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2022-03-31-accounts

ROYAL DOCKS TRUST (LONDON)

(A Company limited by guarantee without share capital)

Company No: 03032232

Charity No: 1045057

REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED

31[ST] MARCH 2022

ROYAL DOCKS TRUST (LONDON)

Report and Financial Statements For the Year Ended 31[st] March 2022

Contents Page
Reference and administrative information 1
Trustees’ annual report 2
Independent auditors’ report 11
Statement of Financial Activities 15
(incorporating an income and expenditure account)
Balance Sheet 16
Statement of cash flows 17
Notes to the financial statements 18

ROYAL DOCKS TRUST (LONDON) REFERENCE AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31[ST] MARCH 2022

Directors/Trustees

The directors/trustees who held office during the year and up to the date of signature of the financial statements were as follows:

Elected trustees Eric Sorensen (Chair of the Trust)
Katherine Sarah Elizabeth Carter
Sandra Erskine
James Andrew John Kenworth
William Thomas Sidney Keys (until 27/05/2021)
Stephen William Nicholas
Belinda Joanne Vecchio
Simon Louis Peter Richard Edward Mowat Vincent (until 14/12/2021)
Amanda Williams
Company Secretary John Brian Parker
Company number 03032232
Charity number 1045057
Registered Office 37 Rushey Green
Catford
London SE6 4AS
Auditors Goldwins Limited
75 Maygrove Road
West Hampstead
London NW6 2EG
Bankers National Westminster Bank plc.
Beckton Branch
P.O. Box 3238
Frobisher Road
London E6 4GY
Solicitors Parker Arrenberg
37 Rushey Green
London SE6 4AS

1

ROYAL DOCKS TRUST (LONDON)

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

The trustees, who are also directors under company law, present their report and financial statements for the year ended 31[st] March 2022.

The trustees confirm that the financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice – Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and Activities

The charitable objects of the charity are in summary to promote the following within that part of the London Borough of Newham which lies between the A13 trunk road (Newham Way) and the River Thames:

The charity does not provide direct services to the public but operates by providing funding to community and voluntary organisations active within its area of benefit. Grants are not available to individuals. In order to be eligible for grants under its annual grants programme, organisations must demonstrate that they have:

Details of the grants approved and the criteria and priorities to be satisfied by applicants are set out in the section of this report which deals with achievements and performance.

Public Benefit Statement

In planning their activities for the financial year 2021/22, the trustees considered the Charity Commission's guidance on public benefit and were satisfied that, in operating their grants programme, they were not only acting within their charitable objects but that the projects and activities they had aimed to support, by reason of containing elements apposite to a range of items within the Trust’s objects, would confer substantial and worthwhile benefit on the public within the charity’s area of benefit in line with the priorities and criteria set by the trustees. The trustees were satisfied in all cases that their implementation complied with the duty in section 17 of the Charities Act 2011 to have due regard to the Charity Commission’s general guidance on public benefit.

2

ROYAL DOCKS TRUST (LONDON) TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

Achievements and Performance

The activities of the charity continued to be disrupted by the effects of the Covid-19 pandemic and the views of local groups were sought on how the pandemic had impacted their activities and the perceived needs which had emerged as a result, such as health and wellbeing initiatives, particularly focussing on mental health, obesity and children’s mental health. Trustees agreed that such matters should be borne in mind when assessing the applications received for the 2021/22 Grants Programme in addition to the priorities and criteria previously adopted, i.e.,

and the following key elements considered relevant in determining those projects which are likely to be successful under the main grants programme:

The trustees were mindful in setting the priorities and criteria for the 2021/22 main grants programme that they should encompass elements covering a substantial range of the charity’s objects and that applications would be welcomed which also accessed other resources and offered the possibility of match funding, complemented regeneration initiatives in the area and enabled the provision of services and resources at a local level, developing and encouraging active and sustainable community and voluntary sector projects.

