THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND Financial Statements for the year to 31 December 2021 Registered Charity No. 1014798
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Index to the Financial statements Page5 TfU5tee5' Report Independent Avditor's Report 10 -11 Statement of Financial Activities 12 B81ance sheet 15 Statement of Cash Flows 14 Notes to the Accounts
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Trustees, Report Reference and Administrative Details TRUSTEES Hichael Napier CBE. QC The Hon James Lewis QC Clive Osborne JP Simon Clements PRINCIPAL ADDRESS 8 South Square Gray's Inn London WCIR SET CHARITY REGISTRATION NO. 1014798 AUDITORS HJy5macintyre LLP 10 Queen Street place London EC4R 41G PRINCIPAL BANKERS C Hoare & Co 37 Fleet Street London EC4P 4DII SOLICITORS Hunters 9 New Square Lincoln'5 Inn London WC2A 3QN SENIOR MANAGEMENT Chief Executive.. Anthony Harking Director of Finance.. Dermot Doughty ACA
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Trv$tee$' Report (continued) strveturo, Governance and Management The Trustees who acted throughout the year are 85 disclosed on page 3. The Trustees are kept conversant with the law and the requirements of the Charity Commission, as required, by profession31 adviser5. Trustees are selected by the Nanagement Committee of The Honour2b1e Society of Gray's Inri I'The Society'l Jnd their appoiritments are confirmed by Pension. the ultimate policy making body of The Society. Day to day management ol the activities of The Honovrable Society of Gray's Inn Trust Fund (the 'Charitable Trust'l is delegated to the rHariagement staff of The Society. Gov•rning Document The charity 15 governed by a Deed of Covenant dated 31SI January 1972. objective5 and Activities The objects ol the Charitable Trust Fund ale the advancement of legal edvcation, by, inter alia, the making of donations to the Scholarships Trust for the award of 5¢holarships, bvrsaries and grant5 and by the provision of library facilities lor the purpose of eriabling students of The Society from all parts c>1 the world to study law and Ivlfil the condition5 requisite for conferment of the degree of Barrister at law,. the promotion of religion by maintenance of the Chapel,. and such other chJritable object5 as the Trustees shall direct. Grant Policy For many years grants were made on an annual basis to the Honourable Society OF Gray's Inn Scholarships Trust I'the Scholarships Tru5t"I to fund scholarships and which were at level as hi9h a5 is affordable. No Grant was made to the Scholarships Trust in either 2020 or 2021 as the Charitable Trust's income from the Society had been reduced due to the Coronavirus pandemic. The Trustees understand that in each of these year5 The Society made a loan of £600k to the Scholarships Trust to fund immediate c35h requirements. In future the Charitable Trust wi15 not be making a regular donation to the Scholarships Trvst as the Society will be making donations directly. Public BÈnÈfit The Trustees confirm that they have considered the Charity Commission's guidance on public benefit and are mindful of their obligation5 to ensure that the activities of the Trust are dernonstrably for public benefit. All students W15hing to pursue career5 a5 barristers must become members of one of the four Inns of Court and, after passing the requisite exams and meeting other requirements, be called by their Inn. No individual with the appropriate academic qualifications who 3pplie5 to an Inn of Court ean be refused membership to partake of the legal edv¢ation31 Facilities offered. The grant made to the Scholarships Trust each year funds scholarships to students. Members ol the public are welcome to attend the Ch3pel's services, the dates and time5 of which are on public notice boards within the Inn and on the Inn's website. The Library is available to all barristers and student barristers for Study and research. In addition, the Library Undertakes numerous historic31 arid 9enealogical enqviries on behalf of members of the public for which no charge is made. Achievements and Performance in the Year The Coronaviru5 pandemic has had a 5ignilicant disruptive influence on the Trust's operation31 activities. Notwithstanding this the major aims have been achieved and are detailed in this report. Starf and volunteers have shown considerable adaptability and diligence throughout this period and the Trustees would like to extend their thanks for the work undertaken.
