**Registered number: 03837167 Charity number: 1085497** # **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** **TRUSTEES' REPORT AND FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31 DECEMBER 2020** **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **CONTENTS** ||Page| |---|---| |**Reference and administrative details of the fund, its trustees and advisers**|1 - 2| |**Trustees' Report**|3 - 7| |**Independent Auditors' Report on the Financial Statements**|8 - 11| |**Statement of Financial Activities**|12| |**Balance Sheet**|13| |**Notes to the Financial Statements**|14 - 19| **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE FUND, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2020** |**Trustees**|Mr A Parsons| |---|---| ||Mr N Last (appointed 3 August 2021)| ||Mr S Jewell (appointed 20 October 2020)| ||Mr B Brice| ||Mr T Clegg| ||Ms T Robinson (appointed 18 October 2020)| ||Mr K Jones (resigned 24 September 2020)| ||Mr A Marsh| ||Mr P Mogg| ||Mr C Lockyer (appointed 24 September 2020)| ||Mr R Hobbs| ||Ms H Riddell (resigned 24 September 2020)| ||Mr S Bell| ||Mr A Henley (appointed 3 August 2021)| ||Mr M Loker, Treasurer| ||Mr S Lancey (appointed 5 October 2020)| ||Mr A Bush (resigned 24 September 2020)| ||Ms K Corrigan| ||Ms V Haywood (resigned 19 October 2020)| ||Ms J Crew, Chair (appointed 26 July 2021)| ||Mr J Turner (appointed 5 October 2020)| ||Mr M Probert (resigned 9 January 2020)| |**Company registered**
**number**
03837167
**Charity registered**
**number**
1085497
**Registered office**
The Avon and Somerset Constabulary
PO Box 37
Valley Road
Portishead
Bristol
BS20 8QJ
**Company secretary**
Mr A Parsons
**Independent auditors**
Bishop Fleming LLP
Chartered Accountants
Statutory Auditors
10 Temple Back
Bristol
BS1 6FL|| Page 1 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE FUND, ITS TRUSTEES AND ADVISERS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Bankers** National Westminster Bank plc 32 Corn Street Bristol BS1 1HQ Scottish Widows Bank plc 67 Morrison Street Edinburgh EH3 8YJ Page 2 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2020** The Trustees present their annual report together with the audited financial statements of the Fund for the 1 January 2020 to 31 December 2020. The Annual Report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019). Since the Fund qualifies as small under section 382 of the Companies Act 2006, the Strategic Report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted. ## **Objectives and activities** ## **a. Policies and objectives** The objectives of The Avon and Somerset Constabulary Benevolent Fund (hereafter referred to as ‘the Fund’) are as follows; - a) To support and to make grants and donations to persons and organisations who are concerned with the provision of relief in cases of need, including the following: - (i) The Gurney Fund - (ii) The Police Convalescent Home - (iii) The Police Dependants’ Trust - (iv) The Widows’ Funds of the former Bath City Police, the former Bristol Constabulary and the former Somerset Constabulary. - b) To relieve by grants or loans or otherwise necessitous members of the following, particular consideration being given to those in hospital or convalescence: - (i) The Constabulary - (ii) Pensioned Members of the Constabulary - (iii) Pensioned members of the former Bath City Police, the former Bristol Constabulary, the former Somerset Constabulary and the former Somerset and Bath Constabulary, together with necessitous widows and dependants of any such persons. - c) In exceptional circumstances grants and loans may be made to other persons who are in need and who in the opinion of the Management Committee are closely connected with the constabulary or with former Police Forces as listed in (b) above. Grants are made at the discretion of the Trustees, based on applications received. ## **b. Main activities undertaken to further the Fund's purposes for the public benefit** We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives. All of these aims are undertaken to further our objectives for the public benefit. Page 3 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Achievements and performance** ## **a. Review of activities** During the year the Fund continued to support many members with grants or loans in line with the Fund's objectives. The Fund's website has been further enhanced to improve the services given to members as this now enables individuals to access claim forms and information out of normal office hours: www.ascbenfund.org. The Trustees have been researching options to provide support to members who are suffering from long term sickness, by way of enhancing their individual wellbeing and mindfulness. The Trustees are pleased that the Fund has been admitted to the Police Charities UK initiative, established and co-ordinated by the Police Federation of England and Wales, which brings together charities supporting serving and retired Police Officers and their families to share best practice. ## **b. Investment policy and