2024-12-31-accounts

Charity number: 1090810

WATOTO CHILD CARE MINISTRIES

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

WATOTO CHILD CARE MINISTRIES

CONTENTS

	Page
Reference and Administrative Details of the Charity, its Trustees and Advisers	1
Introductory Remarks	2
Trustees' Report	3 - 6
Trustees' Responsibilities Statement	7
Independent Auditors' Report on the Financial Statements	8 - 10
Statement of Financial Activities	11
Balance Sheet	12
Statement of Cash Flows	13
Notes to the Financial Statements	14 - 31

WATOTO CHILD CARE MINISTRIES

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2024

Trustees		J Rwotlonyo, Chairman
		G Skinner
		J Skinner
		J Penry
		R Walsh
		D Watt
		G Wheeler (appointed 26 April 2024)
Charity number	1090810
Principal office	Watoto
	124 City Road
	London
	EC1V 2NX
Independent auditors	Wenn Townsend
	30 St. Giles
	Oxford
	OX1 3LE
Bankers	The Royal Bank of Scotland
	Drummond House
	Redheughs Avenue
	Edinburgh
	EH12 9RH
Solicitors	Anthony Collins Solicitors
	134 Edmund St.
	Birmingham
	B3 2ES

Page 1

WATOTO CHILD CARE MINISTRIES

INTRODUCTORY REMARKS FOR THE YEAR ENDED 31 DECEMBER 2024

A Message From Andrew White, Executive Director, Watoto UK

We express sincere thanks for the unwavering commitment of our sponsors and donors right across the UK through these difficult economic times. Our UK sponsors are some of the most loyal supporters across the globe, and we are so grateful for their dedication to the babies, children and vulnerable women we are supporting in Uganda and South Sudan.

Your generosity reflected in donations, with £952,370 received over the course of 2024. This amounts to an incredible increase in faithful sponsors and kind donors across the UK.

2024 has been a year of significant growth and development for Watoto UK. We welcomed Eloise Meldrum, Clare Weston and Irene Nanyonga as our full-time Tour Coordinator, Sponsorship Coordinator and Visit Watoto Coordinator respectively. Additionally, our ambassador team has expanded from five to thirty-five, providing invaluable support at events across the UK and in administrative tasks. We simply could not achieve our mission without the incredible team supporting Watoto UK and are so thankful for each and every one of them.

We are seeing strong signs of a return to growth as an organisation, in large part thanks to the return of the choir and the establishment of a strong team dynamic and structure. We have also partnered with several new churches and organisations across the UK, helping to raise awareness of Watoto's work and mission and all of this has played a part in seeing growth return as expected.

Across our Watoto villages and Neighbourhood programmes, we are now caring for 120 babies, 3,404 children, 363 mothers, 1,786 Neighbourhood mothers, and 43,404 girls through the Keep A Girl in School programme. Every pound given goes towards caring for and raising these incredible women and children into being faith-filled future leaders of Africa, what a privilege and honour.

A key challenge in 2024 -- but a very welcome one -- was navigating a sudden increase in sponsors, donors, and partnerships while our team and systems were still under development. By the end of the year, however, our operations had improved significantly, and our team was well trained to manage the ongoing growth effectively.

Looking ahead to 2025, we are excited to welcome the Watoto Children's Choir back to the UK, host the first Neighbourhood Mothers tour, and sustain over 3,000 sponsors for the first time since 2018. We are also working to engage more businesses in supporting Watoto and to expand our Visit Watoto programme, which will facilitate 300 people travelling from the UK to Uganda in 2025.

James 1:27 serves as a reminder of why we do what we do, “Religion that God our Father accepts as pure and faultless is this: to look after orphans and widows in their distress and to keep oneself from being polluted by the world.” Our every effort, our every waking moment is dedicated to exactly this and we praise God that we are seeing a resurgence in support for all the Lord is doing through our UK supporters.

Rejoice with us as we witness God's transformative work in the lives of the children, young people, and families we serve. Thank you for partnering with Watoto UK on this incredible journey to celebrate Christ and care for our community.

................................................ A White Executive Director

Date: 28 October 2025

Page 2

WATOTO CHILD CARE MINISTRIES

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2024

Objectives and Activities

Why Are We Here?

In 1984, during a time of civil war, aids epidemic and great civil upheaval, Watoto (Swahili for “children”) set up a church in Kampala, Uganda, to reach out to the poor and vulnerable of the country – women and children – in order to offer love, hope and an opportunity to enhance and change their lives through the teachings of the Bible. In 1999, Watoto Childcare Ministries was set up in the UK with a holistic approach to provide financial, spiritual and educational support to Watoto in Uganda. Since then, we have helped rescue thousands of abandoned children, placing them in loving families and we have come alongside vulnerable women, equipping them with skills and empowering them to become mothers and leaders.

The median age in Uganda is 16.9 years (UK – 40.1 years) making it the second youngest population in the world and, partly as a result, it is one of the poorest in the world with average family income less than £1,200 p.a. Watoto UK, through its sponsors and donors, helps provide a loving family, home, education, food and medical care to over 3,000 orphaned and abandoned children each year along with nearly 2,000 women. In addition, we also help support over 40,000 teen girls through our Keep A Girl In School programme.

