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2022-03-31-accounts

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

A Company Limited by Guarantee Registered Charity

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED

31[st] MARCH 2022

Registered Charity Number 1095897 (England & Wales) SC039255 (Scotland) Company Registered in England and Wales Number 04620683

Registered Office and Principal Address:

2 Lakeside Business Park, Swan Lane, Sandhurst, Berkshire GU47 9DN

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID REPORT AND FINANCIAL STATEMENTS YEAR ENDED 31[st] MARCH 2022

CONTENTS Page
Legal and Administrative Details 3
Chair’s Statement 4
Trustees’ Report 8
Independent Auditor’s report 14
Consolidated Statement of Financial Activities (including Income and Expenditure 18
account)
Consolidated and Charity Balance Sheets 19
Group Cash Flow Statement 21
Notes to the Financial Statements 22

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

LEGAL AND ADMINISTRATIVE DETAILS

Directors and Trustees

The directors of the charitable company ("the Charity") are its Trustees for the purposes of charity law and throughout this report are collectively referred to as the Trustees. An explanation of the method of appointment of Trustees is provided in the Trustees’ Report.

The Trustees serving during the year and at the time the accounts were signed were:

R H Bartlett B W Dalla Mura L D Hendle M McKenzie H E Murray D Pervez M P Smith R A M Smith Chair L A Stigant H M Tatum (Appointed 11/05/2021) H M Tucker J C Uttley D C Wheeler Treasurer M R Williamson Life Patrons Lord Price CVO; Mike Coupe; Paul Monk President Allan Leighton Chief Executive Steve Barnes Company Secretary Catherine Robinson-McCormick Registered Office 2 Lakeside Business Park, Swan Lane, Sandhurst, Berkshire GU47 9DN Website www.groceryaid.org.uk Email info@groceryaid.org.uk Independent Auditors Moore Kingston Smith LLP, 9 Appold Street, London, EC2A 2AP Bankers Lloyds Bank, 24 Broad Street, Reading, Berkshire, RG1 2BT Investment providers CCLA Investment Management Limited, London Newton Investment Management Limited, London Rathbone Brothers Plc, London

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

TRUSTEES’ REPORT FOR THE YEAR ENDED 31[ST] MARCH 2022

CHAIR’S STATEMENT

The trade continues to navigate its way through the most challenging of times: the impact of Covid-19, ongoing impact of Brexit, lorry driver shortages, spiraling fuel costs and the cost-of-living crisis.

GroceryAid continues to support trade colleagues thanks to the generosity of the Charity’s supporters.

Supporting Industry Colleagues

The Charity continues to develop in lockstep with the trade, listening to companies and providing relevant support to ensure our welfare offer provides the best service to meet changing needs.

During the year to 31[st] March 2021, the Trustees designated £1.5m to offer enhanced mental health support, bereavement grants and crisis grants for grocery colleagues directly affected by the pandemic. The Covid-19 fund continued to support colleagues through the year to 31[st] March 2022. Covid-19 specific support is still required by colleagues and continues to be available.

The School Essentials Grant programme ran for a second year. The fund was significantly expanded to help 3,609 children to start their new school years properly equipped. The additional support was provided by the Leverhulme Trade Charities Trust for which we are grateful. The fund has been further extended for the current financial year.

In January 2022, in response to spiraling fuel costs, the Charity ran a Winter Heating Grant for anyone working in the trade who met the criteria.

We are about to enter the third year of a partnership with our Helpline provider. We work closely with the team to ensure a ‘best in class’ service. Our free, confidential Helpline is available 24/7 365 days a year and provides in the moment emotional support to current and former grocery industry colleagues and their partner/spouse and dependents from BACP accredited counsellors, as well as offering structured counselling either in person, web based or telephone. In addition, the Citizen Advice Bureau trained Telephone Information Specialists are money and debt trained and benefits trained and can support with practical advice and guidance on money, legal, child and elder care queries. Both services signpost to other support available in the GroceryAid suite of services through our Partner organisations and website. The partnership is working well with GroceryAid being described as its most progressive client and the most receptive to innovation.

During the year we launched our Financial Wellbeing platform in partnership with Money Helper to provide impartial advice and help for colleagues. We continue to encounter high levels of online gambling and have established a partnership with GamCare to provide support for any colleagues impacted by gambling.

We expect continued growth in demand for GroceryAid support as we drive further awareness of how the Charity supports colleagues throughout the trade.

Reaching Out and Raising Awareness

Over the past year, we further accelerated our move away from traditional advertising campaigns to connect with industry colleagues more effectively. We concentrated on social media and digital channels to raise awareness and we are pleased with the progress made. We post on various channels regularly to target audiences achieving industry leading levels of engagement.

We have now embedded GA Engage in the trade. This is a quarterly webinar for HR and Communications professionals which provides updates on our latest welfare and marketing initiatives so these can be shared internally within companies. We also provide monthly communications toolkits for companies to drive awareness of the support the charity can offer throughout the trade.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

We continue to produce short films to emotionally engage with our supporters with Ricky’s Story through beneficiaries’ eyes (launched in November 2021), to clearly demonstrate the impact our support can have which is proving to be our most successful and appreciated film produced to date.

We continue to make good progress on raising awareness which remains a key priority for GroceryAid - where we will continue to innovate to find new ways to communicate with colleagues throughout the trade.

Return to Events

We were delighted to be able to return to the running of large-scale fundraising events during the year. We started the financial year in lock-down and so re-arranged the full calendar of events (except the Windermere Row) to run exclusively in the second half. It was challenging for the events team and the industry to support so many events in such a short space of time, but colleagues and supporters stepped up to ensure all the events delivered above expectation for which we are very grateful.

Fundraising

We exceeded our fundraising targets for the year. This was despite the re-arrangement of all fundraising events to the second half and a last-minute cancellation of an event due to the rapid emergence of Omicron variant in the days leading up to the event.

We broke records on many events with the numbers attending and the funds raised. A key highlight was the relocation of our Barcode Festival to a significantly larger venue, Magazine, next to the O2 in Greenwich, London. This ran in September 2021 with over 3,500 tickets sold plus 70 sponsors on site and is poised for significant future growth. It has introduced the Charity to a whole new demographic and has quickly become the ‘must attend’ event for thousands of colleagues.

Our branch network, whose fundraising activities were significantly curtailed during FY21 were able to run events in the latter part of the year. The Midlands branch closed in March 2022 and we are very grateful to Jo Roffey and her committee for all they have achieved in the Midlands over many years.

We continue to have five regional fundraising branches – the south-west, north, north-east, Scotland and Northern Ireland.

We continue to have five regional fundraising branches – the south-west, north, north-east, Scotland and Northern Ireland. I believe these are the right geographies for volunteers to run fundraising events.

