# **THE WILLOW TREE TRUST (A Company Limited by Guarantee)**
**Company No: 04625426 Registered Charity No: 1096149**
**FINANCIAL STATEMENTS FOR THE YEAR ENDED**
**28TH FEBRUARY 2023**
## **The Willow Tree Trust (A Company Limited by Guarantee)**
## **Trustees and Directors**
P.E. Flintoff D.J. Horner D.R. Philips
## **Company Secretary (Resigned)**
Halco Secretaries Limited 5 Fleet Place London EC4M 7RD
## **Independent Examiners**
Moore Kingston Smith LLP 6th Floor 9 Appold Street London EC2A 2AP
## **Solicitor**
Charles Russell Speechlys LLP 8-10 New Fetter Lane London EC4A 1RS
## **Registered Office**
6th Floor 9 Appold Street London EC2A 2AP
## **Investment Advisors**
Close Brothers Asset Management Ltd 8th Floor 10 Exchange Square Primrose Street London EC2A 2BY
Page: 1
## **The Willow Tree Trust (a Company Limited by Guarantee) Trustees' Report For the year ended 28th February 2023**
The trustees submit their report and the accounts for the year ended 28th February 2023. The charity was incorporated as a company limited by guarantee on 24th December 2002 and commenced its activities on 18th February 2004. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to Charities preparing their accounts in accordance with the financial reporting standard applicable in the UK and Republic of Ireland, 'The FRS 102 Charities SORP' published on 16 July 2014.
The registered charity number is 1096149 (Company number 04625426) and the governing document is the Memorandum and Articles of Association.
## **Objects**
The Willow Tree Trust has been formed as a charitable trust, with a mission in particular to advance the education of individuals, to provide resources to obtain the relief from sickness and for the research into the causes and cures of human diseases, and to relieve poverty. All grants made are for the public benefit.
## **Review of the year**
The income and expenditure for the year is stated on page 5. Grants made for charitable purposes in the year are disclosed in note 4 to the financial statements. The balance on the Statement of Financial Activities has been carried forward.
From the highs of the previous year, the value of the funds held by the Trust fell by about 5% for the first half of the current financial year before recovering by the end of it. Financial markets reacted badly to the wellpublicised turmoil within the UK government as it struggled to find suitable leadership.
Dividend income was unaffected by these problems and the Trust remains able to meet its objectives comfortably.
The Trust has still been unable to make payments to recipients in Sierra Leone during the year. The country remains on the Financial Action Task Force’s list of countries to which the investment managers remain unable to make payments.
As a consequence, the Trust is making grants principally to various charities operating within the UK. All awards and donations have been made in keeping with Trust guidelines and objectives of the Trust Deed.
## **Reserves Policy**
The trustees' intention is that £3,000,000 of the reserve should be retained on a permanent basis. The income earned from the investment of this reserve, after retaining a small amount for contingencies, will be distributed subject to suitable grant recipients becoming known to the trustees.
## **Risk Management**
The trustees have undertaken a review of the risks to which the Charity is exposed and have taken the necessary steps to mitigate those risks.
## **Trustees**
The current trustees, who served throughout the year are listed on page 1. Trustees are appointed in accordance with the Memorandum and Articles of Association.
## **Future plans**
In the upcoming year, the trustees intend to maintain the level of investment income received and this, in turn, will allow the Trust to maintain the current grants in place, as well being able to make additional grants where the trustees believe the applicants meet their charitable objectives.
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## **The Willow Tree Trust (A Company Limited by Guarantee) Trustees' Report For the year ended 28th February 2023**
## **Public Benefit**
The Trustees confirm that they comply with their duty to have regard to the guidance on public benefit published by the Charity Commission including the guidance 'Public Benefit: Running a Charity (PB2)' in exercising their powers and duties.
## **Statement of Trustees’ Responsibilities**
The trustees (who are also directors of The Willow Tree Trust for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law required trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charitable company and of the outgoing resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent; • state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006.
On behalf of the Trustees
**----- Start of picture text -----**
P Flintoff....................................... Trustee
Date:
12.10.23
**----- End of picture text -----**
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## **Independent Examiner's Report to the Trustees of The Willow Tree Trust (a Company Limited by Guarantee)**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 28[th ] February 2023.
## **Responsibilities and basis of report**
As the charity’s trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5) (b) of the 2011 Act.
