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2024-04-05-accounts

T H E M A R K L E O N A R D T R U S T

ANNUAL REPORT AND FINANCIAL STATEMENTS

5 APRIL 2024

The Peak 5 Wilton Road London SW1V 1AP

CONTENTS CONTENTS PAGE
1 Legal and Administrative 1
2 The Trustees’ Report 2 - 10
3 Independent Auditor's Report 11 - 13
4 Statement of Financial Activities 14
5 Balance Sheet 15
6 Cash Flow Statement 16
7 Notes to the Accounts 17 - 26

T H E M A R K L E O N A R D T R U S T

Legal and Administrative

The Mark Leonard Trust (No. 1040323) was established under a Trust Deed dated 14 July 1994 and became a registered charity on 22 August 1994.

Trustees Mr M L Sainsbury
Mrs Z Sainsbury
Mr J J Sainsbury
Registered The Peak
Office 5 Wilton Road
London SW1V 1AP
Principal Mrs K Everett Chief Operating Officer
Officers Mrs S Ferguson Executive
Mr D Chin Executive
Mr A Shah Senior Finance Partner
All the Principal Officers are employed on a part-time basis.
Bankers Royal Bank of Scotland
119 - 121 Victoria Street
London
SW1E 6RA
Solicitors BDB Pitmans LLP
1 Bartholomew Close
London EC1A 7BL
Auditors Sayer Vincent LLP
110 Golden Lane
London
EC1Y 0TG
Investment Schroder & Co. Limited
Advisers 12 Moorgate
London EC2R 6DA

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

The Report of the Trustees

The trustees present their report and the audited financial statements for the year ended 5 April 2024.

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Trust deed, and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

The objects of the Trust as given in the Trust Deed are for general charitable purposes and trustees have chosen to achieve charitable objectives in three areas: Food and Farming, Harnessing the Power of the Creative Arts and Climate Change.

The Trust mostly supports small and early-stage charities, not-for-profits, businesses and initiatives, usually with unrestricted funding and by offering support to enable organisational development. Trustees aim to work in partnership with the organisations, developing relationships based on trust and transparency. The Trust also seeks to enable better collaboration and knowledge-sharing and hosts or supports gatherings and events.

Food and Farming

Trustees are interested in supporting the movement in the UK to regenerative farming which produces healthy crops, restores soil and nature, increases resilience to the changing climate and reduces carbon emissions. This programme includes supporting organisations and enterprises that could result in widescale change such as creating markets for sustainable food.

During this year, in partnership with the Aurora Trust and the Gatsby Charitable Foundation, the Trust started a new programme to increase research and knowledge in regenerative farming practices. Most farming research in the UK is to develop crops for farming systems that rely on agricultural chemicals and which are damaging nature, soil and our health. This new programme brings together farms, researchers and funders to develop more understanding on how to farm profitably, productively and in harmony with nature.

Harnessing the Power of the Creative Arts

Trustees are looking at organisations which use music as therapy or as a force for good. They are particularly interested in giving those with disabilities and disadvantaged groups a chance to engage with the healing power of music. Trustees are also looking to introduce music and sound-art into public spaces such as hospitals or specialist schools.

Another area of exploration is Acoustic Ecology or eco-acoustics. This is an interdisciplinary science that investigates the relationship between natural and anthropogenic changing soundscapes and helps understand and monitor the health of different environments such as oceans, coral reefs, rain forests and glaciers.

Climate Change

The Trust is part of the Climate Change Collaboration (along with two other Sainsbury Family Charitable Trusts, the Aurora Trust and JJ Charitable Trust) to support efforts which help stabilise global temperatures to 1.5 degrees, restore our natural world, and support a

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

regenerative economy. The Collaboration aims to help reshape market norms, incentives and structures and create a political mandate to keep fossil fuels in the ground and accelerate finance into climate and nature solutions.

During this year, the Collaboration continued to support Peers for the Planet and Client Earth and the Global Legal Action Network, which enabled the Youth Climate Case in which six Portuguese young people brought a case against 32 European states arguing that their climate inaction infringed their human rights. The Youth Climate Case was heard by the Grand Chamber of the European Court of Human Rights on 27 September 2023, alongside an association of Swiss women who made a similar argument against the Swiss government.

