The Foundling Museum Annual Report & Financial Statements 31 March 2021 Charity Registration Number 1071167 Company Limited by Guarantee Registration Number 03621861 (England and Wales) The COvidLette￿.' A Vital Update, Poppy, age 11, Liverpool O the artist. Contents Reports Reference and administrative information Chair's Summary Director's Review Reflections from Partners & Participants Development Review Operations Review page 3 page 4 page 11 page 15 page 20 page 21 Trustees. report page 22 About the Museum Structure, Governance and Management Trustees Charitable Objetts Mission Future Plans page 23 page 23 page 24 page 24 page 25 Museum Relationships Supporters Covid Emergency Funding 1700 Club Members Individual Supporters Corporate Supporters Trusts and Foundations Donors and Supporters Relationship with Gerald Coke Handel Foundation Risk Management Statement of Trustees, Responsibilities page 27 page 27 page 27 page 28 page 28 page 28 page 29 page 30 page 30 page 31 Independent auditorfs report page 32 Financial Statements Consolidated statement of financial activities Charity statement of financial activities Balance sheets Consolidated statement of cash flows Principal accounting policies Notes to the financial statements page 42 page 43 page 44 page 45 page 47 page 55 The Founding Museum Reference and administrative information Trustees Anne Beckwith-smith Christopher Cotton Jeremy Deller William Gore Ronald Gould Perdita Hunt Claire Jeffers Larissa Joy (Chair) Lord Simon Russell of Liverpool Lemn Sissay Company Secretary Nigel Cudlipp Registered and principal office 40 Brunswick Square London, WC1N IAZ 1071167 Charity registration number Company registration number 03621861 (England and Wales) Auditor Buzzacott LLP 130 Wood Street London, EC2V 6DL Bankers National Westminster Bank PIC Chancery Lane & Holborn Branch 332 High Holborn, WC1V 7PS CAF Bank Limited 25 Kings Hill Avenue West Malling Kent, ME19 4JQ Solicitors BDP Pitmans LLP 50 Broadway London, SW1 HOB Summary from the Chair The Foundling Museum's mission 'Creative Action, Transforming Lives, has, more than ever, been its north star in these times of extraordinary uncertainty and adversity. Throughout the challenges of the past year, the leadership team and board have continually returned to the fundamental grounding guides of the Museum's purpose and the needs of the communities we serve, to help us shape our responses and decisions. Over the past twelve months there have been many opportunities for innovation and reinvention, despite the Museum team facing extraordinary challenges, professional and personal. With the generosity and flexibility of our many valued supporters and donors, we have tried wherever possible to seek out and build on those opportunities. I hope that we can communicate at least some of this positive spirit in this Report. Public Exhibitions and Programming Whilst the Museum was amongst the first in the UK to re-open its physical doors safely after lockdown, there were substantial periods when we were required to close to the public, in line with UK Government direttives. This had significant impatt on the planned programme for the year. The CovffdLetters.'A Vital Update, Macie, aged 8 and Teja, aged 7 in front of their posters. The CovidLetters.' a Vital Update, an extraordinary exhibition curated by Jeremy Deller, showed the work that Jonny Banger, designer and owner of fashion label Sports Banger, gathered from the nation's children and young people during lockdown. Using their imagination and creative talents, under 16s from across the nation took the opportunity to make their voices and feelings heard, through customising the letter that Prime Minister Boris John50n wrote to every household in the UK, urging residents to stay at home. Displayed in the Museum's exhibition gallery and interspersed throughout the historic collections, the product of their work brought to life the museum'5 300-year-old story of creative campaigning. The exhibition appeared online and across social media. Visitors to the exhibition had the opportunity to support the Christmas food bank run by Sports Banger and friends and the Museum's work with disadvantaged young people, through the purchase of Sports Banger merchandise. 41 Marcus Gheeraerts11, Portrait of a Womartin Red, 1620 0 Tate, from Portraying Pregnancy Ghislaine Howard Pregnant5elf Portrait, 19840 The artist, frorm Portraying Pregnancy The Museum's landmark exhibition 'Portraying Pregnancy.'from Holbein to Social Media, curated by Karen Hearn, ran from January to August 2020, exploring representations of the pregnant female body through portraits over 500 years. Through paintings, prints, photographs, objects and clothing from the fifteenth century to the present day, the exhibition exposed the different ways in which pregnancy was, or was not, represented and provided an exceptional opportunity to Sltuate contemporary issues ofwomen's identity, emotion, empowerment and autonomy in a 500-year context. A major Symposium to raise public awareness on maternal mental health, coinciding with Portrayingpregnancy and due to take place at the Museum on 23 March 2020, sadly had to be cancelled due to the national lockdown. The Museum is indebted to Dr Alain Gregoire, Honorary President and Co-Founder of the Maternal Mental Health Alliance, for his help and advice in building the programme for the Symposium, and to the exceptional speakers and panelists from many settors and organisations for offering to participate. As the pandemic unfolded, we looked for new ways to make our Collections available online in an accessible way and to stay connected with communities at the heart of the Mu5eum'5 life, including our volunteers, care-experienced trainees and graduates of our Tracing our Tales programme, and former pupils of the Foundling HosPltal. The Museum team is continually aware that increased digital activity does not always mean increased access to the Museum's work. In particular. for those of our communities experiencing poverty, accessibility does not always equate to making materials available digitally. We are continually balancing this dynamic. The year did nevertheless see signif icant increases in investment for digital infrastructure, which underpinned a desire to make more of the Collection and the Museum's work available online and across digital platforms. This investment has begun to have an impact in this 20121 year but the full force and effect of this will likely bear further fruit in the financial year 2021122. Iirjp Sharedstories, Sharedvoices worksh(>ps led by artist Emma Crouch. Ph(>t(>'. Will jacobs Sharedstories. shared Voice5 is a collection of highly personal responses to objects usually on physical display in the Museum, made by the very people who have a deep personal connection with the stories they tell. The initiative to create the programme was inspired by a desire to reach out to care-leavers, elderly former pupils, and volunteers isolated by lockdown. Lunchtime talks previously held within the Museum's physical walls benefitted from a new digital format, substantially increasing and diversifying audiences. Caro Howell, the Museum's Director, was able to lead an online Q&A session on the topic of collecting in response to Covid, with a group of secondary school pupils from Sydney, Australia, and 'ln Conversation With...- sessions reached audiences as far afield as Europe, the USA and Japan. Inspired by these early successe5 and the opportunities they afford, the Museum expect5 to invest more in operationalising a new digital strategy, developed during the last year with support from generous donors. Learning. Impact and Outreach The depth and longevity of the Museum's relationships with its partner primary schools and nurseries, meant that we were able to remain a constant valued creative support to staff and pupils whose schools remained open, as a large number of their parents were keyworkers. The Museum provided music and art workshops via private YouTube films early in lockdown. Then as soon as lockdown lifted until late December, in-person artist-led workshops within classrooms. In early 2021, before artists were allowed back into classrooms, Art Explorer Boxes were delivered weekly to schools, with the objective of supporting physical, mental and cognitive development, in line with national curriculum. Similarly, we supported trainees and graduates of our Tracing our Tales programme with weekly phone calls, as soon as lockdown began and worked in partnership with them to produce online family workshops, as well as a film Isolation Notes, documenting their lives and feelings during lockdown. For families, the Museum used Instagram and its website to deliver creative, simple lockdown activities, using everyday materials. Dame Jacqueline Wilson, Foundling Fellow and creator of the much-loved foundling character, Hetty Feather, worked with the Museum to create an online story and illustration competition. Inspired by the true story of the foundlings at the Foundling Hospital, Dame Jacqueline started a new story about two small children arriving at the Foundling Hospital with their foster mother. Over 18 weeks, children sent in their stories and illustrations. The result was a magnificent celebration of the children's imagination and ingenuity, as each week's winning chapter was added with illustrations online, to form a brand new story in real time, for the public to enjoy. Thankfully, the museum was open in time for Halloween, which presented spooky, ghostly and ghouly opportunities for activities for local families. The reception and success of our Covid-response work in local schools means we have begun the process of extending our partnerships to include secondary schools and we look forward to seeing these relationships develop over the year ahead. Museum Team and Staff Not a year passes without the Museum board having opportunities to thank the Museum's outstanding Director, Caro Howell, and her small and talented team, including the Museum's dedicated group of volunteers. for their imagination, ingenuity and energy. This 15 the case this year more than ever. The Museum is soon to mark a decade of Caro Howell's leadership as Director. The Foundling Museum is extraordinarily fortunate to benef it from the dedication of the staff and volunteer teams, without whom the Museum simply would not achieve all that it does. This year, in line with our mission and in response to greater demand, we have strengthened the team with the addition of a new post of Community Development Co-ordinator. The broadening and deepening of relationships with local stakeholders has become even more important, against the backdrop of the Covid-19 pandemic. We have also increased the number and range of in-house training and development opportunities available to staff, to further support our efforts to retain valuable, highly- skilled members of staff. This included redeploying a member of the Venue Hire team to Development and Visitor Engagement to Operations. With the growth in the Museum's activities and the addition of a small number of new roles, we have also been able to offer career development opportunities for staff. Finally, we have taken the opportunity arising from the physical museum being closed to the public, to improve the workspace for staff and volunteers. This work was co-ordinated with small-scale capital works, to improve visltor welcome and access, upgrade lighting, increase space for retail and enable safer stafflvisitor interaction. The Support of Artists during lockdown The Museum is indebted to so many artists and creative practitioners, for their help, inspiration and encouragement during lockdown. Museum trustees, Jeremy Deller and Lemn Sissay, have been extraordinary in their creative support. During lockdown, we were able to revisit several highly-regarded projects from previous years, such as Chris Watson's Dawn Chorus and Claire Twomey's Exchange, as well as create new inclusive activities for families, devised by artists and our Foundling Fellow, Dame Jacqueline Wilson, which enabled us to continually engage with audiences, despite difficult circumstances and scarce resources. Every two years, the Museum invites three outstanding individuals to become Foundling Fellows and animate our core story of creative action, transforming young lives, through a project of their invention. Previous Fellows include Grayson Perry, Cornelia Parker, Yinka Shonibare CBE, Lily Cole, Michael Morpurgo and Sam Lee. In 2020, the Museum is delighted to confirm that Jonny Banger, Sir Quentin Blake and Jackie Kay have become Fellows. Blake also accepted the Museum's annual Christmas card commission, creating ajoyous card that lifted spirits during the winter lockdown. The Nuseum's 2020 Christmas card commission by Quentin Blake, Christmas Eveandthe Lamb Goe5 VisNting 2020 Q The artist Quentin Blake, Children with Birds andDogs, No 7, 2019 one of 24 Large scale drawings gifted by the artist to the Museum O The artist Board and Governance The Museum Board also took the opportunity arising from the pandemic to conduct wholesale review of the Museum's Governance. We were supported in this work by external consultancy specialising in the arts and culture sector. This was a positive and progressive review, and resulted in a refreshed responsibility matrix, clarification of a number of new roles within the board. l am pleased that Lord Simon Russell has agreed to chair our combined Governance and Nominations Committee and Robert Aitken has