## **Independent Examiner's Statement**
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
- 1) accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
- 2) the accounts do not accord with those records; or
- 3) the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination; or
- 4) the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
**Adam Fullerton, FCA DCHA** Date: 12 October 2023 Independent Examiner For and on Behalf of Moore Kingston Smith LLP
6th Floor 9 Appold Street London EC2A 2AP
Page:4
## **The Willow Tree Trust (a Company Limited by Guarantee) Trustees' Report For the year ended 28th February 2023**
|**Notes**
**Income from:**
Investments
3
**Total Income**
**Expenditure on:**
**Raising funds**
Investment management fees
**Charitable activities**
4, 5
**Total Expenditure**
Net gains/(losses) on investments
**Net income/(expenditure)**
Fund Balances Brought Forward
**Fund Balances Carried Forward**
9|**2023**
**£**
198,589
**198,589**
38,111
114,072
**152,183**
37,896
**84,302**
5,602,342
**5,686,644**|**2022**
**£**
175,308|
|---|---|---|
|||**175,308**|
|||37,382
100,155|
|||**137,537**|
|||672,903|
|||**710,674**
4,891,668|
|||**5,602,342**|
All amounts relate to continuing activities.
All income and expenditure in 2023 and 2022 related to unrestricted activities.
Page: 5
## **The Willow Tree Trust (A Company Limited by Guarantee) Balance Sheet at 28th February 2023**
|**Note**
**Fixed Assets**
Investments
6
**Current Assets**
Debtors
7
**Creditors: Amounts falling due**
**within one year**
8
**Net Current (Liabilities)/Assets**
**Net Assets**
**Funds**
Unrestricted Funds
9|**2023**
**£**
65
(9,949)|**2023**
**£**
5,696,528
(9,884)
5,686,644
5,686,644
5,686,644|**2022**
**£**
476
(64,800)|**2022**
**£**
5,666,666
(64,324)|
|---|---|---|---|---|
|||||5,602,342|
|||||5,602,342|
|||||5,602,342|
For the financial year in question the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.
No members have required the company to obtain an audit of its accounts for the year in question in accordance with section 476 of the Companies Act 2006.
The directors acknowledge their responsibility for complying with the requirements of the Act with respect to accounting records and for the preparation of accounts.
The accounts have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) published on 16 July 2014.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
Approved by the Trustees on …………….12.10.23
P Flintoff....................... ~~.~~ ............... Trustee
**Company No: 04625426**
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**The Willow Tree Trust (a Company Limited by Guarantee) Notes to the Financial Statements For the year ended 28th February 2023**
## **1 Accounting Policies**
## **Accounting convention**
The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), published on 16 July 2014. The Charitable Company is a public benefit entity for the purposes of FRS 102 and therefore the charity also prepared its financial statements in accordance with 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 (The FRS 102 Charities SORP including Update Bulletin 2), the Companies Act 2006 and the Charities Act 2011.
These accounts have been prepared under the historical cost basis, except for investments, which are measured at fair value.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest pound.
## **Going Concern Basis**
The financial statements have been prepared on a going concern basis.
Having carried out a detailed review of the Charity's resources and the current economic challenges facing both the Charity and its members, the Trustees are satisfied that the Charity has sufficient net assets and cash flows to meet its liabilities as they fall due for at least one year from the date of approval of the financial statements. As such the accounts continue to be prepared on a going concern basis.
## **Critical Accounting Estimates and Judgements**
In the view of the trustees in applying the accounting policies adopted, no judgements were required that have a significant effect on the amounts recognised in the financial statements, nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year.
## **Income**
Investment income is accounted for when receivable and is stated gross of any reclaimable taxation
## **Resources Expended**
Liabilities are recognised as resources as soon as there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.
Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit fees together with support costs.
## **Direct Charitable Expenditure**
Direct charitable expenditure includes all expenditure incurred in pursuance of the charity's objectives. Grants payable are included in the Statements of Financial Activities when approved by trustees and offered to the grantee.
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## **The Willow Tree Trust (a Company Limited by Guarantee) Notes to the Financial Statements For the year ended 28th February 2023**
## **1 Accounting policies (continued)**
## **Fixed Asset Investments**
Investments are stated at market value at the balance sheet date. The SOFA includes the net gains and losses on revaluation and disposals throughout the year.