There are similar, autonomous, organisations operating in the U.S.A., Canada, Australia, Brazil, Hong Kong and across Europe all working with the same mission.

In setting our objectives and planning activities, the Trustees have referred to the Charity Commission’s guidance on public benefit and, in particular, to its supplementary public benefit guidance on religion and education and are able to confirm their belief that the trust’s activities are of public benefit.

Our core objectives are as follows:

• To advance the Christian faith in Uganda, the UK and such other parts of the world as the Trustees may, from time to time, see fit.

• To care for and relieve distress amongst those who are suffering under conditions of hardship, sickness, homelessness and need, mainly (but not exclusively) orphaned children and widows, in Uganda or such other parts of the world as the Trustees may, from time to time, see fit.

• To advance education in accordance with Christian principles and teachings by means of establishing and operating educational establishments in Uganda or such other parts of the world as the Trustees may, from time to time, see fit.

• To promote and fulfil such other charitable purposes beneficial to communities in Uganda and in other parts of the world as the Trustees may, from time to time, see fit.

Our core funding goes towards the provision of care for orphaned babies and children and vulnerable children and women in Uganda and South Sudan meeting their holistic needs, including access to medical care, education, a family home and most importantly a church where they get to celebrate Jesus.

How do we achieve this?

We achieve our charitable objectives through multiple different streams including but not limited to grant funding, sponsorship activity and donations. We also regularly can be found giving interactive and engaging talks across the UK at churches, schools, or at concerts given by the Watoto Children’s Choir.

We also encourage individuals and teams of volunteers to go to Uganda and assist with the many projects being undertaken (e.g. construction, maintenance, education, sustainability, development) and we consider the contribution from such volunteers in terms of time and experience to be invaluable. It has been a joy to see the first few visitors returning to Uganda through our Visit Watoto programme.

Our operational costs are financed by fundraising activities, a 10% contribution from sponsorship, 10% restricted from donation receipts as well as all gift aid claimed on those sponsorship and donation receipts. Until June 2025, while operational costs are somewhat higher, it has been agreed with the Ugandan office that Watoto UK will retain an additional 8% from sponsorship to help offset costs, ahead of a return to growth and thus a plan to decrease additional retained funds to 4% of total sponsorship contributions from June 2025.

Page 3

WATOTO CHILD CARE MINISTRIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024

Fundraising activities

In addition to raising awareness of Watoto and its mission, as well as encouraging new sponsorships, our primary fundraising activities centre around the annual Watoto Children’s Choir tour. This includes promoting and organising the tour itself, delivering numerous talks across the UK, and selling merchandise. Most of the merchandise is handmade in Uganda by women supported through our programmes. Each year, the choir presents a new production, with the title also serving as the name of their latest album, which is made available for general sale. We were delighted to welcome the choir back to the UK for their “Better Days” tour, which ran from April to July 2024.

The Trustees use the following key performance indicators:

• The amount of donations and sponsorship received and the net movement in number of sponsors/donors during the year:

• The number of performances organised for the children’s choir each year and the average returns for each performance both per venue and per capita for new sponsors, offerings and merchandise sales; and • The cost efficiency of operations.

Cost efficiency of operations continues to be monitored in our office. With the appointment of our new UK Executive Director, Andrew White, we were thrilled to see the office begin to flourish and find its firm footing ahead of the choirs return. The team has grown steadily throughout 2024 to account for the increase in sponsors, individuals and churches signing up to Visit Watoto and the expectation of a full choir return in future years.

Future Plans

As we look forwards to 2025, we are excited to see Watoto UK continue to grow across the nation with visits expected for the 2025 choir to the Welsh parliament, the Northern Irish parliament as well as dozens of key church partners. Through our bolstered numbers of ambassadors, we are aiming to attend up to eight key large church events across the UK to help with raising awareness of the work of Watoto. Our team will grow with the appointment of a Partnership Lead as well as a growing tour team to help facilitate the increased numbers of tours taking place across the UK. The future of Watoto UK is once more looking healthy and vibrant and we look forward to seeing all that the Lord has in store.

Structure, Governance and Management

Governing Document

The Charity is constituted under a Trust Deed dated 9th March 1999, amended 6th November 2001 (charity No. 1090810) and is operated in accordance with its governing document, the deed of trust and constitutes an unincorporated charity.

The Trustee Board

The board of Trustees meets every six months to set and review the strategy of the Charity. The Executive Director is appointed by the board and to whom it delegates responsibility for the day to day running of the Charity.

The Board of Trustees is fully committed to the financial stewardship, quality and safety of the Charity.

The Trustees are guided by an agreed scheme of corporate governance which sets out their responsibilities and those of the Executive Director. The Board of Trustees regularly consider the skills mix required to support the Charity.

New Trustees are selected from long-term supporters of the Charity with the appropriate skills and are interviewed by Senior Trustees before being offered appointment. They are encouraged to visit Uganda to view the works undertaken there and they undertake an induction programme designed to ensure their understanding of the trustee role and their wider knowledge of Watoto and its philosophy.

All Trustees give of their time freely and no trustee received any remuneration during the year. Details of Trustees expenses are disclosed in note 11 in the accounts.