This year the Collaboration began to support work on tackling corruption and illicit finance funded Integrity Initiatives International, a US not-for-profit, for its campaign and advocacy work to develop a new International Anti-Corruption Court.

Since 2011, the Mark Leonard Trust has supported a portfolio of organisations, providing longer term grant funding, usually between and five and ten years plus other support to enable them to thrive and achieve their goals. These are organisations in the portfolio currently:

Just for Kids Law, which provided advocacy, assistance and support to children and young people who find themselves in trouble with the law, left the Portfolio this year.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Charity and Public Benefit

Trustees are aware of the Charity Commission guidance on Public Benefit and confirm that they have complied with the duty in Section 17 of the Charities Act 2011 to have due regard to it. They consider the full information, which follows in this annual report, about the Trust’s aims, activities and achievements in the areas of interest that the Trust supports, demonstrates the benefit to its beneficiaries and, through them, to the public that arise from those activities.

Achievements and Financial Review

The Trustees met three times during the year to make grants and review investments.

The net income before investment and foreign exchange movements was £151,734 (2023: Net expenditure £603,560). The net unrestricted income of the Trust for the year after charging grant related support costs was £996,547 compared to £631,986 for the year to 5 April 2023.

During the year the Settlor made a generous unrestricted cash donation of £750,000 on which gift aid of £187,500 was recovered (2023: Cash donation £480,000 and gift aid £120,000).

Having assessed the Trust’s financial position and plans for the foreseeable future, the Trustees are satisfied that it remains appropriate to prepare the financial statements on the going concern basis.

The Trustees have reviewed the Trust’s investment performance since the end of the financial year and seen a rise in our investments in line with global markets. The Trustees are aware of investment risks and remain confident that the portfolio will enable the Trust to continue with its charitable activities.

The Charity has adopted a total return basis to budget for its annual income. The endowment assets of the Trust remain significant, and the Trust will continue to pay out to its beneficiaries in accordance with the Trust’s objects.

During the year the Trustees approved 31 grants totalling £788,216 some of which are payable over more than one year. Grants approved during the year may be analysed by number and by value in the categories set out below. Payments made relate to grants approved in this and earlier years.

Grants Approved Grants Approved Grants Approved Payments made Payments made
Number £ % £ %
Climate Change Collaboration
Environment
Food & Farming
Music & Social Need
Youth Work
Other Enviornment
General		 11
2
6
1
2
5
4		 376,077
42,295
68,783
5,000
96,000
85,061
115,000		 47.7
5.4
8.7
0.6
12.2
10.8
14.6		 382,606
42,295
114,332
204,052
82,000
83,912
15,000		 41.4
4.5
12.4
22.1
8.9
9.1
1.6
31 788,216 100.0 924,197 100.0

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Reserves Policy and Going Concern

The Trust holds both expendable endowment and unrestricted income funds.

It is the policy of the Trustees to approve grants for payment over a period of years, subject to the fulfilment of certain conditions over the life of the grant. Commitments to be paid within 12 months are accrued in the accounts.

The need for unrestricted income funds will vary from year to year and the Trustees will continue to review the position. At the balance sheet date, the Trustees are aware of the balance on both unrestricted funds and the expendable endowment. As agreed, and planned, any grants that cannot be paid from unrestricted income will be paid from the expendable endowment.

As of 5 April 2024, the Trust held total funds of £22.51m (2023: £21.24m) which includes expendable endowment of £22.26m (2023: £21.24m).

Having assessed the Trust’s financial position and plans for the foreseeable future, the trustees are not aware of any material uncertainties that would prevent the financial statements from being prepared on a going concern basis.

Investment Powers, Policy and Performance

The Trust Deed empowers the Trustees to appoint investment advisers who have discretion to invest the funds of the Trust within guidelines established by the Trustees.

In 2022, trustees adopted an investment policy to align the investments with achieving the Paris Agreement goal of climate change of well below 2 degrees. This means excluding fossil fuels and other high carbon investments, increasing investments in renewable energy and selecting funds and companies that have demonstrated they are aligned with the Paris Agreement. Each year, trustees review progress against these goals.

