Company registration number: 04175018 Charity registration number: 1104191
The Bevan Foundation
(A company limited by guarantee)
Annual Report and Financial Statements
for the Year Ended 31 March 2021
The Bevan Foundation
Contents
| Trustees' Report | 1 to 10 |
|---|---|
| Independent Examiner's Report | 11 |
| Statement of Financial Activities | 12 |
| Balance Sheet | 13 |
| Notes to the Financial Statements | 14 to 28 |
The Bevan Foundation
Trustees' Report
The trustees are pleased to present their annual directors' report together with the financial statements for the charity for the year ended 31 March 2021. The report also meets the requirements for a directors' report and accounts for Companies Act purposes.
The financial statements comply with the Charities Act 2011, the Companies Act 2006, the Memorandum and Articles of Association, and Accounting and Reporting by Charities: Statement of Recommended Practice.
This year was the 20th anniversary of the Bevan Foundation’s formation, and the Trustees are proud that the charity has achieved so much over two decades and in its birthday year.
Objectives and activities
Objects and aims
The purposes of the charity are:
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To advance in Wales the education of the public in the economic, social and political sciences and their effect on public policy and the policy making process,
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To promote research in these fields and disseminate the useful results of such research.
These purposes were crucially important in the pandemic as people and decision-makers grappled to understand and respond to unprecedented changes to the economy and society. Throughout the year, the Bevan Foundation provided a high volume of independent, high quality analysis of social and economic issues. These proved immensely popular with a wide range of different groups of people. It also successfully developed impactful and practical proposals for change, based on the analysis, which were well-received by the public and decision-makers. Many of the charity’s recommendations were subsequently implemented by government, local authorities and other public bodies, resulting in direct improvements in people’s lives.
Over the year the Trustees have had full regard to the Charity Commission’s guidance on public benefit. The Foundation enabled a significant increase in collective knowledge and understanding of the effects of the pandemic on poverty, inequality and social cohesion. It used robust methods of data collection and analysis and presented accurate and balanced conclusions in an accessible way.
The Trustees also increased its bi-lingual and Welsh language activity, hosting a webinar ‘Wythnos yng Nghymru fydd’, translating its major reports, creating Welsh-language pages on its website and contributing to Welsh language broadcast media.
Achievements and performance
The pandemic saw an urgent need for the Bevan Foundation’s insights and expertise, and resulted in an extraordinarily high level of activity for a small charity.
In twelve months it published 33 reports, 14 briefings, and 106 short online articles. The latter included two series of guest contributions on ‘Coping with Covid’ and ‘Lessons from Lockdown’ in which different people shared their experiences and concerns – these proved very popular and supported learning about adapting to new circumstances. There are far too many publications to mention individually - full listing of all reports, briefings and online articles is available on the Bevan Foundation’s website.
Because of restrictions on face to face meetings, the charity switched all its events to online formats. Over the year it held 12 online discussion groups on aspects of poverty and inequality and organised 23 webinars. Many of these events included distinguished guest speakers – the events and their contributors are too numerous to list in this report but event details, including webinar recordings, are available on the charity’s website.
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The Bevan Foundation
Trustees' Report
As a measure of the popularity of its activities, the number of page views on the charity’s website increased by 50% in the first month of the pandemic and remained at a very high level for the rest of the year, averaging nearly 9,000 page views a month.
The increased content and new formats put the Bevan Foundation’s 5-year-old website under increasing strain, so towards the end of 2020/21 the charity commissioned an updated design and improved functionality which went live in May 2021.
The pandemic meant that the Bevan Foundation’s key areas of work were more relevant than ever. Over the year its activity centred on: solving poverty, building economic resilience, increasing social cohesion and strengthening democracy.
1. Solving Poverty
The Bevan Foundation was pleased to bring its expertise to help people to understand and respond to the pandemic. At the outset, the charity’s ground-breaking analysis demonstrated that the virus was likely to exploit and deepen existing inequalities in income, housing and health – an outcome that sadly came to pass. Its insights were extensively covered in Welsh and UK media and informed the Welsh Government’s and other public bodies’ response.
Poverty in the pandemic
Working with the Joseph Rowntree Foundation and The National Lottery Community Fund, the charity produced unique, independent, robust and up-to-date insights into how people on low incomes were being affected by the pandemic. Based on a YouGov survey and discussions with providers of front-line services the charity highlighted the impact of cuts to earnings and rising living costs. The findings were included in three high-impact reports and three well-attended webinars and ensured that decision-makers were well-informed about the challenges people faced. The findings also achieved exceptionally high levels of media coverage, being quoted in all Welsh print and broadcast media for several months. They were also regularly cited in Welsh Parliamentary debates.
The Bevan Foundation also developed partnerships with two grass-roots organisations in order to help to amplify their voices and concerns. With support from the Joseph Rowntree Foundation the charity established arrangements with Action for Caerau and Ely in Cardiff and Together Creating Communities in Wrexham. Both are enabling people with experience of poverty to speak out and be heard.
