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2021-12-31-accounts

Attachment 3 CTPF Board Meeting June 2022

Cosmetic Toiletry & Perfumery Foundation (Programme Title: “Look Good Feel Better”) Trustees Report and Financial Statements 31 December 2021

Registered No: 2850925 - Company Limited by Guarantee Registered Charity No: 1031728

About Us

The Vision of the Foundation through the Look Good Feel Better (LGFB) Programme is to ensure that anyone living with cancer can access our services.

The Mission of the Programme is to help boost the physical and emotionalwellbeing of people living with cancer through online and face to face Workshops, printed materials and web-based tutorials.

The first workshop for women was held in 1994, since then the charity has developed special sessions for young adults and, in 2018, introduced vitally needed services for men. Each group session is led by trained volunteers and is a chance to meet others in a similar situation, as well as learning useful skills and techniques to manage the side-effects of cancer treatment. In 2020 our first online workshops were launched and since then new online services including nail care and body confidence have been introduced.

Finding out you have cancer is traumatic. The added stress of the appearance related sideeffects can be demoralising and feel overwhelming, which can haveserious psycho-social consequences at a time when a positive attitude is vital.

2021: Overview

The impact of Covid on LGFB’s face-to-face workshop activities was even more keenly felt in 2021 than in 2020 with cancer centres not being available for use during a large part of the year. Despite this, the development of our online services, both core workshops as well as the various new services which we started in 2020, allowed us to reach 70% more attendees than in 2020 at c. 7,600.

58 of our 141 locations reopened for face-to-face workshops in the latter part of the year with a change in format and reduced attendees for safety reasons. Some of our centres will not reopen until later in the first half of 2022. In the meantime, our new services offering hair care, nail care, body confidence and gentle exercise sessions have proved popular and successful.

Supporting these online services has been made possible through the development of a new website and Patient Booking System to allow beneficiaries to link directly to a portal to view all sessions available and make an immediate and direct booking.

Financially, as planned, LGFB reported a deficit, with income, excluding gifts in kind, down on 2020 by 22% and now at 71% of the pre-covid level. During 2021, LGFB continued to operate with a lower level of staffing than pre-pandemic and expenditure, following the radical cuts in 2020, remained at 76% of pre-covid levels. Overall expenditure, excluding gifts in kind, increased by 6% vs. 2020. Overall this resulted in a deficit of £17k which has been funded through the prudent reserves policy.

The charity’s ambition continues to be:

‘ the ability to reach out and support every person living with cancer in the UK’.

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Members of the Board at date of signing

Geoff Percy - Chairman, CTPF Mark Spillman -Vice Chair CTPF Allie Crawford - Treasurer, CTPF Chrys Andradi - Trustee, CTPF Kenneth Green - Chairman, Kenneth Green Associates Ian Jepson - Commercial Director, Chanel Debbie Lewis - Managing Director, Clarins (UK) Ruth Newton-Jones - Fragrance Group London Debbie Hunter - Director of Commercial Affairs, CTPA Ian Marshall - Trustee, CTPF Anna Bartle - VP, Corporate Affairs, Estée LauderCompanies Suriya Parksuwan - L’Oreal Luxe Louise Wallace – Trustee, CTPF

Executive Services

Sarahjane Robertson – Chief Executive, CTPF (Resigned November 2021) Peter Godden (Company Secretary) – Finance Director (p/t), CTPF

Honorary Life President

Richard Bradley

Honorary Vice Presidents

Barbara Daly OBE Gloria Freilich Diana Moran Charles Worthington MBE Susan Taylor Per Neuman

Registered and Administrative Office

West Hill House, 32 West Hill, Epsom, KT19 8JD

Auditors

Crowe U.K. LLP, 55 Ludgate Hill London EC4M 7JW

Solicitors

CMS Cameron McKenna Nabarro Olswang LLP

Bankers

Barclays Bank PIc

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Donated Products and Services

The Foundation’s charitable activities continue to rely on:

The Board recognises the significant benefit to the charity of donated products; Over 23 companies donate products in a normal year.

The charity is also very grateful for the significant logistical support it receives from one company, which enables products to be sent to support sessions across the UK.

Raising Funds

The charity’s main fundraising objective for 2021 was to contribute to securing the financial stability of the charity post-Covid. The Directors believe that this has been achieved.

The fundraising environment remained tough throughout 2021 especially within the corporate arena, with the continued cancellation of many events and initiatives. However, with increasing focus on consumer-online activity with partners such as Asos and Avon, as well as a very welcome grant from the Julia and Hans Rausing Trust, the year ended more positively.

