**REGISTERED CHARITY NUMBER: 1012615**
**Report of the Trustees and**
**Financial Statements**
## **for the Year Ended 31 December 2022**
**for**
**Brownsword Charitable Foundation**
Sumer Audit Statutory Auditor Chartered Accountants County Gate County Way Trowbridge Wiltshire BA14 7FJ
**Brownsword Charitable Foundation**
## **Contents of the Financial Statements for the Year Ended 31 December 2022**
|||**Page**||
|---|---|---|---|
|**Report of the Trustees**|1|to|3|
|**Report of the Independent Auditors**|4|to|5|
|**Statement of Financial Activities**||6||
|**Balance Sheet**||7||
|**Notes to the Financial Statements**|8|to|14|
|**Detailed Statement of Financial Activities**||15||
**Brownsword Charitable Foundation**
## **Report of the Trustees for the Year Ended 31 December 2022**
The trustees present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of 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 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives**
In shaping our objectives for the year and planning our activities, the trustees have considered the Charity Commission's guidelines on public benefit.
The objects of the Charity are to make donations to such charitable institution or institutions at such time or times and in such a manner that the Trustees may in their absolute discretion think fit.
The Board of Trustees reaffirmed at a meeting on 23 November 2021 that for forthcoming years the broad priority areas would be:
Children and Young People The Arts The Elderly Community and Neighbourhood Work Physical and Learning Difficulties Educational Projects Medical Projects
It is anticipated that the majority of donations will be restricted to the Bath area although the Trustees will also be looking to undertake specific large national donations in coming years.
The trustees are aware of the public benefit provisions of the Charities Act 2011 and of the guidance on them published by the Charity Commission. They are satisfied that the objects of the Charity and the activities of the Charity are within the definitions of Charitable Purposes as set down in the Act. The trustees are not aware of any public detriment caused by the Charity's objects or activities, and nor are they aware of anyone receiving any private benefit from the Charity's activities.
The Foundation makes grants solely to other charities, each of which will make an appropriate statement as to how they achieve their aims for public benefit. Interested parties may wish to consult the Trustees' Reports of those organisations independently for further details.
Grants made in 2022 were lower than the income received by the Foundation. This follows a period of years where the reverse was true. The Trustees are comfortable with this position and expect to broadly balance overall expenditure with income receipts over forthcoming years. The Foundation's current planned grants for 2023 include to a local arts festival, to research into cancer, a homeless charity, a local children's hospice and a local city farm.
## **FINANCIAL REVIEW**
## **Review of transactions and financial position**
During the year, the charity received income of £312,282 (2021: £234,839), mainly consisting of interest of £30,108 (2021: £384) and rent receivable of £277,853 (2021: £234,455). The trustees considered a number of grant applications during the year and donations were made to eight charities.
## **Investment policy and objectives**
The policy of Trustees is to retain reserves in cash. All cash reserves are held in an interest bearing account. At 31 December 2022 the total free reserves held by the charity were £221,969. The trustees can at their discretion, draw on the free reserves of the expendable endowment fund which at 31 December 2022 had current reserves of £3,760,157.
The Trustees purchased No 1A Royal Crescent for a sum of £1,050,000 on 31 October 2006. Planning permission was granted 24 March 2011. Work commenced on 9 January 2012 and Practical Completion was issued on 19 November 2013. A lease at a peppercorn rent to the Bath Preservation Trust commenced on 3 December 2012. The Museum was officially re-opened on 21 June 2013.
On 23 June 2011 Andrew Brownsword donated three freehold properties to the Foundation. These are accounted as long term commercial property investments with long standing tenants.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity's objects and provisions are regulated by a trust deed dated 11 June 1992. The charity's registered charity number is 1012615.
Page 1
**Brownsword Charitable Foundation**
## **Report of the Trustees for the Year Ended 31 December 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Organisation of the charity**
The trustees have met whenever they needed to review applications for grants. Decisions are made when the trustees have reached a unanimous agreement. The charity is administered in Bath by Nicholas Burrows, under the supervision of the trustees.
## **Recruitment and training of new trustees**
Should a need arise to appoint new or additional trustees, consideration will be given to the experience and credibility of the candidate.
New trustees will be given every opportunity to spend time with other officers of the Foundation and will be inducted on the procedures and practices accordingly. Specific training will be tailored to the individual's needs and requirements.
