**Charity Registration No. 1094130**
## **Company Registration No. 04481304 (England and Wales)**
## **REUBEN FOUNDATION (a company limited by guarantee)**
## **ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2020**
## **REUBEN FOUNDATION**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|J A Reuben|
|---|---|
||M R Turner|
||S D Reuben|
||R Stone|
||D L Reuben|
||E Sawyer|
||R D Reuben|
|**Secretary**|M R Turner|
|**Charity number**|1094130|
|**Company number**|04481304|
|**Registered office**|4th Floor|
||Millbank Tower|
||21-24 Millbank|
||London|
||SW1P 4QP|
|**Independent Auditors**|Gerald Edelman|
||73 Cornhill|
||London|
||EC3V 3QQ|
|**Bankers**|Barclays Bank|
||1 Churchill Place|
||London|
||E14 5HP|
|**Investment advisors**|UBS Wealth Management|
||5 Broadgate|
||London|
||EC2M 2AN|
|**Solicitors**|Reed Smith LLP|
||Broadgate Tower|
||20 Primrose Street|
||London|
||EC2A 2RS|
|**Property Advisors**|Motcomb Estates|
||4th Floor|
||Millbank Tower|
||21-24 Millbank|
||London|
||SW1P 4QP|
## **REUBEN FOUNDATION**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 4|
|Statement of Trustees' responsibilities|5|
|Independent auditor's report|7 - 10|
|Consolidated Statement of financial activities|10|
|Consolidated and Charity balance sheet|11|
|Consolidated Statement of cash flows|12|
|Notes to consolidated financial statements|13 - 31|
## **REUBEN FOUNDATION**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The Trustees present their report and financial statements for the year ended 31 December 2020.
The financial statements statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association and Accounting and Reporting by Charities Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Ireland (FRS102) (Effective 1 January 201 9 ).
## **Objectives and activities**
The aims and objectives of the charity as set out in the governing document are:
1. To promote and further the education of persons but in particular young persons;
2. To relieve persons who are in need, hardship or distress as a result of or by reason of their social or economic circumstances, their infirmity or age;
3. To relieve persons who are in need, hardship or distress as a result of local, national or international unrest or disorder;
4. To facilitate medical research and the development of medical facilities worldwide;
5. To support, procure or further such objects, which are exclusively charitable according to the law.
For further details regarding regarding our charity, please visit our website at www.reubenfoundation.com.
## **Public Benefit**
In order to achieve its objectives the charity makes grants for the public benefit to both charitable institutions and worthy individuals both in the UK and abroad. In setting our programmes and strategy going forward we have regard to both the general guidance on public benefit and prevention and relief of poverty published by the Charity Commission. The Trustees always ensure that the programmes we undertake are in line with the charity's aims and with their powers and responsibilities as detailed in the governing document and under charity law.
## **Charity Aims**
The charity delivers its charitable aims as follows:
1) Identification of suitable projects and causes through the existing Trustees contacts and by building new relationships with a range of charitable organisations and intermediaries.
2) The careful review of, with external advice where necessary, relevant applications taking account, inter alia, of the importance of the charitable work undertaken, the financial stability of the organisation and the competence of its management.
3) The monitoring of the application of all grants made by the Foundation in the hands of the recipient to ensure that these have been used for the purpose for which they were made in an efficient and cost effective way.
4) The monitoring of the investments of the Foundation and, when deemed necessary, the making of changes in the portfolio with a view to maintaining and, wherever possible, improving the market value and income of the underlying assets.
The Trustees welcome applications from any institution or individual which meets the criteria set out above without geographical restriction.
## **Grant making policy**
The Trustees have a formal documented policy by which grant applications are processed. All requests for funds are discussed at the Trustee meetings and the merits of each application considered , ensuring that these meet the aims and objectives set out above. Unsuccessful applicants are notified in writing of the Trustees' decision. Grants are approved having regard to the current reserves and the long-term policy of the Foundation. Details of the major grants made for the public benefit during the year are set out in note 8.
- 1 -
## **REUBEN FOUNDATION**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The Trustees all take an active role in the management of the charity to ensure its aims are fulfilled. Regular contact is made with many beneficiaries in order to attempt to establish the needs of charities and the level of financial assistance that may be appropriate.
## **Achievement and performance**
During the year the charity distributed £ 3 5,967,213 (201 9 : £5, 143,919 ) in continuing to support charitable initiatives in healthcare, education and the community. After adjustment for movements in commitments the total included in the accounts was £89,708,346 (201 9 : £ 4,255,949 ).
Highlights of the year include (i) a transformational gift to the University of Oxford for the establishment of Reuben College, Oxford, the first new college at the university for 30 years, and (ii) a series of major donations to a variety of different charitable organisations and institutions relating to the fight against the Covid-19 pandemic.
The headline donation for the period is the £80m gift that will transform Oxford’s newest college and establish a major new scholarship programme for graduate and undergraduate students. Reuben College is the university’s 39th college – the first for 30 years. The donation from the Reuben Foundation will establish a new centre of learning and research for graduate students at Oxford across the most important subject matters of our time, including Artificial Intelligence and Machine Learning, Environmental Change, Cellular Life (which includes ongoing work in understanding COVID-19) and Ethics & Values. The gift will also fund a major new graduate scholarship programme and expand the Reuben Foundation’s existing support for undergraduates.
The Reuben Foundation has also made major donations to support causes relating to COVID-19. This includes the sourcing and purchasing of medical equipment including ventilators and hundreds of thousands of protective masks. These were delivered to NHS hospitals (including to Chelsea & Westminster Hospital, The Royal Marsden Hospital and the John Radcliffe Hospital, Oxford). The Reuben Foundation has also provided funding to Centrepoint to buy 20,000 protective masks to benefit those homeless young people during this time of crisis. Support was also given to Deliveroo’s Feeding the Front Lines initiative, with food delivery vouchers that could be accessed by 60,000 NHS staff. The Reuben Foundation also donated to food banks including The Trussell Trust (national food bank) .