Welsh Benefits System
The Bevan Foundation’s work on establishing a Welsh Benefits System came to the fore during the pandemic. As schools closed, it swiftly made the case for children eligible for Free School Meals to receive cash in lieu, rather than vouchers or food parcels, and for their entitlement to continue through the school holidays. Its proposals were adopted by the Welsh Government and implemented by 17 out of 22 local authorities, benefiting thousands of children. The Bevan Foundation also called for Educational Maintenance Allowance to continue to be available to low-income learners aged 16-18 and for the increased support to be provided by the Discretionary Assistance Fund – both of which were also adopted.
In summer 2020, the charity published its interim ideas to reform some grants and allowances, then set out its full proposals for a Welsh Benefits System in autumn 2020. These would ensure low-income households can easily access enhanced help with the costs of housing and heating, and of raising and educating children and young people. The proposals received widespread support in civil society as well as across political parties, and they are now being taken forward by the Welsh Government.
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The Bevan Foundation
Trustees' Report
The charity continued its work on Free School Meals over the year, urging the Welsh Government to ensure that all children from low-income families are entitled to lunch. Its work was the subject of several debates in the Welsh Parliament where its recommendations won opposition support. With the support of the Wales Anti-Poverty Alliance, the charity commissioned an independent analysis of the costs of increasing eligibility for free meals the findings of which have informed the Welsh Government’s consideration of changes.
The Bevan Foundation’s webinar programme created a forum for sharing new ideas and best practice, with speakers from the Good Things Foundation on digital exclusion, a film and discussion with food experts about food poverty, a debate (in Welsh) on whether independence would reduce poverty involving Senedd Members from three political parties, and a debate on the importance of housing in lockdown.
Local housing allowance and homelessness
The pandemic highlighted the difficulty that many people on low incomes face in finding and affording a decent home. The Bevan Foundation was pleased to be awarded a grant from the Lloyds Bank Foundation to explore the link between the help with housing costs provided via the Local Housing Allowance and homelessness, with activity beginning in January 2021.
2. Building economic resilience
The Bevan Foundation’s work on economic resilience took on increased importance as all but essential businesses closed for much of the year. The Foundation lead the way with an analysis of the economic impact of the pandemic, which highlighted the number of people employed in closed-down sectors and the areas with the highest rates of jobs furloughed. The reports, webinars and State of Wales briefings published by the charity became the reference points for subsequent discussions about economic recovery, being widely cited in the media, Welsh Parliament and by other organisations. The charity’s argument for significant government intervention to support and restart the economy was heard by the UK Government, UK Parliament’s Welsh Affairs Select Committee and Welsh Government, as well as in academia and the media.
Economic resilience in the south Wales valleys
With support from the Friends Provident Foundation, the charity continued to develop a new model to rebuild the economy of the south Wales valleys. In the first part of the year, key focuses included exploring the potential of community assets to meet people’s needs and provide much-needed jobs, with its proposal for a ‘community right to own’ being well-received. With additional support from UnLtd, the charity also analysed best practice in supporting social enterprises, including the role of business support and networks, and with the support of Voluntary Action Merthyr Tydfil it researched the potential for community responses to the pandemic to become longer-term enterprises.
The valleys economy was especially hard hit by the pandemic – in response the Foundation published a ‘manifesto for resilience’ which set out a comprehensive agenda for its renewal. It included practical and deliverable recommendations for a change in approach to address pre-existing and new economic challenges. It was complemented by an independent report specifically on the Heads of the Valleys area between Blaenau Gwent and Merthyr Tydfil, commissioned by a Senedd Member. The charity also continued to highlight the importance of towns in Wales, with its webinars on town centres and the everyday economy proving highly popular.
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The Bevan Foundation
Trustees' Report
The Bevan Foundation’s analysis and proposals were highly influential. The concept of ‘economic resilience’ has become widely used in discussion about the economy, having been previously absent. The charity was pleased to have a standing invitation to attend the Welsh Government’s Valleys Taskforce which provided an opportunity to brief politicians and senior management in public bodies regularly on the charity’s recommendations. The charity’s critique of current economic programmes prompted a Welsh Parliamentary inquiry, although it was subsequently deferred due to the pandemic. Key proposals were debated in the Welsh Parliament, as well as receiving extensive coverage in Welsh print and broadcast media. They were also incorporated into some local authority development plans, ensuring they shape the areas’ regeneration for years to come.
The foundational economy in the valleys
The Bevan Foundation’s work funded by the Welsh Government’s Foundational Economy Challenge Fund to consider the provision of essential goods and services to strengthen the economy in three valleys communities began in earnest in the financial year. It successfully engaged with stakeholders, businesses, community leaders and the public in Cwmafan, Treharris and Treherbert through a mix of surveys, social media groups and online meetings. The project culminated in several publications setting out innovative recommendations about growing local businesses, harnessing household expenditure for local growth, the lessons that can be learned from elsewhere, and in-depth studies of each community. The final report brought together the key findings and recommendations which are being actively considered by the new Welsh Government and Ministerial team.