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Trvstees. Report Icontinvedl Th* chapel The pandemic eontinued to have an impact on Chapel throughout the year with the first several months seeing Evensongs and Holy Communions cancelled. Online Services resumed at the start of 2021 and the Preacher, Organist and Dean ol Chapel pre-recorded 50tne Services which were Shown via Zoom with another onlir)e space being used to allow people to socialize èfter the Service. 10 Mattin5. 7 Holy Communions. 2 Sung Eucharist5 and 8 Evensong Services took place, in a mixture of recorded, online only, hybrid and in person only formats as the year progressed. It was in March thst Holy Communion covld begin in person again with communicants standing in socially-distJnced queue to receive. The 2021 Mulligan Sermon w3s delivered in person by the Right Reverend stephen Conway, Bishop of Ely. on 16 May though there was no lunch aftepNards. The first Summer Concert was cancelled but three more took place, with Words & Music on 22 June m3rking the 426th anniversary of the martyrdom ol Henry Walptsle. 29 June was the Bar Musical Society coricert, 06 July was Paul Skinner on flute and 20 July the Gray's Inn choir. Sunday lynch returned after Morning Choral Services in October. The Preacher ha5 continued to make himself available, in complete confidence, for those Member5. Students and Staff who need someone to listen to them and as far a5 possible the Chapel was open to those who wished to access it. One memorial service. four weddings and four baptisms took place. Library 5ervi¢es Following the re-introduction of stricter Covid measvres in January 2021, the LibrJry again closed to members and reverted to rewote services as during the first lockdown. The Library re-opened on 12 April with reduced opening hours, as in the latter part 012020. Saturday opening on a rota basis with the other Ir)ns resumed in May. Charges for the Docutnent Supply service were reinstated on 19 July, having been waived during lockdown. On 27 September, the Library resumed its normal opening hours o19..00 - 20..00 and staff returrted tts working on-51te lull-time. After 35 year5 of service, the Deputy Librarian, MG Jones. retired Jt the end of January. A revised role of Library Manager was created, to act as operations manager of the Library, deliver legal rese3rch training programmes and to depvtise for the Director of Library Services. Andy Horton was appointed and started on 19 July. Having beer) interrupted by the pandemic, the usual practice was re5vmed ol employing two gradvate trainees on fixed term contracts, providing 2 'foundation year. lor those interested in librarianship as a profession. 1,000 books were catalogued and over 1,900 serials receivecl. A5 ever, welcome donations were made by members. Notably, this Included 150 books on international law from the personal collection of the late M35ter Brownlie, given by his widow Lady Brownlie. Cataloguin9 of the Lauterp8cht Collection continued, with over 900 items now added to the Library Catalogue. Sever31 periodical runs from the Collection were also moved to open access 2$ part ol the Library's collection of international law jourrials. Titles included the Yearbook of the United Nations, the ICSID Review and the Iran-united States Claims Tribunal Report5, many of the latter being bound with Master Lavterpacht's initials on the spine. A booklet Commemorating the reception held to mark the arrival of the Collection was added to the website. The Library also received copie$ ol the lavishly Illustrated book, Sir Elihu Lauterpacht.. a Life in International Law. a photo-biography produced by Master Lauterpacht's daughter G3briel Cox. Cat31oguing of the Francis Bacon Collection was completed and a lull inventory published on the website, in¢lvding many first editions and several historical 8rTd critical Studies addressing Bacon's cipher and the theory of Shakespe3ri3n 3Uthoiship. A project was also initiated to ¢)talo9ue the rare book holding5 kept in the Library Strongroom, including many legal books from the 16th 2nd 17th centuries. Over 200 item5 h3ve been catalogued so lar.
THE HONOURABLE SOCIETY OF GRAY'S INN TRusf FUND YEAR TO 31 DECEMBER 2021 Tivstèe5' Report Icontinvedl Libtary Service5 {Continued) The cli5posal of non-essential hardcopy stock continued, arid the weeding of the basement closed stack wa5 completed. Weeding of the North Library wa5 also carried out, creating space for the Lauterpacht materi315. 800 books were donated to other libraries or given to ¢h¥rity. As noted last year, the law changed to allow certain electronic publications to become zero-rated ftsr VAT. All publishers have now implemented this change, resulting in cost 5aving5 on service5 such as Westlaw and Lexi5 Library. The pandemic led to an increase in requests for remote access to BIoom5bury Professional, with almost 300 members now signed up for the Service. The Library subscribed to the Kluwer Arbitration Service to complement its hardcopy collection of iriternatior)al arbitr8tion materials. The service will be offered to svpport member5 taking the Inn's Introduction to Aibitration course in 2022. The project to digitise the Inn's medieval manuscripts proceeded. Trial digitisation of Gray'5 Inn MS 10 (the Roman de la Rosel was carried out. Initial results were mixed and another attempt will be rnède in the new year. After re-opening, attendance by members was initially low, reflecting the fact that many barristers continued to work Irorn horne. However, attendance gr•du3lly increased, with 2,500 visitors over the last six months, ineluding regular use by students. Usage, as opposed to attendance, remained relatively healthy throughout. Staff dealt with 4.000 enquirie5 and around 4,500 books were vsed. of which 13% came from the international law collection and 12% from the Library's c105ed stacks, such as old editions of textbooks. The Library photocopier5 were used For over 29,000 printing, Copying or scanning jobs. There were over 32,900 page views of the Library Catalogue. Working with librarians from the other Inns, staff wrote