CHARITY REGISTRATION NUMBER: 1102414 THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2025
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND FOR THE YEAR ENDED 31 DECEMBER 2025 INDEX Page Trustees, Report Report of the Independent Auditors 10-13 ststement of Financial Activltles 14 Balance Sheet 15 Notes to the Accounts 16-20
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 CHARITY REGISTRATION NUMBER: 1102414 PRINCIPAL ADDRESS: The Honourable Society of Lincoln's Inn Treasury Office Lincoln's Inn London WC2A 3TL NAMES OF CHARITY TRUSTEES: MrA G Boy18 KC (Chaiman) MrDHDayKC Mr J M Jarvis KC Mr P Jones KC BANKERS: C. Hoare & Co 37 Fleet Street London EC4P 4DQ AUDITORS: Haysmacintryr6 LLP 10 Quean Street Place London EC4R 1AG INVESTMENT MANAGERS: Legal & G8neral Group PIC Legal & General Investment Managem8nt One Coleman Slreet London EC2R 5A4
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2025 The TnJst8es present their annual report and Ihe audited financial statements for the year ended 31 December 2024. The financial statements have been prepared on the basis of the accountlng policies set oul on page 11 of the financial statem8nts and comply with the charitls trust d88d, applicable law and the requiremènts of the Statement of Recommended Pra1¢8 'Accounting and Reporting by Charities, issued in October 2019. The Twstees are responsib18 for the overall control and strategic dlrection of the charity. Trustees are appointed by The Honourable Society of Lincoln's Inn, in accordance with th8 governing document and are expected to act in the best inter8Sts of the charity and its beneficiaries. OBJECTS, OBJECTIVES AND PRINCIPAL ACTIVITIES The Denning Fund, pr8viously registered as charity number 282340, and the Lord Jenklns Fund, an unregistered charlty, were merged with effect from 9 December 2003 to fom a new harity called The Dennlng Fund in accordance with a Charity Commission Scheme. The Charity Commlssion Scheme is now the merged charity's goveming document under which the Trustees are empowered to asso¢iat8 awards, at their discretion, to any benefactor Identilted with either of th8 merging charities. The purposes of the charities have not changed. The merger was undertak8n to improve administration processes, make cost Savings and consolidate investments to offer the potential for higher investm8nt returns. The charity is a trust whose object is for gen8ral charitable purpos8s. The principal acllvily of the Trustees is to use the income generated and Fund capital to assist in Ihe provision of the scholarships or other awards to promote or aid the legal educallon of members of Lincoln's Inn and in particular stud8nts or pupils who intend to become practising members of the Bar of England and Wa188. ACHIEVEMENTS AND PERFORMANCE For the year ended 31 December 2025 Lincoln's Inn made 53 Denning Scholarship awards totalling £629k12024: 61 totalling £785k). The Denning Fund contributed £21 Ok towards these (2024: £171k). This represented 33.4% of the lotal awards. 21.8 % in the previous year. Investments this year have shown a gain of £911k (2024 gain of£740k). The Inn offers hOlarshIpS to candidates of the requisite quality who are graduates in Law or in subjects other than Law and who have indicated that their intention is to pra¢lise at Ihe Bar of England and Wales. Awards are mad8 to candidates on meril to assist them with their funding throughout their continuing professional education, bar vocational course and pupillage years because it is the Inn's view that these are the years when students need the most financial support.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 Merit is ass8ssed in terms of the candidate's intellectual qualities, which is of the highest Importan at the modern Bar. together with qualities of personality and presentation also regarded as being of the greatest importance in anyone aiming at life as a barrister. Merit is assessed by a consideration of all the material placed before the Inn by the candidat8 in his or her written application and references together, wher8 a candidate is invited for interview, with consideralion of the candidate by a pan81 of interviewers. Candidates whose wrillen applications do not, upon careful consideration, disclose the requisite quality, will not be invited for interview. Lincoln's Inn advertised the qualities it is looking for on ils w8bsite. Once scholars have b88n selected their financial award is calculated on the basis of thelr individual means. The scholars, means are calculated on the basis of their assets. savings, debt, other sources of financial support and projected 8XP8ns8s for the duration of their course or period of training. The Scholarships Committ8e sets out the formulas to be applied 8.g., only taking into account savings above a certain level and capping monthly expenses - and reviews this r8gularly. All scholars, will be awarded a minimum of £1,000. Lincoln's Inn does not discriminale unlawfully against any person on the grounds of that person's sex, colour, race nationality or ethnic or national origin, dlsability, sexual orientatlon, r81igion or belief. or age, or in any other way that is unlawful. The Truste8s of the Denning Fund believe that th8s8 application ¢riteria do not create unreasonable re5tri¢tions on access by candidates to the scholarships available. Investments are shown on the Balance Sheet at mark8t value in accordance with charlty accountlng rules. The Net Assets of the Fund increas8d by £925k from £8,535k to £9,460k, £751 k increase in 2025. GOING CONCERN ASSESMENT After making appropriate enquiries. the Trustees have a reasonable expectation that the Trust has adequate resources to continue in operalional existence for the foreseeable future. For this reason, they continue to adopt the going concem basis in preparing the financial stalemenls. Further details regarding the adoption of the going concern basis can be found in the accounting policies. FUNDRAISING Whilst we do not actively fundraise, we are fortunate to receive donations and bequests from time to time. We ar8 grateful for the generosity of the donors.