Overall, allowing for an increase in the value of our reserves over the year, our overall result was a surplus of £0.6M whilst, within this, we had a small operational deficit during the year driven by our ongoing support for colleagues.

We increased our support from trusts and foundations that have their roots in the grocery industry to help those in need. We were delighted with the backing we received from the Leverhulme Trade Charities Trust which enabled us to more than double the value of our School Essentials Grant.

We are mindful that the ramifications of Covid-19 on colleagues will not be confined to the last two financial years. This will be combined with the challenges the industry faces with the current cost of living crisis. As a result, we anticipate continued increased levels of support will be required for colleagues throughout the current financial year which we and our team are here to support.

Diversity and Inclusion in Grocery

Since September 2020, the Charity has taken on the delivery of the Diversity and Inclusion in Grocery (DIG) annual programme. The content for this ground-breaking programme is generated by the trade and we are delighted that so many organisations now actively participate as programme partners. We currently have 75 partners - a trebling in the number since January 2021. We are delighted that so many organisations are actively involved as we continue to run three streams of activity led by GroceryAid and delivered by the trade:

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

Commemorative Event

In October 2021, GroceryAid brought together over 300 industry leaders to reflect on the impact of Covid-19 on the grocery trade. The event was not a fundraising event as tickets were invitation only and not for sale.

President

Charles Wilson retired as President of GroceryAid at the end of 2021 and was succeeded by Allan Leighton. We could not have wished for a better President to lead us through a global pandemic and the entire trade is hugely grateful for all Charles accomplished in his two-year presidency. We are delighted that Allan is now our President given his standing in the trade – Allan’s enthusiasm and energy is continuing to drive us forward.

Our Trustee Board

As stated in the previous year’s report, in April 2021, a long-standing Trustee, Ian Gordon retired. Hayley Tatum, Chief People and Corporate Affairs Officer at Asda, was appointed to the Board in May 2021. There have been no other changes to the Trustee Board.

We remain grateful for the time and expertise that the Trustees continue to contribute towards the success of the organisation.

We have continued to strengthen the governance of the Trading Company as most of our events run through this entity. Derek Lawlor is Chair of GroceryAid Trading and is doing a strategic review of the subsidiary to ensure it is fit for the future after a period of rapid growth.

Our People, Our Volunteers, Our Supporters

I am delighted that we were able to record over 28,000 incidences of support for industry colleagues when they needed us last year.

I am so grateful, to so many, that we had such a successful year in such a challenging time – which will allow us to continue to help those in need in the future.

I am incredibly proud of the GroceryAid team along with our wonderful group of volunteers, who stretch themselves to do incredible things for grocery people in need. I am also humbled by the feedback we receive from beneficiaries which inspires us to work even harder on their behalf.

I would like to end by once again thanking our supporters for their generosity in supporting industry colleagues in need during another challenging year.

Ruston Smith Chair of GroceryAid Trustees

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

TRUSTEES’ REPORT FOR THE YEAR ENDED 31[st] MARCH 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

The National Grocers Benevolent Fund, trading as GroceryAid, is a registered charity in England and Wales (registration number 1095897) and Scotland (registration number SC039255) and is constituted as a company limited by guarantee (registration number 04620683).

The charity is run by 14 serving Trustees who are also directors and members of the limited company. In that capacity they select new members of the Board of Trustees.

Trustees are responsible for compliance with our legal and statutory requirements and the safe and effective running of the charity. They meet every quarter to discuss and review both the day-to-day operations and the strategic direction of the charity. In addition, the Trustees also meet on an ad hoc basis when required. Steve Barnes, appointed by the Trustees as Chief Executive, manages the day-to-day operations of the charity. He reports to the quarterly Trustee meetings and contributes to the discussions in an advisory capacity. His senior direct reports are Mandi Leonard, Welfare Director, Jane Hill, Fundraising Director and Catherine RobinsonMcCormick, Finance Director.

Remuneration for key management personnel is determined by a sub-committee of the Trustee Board - the Remuneration Committee. This committee has specific delegated responsibilities to:

The objectives of our senior remuneration policy are:

Various Trustees and industry colleagues sit on one or more of our five sub-committees covering welfare, welfare strategy, finance, fundraising and remuneration. These committees consider each of their areas, in depth, and report to the Trustee Board on key developments, risks, plans and initiatives. Formal terms of reference exist for these committees, and these are set out in the GroceryAid Policy Document, which is reviewed and updated annually. This document also contains various processes and procedures to ensure that we have appropriate controls in place for the effective and efficient operation of the charity.

From 2018, it was agreed that Trustees can serve for a three-year period and may be re-elected to serve for two further three-year periods. All GroceryAid Trustees have signed an ‘Eligibility to Serve’ declaration form, and a Declaration of Interest and Connected Persons form. The possible existence of conflicts of interest is considered prior to the start of every meeting of the Board of Trustees. The Declaration of Interest and Connected Persons forms are completed annually and are held on file at the GroceryAid offices.

New Trustees, as a qualification, must have worked or currently work in any area within the grocery industry. All nominations are approved by the Board of Trustees. All new Trustees have a formal induction that covers the role of the charity and what is expected of them in their role as GroceryAid Trustees. Governance requirements of both Trustees and Senior Management are incorporated into the GroceryAid Policy Manual which forms part of ongoing training and updates at Trustee meetings.

No Trustees are paid by the charity for their services.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

Charity law requires organisations to demonstrate explicitly that their aims are for public benefit. The charitable activities of GroceryAid are available to people in need who are, or have been, engaged in the grocery or provisions trade, greengrocers and the off-licence trade, in any capacity and for their surviving spouses, civil partners and dependent children. The Trustee Board have discussed the issue of public benefit and are confident that the breadth and scope of the work of the Charity, as disclosed in this Report, clearly falls within the guidelines set in Section 17 of the 2011 Charities Act.

OBJECTIVES & ACTIVITIES

The objectives of the charity are the provision of relief to persons in need, whether that be through ill health, disability, financial hardship or other disadvantage who:

The term grocery trade means any work relating to the manufacturing, logistics, distribution or sales of groceries or other products typically sold in supermarkets, whether wholesale or retail. For the avoidance of doubt, this includes the off-licence trade.

Our vision is that everyone engaged in this trade can turn to us for help. Our long-term objectives are to work with the industry to identify and support those in need, to address social isolation through our Helpline and Carer’s initiative and to enhance our income streams to further support our industry colleagues.

The key activities of the charity are providing emotional, practical and financial support to colleagues working in the grocery sector, who meet our eligibility criteria as agreed and regularly reviewed by the Trustees. This includes, but is not exclusive to:

Emotional and practical support services are delivered in partnership with expert, third party organisations, to provide bespoke services to colleagues.