and delivered legal research training for students on the ICCA Bar Course and produced the 100-page ICCA Legal Research Guide. The Guide has since been published on the Inn's website and is also available in hardcopy from the Library. The Practical Legal Research (Lualifying Session wa5 delivered face-to-face in Septetnber. Training materi815 are being revised to cover new topics ol particular relevance to barristers, e.g. criminal and family law. One-to-one bespoke legal research training was re-introdvced ancl proved popular with student5 anol recently qualified barrisier5. Topic5 ir)cluded how to update legislation, effective Searching of ease law, research strategies, sources in intÈrnation31 law, civil procedure, and preparatitsn For mooting. Westlaw 835ic and Advanced certification for members wa5 clelivered retnotely by Thomson Reuters while Lexis Library held remote refresher sessions for members. Staff took part in student events, including.. a Library tour and 'treasure hunt, for ICCA student members ol Gray's Inn.. presentations on the Inn Librarie5 to the other Bar providers, delivered with stall from the other Inn Libraries,. and a virtual fresher's fair at the Univer51ty of Law. The Director of Library Services and the Library Manager gave presentations at the Inn's introductory events for London and Circuit students re5pectiveSy. A display centred the Library's sports law speci¥li5m wa5 created, tying in with the summer'5 Olympics and Paralympics. The Women in Law display outside the Library entrance was also updated with new material. National Conservation Servi¢e INCSI inspected the new Archive facility at 9 Gray's Inn Square and provided a favourable interim report on the environmental cor)ditions, though monitoring continues. The Inn's oldest and most fragile surviving records rerTTain in the Library strongroom for the time being. Line management of the Inn'5 Archives psssed to the Director of Library Service5 on 6 September. The Inn's Archivist, Artdrew Mussell, retired tsn 4 November. Katherine Gwyn was appointed a5 the new Archivist & Records Manager and started on 6 December. The Library and Archives will now operate as a single department and work as team as far as possible. Library staff will assist in answering enquiries and with listing the contents of the Archives and other tasks as needed.
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Trv5tee5' Report (Continvedl The Education Department Thi5 report covers the activities and training for the period from 1 J)nv)ry to 31 De¢ember 2021. General. As a result of the pandemi¢ physical training and edvcstion within the Inn the was disrupted from January- July 2021. From September there w35 3 return to in-per50n trairiing, however there were many students still undertaking Bar Training remotely and s hybrid programme emerged. This continues to be the case with lecture and skills training being offered in-person and to online group5. Admissions. The Inn admitted 380 student members in 2021 which is an increase of 9.5% on the 2020 entry. The following additional information relates to the Inn's 2021 student membership intake.. 59% of student member$ are female,. 39% are male,. 0.9% are non-binery and 8 stvdethts did not declare at admission. 49.8% stated the white-Brit15h or White lotherl. The other 50_2% compri5e5 tsf 15 different ethnic backgrovnds. 21.8% of students are from a British-Asian background and 13% of 5tuclents are from a British Black Csribbean or Brit15h 81ack African 8ackground. Thirty Students dec12red a disability. Eleven student5 declared a condition which Could impact teaching and learning with reasonable sdjustment. Call. The Inn 3150 returned to in-person Call ceremonies and 279 student members were Called to the Bar in 2021. As the Inn Called approximately 100 fewer students in 2020 dve to the pandemic, this led to a higher dem3nd for Call in 2021. From Trinity Call 2021 all students being Called to the Bar require a Ois¢losure and Barring Service IDBSI check, both lor UK arid internationally (where applicable). Hooting. Most external mooting competitions were delivered online. Gray's Inn won the UK finals of the Je5sup Moot and reached the last 16 of the Willem C. Vis International Commercial Arbitration Moot. The Inn's Moot Competition was delivered 501ely online and in 2021 Gray's Inn also hosted the Inter-lnn moot competition - Gray's Inn finished runners- up to Niddle Temple. Trainin9 and Education. In 2021 the Inn provided >3000 individual training places at Student level. 54 Pupils su¢ce5slully completed the Pupil Course. 84 junior barristers lol less than five ye8r'5 Call) completed the New Praetitioner Training Programme. The delivery of this full and varied programme relied on Gray's Inn members providing guidance and training on a pro bono basis, with over 300 members contributing. Some events within the programme were delivered in an adapted online format, including addition31 event5 which were initially Postponed In early 2020. Student5. trainer5 and staff have 8d8pted well to online delivery and there have been some notable benefit5, such as the increased involvement of Cir¢vit trainers and student5 Ir) the delivery ol the programme. Some degree of online delivery will endure because of the flexibility and acce55ibility online formats provide. Outr¥ach. The Inn expanded the Griffin Access Programme (GAP) with 27 stvdents from Newham Colle918te 6th Form completing the prtsgrJmme arid a new cohort of 50 students (Newham Collegiate and Joseph Chamberlain College in Birmingham) starting the prograrnrne in November 2021. University Outreach is also now delivered as a hybrid programme, but the Inn's flagship University Advocacy Day returned to in-person delivery- 318 undergradvate5 applied for a place at three University Advocacy Days and 257 were selected to attend. Scholarships. The Inn had 303 applications for 8ar Course Scholarship ar)d 84 were awarded. 74 students applied for the Inn's Graduate Diploma in Law Scholarship and 34 were awarded. £1.3M in scholarship funding was agreed by the Trustees for distribution.
