REGISTERED COMPANY NUMBER: 03901671 (England and Wales) REGISTERED CHARITY NUMBER: 1101885 EPORT OF THE TRV TEES AND UNAUDITED Fif4ANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2022 FOR FOOD ETHICS COUNCIL PANY LIMITED BY GUARANTEE ACO Chariot House Limited Chartered ACCounts 44 Grand Parade Brighton Easl Sussex BN2 9QA
FOOD ETHICS COUNCIL CONTENTS OF THE FINANCAAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2022 P8g¢ Report ol the Trustees Independent Examiner's Report 10 ststement of FiJaneial Activities Balance Sheet 12 to 13 Notes to the Finsncial Statements 14 to 21
FOOD ETHICS COUNCIL REP RT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022 The trusiees who arc also directOT5 of the charity for the PUTP05¢5 of the Companies Act 2006. present their report with the finan¢ial statements of the charity for the year ended 31si Decernber 2022. The trus(ees have adopted the provisTrons of Accounting and Reporting by Charities.. Statetnent of Rtcomrnended Practice applicable to charities preparing their accounts in accordance with the Financial Rew1ing Stsndard applicable in the UK and Republic of lTeland (FRS 102) (effective l January 2019). OWECTIVES AND ACTtVITIES Objectives aim$ About the Food Etbits Council The Food Ethics Council believe5 we can have a bet. fairer focd sySt¢m: where evcryone eats w¢ll and hunger is a distant m¢Tnory' wher¢ farniers and f(MMt producers make a d¢¢ent living. animals are treated humanely. and the ¢nvin)nment is respected. Who we are We are a registered chariry aDd our WO is not for profit. We are not atfiliated to any w)litical party or religious organisatLOtI. Our Council member5 are appointed as individuals. They bring a broad range of expertise to our work, fro academic research through to pmti¢al knowledge of foo(L farniing. business and policy. Our rnembers lead our work in a voluntary capaciry and our staff suppyrts them through resvdrch, aDalysis and advocxy. What we do We work as an indepeDd¢nt think-and-do tanL whos¢ purpose 1$ to bring ethi¢s to the (entre of fo(Kl system5. We bring expert15e togetheT providkng the ethical tools and space for hone5L thoughtfvl and nLwic¢d dialogue. We challenge )usine55 as usual, and support stakeholders lo consider the wider impacts of our fiN)d systems. Fundamentally. we work to promote considered. long-terni solutions to real-world fo(xl systems problems. and we strive to provide a safe space for those sn the food and fam)ing se£tor Wanilt to be pat of this shift. In thi5. we help to create an enabling ¢nvironment, overcome barriers and design fairer ways in which food systems. their component part5 and food businesses can opernte. This i5 all in lin¢ wKth our mission". to accel¢rate the shift to fair and resilient f(Nxi sV5tems which respect Ople. animals and the planet. Our Objects l. To promote education for th¢ public ben¢fit in i&wes of ethic& economic and s(Kial studie& politic& science and public policy. as they relate to foLxI and agriculture. 2. To promote for the public ben¢fit research in any of the above fields of education and to publish the use1 results of that research. What we work OD Our work spans ethical concerns in food and farniin& from care for the envtronment (including the climat¢ and biodiv¢rsity crises) and anilnal welfar¢ io sLa1 justice. from health & nutriti(m to socially equitabl¢ food sy5tetns. (lur work is UK-fUsSed, but situated within a global dhical framewoTk. How we are funded The Food Ethi¢s Council 15 fiEnded by a mixture of grant fundin& selective consultaney. Business ForuTn rnembership and individual donations. The directors only accept that will not compromise the charity'5 independence. Page I
FOOD ETHJCS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR EP4DED 31ST DECEMBER 2022 OWECTIVES AND ACTIVITIES Publie btnefit In shap our objectives and planning our activities for the year. the TTUStees have given consideration to the duties set oul in Section 17{5) of the Charities Act 2011 io have due regard to public benefit. In particular, the TTrtee5 have considered how the planned activities will contrtbute to the overall aims and objectives that they have set. The Trustees believe that ih¢ paragraphs above. and those in the section 'Achievetnent and Perfoance,. convey in detail the benefits that the Charity provides the public. Page 2
FOOD ETHICS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022 ACHIEVEMENT AND PERFORMANCE Overview of tbe year 2022 was a year of S]lficant challenges. yet we have Tnore reasons for hope than ever before. Although it was a tUTbul¢nt and difficult year, we were deepl). molivad by the creativity, energy and expertis¢ of the organisalion's staff team, partners, Council and allres. We saw the County emerge from inlmnittent lockdowns, only to be plungd into a cost-of-living crisis. We experienced numerous shifts in the policy landsca with significant milestones for fLTh)d and farniing. including the IoDg-awaited publication of the Government Food Strdtegy and th¢ iDtroduction of th¢ Sustainable Famiing Incentive and Landscape Recovery schemes. Fo(xl and fartning were thrown inio the global spotlight at COP27 in Sharn) El-sheikh and was woven through conversation5 at COP15, th¢ UN Biixiiversity Conference in M(mtreal. Our work in 2022 was energising and diverse. We coniinued to weave the threads of our ongolljg projects, as well as respond with agility and nuance 10 some of the pressing and unexpected challentses arose. We made a Splash in the media and rdised significant awareness around the unethical milk contracts that lock dairy fartn¢rs into