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← Adventist Development And Relief Agency - UK

2024-12-31-accounts

Adventist Development & Relief Agency - UK

Trustees’ Report and Financial Statements Year ended 31 December 2024

Charity Numbers Scotland: SCO37726 England and Wales: 1074937

Adventist Development and Relief Agency UK

YEAR ENDED 31 DECEMBER 2024

CONTENTS

Page
Trustees' report 1
Auditors' Report 6
Statement of Financial Activities 10
Balance Sheet 11
Cash Flow Statement 12
Notes to the Financial Statements 13

Adventist Development and Relief Agency - UK

Trustees’ Report

Year Ended 31st December 2024

Reference and Administrative Details:

Trustees:

Eglan Brooks (Chair) John Surridge (Resigned 13 June 2024) Andrew Baildam Stephen Logan Jennifer Phillips Snowdon Reid Helen Rodd Tristan Simmons Gordon James Saggers Wederly Aguiar Jacques Venter (Appointed 13 June 2024)

General Secretary:

Helia Mateus, Interim Chief Executive Officer (Appointed 1 December 2023 to 31 May 2024) Sandra Golding, Chief Executive Officer (Appointed 1 June 2024)

Bankers:

HSBC Bank plc, 73 High Street, Watford, WD1 2DS

Solicitors:

Anthony Collins LLP, 134 Edmund Street, Birmingham, BS 2ES

Auditors:

Moore Kingston Smith LLP, 4 Victoria Square, St Albans, AL1 3TF

Registered Office:

British Union Conference, Stanborough Park, Watford, WD25 9JZ

Registered Charity Numbers:

England and Wales: 1074937 Scotland: SC037726

Legal Statement

We present this report and financial statements of the charity for the year ended 31 December 2024 which have been audited by Moore Kingston Smith LLP. The Charity also operates and is identified under the acronym ADRA-UK.

The financial statements have been prepared in accordance with the accounting policies set out in Note 1 to the accounts and comply with the Charity’s trust deed, 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 UK and Republic of Ireland.

1

Adventist Development and Relief Agency - UK

Trustees’ Report Year Ended 31st December 2024

a. Constitution

The Charity was established by Trust Deed dated 24 November 1998 (updated in 2001 and 2008). The principal object of the Charity is to apply financial, material, and technical resources toward:

a. The relief of poverty, sickness and distress of those in need, resulting from the effects of war, famine or any other natural or man-made disaster anywhere in the world.

b. Addressing the long-term effects of poverty.

There has been no change in objectives since the last report.

b. Method of appointment and election of trustees

The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.

c. Organisational structure and decision making

The Charity is governed by its Board of Trustees. It is part of the international network of offices of the Adventist Development and Relief Agency – and works in co-operation with other offices in the network in implementing approved projects.

d. Risk management

The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.

Statement of Financial Activities (SOFA)

The SOFA shows a deficit of £28,004 (2023: Surplus of £179,602). This result was mainly due to higher project expenses.

Income

Donated income is made up of general donations, donations received by the churches, legacies and the Appeal donations. The Charity’s main donor base consists of members of the Seventh-Day Adventist Church. Donated income decreased by 17% in comparison to 2023 (which included significant legacies and donations for the Turkey/Syria Earthquake). The cost of living crisis in the UK is still impacting fundraising activities. We were able to undertake our annual appeal again in 2024. The Charity is grateful to its donors for their continued giving, as these funds go a long way towards helping those in need in the countries we operate.

Our main projects include:

2

Adventist Development and Relief Agency - UK

Trustees’ Report Year Ended 31st December 2024

We are also contract named partners in EU projects in Myanmar, Sri Lanka and Thailand where we provide co-financing, financial and programmatic monitoring support. In addition, we supported small projects in Ghana, India, Nepal, Mauritania and Timor Leste.

In 2024, we raised just over £100,000 to support our humanitarian work. These funds helped us respond to emergencies in Brazil, Gaza, Lebanon, Syria and Zambia, as well as the aftermath of Hurricane Beryl in Grenada, Jamaica, Mexico, and St Vincent and the Grenadines. We also continued our ongoing support for Ukraine.

Expenditure

Restricted expenditure on charitable activities, which consists of project costs funded by FCDO, EU and the JOA, saw a 3% decrease in comparison to 2023. This is largely due to the completion of the EU Sri Lanka project in early 2024.

As part of project grant conditions, ADRA is often required to contribute towards funding a proportion of the project costs, i.e., match funding. In addition to this, ADRA-UK finances small projects directly. The match funding and the small project funding thus constitute the unrestricted expenditure on charitable activities. In 2024, there was a 24% increase in unrestricted charitable expenditure reflecting the support to projects and emergency appeals.