The Trustees have allocated some of the Trust’s expendable endowment for impact investing to achieve substantial social and environmental benefits as well as financial return to fund the Trust’s work. Over time, trustees have increased the proportion of the endowment invested in this way to about 15%. Trustees regularly review the impact and performance of these investments.

During the year the financial return on the investment portfolio excluding the impact investments was 7.1%, under-performing the benchmark of 17.1%.

Risk Assessment

The Trustees have examined the major strategic, business and operational risks to which the Trust may be exposed. Through the joint office of the Sainsbury Family Charitable Trusts, adequate systems are in place to manage such potential risks as the Trustees have identified. The Trustees continue to be vigilant and to keep processes under review.

The Trustees identified the uncertainty of financial returns to constitute the charity's major financial risk. They consider climate change poses major risks to financial markets and are acting, for example through support to the Carbon Tracker Initiative, to encourage the finance sector to address these risks. The Trustees regularly review investment strategy and monitor financial performance. They also operate a grant distribution formula which helps to ensure the stability of resources available for grant awards in any given year.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Another major risk is a misuse of funds by a grantee charity. To mitigate this risk the Trustees often restrict grants to charities registered with the UK Charity Commission or equivalent bodies for charitable purposes. The awards are made following a thorough assessment and grants are regularly monitored; multi-year grants are paid only on receipt of satisfactory progress reports.

Organisation

The Trust is one of the Sainsbury Family Charitable Trusts (SFCT), which share a common administration.

Trustees are appointed by existing Trustees and are provided with relevant information relating to their responsibilities as Trustees. They are responsible for the overall direction and supervision of The Mark Leonard Trust; they set the Trust’s strategy, review proposals and approve grants. The Trustees delegate day-to-day operations to the Trust’s Executives.

Trustees are aware of the Charity Governance Code published in 2017 (updated in December 2020) which sets out the principles and recommended practice for good governance within the sector. The Charity has reviewed its governance arrangements against the principles within the code and believes that it is compliant with the code whilst maintaining its need to operate its governance efficiently.

The remuneration of the senior staff (including key management personnel) is reviewed by the Trustees on an annual basis considering the requirements of their role and performance during the year. From time to time the SFCT Management Committee benchmarks pay levels against the comparable positions in similar organisations. The Committee completed a full reward evaluation process during 2022/2023 , in order to ensure that the Trusts fully meet their responsibilities and aspirations for fair and equal pay for employees.

The Trustees are fully aware of the requirements and duties set out in the Charities (Protection and Social Investment) Act 2016. The Trust does not raise funds from the public and as such has no fundraising activities requiring disclosure under SI 62A of the Charities Act 2011.

The income of the Trust is not bound by any regulatory scheme, and the Trust does not consider it necessary to comply with any voluntary code of practice relating to fundraising. We have received no complaints in relation to any fundraising activities. As we do not approach individuals for the purpose of raising funds, we do not have specific requirements related to fundraising activities, nor do we consider it necessary to design specific procedures to monitor such activities.

G R A N T S A P P R O V E D

Environment - £42,295

Environmental Funders' Network - £40,000 Core funding

Environmental Funders’ Network - £2,295 To engage One Thought’s Leadership course

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Youth Work - £96,000

Become - (formerly known as Who Cares? Trust) - £50,000 Core funding

Switchback Initiative - (known as Switchback) - £46,000

Core funding

CLIMATE CHANGE COLLABORATION - £376,077

Bates Wells

- £18,200 To understand the legal and regulatory impacts of Carbon Tracker’s ‘Loading the Dice report

£8,000 - Towards the costs of Bates Wells and other legal firms producing legal opinions on charity reporting duties

Carbon Tracker - £16,000

For staff capacity to engage regulators/wider stakeholders with the findings of its ‘Loading the Dice’ report

Charity Finance Group - £7,667

To develop the Charity Investment Governance Principles

Friends of the Earth Charitable Trust - £56,061 Towards its partnership work on UK Divest

Friends of the Earth Scotland - £30,222 Towards its partnership work on UK Divest