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Tru5tees' Report {Continuedl Risk R¢vigw The Trustees have assessed the major risks lacecl by the charity and keep them Under review. All the operational activities of the Trust are undertaken by The Society and the Trustees rely on the risk control processes implemented by The Society. Specific reference 15 made in these processes to the risk management requirements ol the Charitable Trust. The major risk is the continuation of support from The Society which is built into the Inn's annval budgeting process. snd ctsnfirmations ol support sufficient lor the charity to adopt a going concern basis have been received. Plan5 for Future Periods The Trv5tee5 have no plans to change the current policy Of the charity which will continue to support the Chapel, the Edv¢ation Department and the Library. Senior exe¢vttve pay All employees are jointly employed by the Trust and The Society. Trustee5 rely on The Society to determine the appropriate remuneration of senior executives taking into consideration industry and secior comp¥r3tive benchmarks. Financial Review All revenue5, supplemented by signif1cant grants from The Society, are used for direct charitable activitie5. Adwnillistrative services are provided by The Society without ch3rge. Pension. the ultimate policy making bocly of The Society, has provided vndertakings to the Charitable Trust Fund to enable it to continue its activities. During the year the Charitable Trust received donations from The Society totalling £2.Om 12020.. £1.9ml. Operation21 expenditure during the year rose by 12.7%. This was primarily dve to an increase in the number tsf education events as normal a¢tivitie5 resumed afterthe par)demic. The level of operational expenditure in 2020 was artificially low. At the end of the year total funds were £266,69812020= £452,832). A comparison with the previous year is set out below.. Expenditurt 2021 2020 The Chapel Education (excluding scholarships) Library, archives 2nd modern records 75,056 950,330 1,195,415 6&,053 815,788 1,090,317 Total Exp¢nditvro £2 220 802 EI.970.157 Reserves Policy The Trustees have Considered forecasts of future expenditure ol the Trust together with the commitment ol The Society to provide annual donation5 to meet this expenditure. They are satisfied that the cvrrent level of reserve5 is adequate to support ongoin9 expenditure. The policy ol the Trust is to maintain a modest level of reserve5 reflecting The Society's financial strength and formally stated commitment to fund the Trust. The trustees aim to fflaintain £200,000 in unrestricted reserve5. At 31" December the Trust held £188,294 in unrestricted reserves. The assets of the Trust consist of Cash. which 15 held at a level approximately equal tts the Trust's endowment, and a Current account with The Society.
