CONCILIATION RESOURCES DIRECTORS, AND TRUSTEES. REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2020 IiinlllNMll *AA6A8Y40" 09106r2021 COMPANIES HOUSE #55 | CONCILIATION RESOURCES CONTENTS YEAR ENDED 31 DECEP4tBER 2020 Refernnce and Admln15trative Dets115 Report of the Dlrector5 and Truste >15 Report of the Independent Auditor 1&18 stat•m*nt of Flnan¢i•l Athllios (including the In¢¢)me and Expenditure Account) 19 Balance Sheet 20 St*tsrn•nt of Cash Fl 21 Notss lo the Financlal Statemenls 22-39 CONCILIATION RESOURCES REFERENCE AND ADMINISTRATIVE DETAILS YEAR ENDED 31 DECEMBER 2020 Olrectorn and Trustoes Ms D Good IChair- from 23 FeLYuary 2021) Mr A Peck (Treasurer> Ms T Bajwa Ms C Cheng lappoinled 19 April 2021) Mr D Donoghue (Chair- re￿gned 23 February 2021) Mr G Graham Ms N Hatsndi (appointed 19 Apn'l 2021} Ms O Huiter (appointed 19 April 2021) Mr J Jinnah {appointed 19 Awl 2021) Ms J Kemp Ms R Marsden Ms L Muir {appointed 19 Apn"12021) Ms M Parfevliet- ￿￿9ftert 23 February 2021 Ms D Pillai- resgned 17 November 2QO Ms L Salek lappointed 19 April 20211 Mr M van Bellinghen- ￿5￿ned 23 February 2021 Company Secretary Mr T Hartsen Execthe Managemgnt Te Mr J Cohen - ExecutNe Th"reclor Mr T Har￿en- Chief Operating Officer Or T Dumasy - Research, Advisory and PoI￿Y Department Director Ms L Aumeer- Euro￿AsIa Department Directcrf (Member of EMT frrjn 1 March 20211 MT C O'Toole - South Easl Asia and Pacific Programme Directty (Member ol EMT Irc¥n 1 March 20211 Mr A Abai - Africa Departmerrt Oirector (Member of EMT from 1 March 20211 Mr M Baah - Finan￿ Oirector {Member of EMT from 1 March 2021 Dr K Tomlinson- Director of Programmes (resigned 29 January 2tr21) UK Company Nurnbèr 031W82 UKCharlty Numb•r 1055436 UK VAT Number 249002623 Registered oifiee Burghley Yard 106 BuTghley Road London NW5 1AL Auditor Haysmaryntyre LLP 10 Queen Street Place. LLYthn EC4R 1AG 8an*e Royal Bank of Scotland 40 Islington High Street London N18XJ COIF Charity Deposit Funds 80 Cheapside London EC2V 6DZ CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 The Directors and Trustees p￿sent their rep)rt aThJ audiled acctyjnts of the charity for tr+e year ended 31 December 2020. The financial stslemenls CoM￿Y with the Charities Act 2011. ￿ Companies Aca 2006. the Memorandufn and Articles of AssOc￿tion, and Accounting and Rewkn"ng by Charit￿$.. Ststemenl of Recommended Practice applicable lo charities preparing thwr accounts in acc￿dan￿ the Financial Reporting Standar¢J apFlicable in the UK and Republic of Ireland IFRS 1021 (Second Edition effective 1 January 20191. struc￿re, Governance and Management Gov•mlng Document Conciliation Resources is a Company limiteil by guarantee without share capital. The Company was incorporated on 9 May 1996 and is a registered charity constituted as a limited company under tt* Art￿eS of Association. The charity registrats'on numt*r is 1055436 and the c¢th￿Y registratK)n rwmber ts 03196482. Organisation Conciliation Resources is govemed by a Board of Trustee5. whth meets fow to six times a year. During 2020. all meeb.ngs were held online. The rthct￿n in stsff and Board interaction was pa￿'al￿ compensated for with 'breakout' rooms online for trustee5 to speak to stsff. Finantsal and management report5 a￿ wovided quarterfy to the Board of Trustees. in¢luding infomiation on programme psicy progress. restrided and unreslricied funds, risk management and staff wellbeing. The coronavsrus pandemic, risk mana9ement and safeguardbng were central topi¢s during all meetings in 2020. Alongside 'day to tjay o)vemance. the year the Board reviewed, edTted and approv&J the fdl¢)wing polic￿.. Ethi¢al Investrnenl Policy Safeguarding Policy CR Finanoal Model Allttation of Strategic Fur¥Js Policy Risk Appetrte Statement l Risk Managemenl Pokcy Communty Unim Recogn￿'on Agreement The ExecJJtive Management Team (EMT) indudes tl* Executive Director. the Chief Operating Officer. the ReseaTCh, Advisory and Policy Departrnent Director. the three Programme Oeportmenl Directtws IEurope-A5h?, Alrica. Soulh East Asia and P￿ific) and the Finance Oire¢lor. The EMT meets fortnightty to dI￿$S CrosS-￿98n1Sa1￿Th1 issues. The EMT is responsible for supports.ng the EXec￿l¥e Oirector in managing and overseeirvj the orgarisation. The EMT is the prinopal management decision-making body on strategic issues or m*ters of signrf￿nI operational imForLince or risk. EMT members have delegated responsibility and accourrtability for decision-makiThJ as defined by parameters grven lo them by the ExecLrtive Direct￿ in the￿ JDS or on an ad basis. Further detsils of EMT *￿rking$ are defined in EMT TORS. In 2020, the EMT undertook a series of externalty guided strategy sessions ano team building exercise5 that contributed to change management processes and ultimatdy to darty around hrmf Organisatsonal managemenl decisions are made and communuted within CR. DecisKJns and deuwon making are guvjed by our or9anisats.onal values of CollaboTation, Crealivity. Challenge. Commitment. We strwe to keep in mind these principles in (XJT extemal work and in how we operate internally. with an awareness that all deciSi￿S must consider vthal is achievable. realistic. timely and for the benefit of the organisaliM as a whole over the short. medium ar)J lor*J lemi. The EMT is supported by a Senior Leadwship Team ISLT) made Ltp of sen￿r staff from across Con¢iliation Resources. This group meets every ts¥o months and fiJ￿tI￿S as a forum for consultation. input and feedback lo the EMT and to all staff. This is a iwo way fUnct￿n as SLT membern bring ideas and thalleThJes from their ￿pectIve teams and also communicate decisions and infomab.on trom the EMT to their teams. Further details of SLT workings are defined in SLT TORS. The restructure into three Prc*Jramme Oepartrnerts vrns initiated in 2020 and finalised in 2021 after eonsiderable internal and extemal consuttation beginning in 2018. The thanges rewired to move to this setup invofved almost 30 inlernal recruitments and several addib'onal posts. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DÉCEMBER 2020 Oryanisation (continu￿) th around 85 staff globally, a 20% inuease from 2019. we are yimaiity based in L￿￿on, with slaff a150 in Australia, Central African Republic. the Philippines and Ethiopia. We also have a dose connects'on MediatEUr, an organisats.on with staff in Belgium. These offices are setup in order to ensure aWar￿e$S of, and compliance local laws and regulati¢)ns as as appfopriats mtegration and coordination wth OLf partner5 and the broader sector y￿thin the relèvant area. thin the three Programme Dewtments, e￿ Prwamme Director ts ￿POnSible for the managemerrt of Ihetr area of work and the organisah.on ath.vely provides opportunrties for mutual support and leaming. Eath Programme Director is assisled by project staff and very ctcasionalty vdunteers. In adthbon to rts inthuse staff. conaliab.on Resources works closety vmth extemal o)nsultanls. Pay and remunerabon for key mawgement Fersonnel is set by refererre lo tt19 grading and salary slru¢ture which is reviewed and benchm8rked regularly. The Board of Trustees sets the pay of the Exe¢utNe Management Team each year through a Remuneration Commrttee, ￿th reference to the grath.ng and salary stru¢ture arplied to all Conciliation Resources staff. Any pay increase for key management personnel. as wrth all staff, consists of Iw) elements, a cost of living adjustment and a spine wnt adjustment. Recruitment and Appointment of Tntstees As set oul in the Artdes of A$S￿laIK￿, ttr* Bowo of Tru5tee5 of cO￿lIa110n Re￿ree5 nominates the Chair of the Trustees. A vKe-chair is also informally apwnted. The Trustees are also the Directors and members of the C¢Jmpany. The Board of Trustees has rtrJwer to appKJint athjib.onal Tru5tee5 as rt conshlers necessary and regularly reviews the required skills and the organisational Under￿"ng the role of Ihe tr*)wd of co￿.11a￿On Resources. After a skills audit and following the departure of several bong seMThJ truslees, six Trustees, Mr J Jinnah. Ms L Muir, Ms D Hutter, Ms L Salek, Ms C Cheng and Ms N Hatendi were appointed in 2021. The Tntstees in office and up lo the date of this report are sel out on page 2. In 2020. we increased the remrt and meeb.ng frequency of the Risk and Audit Committee, which conwsls of I￿r Trustees and the ch￿ Operab"ng Officer I Company Seuetary. and which provides an initial review of the annual Stat￿Ory aL#lit and SUPFrts the monrtorir#J aTrJ updating of the organisalional Risk Register. Two Iruslees acted as designated Safeguarding Trustees in 2020. meetFng with the Chief Operating offi￿r I C¢Jmpany Secretary and Intemational Safety and complian￿ Manager at least once è month. This pr*ice continues. in addition lo safeguarding being a standing rtem al all Board meetsngs. are very fortunate to have on our Board trustees v*th a depth of expeitnce arKI understanding of Charity and financial management. and of peatsbuilth"ng. wth the dedi&ition and cg>mmilment to support this work. Trustee Induetson and Training The Trustees m&ntain a good wcffking kn¢TrAedge of charty and company Iw and best practice through training sessions provided intemally and by extemal consuliants. New Trustees are given copies of the Artides of Association. supporting information on Conciliation ResouTces' work and relevant organisationaj policies, and hold a senes of meetings with key stsff from across the organisation in a Structur￿ inductKJn led by the ExecutNe Director. These meetings provide access to staff for all Tru51ees in order to firnj out mtye ab(xrt Conciliat￿￿ Resources ongoing work. Al the same lime, il provides a charKe for staff to understand some of the expwience$ aThJ strewis that are available to them. and more broadW aemss Conciliation Re%MJrces. at Board level. As part of the on-goirvJ development of each Trustee's urKJerslanding of Co￿11•allOn Resources and ils work, when training 15 not scheduled, on the momirKJ t¥ aftemwn of each Board meeting sessiMs a￿ arranged betsveen Trustees and staff at which key topi¢$ or areas of work are explored and insights Sha￿d. In earty 2020, Ihfs was supplemented by an organisats.onal retreat where stsff Trustees conth'buted to Strateg￿ planning. