REGISTERED CHARITY NUMBER: 1092055
Report of the Trustees and
Unaudited Financial Statements
for the Year Ended 31st October 2022
for
THE KENNETH ARMITAGE FOUNDATION
THE KENNETH ARMITAGE FOUNDATION
Contents of the Financial Statements for the year ended 31st October 2022
| Page | |
|---|---|
| Report of the Trustees | 1 to 2 |
| Independent Examiner's Report | 3 |
| Statement of Financial Activities | 4 |
| Balance Sheet | 5 |
| Notes to the Financial Statements | 6 to 11 |
| Detailed Statement of Financial Activities | 12 to 13 |
THE KENNETH ARMITAGE FOUNDATION
Report of the Trustees for the year ended 31st October 2022
The trustees present their report with the financial statements of the charity for the year ended 31st October 2022. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
Objectives and aims for the public benefit
The trustees shall hold the Trust Fund and its income upon trust to:
(1) Encourage and advance public knowledge of and education in the art of modern and contemporary sculpture, especially through the works of Kenneth Armitage.
(2) Protect and enhance the reputation and legacy of Kenneth Armitage, including through publications and exhibitions and by maintaining his studio to inspire contemporary sculptors.
The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Trust's aims and objectives and in planning future activities.
Formation of the foundation
Following the death of Kenneth Armitage in January 2002 his executors and trustees executed a deed of appointment, on 14th August 2002, whereby the residue of his estate was directed to the Foundation since its principal objects were considered to be in line with the charitable intentions of his will.
The distribution from the estate included the house at 22a Avonmore Road London W14 previously occupied by Mr Armitage, works of art and a monetary element received in May and June 2003.
ACHIEVEMENT AND PERFORMANCE
Review of activities
The trustees continued to promote the work of Kenneth Armitage and support the education of the public in art and sculpture. We maintained the studio, organised and conserved the collection and selected works for sale and for donation.
In April 2022, we participated in an exhibition 'In Nature' at The Secret Garden in Brighton, partly curated by Ann Elliott our trustee.
The Foundation awards an Armitage Fellowship to an international sculptor with a two-year residency at its London studio with a bursary and expenses. The Fellowship was awarded in September 2019 to Shahpour Pouyan, an Iranian national with an international reputation who has been working in New York. We extended Shahpour's residency to September 2023 as Covid had completely restrained normal activities. The Foundation hosted several Open Studios during which Shahpour showcased his latest body of work.
The Foundation returned to awarding prizes to young sculptors chosen from final degree shows of undergraduates at Bath Spa University and Leeds Arts University, and from postgraduate shows at the Royal College of Art and the Slade School of Fine Art. This year the undergraduate prize of £3,500 was awarded to Sophie Heldt of Leeds Art University and the postgraduate prize of £7,000 was awarded to Antrea Tzourovits of Slade School of Art.
The recipient of the Kenneth Armitage Leeds Fellowship, Katrina Cowling entered her second year of the Fellowship after a successful first year in post. Funding was secured from The Kenneth Armitage Foundation, Leeds Arts University and The Henry Moore Foundation.
We are delighted that the Foundation has returned to its task of helping to educate and inspire young artists, to promote sculpture in particular, and maintain and burnish the reputation of Kenneth Armitage CBE.
Page 1
THE KENNETH ARMITAGE FOUNDATION
Report of the Trustees for the year ended 31st October 2022
FINANCIAL REVIEW
Reserves policy
Having received the distribution from the estate of Kenneth Armitage the Foundation currently holds reserves of £2,139,687. However, a significant portion of these are not 'free reserves' being tied up in the freehold buildings required to carry out the charity's objectives and works of art. Since further fundraising is not currently taking place, available funds, after building refurbishment costs, need to be invested to provide for the bursary costs. The trustees therefore feel that the current level of reserves must be retained.
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
Recruitment and appointment of new trustees
In selecting persons to be appointed, the trustees consider the skills, experience and commitment of potential trustees and the contributions they can make to compliment the existing board of trustees.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
1092055
Principal address
Rainscombe Park Oare Marlborough Wiltshire SN8 4HZ
Trustees
Steve Langan (appointed 17.1.23) Robert Hiscox Chairman (resigned 17.1.23) Ms Marjorie Allthorpe-Guyton Ann Elliott Mark Dunhill
Independent Examiner
Simpson Wreford & Partners Chartered Accountants Suffolk House George Street Croydon Surrey CR0 0YN
Approved by order of the board of trustees on 25th July 2023 and signed on its behalf by:
Steve Langan - Trustee
Page 2
Independent Examiner's Report to the Trustees of The Kenneth Armitage Foundation
Independent examiner's report to the trustees of The Kenneth Armitage Foundation
I report to the charity trustees on my examination of the accounts of The Kenneth Armitage Foundation (the Trust) for the year ended 31st October 2022.