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEP4BER 2021 Trv5tees' Report Icontinvedl Statement of Trvstee$' R¢sponsibilitie5 The Trustee5 01 the Charity are required to prepare lor each financial year financial statements which observe the principles and method5 of the Charities SORP and which give a true and lair view of the state of affair5 01 the Charity and of the incoming resources and application of resource5 ts1 the Charity for that period. In prepÈring those linanci315tatements. the Trustees are required to= select 5Vltable accounting policies and then apply them con515tently', make judgements and estimates that are reasonable and prudent., state whether applicable accounting standard5 h3ve been Followed, subject to 2ny material departures disclosed and explained in the financial st8tements', prepare the financial statements on the going concern basis unle55 It is inappropriate to presume that this basis Jpplie5. The Trustees are responsible for keeping proper a¢covnting record5 which disclose with reason8ble accuracy at any time the financial position ol the Charity and to enable them to ensure that the financial statements comply with Statutory requirements. They are also responsible For 58feguarding the a55et5 01 the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Approved by the Trustees 201h June 2022 and signed as authorised on their behalf by.. Trustee
THE HONOURABLE SOCIEfY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Independent auditor's report to th• Trvsto•$ of Tho Honourabl• Soeioty of Gray's Inn Trust Fund Opinion We have audited the financial statements of The Honourable Society of Gray's Inn Trust Funds for the year ended 31 December 2021 which comprise Statement of Financial Activities. Balance sheet. cash flow statement and notes to the finJncial Statements, including a summary of significant accounting ptslicies. 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 2nd RÈpubli¢ of Ireland (United Kingdom Ger)er8lly Accepted A¢¢ounting Practice). In our opinion, the financial statements.. give a true and fair view of the state of the charity's affair5 as at 31 December 2021 and of the ¢h3rity's net movement in funds lor 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 opiAiL)n We have been appointed J5 auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made tsr having effect thereur)der. We conducted our audit in accordance with International St2nd2rds on Auditing IUKI IISAS IUKII and applicable law. Our re5POn5ibilities under those standards are Ivrther described in the Auditor's responsibilities lor the audit of the financial statements section ol our report. We are independent of the ¢h¥rity in accordance with the ethical requirement5 th3t are relevant to our audit ol the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities ir) accordance with these requirement5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for ovr opinion. Conclvsions relating to going concern In auditing the firiaDcial statements, we have concluded that the Trvstees. use of the going concern basis ol accounting in the preparatiori of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertsinties relating to events or conditions that, individu311y or collectively, may ¢¥st significant cloubt on the charity's ability to continue as a goin9 concern for a period ol at least twelve months from when the financial statements are authorised lor issue. Our responsibilities and the responsibilities of the Trustees with respeet to going concern Jre described in the relevarit sections of this report. Other information The Trustees are responsible for the other information. The other information comprises the information included in the Trvstees, Annual Report. Our opinion on the financial statements does not cover the other information and, ex¢ept to the extent othepNise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit ol the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information 15 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 mi55tatements, we are reouired to determine whether there is a rnateri?I mi55t3temerit in the financial statements or a tnaterial mi55tatement ol the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this Other infortnation, we are required to report that fact. We have nothing to report in this regard. Matters on whi¢h w• ar• required to report by e¥¢eption We h¥ve nothing to report in respect of the following matters in relation to which the Charities IA¢covnts ancl Reports) Regulations 2008 require u5 to report to you if, in our opinion= adequate accounting records have not been kept by the charity, or sufficient accot5nting recoTd5 have not been kept,. or the charity financial statements are not in agreement with the accounting records and returns., or we have not received all the intormation and explanations we require for our audit. io
