2023-06-30-accounts

' The Peru Children s Trust (No. 1063976) Annual Report July 2022-June 2023

History

The Peru Children's Trust (PCT) was formed in 1997 to support the work of the charitable organisation, El Shaddai, in the city of Huancayo, Peru. El Shaddai was established by Gay and Manuel Reynaga who witnessed the poverty of children and adolescents living in the shanty towns in and around Huancayo (a city in the Andes mountains). The charity initially assisted children and families affected by the ‘Sendero Luminoso’ terrorism act of the 1980s and has helped over 2,500 children to date.

In 2012 a new charitable organisation, ‘Peru Children’s Trust - Huancayo’ (PCT-H), was established and assumed responsibility of the work done by El Shaddai.

Mission Statement

The focus of The Peru Children's Trust is the long term relief of poverty and sickness, and the advancement of education and Christian faith amongst poor, orphaned or abandoned children and adolescents. It operates in the shanty towns and deprived areas of Huancayo and surrounding villages in the Andes – an area with a population of 500,000 people. The charity employs family support workers who build and maintain close personal relationships with the children and families.

Structure & Governance

The Peru Children’s Trust is governed by a Board of Trustees in the UK. The Trustees oversee fundraising and transference of funds to its partner charity Peru Children’s Trust-Huancayo, who provide local governance and complete audit checks. Regular reports and accounts are reviewed to ensure that the money is appropriately spent. The transfer of funds to Peru is dependent on a review of the prior month’s expenses and forward-looking forecasts. The Trustees visit Peru at least once a year to see first-hand the work carried out by the charity.

Objectives and Activities

1. To holistically support the education of poor children and adolescents, enabling them to reach their full potential. Although education in Peru is officially ‘free’ the government covers the cost of the teachers’ salaries only; everything else such as registration fees, desks, books, stationery, and uniforms must be purchased by the parents. Families struggling with poverty cannot, therefore, afford to send their children to school.

2. To improve the living standards of children and adolescents in impoverished families. With care and love we can improve living conditions such as sanitation, bedding, roofing, nourishment, medical care and earning prospects, with self-help advice and small business startup schemes.

3. To promote Christian teaching, family guidance and counselling. To enhance the life of the community by running Sunday school, children’s holiday weeks, pastoral visits, women’s welfare groups and Bible studies.

The primary objective of The Peru Children’s Trust is to encourage people to sponsor a child by committing a regular sum each month that covers the cost of that child’s education and wellbeing, as detailed above. The PCT endeavors to keep sponsors informed of their child’s progress by monthly newsletters and annual reports.

Over the last 20 years, over 2,500 children have completed primary and secondary school education, some have gone on to university and gained good degrees, whilst others have been coached to be entrepreneurs setting up small businesses. They could not have done this without the help of the PCT and its supporters. As well as encouraging individuals to sponsor a child, the PCT raises awareness of the work through talks and activities at church, community groups and other interested bodies. It is also active on several social media platforms. In addition to its main sponsorship model, the PCT is developing a range of funding mechanisms to empower ongoing support, such as hosting handicraft and food sales, raffles, and sporting events.

The PCT in the UK works very closely with its sister charity in Peru, PCT-Huancayo, who employ family support workers responsible for visiting the children and families supported by the charity. The workers assess on a case by case basis what is required in order to enable the child to attend school and ensure they are equipped with the necessary tools. As well as school supplies, this will include roof repairs, solar panels (to provide light where there is no electricity), furniture and bedding. Not only does this drastically improve living conditions but financial and employment opportunities too, benefitting the family as a whole. Family guidance, counselling and Christian teaching are an important part of the work carried out by PCT-Huancayo.

The families helped by the PCT live in run down areas of Huancayo, in the shanty towns around the edge of the city, or in the villages along the valley. The housing is basic, cramped, with no proper sanitation or cooking facilities, and sometimes without doors or windows.

The children who live in these terrible conditions often cannot afford to attend school. Although education in Peru is free, children must pay a registration fee and wear a uniform. They also must provide their own stationery, equipment and books, including all textbooks.