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Related Paths and Collab¢Mations In 2020 trustee payments for the ramtrAwswnert of expenses lotalted £1.690 (2019- £5.4661. Conuliation Resources has dose working rdabon5hips with other chwities and organisations (local and inlemalional) with which tt cooperates in pursurt of its th¥itsble otfj'e¢tives. This indudes ¢ollat¢rative project partnerships, consortium Inilialives and cooperabve networks. 2020 saw the ¢ontinuab"on of hwo large conwtium projects, both of whth will end in 2021.. The DFID funded'smart Pe￿. consortium is led by Concilialion RescAJrces, Working wilh The Asta Foundation, Intemat¢onal Crisis Group, cent￿ ffx HUm￿Ltarian Oiawue. BehaV￿ra1 InS￿htS Team. Chatham House and ETH Zurich. The programme applies a integrated wocess of $trategi¢ analysis, design, evaluation and adaptation in order lo Kjentsfy and unb￿k sts'cking Foinls prevenlirvj peaceftl change. The DFID lunded Peace Research Partnership. fonnerfy called the Global Securty Rapid Assessment IGSRAI, consortium indudes ourselve5, Intemational Aert and safe￿ortd. This ￿ a iyactice-research consortium looking at how to SUPF*Nt peacefvl. irK4usive Manapment ofrisks Major risks lo which Ihe charity is exposed (governance. ￿P(rtatiOnal. legal. polth"cal. financial, programmatic), as identrfied ty the Trustees. are cOM￿.1ed in a 'Risk Registerf and re¥￿Wed at least bi-annually or more frequently as needed. The initral review is condu¢ted by the Risk and Audrt Commrttee before IPe Rrsk Register is presented lo the entire Board. During 2020, the Board EMT conducied several sessions to establish a'Risk Appetite Slalement, as part of the development of a Risk Marwent Poly. As the nature of Conciliation ReS￿rceS, work in¥dve5 countries affected by cc￿flI￿. the sewrity situation in these countries is more frequenlty reviewe(I via a Str￿lu￿.Programme Security Plan. tnvofviTrg in depth safety and security due diligence, complimented ¥wth e¥lemal mMr(oring services. We seek to take all apprOPr￿te steps to avoid undue risk lo and woiect partners, in line laws and regulations as well as our organisational and an individual's risk appetite. Systems developed to m￿"9ste these risk5 Indude staff safety arKI security wlicies and guKlelines and hostile environment awareness training (HEAT). In addition. CcwliatKJn Resow¢es has (Jffterenl insurance p￿Ic￿$ in pla¢e lo support stsff tra¥elling to. or in. confflK* zone5. To mib.gate financial risk arKI insecuiity, as well as dependery on any single dorw, we aim io have a broad donor base, both for ltte organisation as a whole and for eath programme. Vrfe continue to seek k)ng-temi funding both institutionally and ftjr iThJividual programmes due to the ￿ti¢alty ol C1)nkn.rK￿Is rather th* ad-hoc SUPFQrt to peace processes. Safeguarding Ti5ks umlinue to be h￿her than nonnal to Covtd-19, as a result of the pandemic making vulnerable individuals more so aThJ organisab"ons' resources being 100 5tretthed to ats'de by their nomial safeguar(liThJ practice5. The ¢oncems raised at CR remain low in Q4 of 2020 and Q1 of 2021 cOMpa￿d to vA)al they were in 2019. This is partially because staff cannot raise cortrms in person ènd also because they are not travelling and so are less likely lo obseThe Thlicat￿$ of safeguarding ham. Gwen the decreased pfesence of staff in context. a key fO￿S for 2021 is tr•'ning P*thers rel￿telY wherever possible to (Jo so. The CEO is also leading a Trust and Wellbeirv4 Improvement Plan, in ts hope that this improves the safeguarding culture and gNes staff More confidence in the mechanisms for rai8hng Cor￿Ems. The risk that insLthcAent fund5 will be generated has teen ciassTfied as hi￿ nsk. The general Irend in re￿nI ye8rs has been that. as the organisalion grows. each programme requires a small amount of unrestricted funds and the organisakn.onal support iequired increases. The number of staff VAII reach 90 staff soon aThJ this puls strain on our unrestricted In￿Me wttich has not 9rtr￿n in propc¥tithl to the programmes teams. The ExeculNe Management Team has undertaken some finarKial ￿ntingen￿ plannin9. Under new structure. Department Di￿¢torS ￿11 be responsible for suffiaent fundraising in line wrth the Financial Mc¥Jd and will be supported lo pursue their fvndraising plan5 by the rest of the organisation. Thè I￿get for 2020 cont•"ned over £1,700.000 of unsecured income Imuth of which was restrKted and vrns da5sed as addrtional 'sWtional' speThJingl of which a high proportion was secure(l. We are planning to agree bmplemwrt even m￿¢ sustainable budgets in fijture years. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Alanagement ￿TI$￿$ Icontinuedj The external funding environment is hostile. resuth'ng in CR'S Vrtirk nc< receiwng all the insbtulional support that it has had preViou￿y. This reality is increasingly challenging for CR - for example. it has been impacted by the general reduction in available peacebuilding fun¢Jing, short lermism of lurKling. commerualisab.on of grant making, inueasing regulatory and c¢ynpliance requirements. a push for localisatKffl ar¥J increagng *alue for money. comFetsts'on from humanilanan organisations and for-pfofrt ¢xganisatiorts. We have had Mfo ggnfficant cuts to funding this year, ty the Conllict, Stabilty ar¥J s￿rity Fund ICSSFI the Foreign. Comrnonwealth and Development Office IFCDOI. tr•)th notffied in April. These culs fit into a broader developing reality of cuts auoss UK funding for all NGOS as a resuft of the reduction from 0.7% to 0.5% and br￿*r dynamics within the CSSF aThJ Department for lnlemab.onal Development IDFID, now part of FCDOI fundir#J 51reams. These two donors represent cntical suppoth'ng funds for CR as an txganisalion 3￿j theref￿e these cuts wll need active responses of cost ￿viewS aTrJ strategic adjustment$ on our side. In lotsl. UK funding makes up rearty 50% of our fvnding in 2021 (noting that a large amount of this is Smart Peace). We plan to manage the Impa￿ of un5￿CeSsful tids. contract delivery rthallenges and ¢Lrts as described atK)ve through the quartedy re-forecast process. Fundrnsing Activitms Conciliation Resources. approach to I￿￿r￿Sing continues to evthe wh"Isl remainiry centred on insb.lulional government funding. The 2019 merger oflhe Fundraisirvj and Communications teams has helped amplfy our messages and the combined team conts.nues to maximise and diversfy our income. In 2020 we sel largets for a small increase aeross a range of new inwme streams, ensuring that exp￿atiOnS a￿ modest in line with the minimal investrnent and the ehallenging and compelitive exlemal envIronm￿t. In 2020. we irt¢reased our reach and engagement across social media platfoms, tmjilding on our bolder messagirvj and visual identrty. Largety due to pandemic restriction5, we did not hold any lundratsing events. 80-85% of our income is project based. 14WI the newty im￿eMented Programme Department strLKture we intend to build on these established project don￿ ￿18th"onshIpS as ￿¢11 as undertake more proadNe ftjndraising in donor Ca￿'tal es and diredy in the contexls where we work. In 2020. our income wa5 mainly derived from institutional donor5. small add￿"onal amounts Irom trusts and foundalicn5 and individuals. We did not th wrth prOfeSs￿nal fundraisers and donalKms from members of the public totalled less than 1% of incoffle in 2020. Management and the fundraising team stsy alKeasl of re￿gnIsed public fun¢Jraising slandartjs and we are registere(1 wilh the Furrtyraising Regul41￿. shwng our commitment lo abide by the C(xJe of Fundraising Practice and the FuThJraigrvJ Promise. No compla'nts have been r￿e1ved in relation to our fundraiwng adivib'es. Among other poliaes. our Complaints Policy arKI Daa Protection P￿ICY are availab￿ ￿ our web￿le. Publ1¢ Benefft Statement The Trustees consider that they have complied wth Secbon 17 of the Chanlies Ac12011 wth regard to the guidan￿ on public tenefit published by the Chwty Commi￿(￿. The paragraphs bek)w demonwate the public benefit arising through the Charity's activities. Objecti￿$ •ndactivities conulith.on Res(￿rceS is an indep￿ent intematirywl organisalton v*)rkirwJ ¥￿th peop￿ in ￿n￿￿ct to prevent violer￿. resolve conflids and promote peacefvl soC￿ties. We comrnil to pro¥Kling our assistance, experts.se and practical resources for Ihe long-temi. In addit￿n. take v￿￿1 we leam lo govemmenl decision-makers and others working lo end conflict, to improve poliaes arKI pracb.ce Wc￿d￿.de. Since 1996, cor￿11181￿ Resolrtes has worted in partnership wrth local and inlematsonal civil swety acliKs. heltrfng peop￿ work Icgether to find their ovm solutions to the conflicts affecting them. Our vlsiort is a wortd ￿ere peowe work Iwer to resolve ctsillth and promole Feacefvl and irtjusive socielie$. Our misslon is to provide practul supwxt to help people affected by vident confflict xhieve lasting pe￿. We draw on our shared experiences to improve peaceLwilding policies and yxtiee v￿rkIwide. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Objectives andxtivibes (continued) The Trustee5 have paid due regard lo the Charity CommissK)n's GUida￿e on Publ￿ Benefit when determining the activities of Conciliation ReSOLwces vthich has the purpose5 of.. 