## **' 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