performance** The Trustees are satisfied that sufficient investment income was obtained from the investment portfolio, given the market conditions in the year. ## **Financial review** ## **a. Financial review** The accounts on pages 11 to 18 set out the details of the Statement of Financial Activities for the year ended 31 December 2020 and the Balance Sheet as at that date. There were net incoming resources for the year of £4,514 (2019: £20,786). There were net realised and unrealised losses on the investment portfolio totalling £11,211 (2019: gains of £66,059) giving a net decrease in funds for the year of £6,697 (2019: increase of £86,845). ## **b. Going concern** After making appropriate enquiries, the Trustees have a reasonable expectation that the Fund has adequate resources to continue in operational existence for the foreseeable future. The Fund has been able to continue its charitable activities and maintain a strong cash position despite the impact of Covid-19 in 2020. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies. ## **c. Reserves policy** The Trustees’ policy is to hold £100,000 - £150,000 reserves as cash to ensure that there are sufficient reserves in place to pay out to a dependant in the event of a death in service. The Trustees also aim to hold sufficent reserves as investments and cash to provide an income each year which, when combined with members’ subscriptions, will enable the Fund to meet its annual expenditure on grants and donations. The balance held as free reserves as 31 December 2020 was £1,076,976, of which £196,163 was cash at bank. ## **d. Principal funding** The principal funding source is voluntary income, primarily subscriptions from members. Page 4 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **e. Investment policy** The Trustees have considered the most appropriate policy for investing funds. They consider that investment in a medium risk portfolio comprised of equities and cash meets their requirements to balance generation of both income and capital growth. ## **Structure, governance and management** ## **a. Constitution** The Fund is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 7 September 1999 . ## **b. Methods of appointment or election of Trustees** The management of the Fund is the responsibility of the Trustees who are elected and co-opted under the terms of the Articles of Association. The Trustees shall comprise the following: - a) The Chief Constable of the Force - b) The Welfare Officer of the Force - c) The Secretary - d) The Treasurer to the charity - e) Three pensioner members of the National Association of Retired Police Officers nominated by the local branches - f) One member representing the territorial and departmental districts of the Force - g) Two members of the Joint Branch Board of the Police Federation nominated by the local Joint Branch Board The Trustees shall have the power of co-opting up to three additional trustees and termination of any co-option. ## **c. Policies adopted for the induction and training of Trustees** The Trustees continually review the number of trustees and recruits when required. New Trustees have their responsibilities explained by the existing Trustees and other professional advisors as appropriate. ## **d. Risk management** The Trustees have assessed the major risks to which the Fund is exposed, in particular those related to the operations and finances of the Fund, and are satisfied that systems and procedures are in place to mitigate our exposure to the major risks. The key risk to the Fund is identified as the performance of the investment portfolio. The Trustees will continue to review major risks on an annual basis. Page 5 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Plans for future periods** The Trustees will continue to provide grants and loans to the Fund’s members. The Trustees are concerned that the reducing budget available to the Constabulary means a reduction in support for serving officers at times of need. The Trustees continue to explore how they can enhance the services provided by the Wellbeing and Health Unit of the Constabulary as well as other initiatives being discussed within the Force to ensure the health and wellbeing of members. They also aim to reduce outgoing expenses as far as possible to have finances available for such causes as would comply with their foundation aims and objects. ## **Small company provisions** The report of the Trustees has been prepared in accordance with the special provisions of Part 415A of the Companies Act 2006 relating to small companies. ## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** The Trustees (who are also the directors of the Fund for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements 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 . Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Fund and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles of the Charities SORP (FRS 102); - make judgments and accounting estimates that are reasonable and prudent; - state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Fund will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Fund's transactions and disclose with reasonable accuracy at any time the financial position of the Fund 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 Fund and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Page 6 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **Disclosure of information to auditors** - Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that: - so far as that Trustee is aware, there is no relevant audit information of which the charity's auditors are unaware, and - that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditors are aware of that information. Approved by order of the members of the board of Trustees and signed on their behalf by: ## **Mr M Loker** Treasurer Date: 28 September 2021 Page 7 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND** ## **OPINION** We have audited the financial statements of The Avon and Somerset Constabulary Benevolent Fund (the 'fund') for the year ended 31 December 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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 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 charitable company's affairs as at 31 December 2020 and of its incoming resources and application of resources, including its 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 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 other than the financial statements and our Auditors' Report thereon. The Trustees are responsible for the other information contained within the Annual Report. 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. 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 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. Page 8 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (CONTINUED)** ## **OPINION 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 Trustees' Report for the financial year for which the financial statements are prepared is consistent with the financial statements. - the Trustees' Report has been prepared in accordance with applicable legal requirements. ## **MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION** In the light of our knowledge and understanding of 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 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; or - the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' Report and from the requirement to prepare a Strategic Report. ## **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. In preparing the financial statements, the Trustees are responsible for assessing 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 charitable company or to cease operations, or have no realistic alternative but to do so. Page 9 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (CONTINUED)** ## **AUDITORS' 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 Auditors' 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 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: - We have considered the nature of the sector, control environment and financial performance; - We have considered the results of enquiries with management and members in relation to their own identification and assessment of the risk of irregularities within the entity; and - We have reviewed the documentation of key processes and controls and performed walkthroughs of transactions to confirm that the systems are operating in line with documentation. - We have considered the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and potential indicators of fraud. As a result of these procedures, we have considered the opportunities and incentives that may exist within the organisation for fraud and identified the highest area of risk to be in relation to revenue recognition, with a particular risk in relation to year-end cut off. In common with all audits under ISAs (UK) we are also required to perform specific procedures to respond to the risk of management override. We have also obtained understanding of the legal and regulatory frameworks that the Fund operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the Charities Act 2011, Charity SORP 2019, FRS 102 and the terms and conditions attaching to material grants received by the Charity. In addition, we considered the provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the Fund’s ability to operate or avoid a material penalty. Our procedures to respond to risks identified included the following: - Reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements; - Performing analytical procedures to identify unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; - Reviewing board meeting minutes; - Enquiring of management in relation to actual and potential claims or litigations and; - Performing detailed transactional testing in relation to the recognition of revenue, with a particular focus around year-end cut off. We also communicated identified laws and regulations and potential fraud risks to all members of the engagement team and