unsustainable practices, and continued to nurture relationships with l)oth famiers and buyers to SUPFth a transition toward more ethical dairy systems. We published our guide to CoTnmunity F£KxI Resilience. the result of two years of Co-designing a Strategy out of hous¢hold food tnsecurity, which culminated in a well-attende(L thought-provoking event which sent ripples acros5 individua15 and organisations worksnu on food and hunger. We also saw numerous shifts across civil s(Kiety, academia and business from'consumerf io'cilizen, approxhes through our work in cultivating the f¢xKI citizenship movelnent. Below we have caPred highlights from our work in 21Y22. We #re supporting d#iry farrner5 to tr*nsitioD to fairer. MOT¢ ethical dairy systeEllS The Dairy Project launched in 2021 w work with dairy faTrner5 and other stskeholders T055 the sector to identify opportunities for enablinu fairer and more ethical dairy Systems. The year 2022 Saw significant changes at knth a global and national level, impaeiing the dairy sector and wider so¢iety. Increasing uncertainty about the tUre strueture and viability of the UK'S food landape has reaffirmed our need io ¢onsi5tenily touch base and sense check the priorities of the Dairy Project with the faTmin. community. tkspite tnore imminent C4)ncerns and ¢thical iension5 around the rising cosi of living. we have identifled that per5iSteni problems. particulatly the physical and mentsl healih of farmers. undesirable working condition5 and inequitable rewards (including relationships and contracts with mi]k buyers). and the need to attraci new entrants to the sector remain vital areas of fo¢us for the projecl going forward. In 2021, the project held open discussions wtth farniers to hear their general thoughts and concerns with the dairy sector and wider food and fam)ing. 2022 has sttn us continue thi5 dialogue with famiers but the ConVer10n has been more targeted. We haye focused on building r¢lationships acr05s the dairy value Chai ci)nwlidattng and sense Checking farmer priorities, and sharpening our project focus to ¢nsure optimum impact in 2023. Moving forwarf our focus will be on finding PTactical solutions and overcoming b8rriers for fairer and more ethical dairy, with a particular focus on people at the heart of dairy. Page 3
F(K)D ETHICS COUNCIL REPORT OF THE TRUSTEE FOR THE YEAR ENDED31 DECEMBER 2022 We are bwildiDg COmmUDity food resili¢DC¢ Following a two-year progtamme hosted by the FcKd Ethics Council to cfrdevelop long-terni strat¢gi¢s to lead out of hous¢hold food insecurity in the UK we launched our guide to Community Food Resilience in 2022. This work was all about exploring how we can shift away from Current emergency f¢yJd aid m(Klels, and instead orient community food organisatlOD5 toward5 approaches that build long terni community fo(MJ resilience. The guide tncludes insights. tools aT)d case studies which aim to stimulate alternative ways of thinking at f{ and poveny. The food citizenship framew'ork is foundational to this Work. in PToviding the twls w¢ need to imagine and create a fair¢r f(th system for all. In March 2022, we hosted an onlille event with 150 participants from across the UK to explore how we can bulld COEnThunity food resilience. and empower communitles to tackle hwjger. hardship and injustice with dignity, and ultimately build community We heard insights from those who have en doing it Dn-the-0Und and explored what Ork is siill to be done to make thing5 better now and in the future. We CommilOned artist Ali Spaul to do a visual captur¢ of the evenL which was widely shared on social m¢di& Following the launch of the work, we continued to engage with and support organisations at the Sharp end of the inequality crisis. We spoke at the Cambridge City Council F(M)d Poverty Beyond the Pandemic conference in May. We ar¢ a rn¢mber of the Hunger and Hardship SteeTing Group which exists to share thinkin& knoThledge and experience from acad¢rnic5 and the UK not-for-profii s¢dor. linking with government and the food industy in order to deliver the actions and recommendations needed to end hull8er. hardship and injustice in the UK. We have also worked with the Food. Farniing and Countryside Commission's Beyond the F¢d Bank collaborntion as well as wider advocacy and prawatic work in relation to comrnunity fo(Ml resilienc¢. We are eultivating the food eittzenship movement Food citizenyhip dtplores Éhg ideL7 that we (we jttgl consumers ihe end ofihefood cknin. butparticipanis in ihefood rysiem as a whole- Ihui we c¢Jn engage be)4>Ndourwckets io oIc nouTh1n& ihrivingfoodcommwiitiu. Sinc¢ 2016 we have been working io nourish the FO citizen world. FIKKI ciliz¢nship is the antidote to passive onsumerism. connecting people with their power ID the fo(yJ system. Throughout 2022. our work to strengthen the f(N)d Citizenship movement gained significant rnomentum. providing the foundation to our work on building community. fo resilience. supporting and strengthening the work of key partners and stakeholders Such as Food for Life, Sustainable FLM)d Place5 aljd Sustain. and reaching out to develop new links and networks including work wrth Social Fanns and Gardens Nl. Stir to Action and Ulster Univetsfftty. Delivery of workthops. keynote talks and presentstions plorIn amplifying and operationalising f(MMI citizenship was planned with partlcular interest in place5 and spaces that may not have encountered the fo citizen rnind5et. whilsf also bolstering and supporting or8anisaiions already on the road io a food ciiizeEJ world. We also convened infomial spac£5 for people to pause. TeflecL empathise and consider whether and how the principles of food citizenship can help unlock challenge5 in their L)MTrJ work. At the ginning of the year we created a unique food citizenship twitter account @ukfoodeitizens to amplify and ¢ngage with fiK)d citizen organksations and initi1VeS on sla1 media. which now has over 51MI followers. Page 4