'Ihe advartement of hum8n rights, conflict resolution or reeonaliation or the womotion of religous or r￿al h*mony or elwalty and diversty". Our ambrtion (impadl is that wll make swjiwficanl and dwmented COntrib￿lon5 to preventing and transforming violent confl￿$ ar>J womoling r￿e[u1 arrfi ind￿1Ve $￿19t1e$. Concilialion Resources, 2025 strateg￿ Plan, "8uWdW￿ B8tterPe￿-. sets wt fwr goals cOrres￿nding strategic ouleomes.. Goal 1: Adaptive and alternative paths to peace Pea¢ebuilding ovwcunes barrier5 to creating peaceful socaetses Goal 2: Connectlng people and peace efforts Mofe coherent initiatNe$ help prevent aTrJ redL￿e vident conllict Goal 3: In¢luston* gend•r and Inlluenc• Exduded groups influence apwoaS*s to building pe Goal 4: People centred policy Inteinational pexebuilding support puts peOe first Our organisaty'onal values bLrth support arka underpin evwthirwJ * do aNI seek to athieve." Collabornlion. We believe that everytw affected by cMrI￿t has a stake in peace. We work to create peacefvl and indusive change wthin sociebes in partnership w4th Ilxal people, to respxKI lo wolence, inequality, injustice and ex¢lusi¢)n. Challenge.. We believe that peace can only come aboLrt rf people h￿e a chance to better understand their ¢ontlict and if drfficurt conversations are between allies ar#J adVe￿anes. We stand a￿n9￿d& those who. wth Courage and inlegrrty, reach ￿Jt acro$s conflict divides. Crnalivity.. We believe tha FexebuikJir¥J to be fflex￿le and adaptive lo the specific and evofving realities of each conflicl context. We supptr( innovakn.ve ways to influer￿e charBe. and W￿ slwe instyts from pets￿e's lived experience glof>ally lo buAd t￿lectIve knrhwledge and experti'se. Commrfment.. We believe that building sustainable peace takes b"me. Thafs why we make lorKJ-terni commitrnen¢$ to support just and res¢lient transrtions frc¥n protracted confi￿1 to lasting peace. To help deliver the 2025 Str*egic Plan. 700 have OevelopEd arNJ costed a fve-year Operational Plan under the following hgadings, wth goal lead5 allocated to senior slaff.. Operational Goal 1. Invest in staff Operattonal Goal 2. Imiest in Partne￿hIpS Operational Goal 3. Locate and equip staff to wovi(* effedive pea￿bUilding supwt Operatr'onal Goal 4. Keep pewe safe Operational Goal 5. Deveky 8viden¢e. leaming and crealivty Operational Goal 6. Ensure impadfvl external commun￿atror Operational Goal 7. Se￿￿ suffiaent. fiexible income Operational Goal 8. Ensure effKient financid syslems ar#a prcwses Seh¢ted achlev•ments In 2020 In 2020, we focused on imwoving htrw peace is tru"tt. V¥txkw towards ow r*w StrategK Goals, we SI￿ght to bring about change in four importanl areas. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Objètlives andactivities {conlInu￿fj GOAL 1. ADAPTIVE AND ALTERNATIVE PATHS TO PEACE PEACEBUILDING OVERCOMES BARRIERS TO CREATING PEACEFUL SOCIETIES Through)Lrt 2020. wtrule the global p¥*JeM￿ ¥*ead, continued to supwt multiple Feaee rrfocesses, adapts'ng work to respond to the changing contexts and conffl￿t ¢tynamics. INe pJt"cularly SOLvJht to erw with Ihose whose attitudes, perCePt￿nS and pol￿e5 are ￿Starrt to peaceful change. Using dialogue and mediati￿. we enabled Feople In corfflict to reach mutually ￿ceptab￿ compromise. In Nigeria for example, we worked closely with commun1t￿S impacted by C￿nIc1 between famieTS and herders, or9anising dialogue sessions vthich resultefj in the stgning of a number of peace agreements btheen the groups. Al the same bme, we provi¢Jed remote facilitation support lo enable the Aut0￿m¢XJs Bougainvil* Govemmenl and Goverrhmenl of Papua New Guinea to move forwardswth thwr inter-wemmenlal post-referendum do109ue process. We also wlinued high- level dialogue processes in Souitt Asra, successfulty L¥inging Ihese onh'ne. In both poI￿Y and public spheres, we aimed to shfft disc(xJr5e away from divisive larouage towards a more eonslructNe approach, which ￿tainS drffering perspectives. Through film. TV and me(lia. we sparked discussion and challenged people in countries affected ttry conflict lo see attemative viewinls in relalitsi to confiici issues. In ihe South Caucasus, the public ￿lease of a film looking at the history of the Karabakh Confl￿ stsmuk8leO considerable online debate. Durirsg and after ￿neWedWa1 trtheen Amenia and Azerbaijan. we also provhled ar￿lYSIS oflhe politbcal context forthe fighting and highlighted humanitarian needs. In Ethiop￿, produce¢J and shared televised ¢jI￿v$s**nS. to enaNe those working within the communty to speak up on polrtical issues. In several loeats"w$, we raised awareness, helFed dispel myths and irkn Peop￿ about the cororbavirus pandemic. This induded In notheasl Nigeria, where young people shared key messages- both around the virus, also about emergiry confiict dynamics - lo improve PU￿1¢ response5. In AbkhaJ"a in the South CaU￿Sus, our partners reached the most VLtlnerable wlh supplies and provided accurate WI￿1¢ information through Ihe reach of ¢i¥il so¢￿ty nefv￿rks. We continued to work to ts¢kle lega￿e5 of past v*)lents, particularly in refatton to the Georgian-Abkhaz confltct in the South Caucasus through our 'Memory Project.. F(Kusing on fleXI￿.11ty aThJ adaptation through our lead of the Smart Peace ConSc￿lIVffl, we learnt important lesws this year in overcoming obstsdes bkxk Feace - Chan￿n9 our approaches and refining our confiict anatysis in response to COVID-19. GOAL 2. CONNECTING PEOPLE AND PEACE EFFORTS MORE COHERENT INITIATIVES HELP PREVENT AND REDUCE VIOLENT CONFLICT Des￿le the challenges posed by COVIO-19 xro55 Ihe wodd and in the contexts in which ￿ work. we ecrtinue¢l to strengthen the various ne￿orkS and peace initiatives we 5UPWt. Wlh a on collaboration, and linkn'ng different efforts and approaehes to tsJildirYJ peace, we iwked to improve relat￿nShIpS aThJ leaming ketween people working for peace. Wlh partners. we adapted our ￿acebuikdIThj work. firKlirvJ new arKI creatrve %wJys of bringing people together and making use of virlual spaces. In the Pacific, we raised awarer￿sS of the challenge5 of dimate change within affected Fijian communities through a bY￿d I￿person and on-line event. And in 8ougainwlle. Papua New Guinga. we broLbght community leaders logether to anatyse conflict issues and identsfy resportses needed. irKluding to mitigate risks of esealalirwj Violence du2 to COVID- 19. Building peacebuilding eapabililies and skills al a ccmnmunty level and then connecting Ihese with offici81 structures. n*'onal and international p￿sSeS, 15 a key aspect of wh* we do. In 2020, our work wihin communities in Bossangoa in the Central African Republic, was fecognised as having had a posrtNe impat# by the authorities. antl conneCtir￿ youth th decision-makers, resulted in kxal mayors actively 8pproaching youTrJ people for eonflici analysis and advice. Our continued supp¢Nt of Communty Security Working Gr(xJps in Mindanao. the Phdippines, contributed lo a greater understsnding and cooperative working relationship befv￿n communities and the authorities. While in the Somali Regional Slate ofEthiopia, hel￿n9 establish a V￿lmS and survivors neh¥ork mearrt that peopk who have been impacted by the violence were a￿e to ￿r￿¢t with Witi'cal groups and urKlerstand hthv to advccale for their rights. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 As part of our SUPF¥Nt lo Vkrfnen Mediators a(X0￿ th8 crxnm0Th￿1Ih, we organised online events through￿t the year and provided an important Wlorm for women from diverse contexts to stsy con￿Cted. and together adapt lo new eonllict dynamics caused by the pandemic. also worked collatK)rattvely to create online tools. for example in South Asia. the developrnent of an online plaffomi linked people on eiihw side of the Line of Control in Kashmir lo share infarmalitm about the panfjemic and improve resFonses. In addrtK)n, through our Conne¢1￿ to mediatEUr, we contributed to a publicly available digrtal tracking toc4 to examine the consequences oflhe pandern￿on peace pro￿$Se$ and armed ¢￿fli￿ across the wcrt. GOAL 3. INCLUSION. GENDER AND INFLUENCE EXCLUOED GROUPS INFLUENCE APPROACHES TO 8UILDIIIG PEACE During 2020, we increased our work to erKourage tr￿00￿eT and more diverse partiapation in peace processes, taking an intersectKJnal apprrjach lo challe￿e F¥Mf aThJ wivilege. In pa￿"CUlar. we W0￿ed with women and young people in all the contexts in whith we operate. Despite challeNJes posed ty the PanrfeM￿. we conbn￿l to create spaces where women's voices could be heard, aTrJ supported *￿rnen peacebuilding leaders in ￿a¢e5 as Bougainville. Papua New Guinea and Jammu and Kashrnir. In Kenya, we Sustained OUT SUPPOrt kn women peacebuldws thTfAth tr* esL*blishmenl of a peeT.tOthpeer learning and mentoring Scherne, wth members of Women Mediators across the Commorweatth. We also established the Strategic media11￿ Fund, a small grants initiative. sUpw￿"n9 membws of the IAi)men Medialors acfoss the Commonwealth nefvthk lo engage in a variety of different mediation pr(￿esSeS in their contexts. Ourwstained WO￿ wilh young people e￿raged them lo be ieadersfor peac£. Vle further devew ouryoulh Peace Plarfoms in northeast Nigeria, wrth the young people ￿aYIng an ifflportant role in responses to both ¢onfiict and the pandem￿. Likewise, in the Central African RepU￿1c, young people V*rsrk wth athely resolved confiicts and posstively infiuenced relabonships beh¥een drtrerent groups. They also use<1 their skills to anatyse the potential for ¢onllict - mawng likdy COVIO-19 hotspot areas arKI assessing h(w the pandemic could interxt existing causes of conflict. In South Asia, we increased the Pa￿apati()n ol youro people in peacebuilding initiats.ves on either SKle of the Line of Control in Kashmir. In addrtion, we farylilaied youth group5 in drverent parts of Pakistan-aéministÈred Kashmir lo create joint strategies to increase informatKJn sharing. and reSP￿d to the COVID-19 crisis and ils Impacts. Through various inrtiatives, together wth w wtners we worked wth thverse communities to ensu￿ they had the opportunib.es lo air Iherr views and participate in the peace processes that impact them. In MirKlanao, the Philippings, this included making peO￿e aware of the ongoing imtyefflentsb'on of the pea¢e agreement and how it affects them, particul¥ty bringing into the conversation5 bw)men, youth and irxlbgenou5 people. In Fiji. the public broadcast of thirteen Tvepisodes relating to ygnificant conflict issues, meant peo￿ wefe ofand c4wkl then comment onlhese tOPlC5. including those relating to the impads of climate change and COVID-19. GOAL 4. PEOPLE CENTRED POLICY INTERNATIONAL PEACEBUILDING SUPPORT PUTS PEOPLE FIRST Thi5 year, ourwork lo make the case for a peoFle-centred to corflict prevents.on and peacebuAding progressed steadily. We enhanced underslandirig of how to promote meaningfvl pa￿cipation, diversFty and justice in practical ways I￿Ough both the produdiDn of publications and iewurces. W conl* wrth and deusion-makers. Through MedialEUr, we helped supwt and strengthen medialKn WaCts.