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2021-07-31-accounts

Reading Real Estate Foundation

Charity Number 1092627

Company Number 04347140

Annual Report and Financial Statements For the Year Ended 31 July 2021

1

Reading Real Estate Foundation

Contents

For the Year ended 31 July 2021

Page
Charity information 3
Trustees’ Report 4-9
Statement of trustees’ responsibilities 10
Independent auditor’s report 11-15
Statement of financial activities 16
Balance sheet 17
Notes to the financial statements 18-28

2

Reading Real Estate Foundation

Charity information

For the Year ended 31 July 2021

Trustees

Mr D Atkins Ms S Clayton Ms S Foley Chair Professor V Gibson Mrs C Hughes (until 1 January 2021) Mr P Allen Ms K S Norton Mr C M Taylor Mr S Lancaster Mr B Laxton Mr J M Ridley Professor K Pain Professor C Collins (until 5 November 2020) Associate Professor Shaheena Janjuha-Jivraj (until 1 March 2021) Professor G Marcato (from 1 January 2021) Professor K Akrivou (from 9 February 2022)

Registered & Principal office

University of Reading PO Box 217 Whiteknights House (G11) Whiteknights Reading Berkshire RG6 6AH

Charity registered number 1092627

Company registered number 04347140

Country of incorporation United Kingdom

Auditor

Deloitte LLP 3 Victoria Square, Victoria St, St Albans, AL1 3TF

Banker

Barclays Bank plc 90-93 Broad Street, Reading, RG1 2AP

3

Reading Real Estate Foundation

Trustees’ Report

The trustees of Reading Real Estate Foundation (‘the charity’) present their report and the audited financial statements of the charity for the year ended 31 July 2021. This report also constitutes a Directors’ report as required by company law as the charity is a charitable company.

Structure and legal status

The charity is registered with the Charity Commission (since 26 January 2002) and is also a private company limited by guarantee. It was registered on 4 January 2002 in England and is governed by its memorandum and articles of association. The exemptions for small companies have been taken in relation to the strategic and trustees’ report. Each member of the charity’s liability is limited to £1 in the event of winding up. The sole member is currently the University of Reading (‘the University’). The names of the members of the Council of the University can be obtained from its financial statements. Details about the trust are disclosed on page 3.

The trustees, who are also directors for company law purposes, are listed on page 3. As set out in the articles of association, new trustees may be appointed by an ordinary resolution of members or by a decision of the trustees. They have no fixed term of appointment. They receive a copy of ‘The Essential Trustee: What you need to know’ and receive a copy of the charity’s memorandum and articles of association. The University has the right to nominate a majority of the trustees. None of the trustees held any disclosable interest in the charity.

Objectives and aims

The objective of the charity is the advancement of education in the art and science of real estate at the University.

The aims of the charity are:

The strategic approach to achieving these aims is led by the Board of Trustees made up of representatives from the real estate industry, Henley Business School and the University of Reading. Through close collaboration with the Department of Real Estate & Planning and through the Board of Trustees’ subcommittees, which are run by volunteers who are leaders in the industry, the charity develops and delivers activities that serve the purpose of enhancing education and research and strengthening links with the industry.

4

Reading Real Estate Foundation

Trustees’ Report (continued) Operation of the charity

The Board of Trustees meets three times per year to oversee the running of the charity. The Management Group meet more regularly to conduct the business of the charity. The Management

Group comprises the Executive Director (although not a formally appointed company director), Jean-Pierre Choulet, who has general oversight of the charity and Kerry Johnston who leads the charity on a day-to-day basis.

A budget is set for each academic year setting out the income and expenditure targets for the charity, including specific targets for certain projects. The income budget is broken down by type of income (i.e., fundraising and events), whilst the expenditure budget includes specific targets for areas such as bursaries & awards, student activities, research and academic support and events. These targets are presented to the Board of Trustees at the start of the academic year with progress updates provided at each meeting.

The Management Group meets regularly to:

The Management Group keeps overheads and expenses not directly related to a particular event or educational activity to a minimum.

