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2020-12-31-accounts

Charity Registration No. 1105254

Company Registration No. 05090789 (England and Wales)

ORT UK

(FORMERLY ORT UK FOUNDATION)

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2020

ORT UK (FORMERLY ORT UK FOUNDATION) LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr S J Alberga
Mr M S Mishon
Ms R Wagman
Mr Y Linenberg
Mr A I Brittan
Mr A J Reeback
Mr Y Tal
Ms A Kurer
Ms C Martell
Mr L Petar
Charity number 1105254
Company number 05090789
Registered office ORT House
126 Albert Street
London
NW1 7NE
Auditor CBW Audit Limited
66 Prescot Street
London
E1 8NN

ORT UK (FORMERLY ORT UK FOUNDATION) CONTENTS

Page
Trustees' report 1 - 3
Statement of Trustees' responsibilities 4
Independent auditor's report 5 - 8
Statement of financial activities 9
Balance sheet 10
Statement of cash flows 11
Notes to the financial statements 12 - 20

ORT UK (FORMERLY ORT UK FOUNDATION) TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)

FOR THE YEAR ENDED 31 DECEMBER 2020

The trustees who are also directors of the charity for the purpose of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2020.

This report is also a Director's Report as required by s417 of the Companies Act 2006.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's Memorandum and Articles of Association dated 1st April 2004, the Companies Act 2006 and “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) ".

Objectives and activities

The charity's objects and primary purpose remains the pursuit of its charitable objectives through the support of World ORT's network of schools, colleges and educational projects across the world. These activities continue to provide more than 300,000 students annually with the skills they need to become economically independent and free from the need for charity in the long term.

The charity primarily undertakes this through the organisation of fund-raising events, the matching of interested donors with relevant World ORT projects around the world and through the education of British donors regarding ORT and its work.

As part of its involvement in the local community in the UK, ORT established ORT - JUMP - a mentoring programme for pupils in Year 12.

Public Benefit

The Trustees have considered the guidance produced by the Charity Commission on the provision of public benefit and they confirm that public benefit has been met given the significant funds raised and paid toward various educational projects.

The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

2020’s fundraising efforts were focused on World ORT projects in Israel and the countries of the former Soviet Union and Baltic States, as well as supporting ORT UK’s operational activities in the UK. Some of these include:

Students At Risk in Israel - this programme assists underprivileged children in World ORT-affiliated schools. A large number of the students come from poor backgrounds, with parents who are either unemployed or underemployed. Other children experience family crises that have disrupted household income, such as the death or serious illness of a relative. Schools such as those at the Hodayot and Kfar Hassidim Youth Villages support approximately 600 students. In addition ORT UK has focussed on fundraising for the Kfar Silver school and youth village supporting technology education as well as the renovation of classrooms and science laboratories.

YOUniversity Centres of Excellence in Israel - encouraging high school students' interest in Science, Technology, Engineering and Math (STEM) related subjects through after-school courses. The young people participate in hands on courses on topics such as aerospace, applied physics, forensics, architecture, food engineering and robotics. Located in multiple venues throughout Israel (such as Kiryat Yam, Dimona, Kiryat Gat and Jerusalem) the Centres cater to mainstream Jewish, Haredi and Arab communities giving Israeli youth who live far from the economic, cultural and academic centre of the country access to the world of cutting edge science and technology.

ORT UK (FORMERLY ORT UK FOUNDATION) TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

ORT-JUMP - ORT UK’s mentoring project - ORT-JUMP successfully continued its work with approximately 250 student-mentor partnerships at 11 secondary schools in London (JCoSS, Yavneh College, JFS, Immanuel College, Hasmonean Boys, Hasmonean Girls, Copthall, Parliament Hill, Acland Burghley, William Ellis and La Sainte Union).

Fundraising from core ORT UK events (Business Breakfast, Annual Lunch, Fundraising Dinner) were challenging in 2020 due to the pandemic, however we were successful at running a virtual fundraising campaign as well as a direct mail campaign. We are very grateful to our loyal and committed donors who continued to make their donations to the charity as usual despite the pandemic. Finally, we continued and expand our presence on social media and enhance our PR and messaging.

Financial review

The charity's activities for the year are presented in the attached financial statements which show a net (expenditure)/income for the year of (£81,587) (2019: £198,873).

The balance of restricted funds at 31 December 2020 was £55,400 (2019: £55,400) and unrestricted funds £296,617 (2019: £378,204).

Principal Funding Sources

The principal funding sources for the charity are currently by way of retained reserves to enable the charity to continue to raise and collect income to fund charitable activities.