FOOD ETHICS COUNCIL REPORT OFTHE TRUSTEES FOR THE YEAR EYDED 31ST DECEMBER 2022 We are enCouragig fairer business practitt In our Business Forum, w'e bring tooether p¢¢rs from across the sector and expert S[kerS in a safe and friendly space. We enCOure fra1 sharing of insights and opinion& which givc5 ¢X¢CUtive5 the confidence to take positive action loward running faiier, tnore eihical food businesses. In 2022: we held four in-petson Busine%5 Fonjm dinner meetinrws alld hvo online meetings. Thtse were a diverse rdnge of rel¢vant topics including enabling dairy famiers to transilion to more eihical dairy; navigating the cost-of-living cnmch in ways that are fair for people, animals and planet; rearting to the UK GoveTnTnent's White Paper response to the Naiional Food Strdtegy- reimagining futur¢ food supply ¢hains lo bc more resilieni,. examining the role of carbon farn?ing- plus the fmal part of our 'food. chatity and the Boardroom, in partnership ith the University of Sheffield. We publish non-attributed writr-ups from discussions. to allow others to benefit fitsrn these insights. We have an excitin progrdmme for 2023, with a mix of in-person drnner events and online meetings. with tsui Business Forum members helping set the agenda. Our Business Forums provide a uniqu¢ opportunity to engage bustnesses with some of the most pressing moral issues in food and farniin£: and w¢ use our unique FK)Sition as convenors and faciliiators to share insiuhts gained from our project work with business executives, io enable system-wide change. For example. in March 20?2 we shared early famiers. insioJts from our Dairy Proj¢¢t with Business Forum members and in ?02i we will be runnin(T a Business Forum meetiniF on Food CiiizenshEp. In ?023 we will work to bring ne members inio our Busines5 FO. We will a150 be hosting oui IOOth Business Forum in 2023 and will use this OPFK>rtunity to fi]rther rdise th¢ profile of our Busine$5 Forum community- In 2022, our Executive Director. Dan Crosslev. continued to write a regular rnonthly column foT The Grocer, a leading food sector magazine, which has givcn the organisaiion a good plaifomi to be able io enJtr ue a much wider range of btssiness leaders. Th¢ articles. providing challenge and ideas on differeni ethical f(x)d issues. have been well received date. We are challenging policy to be fairer for 811 Our work in 2022 continued to promoie a fatr. inclusive and iY>ld w)lic)rynakTng environment. We rake pride in our onncctions and knowledge of the UK policy landscape and continue to publish PTattital, limely and well-evidenced re5ponse5 to key policy 8nnouncements_ Both our Executive Director and our Council te5ponded to the Govemmeni Food Strategy in 2022, staling that the sirdtegy is not ot]l>' piecerneal and iTreaL bllt a150 unethical. Thi5 response tsained over 5,(100 impressions when shared on Twiiier. We conliT)ue to be involved Èn joint advocacy and respond io key relevani oovernmeni consultations. We also continue to run our illnovative Food Policy on Trial serie& where we critically explore ld policy ide&s with the help of expert witnesses, a jury. of membets of the Fo(yJ Ethics Council and a wider audience. In ?022. our Executive Director Dan Crossley was part of Defra's Consumer Stskeholder Group." the FSA Consumer Siakeholder Fonun: and the Hunger and HJrd5hip Strering Group. The Food Ethics Council is a member of Eating Better, an observer of Sustain. part of CLEAR alliance and a part of Susthin's FIMMJ Learnino Fotun. amongst others. We believe in a fair policymaking process- in¢luding me•Jingfvl engageTnent of people a5 fiN)d ¢Ètizens wher¢ appropriate. We will conttnue io promote fair and inclusive policymaking. and to explore IK)Id p)Iicy 501utions in 2023. We are bringing our food etbics insigbts to be*r We are nourishang a space for chan(remaker5 via our #FoodTalks serie5. in partnership with others and we contin¢ to promote tools and resources to enable'in ihe round. decision-making and io address injustices in food and farniing. Through speaking platforms, the media. in blogs. on social media and in meetings and workshops. we coniinue to push for a food Sy5teTn that Is fair and resilient for people. planet and animals- with ethics at its centre. Thank you to all those that have supported us We would like io thank everyone that h35 been part of our collective rni55ton thi5 year. We particularly want to thank our funders for being so supportlve in thalleno jTto times. These include Joseph Rowntree Charitable Trust. Esmée Fairbaim Foundation, A Team Foundation, Polden lknckham Charitsble Foundation, sankalp4 JAM Today and Arnold Clark Community Fund. We also want to thank ihe staff ieam. Council membets and all those have interacted with us in 2022 to help us deliver the wide-ranging impacts we have. Page 5