Fair work in the Foundational Economy
The pandemic highlighted the importance of workers in essential industries such as social care and food retailing and their often-poor terms and conditions. With rapid changes occurring in the labour market, the Bevan Foundation’s specialist analysis in its fortnightly briefing ‘Fair Work Focus’ and its regular State of Wales briefings were essential reading for a wide range of organisations. The charity also organised some impactful activities during Living Wage week that brought together trades unions, business organisations and workers to increase take up of the real Living Wage.
As restrictions eased the Bevan Foundation was able to engage with workers and employers in retail, hospitality and social care. It found that workers lived with an unacceptable level of job and pay insecurity as well as risks to their health. The publication of findings on each sector and a final report setting out some radical recommendations was held over until after the Senedd elections. They generated considerable interest and the recommendations are being actively considered by the Welsh Government as they take forward legislation on fair work.
3. Increasing social cohesion
The pandemic dramatically reshaped people’s social contacts as everyone was urged to stay at home and some people shielded to protect themselves. These shifts had potentially significant consequences for social integration and cohesion.
Increasing social cohesion of migrants
At the start of the financial year the Bevan Foundation completed its work on social cohesion with the publication of findings on effective approaches to the integration of migrants, drawing on extensive work with migrant communities, and an analysis of how the EU Settlement Scheme might affect EU citizens in Wales. Both were complemented by well-attended webinars with expert guest speakers.
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The Bevan Foundation
Trustees' Report
With support from The National Lottery Community Fund received in 2019/20 and its Christmas 2019 funding appeal, the Foundation then explored how migrants to Wales come to feel settled and part of the wider community. Key outputs included several videos featuring the stories of EU migrants to Wales as well as a final report which drew out key themes to emerge. The findings reached a wide audience and continue to be popular, and the charity was delighted that some community adapted the Bevan Foundation’s approach to their local circumstances.
Migrants’ voice
During the year, the Bevan Foundation aimed to include migrants’ voices in public policy, by building partnerships with two organisations that represented or worked with migrants. Unfortunately most activity had to be rescheduled because of restrictions on face to face meetings, with agreements being reached with South Riverside Community Development Centre in Cardiff and Together Creating Communities in Wrexham at the end of 2020. The agreements included regranting funds received from the Paul Hamlyn Foundation.
The rest of the year involved developing relationships with migrant groups, which included organising discussion groups to identify issues of concern, arranging training on governance in Wales, and providing support to speak out.
Combatting loneliness and isolation
People who were advised to shield to protect themselves from Coronavirus were at real risk of social isolation, as well as facing challenges as they re-engaged with wider society. With the support of The National Lottery Community Fund the Bevan Foundation brought the hitherto overlooked concerns of those who were shielding to the fore and made recommendations for clearer advice and support. Many of the charity’s proposals were subsequently implemented by the Welsh Government, with the findings being widely used as the basis for public policies. The findings and impact were so well received that the Bevan Foundation was subsequently funded (by a mix of grants and research commissions) by Voluntary Action Merthyr Tydfil and Intervol RCT to research the issues in their areas and make recommendations about befriending services.
4. Strengthening democracy
2020/21 saw the run up to the Welsh Parliamentary elections in May 2021. The Bevan Foundation was pleased to be able to present a comprehensive suite of proposals to reduce poverty and inequality in the years ahead, through a detailed set of proposals entitled ‘Transforming Wales’. It also arranged two briefing sessions for prospective candidates from all parties, both of which were well attended and generated lively debates, as well as sending its proposals to all parties and candidates. It was pleased that many of its recommendations were included in the manifestos of all major political parties.
The Bevan Foundation also organised two webinars which were extremely well attended, featuring speakers from the Wales Governance Centre, Swansea University, the Electoral Reform Society Cymru and Urdd. The first looked at the issues likely to feature in the election campaign and the second analysed the results and outturn.
The Foundation continued to support effective scrutiny of government by submitting written and oral evidence to ten different Welsh Parliamentary Committee inquiries and two UK Parliamentary Select Committee inquiries. It also contributed to sessions at Plaid Cymru and Welsh Labour party conferences and to branch meetings, as well as being expert guests on broadcast media programmes such as BBC Wales’ Politics Wales, Sunday Supplement, Breakfast, Drive Time and Wales Today programmes; ITV Wales news; S4C’s Newyddion and Radio Cymru’s breakfast and evening news programmes.
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The Bevan Foundation
Trustees' Report
Financial review
The pandemic brought new financial challenges to the Bevan Foundation. It had fortunately secured several grants before the Coronavirus outbreak, which resulted in grant income more than doubling in 2020/21 to £437,806 compared with the previous year. However approximately a third of this income (£126,265) was received in advance and so is carried forward into 2021/22. The increase in grant income enabled the charity to deliver the high level of activity reported earlier.
