THE VARRIER-JONES FOUNDATION IA COMPANY LIMITED BY GUARANTEEI COMPANY REGISTRATION NO 0337796S REGISTEREO CHARITY NO 1064595 FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 IIULIIIII •ACfjB4Y6G• 1411rdo3 C{￿p￿lEs HCrtJSE A12 #10 THE VARRIER-JONES FOUNDATION (A COMPANY UMITED BY GUARANTEE) Contents Page Legal ond administratNe informatN)n Trustees ieport 2-11 Report of the auditors 12-14 Statement of financial activit*s 15 Balance Sheet 16 Cash flow statement 17 Notes to the financial ststements 18-26 THE VARRIERJONES FOUNDATION IA COMPANY LIMITED BY GUARANTEEI LEGAL AND ADMINISTRATIVE INFORMATION Trustees R Norton (Chair to 5 September 2022 - ￿tIred> D Lovrther (Chair from 6 September 2022}1 P Agar (Retired 23 Febwary 20231 M Alexander S Beach (VKe Chair) D Browne J Bugg S Crouch IApp)inted 23 February 2023) S Lewis (resigned 24 August 2023} A Lynch (Appointed 23 February 20231 C Sheasby (Hon Treasuwl Company Secretary M B￿ke Registered Office Upper Pendrill Court Emine Sireet North Papworth Everard Cambridge CB23 8UY Auditors Ensors Accwnlants LLP Incubator 2, The BoU￿vard Enlerprtse Campus Alconbury Weald Hunting¢on PE28 4XA Banke National Westminster Bank PLC 92 High Street Huntingdon PE29 3DT Solicitors Ellisons Solicrtors Headgate Court Head Street Cokhesler C01 1NP Property advisers Bidwells LLP Trumpinglon Road Cambrhlge CB2 9LD Peck Pr¢)pety Consuliants College Fami Hatchet Lane Slonely Cambs PE19 SEG Investment Managers Sarasin & Partners LLP Juxon House 100 Si Paul's Churchyard London EC4M 8BU Status A registered charity A company limrted by guarantee No. 1W595 No. 03377%5 THE vARRIER￿ONEs FOUNDATION {A COMPANY LIMITEO BY GUARANTEE) TRUSTEES. REPORT INTRODUCTION The Trustees of The Varrier-jones Foundalion fihe Foundation") present their report *)d the audited financial statements of the charty for the year ended 31 March 2023. The company was incofporated on 29 May 1997. The company ￿l$tratIon number is 03377965 and the registered charity number is 1064595. The financial stalements compty wrth the Charitie5 Act 2011, the Ccmpanies Act 2006, the Memorandum and Articles of A$s￿laIl9n. and Accounting and Reporting by Charrt*s" Slalemenl ol Recommended Practice applicable lo charIt￿S preparing theiraccounts in aecoT¢Jance wrth the Financial Reporting Standard applicable in the UK and Republic ol Ireland {FRS 1021. DIRECTORS AND TRUSTEES The Directors of the company are the Trustees of the Foundalion for the wrpose of charity law and throughout this reporf are collectively referred to as the Trustees. The TrLtstee5 sefwn9 during the year and up to the date of signature of the finarKial statements were as fg11¢)ws.' R Norlon (Chair to S Seplember 2022 - rfiredl D Lowther Ichair from 6 September 2022)) P Agar (Relired 23 February 2023) M Alexander S Beach Ivice Chairl D Browne J Bugg S Crouch (Appointed 23 February 2023) S Lewis IRes¢gned 24 August 20231 A Lynch {Appoinled 23 February 2023) C Sheasby (Hon Treasurer) 08JECTIVES AND ACTIVITIES The principal objective of the Foundation is to provide support for the work of the Papworth Trust, whose missKJn is for disabled people lo have equalty. ¢ho￿e and Independence. The Trust delivers this through the proVis￿n of supported housing, Ca￿ services, support to a￿e$S empbyment and a range ol day servitss provIs￿n. The Foundation meets rts commrtment by maintaining investments. In both market investments via its appointed investment managers, and in land and property assets, mostty srtuated wrthin the village of Papworth Everard. a view lo making a financwl retum vthich can be used to support the work of The Papworth Trust In aldilion to ils principal objective the FourKlalion also aims to support disabled pec￿￿ more generalty and achieves this through making gfanls towards the work of ¢Xher organisations provKling serv￿e$ for disabled people. In meeting ils oblwJalions to provide grants to organisalKJns Ihal delNer benefjls to disabled people. Ihe Foundation seeks lo manage its investmenl and property portfolh)s to gener8le $L￿f￿le￿I return to allow regular grants lo be made whilst also seeking to preserve, in real terms, the long-lerm capital value of rts assets, notwithstanding it is free lo di8lribule any or all of rts capital in order lo best meet these primary objec15. THE VARRIERJONES FOUNDATION IA COMPANY UMITED BY GUARANTEE) TRUSTEES. REPORT APPOINTMENT AND TRAINING OF NEW TRUSTEES The Board of Trustees is responsible for the appointment of any new Injstees and for ensuring that a broad range of relevant skills and expertise are repiesented on the Board. In reviewing the membership olthe Board, and any nominations for new trustees or for the ekntign of the Chair, the Board seeks to.. 1. Ensure a good distribution of skills and experience ar￿n9st Trustees.. 