Policy for awarding grants, scholarships and bursaries

The charity awards grants, scholarships and bursaries to students of the Department of Real Estate and Planning at the University. The Disbursement Committee meets at least twice a year to review applications and to award funds. Applications are carefully reviewed according to agreed guidelines. Awards adhere to levels for each individual; agreed with the Board of Trustees. In academic year 2020/21 the Committee was chaired by Cathy Hughes until 1 January 2021, when she was replaced by Gianluca Marcato (Head of Department for Real Estate & Planning, Henley Business School, and RREF Trustee), and key staff from the Department of Real Estate & Planning.

Political donations

The charity made no political donations in the current or previous year.

Sources of funding

The charity receives funding from corporate sponsors and patrons as well as individual donors including alumni. It also generates income from fundraising events.

Review of activities and financial performance

The charity recorded net income of £153,927 for the year to 31 July 2021 (2020: net income of £18,445).

5

Reading Real Estate Foundation

Trustees’ Report (continued)

Total income for the year was £638,642 (2020: £592,951) which included a donation of £114,507 from the University (£100,982 in respect of staff salaries and £13,525 in respect of rent).

Income from grants and donations increased by £50,073. This is primarily due to an increase in Pathways to Property income which totalled £312,119 (2020: £272,600).

However, continued difficult trading conditions in the Real Estate industry did not allow for a growth in financial support in other areas. This is an area the Management Group has under review, with plans in place to revise expenditure/commitments as appropriate.

Activities for generating funds, such as events, raised £365 (2020: £840), as restrictions on face-toface activities because of COVID-19 prevented a number of events from taking place.

Total expenditure for the year was £484,715 compared to £574,506 in 2020, due mainly to a decrease in awards, grants and bursaries to £100,295 (2020: £135,931) and a decrease in the expenditure associated with student activities by £16,578.

To further the objectives of the charity as outlined on page 4, the charity continued to deliver on key initiatives such as the Mentoring Programme with support from alumni and professionals in the real estate and planning industry. The charity also continued to support activities such as Mock Assessment Days, alongside the annual Real Estate and Planning Careers Fair and evening lecture series. This has contributed to the continuing development of the curriculum and the ongoing ability of the University to produce highly employable Real Estate and Planning graduates. During the year, the charity continued to support an initiative focused on resilience to support students in the area of mental health.

The charity continues to build on the successful Pathways to Property project, now in its eighth year, in partnership with over 20 other real estate firms, with the objective of widening access to the Real Estate industry and raising awareness of Real Estate as a profession and subject of study. In July 2021, 103 students (2020: 97 students) participated in the eighth Pathways to Property Summer School. This year, due to the restrictions in place, the event was held online with content spanning 3 days, and including taster lectures, virtual site visits, careers advice and university life sessions as well as a group project.

Financial position and reserves

The charity had net current assets of £1,252,355 at 31 July 2021 (2020: £1,098,428). The amount owed to the charity by the University at 31 July 2021 was £1,284,209 (2020: £1,110,923).

The trustees aim to retain a reserve for committed costs, such as the ongoing provision of bursaries and awards, and for protection against fluctuations in income. A period of twelve months has been adopted as an appropriate minimum level of reserves.

The total reserves of the charity at 31 July 2021 were £1,252,355 (2020: £1,098,428). This included restricted funds of £864,105 (2020: £736,977) in respect of Pathways to Property, the George Fiennes Bursary and other restricted donations. Unrestricted funds totalled £388,250 (2020: £361,451).

6

Reading Real Estate Foundation

Trustees’ Report (continued)

Public benefit

The trustees of the charity have due regard to the Charity Commission’s public benefit guidance. All charities must have charitable purposes and apply them for the public benefit. The charity’s core charitable purpose is to support and develop the quality of real estate education and research at the University. Key activities in the year to ensure the delivery of core objectives included:

Fundraising

The charity has a fundraising strategy aimed at delivering its fundraising targets through different streams of income, mainly corporate fundraising and individual fundraising. Funds raised during the year (excluding donations from the University) totalled £522,979 against a target of £496,728 and the previous year’s total of £492,844.