Less positively, income from donations by individuals and organisations and from conferences and events fell compared with the previous year and was much lower than originally planned. The Trustees had anticipated some impact from the pandemic on donations and trading income, and successfully sought additional unrestricted grants to offset some of the impact in the year.
The charity’s expenditure rose substantially to £428,106, reflecting the increased level of activity. The largest increase in expenditure was on staff costs, as additional staff were needed to deliver the grant-funded programmes. Careful management coupled with the restrictions of the pandemic meant that the charity was able to maintain or reduce unrestricted expenditure. The charity therefore had a welcome one-off increase in its unrestricted funds carried forward, a total of £156,542.
Looking ahead, the future looks challenging. The charity has sufficient restricted grants and unrestricted income to support its activities in 2021/22. However, most of its grants from charitable trusts and foundations are due to end by 2022/23, and the charity is also contending with a smaller number of donors and reduced events income. The Trustees are refreshing their approach to income generation, including voluntary and trading income as well as seeking funding from trusts and foundations. This will require investment in the foundation’s core capacity – the Trustees have already committed to establish a new office manager role. The trustees had previously allocated £50,000 to a designated fund for unforeseen eventualities. They have decided to transfer a further £30,000 to this designated fund from general fund for the year under review in order to reflect potential financial commitments in the coming twelve months and subsequent years.
Policy on reserves
The Trustees aim to maintain unrestricted funds at a level equivalent to six months of unrestricted charitable expenditure. The Trustees consider that this level would provide sufficient funds to cover support and governance costs and seek project funds. The charity's unrestricted and undesignated funds were £76,542, meaning that the charity has met its target.
Plans for future periods
The Trustees reviewed the Foundation’s strategy in autumn 2020 as its previous three-year plan drew to an end, and they agreed a new strategy for 2021/22 – 2023/24. Given the uncertainty about the speed of any recovery and the legacy of the pandemic, as well as uncertainty about funding, Trustees agreed to keep the strategy under regular review to respond to shifts in poverty and inequality.
Structure, governance and management
Nature of governing document
The Bevan Foundation is a charitable company limited by guarantee, incorporated on 7th March 2001 and registered as a charity on 8th June 2004. The company was established under a Memorandum of Association, which established the objects and powers of the charitable company, and is governed under its Articles of Association.
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The Bevan Foundation
Trustees' Report
Recruitment and appointment of trustees
The directors of the company are also charity Trustees for the purposes of charity law and are known under the company's Articles of Association as Trustees. The Articles of Association provide for up to four Trustees to be elected for a four year term at the Annual General Meeting following an open call for nominations. Vacancies can also be filled by co-option by the board, such co-option to run until the date of the next Annual General Meeting.
During the year Mark Hooper resigned as a Trustee in July 2020. At the Foundation’s Annual General Meeting in November 2020, Michael Imperato, Caroline Lewis and John Chown were re-elected for a four-year term. In addition the board was delighted to co-opt four new trustees in January 2021 until the 2021 AGM: John Davies, Chisomo Phiri, Shavanah Taj and Richard Williams.
Induction and training of trustees
The Foundation provided a comprehensive induction programme for new trustees to which current trustees were also invited and it has also established an optional buddy scheme for new trustees. All Trustees are regularly informed about charity matters via regular newsletters from the Charity Commission and Wales Council for Voluntary Action. Trustees are invited to participate in appropriate external training and development opportunities that may be of interest, including those on fundraising and good governance. Governance is a standard item on the board’s agenda, and Trustees undertake an annual governance review.
Arrangements for setting key management personnel remuneration
The charity’s trustees give their time freely and none received remuneration in the year. Trustees’ expenses may be reimbursed in line with the charity’s expenses policies and are disclosed in the note to the accounts.
The pay and employer pension contributions of the senior staff are reviewed annually, taking into account changes in the cost of living and pay levels in other small charities as well as the Bevan Foundation’s limited resources.
Organisational structure
The board meets quarterly and is responsible for the strategic direction and policy of the charity. It has a scheme of delegation in place which sets out the decisions devolved to the Chief Executive. The Company Secretary is also a Trustee.
The charity’s aims and activities for the year ahead are set out in its forward work programme, in so far as this is possible given the nature of the charity’s funding. Its activities, outputs and impacts are monitored, along with the availability of funding for the organisation and each project. The charity’s plans are revised to take account of financial, political or other relevant changes.
Responsibility for ensuring the activities take place and for meeting the charity's targets rests with the chief executive officer.
Relationships with related parties
The charity does not have any related parties as defined by the Charity Commission.
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The Bevan Foundation
Trustees' Report
Risk management
The Trustees regularly examine the major strategic business and operational risks which the charity faces. The major risks continue to be lack of long-term funding and reliance on a small staff team. The board manages and mitigates the risks.
The Trustees set an outline budget for the financial year and monitor income and expenditure against the budget each quarter, revising it as necessary. The Trustees consider that this is adequate for the scale and current financial health of the charity.
The day to day management of the charity is delegated to the chief executive.
