Nyumbani UK And The Hotcourses Foundation (Registered number: 05147284)
Report of the Trustees
for the Year Ended 31 December 2022
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
Nyumbani UK And The Hotcourses Foundation (Registered number: 05147284)
Report of the Trustees for the Year Ended 31 December 2022
OBJECTIVES AND ACTIVITIES
Nyumbani UK and The Hotcourses Foundation is constituted as a company limited by guarantee (incorporated on 7 June 2004) and is
therefore governed by its memorandum and articles of association. The objectives of the Charity, as set out in the memorandum and
articles of association, are:
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To advance the education and training (including the social and physical education and training) of persons resident anywhere in the world;
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To relieve persons resident anywhere in the world who are in need, hardship or distress (including any need, hardship or distress as a result of any illness, disease or disability);
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That special facilities may be provided for persons who by reasons of their youth, age, infirmity or disability, poverty or social or
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economic circumstances may have need of special facilities and services;
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To promote and preserve good health and well-being through community participation in healthy recreation;
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Such other charitable purposes beneficial to the community consistent with the objectives above as the trustees shall in their absolute discretion determine.
The trustees currently have a policy of supporting projects with a primary focus on education and support for children that can be carefully monitored to ensure the funds are properly applied.
Our objective is to make a measurable, tangible difference to the lives of children in some of the poorest parts of the world. We have focused on orphans suffering due to AIDS and HIV living in East Africa. Until March 2022 we were working in partnership with a Kenyan organisation called COGRI/Nyumbani, a wellestablished local organisation where there had previously been a track record of effective and corruptionfree administration. We funded a primary school and a high school for orphaned children living in the Nyumbani Village until March 2022. We continue to fund a scholarship programme for HIV-positive children in the informal settlements of Nairobi, which is independently managed by our own consultants and therefore separate from COGRI/Nyumbani.
A full-time Director of Schools remained in the Nyumbani Village, Kenya throughout 2022 to help monitor the situation in the village schools. Two part-time independent contractors in Kenya monitor the children who are supported by the Hotcourses Scholarship Fund. A part time consultant in the UK works as an independent contractor to assist with administration, donor communication, and website maintenance for the Charity.
All other work is by the volunteer board members, trustees and other volunteers.
Application of the Charity's funds
During the course of 2022, Nyumbani UK and The Hotcourses Foundation sent funds to support the following:
Hotcourses Scholarship Fund for the benefit of HIV-positive children in Nairobi.
The Foundation continues to support the education of around 50 HIV-positive children living in the informal settlements of Nairobi. This support includes paying school fees, buying uniforms and shoes, paying for books, exam fees, providing school meals and regularly monitoring their progress.
Hotcourses Primary School
The Foundation supported the running costs of Hotcourses Primary School until March 2022, which currently has 515 pupils, 25 teachers and 5 support staff.
Lawson High School
The Foundation supported the running costs of Lawson High School until March 2022. The school currently has 297 students and 24 teachers. In addition to the classrooms, the high school also has a science block, an administration block, a library and a computer laboratory.
Nyumbani UK And The Hotcourses Foundation (Registered number: 05147284)
Report of the Trustees
for the Year Ended 31 December 2022
Public benefit
The trustees confirm that they have referred to the Charity Commission's public benefit guidance when carrying out past and planning future activities.
Through the programmes supported by our Charity, many underprivileged children in Kenya receive access to education, comprehensive medicine and healthcare support, housing and community. A solid education provides a pathway for the vulnerable to pull themselves out of poverty. Children who are HIV positive with the right medicines, healthy diet and well managed lifestyle can expect to have normal life expectancies, but our programme is vital to ensure successful outcomes. A self-sustainable village provides a family-like setting for orphaned children under the stewardship of elderly adults and seeks to ensure that the children receive love, sustenance, healthcare, holistic education and culture transfer, aiming at their physical and psychological development. The Nyumbani village also provides holistic care and support for the grandparents in their later years.
FINANCIAL REVIEW
Fundraising
Fundraising activities have been suspended since March 2022 due to our concerns regarding COGRI/Nyumbani’s child safeguarding, management and governance.
Financial review
The financial position of the Charity is healthy.
The Charity’s Statement of Financial Activities show a net expenditure of -£418,857 (2021: £749,077 net surplus) and total reserves of £6,217,486 (2021: £6,636,343). This is largely due to changes in the value of the Charity’s investment portfolio due to continued long term interest rate rises which have reduced property and bond values.
Investment policy and objectives
The Charity received a material legacy donation in 2019. After evaluating alternatives, the trustees concluded the funds would be most efficiently managed internally by forming an investment committee with relevant experience who would recommend an investment strategy for the Charity and monitor and report of ongoing investment performance. A long term investment strategy was developed by the investment committee and adopted by the trustees with the goal of generating returns over the long term exceeding inflation and implemented by holding a portfolio of low cost passive ETFs held in a UK investment account with a leading broker. The legacy funds received were fully invested in the agreed portfolio by late 2020.