THE HONOURABLE SOCIETYOF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 GRANT MAKING POLICY The Denning Fund donates towards the overall level of individual awards and grants made by Lincoln's Inn. Income is earned from investments in the fomi of dividends and interest is transferred as received from the inv8Stment manager to the Honourable Society of Lincoln's Inn. Al lh8 end of each financial year the Trustees assess the value of the total transfer of funds that has been made for the year and pay a balancing amount to the Inn as an annual adjustment based on set crileria. Having reviewed the ¢riteria for Ihis accounting period there is no additional amount due to the Inn. In making a grant the Denning Fund Trustees expect the responsible Committ88 to supervise the spending of the monies gran18d. The D8nning Fund Trustees are not themselv8s in position to do so. Expenditure by Lincoln's Inn is controlled and managed by its various officers and monitored by the Finance, Education and Scholarship Comrnitte8s. Lincoln's Inn pays Ihe individual in queslion on approval from th8 r818vanl Committèes and on production of properly approvèd applications for scholarships payments. Once a payment has been made by the Inn, th8 Inn requests part or all of the prornised contribution from the fund. The value of contributions is never more than the total valu8 of scholarships., Lincoln's Inn makes up any shortfall. The Trust88s agreed that the grant making pollcy and procedure achieves the objectives of the Fund. RESERVES POLICY Th8 Trustees havé r8vi6wed the reserves of the Charity, which comprise of £696k unrestricted (£683k in 2024), £22k restricted {£20k in 20241 and £8,742k expendable endowm8nl1£7,833k in 2024). The Trustees have identified Ihal the end beneficiaries of the Charity are not in any way d8prived from tt)8 benefit of the Charity's objectives. The review encompassed the nature of the income slreams and the policy adopted by the Trustees, which they Gonsider to be prudent, to distribute the annual inv8Stment income of the Charity. The Trustees recognise that should the Inn become unable to fund its scholarships. the Trustees must hold sufficienl reserves to ensure the interesls of future beneficiaries. The Trustees consider the Charity's expendable endowment fund 15 suitable for this purpose. Grants are funded from fr88 reserves and income during the year. The policies are reviewed on a regular basis. The Trustees recognise that the reserves on the fund are high, as the tolal return approach is being applied. This approach assumes that anything above a 4¥0 return over a three-year period will be disinvested and contributed towards Lincoln's Inn scholarships. The aim is to ensure that Ihe trust continues to support its beneficiarl8s for twenty years. Since this policy has been put in place, due to investment market perfomiance, no disinvestment has been made.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES {cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 RISK MANAGEMENT The trustees have assessed the major risks to which the Trust is exposed and are satisfied that systems and pro¢edur8s are in place to mitigate exposure to the major risks. FUTURE DEVELOPMENTS The Trustees of Iha Denning Fund have r8viewed the overall stnjcture ané efficiency of the fund and consolidated the investments into one account managed by th8 Investment Committee and by the investment managers. The Trustees have reviewed the perfomiance of Ihe fund managers and will continue to do so al r8gular intervals. INVESTMENT POWERS AND POLICY In accordance with their powers under the Trust Deed, thè Trustees have delegat8d the managem8nt of the portfolio and the investment powers to the Lincoln's Inn Investrnent Committee. The Trustees have assessed Ihe major risks to which the Trust is exposed and are satisfied that syst8ms and procedures ar8 in place lo mitiga18 8xposure to the major risks. The Investment Committee meets with the fund managers twice a year and holds 0 additional meetings to consider the investment managerfs report. INVESTMENT PERFORMANCE The funds are invested with Legal & General under passiv8 management in pooled funds that track the market: while doing no better than Ihe market, the fund has done no worse. Legal & General levy charges consist of a flat per s¢h8me charge. plus an ad-valorem charge and a management charg8. LEGAL & GENERAL'S INVESTMENT MANDATE Legal & General manage the Scheme's assets on a passive basis in Iheir pooled index funds. The dislribulion of the Scherne's assets is to be maintained in predetermined proportions. LGIM'S purpose is to create a better future through responsible investing. Aligned to this purpose, ESG is a cenlral underpinning to all of LGIM'S activities and especially within strategic initiatives. LGIM has developed and publicly disclosed ils policies for slewardship activitie5. Their policies are reviewed annually and updated where necessary to ensure they remain aligned with the various evolving regulalions, best practi and client feedback. Where possible. cashflows into or out of the fund will be used to maintain Ihe asset distribution within the specified ranges. In addition, switches bebmeen asset classes will be implemenled should any asset classes move outside th8ir ranges.