FUNDRAISING

The vast majority of the charity’s income comes from the industry we work to support. This can be in the form of donations and/or by supporting regional and national fundraising events. The remainder is derived from the charity’s investments.

GroceryAid fundraises through industry events organised by its branches and its central fundraising team who on occasion use the services of event management companies to assist in organising events. It also received donations during the year from other organisations which organised events for the industry.

No monies are raised by public collections. GroceryAid does not receive any support from either local or central government.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

GroceryAid is registered with the Fundraising Regulator and follows the fundraising code. GroceryAid has not received any complaints about its fundraising activities.

ACHIEVEMENTS AND PERFORMANCE

Demand for our welfare services has continue to grow through the year. We continue to support both our working colleagues and those who have retired from the trade.

During the year to 31[st] March 2022:

FINANCIAL REVIEW

Our operational annual deficit was £0.1M, which combined with a net gain on investments of £0.7M, resulted in an overall surplus of £0.6M, compared to an operational annual surplus of £2.0M in the prior year. The surplus in the year to 31[st] March 2021 was attributable to the high level of donations received by the Charity to support its work to help colleagues through the pandemic. As reported in the prior year annual report, it was anticipated that this support for colleagues would continue through FY22, resulting in an operational deficit. This has proven to be true and is reflected in the results for the year ending 31[st] March 2022.

Total income for the period amounted to £11.4M, an increase of £3.4M compared to the prior year and reflects the return to the running of fundraising events during the year.

Total costs of £11.5M were £5.6M higher than the previous year, and reflect increased welfare spend, combined with the costs incurred through the running of events again.

As at 31[st] March 2022, cash at bank and in hand was £4.0M, £1.7M lower than the prior year.

Principal Risks

Our Risk Management Policy seeks to identify any major risks to which the Charity may be exposed and that may affect the realisation of our goals.

Our short-term targets and long-term objectives are reviewed by the Trustee Board at our quarterly Trustee meetings. The Risk Assessment procedure is also regularly reviewed, and we can confirm systems are in place to mitigate those risks. This assessment forms part of our Policy Document which is updated and issued annually.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

The Trustees consider the key risks facing GroceryAid are:

Reserves Policy

The aim of our Reserves Policy is to ensure the sustainability of the Charity.

The Trustees have reviewed the Reserves Policy of the Charity as set out in the GroceryAid Policy Document. Sustainability of the fund is paramount to our beneficiaries and the Trustees believe that a minimum level of £5M of reserves is sufficient to cover three years beneficiary payments and the infrastructure required to administer these payments in a number of stress tested scenarios. As at 31[st] March 2022, GroceryAid’s free reserves were £10.3M.

Whilst this is above our target, we are mindful that the ramifications of the lasting impact of Covid-19 combined with the current cost of living challenges facing colleagues. We therefore expect elevated levels of support for colleagues will be required throughout the current financial year.

Furthermore, whilst the market value of investments did recover following the initial impact of the pandemic, recent fluctuations have occurred as the market reacts to the recent unfortunate events in the Ukraine.

Going Concern

The social distancing rules implemented in response to the Covid pandemic resulted in all events for the year to 31[st] March 2021 being cancelled. The continuation of government restrictions through Spring 2021 meant that the majority of FY22 events were moved to Autumn 2021, and almost all of these events were able to run. To date, the FY23 calendar of events has been unaffected by Covid-19 cancellations and demand for tickets is stronger than ever as the industry embraces opportunities to network in a face-to-face environment.

Careful cash management has ensured that that Charity has maintained a strong cash balance. Furthermore, over the last two years, the Charity has not needed to draw down on reserves.

The Trustees have assessed the principal risks and formulated a suitable reserves policy as stated above. A number of scenarios have been modelled based on different income and demand assumptions. Based on the results of these models and the level of reserves, the Trustees are satisfied that GroceryAid, the charitable organisation, has adequate resources to continue as a going concern.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

INVESTMENT POLICY AND PERFORMANCE

As at 31[st] March 2022, GroceryAid’s investment fund was valued at £9,902,993.

This is held by the Charity to underpin the value of Reserves retained to ensure the Charity’s sustainability. The Trustees objective is that the Reserves do not decrease in real value by aiming to achieve long-term capital growth ahead of inflation.

The Reserves are also key in the provision of income to help fund current expenditure. To meet these objectives the Trustee Board has set a target return of CPI +3% per year over a rolling five-year period. This is a target and the Trustees acknowledge that due to fluctuations in markets this may not always be possible.

The GroceryAid Finance Committee is a sub-committee of the Trustee board and meets quarterly to review financial controls within the charity, oversee investment performance and recommend changes to the investments as necessary. Our Investment Policy allows us to manage the money we raise and the money we need to have in reserve for unforeseen eventualities.

At 31[st] March 2022, 99% of the reserves were invested in four Common Investment Funds. These are: Newton Growth and Income Fund for Charities, Newton Global Higher Income Fund, Rathbone’s Core Investment Fund for Charities and CCLA Charities Property Fund. The remaining 1% is held in cash deposits.

With regard to ethical investing, the Trustees continue to be satisfied that our investment managers invest responsibly, having regard to the Environment, Social and Governance consideration and our managers exercise our stewardship responsibilities in an appropriate way. Any investments that may hamper the work of the Charity will be avoided as will those deemed inappropriate on moral grounds to avoid reputational damage to the charity, which could in turn negatively impact on fundraising activities. Investments that would pose a risk of significant financial detriment will also be avoided.

SUBSIDIARY COMPANY

The Charity has a wholly owned trading subsidiary which is incorporated in the U.K., GroceryAid Trading Limited, company registration No. 2952403. The company undertakes certain fundraising activities to raise money for its parent company, the National Grocers Benevolent Fund. The company utilises resources from the parent company, which it pays for on an arms-length basis as resources are required.

The social distancing rules implemented in response to the covid pandemic resulted in all events for the year to 31[st] March 2021 being cancelled. The continuation of government restrictions through Spring 2021 meant that the Trading company moved the majority of its events to Autumn 2021, and almost all of these events were able to run. This brought the Trading company back to a positive net assets position.

The company generated a profit for the year of £1.97M and had net assets of £1.65M at the Balance Sheet date.

These would have been higher but for the need to cancel the Sainsbury’s Big Bash at late notice in December 2021 due to the emergence of the Omicron strain of Covid-19. The costs of this were incurred by the trading company. Any donations in lieu of this event from supporters were made to the Charity.

The Charity will continue to use the Trading Company in future years and will continue to review whether certain fundraising activities are more appropriate for the Trading Company.