Fundraising activities are carried out by professional fundraisers within the charity and by volunteers managed by the charity. No commercial participators are engaged. The charity does not undertake any mass fundraising activities aimed at the general public. Individuals approached for fundraising purposes are typically already engaged with the charity and are under no undue pressure to donate. During the year 461 volunteers assisted the charity in its fundraising and mentoring efforts by providing generally several hours of service each.

The individual heading the charity’s fundraising function, under the management of the charity’s Executive Director, is a member of the Institute of Fundraising and holds a Certificate in Fundraising awarded by the Institute of Fundraising.

The internal fundraising function of the charity is under the management of the charity’s Executive Director. The Executive Director is also a member of the Development Committee, a body comprising volunteer fundraisers, chaired by one of the charity’s trustees.

No complaints were received by the charity in respect of fundraising during the year.

7

Reading Real Estate Foundation Trustees’ Report (continued)

Risk management

The trustees give due consideration to the major risks to which the charity is exposed, in particular those related to operations and finances. The trustees are satisfied that systems are in place to mitigate exposure to the major risks.

The loss of funding from major corporate patrons is the main risk which would reduce the charity’s income. To alleviate this risk, the charity continually uses the alumni sub-boards and committees to drive activities forward and to recruit supporters and sponsors. The charity continues to improve the events and activities that it organises in order to continue drawing in funding, and sponsorships.

Plans for future periods

The charity plans to continue with the current student initiatives and bursary funding. Alongside this, the management team is currently identifying potential areas of future support and funding in the areas of teaching & learning, research initiatives and international opportunities for students.

The Pathways to Property Project Board is currently reviewing project activity with a view to expanding the reach of the project. A focus for the project is to increase the number of students going on to study or work in property after attending the summer school, and to develop a community of students who have been through the programme in order that they may support each other as they enter the industry.

More broadly, the charity is developing opportunities to engage with smaller organisations and start-ups, both financially and through volunteering, in order to ensure it can adapt its activities and stay relevant to a changing industry.

8

Reading Real Estate Foundation Trustees’ Report (continued)

Going Concern

The charity has significant unrestricted reserves accumulated from historical surpluses and it has net current assets. The trustees do not believe that any material uncertainties exist as to the ability of the charity to continue as a going concern for the foreseeable future.

Statement of disclosure of information to auditor

The trustees who held office at the date of approval of this report confirm that, so far as they are each aware, there is no relevant audit information of which the charity’s auditor is unaware; and each trustee has taken all the steps that he/she ought to have taken as a trustee to make him/herself aware of any relevant audit information and to establish that the charity’s auditor is aware of that information. Pursuant to Section 487 of the Companies Act 2006, the auditor will be deemed to be reappointed and Deloitte LLP will therefore continue in office.

Approved for issue by the Board of Trustees

Samantha Foley Director and Trustee 29 April 2022

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Reading Real Estate Foundation

Statement of trustees’ responsibilities

The trustees (who are also directors of Reading Real Estate Foundation for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

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Reading Real Estate Foundation

Independent auditor’s report to the members of Reading Real Estate Foundation

Report on the audit of the financial statements

Opinion

In our opinion the financial statements of Reading Real Estate Foundation (the ‘charitable company’):

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).

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor's responsibilities for the audit of the financial statements section of our report.

We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’s (the ‘FRC’s’) Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

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

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Reading Real Estate Foundation

Independent auditor’s report to the members of Reading Real Estate Foundation (continued)

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information 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.

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purpose of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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Reading Real Estate Foundation

Independent auditor’s report to the members of Reading Real Estate Foundation (continued)

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

We considered the nature of the charitable company’s industry and its control environment, and reviewed the charitable company’s documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management and internal audit about their own identification and assessment of the risks of irregularities.

We obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, and identified the key laws and regulations that:

We discussed among the audit engagement team including relevant internal specialists regarding the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

As a result of performing the above, we identified the greatest potential for fraud in the following areas, and our specific procedures performed to address it are described below:

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

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Reading Real Estate Foundation

Independent auditor’s report to the members of Reading Real Estate Foundation (continued)

Report on other legal and regulatory requirements

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified any material misstatements in the strategic report or the directors’ report included within the trustees’ report.