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES {cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 FUNDS The funds of the Charity comprlse of: unrestricted funds, which are expendabla In the furtherance of the Fund's obj8Ctives. expendabl8 8ndowment funds which were created by gifts a number of years ago. In accordance with the temis of the gift the capital fund is lo be maintained unless 11 is required to b8 spent and the income is treated as unrestricted income. The capital of the fund can be exp&nd8d at the Trustees, discretion. restricted funds arlse from a historic donation to a fund called the Joan Denning Prize In the opinion of the Trustees th8 Charity's assets are sufflcienl to meet its commitments. TRUSTEES. TRAINING AND REMUNERATION The fund was establlshed by members or fomier memb8rs of the Honourable Society of Lincoln's Inn and as laid out in its obj8clives when vacancies arise in Ihe body of Truste8S the Council of Benchers of The Honourable Society of Lincoln's Inn hold the power to appoint replacements. The Trustees are otherwise aulonomous. The in18rcompany account beeen the Inn and the Denning Fund al year end show5 a balance of£28,074 (2024.. £28,779) ow8d to the Inn. Ther8 were no other related party transactions. New Trustees are offered appropriate induction and training procedures. Consideration Is given to the skills r8quired and all Ihe appointed Trustees are experienc8d lawyers. The Charity has no employees, and no Truste8 received remun8ration for thelr s8rvices. TRUSTEES. RESPONSIBILITIES The Trustees are responsible for preparing th8 Annual Report and the Financial Stalements in acGordance with applicable law and United Kingdom Generally Accepted Accounting Practices (UK-GAAP). Law applicable to charities in England and Wales requires the Truslees to prepare financial statements for each year which gives a tru8 and fair view of the Charity's financial activities during the year and of its financial position at the end of the year. In preparing accounts giving a true and fair view, the Trustees should follow best practice and.. i) select suilabl8 accounting policies and apply them consistently. li} make judgem8nts and estimatas that are reasonable and prudent.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND REPORT OF THE TRUSTEES {cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 ill) state whether 8ppllcable accounting slandards have been followed, subject to any material departures disclosed and explained in the accounts, and iv) prepare the accounts on the going concern basis unless it is inappropriate to assume that the charity will continue in operation. v) observe the methods and principles of th& Charities SORP {FRS 102) The Trustees are responsible for k88ping accounting records which dlsclose with reasonable accuracy th8 financial position of the charity, and which enable them lo ascertain the financial position of the charlty and allow them to ensure that the accounts comply with applicable law. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detedion of 8rror, fraud and other irregularitles. The Trustees meet regularly to oversee the activitie5 of the charity and to make decisions on its strategic direction. The Trustees are responsible for setting pollcies and monitoring the h8rity's financial position and performance. All significant decisions a tak8n collectively by the Truslees, in accordance wlth the procedures set out in the governing document. Decisions ar8 generally mad8 by consensus or, where necessary, by majority vole, with a quorum present as required by the governlng document. Given the si28 of the charity, the Tnjstees do not operate formal sub-committees. All matters are considered by the full Board. Approved by the Trustees on.. 6 May 2026 and sign8d on their behalf by: Mr Alan Boyle KC Chairman of the Trustees
INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES OF THE HONOURABLE SOCIETYOF LINCOLN'S INN THE DENNING FUND FOR THE YEAR ENDED 31 DECEMBER 2025 OPINION We h8va audited the financial statements of The Honourable Society of Lincoln's Inn Denning Fund for the year ended 31 December 2024 which comprise the Statement of Financial Activities, Balanc8 Sheet and notes to the financial statements, inclLJding a summary of significant accounting policies. The financial raporting framework that has been applied in their preparation is applicablè law and United Kingdom Accounting Standards, applicable in the UK and RepubliG of Ireland (United lQngdom Generally Accepted Accounting Practice). In our opinion, the financial statements: give a tru8 and fair view of thè state of the charity's affairs as of 31 D8cember 2025 and of the Charity's net movem8nt in funds for th8 year then ended. have been properly prepared in accordance with Unit8d Kingdom Generally Accepted Accounting Practice., and have been prepared In accordance with the r8quirernents of th8 Charities Act 2011. BASIS FOR OPINION We have been appointed as auditor under s8clion 144 of lh8 Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Audiling (UK) {ISAs IUKI} and applicable law. Our responsibilities under Ihos8 Standards are further described in the Auditor's responsibillt18s for the audit of the financial stalements section of our r8POrt. We are independent of the charity in accordanc8 Wlth the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we hav8 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 basi5 for our opinion. CONCLUSIONS RELATING TO GOING CONCERN In auditing the financial statements, we have concluded that the Irustees, use of the going concern basis of accounting in the preparation of Ihe financial statements is appropriale. Based on the work we have performed, w8 have not id&ntified any material uncertainties relating lo events or conditions that. individually or collectively. may cast slgnificant doubt on the Charity's ability to continue as a going concern for a period of at least iwelve monlhs from when the financial statements are authorised for issue. Our responsibilities and the rasponsibilities of the Trustees with re$p8Ct lo going concem are described in the relevant sects'ons of this report.
INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES OF THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND FOR THE YEAR ENDED 31 DECEMBER 2025 OTHER INFORMATION Th8 Trustees a responsible for the other information. The other infomiation Gompris8S the information included in the Trustees, Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly ststed in our r8POrt, we do not axpress any fom of assurance conclusion thereon. In connection with our audit of th8 financial slatemants, our responsibility is to read the other information and, irb dolng so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the audit or otherwis8 appears to be materially misstated. If we identlfy such material inconsistencies or apparent material misstatements, we are required to determine whether thera is a material misstalemant in the financial slataments or a material misstatement of the othar infomiation. If, based on the work we have p8rformed, we Conclude that there is a material misslat8ment of this other infomalion, we are required to report that fact. We have nolhlng to report in this regard. MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION We have nothing to report in respact of the following matters in relation to whlch the Charities (Accounts and R8POrts) Regulations 2008 requlr8 US to report to you if, in our opinion- adequate accounting records have not been kept by the charty.. or sufficient accounting records have not been kept; or the charity financial slalements are nol in agreement with the accounting records and retums., or we have not received all the infomiation and explanallons we require for our audit. RESPONSIBILITES OF THE TRUSTEES FOR THE FINANCIAL STATEMENTS As exp18ined more fully in the truslees, responsibilities statement set out on page 6, the Trustees are responsible for th6 preparation of the financial statements and for being satisf18d that they give a true and falr view, and for such internal control as the Trustees determine is n8cessary to enabl8 the preparation of financial statements that are free from materlal misstatement, whether due to fraud or error. In pr8paring the financial statements, the Trustees are responsible for assessing th6 charity's ability to continue as a going concern. disclosing, as applicable, matters related to going concern and using the going concern basis of aGcounting unless the Trustees either int6nd to liquidate the Gharily or to cease operations. or have no realistic alternative bul to do so.