Responsibilities and basis of report
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Patrick du Casse
Simpson Wreford & Partners Chartered Accountants Suffolk House George Street Croydon Surrey CR0 0YN
25th July 2023
Page 3
THE KENNETH ARMITAGE FOUNDATION
Statement of Financial Activities for the year ended 31st October 2022
| Notes INCOME AND ENDOWMENTS FROM Other trading activities 2 Investment income 3 Total EXPENDITURE ON Raising funds Investment management costs 4 Charitable activities Studio expenses Preservation of artworks Management and administration Exhibition costs Grants to sculptors Total Net gains/(losses) on investments NET INCOME/(EXPENDITURE) Other recognised gains/(losses) Gains/(losses) on revaluation of fixed assets Net movement in funds RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
31.10.22 Unrestricted fund £ 13,068 25,489 38,557 645 645 27,986 10,837 7,261 1,902 41,000 89,631 (38,086) (89,160) (32,765) (121,925) 2,261,612 2,139,687 |
31.10.21 Total funds £ 24,275 20,088 44,363 1,566 1,566 19,027 10,459 6,267 - 10,500 47,819 - (3,456) 141,963 138,507 2,123,105 2,261,612 |
|---|---|---|
The notes form part of these financial statements
Page 4
THE KENNETH ARMITAGE FOUNDATION
Balance Sheet 31st October 2022
| Notes FIXED ASSETS Tangible assets 7 Investments 8 CURRENT ASSETS Stocks 9 Debtors 10 Cash at bank CREDITORS Amounts falling due within one year 11 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 12 Unrestricted funds TOTAL FUNDS |
31.10.22 Unrestricted fund £ 805,189 891,584 1,696,773 388,953 10,253 45,183 444,389 (1,475) 442,914 2,139,687 2,139,687 2,139,687 2,139,687 |
31.10.21 Total funds £ 807,752 962,778 1,770,530 388,953 10,000 93,904 492,857 (1,775) 491,082 2,261,612 2,261,612 2,261,612 2,261,612 |
|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 25th July 2023 and were signed on its behalf by:
Steve Langan - Trustee
The notes form part of these financial statements
Page 5
THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements for the year ended 31st October 2022
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Financial reporting standard 102 - reduced disclosure exemptions
The charity has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
-
the requirements of Section 7 Statement of Cash Flows;
-
the requirement of paragraph 3.17(d);
-
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c).
Changes in accounting policies
In preparing these accounts, the Trustees have considered whether in applying the accounting policies required by FRS 102 and the Charities SORP FRS 102 the restatement of comparative items was required. No restatements were required.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Tangible fixed assets
Tangible fixed assets are stated at historical cost less accumulated depreciation less any accumulated impairment losses.
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life:
Fixtures and fittings - 25% p.a. on cost
Assets are capitalised where their useful economic life is expected to be greater than one year.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amounts and are recognised in the Statement of Financial Activities.
continued...
Page 6
THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements - continued for the year ended 31st October 2022
1. ACCOUNTING POLICIES - continued
Stocks
Stocks are stated at their value on the date they were transferred into the trust from the estate of Kenneth Armitage.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Investments
Investments are stated at their market value at the year end date. Any unrealised gains or losses are recognised in statement of financial activities.
Creditors
Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount.
Debtors
Debtors are recognised at the settlement amount due.
2. OTHER TRADING ACTIVITIES
3.
| OTHER TRADING ACTIVITIES | ||
|---|---|---|
| 31.10.22 | 31.10.21 | |
| £ | £ | |
| Sale of artwork | 13,068 | 24,275 |
| INVESTMENT INCOME | ||
| Investment income | 31.10.22 £ 25,429 |
31.10.21 £ 20,051 |
| Deposit account interest | 60 | 37 |
| 25,489 | 20,088 | |
continued...
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THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements - continued for the year ended 31st October 2022
4. INVESTMENT MANAGEMENT COSTS
| 4. | INVESTMENT MANAGEMENT COSTS | |||
|---|---|---|---|---|
| 31.10.22 | 31.10.21 | |||
| £ | £ | |||
| Support costs | 645 | 1,566 | ||
| 5. | SUPPORT COSTS | |||
| Investment management costs | Finance £ 645 |
Governance costs £ - |
Totals £ 645 |
|
| Management and administration | - | 3,702 | 3,702 | |
| 645 | 3,702 | 4,347 |
6. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31st October 2022 nor for the year ended 31st October 2021.
Trustees' expenses
Included within expenditure is £313 (2021 - £62) of expenses reimbursed to trustees.