FOOD ETHICS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022 FINANCIAL REVIEW Financial position Toial incotnino resources for the year amounted to £121298, £71.667 restricied and £49,631 unrestricied (2021: £149.532, £65,000 restricted and £84,532 llnrestricted) and total expenditure amounied to £136,524, £77,101 Stricted and £59,423 ut]resirict¢d12021.. £130.963, £29.139 restricted and £IO1.824 unresiriciedl. The ioral net outgoing resources for the year amounted to £15 ?26 12021.. incoming- £18.569). Net ou1goin of £5.434 {2021'. net incomings £i5:861} ere used on restricted projecis which now total £43,696 (20?1- £49.130) There 15 a nei deficit for the vear for the year of £9.79212021: net deficit £17,292) on unre5tricied general reserves which now stsnd * £12.13712021= £21.929). Rtserves policy The Food Ethits Council's reserves trfylicy is that the unresirict¢d resmie level should normally be equal to four to six Tnonths of the anticipated expenditure from utjrestricted fijnds for the following year. Unrestricted reserves at the end of 202? did not fall within ihe tem15 of ihe policy. However. we kept thi5 under close scnjtin), with ihe strong likeliho(xl of additional beinu received in earl), 202J. We are Working with the staff team io further strenothen our longer-terni firtancial security. The Food Ethic5 Council recognises that Ti may be approprtate to allow the reserve to fluctuate as a result of short-term cash inflows aDd outflows. Risk Review The Trustees have concluded their own review of the Tnajor risks to which the charity is exposed and sy5t¢Tns have been established to manaoe those risks. SiJts ificant ektemal risks to funding have led to the development of a strategic plan, which will allow for the continued diversification of funding and activities. Internal risks are minimised by the implementation of procedures for authorisation of all ttansactions and projects and to ensu consistent quality of delivery for all operat2onal aspects of th¢ charitable company. These pr(K¢dures are periodically reviewed to ensure that they still meet the needs of the charity. Impacts ofCOVID-19 COVID-19 has had hug¢ impacts across the world. and h&s increased risks for many chariiies. We have reviewed the situation regularly ai Board tneetings. We have tsken 51eps to rnitigaie th¢ impacts of the pandemic and have demonstrated considerable resilience and adaptability. which have put us in a go(Ki wjsiiion to strengthen our s¥npacL at a time when our work has never been more needed. FUTURE PLANS Looking ahead 2023 will be another critical year for f(MKI and famiin& and We continue to Work to facilitate transfomiative chanoe for people. animals and the planet In 2023. we WKII explore hiw we can keep the pressure on and ensure that progress towards a more ethical, sustainable f(x)d 5ys(em is not losi or d¢gTaded in the midst of the crises_ We will involve fi)od businesses and brand5 in responding to the 0w1n tnovement of people and organisations who want to Sha food systems for the beiier, rather ihan pa55ively accepting that we are SiTnply consutners ai the end of a sllpply chain. We will ramp up our activity on our Dairy Project, supponing farniers to transition io fairer. more ethical dairy. And we will do mueh rnore. We cannot address these questions alone and we 5ttk paÉTn¢rship. participatson and support from others working in this space. Whether you are using ond sharing out resources. -aging in even joining our networks or supporting us financially, our ability to build more just. TeSLlieni and joy] f¢xKI fvtt]res relies on collaratIon. We ar¢ in this together and hope you will join us, particularly in 2023, our 25th anniversary year. Page 6
FOOD ETHICS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER2022 STRUCTURE, GOVERNANCE AND mNAGEMEN[ Status The organisation is a charitable company limited by giiaTzntee. incorrated on 4 January 21KK) and r¢gistered as a ¢harity on 3 Febrnary 201H. The company was established under a Memorandum of Association, which established the objectives and powers of the charitable company and 15 governed under its Articles of Associln. Under those articles. one-third of the Trustees (those who have been longest in office since their last appointment) must rdire from offitt at the ATJnual General Meetln The Members have guarante¢d to contribute a MlMUrn of £10 each in the event of the company being wound up. Charity CODStitution The Food Ethics Council was estsblished in 1998. The company was previously called the Independent Council for Ethical Standards in Food and Agriculture Limited. The company name was changed to the Food Ethi¢s Council by special resolution at a meeting on 4 November 2003. By special resolution at the same meeting the Memorandum and Articles of Associalion were amend¢d. Membership The council consists of up to twenry member5 at any titne. Including scientists, philosophers, farmers and civil society leaders. The tnembers elect trustees (directors) who are responsible for Tnanaging the charity. These are listed on page 8. We have operated a roiating Chair miKlel Since ?016. whereby a different trustee take5 over the role of Chair for a defined period on a rorating basis. This proved successful in it]volving trustees even more deeply in our work, so we have continued this in 2022 and into 2023. At the end of 2022, there were 15 Council members= Jon Alexander. Founder of the New Citizenship Project Dr Julian Baggini.. Freelance wrirerl philowpher (Chair 2023) Chloe Donovan, Founder, Hundred "Ver Fartn CIC Dr Nigel Dower. Honordry Senior Le¢ller in Philosophy, University of Aberdeen Professor Eli32beth Dowler= Emeritus Profe550r of F¢d and Social Polity. University of Warwi¢k Ralph Early". Independent Fo(¥J Scientist and Foj Ethicist (Chair 9022) Professor Moya Kneafsey.. Research Centre Director at the Centre for Agroecology. Waler and Resilience Covenlry UniveT5ity Ruth LaOn.. Founder and Director, Sankalpa Joanna L¢wis: Policy and StregY Dircctor, Soil Ass(Kiation Parrick