In 2024, the charity resumed its annual appeal again with a renewed focus, moving away from its prepandemic approach, which heavily relied on door-to-door fundraising. This method has remained discontinued since the pandemic. Moving forward with this new approach to fundraising, the charity aims to strengthen and expand its fundraising efforts.

Balance Sheet

The amount of Cash held in the Bank increased by £1,983,587 largely due to the early receipt of EU funds for the Somalia ACTIVE project. A decrease in Debtors and increase in Creditors is reflected in the Balance Sheet as a result of the advances on projects to ADRA overseas implementing offices (debtors) and from donors (liabilities) on the projects.

ADRA-UK also advanced funds to partnering ADRA offices to facilitate project implementation. Funds that are not yet used by these offices are recognised as Debtors. The Debtors was mainly driven by the advances to Nepal, South Sudan, and Zambia projects.

Principal Funding

ADRA-UK’s success is substantially dependent on winning projects supported by institutional donors (EU, the FCDO, Jersey Overseas Aid, UN agencies), and on its Appeals and Campaigns. The Charity is also supported through donations and legacies by members of the Seventh-day Adventist Church and the general public.

Material Investments Policy

ADRA-UK seeks to respond to emergent needs and thus maintains its reserves in deposit funds or Money Market interest-bearing accounts. It has also been the recipient of investment equities and bonds, which have been retained.

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Adventist Development and Relief Agency - UK

Trustees’ Report Year Ended 31st December 2024

Reserves Policy

The Charity’s Reserves are separated into three main categories (See Statement of Changes in Fund Balances):

Public Benefit

In setting plans and priorities for areas of work, the Trustees have given regard to guidance from the Charity Commission on the provision of public benefit. The Trustees have considered and will continue to consider how our planned activities will contribute to the objectives we have set. How we deliver our principal objective “reduction of poverty in the relief of suffering particularly in situations of disaster” is demonstrated in our policies, objectives, and plans.

The public benefit arising from our work is inherent in the grants made and the assistance given. Furthermore, we are mindful of the social, moral, and ethical causes of poverty and our purpose is both to

Key Management Personnel

The Trustees consider the board of Trustees, Chief Executive Officer, Chief Finance Officer and Chief Programmes Officer as comprising the key management personnel of the Charity, in charge of directing and controlling the Charity and running and operating the Charity on a day-to-day basis.

All Trustees give of their time freely and no Trustee remuneration was paid in the year. Details of Trustee expenses and related party transactions are disclosed in note 20 of the accounts.

Trustees are required to disclose all relevant interests and register them with the Chief Executive. None of the Trustees had financial interests with the Charity or its Parent; any such interests would be disclosed.

Trustee Induction and training

Prospective new Trustees are familiar with the Charity as they will have been associated with the Agency in some way. New Trustees are invited for an induction day with senior staff at the Agency. New Trustees are provided with information which outlines specific responsibilities and expectations of both the Trustees and the Charity. On-going training is offered to all Trustees, which includes events and courses that are organised both internally and externally. Beyond this, Trustees are invited at times to visit and to monitor projects both as ambassadors and consultants.

The Trustees are responsible for preparing the Trustees’ Annual Report and Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

4

Adventist Development and Relief Agency - UK

Trustees’ Report Year Ended 31st December 2024

The law applicable to charities in England and Wales requires the Charity Trustees to prepare financial statements for each year, which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources of the Charity for that period. In preparing the financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charity Accounts and Reports Regulations 2008 and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of Disclosure to Auditors

So far as the Trustees are aware, there is no relevant audit information of which the Charity’s auditors are unaware; and the Trustees have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the Charity’s auditors are aware of that information.

Approved by the Trustees of Adventist Development and Relief Agency UK and signed on their behalf by

Wederly Aguiar

Trustee

Date:

5

Independent Auditor's Report to The Trustees of The Adventist Year Ended 31st December 2024

Opinion

We have audited the financial statements of the Adventist Development Relief Agency United Kingdom for the year ended 31 December 2024 which comprise the Statement of Financial Activities, the Summary Income and Expenditure Account, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 'The Financial Reporting Standard Applicable in the UK and Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

• give a true and fair view of the state of the charity's affairs as at 31 December 2024, and of its outgoing resources and application of resources, 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 Charities and Trustee Investment (Scotland) Act 2005 (as amended), regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011.

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 financial statements section of our report. We are independent of the charity 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.