Matters on which we are required to report by exception

Under the Companies Act 2006 we are required to report in respect of the following matters if, in our opinion:

We have nothing to report in respect of these matters.

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Reading Real Estate Foundation

Independent auditor’s report to the members of Reading Real Estate Foundation (continued)

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Ben Sheriff FCA (Senior statutory auditor) For and on behalf of Deloitte LLP Statutory Auditor St Albans, UK 29 April 2022

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Reading Real Estate Foundation

Statement of financial activities (including income and expenditure account)

For the Year ended 31 July 2021

Note
Income
Grants and donations
3
Charitable activities
4
Interest receivable
5
Total income
Expenditure
Raising funds
6
Charitable activities
7
Other expenditure
8
Total expenditure
Net income and net
movement in funds for the year
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
Restricted
funds
Total
funds
Total
funds
2021
2021
2021
2020
(Note 17)
£
£
£
£
306,322
331,164
637,486
587,413
365
-
365
840
791
-
791
4,698
307,478
331,164
638,642
592,951
15
-
15
1,211
265,797
190,264
456,061
505,261
14,867
13,772
28,639
68,034
280,679
204,036
484,715
574,506
26,799
127,128
153,927
18,445
361,451
736,977
1,098,428
1,079,983
388,250
864,105
1,252,355
1,098,428

The statement of financial activities includes all gains and losses recognised in the year. All items of income and expenditure derive from continuing activities.

The accompanying accounting policies and notes form part of these financial statements.

16

Reading Real Estate Foundation

Company Number 04347140

Balance sheet as at 31 July 2021

Note
Current assets
Debtors
10
Cash at bank and in hand
Creditors:
Amounts falling due within one year
11
Net current assets being total assets less current
liabilities, being net assets
The funds of the charity:
Restricted income funds
12
Unrestricted funds
13
Total charity funds		 2021
2020
£
£
1,307,299
1,124,162
4,523
15,743
1,311,822
1,139,905
(59,467)
(41,477)
1,252,355
1,098,428
864,105
736,977
388,250
361,451
1,252,355
1,098,428

The accompanying accounting policies and notes form part of these financial statements.

The financial statements on pages 16 to 28 were approved by the Board of Trustees and signed on its behalf by:

Samantha Foley Director and Trustee 29 April 2022

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Reading Real Estate Foundation

Notes to the financial statements

1. Accounting policies

The financial statements have been prepared in accordance with 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 (Charities SORP (FRS 102)) effective from 1 January 2019, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006 .

The charity meets the definition of a public benefit entity under FRS 102, is incorporated in England and Wales as a company limited by guarantee not having a share capital. There are currently thirteen Trustees. The sole member of the company is the University. Each member’s liability in the event of winding up is limited to £1. The charity is a registered charity. The registered office is given on page 3.

Assets and liabilities are initially recognised at historical cost or transaction value. The financial statements have been prepared on the going concern basis which the trustees believe to be appropriate.

A summary of the primary accounting policies is set out below:

a. Income

Income is recognised when the charity is entitled to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received, and the amount can be measured reliably.

Grant income is recognised when the charity is entitled to the funds and any performancerelated conditions have been met. Income received in advance of performance-related conditions is deferred on the balance sheet and released in line with such conditions being met.

Donation income is a type of non-exchange transaction without performance-related conditions. Donations are recognised as income when the charity is entitled to the funds. Where donations have donor-imposed restrictions, they are recognised as income when the charity is entitled to the funds and the income is retained within a restricted reserve until such time as it is utilised in line with the restrictions. The charity takes an exemption from providing the names of grant recipients, and the amounts of such grants, during the lifetime of the settlor who donated the funds from which the grants are paid, or during the lifetime of any spouse or civil partner of the settlor.

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity 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. In accordance with the Charities SORP (FRS 102), time given by volunteers is not recognised as income.

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Reading Real Estate Foundation

Notes to the financial statements (continued)

1. Accounting policies (continued)

Income received in advance for specific events is deferred until the time of the event.