3

ROYAL DOCKS TRUST (LONDON)

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

In the event, applications for the annual Grants Programme were invited with a closing date of 7[th] January 2022, nineteen being received. As their assessment continued beyond the end of the accounting year, these would be dealt with as the charity’s 2022/23 Grants Programme for which the trustees have approved expenditure totalling £399,856 comprising main grants funding of £286,856 and increased funding of £23,000 for minor grants arising during the year, individually not exceeding £2,000 each. It was also agreed to set aside £90,000 in the charity’s 2022/23 budget for possible interim grants of £5,000 to £10,000 each.

All projects hitherto approved under the main grants programme have been, and are continuing to be, carefully monitored by the charity’s community development consultant working closely with members of the charity’s board to ensure that the outcomes being delivered are in accordance with the objectives set.

Following the charity entering into a new grant agreement with London Youth Rowing in February 2020, together with the associated variation of the existing grant agreement with Royal Albert Dock Trust, the charity has monitored the effects of the Covid-19 pandemic on LYR’s ability to deliver the services and facilities envisaged in the original agreement with the RADT in accordance with a Programme Proposal agreed between the charity and London Youth Rowing. The charity remains in close contact with both parties via its community development consultant and the charity’s appointed member serving as a director on the RADT Board. In 2021/22 a grant of £25,000 was paid for delivery of activity.

Financial Review

Assets

The assets of the charity, which have been acquired in accordance with the powers of the trustees, are held in the form of bank deposits and an investment portfolio comprising fixed interest securities, ordinary shares, unit trusts and cash. The memorandum of association of the charity includes powers to invest monies not immediately required for its purposes in or upon such investments, securities or property as may be thought fit, subject nevertheless to such conditions (if any) and such consents (if any) as may from time to time be imposed or required by law. All investments held by the charity have been dealt with in accordance with such power. During the year these assets, other than bank deposits, were managed by Investec.

The charity derives its income from investments split between two funds which it has designated as the endowment fund and the legacy fund, both donated by the former London Docklands Development Corporation (LDDC).

The endowment fund was established with grants totalling £2.7m from the LDDC for the purpose of operating a programme of community grant aid for the area of benefit of the charity on terms that require it to be invested in securities authorised by law and to use only the income generated from such investments for distribution. The successor body to the LDDC has agreed, in accordance with provisions included in the endowment agreements, that capital profits arising from investment of the endowments may be used towards the charity’s objects. The endowment agreements also require the charity, prior to determining the amount to be made available annually for the purpose of the grant programme, to consider whether any of the income should be retained and added to the endowment in order to maintain its value in real terms. The benchmark given to the charity’s investment advisers has been to grow the fund in real terms such that, adjusted for inflation, it would remain in excess of the original value of £2.7m. As a result of the addition to the endowment fund of the requisite proportion of the proceeds received from the sale, completed in September 2016, of the charity’s interests in its properties in Stansfeld Road, the original value of £2.7m was increased to £3,312,323. As at 31[st] March 2022, its value in real terms was £6,188,898.

4

ROYAL DOCKS TRUST (LONDON)

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

As regards the legacy fund, shortly before the LDDC ceased operations on 31[st] March 1998, the charity entered into agreements with it under which the LDDC placed restricted funds with the charity to enable it, so far as proved feasible, to secure the implementation of nine projects for the benefit of the community within the charity’s area of benefit. Seven of these were successfully completed but two, i.e., the Watersports Centre, Royal Victoria Dock, and the Waterski Centre, King George V Dock, proved impossible to implement for reasons outside the control of the charity and the funds held for those purposes are now unrestricted. This fund (ex-legacy plus other unrestricted) is invested in a balanced portfolio worth £3,430,463 at 31[st] March 2022 notwithstanding the withdrawal during 2015/16 of the funds required in order to pay the grants to the RADT referred to in the section dealing with achievements and performance. The strategy is to produce a growing level of income over time whilst allowing the fund to grow in real terms.