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 charity'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, other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information. 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 assurance conclusion thereon.

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Adventist Development Relief Agency -UK

Independent Auditor's Report to The Trustees of The Adventist Year Ended 31st December 2024

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 otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is 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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees' responsibilities statement set out on page 4, the trustees 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.

In preparing the financial statements, the trustees are responsible for assessing the charity'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 charity or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act and Section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005.

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 assurance, 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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Adventist Development Relief Agency -UK

Independent Auditor's Report to The Trustees of The Adventist Year Ended 31st December 2024

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charity's internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.

• Conclude on the appropriateness of the trustees' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the charity to cease to continue as a going concern.

•Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, and significant audit findings, including any significant deficiencies in internal controls that we identify during our audit.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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.

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charity.

Our approach was as follows:

• We obtained an understanding of the legal and regulatory requirements applicable to the charity and considered that the most significant are the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council.

• We obtained an understanding of how the charity complies with these requirements by discussions with management and those charged with governance.

• We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.

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Independent Auditor's Report to The Trustees of The Adventist Year Ended 31st December 2024

• We inquired of management and those charged with governance as to any known instances of noncompliance or suspected non-compliance with laws and regulations.

• Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011 and to the charity's trustees, as a body, in accordance with Section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005. Our audit work has been undertaken so that we might state to the charity's trustees 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 any party other than the charity and charity's trustees as a body, for our audit work, for this report, or for the opinion we have formed.

Moore Kingston Smith LLP Date

Roger Ogden FCCA

Senior Statutory Auditor 4 Victoria Square St Albans Herts AL1 3TF

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006

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Adventist Development & Relief Agency -UK

Statement of Financial Activity

For the year ended 31 December 2024

Month word from Dictionary
Twelve
Pluralization of "Month"
#REF!
Note
Unrestricted
Funds
Restricted Funds
£
£
Incoming Resources
Income and Endowments From:
Donations and Legacies
2
527,836
124,084
Charitable Activities
2
155,491
1,514,266
Investments
2
44,056
-
Other income
2
970
-
2024		 Month word from Dictionary
Twelve
Pluralization of "Month"
#REF!
Note
Unrestricted
Funds
Restricted Funds
£
£
Incoming Resources
Income and Endowments From:
Donations and Legacies
2
527,836
124,084
Charitable Activities
2
155,491
1,514,266
Investments
2
44,056
-
Other income
2
970
-
2024		 Total
£
651,920
1,669,757
44,056
970		 Unrestricted
Funds
£
576,114
161,466
26,329
1,536		 Restricted
Funds
£
330,853
1,582,690
-
-
2023		 Total
£
906,967
1,744,156
26,329
1,536
Total Incoming Resources 728,353
1,638,350		 2,366,703 765,445 1,913,543 2,678,988
Resources Expended
Expenditure On:
Charitable Activities
4a
Raising Funds
4d		 568,855
1,721,010
131,059
-
699,914
1,721,010
28,439
(82,660)
26,217
-
54,656
(82,660)
(9,334)
9,334
45,322
(73,326)
2,361,017
221,927
2,406,339
148,601		 2,289,865
131,059
2,420,924
(54,221)
26,217
(28,004)
-
(28,004)
2,582,944
2,554,940		 638,028
80,641
718,669
46,776
15,886
62,662
56,689
119,351
2,241,666
2,361,017		 1,796,603
-
1,796,603
116,940
-
116,940
(56,689)
60,251
161,676
221,927		 2,434,631
80,641
2,515,272
163,716
15,886
179,602
-
179,602
2,403,342
2,582,944
Total Resources Expended
Net (expenditure)/ income before
investment gains/(losses)
Net (losses)/gains on investments
13
Net (expenditure)/income before
transfers
Transfers between funds
19
Net movement in funds
Reconciliation of Funds:
Total funds brought forward
19
Total funds carried forward
19

10

Adventist Development & Relief Agency -UK

Balance Sheet As at 31 December 2024

Balance Sheet
As at 31 December 2024
Month ending date from Dictionary
This year
Last year
Note
Non-current Assets
Tangible Fixed Assets
12		 Total
2024
3,002		 Total
2023
1,196
Total Non-Current Assets 3,002 1,196
Current Assets
Debtors
14
Investments
13
Cash at bank
17		 576,694
281,116
3,821,417		 1,258,872
254,899
1,837,830
Total Current Assets 4,679,227 3,351,601
Liabilities
Creditors: Amounts falling due within one year
15
Net Current Assets		 2,127,289
2,551,938		 769,853
2,581,748
Total Net Assets 2,554,940 2,582,944
The Funds of the Charity:
Restricted Income Funds
19
Unrestricted Funds
19		 148,601
2,406,339		 221,927
2,361,017
Total Charity Funds 2,554,940 2,582,944