Green Finance Institute - £100,000

Towards the Local Climate Bonds project

Heard Organisation Ltd (formerly On Road Media) - £15,000

Towards the core climate team in 2024/25

Integrity Initiatives International - £11,815

For staffing needs on the IACC

Platform - £93,112

Towards their partnership work on UK Divest

PR - £20,000

To support PR, comms and market research in 2023/24

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

FOOD AND FARMING GRANTS- £68,783

FoodHub NL- £20,000

Towards the costs of podcasts on regenerative agriculture

Integrity Soils - £7,000

To contribute to the fees of a participant on the UK CREATE course on regenerative farming

Mission Kitchen - £14,000

Towards the first event of Tomorrow’s Table Event Programme

Organic Research Centre - £13,033

For a Rapid Evidence Assessment of crop science relating to regenerative agriculture

Regenerative Farming UK Conference budget - £12,950

Towards the Regenerative farming UK conference held in Cambridge on 22 and 23 March 2024

TRFF Ltd - £1,800

To pay for advice from BDB Pitmans on how to appoint an engineer with confidentiality and Intellectual Property assignment

MUSIC & SOCIAL NEED GRANTS- £5,000

Royal College of Music - £5,000

For the care and accommodation of student

OTHER

OTHER ENVIRONMENT GRANTS - £85,061

Agence France-Press - £15,000

To support the development of AFP’s ‘Future of the Planet’ hub

Ashden Climate Solutions - £50,000

Core costs

Imagination Design Limited - £5,061 For the expenses associated with Imagination Design’s woodland design and community engagement with local residents around Preston Candover

Save the Rhino International

£10,000 - For its work to understand and stop organised crime driving rhino poaching £5,000 - Towards the Follow the Money Investigation

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

GENERAL - £115,000

British Red Cross – Headquarters - £10,000

For their efforts to support people hurt through the war between Israel and Gaza

English National Opera - £20,000

To support Requiem in Motion

Medecins Sans Frontieres - Doctors without Borders - £10,000

For their efforts to support people hurt through the war between Israel and Gaza.

Trustee Discretionary - £75,000

Trustee discretionary budget for grants over three years, each up to value of £10,000

Future Plans

The Trust will continue to support the activities set out on pages 6 to 9 by the award of grants.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Statement of responsibilities of the trustees

Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the charity's financial activities during the period and of its financial position at the end of the period. In preparing financial statements giving a true and fair view, the trustees should follow best practice and:

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011. 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.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Approved by the Trustees on 6 December 2024 and signed on their behalf by:

……………………………………….

TRUSTEE

M L Sainsbury

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Independent Auditor’s Report to the Trustees of The Mark Leonard Trust

Opinion

We have audited the financial statements of The Mark Leonard Trust (the ‘charity’) for the year ended 5 April 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on The Mark Leonard Trust’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other Information

The other information comprises the information included in the trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, our procedures included the following:

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity's trustees as a body, in accordance with section 144 of the Charities 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's trustees 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 charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Date 13 January 2025

Sayer Vincent LLP, Statutory Auditor

110 Golden Lane, LONDON, EC1Y 0TG

Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 5 APRIL 2024

Notes
Income
Donations and gifts
Investment income
3
Other income
Total income and endowments
Resources expended
Cost of raising funds
Investment management costs
4
Charitable activities
Grant-making:
Grant expenditure
5
Grant related support costs
6
Cost of grant-making
Total expenditure
Gains / (losses) on investments
9
Exchange (losses) / gains
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
Net income / (expenditure) before gains /
(losses) on investments		 Unrestricted
Expendable
Total Funds
Total Funds
Funds
Endowment
2024
2023
£
£
£
£
937,500
-
937,500
600,000
324,703
-
324,703
297,460
41,740
-
41,740
16,864
1,303,943
-
1,303,943
914,324
-
121,022
121,022
100,051
723,791
-
723,791
1,135,495
307,396
-
307,396
282,338
1,031,187
-
1,031,187
1,417,833
1,031,187
121,022
1,152,209
1,517,884
272,756
(121,022)
151,734
(603,560)
-
1,138,139
1,138,139
(947,249)
-
(2,661)
(2,661)
53,237
272,756
1,014,456
1,287,212
(1,497,572)
-
21,244,933
21,244,933
22,742,505
272,756
22,259,389
22,532,145
21,244,933

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above.