The Reuben Foundation also saw its funding of the Illuminated River Foundation come to fruition with the illumination of Westminster Bridge, one of London’s most iconic bridges. This ambitious public art commission is helping to transform the capital with a unified light installation across central London’s bridges. The aim is to connect, celebrate and capture the spirit of the Thames and its diverse communities. The Reuben Foundation joined The Rothschild Foundation and others in this funding initiative.
The Foundation continued its support of the Nancy Reuben Primary School and Nancy Reuben Kindergarten during the year with a donation of £730,000 (2019: £282,900). The Reuben Foundation also supported a large number of other charities as well as worthy individuals with smaller grants in line with its stated objectives.
## **Post Balance Sheet activities**
Since Year end December 2020, the Reuben Foundation continued its support of the University of Oxford with funding to create a new Graduate Centre as well as a further expansion of the Reuben Scholarship Programme.
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## **REUBEN FOUNDATION**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **Financial review**
These accounts record the financial position of the group for the year ended 31 December 2020, with appropriate comparatives for the year ended 31 December 2019. The group's net expenditure before investment returns was £86,944,361(2019: Net income of £423,225). The available gross investment income was £4,764,948 (2019: £5,587,434) comprising rental income of £3,023,845 (2019: £3,589,302) and interest receivable on fixed interest bonds and bank deposits of £1,741,103 (2019: £1,998,132). The net property income after deduction of management costs was £2,017,877 (2019: £2,714,053) representing an decrease of 26%. Total expenditure was £91,709,309 (2019: £5,164,209) with the largest expense accounts relating to £89,708,346 (2019: £4,255,949) for grants to institutions and £955,995 (2019: £nil) for the deferred tax charge.
The fixed asset investments retained were valued at the balance sheet date at £99,917,028 (2019: £79,909,693) as detailed in notes 14 and 15 and include the Freehold and Leasehold property interests as well as the the quoted investment portfolio. In the year under review gains on investment assets were £13,929,258 (2019: £397,439) (see note 11 for detail). Also included in the balance sheet of the charitable company are the investments held in subsidiary companies which are included in the accounts at a value of £6.2 million (2019: £6.2 million). As detailed in the notes to the accounts there are two main subsidiary companies being Concorde Sixth (Ulster Terrace No 1) Ltd and Spicerite Limited (the activities of each are detailed in note 4 to the accounts). The purpose of these investments is to provide a capital return in the long term.
## **Reserves Policy**
The strategy of the charity has been to pursue an investment policy which would result in continuing and sustainable growth to maximise the income funds available for charitable distribution. This policy has till now enabled the level of distributions to increase whilst maintaining the capital asset base. As detailed earlier in this report the Trustees have made major charitable commitments in the year under review which will be funded both out of future income and current resources retained. However the Trustees retained reserves of £17,435,415 as at the year end which they believe continue to place the charity in a strong financial position to enable it to deal with any unforeseen effects of the current economic and financial climate whilst continuing to meet its planned expenditure and to ensure that the charity can meet its ongoing and future commitments.
## **Principal risks and uncertainties**
The Trustees have assessed the major risks to which the Foundation faces, in particular those related to its operations and finances and have developed a risk management strategy which involves the following:
- an annual review of the principal risks and uncertainties that the charity and its subsidiaries face
- the establishment of policies, systems and procedures to mitigate risks identified
- the implementation of procedures designed to minimise or manage any potential impact on the charity should those risks materialise
## **Investment Policy**
The investment policy of the Foundation is diversified to reduce any potential risks. The policy in relation to cash reserves has been to purchase varying yielding bonds of mixed currencies: Sterling and US Dollars. The yields on the existing bonds is approximately 5.2% (2019: 7.2%) whilst the property yields being achieved average 4.6% (2019: 6.7%).
## **Structure, governance and management**
The charity is a company limited by guarantee and was set up by memorandum and articles of association dated 9 July 2002. It was originally registered as the Reuben Brothers Foundation and changed its name to the current title by way of special resolution dated 23 October 2006.
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## **REUBEN FOUNDATION**
## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The Trustees, who are also the directors for the purpose of company law, who served during the year were:
J A Reuben
M R Turner S D Reuben R Stone D L Reuben E Sawyer R D Reuben
In accordance with the Articles of Association R Stone and D L Reuben retire and offer themselves for reappointment at the next AGM. The charitable company must have a minimum of two Trustees' and a maximum of fifteen.
The power of appointment of new Trustees is vested in the serving Trustees. It is the policy of the charitable company to provide any new Trustees appointed with background information regarding its affairs, including accounts, in order that they can obtain a sufficient level of knowledge to enable them to perform their roles effectively. Further training will be provided as this is considered appropriate.
None of the Trustees has any beneficial interest in the company. All of the Trustees are members of the company and guarantee to contribute £1 in the event of a winding up.
During the year, £1,400 was paid in relation to Trustee indemnity insurance.
Decisions regarding the company are made at Trustee meetings which take place every month or on a more regular informal telephonic basis. Majority votes are required to agree any proposals put before the trustees at these meetings. The day to day administration is undertaken by the Trustee M Turner and the financial administration by R.Stone .
The Trustees have the power, given to them under the Memorandum and Articles of Association, to make any investment which they determine is in the best interests of the charity subject to obtaining appropriate professional advice and having regard to the suitability of investments and the need for diversification.
The charity has two active wholly owned subsidiary companies, Concorde Sixth (Ulster Terrace No 1) Limited and Spicerite Limited, which are both property investment companies that gift their profits to the charity under gift aid. Please refer to note 5 to the accounts for further information including the results for the year under review.