FUTURE PLANS

Strategy and Business Plan

Our priorities for 2022/23 to further our charitable objects and deliver public benefit are to:

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

STATEMENT OF TRUSTEE’S RESPONSIBILITIES

The Trustees (who are also the directors of National Grocers Benevolent Fund for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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 group and charitable company and of the incoming resources and application of resources, including the income and expenditure, of the group 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. The Trustees 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:

AUDITORS

A resolution will be proposed at the Annual General Meeting with regard to audit arrangements for the forthcoming financial year.

The charitable company has taken advantage of the small companies’ exemptions in preparing this Trustees Report.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

BY ORDER OF THE TRUSTEES

Ruston Smith (Chair)

14[th] September 2022

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS AND TRUSTEES OF NATIONAL GROCERS BENEVOLENT FUND, TRADING AS GROCERYAID

Opinion

We have audited the financial statements of National Grocers Benevolent Fund (the ’parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2022 which comprise the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Group Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

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 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 group’s and parent 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.

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

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is 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.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Act 2011 require us to report to you if, in our opinion:

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 purposes 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 group and parent 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 group or parent 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

We have been appointed as auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts.

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

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Explanation as to what extent 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.

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

Our approach was as follows:

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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 and, in respect of the consolidated financial statements, to the charity’s trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters which 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 any party other than the charitable company, the charitable company’s members, as a body, and the charity’s trustees, as a body, for our audit work, for this report, or for the opinion we have formed.

Andrew Stickland (Senior Statutory Auditor) for and on behalf of Moore Kingston Smith LLP, Statutory Auditor

Date: 3 November 2022 9 Appold Street London EC2A 2AP

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

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NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31[ST] MARCH 2022

Note
Income from:
Donations and legacies
4
Central fundraising
5
Branch fundraising
6
Investment Income
7
Other Income – gross
gain on sale of property
Total Income
Expenditure on:
Cost of raising funds
Central fundraising
5
Branch fundraising
6
Charitable activities
Grants
8
Goods and services
8
Other Expenses
10
Total Expenditure
Net gains/(losses) on
investments
15
Net
income/(expenditure)
and net movement in
funds
Reconciliation of funds:
Total funds brought
forward from previous
year
Total funds carried
forward		 Unrestricted
Funds
Restricted
Funds
Total
2022
£
£
£
1,413,513
846,666
2,260,179
9,282,502
-
9,282,502
217,135
-
217,135
239,497
-
239,497
228,000
-
228,000
11,380,647
846,666
12,227,313
6,743,730
-
6,743,730
39,961
-
39,961
3,239,087
736,138
3.975,225
1,508,770
115,778
1,624,549
3,020
-
3,019
11,534,568
851,916
12,386,484
724,618
-
724,618
570,697
(5,250)
565,447
12,363,417
25,500
12,388,919
12,934,114
20,250
12,954,366		 Total
2021
£
5,149,487
3,338,606
21,578
223,106
-
8,732,777
1,614,806
3,115
3,401,783
1,577,037
67,109
6,665,050
1,402,655
3,470,382
8,918,537
12,388,919

The statement of financial activities includes all gains and losses recognised in the period. All of the above amounts relate to continuing activities.

The notes on pages 22-38 form part of these financial statements.

Page 18

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

CONSOLIDATED BALANCE SHEET AT 31[ST] MARCH 2022

Notes
Fixed Assets
Tangible
assets
13
Intangible
assets
14
Investments
15
Total fixed
assets
Current
Assets
Debtors
16
Cash at
bank and in
hand
17
Total
current
assets
CREDITORS:
Amounts
falling due
within one
year
18
NET
CURRENT
ASSETS
NET ASSETS
FUNDS
Unrestricted
income
fund
20
Designated
fund
20		 Group
2022
2021
£
£
1,251,721
1,122,770
49,689
48,465
9,902,993
8,947,345
11,204,403
10,118,580
3,870,484
1,928,303
4,011,005
5,674,032
7,881,491
7,602,335
(6,131,528)
(5,331,996)
1,749,961
2,270,339
12,954,366
12,388,919
12,558,620
12,363,419
375,496
-		 Charity
2022
2021
£
£
1,251,721
1,122,770
49,689
48,465
9,912,993
8,957,345
11,214,403
10,128,580
389,317
257,760
929,774
4,426,789
1,319,091
4,684,549
(1,223,732)
(2,102,086)
95,359
2,582,463
11,309,762
12,711,043
10,914,056
12,685,543
375,496
-

Page 19

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

Restricted
income
fund
20
TOTAL
FUNDS		 20,250
25,500
12,954,366
12,388,919		 20,250
25,500
11,309,762
12,711,043

These accounts have been prepared in accordance with provisions applicable to companies’ subject to the small companies regime within part 15 of the Companies Act 2006.

The financial statements were approved by the Board of Trustees and authorised for issue on the 14[th] September 2022 and signed on their behalf by:

Ruston Smith, Chair, GroceryAid Trustees

David Wheeler, Treasurer GroceryAid

Charity Number 1095897 Company Number: 04620683

Page 20

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID

CASH FLOW STATEMENT FOR THE YEAR ENDED 31[ST] MARCH 2022

2022 2021
Note £ £ £ £
NET CASH USED IN OPERATING 23 1,703,345 5,037,113
ACTIVITIES
CASH FLOWS FROM INVESTING
ACTIVITIES
Dividends, Interest and Rents for 239,497 223,106
Investment
Purchase of property, plant and (178,967) (31,870)
equipment
Purchase of intangible assets (17,180) (18,404)
Proceeds from the sale of 228,000 -
investments
Purchase of investments (231,031) (215,938)
Net cash provided by investing 40,319 (43,106)
activities
Change in cash and cash (1,663,027) 4,994,007
equivalents in the reporting period
Cash and cash equivalents at the 5,674,032 680,025
beginning of the reporting period
Cash and cash equivalents at the 24 4,011,005 5,674,032
end of the reporting period

Page 21

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

1. Accounting policies

The principal accounting policies of the charity are as follows:

a) General information

b) Statement of compliance and basis of preparation

The financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)), and the Companies Act 2006.

These financial statements have been prepared under the historical cost convention, except for investments which are included at fair value.

The charity constitutes a public benefit entity as defined by FRS 102, and has taken regard of the charity commissions guidance on public benefit, including ‘Public Benefit: running a charity (PB2).

The financial statements are prepared in sterling, which is the functional currency of the entity, and are rounded to the nearest £.

The financial statements are prepared on a going concern basis which assumes that the company will continue in operational existence for the foreseeable future.

The social distancing rules implemented in response to the Covid pandemic resulted in all events for the year to 31st March 2021 being cancelled. The continuation of government restrictions through Spring 2021 meant that the majority of FY22 events were moved to Autumn 2021, and almost all of these events were able to run. To date, the FY23 calendar of events has been unaffected by Covid-19 cancellations and demand for tickets is stronger than ever as the industry embraces opportunities to network in a face-to-face environment.