Approved and authorised for issue by the Board of Trustees on ……………………………… and signed on its behalf by:

…………………………………………………………………………… Wederly Aguiar - Trustee

11

Adventist Development Relief Agency -UK

Cash Flow Statement For the year ended 31 December 2024

Cash Flows from Operating Activities:
Net Cash generated from/used by Operating Activitie
(Note 11)
Cash Flows from Investing Activities:
Dividends and Interest from Investments
Purchase of Fixed Assets
Net cash provided by investing activities		 2024
£
1,943,015
44,056
(3,484)
40,572
1,983,587
1,837,830
3,821,417
-
At end of year
3,821,417
3,821,417		 2023
£
(138,869)
26,329
-
26,329
(112,540)
1,950,370
1,837,830
2,477,699
-
Change in cash and cash equivalents in the reporting period
Cash and Cash Equivalents at the beginning of the reporting period
Cash and Cash Equivalents at the end of the reporting period
Analysis of changes in net debt
At start of year
Cash flows
Cash
1,837,830
1,983,587
Total
1,837,830
1,983,587

12

Adventist Development & Relief Agency -UK

Notes to the Accounts

For the year ended 31 December 2024

Note 1 - Accounting Policies

a. Basis of preparation

The accounts (financial statements) have been prepared under the historical cost convention with transactions recognised at cost or transaction value unless otherwise stated in the relevant note to these accounts. These financial statements have been prepared in accordance with the statement of Recommended Practice: 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) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

b. Going Concern

The Trustees have assessed whether the use of going concern is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees have made this assessment for a period of at least one year from the date of the approval of these financial statements. In particular, the Trustees have considered the Charity’s forecasts and projections and have taken account of pressures on income.

The Charity continues to receive grants and ad hoc donations and seeks to win new projects in the future. Furthermore, as at 31 December 2024 the Charity had cash reserves of just over £3.8 million, which the Trustees believe is sufficient for the charity to meet its liabilities as they fall due.

After making enquiries, the Trustees have concluded that there is a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future being at least 12 months from the date of signing the financial statements. The Charity therefore continues to adopt the going concern basis in preparing its financial statements.

c. Funds structure

Restricted income funds are funds which are to be used in accordance with specific restrictions imposed by the donor or trust deed.

Unrestricted income funds comprise those funds which the Trustees are free to use for any purpose in the furtherance of charitable objects. They include designated funds where the Trustees, at their discretion, have created a fund for a specific purpose. Further details of each fund are disclosed in note 19.

Designated funds for named projects (Note 19) are unrestricted funds. This includes those funds set aside by the Trustees in order to meet the Charity’s contractual obligations for funding the Charity’s share of project costs. This is usually in relation to the Charity’s contracts with the UK Government and the European Union and Jersey Overseas Aid.

d. Grant-making policies

The Trustees allocate grants in accordance with the objects set out in Charity’s governing document as summarised in the Trustees’ Annual Report.

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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

e. Income recognition

All income is recognised once the Charity has entitlement to that income, it is probable that received, and the amount of income receivable can be reliably measured.

Donations are recognised when the Charity has been notified in writing of both the amount In the event that a donation is subject to conditions that require a level of performance befo entitled to the funds, the income is deferred and not recognised until either those condition fulfilment of those conditions is wholly within the control of the Charity and it is probable th will be fulfilled in the reporting period.

Legacies are recognised following the granting of probate when the administrator/executor communicated in writing both the amount and settlement date. In the event that the gift is asset other than cash or a financial asset traded on a recognised stock exchange, recognition value of the gift being reliably measurable with a degree of reasonable accuracy and the titl been transferred to the Charity.

Interest on funds held on deposit is included when receivable and the amount can be measu Charity; this is normally upon notification of the interest paid or payable by the bank. Divide once the dividend has been declared and notification has been received of the dividend due upon receipt of a dividend voucher and related cash.

f. Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation Charity to that expenditure, it is probable that settlement will be required, and the amount be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses including support costs ar apportioned to the applicable expenditure headings.

Grant awards that are subject to the recipient fulfilling performance conditions are only acc recipient has been notified of the grant and any remaining unfulfilled condition attaching to of the control of the Charity.

Provisions for grants are made when the intention to make a grant has been communicated there is uncertainty as to the timing of the grant or the amount of grant payable.