accepted the Board's invitation to assume the role of Vice Chair until he retires from the board in late 2021. This year has also seen the retirement from the board of Alison Cole, Spencer Hyman, Geraldine Macdonald, Margaret Reynolds and Paul Zuckerman, who served for a significant number ofyears, and who gave the benefit of their guidance and oversight to the Board. Trustee recruitment in 2021 will focus on further diversification of Board membership. l am particularly grateful to our Vice Presidents for their support during a tough year and in particular to Jamie Korner, who chairs the Museum's investment committee, supported by the Museum's International Trustee Emeritus, Judy Bollinger and Lord Darnley Ivo Clifton. Also to the members of the Museum's Corporate Advisory Board, chaired by Mary Walsh, who have provided valuable support to the Dirertor during the past 12 months. Our Supporters, Donors and Funders The Museum is exceptionally fortunate to enjoy the support of its wonderful donor5, supporters and funding partners. The Museum always has in mind the need to diversify the income streams that it requires to support its work and the pursuit of its charitable objects. We try to be imaginative and inventive about the approach we take. We are especially grateful that so many of our supporters have travelled the distance with us during the pandemic, being open to our requests for support, and responding positively to the substantial reworking Caro and her team have had to engineer to our plans for programming and engagement. We know how fortunate we are to benefit from your sustained, enduring support and on behalf of everyone at the Museum, we would like to thank you again for all that you do to support our work. After successfully addressing the challenges of the pastyear, we are looking foNard to delivering a range of exciting, relevant and impactful programmes in the year ahead. These include an exhibition exploring the importance of children's writers and illustrators in supporting young people's mental and emotional wellbeing, curated by our Foundling Fellow, Lauren Child, and featuring 24 new large scale drawings, donated by one of our latest Fellows, Sir Quentin Blake. Larissa Joy OBE Chair, The Foundling Museum 10 Director's Review Director, Caro Howell in conversation with Audrey Aidoo-Davies, Community Engagement Co-ordinator. 2f.w n69jIGV ni . r,l 4JbuL gobA IK- .5nilbni lol '.)l)G ir¥W Iflio 2fiV4 Itiio Audrey Aidoo-Davies, Community Engagement Co-ordinator, in conversation with Caro Howell, Director. AA-D: In what ways did the events of 2020 and its aftemiath affert the museum? CH: Our 280-year history is rooted in supporting struggling families and marginalised young people, in creative ways. The pandemic has exacerbated many of the systemic inequalities we aim to reduce. Our local area has above-average levels of childhood poverty, some live in digital poverty, and many are struggling with poor mental health due to isolation, worry and lack of support. Since March 2020, we've reallocated resources to scale-up work with these under-served audiences- your Community Engagement Coordinator role is part of this. We've maintained provision to our partner nurseries and primary schools, to tackle COVID'S impact on critical early-years development; we've increased pastoral support for care- experienced young adults., and we've developed new strands of community provision, to improve mental wellbeing and widen physical and digital access to the museum. AA-D: Which are the audiences you would say are under-represented and what has the museum done to engage with them? CH= Our work with early-years, looked after children and care-experienced young adults is really strong and embedded, but local families whose children do not attend our partner nurseries and schools, are not as engaged. So, we went back to the drawing board and began 11 a new audience development plan has unserved families at its centre. In addition to extending free admission from 16 to 21 years, we directly mailed 'golden tickets, to over 6,000 households characterised by low levels of cultural engagement and low incomes, to encourage visits. We've changed our tone of voice and exhibition titles, to make them more accessible. We're building a new website around the specific and varied needs of families, particularly those on lower incomes, and we'll be using interactions with it to shape future planning. Finally, we've extended the range of local and young people who work with us on programme development. AA-D.. What are some changes the museum has made this year to address the climate emergency. CH: We're making steady progress, with initiatives like our feed-in tariff solar panels and reducing the wastefulness of exhibition-making, by borrowing, lending and recycling materials. This year we established an Environmental Sustainability Group, enabling people across the organisation to identify opportunities and solutions. One priority for the year ahead, is to find ways to make improvements to the energy efficiency of our Grade11 Listed building. We'll also be interrogating all our activities, to identify ways to reduce their environmental impact through partnerships, digital programming, and sharing resources. AA-D: In what ways would you say the museum is forward thinking. CH: I'd say our forward thinking-ness is rooted in our past, specifically the Foundling Hospital's model of care. By this I mean achieving lasting change in young people's lives, through sustained commitment. Our'inch wide, mile deep, approach means we don't chase numbers or try to be everything to everyone. Our activism reflects the approach of our artist-founders, Hogarth and Handel, who used their creativity to transform the lives of care-experienced children and young adults, and support struggling families. So with our early-years, work, we build long-term partnerships with local nurseries and primary schools, to provide art and music workshops across each term, year on year. That way, creativity is embedded in the lives of disadvantaged children. from age 3 upwards, and the cultural capital they gain reduce5 the education attainment gap. By regularly involving their parents, we also help families feel more comfortable in a museum, and gain the confidence to return independently for drop-in family events. In this way, the possibility of making a trip to the British Museum becomes more likely. Similarly, our pioneering training programme for care- experienced 18-26 year-olds, is part of a broader pipeline of support that embrace5 'pre- traineeship, children in care, as well as on-going employment opportunities for graduates. AA-D: What steps are being taken to increase workforce diversity and support career development? CH= I believe we are leading the way, in removing barriers to museum employment for care- experienced young people. Building on our paid training programme and opportunities to 12 work in our family programmes, from next year, we are establishing an annual apprenticeship for care-experienced young adults. Working across all teams. they will receive hands-on experience, training, career development advice and interview support, within an environment that builds their self-esteem and confidence. In this way, we can use our unique story to empower one of the most under-represented communities in the cultural sector. We've increased diversity within the staff and volunteer teams, by changing our recruitment methods - using inclusive language, application forms that support disabled and neuro- diverse candidates, advertising with organisations that serve under-represented communities, and using an anonymous shortlisting process. There's always more to do, but these changes are already leading to positive results and encouraging feedback. AA-D: What has been the biggest achievement over the past 12 months? CH= Given everything that Covid threw at us, I'm proud that our social impact work didn't miss a beat - despite the fact that many of our core audiences were not in a position to 'pivot to digital,. Exhibitions were hugely disrupted and it was devastating to have projects fall away unseen, however, it's testament to the ingenuity and can-do attitude of the Museum's team, as well as the collegiate nature of our sector, that we were able to postpone, adapt or rethink the majority of our planned programme. Finally, thanks to the inspired and inspiring help of Jeremy Deller, Jonny Banger and over 200 children from across the country, our exhibition, The CovidLetters.'A Vital Update, gave children a much-needed platform from which to express their throughts and experiences of the pandemic. To realise a genuinely relevant. inclusive, creative and joyous exhibition, in the face of such extreme adversity and uncertainty, was a great achievement. AA-D: How can the museum better address themes of colonisation and race within its collection? CH= 2020 was a long overdue moment of collective recognition, that progress within the sector has been too slow, too piecemeal and too reactive. Our collection is rooted in the 18th century, the crucible of Empire, and the Foundling Hospital embraced royalty and aristocracy, the commodity-consuming middle classes, and the labouring poor, who fuelled national interests at home and abroad. So, these themes should be integral to the telling of our core stories, not add-ons. Until recently, women were absent from the Hospital's historic narrative, but through a combination of intensive research, major exhibitions, strategic acquisitions and long-term loans, this is no longer the case. In 2019, we began a collaborative PhD with the University of Warwick-'Forgotten Foundlings: Black lives and the eighteenth-century Foundling Hospital'_ to uncover evidence relating to colonisation and race, in the Hospital's vast archive. The results will form a major exhibition in 2022 and enable us to embed this unifying narrative within our Collection galleries. and no doubt identify areas for acquisition. We are also working with Prof Helen Berry, at Newcastle University, whose research and book,'Orphan5 of Empire.. the Fate of London's Foundlings., 13 are forming the base of an exhibition originally scheduled for 2020, but now slated for autumn 2021.. 'Fighting Talk: one boy'sjourney from abandonment to Trafalgar,. This show will reveal the Hospital's aim of producing 'useful citizens, in relation to Empire, the Navy and global trade, through the life of one eighteenth-century foundling boy. AA-D: What new audiences does the museum hope to engage with 5 years from now? CH- We're aiming to grow our national and international audiences significantly. Covid showed us that we have an audience in Europe, the States and Australia. We want to build on this through proactive programming and partnerships. At the same time, we want care- experienced people across the UK to see us as a responsive and stimulating creative resource, and a gateway to opportunities across the museum sector. Finally I hope that in five years, every local family will be regularly visiting us, on and offline. AA-D: What are some of the challenges you see ahead of this sector? CH: Overthe past year, digital has proved a godsend and a spur to change. However, there are challenges still unresolved. Firstly. how to fairly divide limited resources between the digitally privileged and those who are not, whose need is often greater? Secondly, when museum and gallery audiences have been conditioned to expect free access, how do organisations successfully monetize their digital offer, given that high quality content is not cheap, particularly where organisations are without dedicated, specialist in-house skills. Investment is hard without a means of recouping costs, meaning there's a real risk of deepening the existing digital divide within the sector. 14 Reflections from Partners and Participants Jackie, Nursery Head. Christopher Hatton Primary School: We have been lucky enough to work with the Foundling Museum for two years now, meaning that children work with artists in Nursery and then continue to visit in Reception for musical workshops. For many of the children, the Foundling Museum is the first museum that they have visited and this can be quite a daunting experience. However, because of the regular visits and the welcoming attitude of the staff, it Starts to feel like a safe place. By the time they are in Reception, going to a museum is something they look forward to. Most of the children at our Nursery come from disadvantaged backgrounds. Our visit5 to the Museum help to widen their horizons. They build up their knowledge of what a museum is and what to expect when they visit. The staff and artists always explain to the children the history and purpose of The Foundling Museum. This is repeated and built on at every visit until the children understand and internalize this. They are made to feel that the museum is for them, it is part of the history of their community and their culture. This all adds to the cultural capital of the class, which will help to improve the life chances of all children but particularly the more disadvantaged. We also know that for some children this is the only museum they will visit. 