The notes on pages 17 to 26 form part of these accounts.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

BALANCE SHEET AS AT 5 APRIL 2024

FIXED ASSETS
Tangible fixed assets
Investments
CURRENT ASSETS
Debtors
Cash at bank and in hand
CURRENT LIABILITIES
Creditors -amounts falling due within 1 year
NET CURRENT LIABILITIES
NET ASSETS
CAPITAL FUNDS
Expendable endowment
INCOME FUNDS
Unrestricted funds		 Notes Notes 2024
2023
£
£
3,995
5,327
22,745,919
21,722,488
22,749,914
21,727,815

37,504

424,849
462,353

945,235
(217,769)
(482,882)
22,532,145
21,244,933
22,259,389
21,244,933
272,756
-
22,532,145
21,244,933
8
9
10
11
12
12		 £
33,095
459,384
492,479
710,248

The financial statements were approved and authorised for issue by the Trustees on 6 December 2024 and were signed on their behalf by :

……………………………………………

TRUSTEE

M L Sainsbury

The notes on pages 17 to 26 form part of these accounts.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

CASH FLOW STATEMENT FOR THE YEAR ENDED 5 APRIL 2024

Net cash used in operating activities
Cash flows from investing activities:
Dividends and interest
Exchanges (losses) / gains
Purchase of investments
Sale of investments
Net cash provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
Reconciliation of net expenditure to net cash flow from operating activities
Net movement in funds as per the statement of financial activities
(Gains) / losses on investments
Dividends and interest
Exchanges losses / (gains)
Depreciation charges
Decrease in debtors
(Decrease) in creditors
Net cash used in operating activities		 2024
£
(402,215)
324,703
(2,661)
(2,400,231)
3,423,647
1,345,458
943,243
1,281,386
2,224,629
2024
£
1,287,212
(1,138,139)
(324,703)
2,661
1,332
4,409
(234,987)
(402,215)		 2023
£
(936,181)
297,460
53,237
(4,035,919)
5,373,746
1,688,524
752,343
529,043
1,281,386
2023
£
(1,497,572)
947,249
(297,460)
(53,237)
1,332
25,297
(61,790)
(936,181)

Analysis of the balance of cash as shown in the balance sheet

Cash at bank and in hand
Cash balances held by investment manager for reinvestment (Note 9)		 Change in
2024
2023
year
£
£
£
459,384
424,849
34,535
1,765,245
856,537
908,708
2,224,629
1,281,386
943,243

The notes on pages 17 to 26 form part of these accounts.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

1. CHARITABLE STATUS

The Mark Leonard Trust is an unincorporated charty (Charity registration number 1040323), registered in England and Wales. The address of the registered office is 5 Wilton Road, London, SW1V 1AP.

2. PRINCIPAL ACCOUNTING POLICIES

a) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair view' and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The trust constitutes a public benefit entity as defined by FRS 102.

In the view of the Trustees, there are no material uncertainties casting doubt on the going concern of the charity.

Having assessed the Trust's financial position and plans for the foreseeable future, the Trustees are satisfied that it remains appropriate to prepare the financial statements on the going concern basis. The endowment assets of the Trust remain significant, and the Trust will continue to pay out to its beneficiaries in accordance with the Trust's objects.

b) Income recognition

c) Expenditure on Charitable activities

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

The view of the trustees is that any instalments payable within 12 months of the reporting date are expected to be paid regardless of the status of attached conditions and so these are accrued. Any payments due in more than 12 months from the reporting date, where conditions exist that have not been met at the reporting date, are not accrued but are reported as an unaccrued future commitment.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

2. PRINCIPAL ACCOUNTING POLICIES continued

c) Expenditure on Charitable activities (cont…)

d) Fixed assets

Fixed assets are depreciated at rates which reflect their useful life to the Trust. Items of equipment are capitalised where the purchase price exceeds £5,000.