In addition to the foregoing, the charity also holds freehold properties, of which details are given below.

Docklands Equestrian Centre, leased, rent free, to a local charity for a term expiring in 2196 and valued at £1.

Explorer Scouts Hut Site, Eastbury Road, leased, rent free, to a local charity for a term expiring in 2095 and valued at £1.

The leases of these properties were granted by the LDDC, the freehold reversions having been transferred to the charity subject to the pre-existing leases.

Any assets remaining in the event of the charity being wound up or dissolved shall be given to other charitable institutions, priority being given to those with similar objects.

Risk Management

The charity is aware that it faces a number of risks when making decisions on the investment and application of its funds and has recognised the following as a key risk which may adversely affect the achievement of its charitable objectives:

Investments

60% of the investments held in respect of the endowment fund are invested in equities, both in the UK and overseas, while 70% have been similarly held in respect of the legacy fund. The value of both Funds have made strong growth over the year, as successful vaccines has led to the gradual reopening of economies post COVID-19 at a time when interest rates remain low and governments are keen to support employment.

The trustees with the external experts engaged by the charity to manage its investments keep the situation under close review but recognise that these monies are to be invested over the long-term and that as long as the income is growing they can accept some volatility or losses over the shorter-term. The trustees receive regular valuations from the advisers at each meeting and at least one detailed presentation to the board each year at which trustees are able to raise matters of concern.

Reserves Policy

The charity understands its obligations to use its financial resources towards the achievement of its charitable objectives and that it should not hold on to such resources unnecessarily.

5

ROYAL DOCKS TRUST (LONDON)

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

However, it is committed to the prudent management of its financial resources and, under certain conditions this will involve the retention of resources over a number of years, these resources being known as “reserves”.

In order to provide a framework within which it can consider the need to retain reserves, the charity has adopted the following reserves policy, which is reviewed annually unless circumstances warrant more frequent review.

The charity may require reserves to enable it to achieve its charitable objectives as follows:

1. Operational

To enable it to continue to meet its charitable objectives over a reasonable period of time, which will include continued commitment to its Community Grants Programme and associated activities.

2. Match Funding

To enable the charity to attract additional external investment into its area through its ability to provide “match funding”.

In assessing the need to retain reserves, and at what level, the charity takes into consideration the following factors:

Current Operations and Obligations

  1. Spending commitments

  2. Estimates of income

New Developments

  1. Additional spending proposals and their timing

  2. Generation of additional income – opportunities, likelihood and timing

Risks

  1. The business risks faced by the charity across all its activities 2. Its ability to manage and respond to those risks.

  2. The trustees therefore consider the charity to be in a sound financial position

At 31[st] March 2022, the charity had assessed the reserves needed to provide for the above. This assessment is shown in the table below:

ssessment is shown in the table below:
REQUIREMENT £’000
Operational - 5year horizon
Potential operatingloss at current “core” level 801
Allowance for additional development activities 50
Investment
Continued investment of LDDC Endowments in “real terms” 6,189
Meeting Commitments
Meetingobligations under former LegacyAgreements and others that have been agreed since 1,347
Match Funding
To enable the Trust to seek additional funding 300
Risk
To provide a “contingency” against business risks associated with its obligations (assessed at
10% of the outstandingcommitment)		 135
TOTAL REQUIREMENT 8,822

6

ROYAL DOCKS TRUST (LONDON) TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

At 31[st] March 2022 , the charity’s accumulated reserves, excluding property, amounted to £10,550,748 a surplus of £1,729,000 compared to the reserves target. This compares with a surplus of £1,930,000 at 31[st] March 2021.