2. Ensure the limety and effedive successicffi of the Chair of the Board.. 3. Implement an induction programme and ensure relevant information is provided lo new Trustees, and monitor on any ortrgoing training needs for all Trustees. In order lo carry this OLrt effectively, the Foundation has established an Appointments Committee, which seek$ lo facilitate the above, recognising the destre to aCh￿ve equalrty and diversty at Board level and ensuring recruitmenl lo the Board is Iransparent and objective. The Foundation is also continualty devebping rts induction programme for Board rrEmbers. and uses resources supplEd by its key propety and investment advisors lo prowde in￿ming Trustees with the infomialion they need to deliver their roles effectively. The FOundat￿n is also seeking to develop rts internal systems mor8 fully to provkle Trustees wrth access to infomiatKJn dwJitalty and ulilises technolc¥3y to hold Board and Sub-commrttee meetings virtually. where appropriate. PUBLIC BENEFIT The Trusl*s confirm they have considereo their duties and have ward lo the guTrdance contained in the Charity CommissK)n's genefal guidance on public benefit when reviewing the Foundation's aims and objectives and in planning fvlure activit￿$. The FoUndat￿n supports worfi to provide equalrty. choice and independence for disabled people, ensuring &cess to facilities and opportuni(ies that may be avaiL8ble to the publK in general. The Foundation fuwils this purpose through the awarding of grant fvnding, largety bul not exdu5ively, lo the Papworth Trust, in support ofprogrammes and activrties that improve the lives of disabled people. The tru51ees consider application5 for funding, from Ihe Trust via consideration of rts Strateg￿ plan and budgets, and from other organisation5 via a formal applICat￿n5 process, and reviews the outcomes achieved via the submission of regular reports and presentations to the Board The Trustees are therefore confident that the actsvities of the Foundation are carried out for the benefit of others. monrtored by regular reporting on impact and effectiveness of activities undertaken by berEficiary organisatior6 and the Twstees have due regard lo public benefrt lesls when making decisions. FIXED ASSETS Fixed as5els are held in order to aehieve the objectTves of the Foundath)n. The movements in fixed assets during the year are sel out in notes g and 10 to these financial statements. THE VARRIERJONES FOUNDATION IA COMPANY UMITED BY GUARANTEEI TRUSTEES. REPORT ACHIEVEMENTS AND PERFORMANCE In the Trustees, Report for the year ended 31 March 2022, The Foundation set out the following objeetive5 for the year lo March 2023 and achievement against these is shown in the tab￿ bebw.. Objective Pursue planning enquiries wrth l(Thl authorrties lo seek lo bring potenllal development sites into being. Review the offeiing al Pendrill Court lo utilise currently vacant space. Achievement Currently awatting decsion on planning application subrnrtted in Jan 2023. Lettings aThJ interest have picked up on vacant space and we have also agreed a model for more fflexib￿ betting arrangemenls to improve occupancy. No further reconfNJuralion planned at this present time. Continue the active marketing of Papworth Hall to secure a surtable occu nl. Build on the Business Plan and Reserves work to develop and embed a long-temi str*egy for the Foundat￿n. suitably considering returns required over Ihe long-lemi. and the risks to delivery of these. Lease agreement completed April 2023. Grants and Dislributions policies developed, and e￿ernal advte receNed to progress. Anticipated lo be fomalty agreed by the Board during 2023-24. Fomialise a distribution policy th* better supports the long-lemi sustsinabilty plan$ for the Foundation. Dislrt•utK)n policy lo be fomially a9reed during 202>24 Funding for 2023-24 for PaWh Trust fomialty agreed Manage the transrtion to Oebbie Lowlher, as new Chair. followng the retirement of Richard Norton at the erKI of his temi of office. as well as recruiting further trustees to maintain the target wmpliment Debbie Lovlther has now taten over as Chair and two addrtional Trustees appointed, strengthening Ihe Board and providing surtabLg skills and balance. THE VARRIERJONES FOUNDATION IA COMPANY UMITED BY GUARANTEE) TRUSTEES, REPORT FINANCIAL REVIEW The charity rna¢Je an twerating deficit for Ihe year of £34,612 12022. deficit of £889,512). The del￿11 on operations is slated aftef direct grants of £1.330.00012022 £1.785.5741. The Foundation manage5 Ils financial performance and distribution policy on a lotal return basts. in order lo provide the best opportunity lo meet ils objectives over the medium lo long lem. In the financial year to 31 March 2023. total r￿vemen1 in funds was a loss of £2.383.48612022 gain of £2,143,261) The value ol listed market and propety in¥e5tmenls Still held decreased by £2.848,874 in the year12022.' in¢rea$e of £3,032,773). including the wrthdrawal of £SOO.