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2023-10-31-accounts

REGISTERED CHARITY NUMBER: 1092055

Report of the Trustees and

Unaudited Financial Statements

for the Year Ended 31st October 2023

for

THE KENNETH ARMITAGE FOUNDATION

THE KENNETH ARMITAGE FOUNDATION

Contents of the Financial Statements for the year ended 31st October 2023

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 2023

The trustees present their report with the financial statements of the charity for the year ended 31st October 2023. 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 have maintained the studio in Avonmore Road, organised and continued our conservation of the collection and selected works for sale and for donation. Administratively, a new trustee has been appointed taking the trustee numbers up from four to five and a change at the helm sees a new chairman oversee the Foundation's activities.

The Foundation awards an Armitage Fellowship to an international sculptor with a two-year residency at its London studio with a bursary and expenses. Following extensive interviews from several nominated candidates, The Fellowship was awarded in July 2023 to renowned sculptor Anya Gallaccio. Anya Gallaccio has been living at Avonmore Road and utilising the ground floor studio to prepare a body of work for her solo exhibition at the Turner Contemporary, Margate in September 2024. She has won a commission to produce London's first Aids Memorial in Fitzrovia and has hosted small group visits to the studio - including one from The Royal Society of Sculptors, on behalf of the Foundation.

The Foundation awarded three prizes in 2023. Prize winners were selected from online applications by young sculptors of undergraduates' courses at Bath Spa University and Leeds Arts University, and from postgraduate courses at the Royal College of Art. Trustees visited the degree shows to view work and met with the student applicants before deciding on their respective winners This year the undergraduate prize of £3,000 was awarded to Libby Bove of Bath Spa University and a further prize of £3,000 was awarded to Silvia Avila-Parcet of Leeds Arts University. The postgraduate prize of £7,000 was awarded to Caitlin Hazell from The Royal College of Art.

We are delighted that the Foundation has returned to its task of helping to educate and inspire young artists, to promote sculpture, 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 2023

FINANCIAL REVIEW

Reserves policy

Having received the distribution from the estate of Kenneth Armitage the Foundation currently holds reserves of £2,001,918. 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 Chair (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 ............................................. and signed on its behalf by:

21/08/2024 ........................................................................ 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 2023.

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:

  1. accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of 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

21/08/2024 Date: .............................................

Page 3

THE KENNETH ARMITAGE FOUNDATION

Statement of Financial Activities for the year ended 31st October 2023

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
Other trading activities
2
Investment income
3
Total
EXPENDITURE ON
Raising funds
Other trading activities
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
31.10.23
Unrestricted
fund
£
10,000
7,233
24,851
42,084
5,000
5,799
10,799
23,787
11,147
12,772
-
68,000
126,505
5,951
(78,470)
(59,299)
(137,769)
2,139,687
2,001,918
31.10.22
Total
funds
£
-
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

The notes form part of these financial statements

Page 4

THE KENNETH ARMITAGE FOUNDATION

Balance Sheet 31st October 2023

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
31.10.23
Unrestricted
fund
£
802,625
782,997
1,585,622
385,953
9,444
22,475
417,872
(1,576)
416,296
2,001,918
2,001,918
2,001,918
2,001,918
31.10.22
Total
funds
£
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

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:

21/08/2024 ............................................. 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 2023

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':

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 2023

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
31.10.23 31.10.22
£ £
Sale of artwork 7,233 13,068
INVESTMENT INCOME
Investment income 31.10.23
£
24,568
31.10.22
£
25,429
Deposit account interest 283 60
24,851 25,489

continued...

Page 7

THE KENNETH ARMITAGE FOUNDATION

Notes to the Financial Statements - continued for the year ended 31st October 2023

4. INVESTMENT MANAGEMENT COSTS

4. INVESTMENT MANAGEMENT COSTS
31.10.23 31.10.22
£ £
Support costs 5,799 645
5. SUPPORT COSTS
Investment management costs Finance
£
5,799
Governance
costs
£
-
Totals
£
5,799
Management and administration - 3,929 3,929
5,799 3,929 9,728

6. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31st October 2023 nor for the year ended 31st October 2022.

Trustees' expenses

Included within expenditure is £625 (2022 - £313) of expenses reimbursed to trustees.