Risk management
The trustees have considered the major risks to which the Charity is exposed. The first main risk is the lack of incoming funds. To mitigate this risk, trustees have implemented the policy on reserves and always look for new opportunities to diversity the sources of income. The other risk is unauthorized expenditure of the funds. The trustees regularly review the risk management system and financial controls and procedures to prevent fraudulent activities. We have a secure donor database and follow the guidelines of GDPR to ensure compliance with data protection legislation.
Reserves policy
It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to at least six months expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the Charity's current activities while consideration is given to ways in which additional funds may be raised.
FUTURE PLANS
We continue to fund the Hotcourses Scholarship Programme, which currently funds the education of 50 HIV-positive students living in the informal settlements around Nairobi, Kenya. We are currently reviewing a shortlist of educational organisations in Kenya that are interested in receiving funding and the trustees aim to make a decision by Spring 2024. We remain convinced that the best way to improve the life chances of the children we support is to provide them with an excellent education, leading to career outcomes that will allow them to live independently economic lives.
We will resume fundraising events and look for new sponsorships once our trustees have selected a new educational project to be funded and we have completed our due diligence of the organisation.
Nyumbani UK And The Hotcourses Foundation (Registered number: 05147284) Report of the Trustees for the Year Ended 31 December 2022
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
Recruitment and appointment of new trustees
New trustees are appointed due to their interest in the work of the Charity and their recognised experience in specific fields which will further support the work of the Charity. New trustees can be appointed by a majority vote of the existing trustees. New trustees are given a full induction by the other trustees of the Charity.
WEBSITE
www.nyumbani.org.uk
STATEMENT OF TRUSTEES RESPONSIBILITIES
The trustees (who are also the directors of Nyumbani UK And The Hotcourses Foundation for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SOAP;
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make judgements and estimates that are reasonable and prudent;
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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 proper accounting records which disclose with reasonable accuracy at any thne the financial position of the charitable company and to 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.
In so far as the trustees are aware:
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there is no relevant audit information of which the charitable company's auditors are unaware; and
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the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
The Trustees’ report was approved by the Board of Trustees.
M G Elms and L Digrandi - Trustees
- 30 October 2023
REGISTERED COMPANY NUMBER: 05147284 (England and Wales) REGISTERED CHARITY NUMBER: 1104396
Report of the Trustees and Unaudited Financial Statements for the Year Ended 31 December 2022
for Nyumbani Uk And The Hotcourses Foundation
Brayan and Spencer Associates Limited 25 Leeming Road Borehamwood WD6 4EB
Nyumbani Uk And The Hotcourses Foundation
Contents of the Financial Statements for the Year Ended 31 December 2022
| Page | |
|---|---|
| Report of the Trustees | 1 |
| Statement of Financial Activities | 2 |
| Balance Sheet | 3 to 4 |
| Notes to the Financial Statements | 5 to 9 |
| Detailed Statement of Financial Activities | 10 to 11 |
Nyumbani Uk And The Hotcourses Foundation
Report of the Trustees
for the Year Ended 31 December 2022
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number
05147284 (England and Wales)
Registered Charity number 1104396
Registered office
25 Leeming Road Borehamwood Hertfordshire WD6 4EB
Trustees
S J Cleaver Ms L Digrandi
M G Elms D Grunberg J M Southgate P D Wilson
Company Secretary
D Grunberg
Approved by order of the board of trustees on 30 October 2023 and signed on its behalf by:
M G Elms - Trustee
Page 1
Nyumbani Uk And The Hotcourses Foundation
Statement of Financial Activities for the Year Ended 31 December 2022
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies Other trading activities 2 Investment income 3 Total EXPENDITURE ON Raising funds Charitable activities Grant to Institutions Charitable Activities Other Total Net gains/(losses) on investments NET INCOME/(EXPENDITURE) RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted fund £ 75,781 - 130,911 206,692 19,590 24,216 37,610 - 81,416 (469,268) (343,992) 6,543,573 6,199,581 |
Restricted fund £ - - - - - 74,865 - - 74,865 - (74,865) 92,770 17,905 |
Year Ended 31.12.22 Total funds £ 75,781 - 130,911 206,692 19,590 99,081 37,610 - 156,281 (469,268) (418,857) 6,636,343 6,217,486 |
Period 01.01.21 to 31.12.21 Total funds £ 169,677 50,750 115,551 335,978 86,270 380,171 (3,153) 11,346 474,634 887,733 749,077 5,887,266 6,636,343 |
|---|---|---|---|---|
The notes form part of these financial statements
Page 2
Nyumbani Uk And The Hotcourses Foundation
Balance Sheet
31 December 2022
| Notes FIXED ASSETS Investments 6 CURRENT ASSETS Debtors 7 Prepayments and accrued income Cash at bank CREDITORS Amounts falling due within one year 8 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES NET ASSETS FUNDS 9 Unrestricted funds Restricted funds TOTAL FUNDS |
Unrestricted fund £ 5,760,902 285,186 5,305 150,891 441,382 (2,703) 438,679 6,199,581 6,199,581 |
Restricted fund £ - - - 17,905 17,905 - 17,905 17,905 17,905 |
31.12.22 Total funds £ 5,760,902 285,186 5,305 168,796 459,287 (2,703) 456,584 6,217,486 6,217,486 6,199,581 17,905 6,217,486 |
31.12.21 Total funds £ 6,230,170 154,275 5,305 254,046 413,626 (7,453) 406,173 6,636,343 6,636,343 6,543,573 92,770 6,636,343 |
|---|---|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2022.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2022 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
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(a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
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(b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The notes form part of these financial statements
continued...