(X)O frcAn the portfol￿ in the year. The Foundation mède grants as folkNts". The Papworth Tnjst NARA The Breathing Chafity Ipswich Opportunty GfOUP Slrongbones Child￿n,$ CharilatrAe Trust Stepping Siones Rowan Humber51one Limited Tokl 1,300,( 3.CQO 5.WO 10.000 3,000 9.CQO 1.330.01)0 Resep*es policy The Trustees hold all the reserves of the Foundation as un￿tr￿le￿ funds. The Trustees seek lo ensure sustainability of their grants and therefore. as far as possible, seek to protect the undwtying capital held by the Foundation. In seeking to do this. the Truslees regularly revw the reserves policy of the charity and have developed the reserves policy lo better reflect the Foundation's fotsl Return approach lo reserves management. This polrcy, going forward. will seek to desBJnate elements of the reserves held as described below, in ordei lo improve the visibility of Ihe resilience of the fund5 at their di5P05al. Desi naled Income Fund The Foundation aims to maintain a destgnated inccyne fvnd, consisting of Income Reseryes. funded from the planned di51ribulion from its assets on a lotsl ￿luM basis, wrth a view lo suslaining eharrtable aetNilies for a minimum of six months and a target ol ts¥elve months. Desi nated Investment Fund The Foundation aims to maintain a desunated invesknenl fund. consisting of Foundation C8Pltal, which is the real-temi value of the undertying assets used to estsbli8h the Foundation. and Capital Reserves. which represent unapplied total return on investments. The level ol reserve5 to be retained is subject to annual revie* and will be linked to the VJF busines5 plan and budget cycles. The Foundation is free lo a(Jopl any approach to reserves management it deems appropriate, subject lo general charitabk principles under CC19. For the 2022123 financk?l year the lund balances hekl. Compa￿ lo the target level. at the reporting dale are as follows. and are further reported in note 16. £'OOOs Foundalion Caprtal Capital Reserves Income Reserves Fund balanc• 49.455 Target range 49,455 674- 1,348 Total Unreslncted Funds 56.514 The Foundation Caprtal and Caprtal Reserves is targeted lo maintsin the real value of the underlying assets used to establish the FoundatKJn. This has been cakulated by taking the value in 2010. al which point assets ad been translerned and investments eslablished and inijexing that forward to the present day. The funds are currently ahead of largel range. reflecting the strong historical growlh of the fund in line with global markets, wilh the surplu5 on thi5 an1￿1pated to become less material as the found*ion's total return policy is deployed and lo tend to zero over successive business cydes. THE VARRIERJONES FOUNDATION IA COMPANY UMITED BY GUARANTEE} TRUSTEES. REPORT The ineome reserves target is based on the charitable aclivrty and other support costs (see note S and 618nd income reserves are anlicipaled to reach target ¢)veT the nexl 12-24 months as the rewsed distri)ulion policy is (teployed. Comment5 on events that have affecled financial perfomwn¢e Income has slrenglhened in the yeaf. wilh both rental income from invesiment prr4)erties and incorne generated from the listed investment portfolK) showing improvement. Investment property income ha5 51renglhened on Ihe eslablishmenl of new leases at the Business Park. secured at market rates, with void5 at Pendrill Court remaining through most of the year. though intecesl has started to pick up wrth a couple ol the smaller unrts recently being let. The market for small lo medium-sized office space in fufal locations remain5 supressed as organisaiions continue to mainiain hybrid I home-wofking approaches. Ihcwgh we are starting to see more interest. and we have also considered our operaling model lo offer more flexible temis to traditional off￿e leasing. Income from the listed Investment portfolio has recovered well. increasing by 31% over the prior