￿ wthin the EU, including thr￿gh the provision of coaching for high-level offKials. In the UK. logelher tmth a core group of NGOS we produL>d Tr￿nt briefing notes to infom) p(A¢y thinking on the re4x)nse lo the pandemic. coverirKJ tr￿$th rts irnpact on cOnfl￿t and opportunities for better peaeè support. hdped sustain the work ofthe UK Tri-Se¢trff Wbrking Group, compnsin9 NGOS, banks and the UK Government, to reduce the negative impa¢t of ¢wnter-terrorism laws and san¢tsons on hurnanitarian and peacebuilding work. AJongsKle thts, we shared infomiation arKI lessons in internatwl fora dedicated to this issue. Co118trwating with others as part of the Peace Research Partnership and Polrtical Settlements Reseaich Programme, Wg published a number of expert reports. These provmled pradical kntr￿edge and leaming Irom peace PToce55es around theworld, arKJ had a strong focu5 cn hrhvto enwre greater Inclu￿On. Vle more wdely t1isseminated our Gender- Sensitive Conflict Analysis Facilitat￿ Guide. and womoted its integration into donor 9ovemmenls' and pe8￿buIldIng partners. inleTnal confflict anaty￿S guidance. Our L4tesl Accord pL￿1￿tion, explored how lo initiate and kick-slart peace prttesses, was p￿ented to ¢*verse audiertts arouThJ Ihe world via online discussior6. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Our work in sevwal contexts provKled communty peacetrwjilders, irtluding yOLrth representatives, acce5S to officials to help them shape the w1￿•eS and approaches of the aLrttrKyn"ts"es in ￿Spo￿ to both confflicl atKI the COVID-19 pandernie. This included yourrfJ Feople in the Central African RepuNic, as well a5 parts of Jammu and Kashmir. In contsnualion of our advocacy around the nee¢J for women's recognrtion and induson in Pea￿ processes, we supported the Wornen Mediators acros5 the Cornm0n￿atth network to Share the importance of thwr work wyth the UK govemmenl and Commonwealth member slate representatives. And we faulrtated *￿ing gr0￿S as part of the annual meeliry of the Global Alliance of Regiwl Women Mediator NetW*Y)rks. 2020 in Numbers In 2020 we- INorked with 70 partners Supported 140 different kKal peace structure5 Focused on 19 corfflict ￿fttexts EThJaged wrth 54 arrned groups Reached 14.382 young people Share¢J vf(al inftxmatK)n on COVID-19 shared with 266.1)00 Feople Hosted 2J2 online workshops and events. Worked with 96 wcffnen's groups Held 371 community dialo9ue events in Niwia with 11.225 parhcipanls. Produced 43 publications and films whth were downbaded or Watc￿ 33.574 times. Listened to the views of 101 young fomier amied group membe(s in the Central Afn¢an Republi¢ Supported a ne￿ork of 49 women mediators across 22 ComM¢￿Wealth COLffttr*$ Publications and Other Resources Produud in 2020 Mulllm¢dla Film.. Accord 29 - 8iJildin olilical will lor dial ue.. thwa sto eace talks in Colombia Film.. Accord 29 - From as Ire to disaimament ￿thout states." lessons from the Bas ue Counl Film.. Accord 29 - Unslickin stalled ace ccesses.. Insider mediator ¢tives from anmar Film.. Accord 29 - Vvalkin lor eace". Camel Caravan In northern Ken Film." An exhibition - Corridors of Confiicl." Abkhazia 1989-1995 Film." Climate Chan e Relocation and Peacebuildin in Fi i Anna Anisi Film- Clirnate Chan e Relo¢alion and Peacebuildin In Fi - Jon 8arne*t Film.- Climate Chan e Relocation and Pea¢ebuildin in Fi - Jonathan Col)en Film" Con¢iSialion Resour￿$ 25 ears of acebuildin Film.. nder-sensitive nflict anal 51s." Lesson5 from Yemen arKI Ni Film.. Jonathan Cohen introdu Reima Icto Film". Parts of a Circle." Histo of the Karabakh Conflid Film.. Public attitudes In Ja an towards eacebuildin and dial Film.. Smart Peace.. collaboratin for ada live acebuildin Film.. Wh connectin women mediators works Video.. Bnd Elizabeth Sdomon Video." 8rid Mable Chawi Video." Brid the - Emma Leslie Video.. Brid the Salma Yusuf Video.. Brid the Lantana Bako Abdullahi Video.. #Peacemornents." Avaz Hasanov Video.. #Peacemornenls.. Bebhinn Mckinl Video.. #Peacemomenls. Caesar P0b1￿Ck$ Video". #Peacemomenls.. Elena Kuvichko Video". #Peacemoments.. Emil Deemin Video.. #Peacemomenls." Hudo Ahmed Video.. #Peacemomenls." Jonathan CoF*n Ideo.. #Peacemomenls". Kath n Tomlinson Video.. #Pe2ceMoments." Ruska E 3dze Video". #Peacemoments" Laurence 8roers Video." IIPeaceMomenls.' Tatiana Vivienne Video.. #Pea¢eMomenls' Vicloria Ca alici Video.. #Peacemomenls." Waleed Khan ue with armed ro 10 CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Publkations Accord Issue 29 Pioneeri ace Annual Review 2019 - 25 ears of buildin ace Gender-5ensitive ¢onflicl anal sis faulitators uide Listenin to oun eo le associated with armed Peace and securi in the Central African Re ublic Prornotin inclu510n throu h local eace structures Public attitudes Ja an toward5 eacebuildin and dial Strate ic Plan 2020-2025.. Buildin Better Pe￿e men fnediators. brid the eace Youn eo le and armed rou s in the Central African Re rou s in northwestem ntral African Re ublic ue wth arned rou b1￿." voices from 80 Flnan¢ial Review During 2020, Conciliation ReS￿[ceS undertook a rests￿l￿re fwmjed through a planned r&Juction in reSe￿e$, bnnging the programmes teams into three Prtsyamme Departments and Te-al￿ning the makeup and orientatKJn of the renamed Researth, Policy and Advisory Department. We also caLtliousty expanded or shrfted small amounts of prOgram￿￿S and support worf( lo our offices OLthide the UK, a pyocess that we anb"upate will u)ntinue 9radually in the ¢oming years. These changes ¢ame about after ￿￿ifiCant planning and ¢Th)Su￿￿On in 2018 and 2019 and required significant invesbnent through the Operatsonal Plan 2020-2025. The Slalement of Finanaal Activities shows net In￿Me of £6,703 12019 - £10,703} for the year arKI total funds availab￿ stst>J al £1,992,94612019 - £1.848.4421. We will undertake a 'spending down. of reserves in 2021 to reach our reserves ceiling. fvnd the ￿ntInUed embedding of this now structure as wdl as the conlinualion of severa uitKal peace processes and cther peacebuil(thng programme5. This progress in 2020 built on the work in 2019 consolKJating"intemal strudures aThY processes, parti¢ularlytho$e related lo safety and compliance, human resources. financia management, communications an(J fundraising. Wrth further tAanned investment and necessary ￿SeNe$ reduction in 2021. believe the organisation is in a reasonable position to pursue sustainable finances and a relum to a small suWus in 2022. Conciliation Resources incclne has irueased to £9.336,001 {2019- £8.840.6841 Tellecting a small inerease in the size of several programmes 1k5y.le the pandemic. The level of deferraj irKome, fijnds r￿1ved from donors although not yet rKognised a5 income against prc¥4rawnme expenditure can be matched increased to £3,848,330 {2019 _ £2.280,0801', see note 16. A contract ty contrxt levd rwew iirfornis the declsion as lo whether income should be reclwnised in the current year or whether rt is recogni4ed as defe(￿ income {fvrther infwmatxjn is included in Note 1 Income Recognition). The ev0￿1n9 and welcrane foujs on s*guwding, keeping staff and people we interact wth safe, alongside evolving regulatory requirements such as the devekjpment of the UK'$ sanciions regime. will all require continLred attents"¢Jn an¢J inueased fina￿la1 resources in the years *￿a¢ io the natwe and Trocatffi of our V*Y>fk. Increagn9ly, donorfunds are allocated to short tem projects or large ¢Ms0￿UmS inste￿1 ofproviding strale9ic fle￿bIlItY over a longer wod. Conciliation Resources continues to plan, •Japt and adjust to these ch8rvJing and emerging trends I1￿oUgh our Fundraising Strategy which now incorporates a SI￿h1 shrft to diversrfi&￿1on and incorne Slreams. The challenge of recovering organisats"on* support cosls at an appropriate level has reCen￿Y been amplrfied by reductions in overall UK Aid and significant difficults"e$ and uncertainty in accessitYJ fvnding and partnership from the European Union. This is occurring at a time when extemal r￿ul￿rnents ￿ tecoming increasingly complex, coslty and lime n5uming lo manage. Concih"ation Resources is fortun*e to have the SUFWt of the Swedish Intemational Development Cooperatson Agency (Smlal for the period 2020 - 2023. This conb.nues the b)ngstanding and much valued relaiKJnship bew our kn¥0 98ntsats"on$. CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Prfnclpal Flnancl•l ljlanagement Pollcles Coneiliats'on Resources has financial regulab.ons and ccfitrol Folictes set up and reviewed wulady. These set out the allocation of financial management responsibilrt*s. idents"￿.ng lines of repo￿ng for all a¥e¢ls of operations. induding ntiols. wlh the delegation of authority and re¥￿n￿bill￿e$ dearty defined. Conciliation ResOu￿S uses a nominal ledgei coding systern for all financial transactsons. In 2020. the finance team. under the direct￿n ofthe Finance D1￿CtOr. su¢cesslully overhauled the enti￿ cross-organisatK>nal finarrial ac0￿n￿n9 and m￿l￿gement system and prLwses a5 part of a shift of accountsng software. Regardless of wojeGt simplicity or complexity. all project expenditure is ched(ed against budget 8rKI authoiised by the appropriate budgel-holder, who is resFonsible for ensuring that expendrture Temains within budget. 