Page 4

WATOTO CHILD CARE MINISTRIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024

Risk Management

The Trustees regularly review the risks faced by the Charity, in particular those related to financial security and operationally surrounding choir tours, to ensure that key risks have been identified, and that suitable plans are in place to prevent or manage these risks. We approach risk management on three levels; strategic, operational and at project level. This enables both Trustees and staff to undertake the identification of risk and allows clear allocation of responsibilities for managing these risks. Trustees and staff use a clear understanding of risk to help inform decision making within the Charity, including decisions regarding use of resources, tour planning, sponsor recruitment and development.

Financial Review & Trustee’s Responsibilities

Overview

The year ended with a deficit of £17,108 in unrestricted funds (2023 - £10,834 deficit) and a deficit in restricted funds of £5,299 (2023 - £40,933 deficit) giving a net total deficit for the year of £22,407 (2023 - £51,767 deficit).

Income

Restricted Funds

Sponsorship donations have seen an increase of 18.8% (£96,429) on 2023 levels, which exceeded the budgeted parameters for net gains during the year. 2024 proved, as expected, to be a fruitful year for finding sponsorship promotional opportunities with our renewed team. Overall, income into restricted funds totals £609,303.

Unrestricted Funds

General donations increased by £170,849. Gift aid receipts fell by 2.7% (£2,520) from £93,291 in 2023 to £90,771 in 2024. A significant proportion of this can be attributed to the rise in sponsor numbers (as above) but we also must take into account an increasingly aging donor base and the changing financial situations of many means that they are no longer able to gift-aid their donations.

The nature of the Charity’s activities means that income growth is likely to now continue on this trajectory ahead and as such the Charity is being resourced with team and funding to see that progress further.

Expenditure

Restricted Funds

In line with the increase in income, grant fund payments to Uganda increased by 11.73% to £618,802 in 2024 (2023 - £553,807). The board are delighted to see this improvement and expect this growth will continue to progress in a healthy direction going forward.

Unrestricted Funds

Overall, expenditure through Unrestricted Funds increased from £188,097 in 2023 to £524,538 in 2024. There were trustee meeting expenses of £805 in the year (2023 - £NIL).

At the year end the Charity holds reserves totalling £151,742 (2023 - £174,149), comprising restricted reserves of £118,293 (2023 - £123,592), and unrestricted reserves of £33,449 (2023 - £50,557). The Charity has a surplus General Fund at the balance sheet date of £33,449 (2023 - £6,561 surplus). The Trustees acknowledge that this figure is low and continue to look to implement processes which will restore the balance to previous levels over the coming 3-5 years.

Investment Policy

The Trustees have the power to invest in such assets as they see fit. Funds are held in UK banks to enable the Charity to access them as and when required. Accessibility of funds is very important to the Charity as, this way, we are able to allocate and distribute funds as soon as they are required. The Trustees may, from time to time, use the services of a professional investment adviser; none were required in the year under review.

Reserves Policy

All reserves are held to be applied to meet with the objectives set out above. Free reserves amounting to three months operating costs should be held as a minimum requirement. The Trustees accept that, currently, this is not the case and are planning to see that this is achieved in the shortest time frame possible with effect from 2025.

Page 5

WATOTO CHILD CARE MINISTRIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2024

The Charity has three designated funds. A number of donors give monies with preference that it be used in one of three broad areas though this is not a specified restriction. These three broad areas and the funds created are:

Where Most Needed – A third group give donations freely but with an expressed preference that they be immediately available for use by the Country Director (with board approval) to put towards any emergency purpose or appeal, either in the UK or elsewhere in the world, as they see fit and appropriate. £3,639 was received into this fund during 2024. During 2024, £33,820 has been transferred to the general funds leaving a balance at the year end of £NIL.

Operational Development Fund – A number of individuals and churches give donations with a preference, in the first instance, that they be used to help advance the Christian faith and defray the costs of promoting and growing the work of Watoto in the UK. There was £NIL received into this fund during 2024. £12,900 has been transferred to the general funds leaving a balance at the year end of £NIL.

Keep The Choir On The Road – The choir has many supporters some of whom give money with the preference that, in the first instance, it be used to help defray any unforeseen (and, thus, unbudgeted) choir tour costs. £27,106 was received into this fund during 2024. £28,021 has been transferred to the general funds leaving a balance at the year end of £NIL.

The board decided that these donations should be specifically recorded and acknowledged and set up these three designated funds to record this. No minimum or maximum fund balances have been set and it was envisaged that, under normal circumstances, the majority of these donations would be utilised in the year that they are received.

................................................ . J Skinner Trustee

Page 6

WATOTO CHILD CARE MINISTRIES

STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 DECEMBER 2024

The Trustees 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).

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the Charity 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 Charity will continue in business.

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with 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, the 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.

Approved by order of the members of the board of Trustees and signed on its behalf by:

................................................ } J Skinner Trustee

Date: October 28, 2025

Page 7

WATOTO CHILD CARE MINISTRIES

INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF WATOTO CHILD CARE MINISTRIES

Opinion

We have audited the financial statements of Watoto Child Care Ministries (the 'charity') for the year ended 31 December 2024 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).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

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 incoming 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 requirements of 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 Auditors' responsibilities for the audit of the 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 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.