year, reflecting improved dislribulions from equrties and improvements in fixed iw)me.. Operational costs have largety remained slable dufing the yeai. with additional costs of supporting the maintenance of void properties, and unrecoverable Service charges and council tax. being offset by lower than anlicipaled plannin9 fees and bek)w budget pLanned maintenance expendrture. Investment management fees have been k)wer than Ihe previous year tlue to Ihe decreased valLte of the portfolio. Undertying operating costs remain high due lo the ongoing cosls of maintaining and operating sites at Papworth Hall and VOKI units in Pentlril Court. wh￿h shcxjkl redu￿ in the forthcoming year. Distribution ￿velS were signrficanlty reduced as we sought to rebalance Ihe distribulK)ns made to accord better with our lolal return and distribut￿n p)li¢y as we seek to establish a structured basis to ensure lon9-lerm slabilty, whilst maximising impad. The value of the market investment fLbnds held de¢rea$ed by £3.010.374. refle¢tirvJ wthdrawal of fund5 of £SOO.000 and a dKrease in value of £2.510.374. This needs to be considered in the lighl of long-terrn movements in the fund valuatK)n. and the policies being established are such as lo allow elements ol market volatility lo occur Witho￿ disturbing long-temi distributson plans. Investment policy The Tiuslees have discretionary pcFMers lo invest the Foundation's monies in the purchase of investment5 or propety. The Foundation seeks to produce the besl risk adjusted total financial retums from its financial investments. The property assets are actively managed. yielding a rental return and surplus which. together wth return5 generated from the listed inveslment portfolio. are used lo meet the Foundation's Chantab￿ objectives by providing grants to the Papworth Trust and to other charities. The propety portfolKJ is managed to achieve a comme￿Ial rate of retum. whilst preserving the long-tem value of the assets. Listed investmenls are m￿age{l on a Total Return basis. The investment and distribution objectives, and the asset allocation parameters. are agreed by Ihe Board. through the Inveslment Commrtlee. and encapsulated in a Slalemenl of Investment Policy, which is IMp￿mented by external rnvestmenl managers. The investment objective is lo maintain the real value of the assets over the lon9 tem. thus preservin9 the purchasing power of distnbul¢ons. The Foundation decreased rts granl lo the Papworth Trust by £455.000 in the year. as the Foundation sought lo rebalance dislributions in line with rts long-term sustainability plan. A small number of other grants were made, in support of Ihe objects of the FOUndat￿n. THE VARRIER4ONES FOUNDATION IA COMPANY LIMITED BY GUARANTEE) TRUSTEES. REPORT Risk Management The Foundation Manages the nsks that rt face5 by considering Ihe key risks wbcipated at each Committee meeting, escalating these lo the Board where necessary. The Foundalion use5 8 risk register lo record the key risks faced by the Foundation and the actwities that are employed lo mrtigale those risks. This regisler 1$ reviewed al least annually by the Trustees. The Trustees retain oversight of the adIVrt￿S of the Foundatw)n throwjh a system of internal controls and delegation, designed to manage key r￿ks, to give reasonable assurance as lo the accuracy of financial infomation and to safeguard the Foundation's assets and repLrtation. Principal risks faced by the Foundation The Foundation's key risks are as follows". Risk Impact The Foundatson relies on a small number of individuals with key skills to manage complex property and investment portfolios. L05s of those skills could impact on performance and result in IcN4ei returns. Mitigatlo The Board considers governance and success￿n planning regularly. The Board ensures rt employs appropriate staff and establishes strategic partnerships with key advisors to ensure the Truslees are properly advised. The Foundation also purchases services from external parties to support operations. where required. Board resilience has been strengthened with additional Trustees. Contractor appointed to regularly survey and manage woodland l open spaces. Risk assessments undertaken and action plans developed and execuled. Suitable insurance cover maintained. Loss of key skills to manage and govern the Foundation. Empty Property. open woodland and unadopted roads etc. Present a potentral public liability rlsk to the Foundation. Polentk?I public liabilty claims due to accident o injury caused. Limited internal controls. formal systems and