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Adventist Development Relief Agency -UK

t the income will be

and settlement date. ore the Charity is ns are fully met, or the hat those conditions

r for the estate has in the form of an n is subject to the e to the asset having

ured reliably by the ends are recognised e. This is normally

n committing the of the obligation can

re allocated or

rued when the o that grant is outside

d to the recipient but

14

Adventist Development Relief Agency -UK

Notes to the Accounts

For the year ended 31 December 2024

g. Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

h. Foreign currency

Transactions denominated in foreign currencies are translated into Sterling at the rate of exchange ruling on the date of the transaction. Assets and liabilities in foreign currencies are translated into Sterling at the rates of exchange ruling at the end of the financial year. All exchange differences are recognised within the statement of financial activities.

i. Tangible fixed assets and depreciation

All assets costing more than £1,000 are capitalised and valued at historical cost. Depreciation is charged over their estimated useful life as follows: Property (portable office): 10% straight line

Office fixtures and equipment: 33.33% straight line

j. Current asset investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value at the balance sheet date using the closing quoted market price (note 13). The statement of financial activities includes the net gains and losses arising on revaluation throughout the year.

The Charity does not acquire put options, derivatives or other complex financial instruments.

The main form of financial risk faced by the Charity is that of volatility in equity 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.

k. Realised and unrealised 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 difference between sales proceeds and their opening carrying value or their purchase value if 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.

Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.

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Adventist Development Relief Agency -UK

Notes to the Accounts

For the year ended 31 December 2024

l. Pensions

Employees of the Charity are entitled to join a defined contribution ‘money purchase’ scheme. The Charity contribution is restricted to the contributions disclosed in note 9. There were no outstanding contributions at the year end. The costs of the defined contribution scheme are included within charitable activities or fundraising costs and charged to the unrestricted funds of the Charity on the basis of the employees employed under each of those activities.

From 1st January 2014, contributions have been made under the Auto-Enrolment compliance legislation by the employer to a Defined Contribution plan invested with the Legal and General insurance company (see note 9).

The assets of the defined contribution pension scheme are held seperately from the charity.

The Charity previously participated in a defined benefit pension scheme of the British Union Conference of Seventh Day Adventists. This scheme closed to joiners after 31 December 2013.

ADRA-UK became a charity after the historic deficit was established and does not contribute to the recovery plan.

m. Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less.

16

Adventist Development Relief Agency -UK

Notes to the Accounts

For the year ended 31 December 2024

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Note 2 - Analysis of Income
2024 2023
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds
£ £ £ £ £ £
Donations and Legacies
- -
Annual Appeal - Other 93,856 93,856 35,361 35,361
Other Donations 433,980 124,084 558,064 530,753 224,075 754,828
- - -
Legacies 10,000 106,778 116,778
Total Income from Donations and
527,836 124,084 651,920 576,114 330,853 906,967
Legacies
Charitable Activities
- -
Project Grants Received - FCDO 735,999 735,999 807,569 807,569
-
Project Grants Received - JOA 594,410 594,410 31,739 437,745 469,484
- -
Project Grants Received - EU 183,857 183,857 337,376 337,376
- -
Project Overhead Income 127,991 127,991 117,727 117,727
Other Grants 27,500 - 27,500 12,000 - 12,000
Total Income from Charitable
155,491 1,514,266 1,669,757 161,466 1,582,690 1,744,156
Activities
Income from Investments
Interest On General Income 36,058 - 36,058 22,629 - 22,629
Unrealised Gain on Invesmtnent - - - - - -
Share Dividends 7,998 - 7,998 3,700 - 3,700
Total Income from Investments 44,056 - 44,056 26,329 - 26,329
Other Income
Sales of Promotional Items - - - - - -
Realised Foreign Exchange Gain 970 - 970 1,536 - 1,536
Fixed asset Profit - - - - - -
Total Other Income 970 - 970 1,536 - 1,536
Total Income 728,353 1,638,350 2,366,703 765,445 1,913,543 2,678,988
Note 3 - UK Government Grant Income
2024 2023
Cash Received in the Year £ £
FCDO - South Sudan - GESS Project (EES) 793,865 881,991
Total 793,865 881,991
2024 2023
Amounts Recognised as Income in the Year £ £
FCDO - South Sudan - GESS Project 735,999 807,569
Total 735,999 807,569
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Income is recognised based on stage of completion of project in line with contract terms and conditions.