Material uncertainty related to going concern

We draw attention to note 2.2 in the financial statements, which highlights the challenges faced by the charity during Covid and the resulting deficit balance on the general fund and deficit in free reserves as at 31 December 2024, meaning that the charity was not complying with its reserves policy. As a result, a material uncertainty exists, however due to significant reductions in financial commitments including moving to a remote working model, the board plan to review the necessary reserves policy from 2025 onwards. Our opinion is not modified in respect of this matter.

In auditing the financial statements, we have concluded the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Our evaluation of the trustees’ assessment of the charity’s ability to continue to adopt the going concern basis of accounting included a review of budgets up to 31 December 2026 and discussions with management.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Page 8

WATOTO CHILD CARE MINISTRIES

INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF WATOTO CHILD CARE MINISTRIES (CONTINUED)

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.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

• the information given in the Trustees' Report is inconsistent in any material respect with the financial statements; or

• sufficient accounting records have not been kept; or

• the financial statements are not in agreement with the accounting records and returns; or

• we have not received all the information and explanations we require for our audit.

Other matter

The comparative figures presented were unaudited.

Responsibilities of trustees

As explained more fully in the Trustees' Responsibilities Statement, the Trustees are responsible for the preparation of the financial statements which 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.

Page 9

WATOTO CHILD CARE MINISTRIES

INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF WATOTO CHILD CARE MINISTRIES (CONTINUED)

Auditors' 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 the Act and relevant regulations made or having effect thereunder.

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:

• Enquiry of management and those charged with governance around actual and potential litigation and claims;

• Reviewing minutes of meetings of those charged with governance;

• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;

• Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves 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.

Use of our report

This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 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 charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.

Wenn Townsend

Chartered Accounts and Statutory Auditor 30 St. Giles Oxford OX1 3LE

Date:

Wenn Townsend are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

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WATOTO CHILD CARE MINISTRIES

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2024

		Restricted	Unrestricted	Total	Total
		funds	funds	funds	funds
		2024	2024	2024	2023
	Note	£	£	£	£
Income from:
Donations and legacies	3	609,303	343,067	952,370	687,612
Charitable activities	4	-	104,650	104,650	-
Other trading activities	5	-	60,365	60,365	489
Investments	6	-	3,548	3,548	2,036
Total income		609,303	511,630	1,120,933	690,137
Expenditure on:
Charitable activities	7	618,802	524,538	1,143,340	741,904
Total expenditure		618,802	524,538	1,143,340	741,904
Net expenditure		(9,499)	(12,908)	(22,407)	(51,767)
Transfers between funds	16	4,200	(4,200)	-	-
Net movement in funds		(5,299)	(17,108)	(22,407)	(51,767)
Reconciliation of funds:
Total funds brought forward		123,592	50,557	174,149	225,916
Net movement in funds		(5,299)	(17,108)	(22,407)	(51,767)
Total funds carried forward		118,293	33,449	151,742	174,149

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 14 to 31 form part of these financial statements.

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WATOTO CHILD CARE MINISTRIES

BALANCE SHEET AS AT 31 DECEMBER 2024

			2024	2024		2023
	Note		£			£
Fixed assets
Tangible assets	12		36,598			4,592
			36,598			4,592
Current assets
Stocks	13	10,065			5,870
Debtors	14	28,637			37,505
Cash at bank and in hand		148,860			171,077
		187,562			214,452
Creditors: amounts falling due within one
year	15	(72,418)			(44,895)
Net current assets			115,144			169,557
Total assets less current liabilities			151,742			174,149
Net assets excluding pension asset			151,742			174,149
Total net assets			151,742			174,149
Charity funds
Restricted funds	16		118,293			123,592
Unrestricted funds	16		33,449			50,557
Total funds			151,742			174,149

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

................................................ / J Skinner Trustee

Date: October 28, 2025

The notes on pages 14 to 31 form part of these financial statements.

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WATOTO CHILD CARE MINISTRIES

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2024	2023	2023
	£		£
Cash flows from operating activities
Net cash used in operating activities	13,109		52,107
Cash flows from investing activities
Dividends, interests and rents from investments	3,548		2,036
Purchase of tangible fixed assets	(38,874)		(2,608)
Net cash used in investing activities	(35,326)		(572)
Change in cash and cash equivalents in the year	(22,217)		51,535
Cash and cash equivalents at the beginning of the year	171,077		119,542
Cash and cash equivalents at the end of the year	148,860		171,077
The notes on pages 14 to 31 form part of these financial statements

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WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

1. General information

The Charity is an unincorporated Charity registered with the Charity Commission (number 1090810), its principle address is detailed within the legal and administration section of the accounts.

2. Accounting policies

2.1 Basis of preparation of financial statements

The accounts have been prepared in accordance with the Charity’s trust deed, the Charities Act 2011 and the ‘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 01 January 2019). The Charity is a Public Benefit Entity as defined by FRS 102.

The accounts are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Going concern

At the year end the unrestricted funds amounted to £33,449 and the deficit on free reserves amounted to £3,149 meaning that the charity was not complying with its reserves policy.