7. TANGIBLE FIXED ASSETS

COST
At 1st November 2022 and
31st October 2023
DEPRECIATION
At 1st November 2022
Charge for year
At 31st October 2023
NET BOOK VALUE
At 31st October 2023
At 31st October 2022
Freehold
property
£
800,000
-
-
-
800,000
800,000
Fixtures
and
fittings
£
10,254
5,065
2,564
7,629
2,625
5,189
Totals
£
810,254
5,065
2,564
7,629
802,625
805,189

continued...

Page 8

THE KENNETH ARMITAGE FOUNDATION

Notes to the Financial Statements - continued for the year ended 31st October 2023

8. FIXED ASSET INVESTMENTS

MARKET VALUE
At 1st November 2022
Additions
Disposals
Revaluations
At 31st October 2023
NET BOOK VALUE
At 31st October 2023
At 31st October 2022
There were no investment assets outside the UK.
Cost or valuation at 31st October 2023 is represented by:
Valuation in 2021
Valuation in 2022
Valuation in 2023
Cost
9.
STOCKS
Works of art
10.
DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
VAT
Prepayments and accrued income
Listed
investments
£
891,584
48,745
(103,984)
(53,348)
782,997
782,997
891,584
Listed
investments
£
286,750
(70,851)
(49,101)
616,199
782,997
31.10.23
31.10.22
£
£
385,953
388,953
31.10.23
31.10.22
£
£
370
1,658
9,074
8,595
9,444
10,253

continued...

Page 9

THE KENNETH ARMITAGE FOUNDATION

Notes to the Financial Statements - continued for the year ended 31st October 2023

11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Accrued expenses
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
42,084
TOTAL FUNDS
42,084
Comparatives for movement in funds
Unrestricted funds
General fund
TOTAL FUNDS
Comparative net movement in funds, included in the above are
Incoming
resources
£
Unrestricted funds
General fund
38,557
TOTAL FUNDS
38,557
At
1.11.22
£
2,139,687
2,139,687
Resources
expended
£
(126,505)
(126,505)
At
1.11.21
£
2,261,612
2,261,612
as follows:
Resources
expended
£
(89,631)
(89,631)
31.10.23
£
1,576
Net
movement
in funds
£
(137,769)
(137,769)
Gains and
losses
£
(53,348)
(53,348)
Net
movement
in funds
£
(121,925)
(121,925)
Gains and
losses
£
(70,851)
(70,851)
31.10.22
£
1,475
At
31.10.23
£
2,001,918
2,001,918
Movement
in funds
£
(137,769)
(137,769)
At
31.10.22
£
2,139,687
2,139,687
Movement
in funds
£
(121,925)
(121,925)

12. MOVEMENT IN FUNDS

continued...

Page 10

THE KENNETH ARMITAGE FOUNDATION

Notes to the Financial Statements - continued for the year ended 31st October 2023

13. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st October 2023.

Page 11

THE KENNETH ARMITAGE FOUNDATION

Detailed Statement of Financial Activities
for the year ended 31st October 2023
31.10.23 31.10.22
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Grants 10,000 -
Other trading activities
Sale of artwork 7,233 13,068
Investment income
Investment income 24,568 25,429
Deposit account interest 283 60
24,851 25,489
Total incoming resources 42,084 38,557
EXPENDITURE
Other trading activities
Cost of artworks sold 3,000 -
Commission 2,000 -
Charitable activities 5,000 -
Rates and water 4,816 4,368
Insurance 6,804 7,421
Light and heat 7,167 6,197
Telephone 1,224 1,000
Postage and stationery 43 -
Building repairs 5,000 10,000
Professional services 7,435 2,559
Storage and transport 8,583 8,273
Entertainment 141 -
Exhibition Costs - 1,902
Depreciation of tangible fixed assets 2,564 2,564
Grants and donations 68,000 41,000
111,777 85,284
Support costs
Finance
Investment management charge 5,799 645
Governance costs
Travel and subsistence 1,079 1,302
Carried forward 1,079 1,302

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 2023

31.10.23 31.10.22
£ £
Governance costs
Brought forward 1,079 1,302
Independent examiners' fee 1,550 1,300
Accountancy 1,300 1,100
3,929 3,702
Total resources expended 126,505 89,631
Net expenditure before gains and losses (84,421) (51,074)
Realised recognised gains and losses
Realised gains/losses on investment assets 5,951 (38,086)
Net expenditure (78,470) (89,160)

This page does not form part of the statutory financial statements

Page 13