Charity Number 1071220 THE C. & J. B. MORRELL TRUST REPORT AND FINANCIAL STATEMENTS for the year ended 5 April 2023
THE C. & J. B. MORRELL TRUST REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023 CONTENTS page Trustees, Report Independent Examinerfs Report Statement of Financial Activities Balance Sheet Notes to the Accounts 9-14
THE C. & J. B. MORRELL TRUST TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2023 Reference and Administrative Detsils of the Chari its Trustees and Advisers Charity name and number The C. & J. B. Morrell Trust". registered charity number 1071220 Correspondence Address 54 Bootham, York. North Yorkshire, Y030 7XZ Trustees Susan Mendus CBE {Chaimian) Nicholas Morrell Margaret Morrell Martin Wainwright MBE (retired 22 July 20221 Matt Matravers Olivia Morrell (appointed 21 November 2022) Secretsry Mr C M S Walker FCA Professional Advisers Accountants.. HPH Chartered Accountants. 54 Bootham. York, Y030 7XZ Bankers.. HSBC Bank plc, 13 Parliament Street, York, Y018RS Independent Examiner.. Sarah Wearing FCA DChA, HPH Chartered Accountants, 54 Bootham, York, Y030 7XZ Stockbrokers.. Charles Stanley & Co Ltd., Windsor House, 6-10 Mount Ephraim Road, Tunbridge Wells, Kent, TN1 1EE
THE C. & J. B. MORRELL TRUST TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2023 The Trustees present their annual report together with the financial statements of the Trust for the year ended 5 April 2023. The financial statements have been prepared in accordance with the Statement of Recommended Practi.. Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) issued in October 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102} and the Charities Acl 2011 and UK Generally Apted Practice as it applies from 1 January 2019. Structure Governance and Mana ement The Trust is a charity created by a Declaration of Trust 29 June 1955 and a Deed of Trust dated 28 May 1956 supplemental to the eadier Declaration. The Trusl Deed provides for a maximum of six trustees. Where there is a requirement for new trustees, these are identified and appointed by the remaining trustees. The Secretary is responsible for Ihe induction of any new trustee which involves awareness of a trustee's responsibilities, the governing documents, administrative procedures, the history and approach of the Trust. A new Trustee reiVeS copies of the previous year's annual report and accounts and a copy of the Charity Commission leaflet 'The Essential Trustee= What You Need to Know,. The Truslees have assessed the major risks to which the Trust is exposed. in particular those related to the operations and finances of the Trust. and are satisfied that systems are in pla to mitigate the exposure to those risks. To date, these have related mainly to investment management and these have been mitigated by diversified portfolio management undertaken by the Trusl's stockbrokers. The Trustees are aware of the risks associated with making grants (for example fraud and charities seeking Iwo grants for the same project) but these risks are managed by the Trustees. own detailed knowledge of the relevant organisations and the careful assessment of any requests reived. The Trustees determine the general policy of the Trust. The day to day management of the trust is delegated to the Chainnan and Secretary. As disclosed elsewhere in this report ('Achievements and Perfomiance,), and in Note 6 to the accounts, the Trustees renewed their existing gift agreement with the University of York. Professor Matt Malravers {Trustee) is also employed by the University bul does not benefit personally from this grant arrangement. All of the Trustees give their time voluntarily and re1ve no benefits from the TrusL Any expenses reclaimed from the Trust are set out in Note 2 to the accounts.