INDEPENDENT AUDITORS, REPORT TO THE TRUSTEESOF THE HONOURABLE SOCIETY OF LINCOLN'S INN (cont...) THE DENNING FUND FOR THE YEAR ENDED 31 DECEMBER 2025 AUDITOR'S RESPNSIBILITES FOR THE AUDIT OF THE FINANCIAL STATEMENTS Our objectives are to obtain reasonable assurance about whether the financial slatemenls as a who18 are free from material misstatemenl, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high18vel of assurance but is not a guarantee Ihat an audit conducted in accordance with ISAS {UKI will always detecl a material misstatement when it exists. Misstatements can arise from fraud or error and are ¢onsidered malerial if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of thase financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. W8 design procedures in line wlth our responsibilities, outlined abov8. to detect material misstalements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud Is detailed below.. Based on our understanding of the charlty and the environment in which It Operates, we id8nlified that the prlncipal risks of non-compliance with laws and regulations related to revenue recognition, and we considered the extent to which non-compliance might have a material affect on the financial ststements. We also consid8red those laws and regulations that have a direct impact on the preparation of the financial statements 5u¢h 8S the Charities Act2011. We evaluated management's incentlv8s and opportunities for fraudulent manipulation of Ihe financial slalements (including the risk of override of controls) and determined that the principal risks were related to management override of controls. Audit procedures performed by the engagement team included: Dis¢ussSons with man898ment including consbderation of known or suspected instances of non-mplIance with laws and regulation and fraud. Evaluating managemont's controls design8d to prevent and detect irr8gularlties. Identifying and testing joumals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions. Because of the inherent limitations of an audit, there is a risk that we will not detect all Irregularitie5, including those leading to a material misstalement in the financial ststements or non-complianc8 Wlth regulation. This risk increases the more that compliance with a law or regulation is removed from th8 events and transactions reflected in the financi81 statements. as we will be less likely to become aware of inStsn$ of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than 8rror, as fraud involves intenlional ConalMent, forgery, collusion, omission or misrepresentation.
INDEPENDENT AUDITORS. REPORT TO THE TRUSTEESOF THE HONOURABLE SOCIETY OF LINCOLN'S INN (Gont...) THE DENNING FUND FOR THE YEAR ENDED 31 DECEMBER 2025 A further description of our responsibilitles for the audlt of the financial slal8ments is lo¢at8d on the Financial Reporting Council's website at.. www.frc.org.uklaudltorsresponsibilities. This description foms part of our auditorfs report. USE OF OUR REPORT This report is made solely to the charity's trustees, as 8 body, in accordan with section 144 of the Charities Act 2011 and regulations made under section 154 of IhatAct. Our audit work has been undertaken so that we might state to the charity's Trustees those matters we are required to state to them in an Auditols report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibS1ity to anyone oth8r than lh8 charity's Trustees as a body for our audit work, for this r8POrt, or for tha opinions we have fomied. Haysmac LLP Statutory Auditors 10 Queen Street Place London EC4R 1AG 1310512026 Haysmac LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND STATEMENT OF FINANCIALACTIVITIES FOR THE YEAR ENDED 31 DECEM8ER 2025 Note Unrestrlctgd Funds R•strlctgd Funds Expèndable Endowment Funds 2025 2024 Incorne from: Donations and Legacies Investment income rebates Investment income Interest Total Income 12,712 12.712 2,386 Fee 209.605 1.515 223,832 209.605 1,515 223,832 171,104 9,1g9 182 689 Expendlture on.. Management & Administration Eéucalional Awards Total Expondlture: 600 209 605 210,205 420 171,524 Nel Galn on Inve81m8nls 908,756 910684 751 1ty) NET MOVEMENT IN FUNDS 908 756 924 311 751.100 Fund balance$ brought forward on 1 January 2025 882 786 19,752 7 832 774 8 535,292 7784 192 Fund balances urriad forward on 31 o•c•mr 2025 696.393 21,680 8 741,530 9 459,603 8,535.292 All the activities of the fund are continuing in both this year and the previous year. The notes on pages 15 to 18 form part of th8se financial slatements