Plans for the future

The charity’s main aim in the short term is to continue providing an annual grants programme run on similar lines to that previously operated jointly with the London Borough of Newham. However, the trustees recognise that, with the completion of the LDDC legacy projects (save for those which it proved impossible to implement, coupled with the re-designation as unrestricted of the funds hitherto held for them), the proceeds arising from the sale of the Stansfeld Road properties and the decision of the Council to withdraw from operating an annual grants programme jointly with the charity, a pivotal point has been reached and the trustees, while currently safeguarding the charitable activities which have hitherto benefited the local community, are continuing to review the charity’s priorities, activities and future mission.

Structure, governance and management

Governing Instrument

The charity is a company limited by guarantee which was incorporated on 7th March 1995 and is governed by its memorandum and articles of association, the latter having been amended by special resolutions on the 27th April 2004, 15th March 2016 and 22[nd] October 2019 following reviews by the trustees of the board structure in the light of changing circumstances relevant to the area of benefit and the total withdrawal by the local authority of financial and other support for the charity implemented progressively since 2015 when it terminated its involvement in the hitherto joint annual grant programme. Membership of the charity is open to individuals, voluntary organisations and businesses within the area of benefit. In the event that the charity is at some time wound up, members of the charity may be required to contribute not more than £10 in the case of an individual member and not more than £50 in the case of a corporate member towards the settlement of any debts and liabilities there might be at such time.

Appointment of Trustees

The articles provide for the trustees, who shall be not less than five or more than thirteen in number, to be appointed in accordance with the articles of association as amended on 22[nd] October 2019. These provide as follows:-

Not more than nine trustees may be elected to serve until the end of the third annual general meeting following that at which they are elected but they may then be re-elected if willing to serve for a further period.

The trustees appointed/elected as above may co-opt up to four additional trustees whose terms of office shall expire at the first meeting of the trustees following each annual general meeting although co-options may be renewed by the trustees at that meeting. There are currently no co-opted trustees.

7

ROYAL DOCKS TRUST (LONDON) TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

Trustee Induction and Training

T he trustees who served during the accounting year were fully familiar with the aims, activities and rules of governance of the charity. All were or had recently been either resident in its area of operation or involved in business or voluntary sector activities there. Indeed, several had wide experience of working within or serving as trustees of other charitable organisations.

In the case of newly appointed trustees, all are supplied with copies of the Charity Commission and Companies House publications detailing the respective duties and responsibilities of company directors and charity trustees, including conflicts of interest and of loyalty, to ensure that they are made aware of their legal obligations. On appointment, new trustees are supplied with a copy of the memorandum and articles of association of the charity and key documents such as the charity’s latest annual report and audited accounts, its latest management accounts and sets of minutes covering a relevant period of activity. Further information, including legal and financial advice, is readily available as required to individual trustees and at board meetings through the secretary (a retired partner in a firm of solicitors) and professional advisers who also review and report relevant developments in the charity field and provide ad hoc advice as and when appropriate.

Organisation

The full board of trustees normally meets approximately quarterly but it appoints a smaller Executive Committee which meets in between the board meetings and receives financial reports and reports on on-going and other matters, particularly issues in respect of which urgent decisions are required. However, the effects of the Government imposed restrictions, particularly the lockdowns, made it impracticable to stick to the usual pattern of meetings and, following their implementation, meetings have been arranged on an ad hoc basis as an when needed.

The charity has no employees. The trustees are not employed by the charity and receive no remuneration. The charity’s external consultants deal with the administration, including financial administration, and operation of the charity on a day-to-day basis.

Related Parties

There were none during the year under review except as referred to in note 16 to the financial statements.

8

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31ST MARCH 2022

ROYAL DOCKS TRUST (LONDON)

Preparation of the report

This report of the Board of Trustees has been prepared taking advantage of the small companies’ exemption of section 415A of the Companies Act 2006.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees (who are also directors of the charitable company for the purposes of company law) are responsible for preparing the trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the 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:

The trustees are responsible for keeping proper accounting records that 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. They are also responsible for safeguarding the assets of the charitable company 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 charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £10 in the case of individual members and £50 in the case of corporate members in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

9

ROYAL DOCKS TRUST (LONDON)

TRUSTEES’ ANNUAL REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

Statement of disclosure of information to auditors

Insofar as the trustees are aware:

Auditors

Goldwins Limited were re-appointed as the auditors of the charitable company during the year and have expressed their willingness to continue in that capacity.