Mulvany.. Agriculturalist: Director, KamayiN' Hon. Research Fellow, Centre for Agroecology, Water and Resilience {CAWR). Coventy University Pete Riichie.. Director of Nourish Scotland: organi¢ faTTner Dr Alexandra Sexion: Leverhulme Early Career ReseaTcIL Felk)w, Depatknent of Geography, the University of Sheffield Albert Tucker.. Independeni con5ultani, advis(Trr and social entrq)reneur Patti Whaley.. R¢tired, Non-Executive Direcior Deirdre (Dee) Woods: Co-founder Granville Community Kitchen" member GLA London F(M)d Board Two Council member5 resigned during the year. David Croft.. Global Director, Sustainability, Environment and Human RKghts. Reckiil Cathryn Higgs.. Head of FO Policy at the co-olratiVe F(hyJ Org8ni$8ilonal Strllcture Th¢ charity is run by the Board comprising th¢ Trnstees who delegate the day th day running w the Principal oificer. Dan Cros51ey. Page 7
FOOD ETHICS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31ST DECEMBER 2022 REFERENCE AND ADMINISTRATIVE DETAIiS Registered Comp2ny Dumber 03901671 (England and Wales) Registered Charlty number 1101885 Registered offiee Kings Cross Hub 34b Y(xk Way London NI 9AB Trustee5 Ms R Layton (resigned 51512022) M5 J Lewis (resign¢d 611012022) Ms P Whaley R Early Dr N Dower Ms C Donovan Dr J Baggini Mr A Tucker {apwinted 415r2022) Compat)y Secretary Mr D Crossley lTrdtptndent Examiner P J Thacker FCA tKhA Chariot House LImid Chartered Accountsllts 44 Grand Parade Brighton East Sussex BN2 9QA Bankers Triodos Bank Deanery Road Bristol BSI SAS Page 8
FOOD ETHICS COUNCIL REPORT OF THE TRUSTEES FOR THE YEAR EP4DED 31ST DECEMBER2022 STATEMENT OF TRUSTEES. RESPONSIBILITIES Th¢ trustees (who are also the directors of Food Ethics Council for the putTK)ses of company law) are responsible for preparing the Report of the Trustees and the financial sthtements Tn accordance with applicable law and UDlted Kingdom Accounting Standards (United Kingdom Generally Accepted AccountiDg Practice). Company law requires the twstees to pree fman¢ial statements for each financial year which give a tThe and fair view of the slate of affairs of the charitable company and of the incoming resource5 and application of reSOue5, including the income and expenditure, of the charitabl¢ company for period. In prepanng thos¢ financial statements, the trusiees ore required to select suitable accounting poli¢i¢s and then atqyly them wnsistently- observe the meihLKls and principles in the Charity SORP: make judgemcnts and estimates that are re180nable and prudent: prepare the fmancial statements on the going concern basis unless it is tnappropri* to presume that the charitable colnpany will continlle llj business. The trustees 2re reswnsibl¢ for keeping proper accouniing records which disclose with re&8onable accuracy at any lime the financial position of th¢ charitable company and to enable them to ensure the financial sratements comply with the Companie5 Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for tsking reasonable Steps for the prevention and deiection of fraud and other gularitieS. Lou Approved by order of the board of tn¢5 on.. . and signed on its behalf by: Dr J Baggini- Trustee Page 9
JNDEPENDENT EXAMINER'S REPORT TOTHE TRUSTEES OF FOOD ETHICS COLINCIL Independent examiner's report to the trusttts of Food Ethic5 Co£11 {'the CornpaDy') I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 st December 2022. Responsibilitie5 basis of rert As the charity's trnstees of the Company (and a]so its directors for the purFK55es of company law) you are responsible for the prepardtion of the accounts in a¢¢ordance with the Tequirements of the Companie5 Ad 2(M)6 (Ihe 2006 A¢V). Having satisfied myself that the accounts of the CotApany are llot required io be audited under Pan 16 of the 2006 Act and are eligible for independent examin10, I rew)rt in respect of my examination of your chartty's accounts as carried out (F oui my examination I have followed the Directions under s119 145 of the Charities Act 2011 Ilhe 2011 A¢V)- In carryin. given by the Chartty Commission under Section 145(5) (b) of the 2011 Ad. Independent examiDer'5 Statement I have completed Tny exafftination. I confwm no matters have to my attention in comieciion with the examin&ion givÈng tne cause to believe- accounting record5 were not kept in res1 of the Company as required by Section 386 of the 2006 Act.. or the accounts do not accord with those records.. or the a¢¢ounts do not cornply with the arxountin- 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 the accounts have not been prq)ared in accordance with the meth(Kls and principles of the Statement of Recommended Practic¢ for accountine and reporting by charities (applicable to charities preparing their accounts tn accordance with the Financial Reportin(r Standard applicable in the UK and Republic of Ireland (FRS 102)). I have no concerns and have come acros5 no other Tt]atteT5 in connedion with the examinatiotj to which attrntion should be drawn in this report in order to enable a proper understanding of the accounts to be reached. P J Thacker FCA DChA Charioi House Limited Chartered Accountants 44 Grand Parade Brighton East Sussex BN29 Page 10
FOOD ETHICS OUNCIL STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING AN INCOME AND EXPENDrruRE ACCOUN FOR THE YEAR ENDED 31ST DECEMBER 2022 2022 Total fi]nds 2021 Total funds Unrestricted fut)ds Restricted funds Notrs INCOME AND ENDOWMENfs FROM Charitable activitie$ Subscriptions and other primary PUTpose trading Charitable Grant 18.493 31,1 18,493 102.767 32.443 117,050 71.667 Investment incom¢ 38 38 39 Totsl 49.631 71.667 121 149.532 EXPENDITURE ON Charitable activities Chariiable activities 77,101 136 524 130,963 NET INCOMEI(EXPENDITURE) (9.792) (5,434) (15,226) 18,569 RECONCILIATION OF FUNDS Total ndS brought fornard 21,Y29 49,130 71,059 52.490 TOTAL FUNDS CARRIED FORWARD 4i.696 55,833 71.059 CONTIF4UING OPERATIONS All income and expenditure has arisen from continuing activities. The not¢s forni part of these financial ststements