15 The variety and quality of the exhibitions adds to their knowledge and appreciation of art. We do not have the opportunity or the expertise to deliver art or music to the same level in our classroom. The artists manage to tailor their workshops to suit the group of children they are working with and the children always look forward to their visit and take the learning back to school with them. Some of the methods and techniques are then regularly used by staff and children in school. Children come in to Nursery with very little or no language and for over 50¥0 of the class English is a second language. When taking part in the workshops, language is no barrier. All of the children are learning new vocabulary at the workshops, vocabulary linked to art, music and painting. The children have enjoyed sessions with many different artists, enjoying different art forms. The sessions are all interactive and usually on a large scale. The children are encouraged to use their own ideas and given the freedom to experiment and to make mistakes without it mattering. They learn to work independently and collaboratively and to express themselves freely. This has also helped with their communication skills and with their confidence. During the first lockdown, we found the online sessions from the artists incredibly helpful, as it was something familiar and gave some sense of normality. It also gave a breadth to our curriculum which we could not get otherwise as it was impossible to visit Museums or galleries. Since our return, this support has continued and we have found it invaluable. We have found the staff at The Foundling Museum very supportive, particularly Emma. Communication is brilliant and she has kept us constantly informed and updated. She knows and understands all of our children and makes adaptions for any needs. She is also so welcoming to our families, encouraging and enabling them to visit again at weekends and holidays. Many of our parents did not feel comfortable coming to a Museum at first, but with Emma's help they have the confidence to visit notjust The Foundling Museum but other galleries and museums as well. Sonia, Learning Manager Hackneyvirtual School: The collaboration with the Foundling Museum is really successful and exceptional. Do you realize how usual this is? Most collaborations we set up, don't work, as they don't interest the young people, but this is really unusual and successful. The young people love the museum and only say positive things about everyone at the Museum. It is so rare. 16 Nia, Artists, Assistant and graduate of the Tracing OurTales training programme •P4Lfi,' e• Tracing OurTale5 trainee5 When I found out about the Foundling Museum, I was very unsure of what I wanted to do in life so I did the traineeship with the hope that I would gain some work experience. As a care leaver, I found the museum's history really interesting and relatable as it shows the foundation of the care system. There were things that stuck out to me like the tokens, which were both sad and hopeful, as many of the mothers would have wanted to get their children back. The traineeship was run by Emma and Albert who were really welcoming and helped us to settle in. During the traineeship we did so many things. It started with learning art Skills. One thing I remember was Albert telling us to draw with giant sticks which encouraged us to care less about making perfect art and focus onjust expressing ourselves. Albert and Emma made everything fun. We drew trees with charcoal,. made prints with lino. created dresses from paper, and made sound into art. As the traineeship went on, we became more confident in our skills and in trying different artistic things. The thing I was most afraid of was the family workshop5. When I started the traineeship, I was very shy and reserved and I had a lot of anxiety about the family workshops because of all the people, parents and children that would be there. I didn't think I would be able to do them but I remember Emma telling me that I could do it, and that she trusted me. 17 Over the traineeship I became more confident in myself and positive about speaking to people. The comments we got from parents made me even more confident a5 well as the range of new people I was meeting from this traineeship. I met other care leavers who were like me and trying something we had never done before. We also met and got to speak to people like the Duchess of Cambridge which was exciting and being a care leaver, I would have never expected to meet someone like that. My favourite person that we met was John Caldicott, who spoke to us about his experiences of being in the Foundling Hospital as a child and how that affected his life. A lot of the things he said felt familiar while a lot about the care system has changed, it was inspiring to speak to an older person who went through the same system and made it. After the traineeship I became the artists assistant and helped to run the traineeship for the new trainee5. Everyone was really proud of me and it felt great to do something with people who were in my position last year. I would encourage anyone to do this traineeship because of the impact it had on all of us. It was one of the most fun things I have ever done. Throughout the traineeship Emma was really motivating and understanding of all of all of us. Emma and Albert really made us feel comfortable to be ourselves and treated us like people, without stigma, which is rare. From the museum I gained confidence, art skills, work experience, life skills, a sense of my history and friends. 18 Karen Hearn, Curator of Portraying Pregnancy.'from Holbein to Social Media (24 January -23 August 2020} Portraying Pregnancy.'from Holbein to Social Media. The whole exhibition experience was astonishing ... You and your team pulled it all off in an extraordinary way, and - looking back - it was so lucky that it was able to run freely for six weeks before the first lockdown. Negotiating the extension land with only one work dropping out) was a remarkable achievement, too. 19 Development Review The pandemic's disruption to business caused the museum tolose signif icant unrestricted income this year, largely from admissions, retail and venue hire. Along with how we might continue to support vulnerable audiences. we were immediately concerned about the impact on freelancers and their livelihoods, key to programme delivery. Having employed at least 104 artists, creative freelancers and specialists the previous year. the Museum strived to continue its vital contribution to the cultural economy. An Emergency Grant from Arts Council England helped us employ 24 freelancers during the first lockdown, and kick-started our switch to digital programming, with Instagram videos of inexpensive family activities, on-line concerts by established and young musicians and reimagining artist projects in a digital format. Artists made video workshops for Early Years children to replace in-person workshops. These became a vital resource for our local partner nurseries and their many children of key workers. Thereafter, the Government's Culture Recovery Funds distributed by ACE were a lifeline. They supporting staff and freelancer costs, enabling the museum to continue to care for the collections and the heritage building, and plan exhibitions and artist-led projects, to benefit communities. A Heritage Emergency Grant distributed by National Lottery Heritage Fund, provided valuable investment to improve our digital infrastructure and sUPPOrt staff costs, thereby minimising redundancies. Art Fund's Respond and Reimagine programme helped to action our new business plan, and Esmee Fairbairn Collections Fund with Museums Association supported an innovative digital project, to engage young care-leavers, former pupils of the Foundling Hospital and volunteers, in creative diverse collections, interpretation. Generous gifts from Oak Foundation and the Deborah Loeb Brice Foundation this year have provided a strong basis to ambitiously plan post-pandemic recovery to increase reach and impact, along with support from Esmee Fairbairn Foundation, Garfield Weston Foundation, The Pilgrim Trust and many others. We especially appreciate the faith and commitment shown by many individuals and patrons, particularly those who have continued as Director's Circle members of the 1739 Club, 1741 Club and 1750 Club. Their multi-year support helps us plan with confidence and maximise creative opportunities to harness the power of art to change lives. 20 Operations Review With the building closed for much of the year, we took the opportunity to improve the workspace for staff and volunteers, with a refurbished and expanded staff room that provides better facilities and social distancing. This work was co-ordinated with small-scale capital works, to improve visitor welcome and access in the museum entrance, to increase space for retail and merchandise attivities, and to provide safer stafflvisitor interaction. Covid-safe equipment and procedures around the building enabled safe reopening to the public. Maintenance included painting walls and wood surfaces, installing new pumps to keep the ailing heating system working, additional security grilles and a new fire panel. PtstterWa*1•4¢¥re¢.E5t¢llaP￿.S￿￿ Èm Was fi4terEd. an Solo dle was fostered. h4.Jame5 5 a Jlus and Ine Éyre frFstsreJ ua wa5 Oopted Reconfigured Museum entrance and foyer. with new energy-efficient lighting. Photo.. Gareth Howart This year, the Museumjoined many in the sector in declaring a Climate Emergency. We used closure to accelerate our plans to work towards carbon zero by 2030, to help combat climate change. Building on our earlier efforts with the installation of solar panels in 2017 and switching to electric boilers in 2019, in 2020 we progressed the replacement of lightbulbs and f ittings to LED, to reduce electricity usage. We are in discussion with Camden Council for planning permission to replace single glazed windows. A Sustainability Action Group of staff from across the organisation has been formed. Meeting monthly, the Group considers ways to change internal processes to reduce the 21 museum's carbon footprint, as well as ways to influence external suppliers, visitors and volunteers to do the same. Research is underway on p055ible big measures, including wind turbines on the roof; re- wiring to allow us to light individual rooms, rather than the current central system: a roof garden- heating our water from the solar panels,. a paperless finance system- infrared cameras that enable more lights to be turned off at night,. and a reusable modular wall system for the Temporary Exhibitions Gallery, to reduce construction wastage Trustees, Report 31 March 2021 The Trustees present their report together with the financial statements of The Foundling Museum for the year to 31 March 2021. The financial statements have been prepared in accordance with the accounting policies set out on pages 47 to 54 of the attached financial statements and comply with the charitable company's Articles of Association, the Charities Act 2011 and Accounting and Reporting by Charities- Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 102). 22 About the Museum Structure, Governance and Management The Foundling Museum {'The Museum'l was incorporated at the instigation of The Thomas Coram Foundation for Children ('Coram'_ registered charity number 3122781 on 20 August 1998 as a company limited by guarantee and is governed by its Articles of Association. It was registered with the Charity Commission on 24 August 1998 (registered charity number 1071167)- Coram was formerly known as The Foundling Hospital. In July 2014 the Museum filed new Articles with the Charity Commission. These removed Coram's sole membership, thereby guaranteeing the Museum's independence. The Museum's Board of Trustees meets every three months. It considers an extensive report from the Director about past, current and future activity and, as appropriate, additional papers on future and long term strategy, education, fundraising and development. The Board receives and considers management accounts and financial reports presented by the Chair of the Finance & Audit Committee and the Chair of the Trading Company. The Director and Finance Director attend Board meetings. The Board of Trustees is supported in its work by Committees of the Board; namely the Finance and Audit Committee which meets formally every three months and includes reports from the Trading Company and the Investment Committee., and the Nominations Committee which meets approximately twice a year to discuss appointment to the Board of Directors. All Committees of the Board are comprised of Trustees plus at least one independent member. The Board receives advice through the Director from an Exhibitions Advisory Group. Trustees The Board of Trustees comprised 16 members. The Trustees, who are also the directors of the charitable company for the purposes of company law, who served up until the date of signing the financial statements were as follows.. Trustees AppointedlTemi endedlResi8ned Robert Aitken Anne Beckwith-smith Alison Cole Christopher Cotton jeremy Deller Willi8m Gore Ronald Gould Perdita Hunt Spencer Hyman Claire jeffers Term ended 7lune 2021 Term ended 6 December 2021 Ceraldine Macdonald Margaret Reynolds Term ended 7lune 2021 Term ended 7lune 2021 23 Simon Ru55ell Lemn Si55ay Paul Zuckemian Term endedlResigned 7 lune 2021 None of the Trustees has any beneficial interest in the company. At 31 March 2021 the company had 17 members, comprising the 16 Trustees and Coram, who each guarantee to contribute £1 in the event of a winding up. Trustees are appointed following a review by the Nominations Committee and the Board of the relevant skills and experience required by the Museum. Trustees, contribution is assessed formally every two years by the Chairman. The Chair and the Nominations Committee formally review Board effectiveness every otheryear. A formal review ofthe Chair's performance is carried out every other year by a Trustee, taking feedback from Trustees and senior leadership team members. Trustee recruitment focusses on securing a committed and engaged Board of individuals from diverse backgrounds and with broad experience across finance, the arts, architecture, business and commerce, communications, education, childcare and risk management. New Trustees receive induction, including extensive background material to ensure they are familiar with the history of the Museum and it5 relationship with Coram, as well as Charity Commission documents outlining their responsibilities under charity law. Trustees also meet with the Director to familiarise themselves with the Museum's running, its aims, objectives and financial results. Charitable Objects The Museum was established in 1998 to safeguard the Foundling Hospital Collection., to preserve its integrity in its original context and to provide public access. The Museum subsequently took ownership of the Gerald Coke Handel Collection which is also housed in the building. The Foundling Museum's charitable objects are: To establish and maintain a museum for the advancement of the education of the general public and of scholars by the documentation, maintenance, conservation, exhibition, study and interpretation of the Collection; and To support such of the purposes of the charity now known as Coram as the Museum, in consultation with Coram, shall from time to time determine. Mission The Foundling Museum brings past and present together, to celebrate the power of art as a catalyst for change. 