## **Auditor**
The auditors, Gerald Edelman, are deemed to be reappointed under section 487(2) of the Companies Act 2006.
## **Disclosure of information to auditor**
Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.
On behalf of the board of Trustees
..............................
**R Stone**
Trustee 29/09/2021 Dated: .........................
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## **REUBEN FOUNDATION**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
The Trustees are responsible for preparing the accounts in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice.
Company law requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the company and of its incoming resources and application of resources, including its net income and expenditure for the year.
In preparing these accounts, the Trustees are required to:
- select suitable accounting policies and then apply them consistently;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts; and
- prepare the accounts on the going concern basis unless it is inappropriate to presume that the company will continue in operation.
The Trustees are also responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the company and group and which enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
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## **REUBEN FOUNDATION**
## **INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF REUBEN FOUNDATION**
## **Opinion**
We have audited the financial statements of Reuben Foundation (the ‘charity’) and its subsidiaries (the 'group') for the year ended 31 December 2020 which comprise the consolidated statement of financial activities, the consolidated and charity balance sheets, the consolidated statement of cash flows and the notes to the consolidated financial statements, including a summary of significant accounting policies. The financial reporting framework that has been a pplied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
## In our opinion, the financial statements:
- give a true and fair view of the state of the group and the charitable company's affairs as at 31 December 2020 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 Companies Act 2006.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's 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 UK, including 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 charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report other than the financial statements and our 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.
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## **REUBEN FOUNDATION**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF REUBEN FOUNDATION**
## **Opinions on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of our audit:
- the information given in the Trustees' r eport, which includes the d irectors ' r eport prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the d irectors ' r eport included within the Trustees' r eport has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the d irectors ' r eport included within the Trustees' r eport.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' r eport and from the requirement to prepare a s trategic r eport.
## **Responsibilities of Trustees**
As explained more fully in the s tatement of Trustees' r esponsibilities, the Trustees, who are also the directors of the charity 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 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 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.
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 .
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## **REUBEN FOUNDATION**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF REUBEN FOUNDATION**
Our audit procedures were primarily directed towards testing the accounting systems in operation upon which we have based our assessment of the financial statements for the year ended 31 December 2020.
We planned our audit so that we have a reasonable expectation of detecting material misstatements in the financial statements resulting from irregularities, fraud or non-compliance with law or regulations.
The extent to which the audit was considered capable of detecting irregularities including fraud
We planned our audit so that we have a reasonable expectation of detecting material misstatements in the financial statements resulting from irregularities, fraud or non-compliance with law or regulations. In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:
- The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.
- Enquiring of management of whether they are aware of any non-compliance with laws and regulations.
- Enquiring of management whether they have knowledge of any actual, suspected or alleged fraud.
- Enquiring of management their internal controls established to mitigate risk related to fraud or noncompliance with laws and regulations.
- Discussions amongst the engagement team on how and where fraud might occur in the financial statements and any potential indicators of fraud. As part of this discussion, we identified potential for fraud and the posting of unusual journals .
- Obtaining understanding of the legal and regulatory framework the company operates in focusing on those laws and regulations that had a direct effect on the financial statements or that had a fundamental effect on the operations. The key laws and regulations we considered in this context included UK Companies Act 2006, tax legislation, data protection, anti-bribery, employment, health and safety .
Audit response to risks identified
Fraud due to management override
To address the risk of fraud through management bias and override of controls, we:
- Performed analytical procedures to identify any unusual or unexpected relationships
- Auditing the risk of management override of controls, including through testing journal entries for appropriateness.
- Assessed whether judgements and assumptions made in determining the accounting estimates set out in note 2 were indicative of potential bias.
- Investigated the rationale behind significant or unusual transactions.
Irregularities and non-compliance with laws and regulations
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but are not limited to:
- Agreeing financial statements disclosures to underlying supporting documentation.
- Reviewing minutes of meetings of those charged with governance.
- Enquiring of management as to actual and potential litigation claims.
- Reviewing correspondence with HMRC, relevant regulators including and the company’s legal advisors.
The test nature and other inherent limitations of an audit, together with the inherent limitations of any accounting and internal control system, mean that there is an unavoidable risk that even some material misstatements in respect of irregularities may remain undiscovered even though the audit is properly planned and performed in accordance with ISAs (UK). Furthermore, the more removed that laws and regulations are from financial transactions, the less likely that we would become aware of non-compliance.
Our examination should therefore not be relied upon to disclose all such material misstatements or frauds, errors or instances of non-compliance that might exist. The responsibility for safeguarding the assets of the company and for the prevention and detection of fraud, error and non-compliance with law or regulations rests with the directors of Reuben Foundation.
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## **REUBEN FOUNDATION**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF REUBEN FOUNDATION**
A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s :// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's 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 the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
**Hiten Patel FCCA (Senior Statutory Auditor)** 29/09/2021 **for and on behalf of Gerald Edelman** ......................... **Chartered Accountants Statutory Auditor** 73 Cornhill London EC3V 3QQ
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## **REUBEN FOUNDATION**
## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**Unrestricted Designated**
**Total**
**funds**
**funds**
**2020**
**Notes**
**£**
**£**
**£**
**Income from:**
Donations and legacies
2,000,000
-
2,000,000
Investments
**5**
4,764,948
-
4,764,948
**Total income**
6,764,948
-
6,764,948
**Expenditure on:**
Raising funds
**6**
1,011,968
-
1,011,968
Charitable activities
**7**
89,522,562
218,784
89,741,346
Other expenses
**8**
955,995
-
955,995
**Total expenditure**
91,490,525
218,784
91,709,309
**Net (Loss)/income before**
**gains and losses on**
**investments**
(84,725,577)
(218,784) (84,944,361)
Net gains on investments
**12**
13,929,258
-
13,929,258
**Net income/(expenditure) for the year**
(70,796,319)
(218,784) (71,015,103)
Fund balances at 1 January 2020
88,231,734
503,706
88,735,440
**Fund balances at 31 December 2020**
17,435,415
284,922
17,720,337|**Total**
**2019**
**£**
-
5,587,434|
|---|---|
||5,587,434|
||875,249
4,288,960
-|
||5,164,209|
||423,225
397,439|
||820,664
87,914,776|
||88,735,440|
The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.