11 is then double- checked by iwo authorised signatories before any payrnent is maje. An annual planning Frf0￿$ is camed c￿[ by all bjdget-hoiders covering their proposed wcAk for the uKroming pgriod along with a fundraising plan, finanoal budget and ca5hfltxv. This infNmalion is reviewed by Ihe Executive Management Team and cross-organisational functions, such as safety arKJ e4ynplianee. mmrttyry and evaluation and finance A consolidated report IS Presented to Board of Twstees ￿ tr*ir eTrJoTsement at the final Board meeting of the year. Every months. the Finance Team meets wth bU￿￿-h￿derS to discuss the respective management accounts and Changes in planned a¢bvits"es that may impact the annual finances ¢Y cashll¢)w. In 2020, these meeth.ngs induded cautious ests'mates regar¢Jing the imp* of the parKlemic on our own as ¥￿11 as parthefs operations and the impact this would have on recoverable funding. These team fOr￿aSts are ¢onsdidated into a refweca5t of expected ineome and expenditure eaeh Quarter arid are presented to the Board of Trustees for their awareness and consideration. Concilialion Resources operates In four main cUrr￿CleS. AvthI1￿ doNar, Euro. US doI￿r and Pound Sterling. In 2020. we also held acC￿jnIS in Swedish Krona and Nopwian Krone. An account is hekl in each currency and no significant amounts are held outside of the UK. We ants"cipate that this will change in 2021 85 SUPW)rt str￿tUreS outSKle the UK mature lo include sufficient and efficient financial controls and administratNe capacty. Exchange rate risk is congdered ￿ a prqect and organiSat￿n81 bevel on a roling bag's. Cwery exchange rates a monitored by the Finan￿ Director, vrtKJ %￿rkS with the Finan￿ Team to ensure thal incoming funds are deposited into the appropnate account, and IraDsfefs are made in a limety manner. Prq"ects that are planned based on irKome in a forwgn currency carry an elerrffit of risk thal is identsfied and ￿$p￿Ie￿ to at the proiect ￿annIng phase. Funding to partners is made in a currerty tha is agreed wth the par￿, to feduce exthange rate risk to the partr*r witht>Jt creating ￿n￿a$Mable risk to Conciliat￿n Resources. Overseas expenditure is wedominantty in USD. Prlncipal Funding Sour¢•s The prinapal funding sources for the charity are currenty grant income * (kjnations mainly from governments and charitable organisab"ons. Further detsils of fvnding are pwded in notes 2 ar¥J 3 to Ihe Financial Statements. Investment Powers and Policy Conciliatth Resources recwved income through d￿￿t10T￿. grants. propct income and other Sources. Cowlialion ReSoUr￿S plans its activities over one, three and five-year time horizons and budgets to use all antiupaled income. The only funds that Conciliation Resour¢e$ hohjs that are nc4 expendable wthin 12 months of receipt are reserves and any grants or ￿tracts for activitses over a longer period. The w)licy for investment is outlined in our Ethical Fundraising and Investment Policy. currenty rdain funds as place th¥n on t)ard( depostrt. ￿ on *￿$11 with the COIF Challties Oeposil Fund. 12 CONCILIA TION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Reser¥•s Policy conciliats.on Resources aim5 to keep a wdenl *wking I)*￿e of unrestricted reserves lo c4)ver future contrathal liabl1￿.e$, mainly staff saJarie5 and rent, to ensure that organisation has SLffl￿ent funds for the orderly winding dow of aGtivittes in the event that the organisab.on had to dose. Thi5 amount is set al £756,000 in 2021 followng a calculation ontained in the Reserves Policy. In addition to the reserves. to ensure cashfithv arbj the atxlty to pre-f￿￿1 thDrk that is fvnded in auears. or to respond lo emergen¢y situations, the organi&7kn also retsins an operabonal fuThJ that is buitt around a full month of programmatic adivity costs. This amount is set at £356.￿0 in 2021. The Un￿Stn"Cted funds balance althe eThJ of theyear under ieviewwas£1,992,946. This balance includes a contirgwKy of£53,368 deS￿nated by the trustees towards unforeseen staff ￿Sts. The level of designated funds will be reviewed in 2021. Olthe total reserves ￿ at the end of the yew, £84.479 was ift fixed assets. Cffjsequentty. the Charity has free resetves of £1.655,099. The Bowd of TFu5tees keeps the reseryes under regul¥ rev*4V and p¥licular attentr.on vill te given lo tho inueasir¥Jly global spread of finanaal risk and liabilty as and when the Board and EMT decide to provide the non- London office staff w.th weased dwect finan(aal management responS￿lIrty. Plans for the Fulure De5￿te the challenges olthe pandemic. a char￿Ing UK ￿"0 funding environment and the ongoing conSequer￿eS of the UK'S departure from the EuroFean Union. the Trustees are pleased wth the first year of fv 2020-2025 Strategic Plan and the 202￿2025 Operat￿nal Plan. We are having a posth've impact aTrJ we see a continL*d nee(J for our work and our pea¢ebuilding approxh. INe believe that w message ￿ conb"nuing lo gain traction. Most recently, an impact evaluation of 2010-2020 commissioned ty the Federal Department of Foreign Affairs IFDFAI confirmed qualtyinpirt topeaceburfth"ngpnKesses ￿sUltIng in ￿ntifIablep0Srt•ve changes in specil confi￿1 and policy contexts" aTrJ also commended sWrf￿t structural, system and process adaptslions in recent years. Now that the organisation has been restrudured. over ts next 2 years we wll not be seeking S￿￿￿ca￿t gro1￿ of the overall budget or stsff Instead we will be seeking lo improve our Systems and processes and lo develop our internal workflows, financial modd. intematior￿l governance approach and intemational office stnxlure in particular. An ongoing'Affi"ca Needs Assessment. may lead to swificant d￿ngeS for our work aTrJ tyganis*ional setup in that area. The Board and EMTagreed in 2019 that tt)e op￿*￿￿31 Flan sPuJJd be furKled in 2020 and 2021 through the ne¢essary reducts.on of financial reserve5 in line Ythh the Reserves Policy. The purpose of the investrnent proce55 IS to fund the Operational Plan to help us better ddiver Lwr Strategic Plan. and lo emerge in 2022 with a sustainable organisalion and a more sustainable ftnancL41 mtsjel lo face the evolving extemal environment. Tr fvnds available from reserves will not cover the entire Operational Flan additional fLJnds will be sought from donors and partners The amwnt available has been further red￿d by the impact of the pandern￿ aTra cautw around pending and evolving cuts lo UK Aid requiring the redireth'on ofsome reseThes spending. ￿lIstWe are contentthat we have $Lrff￿￿I ftjnds and conts"ngency plans to respond lo the current bjnding Testrirliorts. we are aware thatlhe s￿u81)I￿ may bec￿ne even more constrained in the near future and we conb.nue lo plan for a range of severe scenarios. In November 2019. ￿ Board aprrtoved a reTrrrised Financial Model that (￿￿71neS art approach lo allocating funds across our areas of Y￿rk that ackn￿w1edge5 that contiThJity and long term partnership are necessary elements of good Feacebuihding and seeks to ensure a level of flexibilty lo ena￿e this. During 2020, we buim int￿nal understarKling of Ihis mod?1 and pul in plxe the team Mar￿ernerrt lo work Irmards ful alfjnment wth the model from 2022 as planned. We are aware that a reducts'on in direct unreStr￿tea fitnth.ng alor¥JsKJe ￿ntr"nL￿d donor hesitsncy to ¢over support costs would challenge the premises of r¥Jr firtanoal model and will conts.nue to make the case for long term support as we seek to avo￿ further projectisatiM of long teryn pexebuilding. Concilialion Resources. our partnws and tr* communrties we with conts.nue to be affected by the coronavirus pandernic. From February 2020, we focussed ￿ safety before pivoting to short and I￿g term adapt*ion and contingency ￿anning. Most of our staff have wcrfked frffii home for most of the year. 13 CONCILIATION RESOURCES REPORT OF THE DIRECTORS AND TRUSTEES YEAR ENDED 31 DECEMBER 2020 Plans for the Future Icontinuedl In many conlexls Whe￿ we work, the impact has been significanty less severe than in the UK where most of our staff are based. Despite the iestnction on travel. partvjlarty in and ¢xrt of the UK, peaCe￿JIk1i￿g wcwn or suspected instances of non-compl*nce wth laws and regulats.on and fraud., - Evaluatirvj management's conlrc4s designed to prevent and detecl irregularities,. - Review of minutes of meeting5 10 identify expected material amounts of vdunlary income,. 1denl1￿.ng and lesb'ng joumals. in particular ioumal enth.es posted wth unusual account comts'nations. postings by unusual usets or unusual descriptions,. and - Challenging assLwnptsons and iu(fvJemenls made by management ￿ th￿rCrItICal ace(￿nting estimates. including review of Iw grant income has been recognised at the year erKI. A fijrther description of our responsibilrties lor the of the frtanc3al Stst￿ents is loc*ed on the Financial Report Council's websrte at.. www.frc.o .uklauditorsres nsibilities. This desuipts'on foms part of our audilofs report. Use of our report This report is made Sol?￿ to the charitsble ¢(xnpanYs memiws. a$ a bth, in accordance wth Chapter 3 of Part 16 of the Companies Act 2006. Our audrt work has been undertaken so that we might stsle to the charitable company's members those matters we are fequired to sL*e lo them in an Audit￿$ report and fry no other purpose. To the fullest extent pemiitted by law. we do not accept or assume ￿SkX￿sibIlty to anyone other than the charitable company and the charitable o)mpany's members as a l)ty*. for our a￿lit w(Yk, for this report. or forthe O￿nI1￿￿ we have fom)ed. Steven Harper (Senior Statutory Audrtor) For and on behalf of Haysmacintyre LLP ststulory Auditofs 10 Queen Street Place London EC4R 1AG 27 May 2021 18 CONCILIATION RESOURCES STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING AN INCOME AND EXPENDITURE AccouNr) YEAR ENDED 31 DECEMBER 2020 Unrestrlcted Reytrlthd Total funds funds 2020 Tolal 2019 Income from: Donations and legacies 856.452 856,452 2.013,516 Charitable acts'vrtie5 82.956 8,394.419 8,477,375 6,822,556 Investments 2,174 2,174 4,612 Total in¢om• 941.582 8.394.419 9.336.fy)1 8,840,684 Expenditure on: Raising funds 152,935 152.935 150,321 Charitable activities 747,338 8.429.025 9.176.363 8.679,860 Total •xpendltur• 9CKJ.273 8,429.025 9.329.298 8.829,981 Not inc<¥nellexpendlturn) 41.309 {34.6061 6,703 10,703 Translers betsveen funds 19 {34,6061 34.6C F¢yeign exdwge wnslllosses) 137.801 137.801 Net movement In funds 144,504 144,504 10,703 Re¢on¢lliation of funds." Total funds Ixought fowar(I 1.848.442 1,848,442 1.837,739 Total funds carried fornard 19 1.992.946 1.992,946 1,848.442 The Statement of Finanoal Ac*vibes also complies the requirement for an Inc4Th & Expendilure Account under the Companies Act 2006. AJI income and exF*ThJrture deiives from ¢onb"nuing acbvthes. The Stslernenl of Financial Adirfies indudes all gan5 arbJ losses [wn￿e￿￿ during Ihe y￿. Full comparative figures for the year eThJed 31 December 2019 are SI￿ in note 26. The ac¢ompanying rnte5 fomi part olthese Fir￿nCIal St*ments. 19 CONCILIATION RESOURCES BALANCE SHEET AT 31 DECEMBER 2020 Company Reglstration No. 03196482 202 2019 Note5 FIX￿ assets Intangible fixeil assets Tangible fixed assels 12 13 3,418 81.