Leasehold improvments are depreciated over the outstanding life of the lease at the time the work was completed. The following rate has been used:

Leasehold improvements (2021) - 14.29% per annum

e) Investments

f) Financial instruments

g) Cash and cash equivalents

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar

h) Critical accounting judgements and key sources of estimation uncertainty

In the application of the charity's accounting policies, which are described above, Trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readlly 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, or in the period of the revision and future periods if the revision affects the current and future periods.

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

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

3. INCOME FROM INVESTMENTS

Income received on investments may be analysed as follows:


Government fixed interest
Other fixed interest
UK equities
Overseas equities
Alternatives
Impact Investments
Other
2024
2023
£
%
£
%
6,390
2
4,671
2
3,960
1
3,700
1
36,836
11
30,816
10
90,825
28
80,291
27
162,373
50
151,095
51
18,997
6
21,157
7
5,322
2
5,730
2
324,703
100
297,460
100

4. COST OF GENERATING FUNDS

These costs relate to the investment manager's fees. The Trustees are of the opinion that these relate to the generation of a total return on the investment portfolio and, as such, have charged the Expendable Endowment with these fees.

5. GRANTS PAYABLE

2024
£
£
£
Reconciliation of grants payable:
Commitments at 6 April 2023
830,706
Grants not accrued at 6 April 2023
580,927
577,409
Grants approved in the year
788,216
1,174,713
Grants cancelled, refunded or amended
(116,061)
(35,700)
Grants not accrued at 5 April 2024
(509,291)
(580,927)
Grants payable for the year
743,791
Grants paid during the year
(924,197)
Commitments at 5 April 2024
650,300
Commitments at 5 April 2024 are payable as follows:
2024
£
Within one year (note 11)
650,300		 2024 2024 2023
£
709,127
1,135,495
(1,013,916)
650,300 830,706
2024
2023
£
650,300		 £
830,706

Commitments

In addition to the amounts committed and accrued noted above, the Trustees have also authorised certain grants which are subject to the recipient fulfilling certain conditions relating to the delivery of the grant-funded activities.

The total amount authorised but not accrued as expenditure at 5 April 2024 was £509,291 (2023: £580,927). This total is payable during 2025/26, 2026/27 and 2027/28.

A list of grants payable is included in Appendix A.

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

6. GRANT RELATED SUPPORT COSTS

GRANT RELATED SUPPORT COSTS
Staff costs
Share of joint office costs
Direct costs including travel
Depreciation
Legal and professional fees
Consultancy
Auditor's remuneration*		 2024
Grant- Governance
Total
making
Allocated
£
£
£
199,252
4,778
204,030
31,156
-
31,156
20,031
-
20,031
1,332
-
1,332
22,842
-
22,842
19,246
-
19,246
-
8,760
8,760
293,859
13,538
307,396

During the year no Trustee received any remuneration (2023: £nil). One trustee was reimbursed expenses of £543 (2023: £nil).

COMPARATIVE
Staff costs
Share of joint office costs
Direct costs including travel
Depreciation
Legal and professional fees
Consultancy
Auditor's remuneration*		 2023
Grant-
Governance
Total
making
Allocated
£
£
£
195,302
4,708
200,010
29,120
-
29,120
15,239
-
15,239
1,332
-
1,332
18,592
-
18,592
10,245
-
10,245
-
7,800
7,800
269,830
12,508
282,338

COMPARATIVE

7. ANALYSIS OF STAFF COSTS

ANALYSIS OF STAFF COSTS
Wages and salaries
Social security costs
Other pension costs		 2024
2023
£
£
166,516
163,463
18,914
19,627
18,600
16,920
204,030
200,010

The Trust is one of the Sainsbury Family Charitable Trusts which share a joint administration at the Registered Office. 1.8% (2023: 1.9%) of the total support and administration costs of these trusts have been allocated to the Mark Leonard Trust, including a proportionate share of the costs of employing the total number of staff serving in the office in 2023/24.

The average number of staff employed during the year was 14, all on a part-time basis (2023: 13). This equates to 2.4 full-time employees (2023: 2.1).