THE C. & J. B. MORRELL TRUST TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2023 Ob-ectives and Activities The Trust was established to promote education. In particular. the promotion. development, improvement, maintenance or furtheran of any educational eslablishment which may have been founded with a view to the creation of the University of York, or for the benefit of such other educational bodies as the Trustees may think fit. The Trustees confirm that they have referred to the guidan contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities and setting the grant-making policy for the year. The Founders expressed the wish that. if possible, the Trust should fund, or support the funding of, a Chair for the study of Toleration, preferably at the University of York, and that the Trustees should endeavour to support and encourage those charitable objectives which the general public would be less likely to support. For many years, the Trustees have provided substantial funds for'The Morrell Centre for Legal and Political Philosophy (previously 'The Morrell Centre on Toleration,), which is a 'free standing, centre based in the Law School at the University of York. In rent years, funds have been used for.. a grant to be administered by the University of York's 'Justice and Equality, Research Champion,. the University of York's 'Festival of Ideas, to fund a day of events., the Ebor Lectures,. and other applications as decided by the Trustees. The Trustees meel at least once a year to decide upon the financial support which they are able to provide to Ihe University of York and to any other bodies Ihat have requested grants. Where funds permit, Ihe Trustees also make grants to other charitable educational bodies which Ihey consider fall within the provisions of the Trust Deed, and the Founders. declared wishes. Financial circumstances are relevant only in detemiining the amount of a grant awarded. The Trustees believe they have complied with the duty in section 17 of the 2011 Charities Act to have due regard to guidance published by the Charity Commission in respect of public benefil. Achievements and Perforniance The Trustees met three times during the year and continued to progress their strategic review of the Charity's affairs. This was in order to ensure that it remains fit for purpose in the coming years. The review included identifying possible new causes worthy of support which are consistent wilh the Founders, vision, the priorities for future granl-making and the recruitment of new trustees. For 2022123. the main activity of the Trust was the first year of a new agreement with the University of York to fund the Festival of Ideas1£15,0001, work in justi and equality1£20, 000), the Morrell Centre for Legal and Political Philosophy (£20,000), and bursaries for students on the LLM in Legal and Political Theory (up to £15.¢X)O)
THE C. & J. B. MORRELL TRUST TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2023 Financial Review The Trustees do not seek. nor do they normally expect to receive. further funding from outside SoUrs. Therefore, the Trustees hold reserves primarily as an investment fund to generate income and ensure the stability of the grant-making programme funded by it. The recent level of grant-making activity required an annual income in the range of £60,000 to £90,000. The unrestricted reserves (regarded as 'free reserves'} held at 5 April 2023 were £2,863,169, and the underlying investments and cash balanS held by the Charity during the period review generated an annual income of £85.718. The Trustees consider the current level of free reserves held, therefore. to be sufficient but not eXsSIVe. The investment powers are governed by the Tnjst Deed, which permits the funds to be invested at the absolute discretion of the Trustees. The Trustees have set a policy that the Unrestricted Funds ('free reserves'} should be invested so as to retain a reasonable liquidity to meet grant requirements, and thereafter to keep a balan betsveen income and capital growth with medium risk level. The Trust's Stockbrokers manage the Trust's investments in accordan with a discretionary management agreement, reporting regularfy to the Trustees. The Stockbrokers charge a fee, quarterly in arrears, based on the value of the investment portfolio ranging from 0.5 % for the first £2,000,000 10 0.3% on the balan over £2 million. Under the Stockbrokers, management. the portfolio prodUd a total return of-5°/o during the year. The fall in capital value was mainly due to soaring inflation rates, which resulled in ntral banks increasing interest rates, and conM$ in the final quarter about the financial health of some banks. The Trustees have chosen not to adopt fomial ethif21 investment policies.
THE C. & J. B. MORRELL TRUST TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 5 APRIL 2023 Plans for the Future The Trustees have recently completed a strategic review of the Trust's affairs and endorsed a new'medium term" funding plan. The trend of increasing corporate eamings. which have retumed to pre-pandemic levels, has enhand the scope for future grant-making. Statement of Trustees, Res onsibilities The Trustees are responsible for preparing the Trustees. Report and the financial stslemenls in accordance with applicable law and regulations. Charity law requires the Trustees to prepare financial statements each financial year which give a true and fair view of the state of affairs of the Charity as at Ihe end of the year and its financial activities during the year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards). In preparing these financial statements, the Trustees are required to- select suitable accounting policies and then apply them consistently., make judgments and accounting estimates that are reasonable and prudent,. follow applicable UK Accounting Standards and the Charities SORP, disclosing and explaining any departures in the accounts., prepare Ihe financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue to operate The Trustees are responsible for ensuring that adequate accounting records are maintained that are sufficient to show and explain the Charity transactions and disclose wilh reasonable accuracy at any time the financial position of the Charity, and enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Charity and ensuring their proper application in accordan wilh charity law, and hen for taking reasonable steps for the prevention and detection of fraud and other irregularities. Signed on behalf of the Trustees Susan Mendus Chairman 31 October 2023
THE C. & J. B. MORRELL TRUST INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE C. & J. B. MORRELL TRUST I report to the trustees on my examination of the accounts of The C. & J.B. Morrell Trust {the Trust) for the year ended 5 April 2023. This report is made solely to the Chariws Trustees. as a bcNJy. in accordan with Section 154 of the Charities Act 2011. My independent examination work has been undertaken so that I might state to the Charily's Trustees those matters l am required to state to Ihem in an Independent Examinerfs Report and for no other purpose. To the fullest extent permitted by law, I do nol acpt or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my independent examination work, for this report, or for the opinions I have formed. Responsibilities and basis of report As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 1.the Act'l. I report in resped of my examination of the Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 14515)(b) of the Act. Independent examiner's statement I have completed my examination. I confim that no material matters have Gome to my attention in connection with the examination giving me cause to believe that in any material respect= 1. accounting records were not kept in resped of the Trust as required by section 130 of the Act., or 2. the accounts do not accord with those records". or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounls set out in the Charities (Accounts and Reporls) Regulalions 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part of an independent examination. I have no COnrnS and have me across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. S B Wearing FCA DChA HPH, Chartered Accountants 54 Bootham York Y030 7XZ 31 October 2023
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Total Total Year ended Year ended 5 April 2023 5 April 2022 £ £ Unrestricted Fund |
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The notes on pages 9 to 14 form part of these accounts.
| Notes 8 & 9 10 11 |
Total Total 2023 2022 £ £ Unrestricted Fund |
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Chairman
The notes on pages 9 to 14 form part of these accounts.