Page 3
Nyumbani Uk And The Hotcourses Foundation
Balance Sheet - continued
31 December 2022
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue on 30 October 2023 and were signed on its behalf by:
M G Elms - Trustee
The notes form part of these financial statements
Page 4
Nyumbani Uk And The Hotcourses Foundation
Notes to the Financial Statements for the Year Ended 31 December 2022
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Taxation
The charity is exempt from corporation tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
2. OTHER TRADING ACTIVITIES
| OTHER TRADING ACTIVITIES | ||
|---|---|---|
| Period | ||
| 01.01.21 | ||
| Year Ended | to | |
| 31.12.22 | 31.12.21 | |
| £ | £ | |
| Fundraising events | - | 50,750 |
Page 5
continued...
Nyumbani Uk And The Hotcourses Foundation
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
3. INVESTMENT INCOME
| Period | ||
|---|---|---|
| 01.01.21 | ||
| Year Ended | to | |
| 31.12.22 | 31.12.21 | |
| £ | £ | |
| Dividends Listed Investments | 130,911 | 115,551 |
4. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the period ended 31 December 2021.
Trustees' expenses
There were no trustees' expenses paid for the year ended 31 December 2022 nor for the period ended 31 December 2021.
| 5. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES Unrestricted fund £ INCOME AND ENDOWMENTS FROM Donations and legacies 117,077 Other trading activities 50,750 Investment income 115,551 Total 283,378 EXPENDITURE ON Raising funds 86,270 Charitable activities Grant to Institutions 375,932 Charitable Activities (3,153) Other 11,346 Total 470,395 Net gains on investments 887,733 NET INCOME 700,716 RECONCILIATION OF FUNDS Total funds brought forward 5,842,857 TOTAL FUNDS CARRIED FORWARD 6,543,573 |
Restricted fund £ 52,600 - - 52,600 - 4,239 - - 4,239 - 48,361 44,409 92,770 |
Total funds £ 169,677 50,750 115,551 335,978 86,270 380,171 (3,153) 11,346 474,634 887,733 749,077 5,887,266 6,636,343 |
|---|---|---|
Page 6
continued...
Nyumbani Uk And The Hotcourses Foundation
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
6. FIXED ASSET INVESTMENTS
| MARKET VALUE At 1 January 2022 Revaluations At 31 December 2022 NET BOOK VALUE At 31 December 2022 At 31 December 2021 There were no investment assets outside the UK. Cost or valuation at 31 December 2022 is represented by: Valuation in 0 7. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Hargreaves Landsdown 8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors Accruals and deferred income 9. MOVEMENT IN FUNDS At 01.01.22 £ Unrestricted funds General fund 6,543,573 Restricted funds Restricted Fund 92,770 TOTAL FUNDS 6,636,343 |
31.12.22 £ 285,186 31.12.22 £ 2,703 - 2,703 Net movement in funds £ (343,992) (74,865) (418,857) |
Listed investments £ 6,230,170 (469,268) 5,760,902 5,760,902 6,230,170 Listed investments £ 5,760,902 31.12.21 £ 154,275 31.12.21 £ 2,703 4,750 7,453 At 31.12.22 £ 6,199,581 17,905 6,217,486 |
|
|---|---|---|---|
continued...