The charity receives general advice on charitable matters through its membership of the Wales Council for Voluntary Action.
Financial instruments
Objectives and policies
The charity's activities expose it to a number of financial risks including credit risk, cash flow risk and liquidity risk.
Credit risk
The charity’s principal financial assets are bank balances and cash, trade and other receivables.
The charity’s credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows.
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The Bevan Foundation
Trustees' Report
Reference and Administrative Details
| Trustees | Mr R D Blair |
|---|---|
| Mr J B Chown | |
| The Rt. Rev'd J Davies (appointed 13 April 2021) | |
| Mr D S Forbes | |
| Mr M J Hooper (resigned 10 July 2020) | |
| Ms M L Hughes | |
| Cllr A Hunt | |
| Mr J M Imperato | |
| Ms C E Lewis | |
| C Phiri (appointed 12 April 2021) | |
| Cllr W D Powell (resigned 15 January 2021) | |
| Prof S A R Power | |
| Ms T Stirling | |
| Ms V Sugar | |
| S Taj (appointed 12 April 2021) | |
| Mr R Williams (appointed 12 April 2021) | |
| Secretary | Mr D S Forbes |
| Senior Management Team | Dr V Winckler |
| Principal Office | 145a High Street |
| Merthyr Tydfil | |
| Mid Glamorgan | |
| CF47 8DP | |
| Registered Office | 145a High Street |
| Merthyr Tydfil | |
| Mid Glamorgan | |
| CF47 8DP | |
| Company Registration Number | 04175018 |
| Charity Registration Number | 1104191 |
| Pension Advisers | Beaconifa Limited |
| Windwhistle | |
| Bellfountain Road | |
| Crickhowell | |
| Powys | |
| NP8 1SN | |
| Bankers | The Cooperative Bank |
| Independent Examiner | Mitchell Meredith Limited |
| Chartered Accountants | |
| Orbit Business Centre | |
| Rhydycar Business Park | |
| Merthyr Tydfil | |
| Mid Glamorgan | |
| CF48 1DL |
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The Bevan Foundation
Trustees' Report
Statement of Trustees' Responsibilities
The trustees (who are also the directors of The Bevan Foundation for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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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 adequate accounting records that are sufficient to show and explain the charitable company's transactions and 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.
Small companies provision statement
This report has been prepared in accordance with the small companies regime under the Companies Act 2006.
The annual report was approved by the trustees of the charity on 3 November 2021 and signed on its behalf by:
Ms V Sugar Trustee
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The Bevan Foundation
Independent Examiner's Report to the trustees of The Bevan Foundation
I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2021 which are set out on pages 12 to 28.
Respective responsibilities of trustees and examiner
As the charity’s trustees of The Bevan Foundation (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 Bevan Foundation 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
Since The Bevan Foundation's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Mitchell Meredith Limited, which is one of the listed bodies.
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:
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accounting records were not kept in respect of The Bevan Foundation as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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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
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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 [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
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.
M L Barnes FCCA ACA Chartered Accountants Mitchell Meredith Limited
Orbit Business Centre Rhydycar Business Park Merthyr Tydfil Mid Glamorgan CF48 1DL
3 November 2021
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The Bevan Foundation
Statement of Financial Activities for the Year Ended 31 March 2021 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)
| Note Income and Endowments from: Donations and legacies 3 Charitable activities 5 Investment income 6 Total Income Expenditure on: Raising funds 7 Charitable activities 8 Total Expenditure Net income Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 20 |
Unrestricted funds £ 125,583 26,232 659 152,474 (34,456) (56,835) (91,291) 61,183 61,183 95,359 156,542 |
Restricted funds £ 371,806 - - 371,806 (803) (336,012) (336,815) 34,991 34,991 91,274 126,265 |
Total 2021 £ 497,389 26,232 659 524,280 (35,259) (392,847) (428,106) 96,174 96,174 186,633 282,807 |
Total 2020 £ 272,035 40,337 474 |
|---|---|---|---|---|
| 312,846 | ||||
| (44,880) (241,097) |
||||
| (285,977) | ||||
| 26,869 | ||||
| 26,869 159,764 |
||||
| 186,633 |
The statement of financial activities includes all gains and losses recognised in the year. All of the charity's activities derive from continuing operations during the above two periods.
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The Bevan Foundation
(Registration number: 04175018) Balance Sheet as at 31 March 2021
| Note Fixed assets Tangible assets 15 Current assets Debtors 16 Cash at bank and in hand Creditors: Amounts falling due within one year 17 Net current assets Net assets Funds of the charity: Restricted funds Unrestricted income funds Unrestricted funds Total funds 20 |
2021 £ 5,827 37,583 285,867 323,450 (46,470) 276,980 282,807 126,265 156,542 282,807 |
2020 £ 4,870 23,771 182,045 |
|---|---|---|
| 205,816 (24,053) |
||
| 181,763 | ||
| 186,633 | ||
| 91,274 95,359 |
||
| 186,633 |
For the financial year ending 31 March 2021 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.