Interest receivable is credited to the statement of financial activities on a receivable basis.

b. Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably.

Where possible, expenditure is allocated to the fundraising or charitable activity to which it relates. Staff costs are included within expenditure on charitable activities since most of their time is spent on these activities. Other support costs which assist the work of the charity but do not directly relate to identifiable charitable activities are classified as other expenditure.

Short-term employment benefits such as salaries and compensated absences are recognised as an expense in the period in which the employees render service to the charity. Any unused benefits are accrued and measured as the additional amount the charity expects to pay as a result of the unused entitlement.

Contributions to defined contribution pension schemes are recognised as an expense in the period during which services are rendered by employees. Differences between contributions payable in the year and contributions actually paid are shown as accruals in the balance sheet.

Other long-term employee benefits are measured at the present value of the benefit obligation at the reporting date.

c. Tax

The charity is considered to pass the tests set out in Paragraph 1 of Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

The charity is partially exempt in respect of Value Added Tax, so that it can only recover a minor element of VAT charged on its inputs. Irrecoverable VAT on inputs is included in the costs of such inputs.

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Reading Real Estate Foundation

Notes to the financial statements (continued)

1. Accounting policies (continued)

d. Fund accounting

Unrestricted funds are funds which are available to spend on activities that further the objectives of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by either the donor or by the terms of an appeal for funds. The costs of raising and administering such funds are charged against the specific fund.

e. Financial instruments

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Cash at bank and cash 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. Creditors and provisions 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 and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

f. Liabilities

A liability is recognised where the charity has a present obligation to act or perform in a particular way. The obligation may be either a legal obligation or a constructive obligation. Where there is uncertainty over the amount or timing of a liability, it is classified as a provision. All other liabilities are classified as creditors.

2. Critical accounting judgements and key sources of estimation uncertainty

In preparing financial statements, judgements have to be made in determining the most appropriate methods of applying the charity’s accounting policies to the economic transactions which arise during the year. It is also necessary to make assumptions about the future in determining the values of assets and liabilities at the balance sheet date. The trustees believe there are no areas where critical accounting judgements are required and there are no areas of estimation uncertainty.

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Reading Real Estate Foundation

Notes to the financial statements (continued)

3.
Income from grants and donations
Corporate gifts
Pathways to Property
George Fiennes bursaries
P Byrne Fund
David Robins Town & Country Planning Research
Fund
Donations from the University
Other donations
Awards and grant contributions
Other income
Corporate gifts
Pathways to Property
George Fiennes bursaries
P Byrne Fund
REP Innovation Fund
Donations from the University
Other donations
Awards and grant contributions
Other income		 Unrestricted
funds
Restricted
funds
Total
funds
2021
2021
2021
£
£
£
45,152
-
45,152
-
312,119
312,119
-
12,500
12,500
-
295
295
-
6,250
6,250
114,507
-
114,507
129,960
-
129,960
1,500
-
1,500
15,203
-
15,203
306,322
331,164
637,486
Unrestricted
funds
Restricted
funds
Total
funds
2020
2020
2020
£
£
£
45,000
-
45,000
-
272,600
272,600
-
15,000
15,000
-
405
405
-
7,031
7,031
94,569
-
94,569
133,891
-
133,891
2,500
-
2,500
16,417
-
16,417
292,377
295,036
587,413

Income from grants and donations includes restricted income in relation to the Pathways to Property initiative, the REP Innovation Fund and other donations. More information on these is provided in note 12. The charity has not received any government grants (2020: nil).

The charity benefits greatly from the involvement and support of its volunteers. In accordance with the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the financial statements.

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Reading Real Estate Foundation

Notes to the financial statements (continued)

4. Income from charitable activities

come from charitable activities
Breakfast forums Unrestricted
funds
Unrestricted
funds
2021
2020
£
£
365
840
365
840

The RREF Annual (Gala) Dinner did not take place in 2020/21 or 2019/20.

5. Interest receivable

Interest received from the University Unrestricted
funds
Unrestricted
funds
2021
2020
£
£
791
4,698

The charity operates a pooled banking arrangement with the University and receives interest on the funds held on its behalf by the University. The interest rate is based on the return achieved by the University on short-term deposits.

