asset fund
Generosity fund
Total unrestricted funds
Restricted funds:
Members’ support
Projects
Total restricted funds
Total funds
General fund
Designated funds:
Fixed asset fund
Generosity fund
Total unrestricted funds
Restricted funds:
Members’ support
Projects
Total restricted funds
Total funds		 At 1 January
2023
Income
£
£
99,172
255,885
976,939
-
59,328
-
1,036,267
-
1,135,439
255,885
106,416
1,414,102
18,294
240,105
124,710
1,654,207
1,260,149
1,910,092
At 1 January
2022
Income
£
£
139,548
821,452
473,426
-
8,210
-
481,636
-
621,184
821,452
33,790
1,592,315
34,855
103,920
68,645
1,696,235
689,829
2,517,687		 Transfers
£
219,925
(230,276)
10,351
(219,925)
-
-
-
-
-
Transfers
£
(573,591)
503,513
70,078
573,591
-
-
-
-
-		 Expenditure
£
(387,021)
187,961
-
746,663
(34,400)
35,279
(34,400)
781,942
(421,421)
969,903
(1,476,811)
43,707
(139,128)
119,271
(1,615,939)
162,978
(2,037,360)
1,132,881
At 31 December
Expenditure
2022
£
£
(288,237)
99,172
-
976,939
(18,960)
59,328
(18,960)
1,036,267
(307,197)
1,135,439
(1,519,689)
106,416
(120,481)
18,294
(1,640,170)
124,710
(1,947,367)
1,260,149
At 31 December
2023
£		 At 31 December

Designated funds have been established for the following purposes:

· The fixed asset fund represents the book value of fixed assets plus funds required for planned fixed asset purchases in the coming year to indicate these resources are not available for other purposes.

· The generosity fund represents funds set aside to assist projects within the Charity's objectives.

Restricted funds comprise:

· Members' support: gifts received for specific members.

· Projects: gifts for specific charitable projects, which are allocated as needs arise.

During the year, payments were made to 193 (2022 - 175) members and projects.

17

FRONTIERS

NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2023

14. ANALYSIS OF NET ASSETS BETWEEN FUNDS

General
Fund
£
Fund balances at 31 December 2023 were represented by:
Fixed assets
-
Current assets
562,670
Current liabilities
(374,709)
Total net assets
187,961
General
Fund
£
Fund balances at 31 December 2022 were represented by:
Fixed assets
-
Current assets
501,846
Current liabilities
(402,674)
Total net assets
99,172		 Designated
Funds
£
496,663
285,279
-
781,942
Designated
Funds
£
496,939
539,328
-
1,036,267		 Restricted
Funds
£
-
496,663
162,978
1,010,927
-
(374,709)
162,978
1,132,881
Restricted
Funds
Total
£
£
-
496,939
124,710
1,165,884
-
(402,674)
124,710
1,260,149
Total
£

15. SHARE CAPITAL

The Company is limited by guarantee and does not have an issued share capital. Each member of the Company undertakes to contribute to the assets of the Company (should it be wound up during membership or within one year after ceasing to be a member) for payment of debts and liabilities of the Company contracted before ceasing to be a member. The contribution is limited to a sum not exceeding £1.

16. CASH FLOWS RECONCILATION

Net (expenditure)/income
Adjustments for:
Depreciation charge
Investment income
Decrease in stocks
Decrease/(increase) in debtors
(Increase) in investments
(Decrease)/increase in creditors
Cash provided by operating activities		 2023
(127,268)
5,696
(13,535)
224
466,141
(85,000)
(27,965)
218,293
£		 2022
570,320
4,129
(1,981)
249
(537,058)
-
101,491
137,150
£

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Independent auditor’s report to the members of Frontiers

Opinion

We have audited the financial statements of Frontiers (the ‘charity’) for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the 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 Financial Reporting Standard 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 charitable company 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 12 months from 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 other information comprises the information included in the annual report, including the trustees’ report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. 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.

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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

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Matters on which we are required to report by exception

In the 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 directors’ report included with the trustees' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement, the trustees' (who are also the directors of the charitable company for the purposes of company law) 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 company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the charity, we identified that the principal risks of non-compliance with laws and regulations related to employment and financial reporting legislation 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 Companies Act 2006 and Charities Act 2011.

We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management, considering the internal controls in place and discussion amongst the engagement team. We determined that the principal risks were related to payments to third parties and management override of controls.

In response to the risks identified we designed procedures which included, but were not limited to:

There are inherent limitations in the audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of noncompliance. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and regulations made under thatAct. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to stale to them in an auditors, 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 charitable company and its members as a body, for our audit work, for this report, or for the opinions we have formed. Richard Haffenden MA(Cantab) FCA (Senior Statutory Auditor) for and on behalf of Jacob Cavenagh & Skeet Statutory Auditor Chartered Accountants 5 Robin Hood Lane Sutton Surrey SM1 2SW 20 August 2024