Careful cash management has ensured that that Charity has maintained a strong cash balance. Furthermore, over the last two years, the Charity has not needed to draw down on reserves.

The Trustees have assessed the principal risks and formulated a suitable reserves policy as stated above. In particular, the principal risks have been reviewed given the current Covid-19 environment and costof-living crisis. A number of scenarios have been modelled based on different income and demand assumptions. Based on the results of these models and the level of reserves, the Trustees are satisfied that GroceryAid, the charitable company, will be able to continue its operations and meet its liabilities as they fall due for at least twelve months from the date of approval of the financial statements. The charitable company therefore continues to adopt the going concern basis in preparing its financial statements.

d) Method of consolidation

The financial statements consolidate the results and position of the subsidiary undertaking (see note 3) and all of the Charity's branches on a line-by-line basis in both the Statement of Financial Activities (including income and expenditure account) and the Balance Sheet.

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

e) Incoming resources

Income is recognised when the charity has entitlement, it is probable that the amount will be received, and it can be measured reliably as follows:

Voluntary income Income from donations is accounted for on a receipt.

Grant income

Grants are recognised when any conditions for entitlement are met. Grants received before the conditions for entitlement have been met are deferred and included in creditors at the year end. Legacies

Income from legacies is accounted for on a receivable basis being included at the earliest of the date of receipt or at the point which notification is received, provided that there is sufficient evidence to provide the necessary probability that the legacy will be received.

Central and branch fundraising

Income from fundraising is accounted for on a receivable basis. Income associated with a particular event is reported only upon that event having taken place, with income received in advance of events being treated as deferred income.

Investment income

Income from investments is accounted for on a receivable basis.

Gifts in Kind and Donated Services

Items donated to the charity to assist with particular fundraising events are recognised in the financial statements at market value as income to and resources expended against the respective activities. The donation of services to the charity is similarly recognised within the financial statements by the inclusion of a charge to expenditure and a corresponding credit to income, based on the estimated market value.

f) Resources expended

Resources expended are accounted for on an accruals basis. The inclusion of costs within the various categories of expenditure was made on the following basis:

Costs of raising funds

This category is used to record any costs which are associated with the cost of raising funds from whatever source and will include costs incurred in attracting donations and sponsorship. Investment management fees

The cost of managing the Charity's investment funds is not charged separately by the investment managers but is instead effectively recovered by way of a deduction from the funds. Charitable activities

This category is used to record expenditure incurred in fulfilling the Charity's objectives: it includes the payment of monetary grants to beneficiaries, expenditure made in providing beneficiaries with goods and services, and the costs of distributing and administering such direct charitable provision. The cost of such provision, and that in respect of monetary grants in particular, is recognised when award of the grant has been communicated to the beneficiary. Grants are awarded on an annual basis and are subject to annual review.

Governance

This category comprises costs incurred in the general management of the Charity, as distinct from that concerned directly with the conduct of the Charity's operational activities, and includes those costs associated with ensuring that the Charity complies with applicable laws and regulations, to include the preparation of information required for public accountability.

Allocation and apportionment of costs

Expenditure is classified according to the above headings that aggregate all costs related to those categories, whether they be directly attributable or apportioned as such. The bases of the apportionment of costs are consistent with the use of the staff resources under each heading.

Page 23

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due.

h ) Judgements and key sources of estimation uncertainty

The preparation of the financial statements requires management to make estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for income and expenditure during the year. However, the nature of estimation means that actual outcomes could differ from those estimates.

The key assumptions involving estimation uncertainty at the balance sheet date that have a risk of causing a material adjustment to the carrying amounts of assets or liabilities within the next financial year are as follows:

Useful life of Tangible and Intangible fixed assets

Both Tangible and Intangible fixed assets are depreciated over their useful lives. The actual lives of the asset and residual values are assessed annually and may vary depending on a number of factors. The useful life is set depending upon asset class. The Trustees believe this is an appropriate methodology for valuing these fixed assets.

i)

Tangible fixed assets

Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the asset and residual values are assessed annually and may vary depending on a number of factors. Residual value assessments consider issues such as the remaining life of the asset and projected disposal values.

All assets costing over £1,000 are capitalised subject to considerations as to the likely useful life of each item. Tangible fixed assets are stated at cost. Depreciation is calculated to write off the cost of fixed assets over their estimated useful lives by equal annual instalments at the following rates:

Improvements to freehold 2% per annum Freehold buildings 1% per annum Office equipment 20% per annum Furniture fixtures and fittings 10% per annum

No depreciation is provided on freehold land.

j) Intangible assets

All assets costing over £1,000 are capitalised subject to considerations as to the likely useful life of each item. Intangible fixed assets are stated at cost. Depreciation is calculated to write off the cost of fixed assets over their estimated useful lives by equal annual instalments at the following rates:

Software 20% per annum

k) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Current assets and current liabilities are measured at the cash or consideration expected to be paid or received and not discounted.

Page 24

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

Debt instruments are subsequently measured at amortised cost.

l) 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 bid price. Gains and losses on the disposal and revaluation of investments are charged or credited to the Statement of Financial Activities. 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. The charity does not acquire put options, derivatives or other complex financial instruments.

m) Fund accounting

Funds held by the charity as unrestricted funds are free for the Trustees to use for any purpose in furtherance of the charitable objects as set out in the Charity's Reserves policy. Designated funds are those that have been set aside by Trustees for specific purposes. Restricted funds are subject to specific conditions imposed by the donors. At the year end, any restricted fund deficits can be eliminated by a transfer from unrestricted funds unless the Trustees are of the opinion that such deficits will be eliminated by future giving. There are no transfers out of restricted fund unless approval is given by the donors.

Pension contributions are charged in the financial statements as they become payable.

o) Publicity

Costs associated with the objective of raising awareness of the Charity and its profile, particularly within the grocery trade, are included under this sub-heading within Central Fundraising. This policy was adopted on the basis that increasing awareness of the Charity, particularly within the grocery industry, should enhance its relevance and influence and so, in turn, better enable it to raise funds through its various activities.

p) Irrecoverable VAT

Irrecoverable VAT is charged against the category of resources expended for which it was incurred.

2. Results of the parent undertaking

The gross income and result of the parent charity excluding those of its subsidiary were as follows:

2022 2021
£ £
Gross income 5,536,229 9,385,748
Net movement in funds 1,479,823 4,532,911

3. Subsidiary undertaking

The charity has a wholly owned trading subsidiary, GroceryAid Trading Limited, by virtue of the ownership of that company's entire share capital of 10,000 ordinary £1 shares, to which all voting rights are attached. The subsidiary is incorporated in the U.K., company registration number 02952403. GroceryAid Trading

Page 25

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

Limited may be used to operate certain activities that might be regarded as trading. The Trading Company’s registered office is 2 Lakeside Business Park, Swan Lane, Sandhurst, GU47 9DN. The subsidiary donates its taxable profit to the National Grocers Benevolent Fund under the Gift Aid scheme. A summary of its trading results for the year to 31st March 2022 is shown below and accounts will be filed with the Registrar of Companies.