24 Inspired by three great 18, century activists- Thomas Coram, William Hogarth and George Frideric Handel- the museum is a force for change. We believe in creative action that brings past and present together, to stimulate imaginations and enrich young lives. We celebrate the work of artists and inspire people to take positive action that transforms lives and creates a lasting impact Opened in 2004, the Museum sits on the site of the Foundling Hospital; the UK'S first children's charity and first public art gallery. Founded in 1739, the Hospital cared for babies at risk of abandonment. Supported by leading artists of all disciplines, who donated their work to raise awareness and funds, the Hospital continues today as the children's charity Coram. Future Plans While the pandemic has impacted strategic planning, many mid to long term objectives remain, while others have been given increased urgency. It is clear the effects of Covid-19 will be felt most severely by communities already facing systemic disadvantage and inequality. The museum is already working closely with many of these communities and over the year ahead, we will be looking to increase our reach and impact. We will do this through.. our partnerships with local nurseries and schools, delivering and augmenting the recovery curriculum, with a particular focus on early years provision of free, high-quality resources for disadvantaged families that support emotional and mental wellbeing, and educational development reducing loneliness and social isolation, particularly among older people creating 5kilLs development employment opportunities for local residents collaborating with local organisations and aligning with borough-wide initiatives to maximise impact and support recovery across education, training, employment, tourism, social cohesion, health and wellbeing maintaining training and contact with our care-experienced trainees and graduates, to ensure their progress is Sustained, their mental wellbeing is supported, and their pathways to creative employment are more accessible. Major exhibitions planned for 2021122 include two that have been postponed from last year. We are grateful that Arts Council England ha5 agreed to convert the grant awarded to our summer 2020 exhibition, curated by Foundling Fellow, Lauren Child, to summer 2021, while Fighting Talk.. One Boy'sjourneyfrom Abandonment to Trafalgar, will now take place in autumn 2021. A major portrait commission project is planned for 2021, to enable the former pupils of the Foundling Hospital to be celebrated and represented within the collettion, for the first time in 280 years, and to represent the tens of thousands of children who went through the Hospltal. whose faces we will never know. Finally, the artist Ingrid Pollard will be responding to our historic story with a new commission and display. 25 The museum continues to develop a major exhibition, Superheroes, Orphans & Origins.. 725 yearsin comics, for 2022, with support from a Curatorial Fellowship funded by the Artisa Foundation. Over the comingyear the Museum will also be pursuing a number of strategic opportunities, designed to expand and strengthen its work in line with objectives, which were interrupted or overtaken by Covid. In particular: Developing our digital offer, including the development of an online catalogue of our eighteenth-century tokens. Transitioning our learning provision from exclusively museum-based, to blended museumlclassroomlvirtual, and exploring the potential for growing its impact. Appointing three new Foundling Fellows and securing new funding for the Fellowship Creating a new f ive-year strategic plan. Reviewing the Museum's brand and messaging proposition, embodied in a new museum publication and a new website. Creating a new Audience Development Plan Growing the Supporters, Loan Endowment Scheme and increasing membership of the Friends, Patrons, 1700 Clubs and exhibition circles. Growing the Corporate Advisory Board. Furthering our environmental sustainability by working alongside Julie's Bicycle. 26 Museum Relationships Supporters The Museum is an independent charity and receives no regular core public funding. The Trustee5 would like to pay tribute to the generosity of donors, supporters and volunteers, without whom the Museum would be unable to realise its ambitions and run its programmes. Covid-19 Emergency Funding In response to the Covid-19 pandemic, the Museum worked to access all available support measures. This included furloughing members of staff through the Coronavirus lob Retention Scheme, securing a Retail, Hospitality & Leisure Grant via Camden Council and benefitting from business rates relief. We also received funding through Arts Council England's Culture Recovery Fund & an Arts Emergency Grant, the National Lottery Heritage Fund Heritage Emergency Fund, London Community Response Fund &The Rank Foundation DCNS Covid-19 Response Programme. 1700 Club Members David Bernstein Andrew Fane Grant and Brigitte Gordon Ron Gould David and Jammy Hoare Larissa Joy Julia and Jamie Korner Annie Mackerson-sandbach Jim Moyes David Pike Sir Simon and Lady Robey Sir David and Lady Verey Vernon Ellis Foundation 27 Individual Supporters Robert Aitken Richard and Diana Allen Linda Beecham Sir Quentin Blake Judith and William Bollinger Claire Brisby Peter Brown John Caldicott Tim Clark Justine and Patrick Cowan Andrew Fane CharlesHenderson Jane King Steven and Sonya Larcombe Jim Moyes David Pike John Wynter And those who wish to remain anonymous Corporate Supporters Taylor Wessing TP ICAP Trusts and Foundations Art Fund The Artisa Foundation Arts Council England Association of Independent Museums The Blyth Watson Charitable Trust The Chartered Accountants, Livery Charity The Clore Duffield Foundation The Deborah Loeb Brice DonorAdvised Fund at CAF The D'oyly Carte Charitable Trust Drapers, Charitable Fund Esmée Fairbairn Foundation Foyle Foundation Garfield Weston Foundation Gerald Coke Handel Foundation The Golden Bottle Trust J Paul Getty Jr Charitable Trust John Lyons Charity The John R Murray Charitable Trust The Leche Trust 28 Trusts and Foundations Continued Matrix Causes Fund The Michael Bishop Foundation Museums Association and Esmée Fairbairn Collections Fund The National Lottery Heritage Fund The National Lottery through Arts Council England Oak Foundation The Pilgrim Trust The Rank Foundation DCMS Recovery Fund The Rose Foundation Schroder Charity Trust Universal Nusic UK Sound Foundation - Decca Bursary And those who wish to remain anonymous The Trustees would also like to thank the many guides and members of the OCA, who donate their speaker5, fees to support Collection acquisitions, as well as the Museum's wonderful team of volunteers, who undertake research and help care for visitors and the collections. The Trustees would also like to acknowledge the continuing active support of the Museum's Vice Presidents, Brian Allen, Alan Borg, David Coke, Jamie Korner and Carolyn Steen, International Trustee Emeritus, Judy Bollinger, and the many advisers whose invaluable expertise contributes greatly to the Museum's success. Donors and Supporters The Museum takes care with both the tone of its communications and the accuracy of its data, it never swaps data with other organisations and ensures that its communication preferences can be changed at any time. Broadly speaking, the Museum uses data of a personal nature to keep in touch with people who are interested in its artivities; to keep them informed about activities and developments,. to provide services to visitors and supporters; and to identify ways in which people can support the Museum, through donations andlor other forms of financial and non-financial support. The Museum manages its own fundraising activities and does not employ the services of external professional fundraisers. The Museum undertakes to react to and investigate any complaints regarding its fundraising activities and to learn from them and improve its service. During the year under review, the Museum received no complaints about its fundraising activities. The Museum's fundraising activities are also conducted in line with its Ethics Policy which includes Ethical Fundraisin& requiring the Museum to proactively carry out due diligence on pr05pettive donors and sponsors. The Ethics Policy is regularly reviewed by Trustees and is consistent with the Museums Association's Code ofEthicsforMuseums and the Code of Ethicsfor Museums 29 Worldwide produced by ICOM, and the Seven Principles of Public Life (Nolan Committee, March 1996). Relationship with the Gerald Coke Handel Foundation The Gerald Coke Handel Collection is owned by the Museum. It is an internationally- important collection of material relating to Handel and his contemporaries, including manuscripts, printed music and books, libretti, artworks and ephemera. It was assembled by Gerald Coke and left to the nation by his widow, and came to the Museum through the Government's Allocation in Lieu scheme in 2008. The endowment accompanying the Collection is managed by the Gerald Coke Handel Foundation (registered charity number 10585891, formed in 1996 to administer the endowment and assist the Museum with the Collection's care.The Foundation's primary aim is to ensure the maintenance, conservation and development of the Collection. Its objectives are to advance public education by providing research facilities in relation to Handel and his contemporaries. The Foundation continues to acquire heritage assets. The Museum receives funding from the Foundation in relation to seryices provided, amounting to £119,865 in the year under review. Risk Management The Trustees have assessed the major risks to which the charity is exposed, which include the financing of the Museum's operations and safeguarding the Museum's exhibits. The Trustees are satisfied that systems are in place to mitigate the exposure to the major risks which are.. The uncertain economic climate and disruption caused by Covid-19= The Museum has a six- month reserves policy to cover operational costs. After salaries, exhibitions are the Museum's biggest expenditure. They have to be confirmed 18-24 month5 in advance of opening and usually before funding is in place. Therefore, the Museum has designated reserves to cover the risk of shortfalls in exhibition funding. Loss of key personnel.. The Museum's staff team is small, many work part-time or freelance, and most staff have sole responsibility for their area of work. Succession planning is therefore hard and the loss of senior staff can be particularly problematic. To mitigate this risk, senior managers have a three month notice period, staff are prevented from building up untaken leave, salaries are in line with sector-equivalent institutions, and every effort IS made to provide an environment in which staff feel supported, valued and developed. Pensions deficit.. The Museum participates in a scheme operated by The Pensions Trust which is classif led as a 'last man standing arrangement,. To mitigate this risk the Museum is exploring options to protect its heritage assets. 30 Statement of Trustees Responsibilities The Trustees (who are also directors of The Foundling Museum for the purposes of company law) are responsible for preparing the Trustees, report and f inancial statement5 in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial period which give a true and fair view of the state of affairs of the charitable company and the group and of the income and expenditure of the charitable company and the group for that period. In preparing these financial statements, the Trustees are required to= select Sultable accounting policies and then apply them consistently; makejudgements and estimates that are reasonable and prudent: observe the methods and principles in Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 1021., prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the group and charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Each of the Trustees confirms that- so far as the Trustee is aware, there is no relevant audit information of which the charity's auditor is unaware- and the Trustee has taken all the steps that helshe ought to have taken as a trustee in order to make himselflherself aware of any relevant audit information and to establish that the charity's auditor is aware of that information. This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006. 