The trustees’ annual report has been approved by the trustees and signed on their behalf by:

………………………………

Eric Sorensen

Trustee

14 December 2022

10

ROYAL DOCKS TRUST (LONDON)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE ROYAL DOCKS TRUST (LONDON )

Opinion

We have audited the financial statements of Royal Docks Trust (London) (the ‘charitable company’) for the year ended 31 March 2022 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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’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.

11

ROYAL DOCKS TRUST (LONDON)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE ROYAL DOCKS TRUST (LONDON )

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual 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 statement of trustees’ responsibilities set out in the trustees’ annual report, 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 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.

12

ROYAL DOCKS TRUST (LONDON)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE ROYAL DOCKS TRUST (LONDON )

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 non-compliance with laws and regulations, our procedures included the following:

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.

13

ROYAL DOCKS TRUST (LONDON)

INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF THE ROYAL DOCKS TRUST (LONDON )

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.

Anthony Epton (Senior statutory auditor) for and on behalf of Goldwins Limited Statutory Auditor Chartered Accountants 75 Maygrove Road West Hampstead LONDON, NW6 2EG

Date: 11 January 2023

14

Royal Docks Trust (London)

Statement of financial activities

(incorporating an income and expenditure account) For the year ended 31st March 2022

Note
Income from:
Investment income
3
Total income
Expenditure on:
Raising funds
Charitable activities:
Grants programme
Special projects
Total expenditure
4
Net gains on investments
8
5
Transfers between funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
12
Net income for the year
Net income / (expenditure) before net
gains / (losses) on investments
Net movement in funds		 2022
Unrestricted
funds
£
261,884
261,884
59,414
255,801
29,304
344,519
174,363
91,728
-
91,728
3,536,700
3,628,428
(82,635)		 2022
Restricted
funds
£
-
-
-
-
-
-
254,444
254,444
-
254,444
6,667,878
6,922,322
-		 2022
Total
funds
£
261,884
261,884
59,414
255,801
29,304
344,519
428,807
346,172
-
346,172
10,204,578
10,550,750
(82,635)		 2021
Total
funds
£
263,457
263,457
67,272
70,800
35,514
173,586
1,458,651
89,871
1,548,522
-
1,548,522
8,656,056
10,204,578

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. The attached notes form part of these financial statements.

15

Royal Docks Trust (London)

Balance sheet

As at 31st March 2022

Note
Fixed assets:
7
8
Current assets:
Debtors
9
Liabilities:
10
12
Total unrestricted funds
Total funds
Cash at bank and in hand
Creditors: amounts falling due within one year
Net current assets
Total net assets
Funds
Restricted funds
Unrestricted funds:
Designated funds
General funds
Investments
Tangible assets		 2022
£
-
1,016,517		 2022
2021
£
£
2
9,637,642
9,637,644
47,839
497,986
545,825
(42,863)
913,106
10,550,750
6,922,322
1,397,386
2,139,314
3,628,428
10,550,750		 2021
£
2
9,701,614
9,701,616
502,962
1,016,517
(103,411)
1,372,386
2,256,042
10,204,578
6,667,878
3,536,700
10,204,578

14 December 2022 Approved by the trustees on ………………………………and signed on their behalf by:

Eric Sorensen Trustee

Company registration no. 03032232

The attached notes form part of the financial statements.