## **REUBEN FOUNDATION**
## **CONSOLIDATED AND CHARITY BALANCE SHEET**
## _**AS AT 31 DECEMBER 2020**_
|**Notes**
**Fixed assets**
Tangible assets
**15**
Investments
**16**
**Current assets**
Debtors
**18**
Cash at bank and in hand
**Creditors: amounts falling due within**
**one year**
**20**
**Net current assets**
**Total assets less current liabilities**
**Creditors: amounts falling due after**
**more than one year**
**21**
**Provisions for liabilities**
Deferred tax liability
**23**
**Net assets**
**Income funds**
Unrestricted funds
Designated funds
**26**
General unrestricted funds
**25**|**Group**
**2020**
**£**
66,390,000
33,527,028
99,917,028
1,953,762
5,605,428
7,559,190
(4,283,035)
3,276,155
103,193,183
(84,469,781)
(1,003,065)
17,720,337
284,922
17,435,415
17,720,337|**Group**
**2019**
**£**
52,213,524
27,696,169
79,909,693
746,838
13,538,246
14,285,084
(4,446,266)
9,838,818
89,748,511
(966,001)
(47,070)
88,735,440
503,706
88,231,734
88,735,440|**Charity**
**2020**
**£**
54,390,000
39,692,294
94,082,294
1,836,168
5,579,804
7,415,972
(4,135,538)
3,280,434
97,362,728
(84,469,781)
-
12,892,947
284,922
12,608,025
12,892,947|**Charity**
**2019**
**£**
46,063,524
33,861,435
79,924,959
643,811
13,339,931
13,983,742
(4,182,686)
9,801,056
89,726,015
(966,001)
-
88,760,014
503,706
88,256,308
88,760,014|
|---|---|---|---|---|
The Trustees have prepared group accounts in accordance with Section 398 of the Companies Act 2006 and section 138 of the Charities Act 2011. These accounts are prepared in accordance with special provisions of part 15 of the Companies Act relating to small companies and constitute the annual accounts required by the Companies Act 2006 and are for circulation to the members of the company.
29/09/2021 The financial statements were approved by the Board and authorised for issue on ......................... and were signed on its behalf by:
..............................
R Stone
**Trustee**
**Company Registration No. 04481304**
- 11 -
## **REUBEN FOUNDATION**
## **CONSOLIDATED STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**2020**
**Notes**
**£**
**£**
**Cash flows from operating activities**
Cash generated from operations
**32**
(3,595,843)
**Investing activities**
Purchase of tangible fixed assets
(77,672)
Purchase of other investments
(10,000,000)
Proceeds on disposal of other investments
3,999,594
Interest received
1,741,103
**Net cash generated from/(used in)**
**investing activities**
(4,336,975)
**Net increase/(decrease) in cash and cash**
**equivalents**
(7,932,818)
Cash and cash equivalents at beginning of year
13,538,246
**Cash and cash equivalents at end of year**
5,605,428|**2019**
**£**
**£**
(1,676,274)
-
-
2,572,738
1,998,132
4,570,870
2,894,596
10,643,650
13,538,246|
|---|---|
- 12 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **Company information**
Reuben Foundation is a private company limited by guarantee incorporated in England and Wales. The registered office is 4th Floor, Milbank Tower, 21-24 Millbank, London, SW1P 4QP.
## **1.1 Accounting convention**
The accounts have been prepared in accordance with the charity's governing document, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 201 9 ). 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 a mounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.
## **Basis of consolidation**
The consolidated financial statements incorporate the results, both of Reuben Foundation and of its wholly owned subsidiaries detailed in Note 2 7 , whose accounts are made up to the same accounting date on a line by line basis.
## **1.2 Going concern**
At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The group hold good cash reserves to help shelter the impact of the current coronavirus pandemic. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.
## **1.4 Incoming resources**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Donations, legacies and other forms of voluntary income are recognised as incoming resources when receivable, except insofar as they are incapable of financial measurement. Assets donated to the charity are recognised upon receipt and included in the accounts at estimated market value. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
- 13 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **(Continued)**
## **1.5 Resources expended**
Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the charity to the expenditure. All resources expended are accounted for on an accruals basis. Irrecoverable vat is charged to the expense to which it relates.
Charitable expenditure includes grants made to individuals and institutions which are included in the accounts when paid or when a firm commitment is given to a charity prior to the balance sheet date which is a constructive obligation.
The costs of raising funds are represented by expenses attributable to the management and letting of the property interests owned as well as bank interest on loans utilised for their acquisition.
## **1.6 Investment properties**
Investment property, which is property held to earn rental income and/or for capital appreciation, is measured using the fair value model and stated at its fair value as at the reporting date. The surplus or deficit on revaluation is recognised in net income/(expenditure) for the year.
Gains or losses arising from changes in the fair value of investment property are included in the statement of financial activites for the period in which they arise.
It is the policy of the charity to capitalise expenditure of a capital nature only where the sum involved exceeds £1,000.
## **1.7 Fixed asset investments**
Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities include the net gains and losses arising on revaluation and disposals throughout the year.
The charity does not acquire put options, derivatives or other complex financial instruments.
The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.
## **Realised Gains and Losses**
All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.
## **Subsidiaries**
Included in fixed asset investments are subsidiaries. A subsidiary is an entity controlled by the charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
- 14 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **(Continued)**
## **1.8 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. An impairment loss is recognised immediately in income/ (expenditure) for the year , unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
## **1.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## **1.10 Financial instruments**
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
- 15 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **1 Accounting policies**
## **(Continued)**
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **1.11 Leases**
Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease.