Profit and Loss Account - Summary
Turnover
Net Profit/(Loss) and Retained Reserves
The subsidiary’s net assets were comprised as
follows:
Debtors
Cash at Bank
Creditors
Net Assets/(Liabilities)
4. Voluntary Income – Donations and Legacies
Donations - unrestricted
Voluntary Income – restricted:
Grant from Leverhulme Trade Charities Trust
Funds for retailer hardship fund
TOTAL		 2022
2021
£
£
7,184,325
19,485
1,966,727
(424,865)
3,594,605
1,976,556
3,081,231
1,247,244
(5,021,232)
(3,535,923)
1,654,604
(312,123)
2022
2021
£
£
1,413,513
4,432,821
746,666
466,666
100,000
250,000
2,260,179
5,149,487

In accordance with FRS 102 and the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the accounts.

5. Fundraising – all Unrestricted

Central fundraising
Central fundraising - unrestricted
Allocated support costs
PR Marketing
Total current central fundraising
Gifts in Kind
Total		 2022
Income
Expenses
Surplus
8,683,550
(4,595,016)
4,088,534
(1,549,762)
(1,549,762)
35,910
(35,910)
-
8,719,460
(6,180,688)
2,538,772
563,042
(563,042)
-
9,282,502
(6,743,730)
2,538,772

Page 26

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

Central fundraising
Central fundraising - unrestricted
Allocated support costs
PR Marketing
Total current central fundraising
Gifts in Kind
Total		 2021
Income
Expenses
Surplus
3,226,736
(397,025)
2,829,711
(1,105,911)
(1,105,911)
111,870
(111,870)
0
3,338,606
(1,614,806)
1,723,800
-
-
- -
3,338,606
(1,614,806)
1,723,800

PR Marketing costs includes the estimated value of discounted advertisements placed in various trade publications of £35,910 (2021: £111,870) and related development work. This support is to help raise the awareness of the work of the charity and its fundraising efforts.

6. Branch fundraising

2022 2021
Income Expenses Surplus Surplus
£ £ £ £
Total Branch Fundraising 217,135 (39,961) 177,174 18,263

Gifts in Kind are included in the individual branch fundraising income and expenses above amounting to £nil in total (2021£nil)

7. Investment income

Dividend and other investment income
Bank deposit interest receivable
Other investment income
Total Investment Income		 2022
2021
Unrestricted
Funds
£
Total
Funds
£
Total
Funds
£
238,814
238,134
222,086
20
20
26
228,663
228,662
994
467,497
467,497
223,106

Page 27

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

8. Charitable expenditure

2022
Monetary Grants
Provision of goods and services
Allocated support costs
Total
2021
Monetary Grants
Provision of goods and services
Allocated support costs
Total		 Unrestricted
Funds
£
Restricted
Funds
£
Total
Funds
£
2,501,340
736,138
3,237,478
1,192,593
115,778
1,308,371
1,053,925
-
1,053,925
4,747,858
851,916
5,599,774
Unrestricted
Funds
£
Restricted
Funds
£
Total
Funds
£
2,228,805
508,055
2,736,860
1,108,291
184,779
1,293,070
949,890
-
949,890
4,286,986
692,834
4,979,820

The grants paid to individuals are to relieve financial hardship in accordance with the objects of the Charity. The provision of goods and services includes one-off crisis payments, provision of basic essentials, helpline facilities, respite and other goods and services in furtherance of the charity’s objects.

9. Governance costs

Audit – Current year
Audit – Relating to Prior year
Meetings
Legal advice
Trustees’ expenses
Trustees’ indemnity insurance		 2022
2021
£
£
28,127
22,240
-
-
36
1,500
78,256
72,422
887
48
6,372
934
113,678
97,144

Page 28

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

10. Other Expenses

Legal advice
Release of other creditor
Prior year		 2022
2021
£
£
-
67,111
-
-
3,020
3,020
(67,111)

Legal advice in 2020/21 relates to the legal and professional costs incurred in terms of the investigation into accounting irregularities in one of our volunteer fundraising branches. This matter has now been concluded.

11. Support Costs

2022
Staff related costs
Direct costs (note 9)
Overheads
Governance costs		 Central
Fundraising
Charitable
Activities
Governance
Total
£
£
£
1,236,533
633,528
143,484
2,013,545
-
-
113,678
113,678
294,225
143,385
19,850
457,460
-
277,012
(277,012)
-
Total allocation 1,530,758
1,053,925
-
2,583,683
2021
Staff related costs
Direct costs (note 9)
Overheads
Governance costs
Total allocation		 Central
Fundraising
Charitable
Activities
Governance
Total
£
£
£
842,897
541,431
136,953
1,521,282
-
-
97,144
97,144
248,855
152,365
11,803
423,216
-
256,094
(256,094)
-
1,091,753
949,890
-
2,041,643

The costs shown above are not specific to any one activity and have been allocated on the basis of a judgement as to the proportion of time spent on each of the activities.

Page 29

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

12. Staff costs

Salaries
Temp Staff
Employer's National Insurance
Pension contributions
Health insurance		 2022
£
1,544,389
52,741
166,054
121,087
12,040
1,896,311		 2021
£
1,221,767
1,440
130,447
98,176
9,738
1,461,568

The average monthly head count was 36 staff (2021: 29 Staff) and the average monthly number of employees (including casual and part-time staff) during the year was as follows:

Charitable welfare
Fundraising
Governance
Average Headcount		 2022
2021
14.4
13.2
19.9
14.1
1.7
1.7
36.0
29.0

8 out of the total of 36 employees at the year-end are part-time (2021: 7 out of 29 employees). There were 4 employees (2021: 6 employees) with emoluments above £60,000 per annum.

The number of senior post holders and other staff who receive emoluments, excluding pension contributions but including benefits in kind, in the following ranges were:

2022 2021
£60,000 to £69,999 - 2
£70,000 to £79,999 - -
£80,000 to £89,999 1 2
£90,000 to £99,999 1 -
£100,000 to £109,999 1 1
£110,000 to £119,999 - -
£120,000 to £129,999 - -
£130,000 to £139,999 1 1

(ii) The pension arrangements operated by the charity are for all members of staff and provide benefits on a defined contribution basis. Contributions paid in accordance with the rules of the scheme are charged to the statement of financial activities as they become payable. The cost for the year was £121,087 (2021: £98,176) and there were no outstanding or prepaid contributions at the balance sheet date.