Directors' responsibilities:
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The members have not required the charity to obtain an audit of its accounts for the year in question in accordance with section 476; and
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The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements on pages 12 to 28 were approved by the trustees, and authorised for issue on 3 November 2021 and signed on their behalf by:
Ms V Sugar Trustee
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The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
1 Charity status
The charity is a charity limited by guarantee and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £1 towards the assets of the charity in the event of liquidation. The charity is incorporated in England and Wales.
The address of its registered office is: 145a High Street Merthyr Tydfil Mid Glamorgan CF47 8DP
These financial statements were authorised for issue by the Board on 3 November 2021
2 Accounting policies
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.
Basis of preparation
The Bevan Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Exemption from preparing a cash flow statement
The charity opted to early adopt Bulletin 1 published on 2 February 2016 and have therefore not included a cash flow statement in these financial statements.
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The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Grants receivable
Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.
Deferred income
Deferred income represents amounts received for future periods and is released to incoming resources in the period for which, it has been received. Such income is only deferred when:
- The donor specifies that the grant or donation must only be used in future accounting periods; or - The donor has imposed conditions which must be met before the charity has unconditional entitlement.
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Raising funds
These are costs incurred in attracting voluntary income.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Support costs
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
Page 15
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories 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 exclusively to charitable purposes.
Tangible fixed assets
Individual fixed assets costing £500.00 or more are initially recorded at cost.
Depreciation and amortisation
Depreciation is provided on tangible fixed assets so as to write off the cost or valuation, less any estimated residual value, over their expected useful economic life as follows:
| Asset class | Depreciation method and rate |
|---|---|
| Fixtures and Fittings | 20% on reducing balance |
| Computer Equipment | 25% on reducing balance |
Trade debtors
Trade debtors are amounts due from customers for services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price.
Page 16
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.
Designated funds are unrestricted funds set aside for specific purposes at the discretion of the trustees.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
Hire purchase and finance leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Rentals payable under operating leases are charged in the Statement of Financial Activities on a straight line basis over the lease term.
Pensions and other post retirement obligations
The charity operates a defined contribution pension scheme. Contributions are charged in the statement of financial activities as they become payable in accordance with the rules of the scheme.
Financial instruments
Classification
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are recognised at transaction value.
3 Income from donations and legacies
| Gift aid reclaimed Grants receivable (note 4) Subscriptions and donations |
Unrestricted funds £ 4,320 66,000 55,263 125,583 |
Restricted funds £ - 371,806 - 371,806 |
Total 2021 £ 4,320 437,806 55,263 497,389 |
Total 2020 £ 3,455 195,393 73,187 |
|---|---|---|---|---|
| 272,035 |
Page 17
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
4 Grants Receivable
| Unrestricted Funds £ Joseph Rowntree Foundation 25,000 Friends Provident - Waterloo Foundation 15,000 Welsh Government - Hafod - Neath Port Talbot County Borough Council - UnLtd - United Welsh - The National Lottery Community Fund Merthyr Tydfil County Borough Council 26,000 Paul Hamlyn Foundation - Lloyds Bank Foundation Welfare Programme - Voluntary Action Merthyr Tydfil - Oxfam Cymru 66,000 5 Income from charitable activities Research Conferences |
Restricted Funds £ 65,950 33,361 - 127,287 - - 4,000 2,500 9,985 - 95,000 19,130 10,393 4,200 371,806 Unrestricted funds £ 26,232 - 26,232 |
Total Funds 2021 £ 90,950 33,361 15,000 127,287 - - 4,000 2,500 9,985 26,000 95,000 19,130 10,393 4,200 437,806 Total 2021 £ 26,232 - 26,232 |
Total Funds 2020 £ 75,000 31,185 15,000 43,832 5,000 10,000 3,000 2,500 9,876 26,000 - - - |
|---|---|---|---|
| 195,393 | |||
| Total 2020 £ 28,648 11,689 |
|||
| 40,337 |
Page 18
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
6 Investment income
| Interest receivable and similar income; Interest receivable on bank deposits 7 Expenditure on raising funds Note Direct costs Staff Costs Allocated support costs 9 |
Unrestricted funds £ 3,201 24,225 7,030 34,456 |
Unrestricted funds £ 659 Restricted funds £ 803 - - 803 |
Total 2021 £ 659 Total 2021 £ 4,004 24,225 7,030 35,259 |
Total 2020 £ 474 |
|---|---|---|---|---|
| Total 2020 £ 9,467 18,332 17,081 |
||||
| 44,880 |
8 Expenditure on charitable activities
| Note Direct costs Staff costs Allocated support costs 9 Governance costs 9 |
Unrestricted funds £ 437 28,455 15,567 12,376 56,835 |
Restricted funds £ 90,075 199,795 46,142 - 336,012 |
Total 2021 £ 90,512 228,250 61,709 12,376 392,847 |
Total 2020 £ 12,089 167,939 44,584 16,485 |
|---|---|---|---|---|
| 241,097 |
£56,835 (2020 - £47,326) of the above expenditure was attributable to unrestricted funds and £336,012 (2020 - £193,771) to restricted funds.