segregat￿n of duties due to a low number of key staff increases the potent￿1 scope lor Iraud. Finan¢ial- loss of funds. Appropriale scheme of delegations of authorty have been established, wrth key payments and investment instru¢lions approved by Trustees. Close monrtoring by management ￿gular management accounts and on-line *cess to investment reports and transaction in10m￿tion is maintained. and any issues or risks reported to Trustees. THE VARRIERJONES FOUNDATION (A COMPANY LIMITED 8Y GUARANTEE) TRUSTEES. REPORT Risk Impact VJF endowment shrinks in real tems. Reduced absolute level of funds aval￿ble for distribution. Mlogatlon Appropriate distribLrtion policy is set at 3.25Yo of average NAV over prevk)u$ 12 quarters and is COns￿ered in light of the expeded foTh¥ard4ooking relum on the investment portfol￿. Investment pdicy stales guideline asset class ranges intended lo deliver a 3.25% real return over the I¢￿9 tem). Appropri*e investment manager sele¢lion thal invest$ in a portfolio that 15 diversified ross asset classes with appropriate ncenlralion limrts intended to deliver 3.25% real returns over the Song temi. Active ￿VIeW of dislribulion policy by the Investment Commrttee for suilabilty. Appropr￿le reserves policy maintained. Investment Value: Significant fall in real caprtal value of listed investment portfolio. Below target investment returns.. Macroeconomic faclors Ihigh inflation, high interest rates, poor economic growthlrecessionl cause poor or negative returns on risk assets. If relurns are below the 3.25% real target. the real value of the captsl is eroded rf the distribui￿n rate is maintained_ Portfolio liquidity- Lack of cash and other liqutd asset5 to fund dislTibutions and expenditure. Forceil lo sell assets lo meet cashfl¢)w requirements al distressed prices whrch destroys value. Extemal investment manager selection priontises funds with daily I￿Uld1tY. The Slalemenl of Investment Policy contains appropriate cash allocation and benchmark currency exposu￿ ranges. noting lo￿ of VJF'S expenditure is in sterfing. The Board iews the VJF forward-looking cashflow projeclKJns quarterly. An informal poI￿Y is to maintain approximatety £250k ¢ash and cash equiva￿nIs buffer outside the Sarasin investn￿nI portfolio. Inability to improve rental property occupancy. post Covid- 19, and the subsequent changes to the wider econom￿ environment and demand for office space. affeclin9 rentsl yiekds and increasing unrecovered costs. Fail to secure adequate planning approvals and ijisposal proceeds from ijevelopment siles lo mitigate loss of hospital income. Material downgrade in property valuations due to difficutt lettings market leads lo polent181 impaimienl Charge. Empty propety will restjlt in bsl rents. Servi￿ Charge and rates costs. This may impacl the ability lo maintsin gfanling al the current The Propety Committee closely manages the pft)pety portfolm). with support and inpul from our property advisors. and looks to miligale future voids by developing plans well in a(Jvance. Active consideration and options appraisals are prepared for vacant srtes, but short-lem) Challenge remains. Planned capital receipts not achieved in year, not givir the portfolio grovrth planned. adVetse￿ iryacling cash flow. Positive engagement maintained with planners, via eXper￿nCed property development TrLJslees. Sympathetic schemes sought of sufficient scale to attract developers. Total asset value diminishes, reducing funds available for distnbution. and potentially weakenin9 returns. DiveTsrfied property portfolio, with key assets held in currentty attraciive large-scale industrial unrts. Mixlure of tenancy pertods also supports Maintsinl￿ Pa￿ with the market. THE VARRIERJONES FOUNDATION {A COMPANY LIMITED BY GUARANTEE TRUSTEES. REPORT Internal Controls The or9anisation procures the se￿￿e$ of Papworth Trust for managemenl accounting, IT and Human Resources support, and ulilises Ihe support of professional firms to support property management and health & safety governance. It is recognised that there are inherent rBks wilh a small staff learn, therefore a scheme of delegation has been established to address the drfficully of achieving suitable segregation of duties, and appropr￿le aulhorisalion levels, wh￿h also involves the participalion of the Trustees. The Trustees maintain 8 risk register, which is reviewed at least annualty. and the &)ard also feceives quarterty management accounts reporting, comparing actual resutis to budget and forecasts. to ensure appropriate budgetary control is being