Through the sponsorship scheme, the PCT provides the means for each child in the supported family to be educated to the end of their secondary schooling. It also funds their housing needs by providing roofing, doors and windows, furniture, and bedding. Often the Trust workers have to work to obtain birth certificates for the children as many have not been registered at birth due to the cost and therefore are unable to access an education without identity.

In addition to the sponsorship scheme, we ensure the children can have fun. For most, birthdays, Christmas and other important annual events are not celebrated. The PCT organises bi-monthly birthday parties and a special Christmas event each year, where the children can enjoy games, festive food and presents. Family guidance, counselling and Christian teaching to parents are an important part of our work.

Fundraising

The primary source of income for The Peru Children’s Trust is through the sponsorship scheme, the funds of which go towards providing urgent relief to the children and families severely affected by poverty, and monthly wages for the Family Support workers. Sponsorship is driven by word of mouth and through the extended network of existing sponsors.

Increasingly we are seeing more funds being raised via other methods such as donations via the website and special fundraising events, including an annual photoshoot and Trustee participation in major sporting events.

Regular sponsors are also asked to make an extra contribution around Christmas time to help fund a Christmas gift and small party for the children. Funds raised through Gift Aid, along with general gifts to the Trust, go towards any shortfall caused by declining sponsorship, medical emergencies, and general administration. We ensure that most of the sponsorship money is spent on the

children using very little for UK administration.

The principal UK expenses are bank charges, however over the last year we have seen a net increase in year-on-year income for the trust - approximately 37%. This has allowed us to counter the increase in cost-of-living expenses faced by the people in Peru, including our family support workers. The GBP to USD exchange rate, although still weak, has stabilised enabling us to plan overall expenses in a more predictable manner.

The PCT increased the transfer of funds to Peru by 20% and through good planning and local governance, we have increased the total number of children that are supported by the Trust, while keeping running costs in check. Part of the increase funded an additional family support worker and a modest increase to the base salaries of the existing family support workers.

We have finished the year ended 2023 with a consolidated surplus slightly lower than the previous year.

Achievements and Performance

In August 2022, two of our Trustees, Mr A. Reynaga and Ms C. Hennessy, visted Huancayo to meet with the PCT-H and Family Support workers. Home visits to some of the poorest families were made providing the opportunity to speak with the families and understand their current challenges, as well as assessing the living environment for any urgent improvement works that may be needed.

A big event with the children was held, distributing winter bedding for the upcoming cold season. A hot, freshly cooked meal for each child was donated by a local restaurant.

The London Stock Exchange Group donated a large amount of old-branded corporate merchandise through their charity program, the LSEG Foundation. This included essential items for school, such as pens, notebooks, lanyards and clothing items including t-shirts and hats.

In April the annual residential summer camp took place; an event which brings together all 100 children over three consecutive days at La Perla Centre in the neighboring town of Chupaca. Split into two cohorts to tailor the activities to the younger and older age groups, the camp provides a safe environment for the children, where they can play and take part in activities designed to develop their soft skills such as active listening, assertive communication, and practicing empathy, teamwork and solidarity. This important initiative will continue to run annually.

Our Family Support workers introduced further education workshops for parents, focusing on financial management and budgeting for the household.

For the children, a workshop on the prevention of sexual abuse was run, educating them on abusive behaviors and giving them the confidence to speak out.

Throughout the year, we continued to provide core necessary items to the children and families:

Over 300 food packages 160 shared lunches 120 winter blankets 120 school supply kits 300 pairs of shoes 240 summer jackets 120 winter jackets

Future developments

As highlighted in previous reports, the future of fundraising is changing with a reluctance, especially amongst the younger demographic, to commit to long-term giving. As a result, the Trustees have been exploring new ways to raise funds. Activities have included business engagement resulting in large one-off donations, family photoshoots and sporting events. We have collaborated with other charities operating in Peru, increasing our profile amongst new channels of communications to encourage donations.