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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

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Note 4 - Analysis of Resources
2024 2023
Expended
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds
£ £ £ £ £ £
4a. Charitable Activities Costs
Direct Costs (Note 4b) 459,682 1,721,010 2,180,692 565,192 1,782,436 2,347,628
-
Support Costs (Note 4c) 109,173 109,173 72,836 14,167 87,003
Total Charitable Activities Costs 568,855 1,721,010 2,289,865 638,028 1,796,603 2,434,631
4b. Direct Expenditure on Charitable Activities
-
Project Expenses - FCDO 748,459 748,459 30,620 807,569 838,189
-
Project Expenses - EU 13,000 160,873 173,873 317,925 317,925
- - -
Project Expenses - ADRA-UK 35,309 81,218 116,527
Grants paid to Partner Agencies (Note -
1,600 233,865 235,465 143,105 143,105
10)
-
Project Expenses - JOA 66,826 577,813 644,639 432,619 432,619
- -
Project Consultancy 1,190 1,190 4,765 4,765
- -
Grants Disbursed Donors/Others 11,368 11,368 76,131 76,131
Other Project Expenses 4,032 - 4,032 109 - 109
- -
Salaries and Wages 283,561 283,561 311,883 311,883
- -
Employer Social Security Costs 31,930 31,930 34,140 34,140
- -
Employer Pension Contributions 38,223 38,223 52,432 52,432
- -
Other Employee Expenses 7,952 7,952 19,803 19,803
Total Direct Expenditure on
459,682 1,721,010 2,180,692 565,192 1,782,436 2,347,628
Charitable Activities
4c. Analysis of Support Costs Attributed to Charitable Activities
- -
Audit Fees - Statutory Audit (5e) 25,000 25,000 23,600 23,600
Trustee And Advisory Meetings (5e) 4,291 - 4,291 717 - 717
- -
Professional and Membership Fees 6,441 6,441 8,161 8,161
- -
Travel Expenses 26,324 26,324 15,849 15,849
-
Office and Administrative Expenses 25,166 25,166 12,594 14,167 26,761
- -
Staff Training and Conferences 5,254 5,254 3,649 3,649
- -
Depreciation & Loss on Sale 1,678 1,678 1,251 1,251
- - - -
Exchange Rate Loss / (Gain) 4,988 4,988
- -
Bank Fees And Charges 10,031 10,031 7,015 7,015
Total Support Costs Attributed to -
109,173 109,173 72,836 14,167 87,003
Charitable Activities
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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

4d. Expenditure on Raising Funds

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2024 2023
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds
£ £ £ £ £ £
- -
Incurred Seeking Donations 55,037 55,037 34,893 34,893
- -
Incurred Seeking Grants 76,022 76,022 45,748 45,748
- -
Total Expenditure on Raising Funds 131,059 131,059 80,641 80,641
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The above costs relating to seeking grants of £76,022 included amounts of £31,930 incurred for the 40th Anniversary celebrations.

5. Governance Costs

5. Governance Costs
Audit Fees - Statutory Audit
Trustee And Advisory Meetings		 25,000
4,291		 -
-		 25,000
4,291		 23,600
717		 -
-		 23,600
717
Total Governance Costs 29,291 - 29,291 24,317 - 24,317

6. Analysis of Resources Expenses by Expenditure Type

6. Analysis of Resources Expenses by Expenditure Type
Cost of Generating Voluntary Income (Note 4d)
Charitable Activities: Humanitarian Aid (Note 8,12,19)		 Staff Costs
2024
£
-
353,714		 Depreciation
2024
£
-
1,678		 Other Costs
2024
£
131,059
1,934,473		 Total
2024
£
131,059
2,289,865
353,714 1,678 2,065,532 2,420,924

Note 7 - Fees for Examination of the Accounts

Audit Fees - Statutory Audit Unrestricted
Funds
£
25,000		 Restricted
Funds
£
-
2024		 Total
£
25,000		 Unrestricted
Funds
£
23,600		 Restricted
Funds
£
-
2023		 Total
£
23,600
Total Fees for Examination of the
Accounts		 25,000 - 25,000 23,600 - 23,600

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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

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Note 8 - Paid Employees 2024 2023
Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds
Note 8.1 - Staff Costs £ £ £ £ £ £
- -
Salaries and Wages 283,561 283,561 311,883 311,883
- -
Social Security Costs 31,930 31,930 34,140 34,140
Pension Costs 38,223 - 38,223 52,432 - 52,432
- -
Other Employee Benefits 7,952 7,952 19,803 19,803
Total Staff Costs 361,666 - 361,666 418,258 - 418,258
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During the reporting period, the number of employees receiving employee benefits of £60,000 or more excluding Employer Pension Costs and National Insurance was 1 (2023: 1).