maintained. The Trustees have rewewed the intemal controls in operation during the period and are satisfied Ihal there are no issues ￿adIng to any material Un￿rtaintY regarding these financial statements. PLANS FOR FUTURE PERIODS In the next fAnan¢ial year. The FOundat￿n plans to.. Secure the planning consent for the existing appI￿alb)n at Jubilee Green Increase the ￿¢upancY at Pendrill Court. deploying more flexib￿ terms as necessary Estsblish ¢￿ar plans for othec vacant buildings I space in Papworth Everard Finalise the grants and distribution policies to support the long-tem sustainablty plans for Ihe Foundation Review and revise the operatK•nal support for the Foundation in line with governan recommendalions and besl pract STRUCTURE. GOVERNANCE AND IAANAGEMENT The FoUndat￿n is a wmpany lim¢ted by guarantee. govemed by rts MeryKJrandum and Articles ofAssocialion. 11 is a registered charity with the Charity Commission. The Foundation is govemed by its Board of Trustees. consisting of the Trustee5, as SL*ed on page 1 of the financial statements, which meets quarterty. The Trustees, assisted by siaff, are responsible for fornulating the Strategy and policies of the charity. including the approval of budgets and exercising of financial control. In addition. the Foundation procures support and adw.ce from exlemal advisors in key a￿a$ of its operations srtcluding inveslrnent and propety management. The Trustee5 also maintsin Commrttees to oversee indrvidual elements of its operation. The Commrttees currently in operatlon are as follows". Pro Committee The Propety Commrttee oversees the pr¢)pety portlolio of the FOUndat￿n, w￿kIng with extemal ajvisors to sel the strategy, report on performance and to make recommendations lo the Board. The tems ofengagemenl of these advisofs, and their perfomance. are revithwed regularly to ensure Ihe primary objectives are being met. This Ccmmrttee reports to the Board al each Board meeling. Inv tmenl C(ynmitt The Joinl Investrment Committee oversees the investment portfolio of the Foundation, and also that ol the Papworth Trusl. wrth the funds invested wrth similar strategie5 to maximise synergies and eff￿lenCleS. The Committee reviews Ihe inve51menl strategy, monrtors investment performance and makes recommendalion5 lo Ihe Board S￿1h regard to investment policy and asset allocation. The Statement of Investment Policy is reviewed regularty lo ensure Il remains surdable for the organisation The Committee mDnilor5 the performan of the investment manager. and reports on investrrent perf0m￿nCe lo the Board at each Board meeting. THE VARRIER-JONES FOUNDATION {A COMPANY LIMITED BY GUARANTEE) TRUSTEES, REPORT ointrnents Committee An Appointments Committee manages ihe prcws of recfuiting new Trustees and electing officers for the Foundation. This meets periodicalty. as fequifed. an(J brings recommendations lo the Board for new appointments, based upon an assessmenl of skills requiied and contributions new Trustees may brin9. Grants Committee A Committee has been estsblished to set the criteria and consider grant awards to Papworth Trust an¢J to other Ofganisalions that apply lo Ihe Foundation. This Committee meets a year and considers applicalions on their Strateg￿ fit. viability. and impact. as well as undertaking necessary due diligence on potential beneficiaries. The Committee makes recomrrEndations to Ihe Board for approval, and monitors the awards made via the collection of reports on expendrture made and impact achieved. Fundraising approach The FounLYalion's income is generaled mainty Ihrough retums on ils inveslment and property portfoltos that are approprolety managed to lully meet with the objectNes of the Charitab￿ organisalion. No formal fund- raising activity is deployed lo generate Income frc¥n members of the public. Whilsl members of the public are able to donate contributions volunlanty rf they so wish. the trusl does not promole fund raising. No professional fundraisers are employed by the Foundation. Responsibilities for day to day management of the Foundallon Debbie Lowther is Chaii ol the Fountlalion. overseeing the overall governance and operation of the Foundation Michael Alexander oversees all pr(4)ety matters as Chair ol the Property Committee, and Joanne Bugg oversees f￿anCial investmenls a5 Chair of the Joint Investment Committee_ Chris Sheasby, a5 Treasurer. supports the Board and Conynittees as approprk?te. The Trustees are supported by employed 51aff, as well as outsourced govemance and financial management support from the Papworth