## **1.12 Foreign exchange**
Transactions denominated in foreign currency are recorded at the rate ruling at the date of transaction.
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. All differences are included in other recognised gains and losses in the Statement of Financial Activities.
## **1.13 Taxation**
As a registered charity the Foundation is exempt from taxation on its activities which fall within the scope of section 505 of Taxes Act 1988 and section 25 2 of the Taxation of Chargeable Gains Act 1992.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## **Investment properties**
The charity 's investment properties which are properties held to earn rentals and/or capital appreciation are measured using the fair value model and stated at their fair value as at the reporting date. The members have used their experience of the property market and with reference to formal advice from suitably qualified Chartered Surveyors and market evidence of transaction prices of similar properties, have assessed an appropriate value at the year end.
- 16 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **2 Critical accounting estimates and judgements**
## **(Continued)**
## **Key sources of estimation uncertainty**
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
## **Investment properties**
The group's investment properties, which are properties held to earn rentals and/or capital appreciation, are measured using the fair value model and stated at their fair value as at the reporting date. The Trustees have used their experience of the property market and with reference to informal advice from Chartered Surveyors and market evidence of transaction prices of similar properties, have assessed an appropriate value as at the reporting date, which they feel is reliable and on a conservative basis.
## **3 Charity SOFA Summary**
The consolidated statement of financial activities includes the results of the charity's wholly owned subsidiaries whose principal activity is property investment.
The summary financial performance of the charity alone is:
|**Total**
**2020**
**£**
Gift aid receipts from subsidiaries
291,672
Other incoming resources
6,064,912
Costs of raising funds
(561,563)
Grants paid
(89,708,346)
Other expenditure
(33,000)
Net (expenditure)/income for the year
(83,946,325)
Gains/(losses) on investment assets
8,079,258
Net movement in funds
(75,867,067)
**Fund balances at 1 January 2020**
88,760,014
**Fund balances at 31 December 2020**
12,892,947|**Total**
**2019**
**£**
608,580
4,596,667
(493,075)
(4,255,949)
(33,000)
423,223
397,439
820,662
87,939,352
88,760,014|
|---|---|
## **4 Income earned from other activities**
The charity has a number of subsidiary companies all of which are incorporated in the United Kingdom. The majority of these companies are dormant with the exception of Concorde Sixth (Ulster Terrace No 1) Ltd and Spicerite Ltd. The profits generated by the companies are paid to the charity under the gift aid scheme.
Below shows a summary of the trading results of the two subsidiaries:
- 17 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**4**|**Income earned from other activities**||**(Continued)**|
|---|---|---|---|
||**Concorde Sixth (Ulster Terrace No 1) Ltd**|**Total**|**Total**|
|||**2020**|**2019**|
|||**£**|**£**|
||Profit and Loss Account|||
||Turnover|117,220|407,598|
||Management expenses|(88,717)|
(88,717)|
||Tax provisions|(342,789)||
||Gross profit|(314,286)|
318,881|
||Adminstrative expenses|(70,539)|
(7,292)|
||Amount gift aided to parent undertaking|-|(311,589)|
||Fair value gain on investment properties|2,650,000||
||Retained in subsidiary|2,265,175|-|
||At 31 December 2020 the net assets and reserves of the company were as|||
||follows:|||
||Assets and Liabilities|||
||Fixed assets|7,000,001|4,350,001|
||Current assets|57,549|41,473|
||Current liabilities|(3,107,086)|
(3,048,974)|
||Provisions|(342,789)|
-|
|||3,607,675|1,342,500|
||Net Assets|||
||Represented by:|||
||Share capital|1|1|
||Reserves|3,607,674|1,342,499|
|||3,607,675|1,342,500|
||**Spicerite Ltd**|**£**|**£**|
||Profit and Loss Account|||
||Turnover|582,816|583,166|
||Management expenses|(240,319)|
(240,319)|
||Tax provisions|(613,406)|
-|
||Gross profit|(270,909)|
342,847|
||Adminstrative expenses|(50,824)|
(45,856)|
||Amount gift aided to parent undertaking|(291,673)|
(296,991)|
||Fair value gain on investment properties|3,200,000|-|
||Retained in subsidiary|2,586,594|-|
||At 31 December 2020 the net assets and reserves of the company were as|||
||follows:|||
- 18 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**4**
**5**
**6**|**Income earned from other activities**
Assets and Liabilities
Fixed assets
Current assets
Current liabilities
Provisions
Net Assets
Represented by:
Share capital
Reserves
**Income from investments**
Rental income
Other income
**Raising funds**
Investment property m anagement
Ground rents
Management fees
Rates
Legal & professional fees
Loan interest
Other expenses|**(Continued)**
5,000,000
1,800,000
603,370
332,942
(1,169,679)
(899,253)
(660,276)
(47,070)
3,773,415
1,186,619
3
3
3,773,412
1,186,616
3,773,415
1,186,619
**2020**
**2019**
**£**
**£**
3,023,845
3,589,302
1,741,103
1,998,132
4,764,948
5,587,434
**2020**
**2019**
**£**
**£**
329,498
456,973
121,189
123,549
254
1,423
34,978
66,922
241,647
-
284,402
226,382
1,011,968
875,249|
|---|---|---|
- 19 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **7 Charitable activities**
|Grant funding activities (see note 9)
Support costs including governance costs (see note 10)|**2020**
**£**
89,708,346
33,000
89,741,346|**2019**
**£**
4,255,949
33,011
4,288,960|
|---|---|---|
## **8 Other expenses**
|Deferred tax charge|**Total**
**£**
**2020**
955,995
955,995|Total
**£**
**2019**
-
-|
|---|---|---|
The other expenses of £955,995 (2019: £nil) for the year relate solely to the deferred tax charge incurred following the revaluation uplift on the freehold investment properties.