￿1 65,929 84.479 65,929 Current assets Debtors Cash at bank and in h￿d 14 1.170,692 5.706.012 1,086,940 4.076,597 6.876.704 5,163,537 Creditors: amounts falling due within one year 15 14,873.6471 (3.287,7401 Net Current assets 2.003.057 1.875,797 ProvisK 18 {94.590) 193.284> Total Nèt assets 1,992.946 1.848,442 Charity Funds Unw3tricted funds Genefal funds Designated fiJnd5 19 19 1.939.578 53.368 1,795,074 53.368 Restricted funds 19 TOTAL FUNDS 1.992.946 1.848.442 Thg financial statements aFPToved arthorised loi issue by the Board of Directors and Trustees on 27 May 2021 and were signed on ts behalf by". . O Good (Director and Chair of Trnstees) /w .. T Hansen (Company Secretsryl The accompanying notes form part of these Financol Stat￿ents. 20 CONCILIATION RESOURCES STATEMENT OF CASH FLOWS AT 31 DECEMBER 2020 2020 2019 Cash flow lyom op•rating athities 1.541.368 1,289,023 Nel cash flow providod by operntlng xtivitles 1.541,368 1,289,023 Cash flows from Investlng actlvit•es Purchase oftsThJifie fixed assets Additions to intangible fixed assets Dividend and interest receivable (48,1991 122.205) 13.7291 2,174 4.612 Net cash lused In)1 provldad by In¥estlng actlvltles (49.7541 (17,5931 Increaselldgcrease) In cash and cash gquivalents In the year 1.491.614 1.271.430 Cash and cash equivalerrts at the beginnir¥J of the year 4.076,597 2,742,503 Change in ¢8sh and cash equivalents due to exdi* rate movements 137,801 62,664 Total cash and cash equlval•nts al y￿r end 5,7ths.012 4,076,597 Cash and cash equivalents cons15ts Of: Cash at bank antj in han¢Y 5.7C6.012 4.076,597 Cash and cash equlvalents al 31 Dec•mbgr 5.706.012 4.076.597 The ￿cOmpanY1ng notes form part ofthese Finanoal Stalements. 21 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 1. Summary of signifirant accounllng polici•s The significant accounting pdicies appfied in the pfepafab.on of these finarKial slalements a￿ set out below. The aCC￿nting polKies have been aFplied consistenty thr0￿1￿xrt the year and in the preceding year. unless otherwise 8a¥is of Proparalion of Accounts and Genernl Infombation cC￿lI1a110n Resources 1$ a chantat4e company in the United Kingdom. In Ihe event ofthe charsty being wouThJ up, the liability in Te$pe¢t of the guarantee is limrted lo £1 per member of the charity. address of the registefed office is given in the charity information on page 2 of these finanual statement$. The n*ure of the charity's operations wincipal activrt*s a￿ included in the Rely￿1 of the Direc￿ and T￿￿. The tharty constitutes a public benefft enlrty as defined by FRS 102. The financial statements have been prepared in accofdance ￿￿th Accounting and ReportirvJ by Charib"es." Statement of Recommended Practice applicable lo charities preparing their accounts in accor(larte wlh the Financial Rewrting Standartl applicable in the UK and Republic of Ireland IFRS 1021, the Finanoal Reporbng Standard appltsbbe in the United Kingdom and Reputlic of Ireland IFRS 1021, the Charits"es Act 2011, the Companies Act 21YJ6 and UK Generally Accepted Practice as il appI￿S from 1 January 2019. The financial $18tements have been prepared on a goirvj COr￿ern tra￿S under the historical cost ¢￿VentiOn. The financial statements are p￿pared rn sterting wlKh is the furKlronal alrrery of the chanty. The accounts are rounded to the nearest pound. Golng Concem The Direclors are required, under the rules ty)verrMrwJ the prepara(￿Tr of accounts. to cons#Jer each year whether it is appropriate to prepare the accounts on a goirwJ ¢0￿M basis. This wuires ttlem. therefore, to take a view that the charty can continue in operation for the foreseeable frjlure. Over the year 2020, Conciliation ReSoUr￿S has grown and man* to WKlen its institutional fvnding streams, providing a more diverse funth.ng base coming into 2021, however, the￿ have been reduclions in funding and other challenges, parti￿larlY the orerational challertyes. both in the UK and overseas. arising from the impact of the pandemic The Dire¢tOfS have revw•4ed the fLrture requirements of conciliab.on Resources and the likely levels of financing, a $ignrfKanl amount ofwhÈch has already been Secu￿ for 2021. as well as the sats'sfactory levels ofcash and r8seTves which it holds. Accordingly, the Directors are sats"sfied that resoLKces are fvlly adequate for the foreseeable fvture and that it is appropriate that the accourrts Sh￿￿1 be prepared on the going concem ￿ls. Income R¢cognilion All ineome is included in the St*ement of Fina￿81 Atht*s {SoFAI when the charty is legaly entitled to the income, after any performance condrtws have been met. when the arrK•unt can be measured reliabty and when il is probable that the inuyne will be received. Ir￿orne from donations, including grfts arKI grants that pro￿de core fundiThJ cff are of general nature, are recognised on receipt. unless there are COT¥Jthons attached to the dcK*tion that have to be satisfied before entrtlemenl can be obtained. In this Case income is dtsred until those condrtions are fvlly mel or the fuffilmenl of those wnditKJns is Mlhwi the control of t￿ chwty rt is probable Ihat ttw *711 be fuffilled. The charty receives grant irthme. including govemment grants, which pwdes fijnding to support its activities. Incomè from govemment grants arbj other grants are recogni5ed al fair valve when the charrty has an enti(lernent to Ft, when performance condrtions have been met. rt is probable that the income will be ￿te1Ve￿ and the amount can be measureil reliatty. If entillement CC*KlitKTh are r#)t met tlw these amounts a￿ ¢Jefefred. Investment irwme is reewsed on a rKeivthe basis. 22 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 1. Accounting Policies {continued Volunteerts and Donated Services and Facilities ete services that wwkj ncmialty be purchased from Suppliers are provided to the charrty free of tharge, this contribution is included as both income and expendf(ure in the financial statements at an estimate of the value of the contribub'on to the charity. There were no such dorth.ons dunng the year. During 2020, the charity had 2 vcAunteers wfv) mided 75 dtys of Unpa￿ workirwJ on various events and administrative tasks. It is not possible to measure with any reasonable accuracy. the monetary value of the contribution of these volunteers and therefore, no value ha5 1)een included in the Statement of Financial Activit*5. Ex￿ndItUre Recognilion All expen1Jrtu￿ is a¢counte(1 for on an a¢cruals bag.s. EXpw)thttj￿ 1$ recwised 7*tTrefe there is a legal or constructive obligaty.on to make payments to third partie5. rt is &xobable that the setuement wll be required and the amount of the obligation can be m8asured relia*. It is categw*&J under the following IwdiThJs.' Raising funds are those costs incurred in attrackn'ng voluntary contributions and donations, those in¢urred in tradirvj acljvities Ihat raise funt)5 arnj do not indude the costs of disseminating information in support of the Charitab￿ acti¥rties', Expenditure on charitabje activities indudes expenditu￿ assocraled wth the rna￿ cwives of the charty and include both ¢Jirect rxjsts and support costs relab.ng to thv&e ath'vities.. and Other expenditure represents those rtems r*Jt falliThJ into the categories atwe. rrecoVera￿e VAT is ¢harge(1 as an expense against the activty for whith expenditure arose. Support costs allocation Support costs are those that a￿st the of the (tsty do rNJt represent charrtable a¢tivrtie$ include Offi￿ costs, cc*nmunicalion5 costs. govemarKe costs, aTrJ prciect management Costs. They are incurred directly in support of expenditure on the objects of the charity. lthere support costs cannot direcly attributed lo particular headings. they have allocated io e&h prcrfJramme actNty based on the sixe of the programme expendrture a$ a prop¢Thn of the total expenditure on charitsble acamties aN1 raising furKIs. The analysis of these costs 1$ indLMled in note 7. Accounting for transfws to partne In delivering its charrtable actwrties, Cor￿11[a￿On Resourcesworks dosetywith a range of Ictal partners. The delivery of these charitable activities is n conjunction wrth Wl partners. On this basis. costs itKuffed by partners ar categorised wthin the accounts 85 direct costs Talher than as grants made, as In the tnJ51ees view this 1$ the most appropriate categ¢xy having conshlered Subsla￿e ofthe costs. Intangible A$$ets Intangible assets are 5tsted al cost less accumulated al￿rtisa￿On are amortised on a 5traight.line basis over th•r useful lives. The useful INes of intangible assets are as follry•o- Computer softwa Tanglble Fixed Ass•ts and D•prKialion Tangible fixesj assets are stated at ￿st less depreciat￿. The cost of minor additions or Ihose ¢ostrng less than £900 a￿ noi capita14sed Depreathn Fs provided at rates ¢alculaled lo vrtrte off the cost orvalualion offfxed assets, less the￿ estsmated residual value. over their expe¢led useful li¥es on a strawt line basi5" Computer Equipment off￿ Fumiture & Ftttings Leasehofd Lea5ehoJd Improvements 3 years 3 years 10 years 3 years 23 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STA TEMENTS YEAR ENDED 31 DECEMBER 2020 1. Accounting Policies Ic(bntinued) Debto Trade arKI other debtors are recognised atthe Sett￿MentamoUnt due after any trade di5tt￿nI Offe￿d. Prepaymenl$ are valued 81 the amount p￿pa￿l net of any trade discounts due. Creditors and Provislons Creditor5 and provisions are recognised tptherLthe charity has an obligakn al the sheet ¢Jate as a resum of past event. il is probable that an ouffiow of economic beneffts will be rewired in setuement and the amount can be reliably estimated. Creditors arKI pT0vis￿S are normally reccgni5ed at their settlement amount after allowing lor any discounts due. Financial Instruments The charty only has finanaal assets financi* liabilib.es of a kind thai qualify as basic financial inslrLwnents. Basic financial instruments are inrtialty recogni￿1 a¢ transaction aThJ subsequenuy measured at the settlemer value. Funds unreStr￿ted general f￿r￿S are available for Ltse al the disuetion crf the Truslees in fvrthera￿e of the genwal obj'edives of the charity and have rN)t been dewgnated fcff cther wrF*)ses. Desunated fvnds comprise unrestrKted funds that have been set a￿de by the Trustee5 specific purp)ses. The aim aThJ use of each designated fund is set out in the Th)tes to the finar￿al statwnents. Restricted funds are monies raised for. aTrJ their use restricted to. a Specif￿ purpose or donations Subject to donor- imposed conditions. The cost of faigng and administering such fiJrKJs is charged against the speofic fund. The aim and use of exh restricted ftThJ is sel QLrt in the notes lo the financial statements. Employee Benefiig hen employees have rendered seThice to the chanty. short-lerni employee benefits to which the em￿OyeeS are enlilled are reccgnised at the undiSc￿n1ed amount expeded to be paid in excharue for that sep41￿. The charity operates a ¢Jefined cLmtn"bLitth pensth for the benefit of its employees. cwtrIt￿t1Ons are expensed as they become payab￿. Tax The charty is an exempt charity within the meaning of s¢hethrfe 3 of the Charit￿5 Act 2011 and is Considered to pass the tests set out in Paragraph 1 schedu￿ 6 of the Finance ArA 2010. 