Trust. TTustees' responsibilities The Trustees (who a￿ also dire¢lors of The VaTrieT-Jones Foundation for the purposes of company law} are responsible for preparing the Trustees, Report and the financial stalements In accordance wrth applicable law arKI Unrted Kingdom Accounling Standards (United Kingdom General￿ Accepled Accounting Practieel. Company law requires the Trvslees to prepare financ￿1 statements for each financial year, which give a true and fair view of the slate of affairs of the ¢harilable company and of the incorning resources and application of resources. including the income and expenditure. ofthe charilabk company for the year. In preparing these financial slalements. the trustees are required to- select 5ui(able accounting policies and Ihen apply them ¢onsistently,' observe the methods and principles in the Charrties SORP.. make judgements and estimates that are reasonable and pru¢Jenl'. stale whether appltsble UK Accounling Stsndard5 have been followed. subject to any malenal departures discl¢)sed and explained rft the financial statements." prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable eompany wll continue in Operat￿n. The Truslees are responsible for keeping adequate accounting records that disclose with reasonable accuracy al any time the financial poSit￿n of the charitable company and enable them to ensure that the financial slalemenls Comply wilh Ihe Companies Act 2006. They are also respons1ble for safeguarding the assets ¢1 the chartsble Company and hence for tsking reasonabk steps for the preVent￿n and detection of fraud and other irregularities. In $0 far as the Trustees are aware". there is no relevant audit information of which the charitabk company's auditor is unaware, and Trustee5 have taken all steps that they ought to have taken lo make themselves aware of any felevanl audrt infomalion and to establish that Ihe audilor is awa￿ of that inform*ion. 10 THE VARRIERJONES FOUNDATION IA COMPANY UMITED BY GUARANTEEI TRUSTEES. REPORT AUDITORS Ensors Accountants LLP were reap￿iftted as audrtors of the charitable company and in accordance with tion 485 of the Companie5 Ad 20(￿ a ￿$￿VI10n proposing that they be reappointed will be put ai a genèral meeting. OUR THANKS Finally, the Trustees would like to thank the staff for Ihwr dedication, hard work and commrtment lo the work of the Foundation. Registered office: By order of the Board Upper Pendrill Court Em?ine Street North Papworth Everard Cambridge C82 3UY D Lovrther Chair Date: 0911112023 THE VARRIER-JONES FOUNDATION IA COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE vARRIER￿ONEs FOUNDATION Opinion We have audrted the financial stalements of The Varrier-Jones Foundation for the year ended 31 March 2023 which comprise the Statement of Financkal Activitie5, Balance Sheet and Cash Fl¢)w Statement and relaled notes. The financial ￿pOrting framework that has been applied in their prep3ralK)n is applicable law and Uniled Kingdom Accounting Standards. including Financial Reporting Standard 102 The Financial Reportir Standard applKable in the UK and Republ￿ of Ireland (Untted Kingdom GeneTally Accepted Accounting Practice). In our opinM)n the financial statements-. gwe a true and fair view of the state of the charitable company's affairs as al 31 March 2023, and of rts income and expenditure for the year then ended", have been properly prepared in ￿)rdance wrth Unrted Kingdom Gènerally Accepted AccounlirKJ Practice,. and have been prepared in accordance wlh the requirerrtnls of the Companies Act 20C6. 8a$is for opinion We conducted our audit in accordan￿ with International Standards on Auditing {UK} IISAS IUKI) aThJ applicable law. Our responsibilities underlhose stsndards are further described in Ihe Auditorfs responsibilitie5 for the audit of the financial slalemenls section of our report. We are independenl of the charitable company in accordance with the ethical requirernenls that are relevant to our audrt of the financial statements in the UK, in¢luding the FRC'S Ethical Standard. and we have fulfilled our other eth￿al responsibilities in a¢¢ordance with these requirements. We believe that the audrt evidence we have obtained is $uffi¢ient and appropnale to pfovide a basis for our opinion. Conclusions relating to going concern In auditing the financial statements, we have eoncluded that the Directors, use of the going Cor￿eM basis of accounling in the prepwation of the financial statements is appropriate. Based on the work we have performed, we have pJentif*d any material uncertainties relating