The Trust considers its key management personnel to comprise the Principal Officers. The total employment benefits, including employer pension contributions, of these key management personnel, were £103,865 (2023: £132,213). No employee earned in excess of £60,000 (2023: Nil)

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

8. TANGIBLE FIXED ASSETS Leasehold Improvements

Cost At 6 April 2023 Disposals At 5 April 2024 Depreciation At 6 April 2023 Disposals Charge for the year At 5 April 2024 Net Book Value At 5 April 2024 At 5 April 2023

2024 2023
£ £
9,323 24,323
- (15,000)
9,323 9,323
3,996 17,664
- (15,000)
1,332 1,332
5,328 3,996
3,995 5,327
5,327 6,659

9. FIXED ASSET INVESTMENTS

Market value 5 April 2023 Add: Acquisitions at cost Less: Disposals at proceeds value Net gains / (losses) in year Market value 5 April 2024 Investment cash

Total investments

2024 2023
£ £
20,865,951 23,151,027
2,400,231 4,035,919
(3,423,647) (5,373,746)
1,138,139 (947,249)
20,980,674 20,865,951
1,765,245 856,537
22,745,919 21,722,488

The investments held as at 5 April 2024 were as follows:

Govt fixed interest
Other fixed interest
UK equities
Overseas equities
Alternatives
Cash
Impact investments
Unquoted
Quoted		 2024
2023
Cost
Market
Cost
Market
Value
Value
£
£
£
£
759,071
768,669
778,726
776,019
333,474
326,740
342,738
333,470
1,448,806
1,801,311
1,383,814
1,821,497
7,217,841
9,819,187
7,606,859
9,251,378
3,329,059
3,153,511
3,657,288
4,016,376
1,765,245
1,765,245
856,537
856,537
3,552,999
3,961,523
3,386,566
3,713,656
873,004
1,149,736
870,049
953,555
19,279,499
22,745,919
18,882,577
21,722,488

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

10. DEBTORS

DEBTORS
Accrued income
Other debtors		 2024
2023
£
£
27,930
36,625
5,165
879
33,095
37,504

11. CREDITORS - amounts falling due within one year

CREDITORS - amounts falling due within one year

Grants payable within one year
Professional charges
Investment management fee
Other creditors		 2024
2023
£
£
650,300
830,706
5,640
8,944
18,593
119
55,715
105,466
730,248
945,235

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

12. ANALYSIS OF NET ASSETS BETWEEN FUNDS


Fund balances at 5 April 2024 are represented by:
Tangible fixed assets
Investments
Current assets
Current liabilities
Total net assets
Movement in the year
Opening balance as at 5 April 2023
Total income and endowments
Cost of raising funds
Cost of grant-making
Net gains on investments
Lossess on currency exchange
Transfers between funds
Closing balance as at 5 April 2024
COMPARATIVE

Fund balances at 5 April 2023 are represented by:
Tangible fixed assets
Investments
Current assets
Current liabilities
Total net assets
Movement in the year
Opening balance as at 5 April 2022
Total income and endowments
Cost of raising funds
Cost of grant-making
Net losses on investments
Gains on currency exchange
Transfers between funds
Closing balance as at 5 April 2023		 Unrestricted
Expendable
Totals
Funds
Endowment
2024
£
£
£
-
3,995
3,995
-
22,745,919
22,745,919
964,411
(471,932)
492,479
(691,655)
(18,593)
(710,248)
272,756
22,259,389
22,532,145
-
21,244,933
21,244,933
1,303,943
-
1,303,943
-
(121,022)
(121,022)
(1,031,187)
-
(1,031,187)
-
1,138,139
1,138,139
-
(2,661)
(2,661)
-
-
-
272,756
22,259,389
22,532,145
Unrestricted
Expendable
Totals
Funds
Endowment
2023
£
£
£
-
5,327
5,327
-
21,722,488
21,722,488
945,116
(482,763)
462,353
(945,116)
(119)
(945,235)
-
21,244,933
21,244,933
-
22,742,505
22,742,505
914,324
-
914,324
-
(100,051)
(100,051)
(1,417,833)
-
(1,417,833)
-
(947,249)
(947,249)
-
53,237
53,237
503,509
(503,509)
-
-
21,244,933
21,244,933

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS

13. RELATED PARTY TRANSACTIONS

The Trust is one of the Sainsbury Family Charitable Trusts which share a joint administration at the Registered Office for cost effectiveness. To further reduce the administrative burden, some Trusts share expenses and may pay a third party on behalf of another Trust(s) on the basis that they will be reimbursed. Thus, at any one time there are amounts payable between trusts some of which fall under the definition of related parties by having trustees in common who are also siblings.