11 therefore meets Ihe definition of a charrtable company for UK cOrp￿ab￿ tsx wposes. Foreign Curr•n¢y Monetary assets and liats"lib"es denominale(1 in foreKdn ¢urorKies are translated into steding at the rale of exchange ruling at the balar￿e Sheet dale. Transact￿n$ in foreign ¢vrrencies ￿ initialty recc￿ded al the rnte njling al the dale of the transaction. All drffererKe5 *e taken lo tl* Statement of Fir4ncaal Activilies. Critical accountlng judgements and key sour¢es of estimatlon uficertainty In the ap￿1¢allOn of the Charity's accwnting Fdmies. the Trustees are required to make judgements. estimates and assumptions about the cwrying amounts of assets and liabilities that are not readily apparent trom other sources. The estimates and assw*ed assumptions are based on historical exper*nce and other factors that are considered to be relevant. Adual resuAs may differ from these ests"males. The estimale5 and undertyin9 assumpts.ons are reviewed on an ongoing ba515. Revi&ons lo &ccwnb"ng estimates are rei>)gnised in the period in which the estimate is revised rf the reViS￿n affects onty that penod, or in the pemd of the revisicn and future periods If the revision affects both current and future penods. The Trustees do not consider there are any urtical judgements OT sources of estsmatton uncertainty affectiThJ assets or liabilities at the tkiL3nce sheet dale ￿1¢h is likely to result in a material adjustment to Ihwr carrying amount in the nexl ffinanaal year. 24 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 1. A¢counting Pollcies (continued) Operating lease agreements Renlals applicable to opeTatiffJ leases where substantiafy all of the beneffts and risks of ownership remain with the lessor are charged to the statement of finarrial actNities on a straight-11￿ basis over the period of the lease. 2. Income Imm donJllM$ and grnnts Total 2020 Total 2019 25,091 831.361 20,773 1,992,743 Grants 856,452 2.013,516 100%12019.' 100%) of unrestricted grants is attrit¥Jtable to ge(*3raphical 8rea$ outsKle the Unrted lQrylom. Income from d(Thtions and legao.es was £856.452 {2019- £2.013.516J all of ￿lch vrd$ attritxrtable to un￿striCted funds (2019- all)_ Grant i￿ome indudes £826.361 {2019 - £1.992.743) of government grants receivab￿ in the year. These grants were awarded as follovo" Total 2020 Total 2019 Federal Department of Foreign Affairs, Swedish Intematronal Developmwtt C4>0ptratiM Agew (SIDAI Irish Aid 167.400 613,932 45.029 145,197 1,697.81 S 149.731 826,361 1,992,743 3. Incon￿ from charllable adlvities Total 2020 Total 2019 Grants Other charitable income 8,475.979 1.396 6.797,733 24.823 8,477.375 6,822,556 Income from charitable &tiviti"es was £8,477.375 (2019- £6.822,55S) of*thich £8,394.419 {201￿ £6. 797,733) was attributable to restricted furthjs and £82.95612019- £24.823J was attributat4e to unrestricted fvnds. 25 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 3. Income Irom ¢haritable activities I￿ntinUed Gtant itome inclLMJes £7,658.089 (2019 - £6.231,270) of go¥emment grants fe¢eivaL* in the year. Th8 government grants rec￿Ved are Ident￿ by a" bdow. Totsl 2020 Tolal 2019 Accord. Polky. Practice Joseph Rowrlree ChaiitaLle TrusL UK European Union . Federal Department of Forthgn Affairs. SvthzeTL￿d Sasakawa Foundalion . Departrnent for Intemalional Development. UK Chemonics 35,609 4.977 70.261 64.008 3.822,963 18.460 33,499 4,994 15 130,418 471,350 4,016.278 640,276 Caucasus ' European Union ' Federal Department of For*gn Affairs, Swtrerfand ' UK'S Conflict. Stability and Securty Fund COBERM SvAssPeace Sigrid RausirKJ Trust (29,8861 158,545 114.385 12,827 42,386 53.508 256,978 105,81S 415,874 351,765 778.667 West Afvlca National Endowment for Democracy, USA Federal Minister for Forwgn Affairs. Germany ' Minister for Foreign Trade and Development, Netherfa 47.654 42,879 73,043 26.261 496,692 181,342 163.576 704.295 East and Central Africa ' UK FOr￿n and Commonwealth Off¢e European Union Folke Bemadotte Akademin War Child UK 10.358 {25,1101 {491 187,92B 63.384 26.936 47,433 205,553 173,127 343, 26 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 3. Income Imm charitable actfvitios (tontlnued) Tolal 2020 Total 2019 Horn of Africa . Fedwal Vl'nister for Foreign Affairs. Germany ' UK Conflict Stabilty and Securty FurKI . Irish Department f￿ Foreign Affars ￿ Traje 302,080 301.301 221.015 367,944 145.873 49.932 824,396 563,749 sO￿h Asla Ploughshares Fund ' Commonwealth Fellchvship Misereor ' European Unic ' Swedish Internat￿n￿ Developmenl AgerKy {SIDA> 114,132) 343.600 187.866 578.443 32.346 1.250 2,627 670.336 1,128.123 674.213 Paclllc ' Department of Forew Affairs and Trade, Australia Misereor ' UK Foreign and Commorv4*alth Office . European Union MedialEur ' United Nations Devdopmenl Prtyyam {UNDPI ' Gemian Foreign Office 438.604 70.334 38.375 395.242 396.386 117,094 12.854 72,354 3,578 8.338 67,144 1,018,037 602.066 Phlllpplnes and Colombl• . Departsnent of Forew Affairs, Canada European Union Conflict. Slatshty and Security Fwhj (12.6991 175,387 29,931 81.3Ch3 185.196 192.619 266,502 Cross Reglonal PTolect ' UK Foreign and Commonv•t8lth Office UK Aid 526,498 792,899 1.431.760 526,498 2,224.659 Total grnnts 8.394.419 6,797,733 66% {2019- 46%) of srants within charrtat4e actNities is attritxtsble ¢0 gecwphical outside the United 27 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 4. Incoffle from investments Total 2020 Total 2019 Bank interest 2,174 4,612 Ineorne fr¢Jm investments was £2,174 (2019- £4.612J of W•fv"ch all12019- 810 was attributsble to unrestricted lunts. S. Costs of ralslng funds Total 2020 Total 2019 Salaries and staff costs Direct eosls Support Costs 114,508 99,399 14.013 36,909 31.083 152.935 150.321 AI £152,935 {2019- £150.3211 of the above costs were attn'b￿•L1e to unrestrteted funds. 28 CQNCILi4TIQN RESOURCES NOTESTO THE FtPiANeiAL STATEMENTS YEAR EMDED 31 OECEMBER 2020 6. •xpwdftUreoTrd￿r#ab1•ae￿¥ 20X 2019 AccoT4, Po1KV, Prxtic Cauts3Su$ 28B.J30 2W.470 178.744 2W.4fj6 181.VK8 1Z1.772 112.K23 71.407 03.173 227.￿3 1W.2 1B3.791 61.302 8Z3.?12 559.13 554.127 351.334 40J.Z27 897. 181.034 101.1B3 125.5e8 710.&87 488.536 251.215 201.843 3.Ih)S.017 989.4 673,4Q4 722,467 913, 718,741 479, 2.320,703 East CeMr* Afrtca H(th ofAftKa South kia 489.276 .284 3D1.614 4.049.857 PhilipF4ne5 andCc4LFM ¢TOS5 Rvrnal Prciect 221.726 Tol*l 2.0*. $251.32D 1.iW.048 9.176.263 8.679,560 £8.429,OZ5 IZ019. EQ8TI.8ry CO tro abm ei*ts Ii*e restrN*￿ fiknJ5 V47 33a 12019. ÉI.W7.7JZ) Ll the abm ojsts attrknLlab￿ to CONCILIAnON RESOiIICE5 NOTES TOTHE FINANCLAL STATEMEi¥rs YEAR ENDED 31 DECEMBER 2020 7 Alk¢akn olsupport￿*ts Other ¢hJrit•ble 2Q2 2019 Costs olraksirfj 20.958 82.102 4,OB1 15.989 2.92S 11.461 435 1,7C15 1.520 31,083 121.772 36,909 220,485 E li iiiiai C8utasuS V¥*stAfrica E¥s1 and Afr*a Hr￿ ofAfTrGa south Asia Pacif Pttilippine5 and CdurniM¥ Cross A￿￿*1 75,931 4&14S 56.07U 153,497 121.501 123.918 41.331 554.969 14.7 9.376 10.921 29.892 23.661 24.132 8.049 11¢.076 4,218 2.674 3,115 1,578 1.cllo 112,624 71.407 83,173 227,662 180.205 183,791 61,302 823,112 242,308 238,02S 165.343 177,369 224.171 173,184 117.627 569.808 6.721 7.828 21.427 16.950 17.298 5.710 3.491 3.189 2.524 2.S74 6.74 8.810 2.2 2.997 40.243 11.$29 Total 1.278.433 248.955 178.459 I6.￿9 92.704 1.896,131 2.165,249 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 8. Govern*n¢e costs 2020 2019 Board costs Governance training Auditcrfs, remunef*ion Legal, professional fees arKI other supwt costs 1.910 50 12,000 12.599 6,948 305 12,000 23,434 26.559 42.687 9. Not Incom8 for th8 year The net income is slated after chargirMJ.' 2020 2019 Depreciation of tangitAe fixed assets Amortisats"on of intsrrfJ'ble fixed assets 33.067 311 29,989 18,376 Operating ￿ase rentsls ALtrJit's remuneration- Statulory aLFdit (current aLKlitorl Stalutory audrt (pnor year- weviti￿5 a￿1￿0¥) Underlloverl accrual of prior year aLxIit fee Grarrt audts Ipwhius auditor) Foreign Exchange Translatic￿ GOIn￿(LO$$eS) 134.759 12,WO 139,059 10,000 4.71)0 52.800 137,801 36.460 (246,796) 10. Trustees, and key manag•m*nt personnel r•muMra¢lon and expenses Expenses rgimbursed for airfa￿. travel. telephone. fwtalty and &commodalion totalling £1,69012019- £5.466) were paid on behalf of three12019- five) trustee5. The total amount ofemF4oyee Weffts received by key managemwrt personnel during the ye¥was £350,062 (2019 - £345.496). The Chanty Cor￿lde￿ rt5 key management perS(￿ne1 to be the Execulive Management Team. 31 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 11. Staff costs and employee beneffts lolal stsff costs arKI employee beneffts We￿ as fdloAs". 2020 2019 UK employee salaries Social secunty DefI￿d ￿ntIll￿tion pengon costs 2.373,950 249.909 212.393 2,298.637 243,446 210,669 2,836.252 2.752.752 Termination payment 19,474 2,836,252 2.772,226 No tennination payments wefe made in the year (2019." £19,474 was made to one employee ￿ accordance with the tenns of a settlpment agreefflenl). The chanty has rK• furthet IBbiltrs in connection with this agreement. The number of employees who re￿IVed total employee beneffts (exduding employw n8tscfflal insurance, pension costs and lemiinalion payments) of more than £60.¢XIO is as foll￿*$.. 2020 2019 £80,001 to £90,000 £70,001 10 £80,000 £60,000 to £70.000 During the year the chanty paid £27.817 {2019_ £28.928J a defined conlributffi pensNM scheme on behalf of the staff membersldirector eaming over £60.000. The average monthty nurythr of empbyees and fvll lime eqwalent IFfEI during the year was as fdlows.. 