31 The Foundling Museum Trustees, report Year to 31 March 2021 FINANCIAL REVIEW The statement of financial activities for the year ended 31 March 2021 shows total income of £2,237,309 (2020 - £1,368,789). This included Covid emergency grants of £567,300 (2020 - £nil), grants from the Oak Foundation of £531,853 (£32,133) and income from the Coronavirus Job Retention Scheme of £129,598 (2020 - £6,363). The total expenditure in the year was £1,521,986 (2020 - £1,543,223) of which expenditure on conserving the Collection and developing and maintaining the Museum amounted to £1,500,555 (2020 - £1,511,676). The net income for the year was £715,323 (2020 - net expenditure £174,434). Net investment gains of £387,939 (2020 - losses of £142,466) were recognised in the year ended 31 March 2021 and actuarial gains of £1,500 have been recognised (2020- gains of £5,000). In accordance with Financial Reporting Standard 102, the financial statements include heritage assets with a total valuation of £9,458,198. Further details may be found in note 13 to the financial statements. As at 31 March 2021, the net assets of The Foundling Museum Group were £12,417,063 (2020- £11,312,301). 32 The Foundling Museum Trustees, report Year to 31 March 2021 FINANCIAL REVIEW (continued) Reserves policy The Trustees have considered the scale, complexity and risk profile of the charity and taken account of the funding base which consists of grants from trusts and foundations, investment income, donations and self-generated income. Account has been taken of the effects of economic downturns particularly on self-generated income and the time bars on applications to trusts and foundations especially for core funding. In addition the Trustees have recognised that the Museurn has to commit to temporary exhibition expenditure prior to fundraising and, as a result, it carries a risk that exhibitions may not be fully funded. The Trustees have therefore designated £20,000 to cover the risks associated with exhibitions. The Museum has a £3 million endowment loan from the National Heritage Memorial Fund, repayable in 2027. The NHLF ShortFall designated fund is set aside to cover any difference be￿een the loan balance and the listed investment portfolio. At 31 March 2021, this designated fund balance was £300,000. Total designated funds amount to £1,055,000. The Trustees consider it prudent for the Museum to carry free reserves equivalent to approximately six months budgeted operating expenditure to deal with short-term fluctuations in income and to provide adequate working capital. At the end of the financial year, unrestricted general funds stood at £565,027 (comprising the net current assets less amounts attributable to the restricted and designated funds). Free reserves at 31 March 2021 were in line with the policy. The Trustees have made a provision of £96,000 for the pension-deficit contributions payable up to 2021, which is shown on the balance sheet. This liability does not fall due immediately, and the expectation is that it is met annually from income earned. Therefore, the pension provision is regarded as part of free reserves. The reserves policy is reviewed by the Trustees annually as part of the planning and budget process. 33 The Foundling Museum Trustees, report Year to 31 March 2021 FINANCIAL REVIEW (continued) Investment policy Under the Memorandum and Articles of Association, the charity has powers to invest in any way the Trustees wish. The Museum has a £3 million endowment loan from the National Heritage Memorial Fund, repayable in 2027. The investment policy applied to the endowment fund reflects the Trustees. commitment to sustain the objects of the Museum by maintaining the capital and income of the endowment and to grow both of this over time. In this manner the Trustees aim to realise their ambitions to promote the Museum, to expand its activities to an increasing visitor base and to purchase the assets from its sister charity, Coram Family. The achievement of these and other aims requires continuous capital and income improvement. The Trustees have appointed Veritas Investment Management to manage, on a discretionary basis, a multi-asset portFolio which comprises, within defined and flexible ranges, a mixture of property, fixed interest, global equities and cash. To satisfy the Museum's financial objectives and targets, in which returns from the investment of the endowment loan play an essential role, the Trustees have focussed on total return, to which reliable and sustainable income make an important contribution. In 2020121 the managers achieved a return of 3.5 %, which reflected the conservative mix of assets held. Approved by the Trustees and signed on their behalf by: Trustee Approved on.. 1511212021 34 The Foundling Museum Independent auditor's report 31 March 2021 Independent auditor's report to the members of The Foundling Museum Opinion We have audited the financial statements of The Foundling Museum (the 'charitable company,) and The Foundling Museum and its subsidiary (the 'group') for the year ended 31 March 2021 which comprise the group statement of financial activities, the charitable parent company's statement of financial activities, the group and charitable parent company balance sheets, the group statement of cash flows, the principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements.. • give a true and fair view of the state of the group's and of the charitable parent company's affairs as at 31 March 2021 and of their income and expenditure for the year then ended; • have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and • have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 35 The Foundling Museum Independent auditor's report 31 March 2021 Conclusions relating to going concern In auditing the financial statements, we have concluded that the Trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's or the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report. other information The other information comprises the information included in the annual report and financial statements, other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report and financial statements. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assuran￿ conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or othenmise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. 36 The Foundling Museum Independent auditor's report 31 March 2021 Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. • the information given in the Chairman's summary and Director's summary, and the Trustees, report, which is also the directors, report for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements- and • the Chairman's summary and Director's summary, and the Trustees, report. which is also the directors, report for the purposes of company law and includes the strategic report, has been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: • adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or • the financial statements are not in agreement with the accounting records and returns- or • certain disclosures of Trustees, remuneration specified by law are not made., or • we have not received all the information and explanations we require for our audit. Responsibilities of Trustees As explained more fully in the Trustees, responsibilities statement, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 37 The Foundling Museum Independent auditor's report 31 March 2021 Responsibilities of Trustees (continued) In preparing the financial statements, the Trustees are responsible for assessing the group and the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the group or the charitable company or to cease operations, or have no realistic alternative but to do so. Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assuran￿, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities. outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below- Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: + the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non- compliance with applicable laws and regulations. 38 The Foundling Museum Independent auditor's report 31 March 2021 Auditor's responsibilities for the audit of the financial statements (continued) • we obtained an understanding of the legal and regulatory frameworks that are applicable to the group and the charitable company and determined that the most significant legal and regulatory frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practi￿. Accounting and Reporting by Charities preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102)), Charities Act 2011, the Companies Act 2006, and The Code of Fundraising Practice; and • we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and • identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. We assessed the susceptibility of the group and the charitable company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: • making enquiries of key management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud. and • considering the internal controls in place to mitigate risks of fraud and non- compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: • performed analytical procedures to identify any unusual or unexpected relationships,. + tested and reviewed journal entries to identify unusual transactions., • tested the authorisation of expenditure, ensuring expenditure was approved in line with the group and the charitable company's financial procedures- 39 The Foundling Museum Independent auditor's report 31 March 2021 Auditor's responsibilities for the audit of the financial statements (continued) • assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias,. and + investigated the rationale behind significant or unusual transactions. In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: • agreeing financial statement disclosures to underlying supporting documentation., • reviewing the minutes of meetings of those charged with governance., and • enquiring of management as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financial Reporting Council's website at www.frc.org.uklauditorsresponsibilities. This description forms part of our auditor's report. 40 The Foundling Museum Independent auditor's report 31 March 2021 Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Amanda Francis (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL 16 December 2021 41 The Foundling Museum Consolidated statement of financial activities (incorporating the income and expenditure account) Year to 31 March 2021 restriGted fund5 Restricted funds restricted funds Restricted fund5 2021 2020 Notes Income trom.. Grants and donations Inv&slm8nts Olhertrading activities 1.086.441 112.610 24.461 845.969 1.932,410 112,610 24,461 269.860 128.686 314.011 417.870 687.730 128.886 314.011 . Admissions and other museum income Other Coronavirus Job Retention Scheme . Other sources 22.593 22,593 203.625 203,825 129,598 15.637 1,391,340 129,598 15,637 2,237,309 6.363 28.374 950,919 6.363 28.374 1,368,789 Totsl Income 845,969 417.870 Expenditure on.. Raising fund8 21,431 21,431 31.547 31.547 C08ts ofd8veloping and maint8ining the Museum Total expendlture 753.704 775,135 746.851 746,851 1,500.555 1.172.368 1,521,986 1.203.915 339.308 339.308 1.511.676 1.543.223 Net inGome lexpenditurel before tfdn$fÈrs and investment gains Ilo$se$l 616.205 99.118 715,323 1252,9961 78.562 1174,4341 Net gains Ilossesl on investment as$et$ Net income lexpenditurel belore transfer5 387.939 387,939 1142,4661 1142,4661 1,004,1M 99,118 1,103,262 1395,4621 78.562 1316,9001 Gross Iran5fers between funds Net Income lexpendlturel 13 15,WOI 999,144 5.000 104,118 19.813 1375,8491 119.8131 58.749 1,103,262 1316,9001 other recognlsed g8lns and 108888 Actuarial gains 23 1.500 1,500 5.000 5.000 N8t movement In fund8 10 1,000,644 104,118 1,104,762 1370,6491 58,749 1311,9001 Group reconclllatlon of fund8'. Fund balanTrs brought foward at 1 April 2020 Fund balan￿S carried forward al 31 March 2021 1,661.271 9,651,030 11,312,301 2.031.920 9,592.281 11.624.201 2,661,915 9.755,148 12,417,063 1.661,271 9,651.030 11,312,301 All of the group's activities derived from continuing operations during the two financial periods. 