The charity outsources part of its accounting function to an external firm of accountants and post year end performance to September 2025, based on the figures prepared by the external accountants, shows a surplus for the period of £193k. The subsequent budget prepared to December 2026 shows a break-even position. Despite the current economic climate and increase in cost-of-living impacting household disposable income, the trustees are confident of achieving the budget set given the extended choir tour planned for 2026 and the associated increase in sponsorship and merchandise sales that this is expected to generate. As such the trustees consider that the charity has both adequate resources and the means of maintaining them for at least 12 months from the approved date of these accounts and it continues to be appropriate to prepare the accounts on the going concern basis.

2.3 Income

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

Grants are included in the Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance Sheet. Where income is received in advance of entitlement of receipt, its recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued.

Where the donated good is a fixed asset, it is measured at fair value, unless it is impractical to measure this reliably, in which case the cost of the item to the donor should be used. The gain is recognised as income from donations and a corresponding amount is included in the appropriate fixed asset class and depreciated over the useful economic life in accordance with the Charity's accounting policies.

On receipt, donated professional services and facilities are recognised on the basis of the value of the gift to the Charity which is the amount it would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Page 14

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

2. Accounting policies (continued)

2.3 Income (continued)

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

2.4 Expenditure

Expenditure is recognised on the accruals basis and is recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure, it is probable that settlement will be required and the amount of the obligation can be measured. Where possible, expenditure is allocated directly to activities undertaken. Support costs are allocated between the expenditure categories on a basis designed to reflect the use of the resource. The majority of support costs (80%) are apportioned on the basis of staff time spent on each activity; bank and finance charges are apportioned in line with receipts; governance costs are apportioned in an equal 3-way split.

Grants and donations paid are accounted for when paid.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.

All expenditure is inclusive of irrecoverable VAT.

2.5 Gift Aid

In the case of a Gift Aid payment made within the Group, income is accrued when the payment is payable to the Parent Charity under a legal obligation. Measurement is at the fair value receivable, which will normally be the transaction value.

Where the right to receive Gift Aid has been established, the amount receivable is recognised as Income from donations and legacies in the Statement of Financial Activities.

2.6 Taxation

The Charity is not subject to Corporation Tax. It is entitled to claim from HM Revenue and Customs the tax associated with income received under gift aid.

2.7 Tangible fixed assets and depreciation

Tangible fixed assets costing £NIL or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.

Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.

Page 15

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

2. Accounting policies (continued)

2.7 Tangible fixed assets and depreciation (continued)

Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.

The estimated useful lives are as follows:

Motor vehicles	-	5 years
Office furniture	-	5 years
Office equipment	-	5 years
Computer equipment	-	3 years
Choir equipment	-	3 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Financial Activities.

2.8 Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

2.9 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.

2.10 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.

2.11 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 Charity 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 in the Statement of Financial Activities as a finance cost.

2.12 Financial instruments

The Charity 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 16

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

2. Accounting policies (continued)

2.13 Operating leases

Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight-line basis over the lease term.

2.14 Pensions

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2.15 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 Charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

Investment income, gains and losses are allocated to the appropriate fund.

Page 17

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

3. Income from donations and legacies

	Restricted	Restricted	Unrestricted	Unrestricted	Total
	funds		funds		funds
	2024		2024		2024
	£		£		£
Donations and gifts	609,303		252,296		861,599
Gift aid reclaimed	-		90,771		90,771
	609,303		343,067		952,370
	Restricted		Unrestricted		Total
	funds		funds		funds
	2023		2023		2023
	£		£		£
Donations and gifts	512,874		81,447		594,321
Gift aid reclaimed	-		93,291		93,291
	512,874		174,738		687,612
Income from charitable activities
	Unrestricted		Total		Total
	funds		funds		funds
	2024		2024		2023
	£		£		£
Speaker's fees	104,650		104,650		-

4. Income from charitable activities

Page 18

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

5. Income from other trading activities

Income from non charitable trading activities

	Unrestricted	Total
	funds	funds
	2024	2024
	£	£
Choir tour - merchandise sales	60,365	60,365
	Unrestricted	Total
	funds	funds
	2023	2023
	£	£
Choir tour - merchandise sales	489	489

6. Investment income

	Unrestricted	Total
	funds	funds
	2024	2024
	£	£
Interest receivable	3,548	3,548
	Unrestricted	Total
	funds	funds
	2023	2023
	£	£
Interest receivable	2,036	2,036

Page 19

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

7. Analysis of expenditure on charitable activities

Summary by fund type

	Restricted	Restricted	Unrestricted
	funds		funds Total
	2024		2024 2024
	£		£ £
Grant funding to Uganda	618,802		82,029 700,831
Choir Tour	-		271,543 271,543
Development and engagement	-		170,966 170,966
	618,802		524,538 1,143,340
	Restricted		Unrestricted
	funds		funds Total
	2023		2023 2023
	£		£ £
Grant funding to Uganda	553,682		120,748 674,430
Choir Tour	-		32,343 32,343
Development and engagement	-		35,131 35,131
	553,682		188,222 741,904