|**9**
**Grants payable**
Paid during the year
Grants to institutions (see below)
Grants to individuals
Donation Covid 19
**33**
**Committed amounts**
Total brought forward
Total carried forward (see note 22)|**Total**
**2020**
**£**
33,193,642
86,793
2,686,778
35,967,213
(4,325,944)
58,067,077
89,708,346|**Total**
**2019**
**£**
5,070,480
73,439
-
5,143,919
(5,213,914)
4,325,944
4,255,949|
|---|---|---|
- 20 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **9 Grants payable**
|**Grants payable**
ARK Schools
Boys Town Jerusalem
British Academy of Film and Television Arts
British Film Institute
Cambridge University
Carers Trust
Community Security Trust
Central Synagogue
Centrepoint
Design Museum
Great Ormond Street Hospital
Greenhouse Sports
Holocaust Educational Trust
Illuminated River Foundation
Jewish Care
Lamda
Make A Wish Foundation
Mayo Clinic
Nancy Reuben Primary School
New York Philharmonic
Northern Racing College
Norwood
OPR in the Community Trust
University of Oxford (Reuben College)
Royal Marsden Cancer Charity
The Galilee Foundation
The Racehorse Sanctuary
Tony Blair Foundation
Unicef
Yad Vashem Holocaust Martyrs & Heroes Remembrance Authority
Yorkshire Air Ambulance
Others|**(Continued)**
**2020**
**2019**
**£**
**£**
225,000
125,000
17,968
12,601
300,000
500,000
20,000
140,972
424,876
358,061
10,000
10,000
25,000
25,000
-
225,000
-
80,150
-
200,000
35,000
33,400
-
30,000
25,000
25,000
1,500,000
1,500,000
25,000
10,000
-
10,000
-
10,000
7,768
7,879
280,000
282,900
-
19,735
-
16,000
50,000
58,700
-
10,000
30,000,000
-
-
1,000,550
-
25,000
-
5,000
-
10,000
-
13,668
-
11,000
-
13,000
334,824
375,303
33,280,435
5,143,919|
|---|---|
- 21 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **10 Analysis of governance and support costs**
|||**Support**|
**Governance**|
**2020**|**2019**|
|---|---|---|---|---|---|
|||**costs**|
**costs**|||
|||**£**|
**£**|
**£**|**£**|
||Bank charges|195|
-|
195|11|
||Audit fees|-|
33,000|
33,000|33,000|
|||195|
33,000|
33,195|33,011|
|**11**|**Net movement in funds**|||**2020**|**2019**|
|||||**£**|**£**|
||Net movement in funds is stated after charging/(crediting)|||||
||Fees payable to the company's auditor for the audit of the|company's||||
||financial statements|||33,000|33,000|
||Investment revaluation gains||(13,929,258)||(397,439)|
|**12**|**Net gains/(losses) on investments**|||||
|||||**2020**|**2019**|
|||||**£**|**£**|
||Revaluation of investments|||(169,547)|397,439|
||Revalution of investment properties|||14,098,805|-|
|||||13,929,258|397,439|
## **13 Trustees**
None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. No expenses were refunded to the Trustees in the year.
## **14 Employees**
There were no employees during the year.
- 22 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**15**|**Investment Properties**|||||
|---|---|---|---|---|---|
||**Group**|**Freehold**|**Leasehold**|**Plant and**|**Total**|
|||**investment**|**investment**|**machinery**||
|||**properties**|**properties**|||
|||**£**|**£**|**£**|**£**|
||**Cost**|||||
||At 1 January 2020|47,510,487|5,796,877|270,688|53,578,052|
||Additions|77,671|-|-|77,671|
||Revaluation|8,248,805|5,850,000|-|14,098,805|
||At 31 December 2020|55,836,963|11,646,877|270,688|67,754,528|
||**Depreciation and impairment**|||||
||At 1 January 2020|-|(1,093,840)|(270,688)|(1,364,528)|
||At 31 December 2020|-|(1,093,840)|(270,688)|(1,364,528)|
||**Carrying amount**|||||
||At 31 December 2020|**55,836,963**|**10,553,037**|**-**|**66,390,000**|
||At 31 December 2019|47,510,485|4,703,037|-|52,213,524|
||**Historic Cost**|||||
||Historic cost of the properties are as per below:|||||
||At 31 December 2020|28,423,534|5,923,039|||
|At 31 December 2020|28,423,534|5,923,039|||
|---|---|---|---|---|
|**Charity**|||||
||**Freehold**|**Leasehold**|**Plant and**|**Total**|
||**investment**|**investment**|**machinery**||
||**properties**|**properties**|||
||**£**|**£**|**£**|**£**|
|Cost|||||
|At 1 January 2020|45,710,487|1,446,877|270,688|47,428,052|
|Additions|77,671|-|-|77,671|
|Revaluation|8,248,805|-|-|8,248,805|
|At 31 December 2020|54,036,963|1,446,877|270,688|55,754,528|
|Depreciation and impairment|||||
|At 1 January 2020|-|(1,093,840)|(270,688)|(1,364,528)|
|At 31 December 2020|-|(1,093,837)|(270,688)|(1,364,528)|
|Carrying amount|||||
|At 31 December 2020|**54,036,963**|**353,037**|**-**|**54,390,000**|
|At 31 December 2019|45,710,487|353,037|-|46,063,524|
- 23 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **15 Investment Properties**
## **(Continued)**
## **Historic Cost**
Historic cost of the properties are as per below:
At 31 December 2020 26,623,533 1,573,039
The fair value of the investment property has been arrived at on the basis of a valuation carried out at 31 December 2020 with advice from suitably qualified professionals. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties.