16

Royal Docks Trust (London)

Statement of cash flows

For the year ended 31st March 2022

Note
13
Cash flows from investing activities:
Interest/ rent/ dividends from investments
Sale/ (purchase) of investments
Cash provided by / (used in) 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
14
Net cash provided by / (used in) operating activities		 2022
£
261,884
492,779		 2022
2021
2021
£
£
£
(236,132)
(212,620)
263,457
56,158
754,663
319,615
518,531
106,995
497,986
390,991
1,016,517
497,986

17

Royal Docks Trust (London) Notes to the financial statements For the year ended 31st March 2022

1 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 - effective 1 January 2015) - Charities SORP (FRS 102) and the Companies Act 2006.

The charitable company meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

b) Going concern

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

c) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

d) Donations of gifts, services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

e) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

f) Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity’s work or for specific projects being undertaken by the charity.

18

Royal Docks Trust (London) Notes to the financial statements For the year ended 31st March 2022

1 Accounting policies (continued)

g) Expenditure and irrecoverable VAT

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

h) Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Support costs include back office costs, finance and governance costs which support the Trust's charitable activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 4.

i) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £1,000. Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

˜ Freehold property 2%
˜ Fixtures and fittings 25%
˜ Computer equipment 33%
Motor vehicles 25%

j) Listed investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Any change in fair value will be recognised in the statement of financial activities.

k) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

l) Cash at bank and in hand

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 account.

m) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

n) Financial instruments

The charity only 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 their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

19

Royal Docks Trust (London)

Notes to the financial statements

For the year ended 31st March 2022

2 Detailed comparatives for the statement of financial activities

Income from:
Charitable activities:
Investments
Total income
Expenditure on:
Raising funds
Charitable activities:
Grants Programme
Special projects
Total expenditure
Net gains / (losses) on investments
Net income / expenditure
Transfers between funds
Net movement in funds
Total funds brought forward
Total funds carried forward
3
Income from investments
Investment income
Net income / expenditure before gains /
(losses) on investments		 Unrestricted
2022
£
261,884
261,884		 2021
£
263,457
263,457
67,272
70,800
35,514
Unrestricted		 2021
£
-
-
-
-
-
Restricted		 2021
Total
£
263,457
263,457
67,272
70,800
35,514
173,586 - 173,586
89,871
543,013
632,884
-
632,884
2,903,816
3,536,700
2022
£
-
-
Restricted		 -
915,638
915,638
-
915,638
5,752,240
6,667,878
Total
2022
£
261,884
261,884		 89,871
1,458,651
1,548,522
-
1,548,522
8,656,056
10,204,578
Total
2021
£
263,457
263,457

20

Royal Docks Trust Notes to the financial statements For the year ended 31st March 2022

4 Analysis of expenditure

Basis of
allocation
Grants awarded
Direct
Management fees Direct
Governance costs
Other costs
Support costs
Governance costs
Total expenditure 2022
Total expenditure 2021		 £
-
50,688
-
-
Cost of raising
funds		 Charitable activities
Support
costs
2022
2021
£
£
£
£
11,958
-
255,189
86,437
-
-
50,688
47,354
-
33,626
33,626
34,436
5,016
-
5,016
5,359
Governance
costs
Grants
Programme
Special
projects
£
£
218,231
25,000
-
-
-
-
-
-
50,688
2,927
5,799		 218,231
25,000
12,603
1,444
24,967
2,860		 16,974
33,626
344,519
173,586
(16,974)
-
-
-
-
(33,626)
-
-
59,414 255,801
29,304		 -
-
344,519
67,272 70,800
35,514		 -
-
173,586

All expenditure was unrestricted (2021: All expenditure was unrestricted).

21

Royal Docks Trust (London)

Notes to the financial statements

For the year ended 31st March 2022

5 Net income / (expenditure) for the year

This is stated after charging / (crediting):
Audit fees		 2022
2021
£
£
3,800
3,600

6 Taxation

The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

Tangible fixed assets
Cost
At the start of the year
At the end of the year
Depreciation
At the start of the year
Charge for the year
At the end of the year
Net book value
At the end of the year
At the start of the year		 £
2
2
-
-
-
2
2
Freehold
property		 Total
£
2
2
-
-
-
2
2

7 Tangible fixed assets

All of the above assets are used for charitable purposes.