FOOD ETHICS CO IL GISTERED NUMBER: 039(JI BALANCE SHEET 31ST DECEMBER2022 2022 Totsl fijnds 2021 Total fimds Unrestricted fijnds Restricd funds Notes CURRENT ASSETS Debtors Cash at b8nk 5.396 12.0?5 5,396 2.956 73,420 43.696 17.421 43,696 61.117 76,376 CREDITORS Amounts falling due within one year 12 (5.284) (5.284) {5,317) NET CURRENT ASSETS 12.137 43.696 71,059 TOTAL A&SETS LESS CURRENT LIABILITIES 12.137 43,696 55.833 71,059 NET ASSETS 43.696 55.833 FUNDS Unre5trict¢d funds= General fund JRCT Unleashing Fo(Kl Ciiizenship 13 12,137 19,495 12,137 Restricied funds 49.130 TOTAL FUNDS The ¢htiritable company 15 entitled to exemption from audit under Section 477 of the Companies Act 2(M)6 for the year ended 3 1st December 2022. The members have not required the company to obtain an audÈt of its fmancial statements for th¢ y¢ar ended 3 1st December 2022 in accordance with Sectton 476 of the Compallies Act 2006. The trustees acknowledge their resw)nsibilitie5 for ensuring that the charitabl¢ company keeps accowiting r¢¢ords th comply with Sections 386 and 387 of the Companies Act 2006 and preparing financial slal¢menis which giv¢ a trne and fair view of the slate of affairs of th¢ charitable company as al the end of each fmancial year and of its surplus or deficit for each financial year in accordance with the requirements of Sectsons 394 and 395 and which otherwise comply 1th the r¢quirem¢nts of the Companies Act 2006 rel*ing to [anCia]staternellty so far as applicabl¢ to the chatKtsble cornpany. (b) The notes forni part of these financial statements Page 12 conlinued...
FOOD ETHICS COUNCIL REGISTERED NVMBER: 03901671 BALANCE SHEET- continued 31ST DECEMBER 2022 These financial 51atements have been prepared in accordance with the wivisions applicable to charitable componies subjeci to the small companies regim¢. The fll)ancial 5talemenis wer¢ approved by the Board of Trus*es and authorised for issue on ....... . and were signed on it5 behalf by.. I 2oLJ Dr J Bag8ini- Trusi¢¢ The note5 fom) part of these financial ¥atemellts Page 13
FOOD ETHICS COUNCIL NOTES TO TH FINANCIAL STATEMENTS FOR YEAR ENDED31ST DECEMBER 2022 ACCOUNtING POLICIES Aecounling basis and 5talldards The financial stsiements of th¢ rharttable company. which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accountino and Reporting by Chariiies.. Statement of Recommended Practice applicable io charities preparing their accounts in accordance with the Financial Reponing Standard applicable in the UK and Republic of Ireland (FRS 102) (tfftve l January 2019),, Financial Reporting Standard 102 The Finan¢ial Reporting Standard applicable in the UK and Republic of Ireland, and the Companie5 Act 2006. The financial statern¢nts have beetl prepared under the historical cost convention. At the time of approving the financial the have a reasonable expeclation that the charity has adequate resources io continue in operational existence for the foreseeable tllre, includinu tsktnu into account any potential irnpatt of the Covid-19 pandeTniE and on that blS the dwity is considered to be a going concern. Income All income is rQgnised in the Ststement of Financial Activities once the charity ha5 entitlelnent to the fid5, it is probable that the incoTn¢ will be received and the amowli can be measured reliably. ExpedItre Liabilities are recognised as expenditure as sn as there is a leg or constwctive obligation committing the charity to that expenditure, it 15 probable thal a trdnsfer of economic benefits will be required in s¢ttl¢m¢nt and th¢ amollnt of the obligation can be measured reliably. ExndItUre is accounted lor on an aceruajs basis and has been classified under headings that aogregate all cost related to the Cagory. Wh¢r¢ costs cannot be darectly attributed to partitular headings they have been alloced to aciiviiies on a blS consistent with the use of resources. Taxatlo The Charity is considered to p&%s the tests set in Paragraph I S¢hedul¢ 6 Finance Act 2010 and therefore it meets the d¢finition of a charitsble company for UK Corporation purp05¢s. Accordingly the Charity is potentially exempt from tsxation in respect of income or capithl gains received within categories covered b) Chapter 3 Part I I Cotpoiaiion Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992. 10 the extent that su¢h income or gains are applied exclusively to clwttable purposes. Funds Unrestricted Funds are donations and other incoming resourc£s receivable or genaxted for the objects of the charity without further specified pu$¢ and available &8 generdl funds. Restricted funds are to be used for specific purposes as laid by the donor. Expenditure which Tneets these criteria xs charged io the fund, together with a fair allocion of management and support Costs. Pe$ion costs aDd other post-retir¢m¢nt benefits The charitable company operdte5 a dered rontribucion pension 5¢herne. Contributions payable io the charitable compaiiy'5 pension s¢h¢m¢ are charged to the Sta*Ml of Financial Activiiics in the period to which they relat¢. Fised xsstts Recognition and Tneasurement Fixed as5E15 are measured at C05t les% accumulated depreciation and any accumulatcd irnpairtnent losses. Pag¢ 14 continued...