2020 Number 2020 2019 Number 2019 Executive Management Team Accord, Policy, Pradice Caucasus West Africa East and Central AfrKa Hom ofAfn"ca South Asia Pacrfie Philippine5 and Columtx"a Cross Regional Project Administrative, financial managemerrt aTrJ fundraising supwrt 21.2 21.4 18.3 Total 68.1 65_8 65.4 59.9 32 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 12. Intanglble fixed assets Computsr SoftvAre Cost Balance as at 1 January 2020 Additions in the year 73.504 3.729 At 31 OKember 2020 77.233 Amortlsation Balance as at 1 January 2020 Charge for the year 73.504 311 At 31 December 2020 73,815 Net book value As al 31 December 2020 3,418 As al 31 D￿eMb￿2019 13. Tanglble Ilx•d assets Leasehold Impwov¢ments Computer equlpment Fixiur•s &fittings Total Cost BalarKe as at 1 January 2020 316. 139,626 47.396 503.586 Addition5 41.308 6.891 48.199 Dispwls {12,828) {12.8281 At 31 December 2020 316.564 168,1r 54.287 538,957 Deprecia￿on Balance as al 1 January 2020 280,074 111,599 45,984 437,657 Charge for the year 8.702 21.344 3.021 33,067 Dewecialions on Disposds (12,8281 (12,82B) At 31 Decemb&r 2020 288.776 120.115 49,005 457,896 N•¢ book value As at 31 December 2020 27.788 47,991 5.282 81,061 As * 31 De¢ember2019 36.490 28,027 1.412 65,929 14. Debto 2020 2019 Giants receivable Other debtors Prepayments and accrued incc¥ne Grants accrued 173,669 47,493 260,037 605,741 137,181 398,674 567,893 1.170.692 1.086,940 other debtors if￿lUdeS a rent twosrt of £32.50012019- £32.500) whith is receivable in m￿e than one year. 33 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEmE1￿s YEAR ENDED 31 DECEMBER 2020 15. Credltor5: Amounts Falling Dua Wlthln One Year 2020 2019 Tfade creditors soc￿1 security and other taxes Other credrtors Aeeruals Defer￿￿ income (Note 16) 168.665 68,128 135,808 635,059 2.280,080 87.537 154,944 782,8&fj 3.848,330 4.873.647 3.287,740 16. Dthrred Income 2020 2019 Bala￿e as al 1 January Amount released to income in the year Amount deferred in the year 2.280,080 12.280.080) 3.848,330 1,403,488 11.403.488} 2.280,080 3.848,330 2.280.080 2020 2019 UK Foreign & Ccrfnfflonwealth OffKe Commonwealth Fellowship Swedish Intemational Development C(￿[￿r￿'0n Agency (SIDA) Irish Abj Conflict, slakn.lity and Seejjrity Fund European Union Depwtment of ForeKJn Affairs & Trade (Australia} Misereor National Endowmenl for Democracy. USA Federal Department of FOre￿n Affairs. Sw"tswknd War Child DFID Josgph R¢)wntree Charitable Trust Ploughshares Minister for Foreign Trade ar￿ Develowent, NeI￿￿and5 Sasakawa Foundation COBERM Federal Ministw for Foreign Affars Gennary SwissPeace Irish Departmenl for F￿e19ft Affars arKI Trade Alan & Nests Ferguson ch￿itable Trust 18,692 11.350 242.061 360.414 238.461 513.457 193.306 17.533 17,647 56,147 69.292 397.160 21,032 38,375 73,043 12,110 20.270 715.107 45.000 20.210 1,469.591 606,125 42.908 40.256 171,137 30,423 28,670 38,431 10,762 43,923 46.493 489.024 30.000 3.848,330 2,28D.080 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STA TEMENTS YEAR ENDED 31 DECEMBER 2020 17. Operating leases Total future minimum lease payments under non-¢￿lable operating leases are as for￿V￿.. 2020 2019 Not later than one year Laler than one and not later than fve years 146.168 348.750 162,880 503.750 494,918 666,630 18. Provislon5 lor liabllllie5 2020 2019 Bdance as at 1 January A&JthDn5 during the year 93.284 1.3C6 91.996 1,288 Balance as at 31 Decerter 94,Sg) 93,284 The provision relateslothe dilapthtions expense expected for th8 LcYKl¢y) office lease. Charges lo the Ststement of Financial Acb"vities resulbng from kyovisions thring the year amount lo £1,3C612019- £1,288) of which all f2019- all) was attributable lo un￿trifIe¢j funds. 35 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMEMrs YEAR ENDED 310ECEMBER 2020 19. Fund rnconclllatkln 2020 Balance a5 at 01.01.20 Transfer5 and Balance as Incon* Expendliuffe galnslllossesl at 31.12.20 Restricted Fund5: Charitable Activities: Acwrd, Policy. Praciice Caucasus West Africa Easl and Central Afn"ca Hom of Afn'ca South Asia Pacific Philippines and C¢Jumbia Cross Regior￿1 Prqect 594.882 351.765 163,576 173.127 1,169,024 813,536 979,663 192.619 3.956.227 {554.5531 {393,6641 (175.4821 1199.1691 11,156,360) 1813.5361 1995.2121 1205,3181 13,935.7311 {40.3291 41,899 11.906 26.042 112,6641 15.549 12,699 120.4961 Total RestiyetedFun(ts 8.394.419 (8.429.025) 34.606 DesignatedFunds'. Slaff contingency fund 53.368 53,368 Genwal Funds 1.795.074 941,582 19Q).273) 103,195 1,939,578 Tolal UnrestiictedFunds 1.848,442 941,582 19CQ.2731 103.195 1.992,94 Totsl Funds 1.848.442 9,336,1101 {9.329.2981 137.801 1.992.946 Fund I￿0￿Cl11a110n 2019 Balance as at 01.01.19 Balance as Incon￿ Exwndtture Transfers at 31.12.19 Re￿rIctsd Funds: Charltable Actlvltles: Accord, Policy, Practice Caucasus West Africa East and Central Africa Hom of Africa South Asia Paerf Philippines and Columts'a Cross Regional Project 640.276 778,667 704,295 343,306 563.749 674.213 602.066 266.502 2.224,659 {622,376} 1784.945) 1724,55n {349,107} (597,4591 1689,7181 1612,4011 1266,6561 {2.224.659} 117,9001 6,278 20.262 5.801 33,710 15,505 10,335 154 TotalRe$trict8d Funds 6.797,733 16.871,878) 74,145 Designated Funds.. Staff contingency fwKI 53,368 53,368 Génerdl Funds 1.784.371 2.042.951 {1.958.103) 174,145> 1,795.074 rotal UnrestiictedFunds 1.837.739 2.042,951 11.958,103) 174.145) 1,848,442 Totsl Funds 1.837,739 8.840.684 18.829,9811 1.848,442 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 19. Fund rKoD¢illation 2020 I￿nIMu¢d) Purposes of Reslricted Funds: Restricted funds are fvnds ￿1c￿ are subject lo restrictNxts on use imposed ty dorots and are not available for use generalty by Conciliatson Resources. Restricted funds hdd by Cwliatson Res¢xJrces are used by Conciliation Resources to lulfil its objects and 9)als. in acccffdarKe with the lemis and ¢oTrJtb"ons specffied by the sources of the re￿all1 lunds. Restricted fvnds are currently held fortheAccord. PolicyarKI Praclice team lo deliver informed. improved supp)rt for inclusive Feace and IranytKJn processes arhd for the Programmes teams to support national and regional stskeholder dialogues, promote reCO￿lI1a￿.0n in comMun￿es. to enhance prospects for la$ts"ng peace, ensure inclusive policy makiThJ and to support innovaNe paths to pe&e. DurirrfJ the year, most fvnd$ ￿lIVed were performance relaled. In accordance with the accounting policy (see note 11, lund5 received and rKJt recognised as Incorr￿ have been camed ftmward as ¢kferred income (see note 16). During Ihe year a number of gr8nls came to an end aThJ a final sUt*nE￿On prepared to the donor. Any previousty unrecognised ove(head Contn'￿tiOnS were transferred to reseNes al the year erKI. Purposes of De$lynatsd Funds - Staff Contlngency Fund: The de&gnated reserves of £53.368 represent a conliiigery Set ashle by the Irustees towards unforeseen staffingc05ts including matemity, patemtty and redundanw costs. The Jevel of deggnated costs will be reviewed in 2021. Transfews beiwe•n funds." In 2020 a number of projects were conduded. Some of these required m*ch furkth"rvJ from unrestricted reserves. As a result, a transfer was made from unrestricted to reslride(1 reserves. 20. Analys1$ of net assets betknwn funds GeMral Designated Restrfcl•d Funds Funds Funds Total 2020 Fixed assets Cash Other current asSe￿iabilItIeS Provisions 84,479 5.652.644 13,702.9551 194,590) 84.479 5.7C6.012 13.702,9551 194,590) 53.368 1.939.578 53,368 1,992,946 Analysls of net assets between tsnds- 2019 comparatlve G•neral DKignat Funds Funds Restrtctad Fund5 Total 2019 Fixed assets Cash Other current assetsnialJ"lil*s Provisrons 65.929 4,023.229 12.200.800) 193,284) 65,929 4.076.597 12,200,800) 193.2841 53.368 1.795.074 53.388 1.848,442 37 CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 21. Analys1$ of changes In nrt funtts At start of year Cash- Forelgn Other non. exchange cash movemgnts changes At end of year Cash 4.076.597 1.491,614 137.801 s,7(￿,012 As at 310ecember 2020. ConaliatNJn Resources had no net debt 22. Reconciliation of nel expendlturn to net cash Ilow from op•rating activitles 2020 2019 Nel incomellexpenditiye) for the ye Interest receivable Depreciation of tangible fixed assels Amortisation of intangible fixed assets {lrtreaselldecrease in debtors In¢￿aSe/{decrease} in credrtors ar¥J Ffovisions Unrealised exchartsJe rale gainfJllossl on cash aThJ cash equNalents 144,504 12.174} 33.C67 311 183,752) 1.587,213 (137.8011 10,703 (4,6121 29.989 18,376 154,3981 1.351,629 {62,664 Net flow from opwating activit￿5 1.541.368 1,289,023 23. Penslons and other post*diwement beneffts DefSned Contribution penslon plans The Cttarity operate5 a defir*d contn"bution pens￿ plan for its empwes. The amountof contribLrtM)ns recogniged as an expense during the year was £212,393 f2019- £210.669J. The pensh)n expense has been tharged to speofic pr¢Jtyamme5 where stsff are en9aged in particular activf(ies. The pension exrense induded ￿ support costs has been alkuled auoss the activrties between unrestricted and reslncted fun(Is in accordance the a(xounting page 24. 24. Related party transactlons For the whole of the year. the charity was under the control of Ihe Dwe(knr5 and Trustees as shown on page 2. There We￿ no rdated party Irans*ions thwing 2020 (2019". None). 25. Flnanclal Instruments The charity holds a number of fina￿la1 assets (for exarn￿e deblors and eashl and financial liabilities (for example creditors and provisions for grants pays￿e) which meet the defin￿.0￿ of basic financial instruments under the FRS 102 SORP. Details of the meaSu￿Ment bases. a￿untir4￿ policies ar￿ carrying values for these finanual assets and Ila￿1111eS a￿ disdosed in the notes atthie. CONCILIATION RESOURCES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2020 26. C¢mpardtive Ststement of Flnancial A¢tlvft•es12019) Totsl 2019 fvnds fvnds Income from: Oonalions aTrd legxies 2,013,516 2,013,516 Chantable a(aiyrt*s 24.823 6.797.733 6.822.556 Investments 4,612 4,612 Totsl Income 2.042,951 6,797,733 8,840,684 Empendlthre on: Raising funds 150.321 150.321 Charrtable activities 1.807.782 6.871.878 8,679.660 Total •xp•ndltur• 1.958.103 8.871,878 8.829.981 Net lnc0mellexpendl￿[e) 84.848 (74.145) 10,703 Tiansfets beh¥een funds (74,145) 74.145 Net movement In funds 10.703 10.703 ReconciTliation of funds." Total funds brought forward 1.837,739 1,837,739 Total funds carried forward 1.848.442 1.848,442 39