THE HONOURABLE SOCIETYOF LINCOLN'S INN THE DENNING FUND BALANCE SHEET FOR THE YEAR ENDED 31 DECEMBER 2025 Notes 2025 2024 FIXED ASSETS Investments 9,332,174 8,421,490 CURRENT ASSETS Debtors Cash at Bank 10.283 9.275 133 426 142,701 155,623 CURRENT LIABILITIES Sundry Crèditors Amounts due to Lincoln's Inn NET CURRENT ASSETS 1120) (120) 28,779 113,802 127,429 NET ASSESTS 9,459,603 8,535,292 FUNDS Unrestricted Restricted Expendable Endowment 696,393 21,680 8,741,530 9,459,603 682,766 19,752 7 832,774 8 535,292 Approved by the Trustees on.. 6 May 2026 and signed on their behalf by.. Mr Alan Boyle KC Chairman of the Trusteas The notes on pagos 15 to 18 fom) part of these flnancial statements
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2025 1. ACCOUNTING POLICIES a) Accounting Convantlon The financial statements have been prepared in accordance with Accounting and Reporting by Charities= Stat8m8nt of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS102) (effective 1 January 2019)- (Charities SORP {FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Compani8sAct 2006. b) Golng Concarn accounting pollcy The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainlies related to evenls or conditions thal may Gast slgnificant doubt on the ability of the Trust to continue as a going concern. The Truste95 make this assessment In respect of a period of al least one year from th8 dale of authorisation for issue of the financial statements and have concluded that the Trust has adequate resources to continu8 in OP6rational existence for the foreseeable fulure and there 8re no material uncertainties about the Trusvs ability lo continu8 as a going concern. thus they conllnue to adopt the going conc8m basis of accounting in preparing the financial statements. c) Incoma All income is recognised in ihe Statement of Financial Activities when the charity has entitlement to the funds, il is probable that the incom8 will be received and the arnount can be measur8d reliably. For legacies, entitlement is taken as the earlier of the date on whl¢h elther.. The charity is awar8 that probate has been granted. Receipt ofa legacy in whole or in part. is only considered probable when the amount can be measured reliably, and the charity has been notified of the executorfs inlenlion to make a distribution. The estate has been finalised and notification has been made by the executor{sl to tha Trust that a distribution will be made. When a distribution is received from the estate. Receipt of a legacy in whole or part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executorfs intention to make a distribution.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND NOTES TO THE ACCOUNTS (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 d) Expendlture Expenditure is accounted for on an accruals basis and has been classified under haadings that aggregate all costs related to the category. Thè irrecoverable element of VAT is included with the item of expenditure to which it relates. Where costs Gannot be directly attributable to particular activities, they have been allocated to activities on a basis consislent with use of the resources. Charitable expenditure comprises expenditure donated lo Lincoln's Inn toward the awards of the Denning Fund Scholarshlps. 81 Debtors Debtors (includlng trade debtors and loans receivable) 8re measur8d on initial recognition at settlement amount aft8r any trade discounts or amount advanod by th8 charity. Subsequently, they are measured at the cash or other consideration èxp8Cted to be received. f) Credltors The charity has ¢redltors which are measur8d at settlement amounts less any trade discounts. g) Cash at bank and In hand Cash al bank and in hand Is recognised at the transaction value and subsequently measured at their settlement valuè. h) Llabilities and Provl8lons A liability is measured on recognition at its historical cost and then subsequently measured al the best asts'male of the amount requir8d lo settle the obligation al the reporting date. i) Flnan¢lal Instrumonts The charity accounts for basic financial inslruments on initial recognition as per paragraph 10.7 FRS102 SORP. Subs8qU8nt measurement is as per paragraphs 11.17 to 11.19, FRS102 SORP. l) Funds Unrestricted funds ar8 available to spend on activities thal further any of the purposes of the charity. Designatèd funds are unrestricted funds of the charity which the Trustees have decided at their discretion to set aside to use for a specific purpose. Reslricted funds are donations which the donor has speafied are solely used for particular areas of the Trust's work of for a specific project. Donations required to be retainèd as capital in accordance with the donor's wishes are accounted for when probable as "endowments" permanent or expendablg according to the nature of the restriction.