Page 19
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
9 Analysis of governance and support costs
Governance costs
| Independent examiner fees Examination of the financial statements Staff costs Allocated support costs |
Unrestricted funds £ 3,080 7,814 1,482 12,376 |
Total 2021 £ 3,080 7,814 1,482 12,376 |
Total 2020 £ 3,045 10,877 2,563 |
|---|---|---|---|
| 16,485 |
Analysis of support costs
| Establishment costs Office expenses Printing postage and stationery Sundry costs Travel costs Marketing Professional fees Bank charges Depreciation |
Donations & Subscriptions £ 1,101 289 1,388 1,196 26 2,635 220 44 131 7,030 |
Research £ 9,663 2,539 12,186 10,499 229 23,131 1,932 384 1,146 61,709 |
Governance Function £ 232 61 293 252 6 555 46 9 28 1,482 |
Total 2020 £ 10,996 2,889 13,867 11,947 261 26,321 2,198 437 1,305 |
Total 2019 £ 10,781 3,322 2,162 9,855 8,550 28,916 - 354 1,117 65,057 |
|---|---|---|---|---|---|
| 70,221 |
Page 20
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
Basis of allocation
Method of allocation
Reference
Employment costs Establishment and other costs Usage
Staff Time
10 Net incoming/outgoing resources
Net incoming resources for the year include:
| Net incoming resources for the year include: | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Operating leases - other assets | 6,808 | 6,808 |
| Depreciation of fixed assets | 1,304 | 1,117 |
11 Trustees remuneration and expenses
There were no trustees' remnuneration or other benefits for the year ended 31 March 2021 nor for the year ended 31 March 2020.
During the year one (2020 - Two) trustee was reimbursed expenses totalling £32 (2020 - £1,097)
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any other benefits from the charity during the year.
Page 21
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
12 Staff costs
The aggregate payroll costs were as follows:
| Staff costs during the year were: Wages and salaries Social security costs Pension costs |
2021 £ 220,683 17,626 21,980 260,289 |
2020 £ 168,557 13,682 14,909 |
|---|---|---|
| 197,148 |
The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full time equivalents was as follows:
| 2021 | 2020 | |||
|---|---|---|---|---|
| No | No | |||
| Staff | 7 | 6 |
7 (2020 - 4) of the above employees participated in the Defined Contribution Pension Schemes.
No employee received emoluments of more than £60,000 during the year.
The total employee benefits of the key management personnel of the charity were £61,498 (2020 - £60,058).
The chief executive officer, as the highest paid member of staff, received benefits totalling £61,498 (2020 - £60,058).
13 Independent examiner's remuneration
| 13 Independent examiner's remuneration | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Examination of the financial statements | 3,080 | 3,045 |
Page 22
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
14 Taxation
The charity is a registered charity and is therefore exempt from taxation.
15 Tangible fixed assets
| Cost At 1 April 2020 Additions At 31 March 2021 Depreciation At 1 April 2020 Charge for the year At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 |
Furniture and equipment £ 5,852 - 5,852 5,706 29 5,735 117 146 |
Computer equipment £ 20,129 2,261 22,390 15,405 1,275 16,680 5,710 4,724 |
Total £ 25,981 2,261 |
|---|---|---|---|
| 28,242 | |||
| 21,111 1,304 |
|||
| 22,415 | |||
| 5,827 | |||
| 4,870 |
16 Debtors
| 16 Debtors | ||
|---|---|---|
| Trade debtors Prepayments |
2021 £ 35,893 1,690 37,583 |
2020 £ 21,953 1,818 |
| 23,771 |
Page 23
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
17 Creditors: amounts falling due within one year
| 17 Creditors: amounts falling due within one year | ||
|---|---|---|
| Trade creditors VAT Other creditors Accruals Deferred income |
2021 £ 29,678 4,617 2,173 10,002 - 46,470 |
2020 £ 10,351 4,602 3,422 5,078 600 |
| 24,053 |
18 Pension and other schemes
Defined contribution pension scheme
The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme and amounted to £21,980 (2020 - £14,909)
19 Commitments
Other financial commitments
Consists of a rental lease with annual payments of £5,500 which ended in August 2020. The total amount of other financial commitments not provided in the financial statements was £Nil (2020 - £1,375).