8. Analysis of expenditure by activities

	Activities
	undertaken	Support	Total
	directly	costs	funds
	2024	2024	2024
	£	£	£
Grant funding to Uganda	618,802	82,029	700,831
Choir Tour	173,072	98,471	271,543
Development and engagement	23,908	147,058	170,966
	815,782	327,558	1,143,340

Page 20

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

8. Analysis of expenditure by activities (continued)

	Activities
	undertaken	Support	Total
	directly	costs	funds
	2023	2023	2023
	£	£	£
Grant funding to Uganda	559,971	114,459	674,430
Choir Tour	1,907	30,436	32,343
Development and engagement	3,730	31,401	35,131
	565,608	176,296	741,904

Analysis of support costs

			Development
	Uganda		and	Total
	Programme	Choir Tour	engagement	funds
	2024	2024	2024	2024
	£	£	£	£	£
Staff costs	29,474	54,479	115,955	199,908
Admin and office expenses	8,250	584	9,033	17,867
Admin travel and subsistance	-	20,532	7,045	27,577
Bank and finance charges	4,909	1,810	777	7,496
Van costs	-	3,666	-	3,666
Rent, services and insurance	22,057	1,052	-	23,109
Storage, repairs and maintanance	-	4,351	-	4,351
Office and IT equipment	4,489	722	1,067	6,278
Depreciation	1,014	168	168	1,350
Legal and professional	-	-	1,906	1,906
Loss on disposal of fixed asset	729	-	-	729
Governance	11,107	11,107	11,107	33,321
	82,029	98,471	147,058	327,558

Page 21

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

8. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

----- Start of picture text -----
|||||| |---|---|---|---|---| |Development| |Uganda|and|Total| |Programme|Choir Tour|engagement|funds| |2023|2023|2023|2023| |£|£|£|£| |Staff costs|72,332|7,364|13,872|93,568| |Admin and office expenses|8,297|948|948|10,193| |Admin travel and subsistance|5,941|1,128|742|7,811| |Bank and finance charges|5,483|607|607|6,697| |Van costs|-|2,170|-|2,170| |Rent, services and insurance|12,203|10,664|10,664|33,531| |-|-| |Storage, repairs and maintanance|3,087|3,087| |Office and IT equipment|3,348|191|292|3,831| |Depreciation|618|75|75|768| |Legal and professional|2,325|290|289|2,904| |Governance|3,912|3,912|3,912|11,736| |114,459|30,436|31,401|176,296|

----- End of picture text -----

9. Auditors' remuneration

----- Start of picture text -----
|||| |---|---|---| |2024|2023| |£|£| |Fees payable to the Charity's auditor for the audit of the Charity's annual| |accounts|6,000|-| |Fees payable to the Charity's independent examiner for the independent| |-| |examination of the Charity's annual accounts|6,000|

----- End of picture text -----

10. Staff costs

----- Start of picture text -----
|||| |---|---|---| |2024|2023| |£|£| |Wages and salaries|176,628|89,350| |Social security costs|16,289|1,780| |Contribution to defined contribution pension schemes|6,991|2,438| |199,908|93,568|

----- End of picture text -----

Page 22

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

10. Staff costs (continued)

The average number of persons employed by the Charity during the year was as follows:

	2024	2023
	No.	No.
Employees	6	5

The number of employees whose employee benefits (excluding employer pension costs) exceeded	The number of employees whose employee benefits (excluding employer pension costs) exceeded	The number of employees whose employee benefits (excluding employer pension costs) exceeded
£60,000 was:
	2024	2023
	No.	No.
In the band £60,001 - £70,000	1	-

The key management personnel of the Charity comprise the trustees and the Executive Director and the total employee benefits (including pension contributions and employer’s National Insurance) of key management personnel was £81,904 (2023 - £17,300). During the period and the comparative Charity trustees were neither paid nor received any other benefits from employment with the Charity

11. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL).

During the year ended 31 December 2024, expenses totalling £116,608 were reimbursed or paid directly to 2 Trustees and key management personnel in respect of travel expenses (2023 - £NIL).

Page 23

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

12. Tangible fixed assets

	Motor	Office	Office	Computer	Choir
	vehicles	furniture	equipment	equipment	equipment	Total
	£	£	£	£	£	£
Cost or valuation
At 1 January 2024	19,144	1,324	6,633	22,756	48,638	98,495
Additions	-	-	1,684	3,299	33,891	38,874
Disposals	-	-	(5,599)	(13,975)	(13,681)	(33,255)
At 31 December 2024	19,144	1,324	2,718	12,080	68,848	104,114
Depreciation
At 1 January 2024	19,144	1,215	6,563	20,213	46,768	93,903
Charge for the year	-	109	84	1,164	4,778	6,135
On disposals	-	-	(5,529)	(13,335)	(13,658)	(32,522)
At 31 December 2024	19,144	1,324	1,118	8,042	37,888	67,516
Net book value
At 31 December 2024	-	-	1,600	4,038	30,960	36,598
At 31 December 2023	-	109	70	2,543	1,870	4,592

13. Stocks

	2024	2023
	£	£
Finished goods and goods for resale	10,065	5,870

14. Debtors

	2024	2023
	£	£
Due within one year
Other debtors	-	96
Prepayments and accrued income	28,637	37,409
	28,637	37,505

Page 24

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

15. Creditors: Amounts falling due within one year

	2024	2023
	£	£
Trade creditors	6,500	2,045
Other taxation and social security	5,174	25,677
Other creditors	45,552	1,776
Accruals and deferred income	15,192	15,397
	72,418	44,895

Included in the creditors above are pension contributions of £1,473 (2023 - £25,677).