(iii) The charity holds an investment bond, valued in the accounts at £945 (2021: £2,810), which is used to supplement the pension of a former Director General.

(iv) Funds belonging to the Charity have been used for the purchase of insurance to indemnify the Trustees against the consequences of any neglect or default on their part. The cost recognised for the year in providing that insurance was £6,372 (2021: £934).

Page 30

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

(v) The key management personnel of the charity comprise the Trustees, Chief Executive, Fundraising Director, Welfare Director and Finance Director & Company Secretary. The total employee benefits of the key management personnel of the charity were £510,993 (2021: £497,378).

13. Tangible assets

Cost:
Brought forward
Additions
Disposals
Carried forward
Depreciation
Brought forward
Charge for year
Disposals
Carried forward
Net book value carried
forward
Net book value brought
forward		 Freehold land
and buildings
Office Equipment
Furniture,
fixtures and
fittings
Total
£
£
£
£
1,197,855
96,215
36,395
1,330,465
131,099
40,696
7,174
178,967
(16,666)
(11,578)
(4,780)
(33,024)
1,312,288
125,333
38,789
1,476,408
141,414
54,544
11,728
207,696
12,156
16,867
2,929
31,952
(2,275)
(9,675)
(3,010)
(14,960)
151,295
61,746
11,647
224,688
1,160,993
63,587
27,142
1,251,721
1,056,422
41,661
24,667
1,122,720

All of the Charity group's fixed assets were held for functional charity use and other than one freehold property which is retained for direct charitable purposes; all assets are used in the running and administration of the Charity.

Page 31

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

14. Intangible assets

Cost:
Brought forward
Additions
Disposals
Carried forward
Depreciation
Brought forward
Charge for year
Disposals
Carried forward
Net book value carried forward
Net book value brought forward
15. Investments
Analysis of Movement of Investments
Market value at beginning of year
Additions to investments at cost
Disposals at market value
Net gain/(loss) on revaluation
Market value at end of year
Investments held
Listed investments
Investments in subsidiary undertakings
Total investments held		 Website
Software
Total
£
£
£
35,720
131,337
167,057
3,456
13,725
17,181
-
-
-
39,176
145,062
184,238
5,357
113,235
118,592
7,664
8,293
15,957
-
-
-
13,021
121,528
134,549
26,155
23,534
49,689
30,363
18,102
48,465
Group
Charity
2022
2021
2022
2021
8,957,345
7,328,752
8,957,345
7,338,752
231,030
215,938
231,030
215,938
-
-
-
-
724,618
1,402,655
724,618
1,402,655
9,912,993
8,947,345
9,912,993
8,947,345
9,902,993
8,947,345
9,902,993
8,947,345
-
-
10,000
10,000
9,902,993
8,947,345
9,912,993
8,957,345

Unrestricted fund investments consist of a portfolio of listed investments managed on the charity’s behalf by professional fund managers. The following investments make up more that 5% of the total investment portfolio:

folio:
% of total Market Value
BNY Mellon Global Income Fund Newton 15% £1,524,081
Inst Shares 1
Newton Growth and Income Fund for 29% £2,879,763
Charities Inc Class
Rathbones Core Investment Fund for 40% £3,941,894
Charities
CCLA COIF Charities Property Fund 16% £1,555,588

Page 32

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

16. Debtors

Current:
Trade debtors
Amounts due from subsidiary undertaking
Other debtors
Prepayments
Accrued income
Loans receivable secured on property		 Group
Charity
2022
2021
2022
2021
2,279,637
1,219,909
77,175
42,387
113,439
-
1,333,029
473,770
1,500
1,500
141,517
75,985
80,901
75,985
108,190
129,777
108,191
129,777
3,862,373
1,897,441
381,206
249,649
8,111
8,111
8,111
8,111
3,870,484
1,905,552
389,317
257,760

17. Cash at bank and in hand

Head office bank current account
Head office deposit accounts
Trading Co bank account
Branch bank accounts *		 Group
2022
2021
£
£
925,429
4,418,784
74
74
3,081,231
1,247,243
4,271
7,931
4,011,005
5,674,032		 Charity
2022
2021
£
£
925,429
4,418,784
74
74
-
-
4,271
7,931
929,774
4,426,789

*Deposit account in Northern Ireland only.

18. Creditors: amounts falling due within one year

Trade creditors
Other creditors
Accruals
Deferred income
Amounts due to subsidiary undertaking
ement on deferred income balances was as
Balance brought forward
Released to statement of financial activities
Fund raising proceeds received
Balance carried forward		 Group
2022
2021
£
£
(1,091,151)
(189,263)
(667,526)
(4,073,007)
(196,822)
(37,554)
(4,176,029)
(1,032,172)
-
-
(6,131,528)
(5,331,996)
follows:
(1,032,172)
(545,619)
1,032,172
545,619
(4,176,029)
(1,032,172)
(4,176,029)
(1,032,172)		 Group
2022
2021
£
£
(1,091,151)
(189,263)
(667,526)
(4,073,007)
(196,822)
(37,554)
(4,176,029)
(1,032,172)
-
-
(6,131,528)
(5,331,996)
follows:
(1,032,172)
(545,619)
1,032,172
545,619
(4,176,029)
(1,032,172)
(4,176,029)
(1,032,172)		 Charity
2022
2021
£
£
(176,211)
(181,157)
(667,526)
(896,199)
(155,546)
(33,094)
(224,449)
(689,369)
-
(302,267)
(1,223,732)
(2,102,086)
(744,217)
(744,217)
1,032,172
545,619
(4,176,029)
(1,032,172)
(4,176,029)
(1,032,172)		 744,217
744,217
(375,799)
(689,369)
(375,799)
(689,369)

Movement on deferred income balances was as follows:

Page 33

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

19. Commitments under operating lease

Office equipment
Amounts to be paid
Within 1 year
Between 2 - 5 Years
Over 5 Years		 2022
£
8,625
17,269
-
25,894		 2021
£
5,748
3,451
-
9,199

Operating lease costs in the year ending 31st March 2022, were £5,748. (2021: £6,231)

20. Funds

At the balance sheet date restricted funds were represented by current assets with the balance of the Charity's assets and liabilities were representing the unrestricted funds.