42 The Foundling Museum Charity statement of financial activities (incorporating the income and expenditure account) Year to 31 March 2021 restriGted Re5triGted fund$ fund$ reslriGted ReslriGted funds funds 2021 2020 Note$ Income from.. Gran15 and donations Inv&8lm&nts 1.104.247 112.569 845.969 1,95Q.216 112.569 506,285 128,363 417.870 924.155 128.363 Admission5 and other museum inGome Other sources Coronavirus Job Retention S¢heme Other sour￿5 Total income 22.593 22,593 203,625 203.625 129.598 15.637 1,3B4,644 129,598 15,637 845,969 2,230,613 6,363 28,374 873,010 6.363 28,374 1.290.880 417.870 Exp8Thditur8 on.. Raising fund$ 21.431 21.431 31,547 31.547 Costs of developing and maintaining the Museum Total expenditure 731.605 753,036 746,851 746,851 1,478A56 1,094,459 1,499,887 1.126,006 339.308 1.433,767 339.308 1.465.314 Net Income lexpendlturel before Investm8nt galns 631,608 99,118 730.726 1252,9961 78,562 1174,4341 N81 gains Iknssesl on investment assets Net income lexpenditurel before transfers 387,939 1,019,547 387,939 99,118 1,118,665 1142,4661 1395.4621 1142,4661 1316,9001 78.562 Gross transfers between funds Nei in¢ome lexppnd1tu￿} 13 15,0001 1,014,547 5.000 104.118 19,813 1375.6491 1,118.665 58.749 1316,9001 Other recognised gains and 1055es Actuarial gains 23 1,500 1,500 5,000 5.000 Nel movement in 10 1,016,047 104.118 1.120.165 1370.6491 58.749 1311.9001 ReGonGiliation of fund5= Fund balance brought fonmard al 1 April 2020 Fund balance carried forward al 31 March 2021 1,861,273 9,651,030 11,312,303 2,031,922 9,592,281 11,624.203 2,677,320 9,7S5,148 12,432,468 1,681,273 9,651,030 11.312,303 All of the charity's activities derived from continuing operations during the two financial periods. 43 The Foundling Museum Balance sheets 31 March 2021 2021 Group 2020 Charity Group Ch8rity Notes Fixed assets Tangible fixed assets Heritzge assets Investments 12 13 14 1,137,888 9,468,198 3,076,81S 13,672,701 1,137,888 9,458,198 3.078,617 13,672,703 1,261,545 9,453,198 2.774,011 13,488,754 1.261.545 9,453,198 2.774.013 13,488,756 Current 88sets Stocks Investments Debtors Cash at bank and in hand 37,406 829,041 95,178 1,517,719 2,479,344 5,228 829.041 148,642 1.504,767 2,486,678 47,813 565,394 190,040 653,598 1,456,845 5.778 565,394 311.560 568.669 1,451,401 15 16 Credltors.. amounts falling due thin one year Net current assets 17 1638,9821 1,840,362 1629,913 1.855,765 1526,2981 930,547 1520.8541 930.547 Totsl assets le$$ Current Ilabllltles 15,513,083 15,528A68 14.419,301 14.419.303 creditors. amounts falling due after more than one year Total net assets excluding pension liability 18 13,000,000) 13.000.0001 13,000,000) 13,000,000) 12,513,063 12,528,468 11,419,301 11,419,303 19 196,0001 196,000 1107,0001 1107,0001 Total net assets including pension liability 12,417,063 12.432A68 11.312,301 11.312.303 The funds ofthe group and charity- Funds and reserves Restricted funds Heritage 8ssets fund Other restricted funds 13 20 9,4S8,198 296,950 9.458.198 296,950 9.453,198 197,832 9.453.198 197.832 Unrestricted funds T8ngible fixed assets fund Designated funds Gener81 fund Non-charitable trsding fund8 Pension reseNe fund 12 21 1,137,888 1,055,000 580,430 115,4031 196,0001 1.137,888 1,055,000 580A32 1,261,545 247,986 258,740 1,261.545 247.986 258.742 23 196,0001 1107,0001 1107.0001 12,417,063 12.432,468 11,312,301 11,312,303 Approved by the Trustees and signed on their behalf by: Trustee Trustee ZAt/iJA Joy Approved on.. 15 Dec 2021 The Foundling Museum Company Limited by Guarantee Registration Number 03621861 (England and Wales) 44 The Foundling Museum Consolidated statement of cash flows Year to 31 March 2021 2021 2020 Notes Cash flows from operatlng actlvltles.. Net cash used in operating activities 989,725 1131,9041 Cash flows from Inve$tlng actlvllles: Investment income received Purchase of tangible fixed assets Purchase of heritage assets PrO￿edS from the disposal of investments Purchase of investments Net cash (used inl provided by investing activities 112,610 {59,9021 128,686 129,9201 17,3761 641,589 1588,3571 144.622 516,095 1850,4521 {81,6491 Change In cash and cash equlvalents In the year 908.076 12,718 Cash and cash equivalents at 1 April 2020 956.569 943,851 Cash and cash equivalents at 31 March 2021 1,864,645 956,569 Notes to the statement of cash flows for the year to 31 March 2021. A Reconciliation of net movement in funds to net cash from operating activities 2021 2020 Net movement in funds {as per the statement of financial activities) Adjustments for.. Depreciation charge Donated heritage assets (Gains) losses on investments Investment income re￿1vable Decrease lincreasel in stocks Decrease in debtors Inuease Idecreasel in creditors Actuarial gains Pension scheme costs less contributions paid N9t cash provided by (used Inl op9rating actlvltlgs 1,104,762 1311,9001 1B3.559 15,0001 1387,9391 1112,6101 10,407 94,862 112,684 11,5001 19,5001 989,725 184,642 142,486 1128,6861 15,0261 12,595 110,9951 15.0001 110,0001 1131.9041 B Analysis of cash and cash equivalents 2021 2020 Cash al bank and in hand Cash held by investment managers Total ¢a$h and ¢a$h gqulvalgnts 1,517,719 346.926 1,864,64S 653,598 302.971 9S6,569 45 The Foundling Museum Consolidated statement of cash flows Year to 31 March 2021 C Analysis of net debt At31 March 2021 At 1 April 2020 Other non- cash flows Cash flows Totsl ￿8h and cash equivalents 956,569 908,076 1,864,645 46 The Foundling Museum Principal accounting policies 31 March 2021 The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are laid out below. Basis of preparation These financial statements have been prepared for the year to 31 March 2021 with comparative information provided in respect to the year to 31 March 2020. The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these financial statements. The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The charity constitutes a public benefit entity as defined by FRS 102. The financial statements are presented in sterling and are rounded to the nearest pound. Critical accounting estimates and areas of judgement Preparation of the financial statements requires the Trustees and management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include" • estimating the useful economic life of tangible fixed assets for the purposes of calculating depreciation,. • estimating the value of heritage assets as at the date they were acquired where this information is not available; • estimating any necessary provision against slow moving or obsolete stock held at year-end., 47 The Foundling Museum Principal accounting policies 31 March 2021 Critical accounting estimates and areas of judgement (continued) • assessing the appropriateness of the underlying assumptions made by the actuary in the valuation of the defined benefit pension scheme" • determining the basis for the allocation of support and governance costs be￿een expenditure on raising funds and on charitable activities- • estimating taxation recoverable under the Exhibition Tax Relief Scheme for charities., and • estimating future income and expenditure flows for the purpose of assessing going concern. Assessment of going concern The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The Trustees have made this assessment in respect to a period of at least one year from the date of approval of these accounts. The Trustees acknowledge and recognise the continuing impact of the Covid-19 pandemic on the charity. its stakeholders and on wider society. Consequently, they will continue to be alert to the challenges presented by Covid-19, especially in respect to admissions. They will also continue to keep both income and expenditure under review. The Trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. The most significant areas of judgement that affect items in the financial statements are detailed above. With regard to the next accounting period, the year ending 31 March 2022, the most significant areas that affect the carrying value of the assets held by the charity are the level of investment return and the performance of the investment markets (see the investment policy and the risk management sections of the Trustees, report for more information) and the impact of the Covid-19 pandemic and UK economic trends on visitor numbers. The Trustees are seeking to mitigate this latter risk by developing new sources of income and new markets and through continued careful budgeting and cost control. 48 The Foundling Museum Principal accounting policies 31 March 2021 Consolidation The statement of financial activities and balan￿ sheet consolidate the financial statements of the charity and its subsidiary undertaking, The Foundling Museum Trading Company Limited, made up to the balance sheet date. Intragroup transactions are eliminated in full. Income recognition Income is recognised in the period in which the group or charity is entitled to receipt and the amount can be measured reliably and it is probable that the income will be received. Income is deferred only when the group or charity has to fulfil conditions before becoming entitled to it or where the donor or funder has specified that the income is to be expended in a future accounting period. Income comprises grants and donations, investment income and interest receivable, income from trading activities (including events and shop sales), visitors, admission fees and general miscellaneous income. Grants and donations are recognised when the charity has confirmation of both the amount and settlement date. In the event of grants and donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the group or charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the group or charity and it is probable that those conditions will be fulfilled in the reporting period. Donated assets are measured at fair value, unless it is impractical to measure this reliably, in which case the cost of the item to the donor should be used. The gain is recognised as income from donations and a corresponding amount is included in the appropriate fixed asset category and depreciated over the useful economic life in accordance with the Museum's accounting policies. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. 49 The Foundling Museum Principal accounting policies 31 March 2021 Income recognition (continued) Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity,. this is normally upon notification of the interest paid or payable by the bank. Income from trading activities and visitors, admission fees are recognised to the extent that it is probable that the economic benefits will flow to the group or charity and the income can be reliably measured. They are measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Income from the Coronavirus Job Retention Scheme is credited to the statement of financial activities once the charity is entitled to the funding and when the amount receivable has been quantified. Expenditure recognition Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and is classified as follows- a) Expenditure on raising funds includes all expenditure associated with raising funds for the group and charity. This includes costs associated with fundraising and the costs of trading activities including the operating costs of The Foundling Museum Trading Company Limited. b) Expenditure on charitable activities comprises expenditure on developing and maintaining the Museum. All expenditure is stated inclusive of irrecoverable VAT. Allocation of support and governance costs Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of personnel, provision of office services and equipment and a suitable working environment. Governance costs are the costs associated with the governance of the charity and its assets. 50 The Foundling Museum Principal accounting policies 31 March 2021 Allocation of support and governance costs (continued) All support and governance costs incurred by the charity are allocated to the cost of developing and maintaining the Museum whereas those of its trading subsidiary are allocated to the cost of raising funds. Tangible fixed assets Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows.. Leasehold improvements From the date of completion of the relevant improvement to the end of the lease term Office equipment, fixtures and fittings 250/0 on cost Website and digital branding 25 % on cost Heritage assets The Museum safeguards the Foundling Hospital Collection and offers the public access to the Collection preserving its integrity in its original context. The Museum's artefacts include paintings, furniture and items from the Foundling Hospital Collection as well as items of contemporary art, ceramics and archival material relating to the Foundling Hospital. The assets are defined as Heritage Assets for the purpose of these financial statements as they are held as part of the primary purposes of the charity and to further an understanding of social history and culture. Heritage assets are included on the balance sheet at cost, or where cost is not available, a valuation that reflects the value of the asset at the time it was acquired by the charity. Such assets are not depreciated. Any impairment in the value of an asset is treated as charitable expenditure in the year in which it arises. 51 The Foundling Museum Principal accounting policies 31 March 2021 Investments {fixed assets and current assets) Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The group and charity do not acquire put options, derivatives or other complex financial instruments. As noted above, one of the financial risks faced by the group and charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors. Realised gains (or losses) on listed investment assets are calculated as the difference between disposal prO￿edS and their opening carrying value or their purchase value is acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise. The charity's investment in its subsidiary company is valued at cost. Stocks Stocks of brochures and items for resale in the Museum's shop are stated at the lower of cost and net realisable value. Debtors Debtors are recognised at their settlement amount, less any provision for non- recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material. 