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND NOTES TO THE ACCOUNTS (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 Th8 funds of the charity comprise of.. i) thè èxpendable endowment fund which was creat8d by gifts donated to the charity for g8n8ral education purposes a number of years ago and is expendable al the discretion of th8 Trustees. ii) restricled funds. nsist1ng of donalions and legacles received which the donor has eamarked for a specific purpose. iii) unrestricted funds which are expendable in the furtherance of the Fund's objectives. k) Invastmonts Fixed asset investm8nts are a fomi of financial instrument and are initially recognised at their transaction cost and subsequently m8asured at fair value at lh8 Balance sheet date. unless the value rAnnol be measured reliably In which case It is measured at cost less impairment. Invèstment gains and 105ses. whether realised or unrealised, are combined and presented as 'GainsllLosses) on investm8nts' in the Statement of financial activlties. 11 Taxatlon Th8 Trust is considered lo pass the tests sel out in Paragraph 1 Schedul8 6 of th8 Finance Act 2010 and therefore It m88ts the definition of a charitable company for UK corporation tax purposes. Accordingly, the Trust is potentially exempt from taxation in re5pecl of income or capital gains received within calegori8s covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exGlusively lo charitable purposes. ml General Informatlon The Charity is unincorporated. Its registered address is shown on pag8 3. The charitable objectives are detailed within Ihe Trustees, Report under the heading Objects, Objectives and Principle Activities. 2. GOVERNANCE The Inn meets the ¢ost of remuneration, for advice and services by Ihe auditors and other professional advisors. 3. TRANSACTIONS WITH TRUSTEES No Trustee, or person related or connected to them has received any remuneration or reimbursement of expenses from th8 Fund during th8 current or previous year.
THE HONOURABLE SOCIETYOF LINCOLN'S INN THE DENNING FUND NOTES TO THE ACCOUNTS (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 4. EDUCAnoNAL AWARDS The Trust paid over dividend income on an as received basis to the Honourable Society of Lincoln's Inn of £210k (2024 £171 k), which broadly coincides with the payment dates by Lincoln's Inn to pupil barristers and students of scholarships and awards made. 5. INVESTMENTS 2025 2024 Market Value 1 January 8.421,490 7,681,555 Additions at cost 2,525,508 Proceeds of disposals 12,525,508) Gainsl(Loss) on investrnents 910,684 739,935 Markot Value 31 Decamber 9,332.174 8,421,490 Hl8torlcal cost 31 Docember 3.809,374 3,809,374 IndIct transaction costs are Incurred through the bid-offer spr8ad on investm8nts wlthin pooled investment v8hicles. Th8 amount of indirect Costs is not separately provided to th8 schem8. ificant inves me s at market v lue on 31 December 2025 2025 2024 2024 L&G Intemational Index Trust L&G All Stocks Gilt Ind8x Trust L&G All Stocks Indèx Linked Gilt Index Trust L&G Short Dated Sterling 1,678,481 Corporate Bond Index Fund L&G Em8rging Markets L&G UK Index Trust TOTAL 4,149,874 388,945 387,822 44.47 4.17 4.16 3,688,194 386,346 383,667 43.80 4.59 4.56 17.99 1,641,978 19.50 1,247,508 1479 544 9,332 174 13.37 15.84 100 1,084,641 1236,665 8 421,490 12.88 14.67 100 6. DEBTORS 2025 2024 Accrued In¢om8 10,283 9.275
THE HONOURABLE SOCIETY OF LINCOLN'S INN THE DENNING FUND NOTES TO THE ACCOUNTS (cont...) FOR THE YEAR ENDED 31 DECEMBER 2025 7. CREDITORS 2025 2024 Sundry Credllors 120 120 8. SPLIT OF NET ASSETS BETWEEN FUNDS Unrostrlctod Funds Restri0d Funds Expendable Endowment Fund8 2025 2025 Investments Nel current assets 568,964 127.429 696,393 221,680 8,741.530 9,332,174 127,429 9,459.603 21.680 8 741530 Unrostrlcted Funds Restrlctod Funds Expendable Endowment Fund8 2024 2024 Investments Nel current 8ss8ls 568,964 113.802 682 766 19.752 7,832,774 8,421,490 113.802 8 535 292 7 832 774 9. RELATED PARTY TRANSACTIONS The Honourable Society of Lincoln's Inn Is one of the four Inns of Court. it is an ancient unincorporated body of lawyers whlch for five centuries and more have had the power lo call lo the Bar those of their members who have duly qualified for thè rank of degree of Bamster-at-Law.