## **Risk management**
The Trustees have reviewed the charity's activities and assessed the opportunities available to the charity and the risks to which it is exposed. As a result of this process, the trustees have a risk management strategy which comprises of an annual review of the risk which the charity may face; the establishment of procedures to mitigate those risks identified during the annual risk review; and the implementation of procedures designed to minimise any potential impact on the charity should any of those risks materialise.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
1012615
## **Principal address**
4 Queen Square Bath BA1 2HA
## **Trustees**
Mr A D Brownsword Mr R F Calleja Mr P Matthews Ms A Brownsword-Matthews
## **Auditors**
Sumer Audit Statutory Auditor Chartered Accountants County Gate County Way Trowbridge Wiltshire BA14 7FJ
## **BANKING**
The charity holds current and investment accounts with the National Westminster Bank. The branch address is PO Box 4349, Worthing, BN11 3EQ.
## **APPOINTMENT OF AUDITORS**
A resolution to reappoint Sumer Auditco as auditors will be proposed at the Annual General Meeting.
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Page 2
**Brownsword Charitable Foundation**
## **Report of the Trustees**
## **for the Year Ended 31 December 2022**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued**
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which 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 Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
........................................................................ Mr A D Brownsword - Trustee
06/09/2023
Page 3
## **Report of the Independent Auditors to the Trustees of Brownsword Charitable Foundation**
## **Opinion**
We have audited the financial statements of Brownsword Charitable Foundation (the 'charity') for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet 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 (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 31 December 2022 and of its incoming resources and application of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **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 Auditors' 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 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 Annual Report, other than the financial statements and our Report of the Independent Auditors 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 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.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which 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.
Page 4
## **Report of the Independent Auditors to the Trustees of Brownsword Charitable Foundation**
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditors 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 a Report of the Independent Auditors 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 and sector, we identified that the principal risks of non-compliance with laws and regulations related to charity legislation, and we considered the extent to which non-compliance might have a material effect on the financial statements of the charity. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Statement of Recommended Practice.
We evaluated 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 potential lack of segregation of duties, bookkeeping errors and management bias in accounting estimates and judgemental areas of the financial statements. Audit procedures performed by the audit engagement team included:
- Enquiry of management and those charged with governance about any known or suspected instances of non-compliance with laws and regulations and fraud;
- Gaining understanding of management's internal controls designed to prevent and detect irregularities, and fraud; - Reviewing minutes of meetings of those charged with governance and any correspondence with The Charity Commission;
- Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
- Performing analytical procedures to identify any unusual or unexpected relationship that might indicate a risk of material misstatement due to fraud;
- Performing audit work over the risk of management override of controls, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.
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 Report of the Independent Auditors.
## **Use of our 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. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state 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 charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Sumer Audit Statutory Auditor Chartered Accountants County Gate County Way Trowbridge Wiltshire BA14 7FJ
20/09/2023
Date: .............................................
Page 5
**Brownsword Charitable Foundation**
## **Statement of Financial Activities**
## **for the Year Ended 31 December 2022**
|Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
Investment income
2
**Total**
**EXPENDITURE ON**
Raising funds
3
**Charitable activities**
Charitable Costs
Support Costs
**Total**
Net gains/(losses) on investments
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
fund
£
4,321
307,961
312,282
48,355
113,500
2,108
163,963
-
148,319
73,650
221,969|Endowment
fund
£
-
-
-
23,817
-
-
23,817
(714,000)
(737,817)
11,196,635
10,458,818|2022
Total
funds
£
4,321
307,961
312,282
72,172
113,500
2,108
187,780
(714,000)
(589,498)
11,270,285
10,680,787|2021
Total
funds
£
-
234,839|
|---|---|---|---|---|
|||||234,839|
|||||66,452
283,000
1,211|
|||||350,663|
|||||1,060,000|
|||||944,176
10,326,109|
|||||11,270,285|
The notes form part of these financial statements
Page 6
## **Brownsword Charitable Foundation**
|**FIXED ASSETS**
Tangible assets
Investment property
**CURRENT ASSETS**
Debtors
Cash at bank
**CREDITORS**
Amounts falling due within one year
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT LIABILITIES**
**NET ASSETS**
**FUNDS**
Unrestricted funds
Endowment funds
**TOTAL FUNDS**|**Balance Sheet**
**31 December 2022**
Notes
11
12
13
14
16|2022
£
2,002,661
4,696,000
6,698,661
95,564
3,960,256
4,055,820
(73,694)
3,982,126
10,680,787
10,680,787
221,969
10,458,818
10,680,787|2021
£
2,026,478
5,410,000|
|---|---|---|---|
||||7,436,478
91,410
3,798,965|
||||3,890,375
(56,568)|
||||3,833,807|
||||11,270,285|
||||11,270,285|
||||73,650
11,196,635|
||||11,270,285|
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. Mr A D Brownsword - Trustee
06/09/2023
The notes form part of these financial statements
Page 7
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements**
## **for the Year Ended 31 December 2022**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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 1 January 2019)'. Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, as modified by the revaluation of certain assets.