THE C. & J. B. MORRELL TRUST NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2023 ACCOUNTING POLICIES Legal entity The C. & J. B. Morrell Trust is regulated by the Charity Comrnission for England and Wales11071220). The registered address and principal pla of business is 54 Bootham. York, Y030 7XZ. Basis of preparation The financial statements have been prepared in accordan with the Statement of Recommended Practice.. Accounting and Reporting by Charities preparing their accounts in accordan with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued in October 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 1021 and Ihe Charities Act 2011 and UK Generally Accepted Practice as it applies from 1 January 2019. The Trust constitutes a public benefit entty as defined by FRS 102. The Trustees consider that there are no material uncertainties about the Trust's ability to continue as a going concern. Funds structure The unrestricted income fund comprises those funds which the Trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds where the Trustees, at their discretion. have created a fund for a Income recognition All incoming resources are recognised once the Charity has entitlement to the reSoUrs, it is probable that the reSoUrS will be received and the monetary value of incoming reSoUrS can be measured with sufficient reliability. Expenditure Raising funds These are the costs incurred in the management of the Trust's investment portfolio. Charitable activities Grants are payments made to third parties in the furtherance of the charitable objectives of the Trust and are accounted for when either the recipient has a reasonable expectation that they wll receive a grant and the Trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will re1ve a grant and any condition attaching to the grant is outside of the control of the Trust. The other costs are associated directly with the management by the Trustees of the Trust's activities, including professional fees and costs of meetings.
THE C. & J. B. MORRELL TRUST NOTES TO THE ACCOUNTS- CONTINUED FOR THE YEAR ENDED 5 APRIL 2023 ACCOUNTING POLICIES (continued) Irrecoverable VAT The Trust is not VAT registered and accordingly all expenditure is shown gross of irrecoverable VAT where applicable. Fixed asset investments Investments are stated at market value as at the balan sheet date. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year. Realised gains and losses All gains and losses are taken to the statement of financial activities as they arise. Realised gains and losses on investments are calculated as the dtfference between sale proceeds and opening market value. Cash and cash equivalents Cash and cash equivalents comprise cash on hand and call deposits, and olher short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. Creditors and provisions Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any discounts due. Financial instruments The Trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exptIOn of bank loans which are subsequently measured at amortised cost using the effective interest method. REMUNERATION AND EXPENSES OF TRUSTEES None of the Trustees received any remuneration or benefits by virtue of being a trustee of the Trust. Trustees were reirnbursed £545 (2022 £nil) for travelling expenses to trustee rneetings. Expenses were reirnbursed to two Trustees (2022 none).
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THE C. & J. B. MORRELL TRUST NOTES TO THE ACCOUNTS- CONTINUED FOR THE YEAR ENDED 5 APRIL 2023 STAFF COSTS AND NUMBERS Payroll costs in respect of staff were: 2023 2022 Wages and Salaries 1,500 1,500 £1,500 £1,500 No employee reiVed employee benefits in eXsS of £60,000. The average monthly head count was one {2022 one). The key management personnel of the Tnjst comprise the Trustees and the Secretary (2022 the Trustees and the Secretary). The total employee benefits of the key management personnel of the Trust were £1.50012022 £1.500). ANALYSIS OF GRANTS 2023 2022 Recipients of institutional grants= To fund 'The Morrell Studies in Toleration,: Unrversity of York To fund 'The 2022 York Festival of Ideas.: University of York Release of funds following the cessation of the partnership with York St John University to fund the Ebor Lectures progamme 210,000 10,000 {19,9051 £ 190,095 £ 10,000 7. (LOSSES)IGAINS ON INVESTMENT ASSETS 2023 2022 Realised (losses}Igains on investment portfolio Unrealised (lossesvgains on investment portfolio (18,2121 1208,4461 4,438 179,012 (£ 226,6581 £ 183,450
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THE C. & J. B. MORRELL TRUST NOTES TO THE ACCOUNTS - CONTINUED FOR THE YEAR ENDED 5 APRIL 2023 11. CREDITORS: amounts falling due after one year 2023 2022 University of York - grant The Ebor Lectures Partnership - sponsorship 70,000 8,000 £ 70.000 £ 8,000 12. RELATED PARTY TRANSACTIONS Other than those disclosed in Note 2. there were no other related party transactions during the reporting period.