At the beginning of the pandemic, the charity was predicting a 60% loss of income as many usual routes to raise funds were no longer possible. It was therefore reassuring that 2021 income, excluding Gifts in Kind, at £962k, was 71% of pre-covid levels, reflecting both the motivation of the fundraising team drive income back to higher levels as well as the generosity of our partners and donors.

A full list of key organisations which supported the charity in 2021, whether through product donations, staff time or fundraising, has been included in Note 15 to the Accounts at the back of this document. The charity is very grateful to every one of them for the part they have played in helping support women, young adults and men living with cancer.

The charity did not pay any third party or agency to undertake material fundraising activities on its behalf and received no complaints during the course of the year regarding any fundraising activities.

The charity and its Trustees are fully aware of the requirements and duties set out in the Charities (Protection and Social Investment) Act 2016 with respect to fundraising activities and are focused on ensuring any future fundraising activities are fully compliant.

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Strategic Direction and Governance

The Cosmetic, Toiletry and Perfumery Foundation (Registered No: 2850925 - Company Limited by Guarantee, Registered Charity No: 1031728) is governed by its Memorandum and Articles of Association andoperates through its Programme, Look Good Feel Better (LGFB).

The Members of the Board are the charity Trustees and also the Directors for the purposes of the Companies Act 2006. The Board is made up of Senior Directors nominated by supporting companies who are actively engaged in the LGFB Programme as well as independent individuals who are selected through an interview process with other directors. Nominations are made to maintain a balance of expertise at a senior level.

Newly nominated Directors are given a thorough understanding of the Programme through meeting with the Chief Executive/Chairman of Trustees, other members of the Executive Team and are encouraged to observe workshops on a regular basis. They are encouraged to attend appropriate external training events where this would facilitate the undertaking of their role.

The Board is responsible for overseeing the strategy of the charity and ensuring the Foundation’s finances are on a firm footing using the guidance of a Finance Committee drawn from senior finance executives ofmember companies and individuals.

An Ambassador Group, made up of individuals directly employed by member and supporting companies, champion and manage their company’s input to the LGFB Programme.

The Chief Executive, Sarahjane Robertson, had overall responsibility for all operational matters to ensure the successful delivery of the Programme, however Sarahjane resigned in November 2021 after 20 years of dedicated service. Until a successor is in place, after a planned pause, the Chairman of Trustees and Vice Chair are overseeing the Executive Team and charity’s operational activities. The Trustees express their gratitude to Sarahjane for her leadership and passion for the charity which has driven consistent growth in its activities over this time.

The Foundation has a wholly owned trading subsidiary, Look Good Feel Better Trading Limited, which was formed to undertake non primary purpose trading activities to raise funds on behalf of the charity. All profits from this subsidiary are gifted to the parent charity on an annual basis.

Public Benefit

The Trustees confirm that they have complied with their duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission and have considered this in setting the key strategic objectives of the Foundation.

Risk Management

The Board acknowledges its responsibility for establishing a risk management system and is satisfied that appropriate procedures have been established to identify and mitigate major risks which the Foundation faces. A Risk Register is maintained on this basis, including an assessment of the scale of probability of specific risks to better identify strategic areas for review. It is recognised that systems can only provide reasonable but not absolute assurance that major risks will be adequatelymanaged.

The Board is keenly aware of the ongoing risks posed to the organisation by the unprecedented impact of Covid-19. The combination of its reserves built in line with its policy and sanctioning

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management to take steps to streamline the organisation has enabled the charity to plan for continued operations into the future with the risk of reduced income levels.

During the pandemic, the Risk Register has been under regular review and updated and once activities return to a level of normality, the Board will review the Reserves Policy to ensure it remains appropriate for its assessment of future risks.

The operational and financial risks facing the charity as a result of the above are summarised as follows:

Key Operational Risk Mitigating Action
Global Pandemic/External Crisis Ensure Action Plan in place and all key
members are engaged.
Reduced resources at NHS venues
when physical workshops restart		 Implement an online booking system to
reduce administration time.
Our clients, who all have underlying
health problems, may not feel
comfortable attending physical
workshops or social distancing
willreduce reach		 Significantly expand the virtual on-line
workshops
Loss of volunteer support post-
Covid.		 Implement a volunteer online platform
for training and motivation.
Devise an attractive recruitment
process.
Key Finance Risk Mitigating Action
Limited fundraising in the short term
and significantly lower estimates for
the mid/long term		 Use of our unrestricted reserves
Reduced financial & operational
support from member companies		 Plan for alternative sources of funding
– e.g. online partners and trust funds.
Unable to fund the current
organisational structure and
associated costs		 Operational expenditure budgets
reworked to match the changing
nature of the programme and
fundraisingactivities.

The Board recognises the need for all risks associated with the efficient delivery of the Programme to be kept under review, especially as it reshapes the organisation and its services to provide continued public benefit.