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Indepnd•xt audttor'5 report to the Trustees of The Honourable Society of Gray's Inn Tryst Fvnd {¢ont'dl Responsibilities of Trustees frjr the finan¢i>l ststements A5 explained more lully in the Trvstees, responsibilities statement set out on page 9. the Trustees are respon51ble lor the preparation of the financial statemènts and for being sat15fied that they give 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 mi5Statement, whether due to Ir3ud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity's ability to continue a5 a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis ol accounting unless the trustees either intend to liquidate the charity or to ce3se operations, or have no realistic alternative but to do so. Avditor'5 re$ponsibilities for the avdit of the finan¢ièl st•tement5 Our objectives are to obtain re350nable assurance about whether the fi'nanci315tatements as a whole ¥re free from material misstatement. whether due to fraud or error, and to issue an auditor's report Ihat include5 our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit Conducted in accordance with ISAS IUKI will alway5 detect a material misstatement when it exists. Misstatements Can 3ri5e frow fraud or error and are considered material if. individually or irt the aggregate, they could reasonably be expected to influence the economic deeisions of users taken or) the basis of these financial statements. Irregul3ritie5, including Fraud, are inst2nces ol non-compli3nce with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements In respect ol irregularities, including fraud. The extent to which our procedures are c3pable of detecting irregvlarities, including fraud is detailed below.. Based on our understanding of the charity and the environment in which it operate5, we identified that the principal risks of non-compliance with laws and regulations related to compliance with the charity SORP in the preparation of the accour)ts and we considered the extent to which non- compliance might have a material effect on the financial statements. We also considered those laws and regvlation5 that have a rjirect impact on the preparation o the financial statements such as Charities Act 2011. We evaluated management's incentives and opportunitie5 for fravdulent manipul3tion of the fir)ancial statements (including the risk ol override of controls), and determined that there were no such risks. Our procedures included the following.. Inspecting correspondence with regulator5 and tax authorities, and minutes of trustee meetings., Discussions with management including consideration ol known or suspected instances of non- compliance with laws and regulation and fraud both at planning and at completion., Evaluating management's ¢ontro15 designed to prevent 8nd detect irre9ularities,' Identifying and testing journals process by management in the preparation of the financial statements-. ar)d Challenging assumption5 and judgements made by m3nè9ement in their critical accounting estimates. A further description of our re5PDnsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. www.Irc.org.uk/auditorsresponsibilities. This description forms part ol ovr auditor's report. Use of our report This report is made solely to the ¢harity'5 Trustees, as a body, in accordance with section 14Q of the Ch3ritie5 Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity'5 Trustees those matter5 we 3re required to State to them in an Auditor's report and for no other purpose. To the hJlle5t extent permitted by law, we do not accept or a55ume responsibility to anyone other than the charity's Trustees a5 a body for our audit work, lor this report, or lor the opinions we have formed. Haysmacintyre LLP 10 fiueen Street Place Statutory Auditor$ London EC4R 1AG Date: 21 June 2022 li
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 STATEMENT OF FINANCIAL ACTIVITIES 2021 Totsl 2020 Tgtsl Endowment Restri¢ted Unrestricted Notes INCONE AND ENDOWNENTS FROM Donations and Legacies The Honourable Societyol Grdyslnn Govemment Granis Othergront5and d¥tiOnS 2.0th1,000 2.WO,000 1.880.000 39.580 50.812 5,915 5,915 Sub-total donions and legacies 2MSg15 2 OOS 91S 1970.392 Library SÈrvicps Course Fees 1,969 26.784 2.767 26,784 28.753 28,753 18,448 TOTAL INCOME É2 034 668 E2 034.068 ,988,8fy0 EXPENDmJrtE ON CHRThA6LE 4CTivmES: Rurtnin9 and eThhèncing Gi3y's Inn Chapel dvart¢¢ment ol Legal EdvC*lOrt 75,0S6 950,330 7S.OS6 9S0.330 64,055 1.090,317 T0TALExPENTURÉ £2.220,802 £2 220.802 9701S7 NETINCOME/EXPENDrruRE I186,1} 1186.1J41 RECONCIUATfoN OF FIJN05 Total fvndsbroughi Iryward 78,404 n,885 283,6è2 452,832 43&.149 rotalfvnds¢arrled lorward t7104 £71,885 £200.098 £452.852 There were no recognised gains or losses other than those shown in the above Statement of Financial Activities. The notes on puges YS-79form part of thefinc7nciol statements. 12
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 BALANCE SHErf AT 31 DECEHBER 2021. Notes 2021 2020 AXED ASSETS Silver orr)aments IMi112r bequest) 3,200 3,200 CURRENT Assrr5 Sundry debtors 120,772 205,350 Bank balance 75,199 123,699 195,971 329,049 CURRENT ACCOUNT The Hontsurable Society of Gray'5 Inn 153,872 205,597 CURRENT LIABILITIES Creditors 186.3451 185.0141 NET CURRENT ASSETS 263,498 449,633 NET ASSETS £266,698 £452,832 FUNDS Endowment 78,404 78.404 Unrestricted n,883 71.883 Unrestricted 116.411 302,545 £266,698 £452,832 Approved by the Trustee5 0 oth Jyne 2022 and signed as authori5ed on their behalf by.. Trustee.. 13