The financial statements have been prepared to give a 'true and fair' view and 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 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) issued on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The most significant area of adjustment and key assumptions that affect items in the accounts are to do with estimating the fair value of investment properties (see note 11 for more information). Likewise, this is the most significant area of uncertainty that affects the carrying value of assets held by the Charity, in the next period.
## **Income**
Rental income and interest receivable are recognised on an accruals basis.
## **Expenditure**
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 a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Grants payable**
Grants payable are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required and the amount of the obligation can be measured reliably. Details are given in note 4.
## **Governance costs**
Costs are allocated between direct charitable governance costs and other expenditure according to the nature of the cost. A detailed analysis of the allocation of costs is given on the face of the statement of financial activities on page 15.
## **Tangible fixed assets**
Tangible fixed assets are stated at cost less accumulated depreciation.
Depreciation is calculated on a straight line basis at the following annual rates to write off assets over their estimated useful economic lives:
Property improvements 2%
Freehold property has been valued on the basis of cost less depreciation.
## **Investment property**
Investment properties are measured the basis of comparison to property index rises and falls on cost since acquisition.
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
The Charity has various types of funds for which it is responsible, and which require separate disclosure. These are as follows:
Page 8
continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **1. ACCOUNTING POLICIES - continued**
## **Fund accounting**
## Unrestricted funds
The unrestricted funds are funds that can be used by the Foundation towards operating costs and towards its charitable objects.
## Expendable endowment fund
The endowment funds were given on the understanding that they are to be held by the Charity on a long term basis, primarily to support the work of the Charity by generating income or capital growth. The endowment fund is an expendable endowment, meaning that the trustees at their discretion can draw on the capital of the fund when they consider it necessary to support the operational work of the Charity. Expenditure directly attributable to the maintenance or protection of assets in the endowment fund is accounted for as an expense of the endowment fund.
## **2.**
## **3.**
## **4.**
## **INVESTMENT INCOME**
|Rental income receivable
Interest receivable
**RAISING FUNDS**
**Investment management costs**
Legal and professional fees
Insurance
Management fees
Property repairs
Light and heat
Depreciation
**GRANTS PAYABLE**
Charitable Costs
The total grants paid to institutions during the year was as follows:
Forever Friends Appeal for the RUH
Bath Abbey
Dart Sailability
Bath Festivals Ltd
Merchant Venturers
Royal Horticultural Society
Arts Taunton
Jessie May Trust
Royal National Institute of Blind People
Bath City Farm
Dorothy House
Fight Against Blindness
Cancer Research UK|2022
£
277,853
30,108
307,961
2022
£
25,962
14,380
7,383
-
630
23,817
72,172
2022
£
113,500
2022
£
-
-
-
2,500
-
-
30,000
5,000
1,000
2,000
10,000
3,000
60,000
113,500|2021
£
234,455
384|2021
£
234,455
384|
|---|---|---|---|
|||234,839||
|||2021
£
5,838
6,990
6,000
23,307
500
23,817
66,452
2021
£
283,000|2021
£
5,838
6,990
6,000
23,307
500
23,817|
||||66,452|
|||2021
£
200,000
25,000
1,000
5,000
2,000
5,000
45,000
-
-
-
-
-
-||
|||283,000||
Page 9
continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **4. GRANTS PAYABLE - continued**
Further commitments of £299,000 (2021: £171,000) have been agreed with relevant parties. The terms of these agreements allow for the amendment, cancelation or change in the terms of these commitments at any time. Given these conditions, they do not meet the requirements of obligation, probability and measurability and thus are disclosed only.