6. Expenditure on raising funds

Breakfast forums
Stewardship		 Unrestricted
funds
Unrestricted
funds
2021
2020
£
£
15
-
16
1,195
15
1,211

Due to COVID-19 restrictions no face-to-face event activity took place in 2020/21

22

Reading Real Estate Foundation

Notes to the financial statements (continued)

7. Expenditure on charitable activities

Grant awards and bursaries to individuals
Student and graduate events
Research funding
Pathways to Property
George Fiennes bursaries
P Byrne Fund
David Robins Town & Country Planning Research
Fund
Pathways to Property staff costs
Staff costs
Other
Grant awards and bursaries to individuals
Student and graduate events
Research funding
Pathways to Property
George Fiennes bursaries
P Byrne Fund
David Robins Town & Country Planning Research
Fund
Pathways to Property staff costs
Staff costs
Other		 Unrestricted
funds
Restricted
funds
2021
2021
£
£
100,295
-
1,669
-
10,949
-
-
72,314
-
15,004
-
1,506
-
-
152,884
3,695
97,745
-
-
-		 Total
funds
2021
£
100,295
1,669
10,949
72,314
15,004
1,506
3,695
97,745
152,884
-
265,797
190,264		 456,061
Unrestricted
funds
Restricted
funds
2020
2020
£
£
135,931
-
18,247
-
510
-
-
80,089
-
30,000
-
-
2,006
9,244
-
83,506
138,423
-
7,305
-		 Total
funds
2020
£
135,931
18,247
510
80,089
30,000
2,006
9,244
83,506
138,423
7,305
505,261
300,416
204,845

Grant awards and bursaries to students in financial need are a key part of the activities of the charity and aim to widen access to learning and research in real estate and planning at the University.

The support and governance costs of the Charity are borne by the University, and it is not practical to allocate these costs across the activities of the Charity.

23

Reading Real Estate Foundation

Notes to the financial statements (continued)

8. Other expenditure

her expenditure
Finance charge from the University
Auditor’s remuneration – auditing of financial statements
Rental charge
Other		 Total
funds
2021
Total
funds
2020
£
£
22,219
34,560
2,760
13,525
(9,865)
2,760
13,525
17,189
28,639
68,034

9. Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel

anagement personnel
Staff costs
Salaries and wages
Social security costs
Pension costs		 2021
2020
£
£
201,575
179,197
19,176
15,534
29,878
27,198
250,629
221,929

No employees had employee benefits in excess of £60,000 (2020: nil employees). The staff costs disclosed relate to staff who have worked for the charity but have employment contracts with the University of Reading who are a related party.

The monthly average staff headcount was 8 (2020: 7).

The trustees were not paid and did not receive any other benefits from employment with the charity in the year (2020: £nil) and neither were they reimbursed expenses during the year (2020: £nil). No trustee received payment for professional or other services supplied to the charity (2020: £nil). The trustees are considered to be the key management personnel of the charity.

10. Debtors

btors
Trade debtors
Amounts due from the University		 2021
2020
£
£
23,089
13,239
1,284,210
1,110,923
1,307,299
1,124,162

All debtors are due within one year. The amounts due from the University are repayable on demand and attract interest at the rate the University obtains for short term deposits.

24

Reading Real Estate Foundation

Notes to the financial statements (continued)

11. Creditors: Amounts falling due within one year

editors: Amounts falling due within one year
Trade creditors
Taxation and social security
Accrued expenditure
Deferred income		 2021
2020
£
£
-
100
-
2,019
59,367
-
32,958
6,500
59,467
41,477

The movements in deferred income during the period were as follows:

At 1 August
Utilised
Income received in advance
At 31 July		 2021
2020
£
£
6,500
10,000
(6,500)
-
(10,000)
6,500
-
6,500

Both the prior year and current year balances relate to donations received.