During the year to 5 April 2024, an unconditional donation of £750,000 was received from Mr M L Sainsbury, the Settlor and Trustee (2023: £480,000).

The following amounts are included in Other Creditors (Note 11) that are due to related parties:

14. COMPARATIVE STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2023

Income
Donations and gifts
Investment income
Other income
Total income and endowments
Resources expended
Cost of raising funds
Investment management costs
Charitable activities
Grant-making:
Grant expenditure
Grant related support costs
Cost of grant-making
Total expenditure
(Losses) / gains on investments
Exchange gains
Transfers between funds
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
Net expenditure before (losses) / gains on investments		 Unrestricted Expendable Total Funds
Funds Endowment
2023
£
£
£
600,000
-
600,000
297,460
-
297,460
16,864
-
16,864
914,324
-
914,324
-
100,051
100,051
1,135,495
-
1,135,495
282,338
-
282,338
1,417,833
-
1,417,833
1,417,833
100,051
1,517,884
(503,509)
(100,051)
(603,560)
-
(947,249)
(947,249)
-
53,237
53,237
503,509
(503,509)
-
-
(1,497,572)
(1,497,572)
-
22,742,505
22,742,505
-
21,244,933
21,244,933

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS - APPENDIX A

GRANTS PAYABLE

The amount payable for the year ended 5 April 2024 consisted of the following:

Climate Change Collaboration
The Social Change Nest
Grants payable up to £15,000
Environment
Ashden Climate Solutions
Carbon Tracker
Environmental Funders' Network
FoodHub NL
Green Finance Institute
Platform
Real Farming Trust
Grants payable up to £15,000
Food & Farming
Chefs in Schools
Music & Social Need
The Paraorchestra & Friends
Orpheus Centre
In Place of War
English National Opera
Grants payable up to £15,000
Youth Work
Become - (formerly known as Who Cares? Trust)
Switchback Initiative - (known as Switchback)
General
Grants payable up to £15,000
Total grants payable per Statement of Financial Activities:		 £
21,666
7,890
50,000
16,000
22,295
20,000
33,333
46,556
20,000
92,487
40,000
65,000
60,000
50,000
20,000
5,000
50,000
23,000
80,564
723,791

Report and Accounts – 5 April 2024

T H E M A R K L E O N A R D T R U S T

NOTES TO THE ACCOUNTS - APPENDIX A (continued)

GRANTS PAYABLE

The amount payable for the year ended 5 April 2023 consisted of the following:

Climate Change Collaboration
ClientEarth
Friends of the Earth Charitable Trust
Global Legal Action Network (GLAN)
Green Finance Institute
National Council for Voluntary Organisations (NCVO)
Peers for the Planet
Platform
The Social Change Nest
Grants payable up to £15,000
Environment
Ashden Climate Solutions
Black Mountain College
Environmental Funders' Network
Fair Shot
Mission Kitchen
Real Farming Trust
Royal Agricultural University
The House of Fairytales
Grants payable up to £15,000
Food
Chefs in Schools
Sustainable Restaurant Association
Music & Social Need
In Place of War
Orpheus Centre
The Paraorchestra & Friends
Youth Work
Switchback
General
Flying Seagull Project
Specialist support to beneficiaries
Grants payable up to £15,000
Total grants payable per Statement of Financial Activities:		 £
27,778
29,851
50,000
20,000
20,000
20,000
59,704
41,667
58,293
40,000
30,000
40,000
15,800
25,000
20,000
18,750
40,000
30,846
110,000
50,000
50,000
60,000
130,000
46,000
45,000
41,306
15,500
1,135,495

Report and Accounts – 5 April 2024