Page 24
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
20 Funds
| Unrestricted funds General Unrestricted income fund Designated Designated Fund Total Unrestricted funds Restricted funds Building Economic Resilience JRF Collaboration National Lottery Fund Welsh Government - Fair Work Welsh Government - Town Project Embedding the voice of migrants into policy in Wales National Lottery Fund - Pathway out of the Pandemic Lloyds Bank Foundation Welfare programme Voluntary Action Merthyr Tydfil Total restricted funds Total funds |
Balance at 1 April 2020 £ 45,359 50,000 95,359 19,779 59,471 8,041 3,983 - - - - - 91,274 186,633 |
Incoming resources £ 152,474 - 152,474 39,861 70,150 - 71,296 55,991 95,000 9,985 19,130 10,393 371,806 524,280 |
Resources expended £ (91,291) - (91,291) (48,184) (65,054) (8,041) (71,837) (52,668) (68,879) (9,985) (4,136) (8,031) (336,815) (428,106) |
Transfers £ (30,000) 30,000 - 2,362 - - - - - - - (2,362) - - |
Balance at 31 March 2021 £ 76,542 80,000 |
|---|---|---|---|---|---|
| 156,542 | |||||
| 13,818 64,567 - 3,442 3,323 26,121 - 14,994 - |
|||||
| 126,265 | |||||
| 282,807 |
Page 25
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
| Unrestricted funds General Unrestricted income fund Designated Designated Fund Total unrestricted funds Restricted funds Building Economic Resilience JRF Collaboration Enhancing Integration and Migration Policies in Wales Access to GP's Homess World Cup Say Croeso National Lottery Fund Hands Up Against Holiday Hunger Welsh Government - Fair Work Welsh Government - Town Project Total restricted funds Total funds |
Balance at 1 April 2019 £ 45,330 - 45,330 21,517 56,250 30,000 6,667 - - - - - - 114,434 159,764 |
Incoming resources £ 142,235 - 142,235 53,815 50,250 - - 10,018 2,320 9,876 500 28,624 15,208 170,611 312,846 |
Resources expended £ (92,206) - (92,206) (55,553) (47,029) (30,000) (6,667) (10,018) (2,320) (1,835) (500) (24,641) (15,208) (193,771) (285,977) |
Transfers £ (50,000) 50,000 - - - - - - - - - - - - - |
Balance at 31 March 2020 £ 45,359 50,000 |
|---|---|---|---|---|---|
| 95,359 | |||||
| 19,779 59,471 - - - - 8,041 - 3,983 - |
|||||
| 91,274 | |||||
| 186,633 |
Page 26
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
The specific purposes for which the funds are to be applied are as follows:
Building Economic Resilience represents funding from the Friends Provident Foundation, Tai Calon Community Housing, Cynon Taf Community Housing, Merthyr Valley Homes, Rhondda Cynon Taf County Borough Council, Merthyr Tydfil County Borough Council, United Welsh and UnLtd towards the project developing proposals to strengthen the economy of the south Wales valleys.
JRF Collaboration represents funding from Joseph Rowntree Foundation towards understanding the causes and impact of poverty and developing recommendations to reduce them.
National Lottery Fund represents funding from The National Lottery Community Fund towards the costs of activity to investigate what makes Wales a home to migrants.
Welsh Government - Fair Work represents a contribution from the Foundational Economy Challenge Fund towards activity to increase fair work in the foundational economy.
Welsh Government – Town Project represents a contribution from the Foundational Economy Challenge Fund towards activity to establish the pre-conditions for growing the foundation economy in the south Wales valleys.
Embedding the Voice of Migrants into Policy in Wales represents funding from the Paul Hamlyn Foundation towards the project
National Lottery Fund – Pathway out of the Pandemic represents funding from the National Lottery Fund towards the project to understand the impact of Covid-19 and developideas to help recovery.
Lloyds Bank Foundation Welfare Programme represents funding towards the project investigating the relationship between Local Housing Allowance rates and homelessness and developing proposals for change.
Voluntary Action Merthyr Tydfil represents funding towards a number of projects,
-
Exploring the responses of community groups to community needs in the first three months of the pandemic and to make recommendations.
-
Understanding the impact of the pandemic on community groups’ activity and sustainability, and to make recommendations to support their recovery.
-
Understanding the impact of the pandemic on people who were shielding and to make recommendations to reduce loneliness and isolation
-
A review of befriending services in Merthyr Tydfil and proposals to ensure they meet community needs.
Enhancing Integration and migration policies represents funding from the Paul Hamlyn Foundation.
Access to GPs represents funding from Age Cymru towards the project.
Homeless World Cup represents funding from the Waterloo Foundation towards the costs of organising debates in the Bevan Tent at the Homeless World Cup in Cardiff 2019.
Say Croeso represents donations towards the costs of activity to investigate what makes Wales a home to migrants.
Hands Up Against Holiday Hunger represents donations towards the cost of activities to reduce holiday hunger.
Page 27
The Bevan Foundation
Notes to the Financial Statements for the Year Ended 31 March 2021
21 Analysis of net assets between funds
| Tangible fixed assets Current assets Current liabilities Total net assets |
Unrestricted funds General £ Designated £ 5,062 - 95,450 80,000 (23,970) - 76,542 80,000 |
Restricted funds £ 765 148,000 (22,500) 126,265 |
Total funds £ 5,827 323,450 (46,470) |
|---|---|---|---|
| 282,807 |
Page 28