8 Investments

Investments at fair value:
UK & Overseas Fixed Interest
Equities
Property and Infrastructure
Cash instruments
Movements
Market value at the start of the year
Additions at cost
Disposals at carrying value
Net gains / (losses) on investments
Market value at the end of the year		 2022
2021
£
£
1,475,517
1,686,384
6,395,946
6,697,579
1,465,365
1,212,029
300,814
105,622
9,637,642
9,701,614
9,701,614
8,299,121
1,432,496
1,238,265
(1,925,275)
(1,294,423)
428,807
1,458,651
9,637,642
9,701,614

No holdings constituted 5% or more of the total portfolio.

22

Royal Docks Trust (London)

Notes to the financial statements

For the year ended 31st March 2022

9 Debtors
2022 2021
£ £
Prepayments - 47,839
- 47,839
10 Creditors: amounts falling due within one year
2022 2021
£ £
Other creditors 71,714 38,543
Accruals 31,697 4,320
103,411 42,863
11 Analysis of net assets between funds
General Total
unrestricted Designated Restricted funds
£ £ £ £
Tangible fixed assets 2 - - 2
Investments 1,342,934 1,372,386 6,922,322 9,637,642
Net current assets 913,106 - - 913,106
Net assets at the end of the year 2,256,042 1,372,386 6,922,322 10,550,750
12 Movements in funds Incoming Outgoing
At the start of resources & resources & At the end of
the year gains losses Transfers the year
£ £ £ £ £
Restricted funds:
Endowment 6,667,878 254,444 - - 6,922,322
Total restricted funds 6,667,878 254,444 - - 6,922,322
Unrestricted funds:
Designated funds:
Previous Legacy Funds 1,397,386 - (25,000) - 1,372,386
Total designated funds 1,397,386 - (25,000) - 1,372,386
General funds 2,139,314 436,247 (319,519) - 2,256,042
Total unrestricted funds 3,536,700 436,247 (344,519) - 3,628,428
Total funds 10,204,578 690,691 (344,519) - 10,550,750

23

Royal Docks Trust (London)

Notes to the financial statements

For the year ended 31st March 2022

12 Movements in funds continued

Purposes of restricted funds

Restricted funds are the original endowment from the London Docklands Development Corporation. The income generated is used to support a community grants programme and the Trust's administration costs.

The designated fund is the remainder of the ex-Legacy Funds for the projects which were not completed. They are now unrestricted but are separately identified in order that trustees can allocate funds to projects of their choosing which may be in line with the previous intentions.

13 Reconciliation of net income / (expenditure) to net cash flow from operating activities

Net income / (expenditure) for the reporting period
(as per the statement of financial activities)
Interest, rent and dividends from investments
(Gains)/ losses on investments
Increase/ (decrease) in creditors
Net cash provided by / (used in) operating activities
(Increase)/ decrease in debtors		 2022
2021
£
£
346,172
1,548,523
(261,884)
(263,457)
(428,807)
(1,458,651)
60,548
8,804
47,839
(47,839)
(236,132)
(212,620)

14 Analysis of cash and cash equivalents

Cash at bank and in hand
Total cash and cash equivalents		 Cash flows
£
£
£
497,986
518,531
-
1,016,517
At 31st
March 2022
At 1st April
2021
Other
changes
497,986
518,531
-
1,016,517

15 Legal status of the charity

The charity is a company limited by guarantee and has no share capital. Each member is liable to contribute a sum not exceeding £10 in the event of the charity being wound up or £50 in the case of corporate members.