## **16 Fixed asset investments**
|**Notes**
Investments in subsidiaries
**27**
Listed investments|**Group**
**2020**
**£**
-
33,527,028
33,527,028|**Group**
**2019**
**£**
-
27,696,169
27,696,169|**Charity**
**2020**
**£**
6,165,266
33,527,028
39,692,294|**Charity**
**2019**
**£**
6,165,266
27,696,169
33,861,435|
|---|---|---|---|---|
The quoted instruments are primarily represented by UK fixed interest stocks.
|**Movements in fixed asset investments**
**Group**
**Cost or valuation**
At 1 January 2020
Additions at cost
Net change in value in the year
Capital repayment and disposals
At 31 December 2020
**Carrying amount**
At 31 December 2020
At 31 December 2019|**Bonds and**
**Equities**
**£**
27,696,169
10,000,000
(169,547)
(3,999,594)
33,527,028
33,527,028
27,696,169|
|---|---|
- 24 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**17**
**Financial instruments**
**Carrying amount of financial assets**
Debt instruments measured at amortised cost
Equity instruments measured at cost
Instruments measured at fair value through profit
loss
**Carrying amount of financial liabilities**
Measured at amortised cost
**18**
**Debtors**
**Amounts falling due within one year:**
Trade debtors
Amounts due from subsidiary undertakings
Other debtors
Prepayments and accrued income|**Group**
**Group**
**Charity**
**2020**
**2019**
**2020**
**£**
**£**
**£**
**1,831,331**
621,223
**581,040**
**-**
-
**6,165,266**
or
**33,527,028**
27,696,171**33,527,028**
**88,553,274**
5,325,419**88,425,829**
**Group**
**Group**
**Charity**
**2020**
**2019**
**2020**
**£**
**£**
**£**
**870,053**
231,283
**438,459**
**-**
-
**478,925**
**693,800**
118,428
**616,154**
**389,909**
415,127
**302,630**
**1,953,762**
764,838
**1,836,168**|**Charity**
**2019**
**£**
581,040
6,165,266
27,696,171
5,062,838
**Charity**
**2019**
**£**
209,472
64,547
40,781
329,011
643,811|
|---|---|---|
Included within debtors is an amount due to the charitable company from the subsidiaries Spicerite Limited of £ 478,925 (2019: £64,547). The loan is interest free and repayable on demand.
## **19 Loans and overdrafts**
|Bank loans
Payable after one year|**2020**
**£**
30,016,030
30,016,030|**2019**
**£**
-
-|
|---|---|---|
On 18 June 2020, the group entered into a facility agreement with TFB (Mortgages) Designated Activity Company for a principal amount of £30,000,000. The facility bears interest at 1.5% and the principal amount will only become repayable as at the termination date of the agreement (18 June 2025).
- 25 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**20**
**Creditors: amounts falling due within one year**
Other taxation and social security
Trade creditors
Grant commitments
**22**
Amounts due to subsidiary undertakings
Other creditors
Accruals and deferred income|**Group**
**2020**
**£**
**184,229**
**177,050**
**3,613,326**
**-**
**239,332**
**69,098**
**4,283,035**|**Group**
**2019**
**£**
66,931
240,313
3,359,943
-
714,011
65,068
4,446,266|**Charity**
**2020**
**£**
**164,179**
**107,762**
**3,613,326**
**38,777**
**163,517**
**47,977**
**4,135,538**|**Charity**
**2019**
**£**
70,453
235,513
3,359,943
5,011
472,378
39,388
4,182,686|
|---|---|---|---|---|
Amounts due to subsidiary undertakings comprises a balance of £ 38,777 (2019: £ 5,011 ) due to Concorde Sixth (Ulster Terrace No.1) Limited. The loan is interest free and repayable on demand.
## **21 Creditors: amounts falling due after more than one year**
|Loans and overdrafts
Grant commitments
**22**|**Group**
**2020**
**£**
30,016,030
54,453,751
84,469,781|**Group**
**2019**
**£**
-
966,001
966,001|**Charity**
**2020**
**£**
30,016,030
54,453,751
84,469,781|**Charity**
**2019**
**£**
-
966,001
966,001|
|---|---|---|---|---|
- 26 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **22 Grant Commitments**
|ARK Schools
British Academy of Film and Television Arts
Cambridge University
University of Oxford (Reuben College)
Community Security Trust
Nancy Reuben Primary School
Norwood Foundation
University of Oxford
Yad Vashem Holocaust Marytrs & Heroes Remembrance Authority
Monaco Hospital
Jewish care
Holocaust Educational Trust
Illuminated River Foundation
Carers Trust
**Comprised as follows:**
Due in less than one year
Due in more than one year|**2020**
**£**
450,000
-
424,922
47,501,780
25,000
250,000
50,000
9,308,000
-
22,375
25,000
-
-
10,000
58,067,077
3,613,326
54,453,751
58,067,077|**2019**
**£**
270,000
300,000
1,032,989
-
50,000
500,000
100,000
457,500
10,000
45,455
25,000
25,000
1,500,000
10,000
4,325,944
3,359,943
966,001
4,325,944|
|---|---|---|
## **23 Provisions for liabilities**
## **Deferred tax**
The deferred tax provision relates to the potential tax payable on the future profits in the event of the disposal of the investment properties.
|Deferred tax liabilities
Movements in provisions:
At 1 January 2020
Additional provisions in the year
At 31 December 2020|**2020**
**£**
1,003,065
1,003,065|**2019**
**£**
47,070
47,070
**Total**
**£**
(47,070)
(955,995)
(1,003,065)|
|---|---|---|
- 27 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **24 Share capital**
The charitable company is limited by guarantee and has no share capital. Each member guarantees to contribute £1 in the event of a winding up.