52 The Foundling Museum Principal accounting policies 31 March 2021 Cash at bank and in hand Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than one year have been disclosed as short term deposits. Cash placed on deposit for more than one year is disclosed as a fixed asset investment. Creditors and provisions Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material. Fund structure The charitable company's funds comprise the heritage asset fund, a restricted fund which represents its heritage assets, other restricted funds which must be applied for specific purposes in accordance with donors. wishes, designated funds which are unrestricted funds set aside for specific purposes and a number of unrestricted income funds which are available for application towards the charity's objectives. Within unrestricted funds the Trustees have identified those non-liquid funds represented by tangible fixed assets. Details of the other restricted funds are given in note 20 to these financial statements and designated funds in note 21. Non-charitable trading funds are funds held by the subsidiary undertaking, The Foundling Museum Trading Company Limited. 53 The Foundling Museum Principal accounting policies 31 March 2021 Pensions The charity contributed to a defined benefit scheme operated by The Pensions Trust, which provides benefit based on average pensionable salary. The charity ceased to offer the scheme to its employees on 31 December 2011. It is not possible in the normal course of events to identify on a reasonable and consistent basis the share of underlying assets and liabilities belonging to individual participating employers. The Scheme is a multi-employer scheme where the Scheme assets are co-mingled for investment purposes, and benefits are paid from the total Scheme assets. Accordingly, due to the nature of the Scheme, the accounting charge for the period under FRS 102 represents the employer contribution payable. Contributions in respect to personal pension schemes and defined contribution schemes are recognised in the statement of financial activities in the year in which they are payable to the relevant scheme. 54 The Foundling Museum Notes to the financial statements 31 March 2021 1 Grants and donations Unrestrlcted funds Re8trfcted funds Unr8slrict8d funds Restricted funds 2021 2020 Group Grants Oak Foundation Covid-19 relief Other grants Other donations and gifts Totsl funds 500,000 31,853 567,300 138,613 108.203 B45,969 531,853 567,300 624,522 208,735 1,932,410 32.133 32,133 485,909 100.532 1,086,441 169.304 100.556 269.860 235,334 150,403 417.870 404,638 250,959 687,730 Unrestricted funds R8strict8d funds Unrestricted funds Reslricled funds 2021 2020 Charity Grants Oak Foundation Covid-19 relief Olher grants Other donations and gifts Donation frgtn $ubsidiary ndertaking Management recharge Total funds 500,000 31.853 567.300 138.613 108,203 531,853 567,300 624,522 208.735 32,133 32.133 485.909 100,532 169,304 100,556 235,334 150,403 404.638 250,959 100,527 135,898 506,285 100.527 135,898 924.155 17,806 1,104,247 17,806 1,950,216 84S,969 417,870 2 Investment income and interest receivable Unrestricted funds Restrictsd fund5 Unrestricted funds Restricted funds 2021 2020 Group Inve8tment Income 112,224 386 112,610 112.224 127,587 127,587 Interest reGeDiable 386 1.099 1,099 Total funds 112,610 128.686 128,686 Unrestrictsd fund5 Restricted funds Unre5tricled fund5 Restricted funds 2021 2020 Charity Inve$tment in¢ome Interest recewable Total funds 112.224 345 112,569 112,224 345 112,569 127.587 776 127.587 776 128,363 128.363 3 Income from other trading activities Unrestrfcted funds Resttlctsd fund8 Unrestricted funds R88tric18d funds 2021 2020 Group Events Saks Other 18,682 7,567 212 24,461 16,682 7,567 212 24,461 259.711 54,277 23 259,711 54,2TI 23 Total funds 314.011 314,011 The charity had no trading activities during the year {2020'. none). 55 The Foundling Museum Notes to the financial statements 31 March 2021 4 Income from charitable activities Unrestricied funds Restricted funds Un￿>trIcted funds Restricted funds 2021 2020 Group and charity Total funds.. Admissions and other mu88um income 22.593 22,593 203,625 203,625 5 Income from other sources UnrestriGted fund$ Resiricted fund5 Unresiricted funds RestriGled funds 2021 2020 Group an¢J charity Coronavirus Job Retention Scherne Miscell8neou5 Total funds 6,363 129,598 129,598 8,363 15,637 145,235 15,637 145,235 28.374 34,737 28,374 34,737 Miscellaneous income includes £10,293 (2020 - £24,085) being tax recoverable under the Exhibition Tax Relief Scheme for charities. 6 Expenditure on raising funds Unrestricted funds Restricted funds Unrestricted funds Restricted funds 2021 2020 Group and charlty Fundr21sing Èxpen8Ès Guidebook." cost of sale5 Investment rllanagerfees Totsl funds 1.271 552 19.608 21,431 1.271 552 19.608 21,431 7,233 3,257 21,057 7.233 3.257 21.057 31,547 31.547 7 Expenditure on charitable activities: developing and maintsining the Museum Unrestrlcted funds Restrlcted funds Unr8slrict8d funds R&strict8d funds 2021 2020 Group Museurn operating costs D8pr8aalion Inole 121 ConseTvation 554,205 183,559 15,940 753.704 746,851 1,301,056 183,559 15,940 1,500,555 971,749 184,642 15,977 1,172,368 339,308 1,311,057 184.642 15.977 1.511.678 Total funds 746,851 339,308 Unrestrlcted fund8 Restrlcted funds Unrestricted funds Restricted funds 2021 2020 Chatlty Museum operating costs Depreciation Inole 121 Consetvation 532,106 183.559 15.940 731,605 746,851 1,278,957 183,559 15,940 1,478,456 893,840 184,642 15,977 1,094,459 339,308 1,233,148 184,642 15,977 1,433,767 Totsl fvnd$ 746,851 339.308 Museum operating costs include governan￿ costs (see note 9) in respect to the charity. 56 The Foundling Museum Notes to the financial statements 31 March 2021 8 Staff costs 2021 2020 Group and charity Salaries Social security costs Pension costs 731.357 50,174 18,091 799,622 689,528 46,372 11,850 727,750 The average number of employees (excluding temporary and agency staffl. analysed by function, was as follows" Group and charlty 2021 2020 Senior management Museum administration 17 17 During the year two members of staff received annual remuneration (including taxable benefits but excluding employer's pension and national insurance contributions) of between £80,000 and £90,000 (2020 - two members of staff, between £60,000 and £70,000). No Trustee received reimbursement of expenses during the year in connection with services to the charity (2020 - none). The key management personnel of the Museum in charge of directing and controlling, running and operating the Museum on a day to day basis comprise the Trustees together with the Chief Executive and the Finance Director. The total remuneration (including taxable benefits and employer's pension and national insurance contributions) payable to key management personnel during the year was £206,867 (2020 - £162,433). Executives, remuneration is set by the Finance & Audit Committee and reviewed annually. 9 Governance costs 2021 2020 Group Auditor's remuneration Statutory audit- fee for the year Other governance costs 10,700 1,713 12.413 10,600 1,713 12,313 57 The Foundling Museum Notes to the financial statements 31 March 2021 10 Net movement in funds This is stated after charging: 2021 2020 Group Auditor's remuneration Statutory audit Other services Depreciation of tangible fixed assets 10,700 12,400 183,560 10,600 11,000 184,642 11 Taxation The Foundling Museum is a registered charity and therefore is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities. The Foundling Museum Trading Company Limited donates its taxable profits (if any) to The Foundling Museum via a Gift Aid compliant deed of covenant. 12 Tangible fixed assets Office equipment, fixtures and Leasehold improve- ments 2021 Total Group and charity Cost At 1 April 2020 Additions 3,929,876 295,974 59,902 355.876 4,225,850 59,902 4.285.753 At 31 March 2021 3.929.876 Depreciation Al 1 April 2020 Charye for the year Al 31 March 2021 2,705,129 169,711 2,874,840 259,176 13,848 273,024 2.964.305 183.559 3,147,865 Net book values Al 31 March 2021 1.055.036 1,224,747 82.852 36,798 1.137.888 1.261,545 At 31 March 2020 Included within office equipment, fixtures and fittings are assets with a net book value of £31,980 in respect to the charity's website and digital branding (2020 - £nil). 58 The Foundling Museum Notes to the financial statements 31 March 2021 13 Heritage Assets Museum artefacts Group and charity Cost or valuation Al 1 April 2020 Additions At 31 March 2021 9,453,198 5,000 9,458,198 The Museum has in the past obtained various assets where the donors have placed conditions or legal charges to restrict their use. Primarily these assets are allowed to be displayed to the public, but the Museum cannot benefit from the intrinsic value of these assets other than from the income they generate. In the event that the Museum were no longer to comply with the conditions imposed by the donors, the assets would be removed from the Museum and offered to other charities, without compensation being due to the Museum for the loss of those assets. The Museum holds two assets which fall into this category, a painting obtained with funding from The National Heritage Memorial Fund ("NHMF") and The Gerald Coke Handel Collection received from The Museums and Libraries Archives Council. In accordance with the requirement of the Charities SORP FRS 102, both these assets are recognised in the financial statements. The painting is included at £4,000,000 which reflects the value when acquired by the NHMF in 2003 and The Gerald Coke Handel Collection is included at £4,825,240 as valued by Christie's in 2006. Other heritage assets acquired by the Museum are included on the balance sheet at cost. Heritage assets are held in a separate fund as this represents assets where the charity owns the legal title but where the original owners or the donors of the assets have placed legal restrictions on the assets. sale or disposal. 59 The Foundling Museum Notes to the financial statements 31 March 2021 14 Fixed asset investments 2021 2020 Group Listed investments Market value as at 1 April 2020 . Additions at cost Disposals at book value (proceeds.. £315,631, net realised gains.. £56,230) Net uniealised investtnent gains11055esl Market value as at 31 March 2021 Cash held for reinvestment Total investments at 31 March 2021 2,552,731 247.403 1259,4011 267.346 2,808.079 268,536 3,076,615 2,901,295 341,301 1581.1011 1108,7641 2,552,731 221,280 2.774,011 Cost of listed investments 2,368.483 2,372,011 2021 2020 Charity Listed investments Market value as al 1 April 2020 Additions at cost Disposals at book value Ipro¢eeds.' £315.631, net re81ised gains.. £56.2301 Net unrealised investment gains Ilossesl Market value as at 31 March 2021 Cash held for reinvestment 2.552.731 247.403 1259,4011 267.346 2,808,079 268,536 3.076.615 2,901,295 341,301 1581,1011 1108,7641 2,552,731 221,280 2,774,011 Investment in subsidi8ry undertaking (see below) Total investments at 31 March 2021 3,076,617 2,774,013 Cost of listed investments 2,368,483 2,372,011 Both group and charity listed investments (comprising the above and those classified as current assets - see note 15) which equate to more than 5 % of the total listed investment portfolios (fixed and current) comprise units in the Charities Property Fund (£311,439 (8.75 % of the portfolio)). Investment in subsidiary The charity has one wholly owned trading subsidiary - The Foundling Museum Trading Company Limited - which is incorporated in the UK and sells promotional goods and organises events for the benefit of The Foundling Museum. The trading results of the subsidiary have been incorporated into the consolidated financial statements. The following is a summary of the financial statements of The Foundling Museum Trading Company Limited for the year ended 31 March 2021, which have been included in the consolidated financial statements. 60 The Foundling Museum Notes to the financial statements 31 March 2021 14 Fixed asset investments (continued) 2021 2020 Turnover Cost of sales Gross profit Adrninislr8tive costs Operating Ilossl profit Donatitsns made under gift aid Loss on ordinary activities before interest and taxation Other interest receivable and similar income Lo¥s on ordinary activities before tsxation Taxation Loss for the flnanclal year Retained eamings at 31 March 2020 Accumulated losses at 31 March 2021 24.462 116.0551 8,407 123.8531 115,4461 314.011 160,6961 253.315 1153,1111 100.204 1100,5271 13231 323 115,4461 41 115,4051 115.4051 115,4051 At 31 March 2021 the company had total called up share capital of £2 and accumulated losses of £15,405 (2020 - called up share capital and retained earnings of £2). 15 Current asset investments 2021 2020 Group and Charity Listed investments Market value as at 1 April 2020 Additions at cost Disposals at book value (proceeds.. £200,464., gains.. £15,593) Nel unrealised investment gains Ilossesl Market value as at 31 March 2021 483.703 403.049 1184,8711 48,770 750,651 78.390 330,837 247.056 138.3711 155.8191 483.703 81,691 565,394 Cash held for reinvestment Total investmgnts at 31 March 2021 829.041 Cost of listed investments 723,526 505.019 16 Debtors Group 2021 Charlty 2021 Group 2020 Charity 2020 Operating debtors Gift aid tax recoverable Other debtors Prepayments and accrued income Amounts due from subsidiary undertaking 28,170 30 58,751 8,227 19,486 30 58,751 7,527 60,848 146,642 56,039 23,999 93,652 16,350 24,339 23,999 93,652 13,922 155,648 311.560 95,178 190,040 61 The Foundling Museum Notes to the financial statements 31 March 2021 17 Creditors: amounts falling due within one year Group 2021 Charity 2021 Group 2020 Charity 2020 Expense creditors Supporters, loan endowment scheme Inole 251 Other creditors 95,041 450,000 93,941 638,982 92,263 450,000 87,650 629,913 12,089 424,044 90,165 526,298 11,249 424,044 85,561 520,854 Loans from supporters have been invested with Veritas and are held as current asset investments (note 15) as they are repayable with a minimum of months, notice. 