## **5. SUPPORT COSTS**
## **6.**
|**SUPPORT COSTS**|||
|---|---|---|
|||Governance|
|||costs|
|||£|
|Support Costs||2,108|
|**AUDITORS' REMUNERATION**|||
||2022|2021|
||£|£|
|Fees payable to the charity's auditors for the audit of the charity's financial|||
|statements|2,108|1,211|
## **7. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 December 2022 nor for the year ended 31 December 2021.
## **8. STAFF COSTS**
The charity had no employees in 2022 (2021 - Nil)
## **9.**
## **COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|**INCOME AND ENDOWMENTS FROM**
Investment income
**EXPENDITURE ON**
Raising funds
**Charitable activities**
Charitable Costs
Support Costs
**Total**
Net gains on investments
**NET INCOME/(EXPENDITURE)**
**Transfers between funds**
**Net movement in funds**|Unrestricted
fund
£
234,839
19,328
283,000
1,212
303,540
-
(68,701)
61,125
(7,576)|Endowment
fund
£
-
47,124
-
(1)
47,123
1,060,000
1,012,877
(61,125)
951,752|Total
funds
£
234,839|
|---|---|---|---|
||||66,452
283,000
1,211|
||||350,663|
||||1,060,000|
||||944,176
-|
||||944,176|
Page 10
continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **9. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued**
|**RECONCILIATION OF FUNDS**
**Total funds brought forward**
As previously reported
Prior year adjustment
**As restated**
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
fund
£
81,226
-
81,226
73,650|Endowment
fund
£
9,084,883
1,160,000
10,244,883
11,196,635|Total
funds
£
9,166,109
1,160,000|
|---|---|---|---|
||||10,326,109|
||||11,270,285|
## **10. RENTAL INCOME**
The charity has the following amounts of rent due to it under operating lease agreements with various tenants at investment properties owned:
|**Due within two and five**
**Due with**i**n one year**
**years**
Rental income due
287,000
282,167
**11.**
**TANGIBLE FIXED ASSETS**
**COST**
At 1 January 2022 and 31 December 2022
**DEPRECIATION**
At 1 January 2022
Charge for year
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021
**12.**
**INVESTMENT PROPERTY**
**FAIR VALUE**
At 1 January 2022
Revaluation
At 31 December 2022
**NET BOOK VALUE**
At 31 December 2022
At 31 December 2021
Fair value at 31 December 2022 is represented by:
Valuation in 2020
Valuation in 2021
Valuation in 2022|Freehold
property
£
2,240,829
214,351
23,817
238,168
2,002,661
2,026,478
£
5,410,000
(714,000)
4,696,000
4,696,000
5,410,000
£
4,350,000
1,060,000
(714,000)
4,696,000|
|---|---|
Page 11
continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **12. INVESTMENT PROPERTY - continued**
The investment properties were initially valued by Derek Walker, Chartered Surveyor in 2011 and have been adjusted in line with market indexation.
## **13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Trade debtors
Prepayments and accrued income
**14.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
VAT
Accruals and deferred income|2022
£
95,564
-
95,564
2022
£
1,500
4,500
67,694
73,694|2021
£
90,027
1,383
91,410
2021
£
1,500
-
55,068
56,568|
|---|---|---|
## **Deferred Income**
Deferred income movement in the year and the prior year are as follows:-
||2022|2021|
|---|---|---|
||£|£|
|Balance deferred as at 1 January 2022|52,567|52,567|
|Amount released to incoming resources|(52,567)|(52,567)|
|Amount deferred in year|66,169|52,567|
||||
|Balance deferred as at 31 December 2022|66,169|52,567|
||||
Deferred income comprised services invoiced in advance of the period in which they are to be delivered.
## **15. ANALYSIS OF NET ASSETS BETWEEN FUNDS**
|Fixed assets
Investments
Current assets
Current liabilities|Unrestricted
fund
£
-
-
295,663
(73,694)
221,969|Endowment
fund
£
2,002,661
4,696,000
3,760,157
-
10,458,818|2022
Total
funds
£
2,002,661
4,696,000
4,055,820
(73,694)
10,680,787|2021
Total
funds
£
2,026,478
5,410,000
3,890,375
(56,568)
11,270,285|
|---|---|---|---|---|
The Charity has various types of funds for which it is responsible, and which require separate disclosure. These are as follows:
## **Unrestricted funds**
The unrestricted funds are funds that can be used by the Foundation towards operating costs and towards its charitable objects.
## **Expendable endowment fund**
The endowment funds were given on the understanding that they are to be held by the Charity on a long term basis, primarily to support the work of the Charity by generating income or capital growth. The endowment fund is an expendable endowment, meaning that the trustees at their discretion can draw on the capital of the fund when they consider it necessary to support the operational work of the Charity. Expenditure directly attributable to the maintenance or protection of assets in the endowment fund is accounted for as an expense of the endowment fund.