Public Benefit Requirement

The Trustees have complied with the duty in Section 17(5) of the Charities Act 2011 to have regard to the guidance published by the Charity Commission concerning the public benefit requirement. Approval: All approvals have been given remotely via email or internet.

PCT Trustees and Personnel

The PCT Trustees are as follows:

Mr. David Reynaga (acting Chair) Mr. Andres Reynaga Mrs. Gillian Coe Mr. Carlos Troncoso Miss. Catherine Hennessy

The PCT Treasurer is Mrs. Janet Booker.

The PCT Auditor/Examiner is Petya Todorova, Senior Accountant, RDP Accountants.

David Reynaga April 2024

Charity No. 1063976 THE PERU CHILDREN'S TRUST Financial Accounts Year ended 30 June 2023

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE PERU CHILDREN'S TRUST FOR THE YEAR ENDED 30TH JUNE 2023 l ￿POrt on the accounts of the Twst for the yèar ended 30th June 2023 whith are sel out on the altathed page5. ResP￿tIVe r8sponslbllltle8 ol truste￿ and tsxamlner Th& ch8rity's trustees are respon$ftYe for the prepa￿tion of fiTtancig1 statements. The charitys trustse5 con8id8r that an audlt Is not réqulred under sectlon 14S of the Charities Act 2011 Ith8 Act) and that 8n Independent exarnsnation is needed. It 15 my responsib4ity lo exatning th8 accoun15 under sect￿n 145 of the 2011 Act. follow the pro¢£dure5 laid down in the G9neral DIre¢l￿n$ given by the Charlty ommls4oner$ under sectK>n 145151 Ibl of Ihe Act. and to slate w￿ther p8rtifAJlar mattels have come to my attention. Basls tsf indep8nd8nt examlngfs report My examin81ioft wa8 carried out in accordance with the General Direction$ given by the Charity Ccmmi5sion. An examinatK)n includes a reV￿W of the a¢¢ounllng re¢ords kept by th8 charily and 8 comp8rison of the accounts presented wrth those records. 11 also indudes C9n$￿eratIOn Df any unusual i18m5 or dlscbsures in the accxJunl$ and seeking explanatK)n$ from you as tiustees concerning any sueh matters. The procedures undertaken do not provide all the evidentÈ that would be required in an 8udil. and consequently no opinion is gwen as tD whethèr iha arcounls present a'lnje and fairf view and the report Is limited lo those mallers $8t out In the statement below. Independent examinerf8 Statement In connection with the examination. Do rnaller has corn8 lo my attention.. which gwes me reascfiabb causo to bBtkn that, In any ffla18rial respect, the requirements to keep 8ccounb.ng record8 in 8ccord8nce wrth se¢tk)n 130 of the 2011 Act., and lo prepare a¢counl$ wFNch a¢¢ord with the acceuntiThJ recorrls and to comply wllh the aG￿￿nI￿9 requirements of Ihe 2011 Act have not been mel., or 121 to whKh. in my oplnK)n. attention $houkl be drawn in order lo enabb a proper U￿tr5￿￿￿1￿ of thè accounts to be r88ched. Petya Todorova MA4T RDP con5ulb.ng Ltd, Accountants Ground floor, Soulmway Hou$8 29 Soulhway Colchesler Essex G02 7BA

THE PERU CHILDREN'STRUST ReBistefèd Charlty No. 1063976 RECEIPTS AND PAYMENTS ACCOUNT Year Ended 30th June 2023 UK 30.6.23 30.6.22 RECEIPTS Donations.. Sponsorshlp of Chlldren General Gifts Salaries Speclal project Total SAVINGS ACCOUNT Interest Total ReceeSpts 53,609 6,663 2,376 37,985 4,751 2,472 638 62,648 65 45,846 62,713 PAYMENTS Fund5 tran5ferned to Peru Bank Charges Expenses Total Payments 71,485 2(Kl 57,567 200 16 71,685 57,783 Net Deflclt for perlod 8,972 11,937 Bank Accounts Bank current account balance blf Bank 5awng5 account balance blf 13,214 7.037 20,251 4.177 7,102 11,279 25,150 7,028 32,178 13,214 7.037 20,251 Bank current account balance c/f Bank savings account balance clf Total Assets STAYEMENT OF ASSETS & LIABILTIES at 30Th JUNE 2023 30.6.23 30.6.22 Assgrs 11,279 11,279 20,251 20,251