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 STATEMENT OF CASH FLOWS FOR YEAR ENDING 31 DECEMBER 2021. 2021 2020 Net rnovement in funds Decrease in debtor5 1186,1341 84,578 51,725 18,683 36,229 19.2321 12001 IITicreasel/decre8se irt current account with Grays Inn Increase/ldecreasel in creditors 1,331 Net cash provided by operating activites 148,5001 45,480 Increase in cash and cash equivalents in the year 148.5001 45.480 Cash and cash equivalents at the start of the year 123,699 78.219 Total cash and cash equivalents at the end o* the year £75,199 123,699 14
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Notes to the A¢¢ount5 1. ACCOUNTING POLICIES {al General Information The Gray's Inn Trust Fvncl is a Charitable Trust registered with the Charities Commissitsrt. It 15 incorporated in the United Kingdom and its registered addres5 15.. Treasury Office. 8 South Square, Gray's Inn, London WCIR SET. Ibl Basis of preparation and assessment of gotng Concern The a¢¢ovnts (financial st8tementsl have been prepared under the historical cost convention with item5 recognised at cost or tran53Ction value unless otherwise ststed in the relevant notelsl to these account5. The financial statetnent5 have been prepared in accordance with the Statement of Recornmended Pr3etice". A¢¢ounting ancl Reporting by Charities preparing their accounts in a¢¢ordance with the Financial Reportlllg Standard applicable in the UK and Republic of Ireland IFRS 1021 issued or) 16 July 2014 lse¢ond editio October 20191 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FR5 1021 and the Charities Act 2011. The Trust constitutes a public benefit entity as defined by FR5 102. The Trustee5 consider that there are no material vncertaintie5 about the Trvst's ability to ontinue as a going concern. The Trustees have obtained confirmation from The Society that they have the means and intention of fund the operatlOn5 01 the Trust for at least 12 months from the date these financial statements are signed. In preparation of the accounts there are estim2tes rÈlatln9 to prepayments and accruals which are non-complex in nature. None of the estimates are material to the accounts. (el Grants Grants are charged as expenditure in the year they are 3warded. Idl Expenditure The expenditure of the charity is directly allocated to the charitable a¢tivity to which it relates or to the cost of generating fund5 or govern8n¢e. a5 appropriate. where support Costs are incvrred these are apportioned to the appropriate heaclings15ee Note 2 below). lel Financial In$trument5 The Trust only enter5 into basic financi31 instruments transactions that result in the recognition of financial a55ets and liabilities like trade and other debtors snd creditors, 108ns frorn banks and other third parties, loans to related partie5 and investments in non- puttable ordinary share5. In Creditors Short term creditors are measured at the transaction price. Other fin2rncial li¥bilitie5 are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cts5t using the effective interest method. {g) Debtors short term debtors are me35vred at the transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at èmortisÈd cost V5ing the effective interest method, less any impairment. Ihl Provisions Provisions are made where an event ha5 taken place that gives the Charitable Trust a legal or constructive obligation that probably requires settlement by a transfer of economic benefit. and a reliable estimate can be made of the amount DI the obligation. Provisions are charged as an expense to the Statement of Finar)cial Activitie5 in the year that The Society becomes aware of the obligation, and are measured at the best estimate at the ¥lance Sheet date of the expenditure required to settle the obligation, taking into account relevant risk5 and uncertainties. When payment5 are eventually made, they are charged to the provision Carried in the Balance Sheet. lil Government Grants During 2021 The Trust did not claim any funds under the Government's Coronavirus Job Retention Scheme 12020.. £39,580). 15
THE HONOVRABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Notes to the Account$ (Continuod) CHARITABLE EXPENDITURE Expenditvre on Charitable Activities, together with prior year comparative figures, is as follows.. 2021 Total Chapel Education Library Direct cost5 Staff costs Books and publications Event Costs Other 25,154 537,523 363.430 572,315 10,692 37,313 983,750 926.107 572,315 192,819 108,935 1,800,776 5,543 26,299 54,997 178,584 45,323 761,430 Grant Funding The Gray's Inn Scholar5hip5 Trust Other grants and awards 48,500 20,100 68,600 48,500 26.600 75,100 6,500 6,500 Svpport costs Information Technology Space Costs 46,740 73,560 120.300 79,062 126,103 20S,166 125,802 219,723 345,525 20,060 20,060 £75,056 £950,330 1,195,415 £2.220,802 2020 Total chapel Education Library Direct ¢ost$ Staff costs Books and public3tions Event Costs Other 22,990 505.588 355,862 519,800 884.440 519,800 165,523 101,990 1,671,753 165,523 42,In n3,282 22,097 45.086 37,723 913,385 Grant Funding The Gray's Inn Scholarships Trust Other grants and awards 4,950 4.950 6.000 6,000 10,950 10.950 Support ¢osts Inlorm3tion Technology Space Costs 28,004 69,552 97,556 51,700 119,232 170,931 79,704 207,750 287,454 18,966 18,966 £64,053 £815.788 EI,090,517 £1,970,157 Staff costs are more fully detailed in note 7. Educational events are undert2ken both within the Gray's Inn site snd at exterr)al venues. The Trustee5 Report Includes detai15 01 events undertaken in 2021. Additional disclosures regarding grant funding are given in note 6. Support costs are allocated on the basis of the nuwber5 01 computers in use for IT and on the ba515 of square footage for space c05t5. 16