The total amount of employee benefits including employer pensions paid for key management personnel for their services to the Charity was £151,975 (2023: £199,881). This does not include Employer National Insurance.

None of the Trustees were remunerated for their services as Trustees to ADRA-UK nor did they accrue any retirement benefits.

8.2 Average Head Count in the year
The parts of the Charity in which the employees work:
Charitable Activities		 2024
7		 2023
7
Total 7 7
Note 9.1 Defined contribution pension scheme
Note 9 Pensions		 2024
£		 2023
£
Amount of employers contributions recognised in the SOFA as an expense 38,223 52,432
10.1 Analysis of grants paid (included in cost of charitable activities)
Analysis of grants paid (to institutions):
Adventist UK Community Hubs
Emergency Grants to ADRA Network offices
Other Grants to ADRA Network offices
Note 10 Grant making		 2024
£
2,000
118,400
115,065		 2023
£
4,103
134,002
5,000
Total grants paid to institutions 235,465
143,105

The Charity did not make any grants to individuals.

20

Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

Adjustments for:
Depreciation Expense
Losses/(gains) on Investments
Dividends and Interest from Investments
(Increase)/Decrease in Debtors
Increase (Decrease) in Creditors
Note 11. Reconciliation of net (expenditure) to net cash flow from
operating activities
Net income/(expenditure) for the reporting period (as per the statement
of financial activities)		 2024
£
(28,004)
1,678
(26,217)
(44,056)
682,178
1,357,436		 2023
£
179,602
1,251
(15,886)
(26,329)
(131,708)
(145,799)
Net Cash provided by Operating Activities 1,943,015 (138,869)
Note 11a. Analysis of cash and cash equivalents
Cash at bank		 3,821,417 1,837,830

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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

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Note 12 Tangible fixed assets
Fixtures, fittings
Portable Office Total
and equipment
£ £ £
Cost
At 1 January 2024 16,165 21,059 37,224
Additions - 3,484 3,484
Disposals - - -
At 31 December 2024 16,165 24,543 40,708
Depreciation
At 1 January 2024 16,165 19,863 36,028
Charge for the year - 1,678 1,678
Depreciation on disposal - -
At 31 December 2024 16,165 21,541 37,706
Net book value
At 1 January 2024 - 1,196 1,196
At 31 December 2024 - 3,002 3,002
Note 13 Current Asset Investments 2024 2023
£ £
Fair Value at 1st January 2024 254,899 239,013
(Decrease)/Increase in fair value 26,217 15,886
Fair Value at 31st December 2024 281,116 254,899
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The year end fair values of listed equities were obtained from data published by the London Stock Exchange, whereas the Prudential bond valuation was provided by the issuer.

Current asset investments represent 6.0% (2023: 7.1%) of the Charity's total Current Assets.

Investments consist of the following:
Equities (listed)
Prudential Bond		 Value When
Gifted
£
110,344
25,000		 2024
£
127,143
153,973		 2023
£
108,030
146,869
Total 135,344 281,116 254,899

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Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

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Note 14 Debtors and Prepayments
Debtors due in less than 1 year 2024 2023
£ £
Amounts Receivable for performance-related Grants 526,670 870,490
Prepayments and Accrued Income 45,299 122,345
Other Debtors 4,725 92,860
Total Debtors and Prepayments due in less than 1 year 576,694 1,085,695
Debtors due over 1 year
-
Amounts Receivable for performance-related Grants 173,177
Total Debtors and Prepayments due over 1 year - 173,177
Total Debtors 576,694 1,258,872
Note 15 Creditors and Accruals
2024 2023
£ £
Amounts Payable performance-related Grants 2,085,885 678,438
Accrued Expenses 41,019 84,038
Other Creditors 385 7,377
Total Creditors and Accruals 2,127,289 769,853
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Note 16 Provisions for Liabilities and Charges

During the year ended 31st December 2024, the Charity had made no outstanding grant commitments (2023: NIL).

Note 17 Cash at Bank and in Hand

Note 17 Cash at Bank and in Hand
Cash at bank 2024
£
3,821,417		 2023
£
1,837,830
Total 3,821,417 1,837,830

Note 18 Fair Value of Assets and Liabilities

18.1 Management considers that the exposure to risk is minimal. No credit is extended, and the value of investments is not significant to the Charity's operation. Commitments to provide matching funds are set aside as designated funds at the commencement of each project.