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In addition to the specific risk outlined above, the Board considers that the key risks faced by the charity are

to ensure it retains the goodwill of the volunteers who allow the Programme to take place

The charity seeks to mitigate these risks through continual efforts to engage with all volunteers and other supporters of the charity to ensure their level of commitment to the Programme remains high.

Going Concern

On page 8 we have set out a review of financial performance and the charity's reserves position. The reserves held prior to the outbreak of Covid-19, together with the steps taken to streamline the organisation and reduce costs have placed it in a relatively strong position to continue operations during the pandemic and beyond.

Our planning process, including financial projections, has taken into consideration the current economic climate and its potential impact on the various sources of income and planned expenditure. We have a reasonable expectation that we have adequate resources to continue in operational existence for the foreseeable future and the accounts have, therefore, been prepared on the basis that the Foundation is a going concern. Whilst there is uncertainty around income forecasts during the ongoing effects of the pandemic, year-to-date income in 2022 is tracking ahead of budget. The Board is aware of the inflationary pressures on its cost base due to both the high energy and general cost increases and believes it will be able to absorb them it its plans. In the event of further pressures, it remains confident that the Foundation can adapt and mitigate as needed as was demonstrated during both 2020 and 2021.

Remuneration

The Remuneration Committee, which operates as a sub-committee of the Finance Committee, is expected to meet twice a year. This committee makes recommendations on overall remuneration levels and specific recommendations for the remuneration of the Chief Executive. These recommendations are then put to both the Finance Committee and Board for agreement.

Charity Governance Code

The Charity Governance Code was published in 2017. The code sets out seven principles of good governance and encourages charities to review their governance structures and processes against this code to ensure they are fit for purpose and operate efficiently. The Board’s review of its governance processes is ongoing and no material weaknesses have been identified however, in view of the rapid changes in the external environment experienced over the last couple of year, it is focussing on ensuring they are fit to reflect the changes in both activities and fundraising.

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Charity Objectives for 2022

Our objectives for 2022 are:

Financial Review and Reserves

The financial statements show a net deficit in resources for the year of £(16,590) (2020: £309,882 net surplus) which together with the funds brought forward of £1,094,234 (2020: £784,352) results in funds to be carried forward of

£1,077,644 including unrestricted reserves of £1,016,677.

Our supporters raised £1.6m (2020: £1.6m) in 2021, including £0.6m Gifts in Kind (2020: £0.4m). The remaining £1.0m came from member companies, corporate partners, individual supporters and trusts, all of whom fundraised to help the charity support its patient beneficiaries.

The charity invested £1.6m (2020: £1.3m) in services for cancer patients, including £0.6m of donated products and services. The charity’s main direct expense is on its staff £0.7m (2020: £0.7m). Most of these are directly involved in running frontline services, including:

Other expenditure is on consumable products for the support sessions, travel costs for volunteers and running costs for head office.

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Budgeting and Forward Planning

The Foundation is fortunate to have a highly qualified Finance Committee on whose expertise they can draw. This Committee sits 2 times a year and gives input and advice on the Foundation’s plans and financial projections for the year ahead, as well as scrutinising the report of the Auditors. The Finance Committee then makes recommendations to the Board of Trustees in relation to these items.

The Foundation’s budget is always prepared on a prudent basis,recognising the inherent unpredictability of donation income.

Donated Services

The Foundation is exceptionally grateful for the donated volunteer time, logistical support and the products used in the patients’ gift bags, which have all been donated by the Cosmetic’s Industry (without cost to the Foundation) without which the Programme would be unable to run. The value of the product donations and logistical support received has been included as ‘Gifts in Kind’ in the Statement of Financial Activities.

The charity sometimes receives donated advertising space which assists in raising awareness of the work of the charity. The charity is very grateful to the relevant publishers for the publicity this provides, but no financial value is attributed to this advertising space as the advertising would not be undertaken if not donated.

The volunteer time, although crucial to the success of the programme, has not been valued in line with the recommendations of the Charities’ SORP 2015.

Reserves Policy

At 31 December 2021 the Group had free reserves (i.e. unrestricted reserves not used to fund fixed assets) totalling £961,587 (2020: £881,328). The reserves policy is set by the Trustees and is intended to reflect the changing scale of the charity and operations over time.

At 31st December 2021, based on the plans for 2022, this calculation gave a desired reserves figure in the region of £668,000. Whilst current reserves look arithmetically high, during 2022 a deficit of c. £200,000 is planned which will require funding from reserves. In addition we expect services to have returned to their normal level by the end of the year with a corresponding increase in direct expenditure. Free reserves at 31st December 2022 are therefore expected to be in line with policy.