FOOD ETHICS COUNCIL NOTES TO THE FJf4ANCIAL STATEMENTS- eot)tIDued FOR THE YEAR ENDED 31ST DECEMBER 2022 ACCOUNTING POLICIES- Continued Fixed #55ets Depreciation is calculated a straigbt line method. Depre¢i*ion is provided to writ¢ down the ¢ost l¢ss estimated residual values of tangibl¢ fExed ets overth¢ir ¢stimated lives at annual ratrs of: Fixtures, Fittings and EquirAnent 250/0 per annum The company capitslis¢s red assets with a value in excess of £500. INVESTMENT INCOME 2022 2021 Interest receivable- trading 38 39 INCOME FROM CHARITABLE AcfiviTtES 2022 2021 Grants Joseph Rowntree Charitable Tn Arnold Clark Community Fund Charitie5 Aid Foundation Esmee Fairbairn Foundation The A Team Foulldation Polden Puckhaln Charitsble Foundktion JAM Today Oursankalpa CIC 11,767 1,000 35,000 1,000 550 50.000 15,500 50.000 10,000 15,000 102 767 Page15 continued...
FOOD ETHICS COUNCIL NOTES TO THE FINANCIAL STATFMF.prrs- conttrsued FOR THE YEAR ENDED 31ST DECEMBER 2022 CHARITABLE AcfivITIES COSTS Direct Costs (see note 5) Charitabl¢ artiviti 136 524 DIREcf COSTS OF CHARrrABLE ACTIVITIES 2022 2021 Siaff costs Recruitment Other C0515 Activity Costs Premises Costs Accountsncy 112,793 1,134 4,399 8,885 7,693 110,523 421 2,815 8,907 6,746 136,524 130,963 NET INCOMEI{EXPENDITURE) income1(expendifte) is ststed after chargingl(crediting): 2022 2021 Independent Examinels fee 1.320 1.296 TRUSTEES, REMUNERATION AND BENEFITS There were no trnstees, remuneration or other bthefits for the year a)ded 31st December 2022 nor for the year ended 3 1st December 2021. Trustee5' ¢xp¢n5es Travel and 5ubsi5t¢nc¢ rosts 8mouMing to £285 (2021: £148) were reimbursed to 3 Trnst¢¢s (2021: 2 Trustees) Page 16 continued..
FOOD ETHICS COUNCIL NOTES T THE FINANCIAL STATEMENTS- eontinu¢d FOR THE YEAR EP4DED 31ST DECEMBER 2021 STAFF COSTS 2022 2021 Wag¢s and salaries Social security costs Oth¢r pension costs 106,010 4.390 2.393 103,923 4,139 112,793 110.523 The Average Nwnber of Ernployees on a Full TiTn¢ Equivalent b&5iS TS 2.9 (2021: 3.0) The average tnonthly number of employees durÈng the yearw&s as follows.. 2022 2021 Totsl No employ¢es received emolurncnts in exce55 of £60,(KIO. Key Manag¢Tnent emoluments alnountrd to £44,554 (2021: £41,229) COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestrt¢ted fimds Restricted fimds Total funds INCOME AND ENDOWMEiYfs FROM Charitable g¢tiviti¢s Subscriptions and other primary putpose trading Charitable Grdnt 32.443 52,050 32,443 117.050 65,(1 Investment income 39 39 Total 84.532 65.0(K) 149,532 EXPENDITURE ON Charitable activiiies Charitable activities 101.824 29.139 130,963 NET INCOMEI(EXPENDITURE) (17.292) 35.861 18.569 RECONCILIATION OF FUNDS Total funds brought fonvard 39221 13.269 52.4 TOTAL FUNDS CARRIED FORWARD 21.929 71.059 Page 17 conlinued...