THE PERU CHILDREN'S TRUST RECEIPTS AND PAYMENT5 ACCOUNT PERU 30.6.23 30.6.22 RECEIPTS Funds transferred to Peru by the Trust less difference due to exchange le5timatedl 71,485 57,567 2,500 71.485 55,067 PAYMENTS Chlld Support General projects Salarles 32,217 14.030 15.966 28,556 10,244 12,936 62,214 51,736 Surplus for year 9,271 3.331 Funds held in Peru 1011071231 9,271 468 Surplus for year las above) 9,271 3,331 Surplus for year 9,271 3.799

The Pèru Chlldren's Trust lu Income Month Julv Aug Sept Oct Nov Dec Jan Feb March April May June Year ended 30th June 2023 Chlldren 2,919.18 2,522.68 2,619.59 2,559.59 3,069.74 8.599.59 3,389.59 2.639.59 13.144.59 2,534.59 3,430.17 2,991.09 50.419.99 X+B Genèral 868.66 40.00 40.00 959.26 107.22 40.00 933.65 40. 40.00 3,492.41 40.00 62.21 6,663.41 check Salarie5 Total 198.00 3,985.84 198.00 2,872.59 198.00 2,857.59 198.00 4,471.85 198.00 3,972.18 198.00 10,251.99 198.00 4,521.24 198.00 2,977.59 198.00 13.382.59 198.00 6,235.00 198.00 3,868.17 198.00 3,251.30 2,376.00 62,647.93 62,647.93 111.91 755.00 597.22 1,414.40 loo.00 10.00 200.00 3,188.53 50,419.99 3,188.53 53,608.52 Expendlture Trans to Peru Bank Charges Airfare to Peru Paypal Total Julv Aug Sept Oct Nov Dec lan Feb Mar Apr May June 5,638.26 20.00 5,658.26 8,064.22 3,504.19 13,941.21 7,969.65 20.00 20.00 20.00 20.00 8.084.22 3,524.19 13,961.21 7,989.65 15,153.80 40.00 15.193.80 12.610.88 4,602.91 71,485.12 40.00 20.00 200.00 12,650.88 4,622.91 71,685.12

The Peru Chlldrens Trust Year ending 30th June 2023 Bank Account July 2022 to June 2023 DR CR 117122 blf 13213.71 Income 62,647.93 Expenditure 71,685.12 Bal 3016123 4,176.52 75,861.64 75,861.64 Savin8s kcount Balance 0110712023 Interest added 0510412023 Interest added 0511012022 Total 7,037.12 49.53 15.77 7,102.42

The Peru Childrens Trust Year endln8 30th June 2023 Funds S ent In Per Month July August Sept Oct Nov Dec Chlldren General Salaries 1344.06 742.32 1789.94 2064.85 2136.98 1325.8 108.3 395.86 983.93 4,449.32 366.77 1.144.69 1,903.16 1,202.03 1,868.77 9,261.48 1,041.36 1,825.94 Paypal Total 3,876.32 5.527.63 1.488.09 5,960.78 4,973.96 12,128.78 iiJ[] Jan Feb March Apr51 Mav June 1,958.31 1,272.90 2,901.16 1,063.60 2,986,97 422.00 1,509.14 5,912.23 832.39 1,183.76 12.45 993.30 1,495.38 4.174.64 1,037.81 502.53 3,231.21 3,964.76 4,918.11 7,928.38 2,501.13 5,714.98 Total 32217.46 14030.29 15966.38 62214.13 62214.13