lo events or condrtions that. individually or collectively. may cast significant doubt on the chantable company's ability to continue as a going concem for a period of at ￿ast tsvefve mnlhs from when the financial slalements are aulhorised for issue. Our responsibilities and the responsibtlitie$ of the Directors wrth respect to going co￿e￿ are described in the relevant section5 of this report_ Other inforniation The other informal¢on comprtses the infomialion inclLKJed in the annual report other than the finaneial slalemenls and our auditor's Teport thereon. The directors are ￿spOnSIble for the other information contained wrthin Ihe annual report. Our ¢>pin￿n on the financial slalements does not cover the other Infomiation and. except to the extent otherwise eXpl￿rtty slated in our report. we do nol express any fomi of assurance conclusion thereon. Our responsibilrty is to read Ihe other information and. in ¢Yoing so. consider whether the other inlomiation is materially incon5i51ent wrth the financial stalemenls, or our knowledge obtained in the course oflhe audit, or olhefwise appears to be Maler￿lty misstated. Ifwe idenlrfy such material inconsislencies or apparent m*erial misstalements, we are require(1 to detemine whether this gwes rise lo a material misslalement in the financial statements themsefves. If, based on the work we have performed, we conclude that there is a material misslalemenl of IhÈs other infomwtion. we are required to report that fact. We have nothing to report in this regard. Opinions on other Matte￿ prescribed by the Companies Act 2006 In our opin￿n, based on the work undertaken in the course of the audit-. the information given in the Truslees. Report for the financial year for which the financial ststements are prepared 15 consistent with the financial statements.. and the Trustees, Report has been prepared in accordance with appltsble *al requirement$. 12 THE VARRIERJONES FOUNDATION IA COMPANY LIMITED BY GUARANTEEI INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE VARRIERJONES FOUNDATION (continued) Matters on which we are required to report by exception In the light of our knowwge and urKlerslanding ofthe charitable cc*wny and ils environn*nl obtained in the ¢ourse of the audit, we have not Klentrfied material misststements in the Twstees. Report. We have nothing to report in respect ol the f￿1￿ing matters in relation to whKh the Companies Act 2006 requires us to report to you if. in our opinion. adequate aC￿UntIng records have not been kept. or returns adequate for our audit have not been received from branches not visited by us.. or the financi81 slalements are not in agreement with the accounling records and ieturns.. or certain disclosures of Trustees, ￿muneRt￿n specified by law are nol made,. or we have not received all the inlormalK)n and explanalK)ns we iequire for our audit," or the Trustees were not enlrtled to prepa￿ the financial slalemenls in accor¢Jance with the small companies. regirne and lake advantage of the Small compantes. exemplions in preparin9 Ihe Trustees, Report and from the requirement to p￿pare a Strateg￿ reFQrt. Responsibilities of trustees As explained more fully in the TTuslees' ￿pOnsIbIlitieS slalemenl. the Tnjslees are responsible for the preparation ol Ihe financial statements and for being satisfied that they give a true and fair view, and for such internal control a5 the Trustees detemine is necessary lo enab￿ the p￿paratIOn of financial slalemenls that are free from matenal misslalement, whether due lo fravd oc error. In preparing the financial statements. the Trustees are responsible for assessing the charitable company's ability lo continue as a going concern. disck)sin9. as appI￿able. matters related to going concern and using the going concefn basis ol accounting unless the Truslees erther inlend to liqukdate the charitabk company or lo cease operations. or have no realistic allemative but to do so. Auditorf$ Te5ponsibilities for the audit of the financial ststements Our objectives are to obtain reasonab￿ assurance aboul whether the financial statements a5 a whole are free from material misslalement. whether due to Iraud or emr. and to issue an audrtorfs report that includes our opinion. Reasonable assurance is a hKJh level of assuran¢e but Is not a guarantee that an audit conducted in aCcorda￿e with ISAS IUKI will a￿ayS dete¢i a material misstatement when it exists. Misstatements can arise from Iravd or eNof and are Considered material rf, individually or In the aggregate, they could reasonably be expecte