	2024	2023
	£	£
Deferred income at 1 January 2024	3,556	2,264
Resources deferred during the year	6,806	9,673
Amounts released from previous periods	(7,011)	(8,381)
	3,351	3,556

16. Statement of funds

Statement of funds - current year

					Balance at
Balance at 1					31
	January			Transfers	December
	2024	Income	Expenditure	in/out	2024
	£	£	£	£	£
Unrestricted funds
Designated funds
Where Most Needed fund	30,181	3,639	-	(33,820)	-
Operational Development fund	12,900	-	-	(12,900)	-
Keep Choir On The Road fund	915	27,106	-	(28,021)	-
	43,996	30,745	-	(74,741)	-
General funds
General Funds - all funds	6,561	480,885	(524,538)	70,541	33,449
Total Unrestricted funds	50,557	511,630	(524,538)	(4,200)	33,449

Page 25

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

16. Statement of funds (continued)

Restricted funds

Restricted funds
Child	10,003	363,887	(364,687)	-	9,203
Mother	1,625	30,900	(30,731)	-	1,794
Baby	3,247	35,811	(34,888)	-	4,170
Neighbourhood child	2,038	62,160	(62,160)	-	2,038
Neighbourhood mother	2,362	19,552	(20,771)	-	1,143
Teacher	147	1,594	(1,594)	-	147
Special needs	1,071	3,990	(3,990)	-	1,071
Seeds	2,051	4,017	(4,016)	-	2,052
Watoto Uganda support
fund	90,829	989	(1,485)	-	90,333
Gift pool	503	428	(2,325)	1,394	-
Gulu Project	(511)	1,623	(1,761)	649	-
Christmas appeal	3,281	2,581	(1,509)	-	4,353
Sustainability Project	-	41	(143)	102	-
Keep a girl in school	175	697	(909)	37	-
Other appeals	6,771	2,929	(11,511)	1,811	-
Visit Watoto	-	53,572	(52,433)	-	1,139
Building projects	-	24,500	(23,650)	-	850
Watoto education	-	32	(239)	207	-
	123,592	609,303	(618,802)	4,200	118,293
Total of funds	174,149	1,120,933	(1,143,340)	-	151,742
Statement of funds - prior year
					Balance at
		Balance at			31
		1 January			December
		2023	Income	Expenditure	2023
		£	£	£	£
Unrestricted funds
Designated funds
Where Most Needed fund		26,689	3,492	-	30,181
Operational Development fund		12,900	-	-	12,900
Keep Choir On The Road fund		915	-	-	915
		40,504	3,492	-	43,996

Page 26

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

16. Statement of funds (continued)

General funds
General Funds - all funds	20,887	173,771	(188,097)		6,561
Total Unrestricted funds	61,391	177,263	(188,097)		50,557
Restricted funds
Child	40,789	340,749	(371,535)		10,003
Mother	3,815	36,537	(38,727)		1,625
Baby	3,716	39,270	(39,739)		3,247
Neighbourhood child	5,039	53,934	(56,935)		2,038
Neighbourhood mother	2,415	21,756	(21,809)		2,362
Teacher	216	1,696	(1,765)		147
Special needs	1,089	6,029	(6,047)		1,071
Seeds	2,157	5,104	(5,210)		2,051
Watoto Uganda support fund	90,523	702	(396)		90,829
Gift pool	703	1,000	(1,200)		503
Gulu Project	68	1,695	(2,274)		(511)
Christmas appeal	3,274	1,773	(1,766)		3,281
Sustainability Project	-	1,006	(1,006)		-
Keep a girl in school	1,000	469	(1,294)		175
Other appeals	5,617	1,154	-		6,771
Winnie's medical appeal	13	-	(13)		-
Visit Watoto	4,091	-	(4,091)		-
	164,525	512,874	(553,807)		123,592
Total of funds	225,916	690,137	(741,904)		174,149

Page 27

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

17. Restricted funds

Restricted funds fall into three categories:

1. Sponsorship – Sponsorship is an on-going regular commitment to support the holistic care of babies, children and mothers; either as individuals or as a general support to those areas. Sponsorship is promoted, and new sponsors gained, mainly at choir concerts and we are now developing new avenues for sponsorship income. Ninety per cent of all sponsorship income is sent directly to Uganda and the groups that we help support are:

Babies. Children.

Children with special needs – because of their additional care costs, sponsorship of these children is higher. Mothers.

Neighbourhood children and mothers – these are not located in our Watoto villages but in the surrounding neighbourhoods. All are single-parent families.

Teachers – education is not free in Uganda so, by employing its own teachers, Watoto can guarantee an education to all children in its care.

Watoto Uganda support fund – largely regular donations that are not restricted to any of the above but are for free distribution by Watoto Uganda.