The Designated Funds represent two funds:

The Restricted Funds comprise:

GROUP Brought
forward		 Income Expenditure Gains/
(losses)		 Transfers Carried
forward
Year to 31 March
2022
General funds
Unrestricted fund 11,470,288 11,152,647 (10,920,027) 724,617 131,096 12,558,620
Designated funds –
Covid 19		 893,131 - (614,541) - 278,590
Designated funds –
office refurb		 - 228,000 - - (131,096) 96,904
Total general funds 12,363,419 11,380,647 (11,534,568) 724,617 - 12,934,114
Restricted funds
Leverhulme Trade - 746,666 (746,666) - - 0
Charities Trust
Retailer hardship 25,500 100,000 (105,250) - - 20,250
fund
Total restricted 25,500 846,666 (851,916) - - 20,250
funds
Total funds 12,388,918 12,227,313 (12,386,484) 724,617 - 12,954,364

Page 34

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

CHARITY Brought
forward		 Income Expenditure Gains/
(losses)		 Transfers Carried
forward
Year to 31 March
2022
General funds
Unrestricted fund 11,792,412 4,461,563 (6,195,670) 724,617 131,096 10,914,017
Designated funds –
Covid 19		 893,131 - (614,541) - - 278,590
Designated funds –
office refurb		 - 228,000 - - (131,096) 96,904
Total general funds 12,685,543 4,689,563 (6,810,211) 724,617 - 11,289,511
Restricted funds
Leverhulme Trade
Charities Trust - 746,666 (746,666) - - 0
Retailer hardship
fund 25,500 100,000 (105,250) - - 20,250
Total restricted
funds 25,500 846,666 (851,916) - - 20,250
Total funds 12,711,043 5,536,229 (7,662,127) 7,24,617 - 11,309,761
GROUP & CHARITY Brought
forward		 Income Expenditure Gains/
(losses)		 Transfers Carried
forward
Year to 31 March
2021
General funds
Unrestricted fund 8,916,869 6,516,112 (5,365,348) 1,402,655 - 11,470,288
Designated funds 1,500,000 (606,869) - 893,131
Total general funds 8,916,869 8,016,112 (5,972,217) 1,402,655 - 12,363,419
Restricted funds
Leverhulme Trade
Charities Trust 1,668 466,666 (468,334) - - 0
Retailer hardship
fund - 250,000 (224,500) - - 25,500
Total restricted
funds 1,668 716,666 (692,834) - - 25,500
Total funds 8,918,536 8,732,778 (6,665,051) 1,402,655 - 12,388,918

During the year ending 31[st] March 2022, a property that had been owned by the Charity was sold for £228,000. The funds, net of fees was set aside as a designated fund to be used for the refurbishment of the Sandhurst Head office.

Page 35

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

21. Net assets

2022 Consolidated Group
Tangible fixed assets
Intangible fixed assets
Investments
Current assets
Current liabilities
Total
2022 Charity
Tangible fixed assets
Intangible fixed assets
Investments
Current assets
Current liabilities
Total
2021 Consolidated Group
Tangible fixed assets
Intangible fixed assets
Investments
Current assets
Current liabilities
Total
2021 Charity
Tangible fixed assets
Intangible fixed assets
Investments
Current assets
Current liabilities
Total		 Unrestricted
Funds
Restricted Funds
Total
£
£
£
1,251,721
-
1,251,721
49,689
-
49,689
9,902,993
-
9,902,993
7,861,241
20,250
7,881,491
(6,131,528)
-
(6,131,528)
12,934,114
20,250
12,954,366
Unrestricted
Funds
Restricted Funds
Total
£
£
£
1,251,721
-
1,251,721
49,689
-
49,689
9,912,993
-
9,912,993
1,319,091
20,250
1,319,091
(1,223,732)
-
(1,223,732)
11,289,511
20,250
11,309,762
Unrestricted
Funds
Restricted Funds
Total
£
£
£
1,122,770
-
1,122,770
48,465
-
48,465
8,947,345
-
8,947,345
7,554,084
25,500
7,579,584
(5,331,996)
-
(5,331,996)
12,340,668
25,550
12,366,168
Unrestricted
Funds
Restricted Funds
Total
£
£
£
1,122,770
-
1,122,770
48,465
-
48,465
8,957,345
-
8,957,345
4,659,049
25,500
4,684,549
(2,102,086)
-
(2,102,086)
12,685,543
25,550
12,711,043

Page 36

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

22. Legal status of the Charity

The Charity is a company limited by guarantee and has no share capital. The liability of each member in the event of a winding up is limited to £1.

23. Reconciliation of Net Incoming Resources to Net Cash (Outflow)/Inflow from Operating Activities

Net income/(expenditure) for the reporting period
Income from investments
Interest receivable
(Gains)/losses on investments
Depreciation & Amortisation
Loss (Profit) on sale of fixed assets
(Increase)/Decrease in debtors
Increase/(Decrease) in creditors
Net cash (outflow)/inflow from operating
activities		 2022
2021
£
£
565,446
3,470,382
(467,476)
(223,080)
(20)
(26)
(724,617)
(1,402,655)
49,131
40,112
16,840
508
(2,032,531)
1,182,179
889,882
1,992,444
(1,703,345)
5,037,113

24. Reconciliation of Net cash Flow Movement in Net Funds

Increase/(decrease) in cash in the period
Change in net funds
Net funds at 1 April
Net funds at 31 March		 2022
2021
£
£
(1,663,027)
4,994,007
(1,663,027)
4,994,007
5,674,032
680,025
4,011,005
5,674,032

25. Analysis of changes in Net Funds

1-Apr-2021 Cash flows 31-Mar-2022
£ £ £
Cash at bank 5,674,032 (1,663,027) 4,011,005

26. Related party transactions

During the year ending 31st March 2022, there were no related party transactions (2021: nil).

Page 37

NATIONAL GROCERS BENEVOLENT FUND, trading as GROCERYAID Notes to the Financial Statements for the year ended 31[st] March 2022

27. Parent company Statement of Financial Activity

Income from:
Donations and legacies
Central fundraising
Branch fundraising
Investment Income
Total Income
Expenditure on:
Cost of generating funds
Central fundraising
Branch fundraising
Charitable activities
Grants
Goods and services
Other Expenses
Total Expenditure
Net gains/(losses) on investments
Net income/(expenditure) and net
movement in funds
Reconciliation of funds:
Total funds brought forward from
previous year
Total funds carried forward		 Unrestricted
Funds
Restricted
Funds
Total
2022
£
£
£
1,413,513
846,666
2,260,179
2,591,418
-
2,591,418
217,135
-
217,135
467,497
-
467,497
4,689,563
846,666
5,536,229
2,019,373
-
2,019,373
39,961
-
39,961
3,239,087
736,138
3,975,225
1,508,770
115,778
1,624,549
3,020
-
3,020
6,810,211
851,916
7,622,127
724,617
-
724,617
(1,396,032)
(5,250)
(1,401,282)
12,685,543
25,500
12,711,043
11,289,511
20,250
11,309,761		 Total
2021
£
5,787,151
3,353,912
21,578
3,353,912
9,385,748
1,205,246
3,315
3,401,783
1,578,037
67,111
6,255,492
1,402,655
4,532,911
8,178,132
12,711,043

Page 38