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continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **16. MOVEMENT IN FUNDS**
|**MOVEMENT IN FUNDS**|||||||
|---|---|---|---|---|---|---|
||||||Net||
||||||movement|At|
|||||At 1.1.22|in funds|31.12.22|
|||||£|£|£|
|**Unrestricted funds**|||||||
|General fund||||73,650|148,319|221,969|
|**Endowment funds**|||||||
|Endowment||||11,196,635|(737,817)|10,458,818|
|**TOTAL FUNDS**||||11,270,285|(589,498)|10,680,787|
|Net movement in funds, included in the above are as follows:|||||||
|||Incoming||Resources|Gains and|Movement|
|||resources||expended|losses|in funds|
|||£||£|£|£|
|**Unrestricted funds**|||||||
|General fund||312,282||(163,963)|-|148,319|
|**Endowment funds**|||||||
|Endowment|||-|(23,817)|(714,000)|(737,817)|
|**TOTAL FUNDS**||312,282||(187,780)|(714,000)|(589,498)|
|**Comparatives for movement in funds**|||||||
|||Prior||Net|Transfers||
|||year||movement|between|At|
||At 1.1.21|adjustment||in funds|funds|31.12.21|
||£|£||£|£|£|
|**Unrestricted funds**|||||||
|General fund|81,226||-|(68,701)|61,125|73,650|
|**Endowment funds**|||||||
|Endowment|9,084,883|1,160,000||1,012,877|(61,125)|11,196,635|
|**TOTAL FUNDS**|9,166,109|1,160,000||944,176|-|11,270,285|
|Comparative net movement in funds, included in the above are as follows:|||||||
|||Incoming||Resources|Gains and|Movement|
|||resources||expended|losses|in funds|
|||£||£|£|£|
|**Unrestricted funds**|||||||
|General fund||234,839||(303,540)|-|(68,701)|
|**Endowment funds**|||||||
|Endowment|||-|(47,123)|1,060,000|1,012,877|
|**TOTAL FUNDS**||234,839||(350,663)|1,060,000|944,176|
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continued...
**Brownsword Charitable Foundation**
## **Notes to the Financial Statements - continued for the Year Ended 31 December 2022**
## **16. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**Endowment funds**
Endowment
**TOTAL FUNDS**|At 1.1.21
£
81,226
9,084,883
9,166,109|Prior
year
adjustment
£
-
1,160,000
1,160,000|Net
movement
in funds
£
79,618
275,060
354,678|Transfers
between
funds
£
61,125
(61,125)
-|At
31.12.22
£
221,969
10,458,818|
|---|---|---|---|---|---|
||||||10,680,787|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Endowment funds**
Endowment
**TOTAL FUNDS**|Incoming
resources
£
547,121
-
547,121|Resources
expended
£
(467,503)
(70,940)
(538,443)|Gains and
Movement
losses
in funds
£
£
-
79,618
346,000
275,060
346,000
354,678|Gains and
Movement
losses
in funds
£
£
-
79,618
346,000
275,060
346,000
354,678|
|---|---|---|---|---|
|||||354,678|
## **17. RELATED PARTY DISCLOSURES**
The Foundation was a beneficiary of the A D Brownsword Rawlins Trust of 4 March 1999 which wound up and distributed its assets in November 2022. Compensation was also paid by the bank due to delays in transferring and closing the account. The total donation received was £4,321.
Page 14
**Brownsword Charitable Foundation**
## **Detailed Statement of Financial Activities for the Year Ended 31 December 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Investment income**
Rental income receivable
Interest receivable
**Total incoming resources**
**EXPENDITURE**
**Investment management costs**
Legal and professional fees
Insurance
Management fees
Property repairs
Light and heat
Freehold property
**Charitable activities**
Grants to institutions
**Support costs**
**Governance costs**
Auditors' remuneration
Total resources expended
**Net income/(expenditure)**|2022
£
4,321
277,853
30,108
307,961
312,282
25,962
14,380
7,383
-
630
23,817
72,172
113,500
2,108
187,780
124,502|2021
£
-
234,455
384
234,839
234,839
5,838
6,990
6,000
23,307
500
23,817
66,452
283,000
1,211
350,663
(115,824)|
|---|---|---|
This page does not form part of the statutory financial statements
Page 15