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Statement of Trustees’ Responsibilities Year ended 31 December 2021

The Trustees (the members of the Board who are also Directors of The Cosmetic, Toiletry & Perfumery Foundation for the purposes of company law) are responsible for preparing the Annual Report and the financial statements in accordance with applicable laws and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

select suitable accounting policies and then apply them consistently;

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution. 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.

Auditors

So far as the Members of the Board are aware, there is no relevant audit information of which the charity’s auditors are unaware. The Members of the Board have each taken all the steps that we ought to have taken as Members of the Board in order to make ourselves aware of any relevant audit information and to establish that the charity’s auditors are aware of that information.

Crowe U.K. LLP has expressed their willingness to continue as auditors for the next financial year.

On behalf of the Board

Geoff Percy Chairman

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Independent Auditor’s Report to the Members Foundation for the year ended 31 December 2021

Opinion

We have audited the financial statements of The Cosmetic, Toiletry and Perfumery Foundation for the year ended 31 December 2021 which comprise the Consolidated Statement of Financial Activities (Incorporating the Income and Expenditure Account), the Consolidated and Charitable Company Balance Sheets, the Consolidated Cash Flow Statement 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, 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 group 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 trustee's 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 charitable company's or the group’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

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The trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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.

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.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report included within 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 set out on page X, 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 charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to

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going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable 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.

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations are set out below.

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 auditor’s report.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charitable company and group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 2011 together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s and the group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company and the group for fraud. The laws and regulations we considered in this context for the UK operations included Employment Legislation, Taxation Legislation and General Data Protection Regulation (GDPR).

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within to be within the timing of recognition of income and the override of

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controls by management. Our audit procedures to respond to these risks included enquiries of management, and the Finance Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s 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 the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Tina Allison

Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor London

26 September 2022

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Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Consolidated Statement of Financial Activities (incorporating an Income and Expenditure Account) Year Ended 31 December 2021

Notes
Donations and legacies
- General donations and legacies
- Member Pledges
- Gifts in Kind
Other trading activities
Other
TOTAL INCOME AND ENDOWMENTS
EXPENDITURE ON:
Raising funds
Charitable activities
Gifts in Kind
Other
TOTAL EXPENDITURE
3
Net Income
Funds brought forward at 1 January
2021
Funds carried forward at 31 December
2021
INCOME AND ENDOWMENTS FROM:		 Unrestricted
Restricted
Total
Total
Funds
Funds
2021
2020
£
£
£
£
595,561
27,837
623,398
656,589
150,750
-
150,750
147,000
616,739
-
616,739
359,538
183,051
-
183,051
292,838
5,050
-
5,050
133,539
1,551,151
27,837
1,578,988
1,589,504
379,204
-
379,204
380,934
616,739
-
616,739
359,538
466,270
133,366
599,636
539,150
1,462,213
133,366
1,595,579
1,279,622
88,938
(105,529)
(16,591)
309,882
942,738
151,496
1,094,234
784,352
1,031,676
45,967
1,077,643
1,094,234

The notes on pages 18 to 31 form part of these financial statements

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Consolidated and Foundation Balance Sheets as at 31 December 2021

Notes
FIXED ASSETS
Intangible Assets
6
Tangible assets
6
Investments
12
Total fixed assets
CURRENT ASSETS
Stock
Debtors
7
Short term deposits
Cash at bank and in hand
CREDITORS
Amounts falling due within
one year
8
Net current assets
NET ASSETS
FUNDS
Unrestricted funds
- General funds
- Designated Funds
10
Restricted funds
10
TOTAL FUNDS		 2021
2021
2020
2020
Group
Parent
Company
Group
Parent
Company
£
£
£
£
46,265
46,265
32,927
32,927
8,825
8,825
13,483
13,483
-
100
-
100
55,090
55,190
46,410
46,510
25,007
25,007
36,704
36,704
306,460
411,768
315,929
362,057
210,770
210,770
209,768
209,768
650,165
536,416
733,863
672,196
1,192,402
1,183,961
1,296,264
1,280,725
(169,849)
(161,508)
(248,440)
(233,001)
1,022,553
1,022,453
1,047,824
1,047,724
1,077,643
1,077,643
1,094,234
1,094,234
1,016,676
1,016,676
927,738
927,738
15,000
15,000
15,000
15,000
45,967
45,967
151,496
151,496
1,077,643
1,077,643
1,094,234
1,094,234

The parent charity's net expenditure included in the consolidated results above, was £163,419 (2020: £18,474 net income).