1. Appeals – These are discrete, single purpose donations usually in response to an appeal and 100% of these donations are sent to Uganda. We run an autumn / Christmas appeal each year to enable all in our care to receive a small gift at Christmas and, in addition to this, the UK supported the following appeals during 2024:

Gift pool – any separate donation made for a child are pooled so that all children may receive a small gift on their birthday.

Gulu project – this is a specific village project in the north of Uganda.

Keep a girl in school project – provides resources to help keep young, marginalised girls in school in Uganda and South Sudan e.g. school fees, uniforms, personal hygiene, mentoring.

Watoto education programme – provides comprehensive education to Ugandan youth through Ugandan educational institutions.

1. Visit Watoto – sponsors and supporters are encouraged to visit Uganda and, if appropriate, volunteer to assist with one of our many ongoing projects. Visit Watoto is the receipt of monies to pay for travel, accommodation and subsistence on these trips and 100% of this money will be passed over to Uganda. At the outbreak of Covid-19, all visits to Uganda ceased with Uganda experiencing a much longer shut-down period than most parts of the world. As a result, visits under the scheme are expected to recommence during 2025.

18. Designated funds

Where Most Needed – this fund is available for the immediate use of the Chief Executive for any emergency purpose, either in the UK or elsewhere in the world, as he sees fit and appropriate.

Operational Development Fund – this fund is available to the Chief Executive in helping defray costs incurred in the development and growth of new fundraising activities and income streams.

Keep the Choir on the Road – this fund is available to defray any exceptional, unbudgeted choir tour costs.

Page 28

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

19. Summary of funds

Summary of funds - current year

					Balance at
	Balance at 1				31
	January			Transfers	December
	2024	Income	Expenditure	in/out	2024
	£	£	£	£	£
Designated funds	43,996	30,745	-	(74,741)	-
General funds	6,561	480,885	(524,538)	70,541	33,449
Restricted funds	123,592	609,303	(618,802)	4,200	118,293
	174,149	1,120,933	(1,143,340)	-	151,742
Summary of funds - prior year
					Balance at
		Balance at			31
		1 January			December
		2023	Income	Expenditure	2023
		£	£	£	£
Designated funds		40,504	3,492	-	43,996
General funds		20,887	173,771	(188,097)	6,561
Restricted funds		164,525	512,874	(553,807)	123,592
		225,916	690,137	(741,904)	174,149

20. Analysis of net assets between funds

Analysis of net assets between funds - current period

	Restricted	Unrestricted Total
	funds	funds funds
	2024	2024 2024
	£	£ £
Tangible fixed assets	-	36,598 36,598
Current assets	118,293	69,269 187,562
Creditors due within one year	-	(72,418) (72,418)
Total	118,293	33,449 151,742

Page 29

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

20. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior period

	Restricted	Unrestricted	Total
	funds	funds	funds
	2023	2023	2023
	£	£	£
Tangible fixed assets	-	4,592	4,592
Current assets	123,592	90,860	214,452
Creditors due within one year	-	(44,895)	(44,895)
Total	123,592	50,557	174,149

Total

21.	Reconciliation of net movement in funds to net cash flow from operating activities	Reconciliation of net movement in funds to net cash flow from operating activities
		2024	2023
		£	£
	Net expenditure for the period (as per Statement of Financial Activities)	(22,407)	(51,767)
	Adjustments for:
	Depreciation charges	6,139	2,675
	Dividends, interests and rents from investments	(3,548)	(2,036)
	Loss on the sale of fixed assets	729	-
	Increase in stocks	(4,195)	-
	Decrease in debtors	8,868	107,597
	Increase/(decrease) in creditors	27,728	(6,095)
	Increase/(decrease) in accruals and deferred income	(205)	1,733
	Net cash provided by operating activities	13,109	52,107
22.	Analysis of cash and cash equivalents
		2024	2023
		£	£
	Cash in hand	148,860	171,077
	Total cash and cash equivalents	148,860	171,077

Page 30

WATOTO CHILD CARE MINISTRIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

23. Analysis of changes in net debt

	At 1		At 31
	January		December
	2024	Cash flows	2024
	£	£	£
Cash at bank and in hand	171,077	(22,217)	148,860
	171,077	(22,217)	148,860

24. Operating lease commitments

At 31 December 2024 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

			2024	2023
			£	£
Not later than 1 year	Not later than 1 year	Not later than 1 year	-	22,554

25. Related party transactions

There were Trustee and key management personnel expenses of £116,608 during the period (2023 - £NIL). There were no amounts owing to or owed by the Trustees at the balance sheet date (2023 - £NIL). These payments are permissible under sections 19 and 20 of the Charity’s trust deed.

Aggregated donations received from the Trustees and key management personnel without conditions during the period were £23,194 (2023 - £22,908).

Trustees of Watoto Child Care Ministries hold a controlling position in Watoto Uganda. Grant funding is paid to Watoto Uganda, and during the period this totalled £618,802 (2023 - £569,367). At the year end £45,552 (2023 - £NIL) was due to Watoto Uganda.

Expenses of £11,186 (2023 - £NIL) were paid during the period to related parties that are part of the Watoto Global Network. Donations received from these related parties without conditions during the period were £192,882 (2023 - £NIL).

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