Page 7
Nyumbani Uk And The Hotcourses Foundation
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
9. MOVEMENT IN FUNDS - continued
Net movement in funds, included in the above are as follows:
| Incoming resources £ Unrestricted funds General fund 206,692 Restricted funds Restricted Fund - TOTAL FUNDS 206,692 Comparatives for movement in funds Unrestricted funds General fund Restricted funds Restricted Fund TOTAL FUNDS Comparative net movement in funds, included in the above are a Incoming resources £ Unrestricted funds General fund 283,378 Restricted funds Restricted Fund 52,600 TOTAL FUNDS 335,978 |
Resources expended £ (81,416) (74,865) (156,281) At 01.01.21 £ 5,842,857 44,409 5,887,266 s follows: Resources expended £ (470,395) (4,239) (474,634) |
Gains and losses £ (469,268) - (469,268) Net movement in funds £ 700,716 48,361 749,077 Gains and losses £ 887,733 - 887,733 |
Movement in funds £ (343,992) (74,865) (418,857) At 31.12.21 £ 6,543,573 92,770 6,636,343 Movement in funds £ 700,716 48,361 749,077 |
|
|---|---|---|---|---|
continued...
Page 8
Nyumbani Uk And The Hotcourses Foundation
Notes to the Financial Statements - continued for the Year Ended 31 December 2022
10. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 December 2022.
Page 9
Nyumbani Uk And The Hotcourses Foundation
Detailed Statement of Financial Activities
for the Year Ended 31 December 2022
| Detailed Statement of Financial Activities for the Year Ended 31 December 2022 |
||
|---|---|---|
| Period | ||
| 01.01.21 | ||
| Year Ended | to | |
| 31.12.22 | 31.12.21 | |
| £ | £ | |
| INCOME AND ENDOWMENTS | ||
| Donations and legacies | ||
| Gifts | 1 | (1) |
| Donations | 75,780 | 169,678 |
| 75,781 | 169,677 | |
| Other trading activities | ||
| Fundraising events | - | 50,750 |
| Investment income | ||
| Dividends Listed Investments | 130,911 | 115,551 |
| Total incoming resources | 206,692 | 335,978 |
| EXPENDITURE | ||
| Raising donations and legacies | ||
| Raising Donations and Grants | 19,590 | 9,170 |
| Other Fundraising Costs | - | 77,100 |
| 19,590 | 86,270 | |
| Charitable activities | ||
| Wages | 22,046 | - |
| Share of Support Costs | - | 7,903 |
| Insurance | 837 | - |
| Grants to institutions | 99,081 | 372,268 |
| 121,964 | 380,171 | |
| Other | ||
| Investment Management Cost | - | 3,444 |
| Support costs | ||
| Management | ||
| Rates and water | - | (1) |
| Support Cost 1 | - | 4,037 |
| Support Cost 2 | - | 1,642 |
| Support cost 3 | - | 2,224 |
| Support recharge | - | (12,653) |
| Bank Charges | 333 | - |
| Sub Contractor | 9,971 | - |
| Software | 3,315 | - |
| 13,619 | (4,751) |
This page does not form part of the statutory financial statements
Page 10
Nyumbani Uk And The Hotcourses Foundation
Detailed Statement of Financial Activities
for the Year Ended 31 December 2022
| Detailed Statement of Financial Activities for the Year Ended 31 December 2022 |
||
|---|---|---|
| Period | ||
| 01.01.21 | ||
| Year Ended | to | |
| 31.12.22 | 31.12.21 | |
| £ | £ | |
| Management | ||
| Governance costs | ||
| Accountancy and legal fees | 1,108 | 4,750 |
| Legal fees | - | 4,750 |
| 1,108 | 9,500 | |
| Total resources expended | 156,281 | 474,634 |
| Net income/(expenditure) | 50,411 | (138,656) |
This page does not form part of the statutory financial statements
Page 11
CHARITY COMMISSION FOR ENGLAND AND WALES Independent examiner's report on the accounts Section A Independent Examiner's Report Report to the trustses Nyumbani UK And The Hotcourses Foundation On accounts for the year ended 3111212022 Charity no (if any) 1104396 Set out on pages 1-11 I report to the trustees on my examination of the accounts of the above charity {"the Trust'l for the year ended Responsibilities and basis of report As the charity's trustees, you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (Yhe Act"). I report in respect of my examination of the Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination, I have followed all the applicable Directions given by the Charity Commission under section 14515)Ibl of the Act. Independent IThe charity's lotal assets exceeded £3.26m and gross income exceeded oxaminer's statsment £25,000 and l am qualified to undertake the examination by being a qualified member of ACCA.. I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination {other than that disclosed below ") which gives me cause to believe that in, any material respect.. the accounting records were not kept in accordance with section 130 of the Charities Act- or the accounts did not accord with the accounting records; or the accounts did not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports} Regulations 2008 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. 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 lo enable a proper understanding of the accounts to be reached. Please delete the words in the brackets if they do not apply. Signed: Date: 1711112023 Name: Pat Sharma Relevant professional qualification{sl or body Association of Chartered Certified Accountants (ACCA) IER Oct 2018
(if any): Address: Section B Disclosure Only complete if the examiner needs to highlight material matters of concern (see CC32, Independent examination of charity accounts.. directions and guidance for examiners). Give hare brief delails of any items that the examiner wishes to disclose. IER Oct 2018