Geoff Percy Chairman 7[th] September 2022

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Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Consolidated Statement of Cashflows for the year ended 31 December 2021

Net cash (used) / generated by operating activities
Cash flows from investing activities
Interest
Purchase of intangible assets
Purchase of equipment
Net cash (used) by investing activities
Cash and cash equivalents at 1st January 2021
Cash and cash equivalents at 31st December 2021
Change in cash and cash equivalents in the reporting period		 2021
2020
£
£
(45,903)
325,369
1,047
2,203
(35,915)
(17,753)
(1,924)
(17,492)
(36,792)
(33,042)
(82,695)
292,327
943,631
651,304
860,936
943,631

Reconciliation of net movement in funds to net cash flow from operating activities:

Net movement in funds for the reporting period
Adjustments for:
Depreciation charges
Interest
Decrease in stocks
(Increase) in debtors
Increase in creditors
Net cash (outflow) / inflow from operating activities
Analysis of cash and cash equivalents
Cash in hand
Notice deposits (less than 100 days)
Total cash and cash equivalents		 2021
2020
£
£
(16,590)
309,882
29,159
22,857
(1,047)
(2,203)
11,697
710
9,469
(107,308)
(78,591)
101,431
(45,903)
325,369
2021
2020
£
£
650,165
733,863
210,770
209,768
860,935
943,631

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Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

1. Accounting Policies

a) Basis of Preparation

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared under the historical cost convention in accordance with the Financial Reporting Standard Applicable in the UK and Republic of Ireland (FRS102), the Companies Act 2006 and 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 (FRS102) (Charities SORP (FRS102)).

In their assessment of going concern the Trustees have considered the impact on the business as a result of the COVID19 virus.

Our planning process, including financial projections, has taken into consideration the current economic climate and its potential impact on the various sources of income and planned expenditure. We have a reasonable expectation that we have adequate resources to continue in operational existence for the foreseeable future and the accounts have, therefore, been prepared on the basis that the Foundation is a going concern. Whilst there is uncertainty around income forecasts during the ongoing effects of the pandemic, the Board is confident that the Foundation can adapt and mitigate as needed as was demonstrated during both 2020 and 2021.

Having regard to the above, the Trustees believe it appropriate to adopt the going concern basis of accounting in preparing the financial statements.

Intragroup balances are eliminated fully on consolidation. No statement of financial activities is presented for the charitable company alone as the results of the subsidiary company are separately identified within the group accounts and the charitable company is exempt from presenting such a statement under s408 Companies Act 2006.

b) Company Status

The charity was incorporated on 1 September 1993 in England and Wales and is limited by the guarantee of its members. Its registered address is West Hill House, 32 West Hill, Epsom, KT19 8JD.

The members of the company are the Members of The Board named on page 3.

In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity.

c) Fund Accounting

Unrestricted funds comprise those funds, which are available for use at the discretion of the Trustees in furtherance of the objectives of the charity and which have not been designated for other purposes.

18

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee) Notes to the Accounts Year ended 31 December 2021

1. Accounting Policies Continued…

d) Incoming Resources

All incoming resources are included in Statement of Financial Activities (SOFA) when the charity is legally entitled to the income and the amount can be quantified with reasonable probability. For the member pledges, this translates to recognition at the point of invoices raised. The majority of the remainder of the Charity’s income is ‘pure’ donations, which are recognised on receipt.

e) Resources Expended

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.

f) Donated Products

The charity relies on the donation of suitable cosmetic products by various cosmetics companies for use by the charity’s beneficiaries.

The products have been valued at approximate wholesale value using the market average retail price as reported by the Cosmetic, Toiletry and Perfumery Trade Association. Due to stocks of these products being kept in hospitals it is very difficult to accurately count these at the year end, so the Trustees have chosen to value the product donations at the point of distribution.

g) Donated Volunteer Time

The charity’s workshops are provided using donated beauty consultant time freely volunteered from companies and freelancers.

In line with the Charity SORP the Trustees do not consider that they are able to reliably quantify and measure the value to the charity in financial terms of the volunteer time and this is not therefore included in the SOFA.

h) Donated Services

The Charity receives donated services from a member company for the distribution of the cosmetic products to the hospital workshops. This is not a service normally provided by this company for a fee.

However, the Trustees recognise that the scale of the Charity has grown to the extent that it would now be necessary to pay for the service if it were to lose this support and therefore have chosen to value it at the market rate which would be payable to a third party provider.

The Charity also receives donated advertising space which assists in raising awareness of the work of the charity. No financial value is attributed to this advertising space as the advertising would not be undertaken if it was not donated.

19

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee) Notes to the Accounts Year ended 31 December 2021

1. Accounting Policies Continued…

i) Tangible and Intangible Fixed Assets and Depreciation

Tangible fixed assets costing more than £500 are capitalised and included at cost including any incidental expenses of acquisition.