FOOD ETHICS COUNCIL NOTES TO THE FINANCIAL STATEMENTS- continued FOR THE YEAR ENDED 1ST DECEMBER2022 io. TANGIBLE FIXED ASSETS Fixtures fttting5 COST At 1st January 2022 Disposals 10.910 10,910 At 3 1st December 2¢Y22 DEPRECIATION At Isi January 2022 Eliminated on disposal 10,910 10.910 At 31st December 2022 NET BOOK VALUE At 3 1st December 2022 At 3 1st DeMr 2021 DEBTORS: AMOUNTS FALLING DUE WITHI]¥ ONE YEAR 2022 2021 Trnde debtors 5,396 12. CREDITORS: AMOUNTS FALLING DUE WMIIN ONE YEAR 2022 2021 Social securiry and other t&xes A¢¢Tuals and deferred Income 3.046 2.238 2,561 2,756 5,284 Page 18 continued...
FOOD ETHICS COUNCIL NOTES TO THE FINANCIAL STATEMENTS- eontillued FOR THE YEAR ENDED 31ST DECEMBER 21122 ij. MOVEMENT IN FUNDS Net movement in fund5 At 31112122 At 111122 Unrestricted rDdS General fund JRcf Unlvdshing Food Citizenship 19.495 (7.358) 2.434 12.137 21.929 (9.792) 12.137 Restricted funds The A Team Foundation E5ée Fairbairn Foundation JRCT Making Food Citizenship the Norni 6.473 42,657 (6,473) 986 53 43,6A3 53 TOTAL FUNDS 71.059 15.2261 55.833 Net movement tn funds. included in the above are follows: Incoming Resource5 expended Movement in funds UDrestricted funds Generdl fund JRCT Unleashing FI Citizenship 49.531 l(M) (56.889) 2.534 {7,358) 49.631 (59.423) (9.792) Restricted funds Polden Puckham Charitable Foundation The A Team Foundation Esmee Fairbairn FOundlon JRCT Making Fd Citizenship the Nomi 10,o(M) (10.(x)o) (6.473) (49.014) (6,473) 986 53 50.000 71.667 77,101 5,434 TOTAL FUNDS 121 136.524 15.226 Page 19 continued...
FOOD ETHICS COUNCIL NOTES TO THE FINANCIAL STATEMENTS- eotstinued FOR THE YEAR ENDED 31ST DECEMBER2022 13. MOVEMENT IN FUNDS- eontinueil Comparative5 for moveThent funds ovement in fimds At 3111121 At 111121 Unrestricted fuDd5 General fund JRCT Unleashing Food Citizenship 38,5(K) (19,005) 1.713 19.495 2.434 39221 (17,292) 21,929 Restricted funds Polden Puckham Charitable Foundation The A Team Foundation Esmée Fairtjairn Foundation 9,300 3.969 (9:3(K)) 2,504 6,473 42.657 13.269 35.861 49,130 TOTAL FUNDS 52.490 18.569 71,059 Compardtive net movement in funds. included in the above ar¢ as follows: Incoming Resources expended Movement in funds Unrestricted funds Genernl fund JRCT Unleashing Fotwj Citizenship 49.532 35.0(M> (68,537) 33,287 (19,005) ,713 84,532 (101.824) (17.292) Restricted funds Polden Puckham clttable Foundati( The A Team Foundation Eslnée Fairbairn Foundation (9.31K)) (12,496) 7.343) (9,300) 2.504 42,657 15,(KM) 50.1 29.139 35.861 TOTAL FUNDS 149 532 130.963) 18,569 Page 20 ntinued...
FOOD ETHICS COUNCIL NufES TO THE FINANCIAL STATEMENTS- continu FOR THE YEAR ENDED 31ST DECEMBER2022 13. MOVEMENT IN FUNDS- ntinueI 2022- re5trieted grants Polden Puckham Charitable Foundation 1$ SUprtIng our succtssl Food Policy on Trial seri¢s, putting important contentious food-re1ed policy i&sues'in th¢ dock, at a critical lime. The A TeaTll Foundation grant was for work kn reframe poverty using fo cttizenship and to establish what community fo(wJ organisations can do to build community food resilience. Esmée Fairbairn Foundation grant 1$ to help us initie a fatn)er-led trdnsition to fairer. rnote ethi¢al dairy systems. JRcf - Making Food Citizen5hTP the Nonn grdnt SUFVlrts work to accelerate the growth of the food ciiizenship movelnent to replace the dominant consumer mindset; #nd io nurture a space that builds community food resilience in the UK allowing p¢oplel communities to thrive. 2021- restricted grants Polden Puckham Charitable Foundation is supporting our successful Food Policy on Trial series. putting important contentiou5 food-related wlicy issues'iD the dock. al a critical time The A Team F(Trundation grant 15 for woJ to reframe poverty using fo citizenship and to establish what community food organisations can do to bllild communiry f(x)d resilience Esmée Fairbairn Foundation grant is to help us initiate a farmer-led transition to Fairer. more ethical darry systems. 14. RELATED PARTY DISCLOSURES A Wdnt of £15,IK>O (2021.. £15,0(Ml) was received from a CIC of which Ms R tayton. a TTUStee of the charity during 2022, is a director. Pag¢21