24

Royal Docks Trust (London) Notes to the financial statements For the year ended 31st March 2022

16 Related party transactions and Contingent Asset

There are no related party transactions to disclose for 2022 (2021: none). There are no donations from related parties which are outside the normal course of business and no restricted donations from related parties.

The Trust is the owner of a special share in the Winsor Park Management Company Limited which gives it the responsibility to oversee the conduct of the Company and has the power to appoint up to four directors if it sees fit, and has appointed two directors. The special shareholder is also a joint signatory of the Accumulation Fund account held by the Company and has a duty to permit the proper operation of that Account.

The WPMC was established broadly for monitoring maintenance and improvement of reclamation works at Winsor Park which is within the Trust's area of benefit. The Accumulation Fund was established to meet any expenditure required in respect of a failure of or damage to the reclamation works at Winsor Park. The fund was established by the LDDC and at 31 March 2021 stood at approximately £6.407m and attracts £ 34,452 of interest per year less £ 24,412 of general expenses. It is held by Winsor Park Management Company Limited until 11th April 2070, unless it is required to be spent as above or unless an engineer reports that there is no reasonable likelihood of the fund having to be spent for that purpose. The engineering reports must be obtained every ten years commencing 11th April 2010. In order to meet its obligations under the Shareholders Agreement in respect of the commissioning of engineering reports and the review of the reclamation works and the continuing need for the Accumulation Fund, the WPMC instructed Card Geotechnics to review the operation and the integrity of the reclamation scheme and to advise WPMC. The Card Geotechnics report concluded that the reclamation scheme continued to operate successfully and fully meet its purpose with no indication that there would be any requirement for remedial action or repair.

If the fund becomes repayable under either condition above, it is repayable to the special shareholder.

There were no transactions between Winsor Park Management Company Limited and the Trust during the year.

25

Royal Docks Trust (London) Notes to the financial statements For the year ended 31st March 2022

17 Previous reporting period information

17a Analysis of expenditure of previous reporting period

Basis of
allocation
Grants awarded
Direct
Special projects
Direct
Management fees Direct
Governance costs
Other costs
Support costs
Governance costs
Total expenditure 2020		 £
-
-
47,354
-
-
47,354
6,572
13,346
67,272
Cost of
raising
funds		 Charitable activities Charitable activities Support
costs
£
11,598
-
-
-
5,359
16,957
(16,957)
-
-		 2021
£
£
-
86,437
-
-
-
47,354
34,436
34,436
5,359
34,436
173,586
-
-
(34,436)
-
-
173,586
Governance
costs
Grants
Programme
£
49,839
-
-
-
-
49,839
6,916
14,045
70,800		 Special
projects
£
25,000
-
-
-
-
25,000
3,469
7,045
35,514

All expenditure was unrestricted.

26

Royal Docks Trust (London) Notes to the financial statements For the year ended 31st March 2022

17b Analysis of net assets between funds of previous reporting period

Tangible fixed assets
Investments
Net current assets
Net assets at the end of the year		 General
unrestricted Designated
Restricted
Total
funds
£
£
£
£
2
-
-
2
1,636,350
1,397,386
6,667,878
9,701,614
502,962
-
-
502,962
2,139,314
1,397,386
6,667,878
10,204,578

17c Movements in funds for the previous reporting period

Restricted funds:
Endowment
Total restricted funds
Unrestricted funds:
Designated funds:
Previous Legacy Funds
Total designated funds
General funds
Total unrestricted funds
Total funds		 At the start
of the year
Incoming
resources &
gains
Outgoing
resources &
losses
Transfers
At the end
of the year
£
£
£
£
£
5,752,240
915,638
-
-
6,667,878
5,752,240
915,638
-
-
6,667,878
1,422,386
-
(25,000)
-
1,397,386
1,422,386
-
(25,000)
-
1,397,386
1,481,430
263,457
394,427
-
2,139,314
2,903,816
263,457
369,427
-
3,536,700
8,656,056
1,179,095
369,427
-
10,204,578

27