## **25 Movement in unrestricted funds**
||**General and**|**Revaluation**|**Revaluation**|**Total as at**|**Total as at**|
|---|---|---|---|---|---|
||**Designated**||**reserve**|**31.12.2020**|**31.12.2019**|
||**funds**|||||
||**£**||**£**|**£**|**£**|
|Balance at 1 January 2020|67,983,278|20,752,162||88,735,440|87,914,776|
|Income|6,764,948||-|6,764,948|5,587,434|
|Expenditure|(91,709,309)||-|(91,709,309)|(5,164,209)|
|Revaluation in the year:||||||
|Investment property|-|14,098,805||14,098,805|-|
|Quoted investments|-||(169,547)|(169,547)|397,439|
|Balance at 31 December 2020|(16,961,083)|
34,681,420||17,720,337|88,735,440|
|**Designated funds**||||||
||||**Movement**|**in funds**||
||**Balance**|**at 1**|**Transfers**|**Resources**
**Balance at 31**||
||**January**|||**expended**|**December**|
||**2020**||||**2020**|
|||**£**|**£**|**£**|**£**|
|Cambridge University - Postgraduates|503,706||-|(218,784)|284,922|
||503,706||-|(218,784)|284,922|
**26 Designated funds**
The designated funds are held to represent ongoing funding commitments regarding scholarship programmes.
- 28 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **27 Subsidiaries**
The charity holds more than 20% of the share capital of the following companies:
|**Name of undertaking and country of**|**Name of undertaking and country of**|**Nature of business**|**Class of**|**% Held**|
|---|---|---|---|---|
|**incorporation or residency**|||||
||||**shareholding**|**Direct**|
|Concorde Sixth (Ulster Terrace|England & Wales Property investment||Ordinary|100|
|No 1) Ltd|||||
|Concorde Sixth (Ulster Terrace|England & Wales Dormant||Ordinary|100|
|No 2) Ltd|||||
|Concorde Sixth Regents Park|England & Wales Dormant||Ordinary|100|
|Ltd|||||
|Spicerite Limited|England & Wales Property investment||Ordinary|100|
|The company also owns the entire issued capital of the following dormant|||nominee companies:||
|Amberdene Properties Limited|||||
|Berrymist Properties Limited|||||
|Edengrange Investments Limited|||||
|Faye Properties Limited|||||
|Gradecourt Limited|||||
|Millpond Properties Limited|||||
|Prairie Limited|||||
|Townley Properties Limited|||||
## **28 Analysis of net assets between funds**
|**Analysis of net assets between funds**||||
|---|---|---|---|
||**General**|**Designated**|**Total**|
||**unrestricted**|**funds**||
||**funds**|||
||**£**|**£**|**£**|
|Fund balances at 31 December 2020 are represented by:||||
|Tangible assets|66,390,000|-|66,390,000|
|Investments|33,527,028|-|33,527,028|
|Current assets/(liabilities)|2,991,233|284,922|3,276,155|
|Long term liabilities|(85,472,846)|-|(85,472,846)|
||17,435,415|284,922|17,720,337|
- 29 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
## **29 Operating lease commitments**
## **Lessee**
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
|Within one year
Between two and five years|**2020**
**£**
52,995
-
52,995|**2019**
**£**
127,187
52,995
180,182|
|---|---|---|
## **30 Related party transactions**
The sum of £60,000 (2019: £60,000) was paid to Motcomb Estates Ltd, a company in which the Trustees M Turner and E Sawyer have an interest.
Included in investments is a holding of bonds with a value of £ 13,192,862 (2019: £14,99 5 , 065 ) issued by Wellington Pub Company PLC, a company in which the Trustees S D Reuben and R D Reuben have a material interest. Interest of £ 918,671 (2019: £ 997,958 ) was recognised on these bonds in the year.
During the year, donations of £ 730,000 (2019: £282,900 ) have been paid to Nancy Reuben Primary School, a charity in which the Foundation is a Trustee. As at 31 December 20 20 , the charity was committed to future donations of £ 250,000 (2019: £ 500,000 ) to Nancy Reuben Primary School.
During the year, donations of £2,000,000 have been have been received from Arena Racing Limited, a company under common control.
## **31 Analysis of changes in net debt**
|Cash at bank and in hand
Loans falling due after more than one year|**At 1 January**
**2020**
**Cash flows At 31 December**
**2020**
**£**
**£**
**£**
13,339,931
(7,760,127)
5,579,804
-
(30,016,030) (30,016,030)
13,339,931
(37,776,157) (24,436,226)|
|---|---|
- 30 -
## **REUBEN FOUNDATION**
## **NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2020**_
|**32**
**Cash generated from operations**
**2020**
**£**
(Deficit)/surpus for the year
(73,130,947)
Adjustments for:
Investment income recognised in profit or loss
(1,741,103)
Fair value gains on investments
(13,929,258)
Deferred tax movement
955,995
Movements in working capital:
(Increase)/decrease in debtors
(1,206,926)
(Decrease)/increase in creditors
85,456,396
**Cash absorbed by operations**
(3,595,843)
**33**
**Covid Donations**
University of London
Chelsea & Westminister Hospital
Royal Marsden Hospital
Cannes Hospital
Centrepoint
Imperial College
University of Cambridge
University of Oxford
NHS Charities
Magen David
Emergency Food Boxes
Jewish Care
Greyhound Welfare
Feeding the Frontlines
Latet Humanitarian Aid
Nancy Reuben Primary School
Great Ormond Street Hospital
Others|**2019**
**£**
820,664
(1,998,132)
(397,439)
-
-
(52,358)
(49,009)
(1,676,274)
**2020**
**£**
25,000
49,981
25,000
34,848
25,000
25,000
25,000
25,000
150,000
25,000
238,827
25,000
181,516
150,000
400,000
450,000
25,000
806,606
**2,686,778**|
|---|---|
- 31 -