Depreciation is provided on all tangible fixed assets at rates calculated to write off the cost less estimated residual value of each asset evenly over its expected life as follows:

The carrying values of tangible and intangible fixed assets are reviewed for impairment in periods when events or changes in circumstances indicate the carrying value may not be recoverable.

j) Stock

Stocks are valued at the lower of cost to the Group or net realisable value.

k) Pension Costs

The company operates a defined contribution pension scheme and has complied with auto-enrolment legislation. Contributions are charged in the SOFA as they become payable in accordance with the rules of the scheme. Expenditure is allocated to the appropriate heading in the accounts on the basis of average headcount.

l) Leasing Commitments

Rentals payable under operating leases are charged in the SOFA on a straight line basis over the lease term.

m) Financial Instruments

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

Financial assets held at amortised cost comprise cash and bank and in hand, together with trade and other debtors. Financial liabilities held at amortised cost comprise bank loans and overdrafts, trade and other creditors. Investments in subsidiary undertakings are held at cost less impairment.

n) Key judgements and estimates

In the application of the accounting policies, Directors are required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources.

The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis.

Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period. If the revision affects current and future periods it will be recognised in the period of the revision and future periods.

In the view of Directors, no assumptions concerning the future or estimated uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

20

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

1. Accounting Policies Continued…

o) Public Benefit

The Foundation meets the definition of a public benefit entity under the guidance issued by the Charity Commission.

2 Donated Products and Consultant Time

During the year the charity received approximately 95,000 donated cosmetic product items (2020: 63,000 items) and benefited from approximately 7,075 hours of volunteer time (2020: 4,300 hours) donated by 895 (2020: 2,229) beauty consultants and others (hospital contacts volunteer to organise workshops within hospitals and 140 (2020: 116) semivoluntary Lead Volunteers support the consultants at each workshop).

This enabled the charity to run the 796 (2020: 562) workshops. As explained in the accounting policies in Note 1, no financial value is attributed to the volunteer time in the financial statement.

21

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

3. Resources Expended

2021
Raising Funds
Charitable Activities
Gifts in Kind
Other
Total 2021
2020
Raising Funds
Charitable Activities
Gifts in Kind
Other
Total 2020		 £
£
£
£
£
277,019
50,319
43,610
8,256
379,204
-
616,739
-
-
616,739
424,608
96,848
65,736
12,444
599,636
Total
Staff Costs Direct Costs
Support
Costs
Governance
Costs
424,608
713,587
65,736
12,444
1,216,375
701,627
763,906
109,346
20,700
1,595,579
299,909
36,675
39,731
4,619
380,934
-
359,538
-
-
359,538
395,941
76,358
59,889
6,962
539,150
395,941
435,896
59,889
6,962
898,688
695,850
472,571
99,620
11,581
1,279,622

22

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

3. (cont) Analysis of Support and Governance costs

2021 Support Costs
Office rent and admin
IT
PR
Other
Total Support
2020 Support Costs
Office rent and admin
IT
PR
Other
Total Support		 Raising
Funds
Charitable
Activities
Total Basis of allocation
£
£
£
18,631
28,084
46,715
Headcount
22,660
34,157
56,817
Headcount
827
1,246
2,073
Headcount
1,492
2,249
3,741
Headcount
43,610
65,736
109,346
Raising
Funds
Charitable
Activities
Total Basis of allocation
£
£
£
16,202
24,422
40,624
Headcount
20,628
31,094
51,722
Headcount
3,133
4,722
7,855
Headcount
(232)
(349)
(581) Headcount
39,731
59,889
99,620
Governance Costs
Trustees expenses
Audit fees
Legal fees
Other
Total Governance		 2021
2020
£
£
773
460
14,000
8,590
2,663
813
3,263
1,718
20,700
11,581

23

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

4. Employees

Wages and Salaries
Social Security Costs
Pension costs		 2021
2020
£
£
593,495
608,083
59,138
55,167
26,707
24,063
679,340
687,313

Included within staff costs are accrued amounts totalling £8,741 (2020: £nil) in relation to future heath care and payments in lieu of notice for individuals who left the organisation during the year.

Travel expenses and allowances were paid to Volunteers totalling £4,460 in the year (2020: £9,190).

One employee received emoluments as defined for taxation purposes of between £90,000 and £100,000 in the year (2020: one between £80,000 and £90,000). The employee is a member of the defined contribution pension scheme; employers' contributions paid into the scheme in relation to this employee were £13,815 (2020: £10,833) in the year.

There were four key management personnel in 2021, defined as those with strategic influence. These were: • Chief Executive • Head of Programme Services • Finance Director • Director of Fundraising

Between them these four key management personnel (as defined in the Trustees Report) received total remuneration packages of £281,563 (2020: 4 heads received £235,356)

The average number of employees analysed by function during the year was:

Charitable Programme
Fundraising and PR
Management and Administration		 2021
2020
No.
No.
8
9
5
7
5
5
18
21

There were no redundancy payments made during the year.