## **Realised and Unrealised Gains and Losses**
All gains and losses are taken to the SOFA as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (purchase date if later). Unrealised gains and losses are calculated as the difference between the market value at the year end and opening market value (or purchase date if later).
## **General Funds**
These represent funds which are not designated for particular purposes.
## **Financial Instruments**
## **Cash and cash equivalents**
Cash and cash equivalents include short term deposits with a maturity date of three months or less.
## **Basic Financial Instruments**
The charity only holds basic financial instruments as defined by FRS 102. Financial instruments receivable or payable within one year of the reporting date are carried at their at transaction price and subsequently at amortised cost.
## **2 Staff Costs**
The charity had no employees during the year or the previous period.
|**3**
**Investment Income**
Dividends
Interest
**4**
**Grants payable in furtherance of the objectives of the Charity**
Go Beyond (formerly Country Holidays for Inner City Kids "CHICKS")
Acton Homeless Concern
Society for Women and AIDS in Africa Sierra Leone Chapter
Rebuild (formerly KCH Limb Reconstruction Trust)
Justice Defenders (formerly African Prisons Project)
Apollo Music Projects (Apollo Chamber Orchestra)
Mossy Foot UK
Manchester Sikh Foundation (Feedmycity)
Scholarships for schools in Sierra Leone|**2023**
**£**
193,545
5,044
198,589
**2023**
**£**
18,000
20,000
10,000
20,000
10,000
15,000
-
93,000|**2022**
**£**
166,743
8,565|
|---|---|---|
|||175,308|
|||**2022**
**£**
15,400
15,000
-
10,000
10,000
18,000
10,000
15,000
-|
|||93,400|
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## **The Willow Tree Trust (a Company Limited by Guarantee) Notes to the Financial Statements For the year ended 28th February 2023 (Continued)**
|**5**
**Governance**
Independent examiners' remuneration - fee current year
Professional fees|**2023**
**£**
4,800
349|**2022**
**£**|
|---|---|---|
|||4,800|
|||-|
||||
||5,149|4,800|
||||
|**6**
**Fixed asset investments**
**2023**
**2022**
**£**
**£**
Market Value Brought Forward
5,585,721
4,864,279
Acquisitions at cost
178,524
207,921
Less: Disposal proceeds
(170,420)
(159,382)
Realised gains/(losses) on disposal
2,957
17,595
Net gain/(loss) on revaluation
34,939
655,308
**Market Value Carried Forward**
**5,631,720**
**5,585,721**
Historical cost
3,826,580
3,799,660
Investment cash held
64,808
80,945
**Total Investments**
**5,696,528**
**5,666,666**
**Geographical Analysis**
United Kingdom Investments
1,987,637
1,950,926
Overseas Investments
3,644,083
3,634,795
There are no investments that individually represent 5% or more of the total holding of the company.|**2023**
**£**
5,585,721
178,524
(170,420)
2,957
34,939|**2022**
**£**
4,864,279
207,921
(159,382)
17,595
655,308|
||**5,631,720**|**5,585,721**|
||3,826,580
64,808|3,799,660
80,945|
||**5,696,528**|**5,666,666**|
||||
|**7**
**Debtors: Amounts falling due**
**within one year**
Other debtors
Included in the above figure are financial assets of £nil (2022: £nil).
**8**
**Creditors: Amounts falling due**
**within one year**
Grant creditors
Accruals|**2023**
**£**
65|**2022**
**£**
476|
||**2023**
**£**
-
9,949|**2022**
**£**
60,000
4,800|
||9,949|64,800|
Page: 9
## **The Willow Tree Trust (A Company Limited by Guarantee) Notes to the Financial Statements For the year ended 28th February 2023 (Continued)**
## **9 Movement on Reserves**
|**Movement on Reserves**|||||
|---|---|---|---|---|
|Unrestricted:
General|**At 1st**
**March**
**2022**
**£**
5,602,342
5,602,342|**Incoming**
**Resources**
**£**
198,589
198,589|**Resources**
**Expended**
**£**
(152,183)
(152,183)|**At 28th**
**Gain in**
**February**
**the year**
**2023**
**£**
37,896
5,686,644|
|||||37,896
5,686,644|
## **10 Transactions with Trustees**
No trustee received any remuneration for services as a trustee nor any reimbursement of expenditure (2022 : none).
## **11 Members' Liability**
The company is limited by liability. In the event of the winding up of the company the members' liability is limited to £10 each.
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