12. Analysis of movements in restricted funds

Pathways to Property
George Fiennes Bursary
REP Innovation Fund
David Robins Town & Country
Other Funds
Pathways to Property
George Fiennes Bursary
REP Innovation Fund
David Robins Town & Country
Other Funds		 Balance at
1 August
2020
Incoming
resources
Resources
expended
Balance at
31 July
2021
£
£
£
£
637,998
312,119
(164,396)
785,721
16,325
12,500
(15,004)
13,821
50,586
-
(18,006)
32,580
26,159
6,250
(5,124)
27,285
5,909
295
(1,506)
4,698
736,977
331,164
(204,036)
864,105
Balance at
1 August
2019
Incoming
resources
Resources
expended
Balance at
31 July
2020
£
£
£
£
533,052
272,600
(167,654)
637,998
31,325
15,000
(30,000)
16,325
43,555
48,856
7,031
-
-
(22,697)
50,586
26,159
7,510
405
(2,006)
5,909
664,298
295,036
(222,357)
736,977

25

Reading Real Estate Foundation

Notes to the financial statements (continued)

12. Analysis of movements in restricted funds (continued)

The George Fiennes Bursary is used to recognise academic excellence and provide support for Real Estate & Planning students.

The REP Innovation Fund has been set up to foster innovation in teaching & learning and research in Real Estate at Henley Business School, University of Reading.

The David Robins Town and Country Planning Research Fund has been set up in the memory of alumnus David Robins, to support the development of outstanding research in Town and Country Planning at the School of Real Estate & Planning, Henley Business School, University of Reading.

13. Analysis of movements in unrestricted funds

General fund
General fund		 Balance at
1 August
2020
Incoming
resources
Resources
expended
Balance at
31 July
2021
£
£
£
£
361,451
307,477
(280,678)
388,250
361,451
307,477
(280,678)
388,250
Balance at
1 August
2019
Incoming
resources
Resources
expended
Balance at
31 July
2020
£
£
£
£
415,685
297,915
(352,149)
361,451
415,685
297,915
(352,149)
361,451

26

Reading Real Estate Foundation

Notes to the financial statements (continued)

14. Analysis of net assets between funds

Current assets
Creditors due within one year
Current assets
Creditors due within one year		 General
funds
Restricted
funds
Total
2021
2021
2021
£
£
£
432,071
879,751
1,311,822
(43,821)
(15,646)
(59,467)
388,250
864,105
1,252,355
General
funds
Restricted
funds
Total
2020
2020
2020
£
£
£
397,471
742,434
1,139,905
(36,020)
(5,457)
(41,477)
361,451
736,977
1,098,428

15. Ultimate parent undertaking

These financial statements have been presented in respect of an individual company, Reading Real Estate Foundation, a wholly owned subsidiary undertaking of the University of Reading. The smallest and largest group to consolidate these results is the University of Reading. Control can be exercised by the University of Reading as it has the power to appoint and remove Trustees. The consolidated financial statements of the University of Reading can be obtained from the University of Reading, PO Box 217, Whiteknights, Reading, RG6 6AH, which is the registered office address, or on the University's website.

Since the company meets the definition of a qualifying entity under FRS 102 and is included in the consolidated financial statements of the University, the company has taken certain disclosure exemptions available under FRS 102 including:

16. Related party transactions

The charity has taken advantage of the exemption available under paragraph 33.1a of the provisions of FRS 102 Related Party Disclosures, on the grounds that it is a wholly owned subsidiary of a group headed by the University of Reading, whose financial statements are publicly available.

27

Reading Real Estate Foundation

Notes to the financial statements (continued)

17. Statement of financial activities for the previous year

Income
Grants and donations
Charitable activities
Interest receivable
Total income
Expenditure
Raising funds
Charitable activities
Other expenditure
Total expenditure
Net (expenditure)/income and net
movement in funds for the year
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
Restricted
funds
Total
funds
2020
2020
2020
£
£
£
292,377
295,036
587,413
840
-
840
4,698
-
4,698
297,915
295,036
592,951
1,211
-
1,211
300,416
204,845
505,261
50,522
17,512
68,034
352,149
222,357
574,506
(54,234)
72,679
18,445
415,685
664,298
1,079,983
361,451
736,977
1,098,428

18. Post balance sheet events

There have been no significant post balance sheet events.

28