In 2021 one trustee (2020: one) was reimbursed for their travel and meeting expenses in relation to their activities on behalf of the foundation. In total, they incurred expenses of £773 (2020: £460) in the year, of which £0 remained as a creditor at year end (2020: £0).

24

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

5.Net Incoming resources for the year

Net incoming resources are stated after charging:
2021 2020
£ £
Operating lease rentals 15,228 16,524
Depreciation 29,159 22,857
Audit fees 14,000 8,590

6. Intangible and Tangible Fixed Assets (Group & Parent Entity)

Cost:
At 1 January 2021
Additions
Disposals
At 31 December 2021
Depreciation:
At 1 January 2021
Charge for the year
Disposals
At 31 December 2021
Net book value:
At 31 December 2021
At 31 December 2020		 Intangible Assets
Office Furniture &
Equipment
Total
2021
2021
2021
£
£
£
113,778
50,239
164,017
35,915
1,924
37,839
(17,794)
-
(17,794)
131,899
52,163
184,062
80,851
36,756
117,607
22,577
6,582
29,159
(17,794)
-
(17,794)
85,634
43,338
128,972
46,265
8,825
55,090
32,927
13,483
46,410

25

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

7. Debtors

7. Debtors
2021 2021 2020 2020
Group Parent
Company		 Group Parent
Company
£ £ £ £
Prepayments 16,735 16,735 22,807 22,807
Trade Debtors 56,952 122,430 12,962 5,416
Accrued income 232,773 129,670 280,160 42,426
Amount due from subsidiary - gift aid - 142,933 - 291,408
Total 306,460 411,768 315,929 362,057
8. Creditors:amounts falling due within one year
2021 2021 2020 2020
Group Parent
Company		 Group Parent
Company
£ £ £ £
Trade creditors 17,913 17,913 12,250 12,250
Tax and social security 18,360 12,838 25,067 13,069
Accruals and deferred income 109,391 105,499 162,971 161,579
Other Creditors 24,185 25,258 48,152 46,103
Total 169,849 161,508 248,440 233,001
Deferred Income 2021 2020
£ £
Balance at 1 January 104,000 15,000
Amount released to incoming resources (104,000) -
Amount deferred in the year 57,680 89,000
Balance at 31 December 57,680 104,000

The deferred income includes £57,680 of Membership Fees in respect of 2022.

26

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

9. Other Financial Commitments

Operating leases

At 31 December 2021 the company had commitments under non-cancellable operating leases as set out below:

Amounts Due:
Within 1 year
Within 2 – 5 years
Total		 2021
2020
2021
2020
£
£
£
£
13,583 14,000 2,111 1,228
-13,583 655 1,924
Land and buildings
Other
13,583 27,583 2,766 3,152

All leased items are based at the Foundation's offices at West Hill House, 32 West Hill, Epsom, KT19 8JD.

10. Analysis of movement in Unrestricted Funds

Current year
General Fund
Designated Strategic Research
Total Designated Fund
Total
Prior year comparative
General Fund
Designated Strategic Research
Total Designated Fund
Total		 Funds
Funds
1st Jan 2021
Income
Expenditure
Transfers
31st Dec 2021
£
£
£
£
927,738
1,551,151
(1,462,213)
-
1,016,676
15,000
-
-
-
15,000
15,000
-
-
-
15,000
942,738
1,551,151
(1,462,213)
-
1,031,676
Funds
Funds
1st Jan 2020
Income
Expenditure
Transfers
31st Dec 2020
£
£
£
£
747,791
1,343,773
(1,163,826)
-
927,738
15,000
-
-
-
15,000
15,000
-
-
-
15,000
762,791
1,343,773
(1,163,826)
-
942,738

Designated Funds

The planned strategic research project that was due to start work in 2020 was postponed due to the Coronavirus pandemic. This work is now planned to be carried out during 2022-2023.

27

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

Analysis of movement in Restricted Funds

Current year
Total
Prior year
Various
Total
Various - Workshop Funding
The Julia and Hans Rausing Trust - Core funding		 Funds
Funds
1st January
2021
Income
Expenditure
31st December
2021
£
£
£
£
151,496
27,837
(133,366)
45,967
151,496
27,837
(133,366)
45,967
Funds
Funds
1st January
2020
Income
Expenditure
31st December
2020
£
£
£
£
21,561
37,531
(18,567)
40,525
-
208,200
(97,229)
110,971
21,561
245,731
(115,796)
151,496

Restricted Fund

In 2021 and 2020, numerous donations were received from trusts and foundations for workshops in specific locations.