7. TANGIBLE FIXED ASSETS
| COST At 1st November 2021 and 31st October 2022 DEPRECIATION At 1st November 2021 Charge for year At 31st October 2022 NET BOOK VALUE At 31st October 2022 At 31st October 2021 |
Freehold property £ 800,000 - - - 800,000 800,000 |
Fixtures and fittings £ 10,254 2,502 2,563 5,065 5,189 7,752 |
Totals £ 810,254 2,502 2,563 5,065 805,189 807,752 |
|---|---|---|---|
continued...
Page 8
THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements - continued for the year ended 31st October 2022
8. FIXED ASSET INVESTMENTS
| MARKET VALUE At 1st November 2021 Additions Disposals Revaluations At 31st October 2022 NET BOOK VALUE At 31st October 2022 At 31st October 2021 There were no investment assets outside the UK. Cost or valuation at 31st October 2022 is represented by: Valuation in 2021 Valuation in 2022 Cost 9. STOCKS Works of art 10. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR VAT Prepayments and accrued income |
Listed investments £ 962,778 490,436 (490,779) (70,851) 891,584 891,584 962,778 Listed investments £ 286,750 (70,851) 675,685 891,584 31.10.22 31.10.21 £ £ 388,953 388,953 31.10.22 31.10.21 £ £ 1,658 445 8,595 9,555 10,253 10,000 |
|---|---|
continued...
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THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements - continued for the year ended 31st October 2022
11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Accrued expenses 12. MOVEMENT IN FUNDS Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Incoming resources £ Unrestricted funds General fund 38,557 TOTAL FUNDS 38,557 Comparatives for movement in funds Unrestricted funds General fund TOTAL FUNDS |
At 1.11.21 £ 2,261,612 2,261,612 Resources expended £ (89,631) (89,631) At 1.11.20 £ 2,123,105 2,123,105 |
31.10.22 £ 1,475 Net movement in funds £ (121,925) (121,925) Gains and losses £ (70,851) (70,851) Net movement in funds £ 138,507 138,507 |
31.10.21 £ 1,775 At 31.10.22 £ 2,139,687 2,139,687 Movement in funds £ (121,925) (121,925) At 31.10.21 £ 2,261,612 2,261,612 |
|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund TOTAL FUNDS |
Incoming resources £ 44,363 44,363 |
Resources expended £ (47,819) (47,819) |
Gains and Movement losses in funds £ £ 141,963 138,507 141,963 138,507 |
|---|---|---|---|
continued...
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THE KENNETH ARMITAGE FOUNDATION
Notes to the Financial Statements - continued for the year ended 31st October 2022
13. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31st October 2022.
Page 11
THE KENNETH ARMITAGE FOUNDATION
| Detailed Statement of Financial Activities | ||
|---|---|---|
| for the year ended 31st October 2022 | ||
| 31.10.22 | 31.10.21 | |
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Other trading activities | ||
| Sale of artwork | 13,068 | 24,275 |
| Investment income | ||
| Investment income | 25,429 | 20,051 |
| Deposit account interest | 60 | 37 |
| 25,489 | 20,088 | |
| Total incoming resources | 38,557 | 44,363 |
| EXPENDITURE | ||
| Charitable activities | ||
| Rates and water | 4,368 | 4,560 |
| Insurance | 7,421 | 4,038 |
| Light and heat | 6,197 | 3,218 |
| Telephone | 1,000 | 751 |
| Building repairs | 10,000 | 7,211 |
| Professional services | 2,559 | 2,679 |
| Storage and transport | 8,273 | 8,333 |
| Exhibition Costs | 1,902 | - |
| Depreciation of tangible fixed assets | 2,564 | 2,126 |
| Grants and donations | 41,000 | 10,500 |
| Support costs | 85,284 | 43,416 |
| Finance | ||
| Investment management charge | 645 | 1,566 |
| Governance costs | ||
| Travel and subsistence | 1,302 | 62 |
| Independent examiners' fee | 1,300 | 1,500 |
| Accountancy | 1,100 | 1,275 |
| 3,702 | 2,837 | |
| Total resources expended | 89,631 | 47,819 |
| Net expenditure before gains and losses | (51,074) | (3,456) |
| Realised recognised gains and losses | ||
| Carried forward | (51,074) | (3,456) |
This page does not form part of the statutory financial statements
Page 12
THE KENNETH ARMITAGE FOUNDATION
Detailed Statement of Financial Activities for the year ended 31st October 2022
| 31.10.22 | 31.10.21 | ||
|---|---|---|---|
| £ | £ | ||
| Realised recognised gains and losses | |||
| Brought forward | (51,074) | (3,456) | |
| Realised gains/losses on investment assets | (38,086) | - | |
| Net expenditure | (89,160) | (3,456) | |
This page does not form part of the statutory financial statements
Page 13