remained alert to possible indicators of fraud or non-compliance with laws and regulations throughout the audit. As a result of the inherent limitations of an audit, there is a risk that not all irregularities, including a material misstatement in financial statements or non-compliance with regulation, will be detected by us. The risk increases the further removed compliance with a law and regulation is from the events and transactions reflected in the financial statements, given we will be less likely to be aware of it, or should the irregularity occur as a result Page 10 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (CONTINUED)** of fraud rather than a one off error, as this may involve intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report. ## **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 Auditors' 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 its members, as a body, for our audit work, for this report, or for the opinions we have formed. ## **David Butler FCA DChA (Senior Statutory Auditor)** for and on behalf of **Bishop Fleming LLP** Chartered Accountants Statutory Auditors 10 Temple Back Bristol BS1 6FL 28 September 2021 Page 11 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND** ## **(A COMPANY LIMITED BY GUARANTEE)** ## **STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2020** |**Note**
**Income from:**
Donations and legacies
3
Investments
4
**Total income**
**Expenditure on:**
Raising funds
Charitable activities:
Grants and donations paid to individuals
Other charitable activities
Support costs
**Total expenditure**
**Net income before net (losses)/gains on**
**investments**
Net (losses)/gains on investments
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**|**Unrestricted**
**funds**
**2020**
**£**
**21,222**
**17,934**
**39,156**
**7,140**
**7,118**
**13,900**
**6,484**
**34,642**
**4,514**
**(11,211)**
**(6,697)**
**1,083,673**
**1,076,976**|**Total**
**funds**
**2020**
**£**
**21,222**
**17,934**
**39,156**
**7,140**
**7,118**
**13,900**
**6,484**
**34,642**
**4,514**
**(11,211)**
**(6,697)**
**1,083,673**
**1,076,976**|Total
funds
2019
£
43,297
24,874
68,171| |---|---|---|---| ||||7,664
19,649
13,869
6,203
47,385| ||||20,786
66,059
86,845| ||||996,828
1,083,673| The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 14 to 19 form part of these financial statements. Page 12 ## **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE) REGISTERED NUMBER:03837167** ## **BALANCE SHEET AS AT 31 DECEMBER 2020** |**Note**
**Fixed assets**
Investments
8
**Current assets**
Debtors
9
Cash at bank and in hand
Creditors: amounts falling due within one
year
10
**Net current assets**
**Total assets less current liabilities**
**Total net assets**
**Charity funds**
Unrestricted funds
12
**Total funds**|**97,292**
**196,163**
**293,455**
**(6,833)**|**2020**
**£**
**790,354**
**790,354**
**286,622**
**1,076,976**
**1,076,976**
**1,076,976**
**1,076,976**|119,600
165,964
285,564
(3,456)|2019
£
801,565| |---|---|---|---|---| |||||801,565
282,108| |||||1,083,673| |||||1,083,673| |||||1,083,673| |||||1,083,673| The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: **Mr M Loker** Treasurer Date: 28 September 2021 The notes on pages 14 to 19 form part of these financial statements. Page 13 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** ## **1. GENERAL INFORMATION** The Fund is a company limited by guarantee and a registered charity. The members of the Fund are the Trustees named on page 1. In the event of the Fund being wound up, the liability in respect of the guarantee is limited to £1 per member of the Fund. ## **2. ACCOUNTING POLICIES** ## **2.1 BASIS OF PREPARATION OF FINANCIAL STATEMENTS** The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The Avon and Somerset Constabulary Benevolent Fund meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. ## **2.2 GOING CONCERN** The charity has considerable financial resources of which there has been no material impact to or its cash position since the Covid-19 pandemic in March 2020 Therefore the Trustees believe that the Fund is well placed to manage its risks and thus have prepared the financial statements on a going concern basis. ## **2.3 INCOME** All income is recognised once the Fund has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. For legacies, entitlement is taken as the earlier of the date on which either: the Fund is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the Fund has been notified of the executor's intention to make a distribution. Where legacies have been notified to the Fund, or the Fund is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. Other income recognised comprises contributions made to the Fund by its members, donations, legacies, grants and investment income. Income is recognised on a receivable basis. ## **2.4 EXPENDITURE** Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit 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. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Page 14 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** ## **2. ACCOUNTING POLICIES (continued)** ## **2.4 EXPENDITURE (CONTINUED)** Expenditure on raising funds includes all expenditure incurred by the Fund to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Fund's objectives, as well as any associated support costs. Resources expended are recognised in the period in which they are incurred. Governance costs are those incurred in connection with administration of the company and compliance with constitutional and statutory requirements. ## **2.5 INTEREST RECEIVABLE** Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Fund; this is normally upon notification of the interest paid or payable by the Bank. ## **2.6 INVESTMENTS** Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Gains/(losses) on investments’ in the Statement of financial activities incorporating income and expenditure account. ## **2.7 DEBTORS** Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. ## **2.8 CASH AT BANK AND IN HAND** Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. ## **2.9 LIABILITIES AND PROVISIONS** Liabilities 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. Liabilities are recognised at the amount that the Fund anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. ## **2.10 FINANCIAL INSTRUMENTS** The Fund 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 exception of bank loans which are subsequently measured at amortised cost using the effective interest method. Page 15 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** ## **2. ACCOUNTING POLICIES (continued)** ## **2.11 FUND ACCOUNTING** General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Fund and which have not been designated for other purposes. ## **3. INCOME FROM DONATIONS AND LEGACIES** |**Unrestricted**
**funds**
**2020**
**£**
Donations
21,222
TOTAL 2019
43,297
**INVESTMENT INCOME**
**Unrestricted**
**funds**
**2020**
**£**
Income from local listed investments
17,934
TOTAL 2019
24,874|**Total**
**funds**
**2020**
**£**
**21,222**
43,297
**Total**
**funds**
**2020**
**£**
**17,934**
24,874|Total
funds
2019
£
43,297| |---|---|---| |||Total
funds
2019
£
24,874| |||| ## **4. INVESTMENT INCOME** Page 16 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND** ## **(A COMPANY LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** ## **5. ANALYSIS OF EXPENDITURE BY ACTIVITIES** |Support costs
Grant costs
TOTAL 2019|**Grant**
**funding of**
**activities**
**2020**
**£**
-
21,018
21,018
33,518|**Support**
**costs**
**2020**
**£**
6,484
-
6,484
6,203|**Total**
**funds**
**2020**
**£**
**6,484**
**21,018**
**27,502**
39,721|Total
funds
2019
£
6,203
33,518
39,721| |---|---|---|---|---| |||||| ## **6. AUDITORS' REMUNERATION** ||**2020**|2019| |---|---|---| ||**£**|£| |Auditors' remuneration - audit|**3,500**|3,500| ## **7. TRUSTEES' REMUNERATION AND EXPENSES** During the year, no Trustees received any remuneration or other benefits (2019 - £NIL). During the year ended 31 December 2020, no Trustee expenses have been incurred (2019 - £NIL). ## **8. FIXED ASSET INVESTMENTS** |**COST OR VALUATION**
At 1 January 2020
Revaluations
AT 31 DECEMBER 2020|**Listed**
**investments**
**£**
**801,565**
**(11,211)**| |---|---| ||**790,354**| Page 17 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND (A COMPANY LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** |**9.**
**DEBTORS**
**DUE AFTER MORE THAN ONE YEAR**
Other debtors
**DUE WITHIN ONE YEAR**
Other debtors
**10.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Accruals and deferred income
**11.**
**FINANCIAL INSTRUMENTS**
**FINANCIAL ASSETS**
Financial assets measured at fair value through income and expenditure|**2020**
**£**
**71,595**
**71,595**
**25,697**
**97,292**
**2020**
**£**
**6,833**
**2020**
**£**
**790,354**|2019
£
93,391| |---|---|---| |||93,391
26,209| |||119,600| |||2019
£
3,456| |||2019
£
801,565| Financial assets measured at fair value are determined using quoted prices. Page 18 **THE AVON AND SOMERSET CONSTABULARY BENEVOLENT FUND** ## **(A COMPANY LIMITED BY GUARANTEE)** ## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020** ## **12. STATEMENT OF FUNDS** ## **STATEMENT OF FUNDS - CURRENT YEAR** ||||||**Balance at**| |---|---|---|---|---|---| ||**Balance at 1**||||**31**| ||**January**|||**Gains/**|**December**| ||**2020**|**Income**|**Expenditure**|**(Losses)**|**2020**| ||**£**|**£**|**£**|**£**|**£**| |**UNRESTRICTED FUNDS**|||||| |Unrestricted funds|**1,083,673**|**39,156**|**(34,642)**|**(11,211)**|**1,076,976**| ||||||| |**STATEMENT OF FUNDS**|**- PRIOR YEAR**||||| ||||||Balance at| ||Balance at||||31| ||1 January|||Gains/|December| ||2019|Income|Expenditure|(Losses)|2019| ||£|£|£|£|£| |**UNRESTRICTED FUNDS**|||||| |Unrestricted funds|996,828|68,171|(47,385)|66,059|1,083,673| ## **13. RELATED PARTY TRANSACTIONS** During the prior year, the Fund awarded no grants to Trustees (2019: £1,390). The grant awarded was in line with the Fund's objectives and was unanimously approved by the other Trustees. There were no such transactions in the current year. Page 19