18.2 The fair value of Current Asset investments increased by £26,217 and this increase has been recognised in the Statement of Financial Activity.

23

Adventist Development Relief Agency -UK

Notes to the Accounts For the year ended 31 December 2024

Note 19 Charity Funds

19.1 Details of material funds held and movements during the current reporting period

Fund names
Purpose
Designated funds
Invested in Property and Equipment
Fixed Assets
Major Emergency Fund
Major
Emergencies
Named Project Funds
Project
commitments		 Fund names
Purpose
Designated funds
Invested in Property and Equipment
Fixed Assets
Major Emergency Fund
Major
Emergencies
Named Project Funds
Project
commitments		 Fund balances
brought
forward
£
1,564
-
206,727
Income
£
-
-
97,257		 Expenditure
£
1,678
3,872		 Transfers
(Note 19.3)
£
1,237		 Fund
balances
carried
forward
£
(114)
-
301,349
Total designated funds 208,291 97,257 5,550 1,237 301,235
General Fund
General		 2,152,726 657,313 694,364 (10,571) 2,105,104
Total Unrestricted funds 2,361,017 754,570 699,914 (9,334) 2,406,339
Restricted funds
Myanmar -Case 2 Learn
South Sudan - GESS
Girls' Education
Sri Lanka - EU Project
Environmental
and Nutritional
Development
Jersey Overseas Aid
Agricultural
Support
Virtual gift boxes
Benefit
disadvantaged
children in UK
Urban Ministries Jubilee
Migrant Advocacy
Emergency Restricted Funds
Small Emergencies
Small Restricted Funds
Small Projects		 -
(1)
19,450
5,126
618
1,737
90,031
104,966		 748,459
171,397
585,135
100,292
33,067		 748,459
162,699
585,135
500
118,300
105,917		 1
(5,126)
50
(1,237)
(32,418)
48,064		 -
-
28,148
-
668
-
39,605
80,180
Total restricted funds 221,927 1,638,350 1,721,010 9,334 148,601
Total funds 2,582,944 2,392,920 2,420,924 - 2,554,940
19.2 Analysis of Assets between Funds
Restricted
Funds
£
Tangible Fixed Assets
-
Current Assets
148,601
Creditors due within one year
-		 Unrestricted
Funds
£
3,002
4,530,626
(2,127,289)
2024		 Total
Funds
£
3,002
4,679,227
(2,127,289)		 Restricted
Funds
£
-
221,929
-		 Unrestricted
Funds
£
1,196
3,129,672
(769,853)
2023		 Total
Funds
£
1,196
3,351,601
(769,853)

Tangible Fixed Assets
Current Assets
Creditors due within one year
Total Funds 148,601 2,406,339 2,554,940 221,929 2,361,015 2,582,944

24

Adventist Development Relief Agency -UK

Notes to the Accounts

For the year ended 31 December 2024

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19.3 Transfers between funds in 2024
Between unrestricted and restricted funds: Reason for transfer Amount (£)
Various small restricted funds General To fund shortfall in restricted funds 9,334
9,334
19.4 Details of material funds held and movements during the previous reporting period :
Fund Fund
balances balances
Fund names Purpose Income Expenditure Transfers
brought carried
forward forward
£ £ £ £ £
Designated funds
Invested in Property and Equipment Fixed Assets 2,815 - 1,251 - 1,564
Major Emergency Fund Major Emergencies 100,137 - - (100,137) -
Named Project Funds Project Commitments 192,869 35,361 63,503 42,000 206,727
Total designated funds 295,821 35,361 64,754 (58,137.00) 208,291
General Fund General 1,945,845 745,970 653,915 114,826 2,152,726
Total unrestricted funds 2,241,666 781,331 718,669 56,689 2,361,017
Restricted funds
- - - - -
Myanmar - Case 2 Learn
South Sudan - GESS Girls' Education - 807,568 807,569 - (1)
Environmental and
Sri Lanka - EU Project Nutritional - 337,375 317,925 - 19,450
Development
- -
Jersey Overseas Aid Agricultural Support 437,745 432,619 5,126
Virtual gift boxes Benefit disadvantaged 618 - - - 618
children in UK
Urban Ministries Jubilee Migrant Advocacy 5,840 - 4,103 - 1,737
-
Emergency Restricted Funds Small Emergencies 53,020 171,013 134,002 90,031
Small Restricted Funds Small Projects 102,198 159,842 100,385 (56,689) 104,966
Total restricted funds 161,676 1,913,543 1,796,603 (56,689) 221,927
Total funds 2,403,342 2,694,874 2,515,272 - 2,582,944
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