11. Analysis of group net assets between funds

Fixed Assets
Cash at bank, in hand
and deposits
Net current assets
Total
Prior Year
Fixed Assets
Cash at bank, in hand
and deposits
Net current assets
Total		 General
Fund
Designated
Funds
Restricted
Funds
31st Dec 2021
Total
£
£
£
£
55,090
-
-
55,090
799,968
15,000
45,967
860,935
161,618
-
-
161,618
1,016,676
15,000
45,967
1,077,643
General
Fund
Designated
Funds
Restricted
Funds
31st Dec 2020
Total
£
£
£
£
46,410
-
-
46,410
777,135
15,000
151,496
943,631
104,193
-
-
104,193
927,738
15,000
151,496
1,094,234

28

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee)

Notes to the Accounts Year ended 31 December 2021

12. Investment in subsidiary

Investment in
subsidiary
undertaking
£
Cost and net book value
As 1 January 2021 100
Additions -
As 31 December 2021 100

The wholly owned trading subsidiary Look Good Feel Better Trading Limited was incorporated in England and Wales (Registered Company No: 09017551) on 29th April 2014 and pays all of its taxable profits to the charity under the gift aid scheme. Its registered office is at West Hill House, 32 West Hill, Epsom, KT19 8JD. The Company carries out trading activities on behalf of the Foundation, including, but not limited to licencing the name of Look Good Feel Better Programme to commercial partners engaged in promotions which are of benefit to the Charity.

The results for the year of the subsidiary are shown below.

Turnover
Cost of Sales/Administrative expenses
Profit before taxation
Corporation tax payable
Profit after tax
Gift aid donation to parent charity
Surplus for the year
Retained earnings brought forward
Retained surplus for year
Total assets
Total liabilities
Total funds		 2021
2020
£
£
148,457
292,838
(5,524)
(1,430)
Look Good Feel Better
Trading Limited
142,933
291,408
-
-
142,933
291,408
(142,933)
(291,408)
-
-
-
-
-
-
221,109
306,946
(221,009)
(306,846)
100
100

13. Related Party Transactions

Included in debtors of the parent charity is an amount of £142,933 (2020: £291,408) due from the fully owned subsidiary Look Good Feel Better Trading Limited.

Kenneth Green Associates, a company of which a CTPF trustee has significant control, made donations of £10,750 (2020: £5,750 restated ). There were no other transactions with Trustees during the year nor balances at the year end.

29

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee) Notes to the Accounts Year ended 31 December 2021

14. Prior year comparatives

Donations and legacies
- General donations and legacies
- Member Pledges
- Gifts in Kind
Other trading activities
Other
TOTAL
EXPENDITURE ON:
Raising funds
Charitable activities
Gifts in Kind
Other
TOTAL
NET INCOME/EXPENDITURE
FOR THE YEAR
Funds brought forward at 1 January
Funds carried forward at 31 December
INCOME AND ENDOWMENTS FROM:		 Unrestricted Restricted
Total
Funds
Funds
2020
£
£
£
410,858
245,731
656,589
147,000
-
147,000
359,538
-
359,538
292,838
-
292,838
133,539
-
133,539
1,343,773
245,731
1,589,504
346,313
34,621
380,934
359,538
-
359,538
457,975
81,175
539,150
1,163,826
115,796
1,279,622
179,947
129,935
309,882
762,791
21,561
784,352
942,738
151,496
1,094,234

30

Cosmetic, Toiletry & Perfumery Foundation (Limited by Guarantee) 15. List of Supporting Organisations

The following is a list of significant donors to the LGFB Programme in 2021. The donations may have been financial or of products, volunteer time, advertising space orother services. The Foundation would like to express its gratitude for all donations received over the period.

Member Companies

*Founder Members

Arthur Edward

**Chanel ***

Clarins

Charles Worthington Salons

**Combe International ***

**LVMH Group ***

Benefit Cosmetics Guerlain Parfums Christian Dior Parfums Givenchy

Morphe

**Procter & Gamble UK ***

Designer Parfums

**Estée Lauder Companies ***

Aveda Bobbi Brown Clinique Crème de la Mer Estée Lauder Jo Malone Origins

FDD International

Karium Ltd

Olay

Philip Kingsley

Puig

**Revlon International/ Elizabeth Arden ***

Shiseido Group*

Nars Shiseido

The Perfume Shop

Kenneth Green Associates

Partner Organisations

La Prairie UK

**L’Oréal UK ***

Garnier Maybelline IT Cosmetics L’Oréal Paris La Roche-Posay Lancôme Luxury Designer Fragrances YSL Beauté Urban Decay

Avon Cosmetics ASOS Beauty Pro (Barber Pro) Coty UK Limited * CTPA Copra Emma Hardie Skincare England Netball Grape Tree Health Foods Latest in Beauty Merkle The Orange Square Company Waitrose

31