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Notes to the A¢count$ (Continued} MOVEMENT IN FUNDS R Hare B¢qu¢st General Fund Bequest Total 8alance at l Jan 2021 Total Income Trust running costs 78,404 71,883 302.545 2,034,668 12,220,802) 452,832 2,034.668 12,220.8021 Balance at 31 Dec 2021 £78,404 £71883 16,411 £266,698 Millar eqv95t R Hère (3¢neral Fund Bequest Total Balance at l Jan 2020 Total Income Trust running Costs Scholarship donation 78,404 71,885 283,862 1,988.840 11,970,157) 434,149 1,988,840 11,970,157) Balsnce at 31 Dec 2020 £78.404 E71,883 £302,545 £452,832 Kmill This was created with a bequest from the estate of William James Kinnear Millar to benefit the chapel. Rosina Hare t. This was created a5 a bequest from the estate of Rosina Hare QC. TAXATION As a registered charity, the Charitable Trust 15 exempt from taxation. TRUSTEES, REHUNERATION AND RELATED PARTY TRANSACTIONS During the year no trustee received any remuneration or expenses from the Charitable Trvst Fund 12020.. £nill. There were no related party transactions in the year 12020.. £nill GRANTS PAYA8LE A gr3nt of £48,500 was made to the Scholarships Trust to fund the award of scholarships to students 12020.. £nill. This grant was made possible following the receipt of a legacy lamounting to £45,479) from the Estate of the late HPLI Grazebrook 17
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Notes to the Accounts Icontinvedl STAFF COSTS Staff Costs for the year. together with prior year comparative figures, sre.. 2021 Total ch3pel Edvcation Library Salaries National Insurance Pension Costs Other c05t5 21,825 1,374 1,403 552 422,763 38.643 42,707 33,411 262A09 24,054 28,235 48,733 706,997 64,070 72,345 82,696 £25,154 £537,523 £363,430 £926,107 2020 Total Chapel Edvcation Library Salaries National Insurance Pension Costs Other costs 19,945 968 377,352 38,792 38,817 50,627 280,297 25,562 27,762 22,241 677,594 65,522 67,946 73.578 1,367 710 £22,990 £505,588 £355,862 £884,440 The Average number of employees in 2021 wa5 20 12020.. 191. The total compensation of key management personnel wa5 £210,680 12020.. £211.1831. One employee received total employee benefits iri excess of £90.000 but below £100,000. A further employee received employee benefits irt ex¢e55 of £70.000 but below £80,000. These benefit5 exclude employer per)sion contributions. Pension cost5 represent the Charitable Trust'5 share of cash paid by The Society in respect of pensions lor staff wholly employed on Charitable Trust activities. These sums are paid either to the Honourable Society of Gray's Inn Pension and Life Assurance Scheme or to a third party pension provicler. DEBTORS 2021 2020 Prepayments end accrued income Sundry Debtors 49,236 71.536 £120 772 139,924 65,426 £205550 CREDITORS 2021 2020 Sundry creditor5 and accruals £86,345 £85,014 18
THE HONOURABLE SOCIETY OF GRAY'S INN TRUST FUND YEAR TO 31 DECEMBER 2021 Not¢s to the A¢¢ounts (Continued) 10. FINANCIAL INSfRUMENTS 2021 2020 inan¢tal Ass*ts Financial Assets measured at amortised cost E7l,536 É65,426 inancial abilItieS Inancial Liabilities measured at amortised cost £86,345 £85,014 Financial assets lat amortised costl comprise acerued income and sundry debtors. Winancial li3bilities13t ¥mort15ed costl comprise accrua15 and sundry creditors. 11. PENSIONS Employees whose employment commenced before Ist April 2006 are members of The Honourable Society ol Gray's Inn Pension & Life Assurance Scheme whieh is a defined benefit, non-contribvtory pension scheme. (Employees whose employment commenced after Ist April 2006 benefit Irc)m defined contribution pension 3rrangements1. Employees have 8 joint ontr3Ct of employment with The Society and the Charitable Trust. The Charitable Trust has no liability to make contributions or to make good any deficit in the 5¢heme, this being the liability of The Society. The requirement to disclose information, as required by FRS102, is therefore unnecessary and not provided. The allocated pension contribution charge for the year is disclosed within note 7. 12. SUPPORT & GOVERNANCE COSTS The Society provides all support and governance services but makes no charge. It is not practical to quantify the value of these donated services. On the ba515 that the value is not likely to be material, a value of nil ha5 been ascribed to the donated 5ervice5 in these account5. 13. POST BALANCE SHEET EVENTS The Trv5tees have received confirmation from The Society that they car) and will meet all operational costs ol the Trusts for the foreseeable future. 19