18 Creditors: amounts falling due after more than one year 2021 2020 Group and charity Loan 3,000,000 3,000,000 An endowment loan of £3 million was awarded to the Museum by The National Heritage Memorial Fund. The entire loan is interest free and repayable in full on 31 March 2028. 19 Provision for liabilities 2021 2020 Group and charlty Provision lor pension scheme defiat reduction payments (note 231 96.000 107,000 62 The Foundling Museum Notes to the financial statements 31 March 2021 20 Other restricted funds The income funds of the group and charity include restricted funds comprising the following unexpended balances of donations and grants held on trust to be applied for specific purposes.. Expenditure and transfers At1 April 2020 At31 March 2021 Income Group and Charity Conservation fund Paul Mellon CentrelPilgrim Trust fund The Clore Duffield Foundation fund Exhibitions fund Learning running costs fund Collection purchases fund Gerald Cooke Handel Foundation fund Oak Foundation fund Trustee of JR Murray fund China Project fund Foyle Foundation fund Covid Emergency Grants Other funds Front Desk Projeet 12.387 6.991 3,791 2,500 114.2471 16751 11,8401 152.6131 124,6231 17561 {6,5561 116.8531 140,0001 143.0121 16.4971 517,0061 122.1731 640 6.316 26,951 27,620 73,536 29,851 1,201 15.000 25,000 80.233 24,700 380 5,953 31.853 40,000 30,000 73.459 30.227 1,804 45,268 22.675 32,256 16,178 18,294 35.485 29,800 296,950 535,300 40,250 29,800 845,969 1.230 197,832 746.8511 63 The Foundling Museum Notes to the financial statements 31 March 2021 20 Other restricted funds (continued) At1 April 2019 A131 March 2020 Income Expenditure Transfers Group and Charity Conservation fund Paul Mellon CentrelPilgrim Trust fund The Clore Duffield Foundation fund Exhibitions fund Learning running costs fund Collection purchases fund Gerald Cooke Handel Foundation fund Oak Foundation fund Music funds Trustee of JR Murray fund ICAP fund China Project fund Foyle Foundation Fund Other funds 33,766 115,1351 {6,2441 12,387 30,608 123,6171 6,991 6,290 1,385 29,626 24,764 {2,4991 182,6091 165,8421 3,791 83,224 58,000 12,083 12,0001 21,784 30,227 {6,6201 12,1831 20,653 15,730 32,133 11,250 40,000 51,675 76,107 35,000 2,668 417,870 111,7431 152.7861 111,2501 140,0001 1,804 51,675 45,268 22,675 1,230 197,832 130,8391 112,3251 1,550 146,459 {2,9881 1339,3081 127,1891 The specific purposes for which the funds are to be applied are as follows.. • Conservation fund The conseniation fund is for the restoration and maintenance of the paintings, furniture and other artworks exhibited by the Museum. • Paul Mellon Centre fund The Paul Mellon Centre for Studies in British Art have funded the creation of a catalogue of the collection. • The Clore Duffield Foundation fund The Clore Duffield Foundation has funded the Foundling Fellowship, a scheme to find the contemporary Coram, Hogarth and Handel to work with the Museum to develop original, creative initiatives for children and to raise the profile of the museum in those areas. • Exhibitions fund The Exhibitions Fund is for the costs of various upcoming exhibitions and displays. 64 The Foundling Museum Notes to the financial statements 31 March 2021 20 Other restricted funds (continued) • Learning running costs fund The Education Running Costs Fund is to finance the day to day operating activities of the Education Centre, including the Museum's Nursery Project. • Collection purchases fund The Collection purchases fund comprises donations from a variety of sources for the enhancement of the collections. • Gerald Cooke Handel Foundation fund The Gerald Cooke Handel Foundation fund is for expenditure directly related to the Gerald Cooke Handel collection Oak Foundation fund The Oak Foundation is funding a three-year training programme aimed at young adults who grew up in foster care or children's homes • Music Fund The Music Fund is funds raised by the 1750 club to sponsor a wide range of music events. + Trustee of JR Murray fund The Trustee of JR Murray fund is to fund the salary of The Director. • ICAP fund The ICAP fund is for a bespoke training and mentorship programme for care- experienced young adults. + China project fund The China project fund is for establishing new ways of generating income. • Foyle Foundation fund The Foyle Foundation fund is for replacing IT equipment. • Covid Emergency grants These grants, principally from Arts Council England, covered a wide range of special projects as well as contributing to payroll and overhead costs to ease the impact of the pandemic on the Museum's programmes and finances. 65 The Foundling Museum Notes to the financial statements 31 March 2021 20 Other restricted funds (continued) • Front Desk project This project was for the remodelling of the front desk area to make it more welcoming, improve the lighting and the retail shop display area and thereby improve the visitor experience. + Other funds Other funds comprise items of miscellaneous restricted income to be spent on various museum projects. 21 Designated funds Expenditure and transfers At 1 Aprll New 2020 deslgnations At 31 March 2021 Group and charity Buildings repair fund Redundancy costs Purchase of lease Vaults Exhibition shortfall fund Sash wndows NHLF Shortfall fund 2,000 12.0001 50,000 600,000 25,000 so.000 600,000 25.000 20,000 60,000 300.000 1,055,000 20,000 60,000 74.014 809,014 225,986 247,986 12,0001 At 1 April New 2019 Designations At 31 March 2020 Group and charity Buildings repair ftjnd Exhibition shortfall fund NHLF Shortfall Fund 2.000 20,000 2,000 20,000 225,986 247,986 225,986 225,988 22,000 Full details of the purpose of the above funds are provided in the Trustees, report. 66 The Foundling Museum Notes to the financial statements 31 March 2021 22 Analysis of net assets between funds Unr88trfcted funds Resttlctsd funds Total Unrestricted Restric18d funds Total 2020 2021 funds Group Fund balances at 31 March 2021 are represented by.. Tangible fixed assets InveslmeD15 Heritage ass8ts Current a55els Creditors.. amounts falling due within one year Creditors amounts falling due after more than one year Pension deficit Total 1,137,888 3,076,615 1,137,888 3,076,615 9,458,198 2,479,344 1.261,545 2.774,011 1,261,545 2,774,011 9,453,198 1,456,845 9,458,198 296.950 9,453,198 197,832 2.182,394 1.259,013 1638.9821 1638.9821 1526,2981 1526,2981 13.000.000) 196.0001 2,661.915 13.000.000) 13,000,000) 196.0001 1107,0001 9,755,148 12,417,063 1.661,271 13.000.000) 1107.0001 11,312,301 9,651,030 Unrealised gains included above: Unrt$tricted fund$ Restricted funds Total Unre$tri¢ied 2021 fund$ Restricted funtls Toial 2020 Charity Fund balanGe5 at 31 MarGh 2021 are represented by= Tangible fmed assets Investments 1,137,888 1.137.888 9.458.198 3.076,617 2.485,678 1,261,545 2,774.013 1.261.545 2.774.013 9,453.198 1.451.401 9.458.198 Heritage a55els Current assets Creditors.. amounts falling due within one year Creditots." amounts falling due after more than one year Pension deficit Totsl 3,076,617 2,188,728 9.453.198 197.832 296.950 1,253.569 1629.9131 1629,9131 1520,8541 1520.8541 13.000.000) 196,0001 2,677,320 13,000,0001 13.000.000) 196,0001 1107,0001 9,755,148 12,432,468 1,661,273 13.000.000) 1107,0001 9.651.030 11.312.303 2021 2020 Investments Reconciliation of movements in unrealised gains Unrealised gains at 1 April 2020 Nel unrealised gains Ilossesl in year In respect to disposals Unrealised gains at 31 March 2021 159,404 316.116 18,799) 466,721 388,473 1164,5831 164,4861 159,404 23 Pensions The charity participates in the Career Average Revalued Eamings ('CARE') Scheme operated by The Pensions Trust. a multi-employer scheme which provides benefits to some 37 non-associated employers. The scheme is a defined benefit scheme in the UK. 67 The Foundling Museum Notes to the financial statements 31 March 2021 23 Pensions (continued) It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore it accounts for the scheme as a defined contribution scheme. The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a 'last-man standing arrangement,. Therefore the company is potentially liable for other participating employers, obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. A full actuarial valuation for the scheme was carried out at 30 September 2016. This actuarial valuation showed assets of £60.45m, liabilities of £85.30m and a deficit of £24.86m. To eliminate this funding shortfall, the Trustees and the participating employers have agreed that additional contributions will be paid to the scheme as follows.. Defiat contributions From 1 April 2018 10 30 November 2028 £1,400,000 per annum (payable monthly and increasing by 3.00/0 each year on 1 Aprill The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities. Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost. 68 ## _**Reconciliation of opening and closing provisions:**_ ## _**Income and expenditure impact**_ ## _**Assumptions**_ The Foundling Museum Notes to the financial statements 31 March 2021 24 Connected charities Coram The Foundling Hospital (subsequently the Thomas Coram Foundation and now known as Coram) was established in 1739 by the philanthropist Thomas Coram. Instrumental in helping Coram realise his vision were the artist, William Hogarth and the composer, George Frideric Handel. Hogarth initiated the donation of artworks and Handel gave fundraising performances of Messiah in the Hospital's Chapel. In the process, they created the UK'S first public art gallery and set the template for the way the arts could support philanthropy. In 1998 Coram created the Museum to safeguard the Foundling Hospital Collection, to offer public access to the Collection, and to presenie its integrity in its original context. The Foundling Museum's objects include the ability "to support such of the purposes of the charity now known as Coram as the Museum, in consultation with Coram, shall from time to time determine." Coram is one of 13 company members of The Foundling Museum and nominates up to one third of the trustees of The Foundling Museum and holds retained powers to safeguard its founding principles. Many of the paintings and other artefacts housed within The Foundling Museum Collection belong to the Foundling Hospital Collection which is owned by Coram but they are held and managed by The Foundling Museum in accordance with a legal agreement for a period of 25 years which commenced in June 2002. Whilst Coram is able to sell any item it owns from the Foundling Hospital Collection to a third paty during the period to June 2027, any such sale must be at full market value and the purchaser would have to accept that the item would be sold subject to the unexpired term of the agreement. In addition, The Foundling Museum has the automatic right to be given ￿e1ve rnonths in which to raise the money to buy any item that Coram has indicated that it wishes to sell. During the year, excluding VAT, the Museum paid Coram £16,943 in respect of insurance (2020 - £11,144), £4,726 (2020 - £3,766) for rent and seNice charge and £1,260 (2020 - £1,260) for waste collection. 70 _**Coram** (continued)_ ## _**The Gerald Coke Handel Foundation**_ The Foundling Museum Notes to the financial statements 31 March 2021 25 Related party transactions Supporters, loan endowment scheme The Museum has established a supporters, loan endowment scheme to enable it to benefit from the income generated by the investment of the loaned funds (notes 15 and 17). The Museum withdraws the income on the fund on a monthly basis and applies such monies towards its charitable objectives. Lenders may withdraw the loan principle by giving 60 days, notice in advan￿ of each quarter date and they are entitled to the original capital plus any capital gains (payable as interest) up to a maximum of 1.5 % over the Bank of England base rate over the duration of their loan, or less any capital losses. The amount loaned to the Museum by the Trustees in the year under the scheme and invested in the fund was £nil (2020 - £nil), and the accrued interest due to the Trustees was £2,723 (2020 - £nil). The amounts due to the Trustees at 31 March 2021 was £77,723 (2020 - £70,674). Chinese Connections Limited On 4 June 2019, a private limited company wholly owned by a former Trustee, Judy Bollinger (who resigned as a Trustee in December 2019), and the charity secretary and Finance Director, Nigel Cudlipp, was established with the aim of generating income for the Museum. No income was generated by the new company during the year. Income is expected to be generated in Chinese Connections Limited in future, with any taxable profits donated to the Museum. Other related party transactions Total trustee donations in the year amounted to £10,390 {2020 - £24,200). No trustee received reimbursement of expenses during the year in connection with seniices to the charity (2020 - none). There were no further related party transactions (2020 - none). 26 Members liability The charitable company is constituted as a company limited by guarantee. In the event of the charitable company being wound up, the member is required to contribute an amount not exceeding £1. 72