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should normally be maintained at a level equivalent to 6 - 12 month’s expenditure. The Trustees considers 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. This level of reserves has been maintained throughout the year.

Risk Management

The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

The charity does not anticipate any major changes in its operations and expects to continue with its core objectives and activities to provide ongoing support to World ORT.

Structure, governance and management

The charity is a company limited by guarantee (No 5090789) governed by its Memorandum and Articles of Association dated 1st April 2004. It is registered as a charity with the Charity Commission (No 1105254).

The Trustees, who are also the directors for the purpose of company law, and who served during the year were:

Mr S J Alberga Mr M S Mishon Ms R Wagman Mr Y Linenberg Mr A I Brittan Mr A D Falk (Resigned 29 January 2020) Mr A J Reeback Mr A D Silverman (Resigned 28 April 2021) Mr Y Tal Ms A Kurer

ORT UK (FORMERLY ORT UK FOUNDATION) TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

Ms C Martell

Mr L Petar

As set out in the Articles of Association, the first Trustees were those notified to Companies House on incorporation of the charity. The Trustees may appoint any person who is willing to act as a Trustee and the Trustees shall not consist of less than 7 persons.

None of the Trustees has any beneficial interest in the c harity . All of the Trustees are members of the c harity and guarantee to contribute £1 0 in the event of a winding up.

The charity's current policy concerning the payment of trade creditors is to follow the CBI's Prompt Payers Code (copies are available from the CBI, Centre Point, 103 New Oxford Street, London WC1A 1DU).

The charity's current policy concerning the payment of trade creditors is to:

Trade creditors of the charity at the year end were equivalent to 5 day's purchases, based on the average daily amount invoiced by suppliers during the year.

The Trustees administer the charity on an ongoing basis. The Trustees typically meet six times a year to discuss and resolve strategy and ongoing developments. Sub committees of the Trustees may meet on a periodic basis to ensure the smooth running of the organisation. The charity is a member of the Fundraising Standards Board.

Related Parties

The Trustees are confident that sufficient processes are in place to identify related parties and report any transactions with them as is appropriate.

Auditor

In accordance with the company's articles, a resolution proposing that CBW Audit Limited be reappointed as auditor of the company will be put at a General Meeting.

The Trustees' r eport was approved by the Board of Trustees.

..............................

Mr Y Linenberg

Trustee Dated: .........................

ORT UK (FORMERLY ORT UK FOUNDATION) STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees, who are also the directors of ORT UK for the purpose of company law, are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company Law requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these accounts, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

ORT UK (FORMERLY ORT UK FOUNDATION) INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF ORT UK

Opinion

We have audited the financial statements of ORT UK (the ‘charity’) for the year ended 31 December 2020 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice) .

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have 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 basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

ORT UK (FORMERLY ORT UK FOUNDATION) INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ORT UK

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the s tatement of Trustees' r esponsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below .

ORT UK (FORMERLY ORT UK FOUNDATION) INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ORT UK

We ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations. The laws and regulations applicable to the charity were identified through discussions with trustees and other management, and from our commercial knowledge and experience of ORT UK. Of these laws and regulations, we focused on those that we considered may have a direct material effect on the financial statements or the operations of the charity, including Charities Act 2011, Companies Act 2006, taxation legislation, data protection, anti-bribery, anti-moneylaundering, employment, environmental and health and safety legislation. The extent of compliance with these laws and regulations identified above was assessed through making enquiries of management and inspecting legal correspondence. The identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: http s :// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

ORT UK (FORMERLY ORT UK FOUNDATION) INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ORT UK

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. 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 auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

CBW Audit Limited ......................... Chartered Accountants Statutory Auditor 66 Prescot Street London E1 8NN

CBW Audit Limited is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under of section 1212 of the Companies Act 2006.

ORT UK (FORMERLY ORT UK FOUNDATION) STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 DECEMBER 2020

Unrestricted
Restricted
funds
funds
2020
2020
Notes
£
£
Income from:
Donations and legacies
3
418,845
49,500
Charitable activities
4
352,139
-
Interest
5
966
-
Total income
771,950
49,500
Expenditure on:
Raising funds
6
215,844
-
Charitable activities
7
607,581
49,500
Governance costs
10
30,022
-
Total resources
expended
853,447
49,500
Net (expenditure)/income
for the year/
Net movement in funds
(81,497)
-
Fund balances at 1
January 2020
378,204
55,400
Fund balances at 31
December 2020
296,707
55,400		 TotalUnrestricted
funds
2020
2019
£
£
468,345
756,334
352,139
537,779
966
40
821,450
1,294,153
215,844
380,099
657,081
679,840
30,022
35,341
902,947
1,095,280
(81,497)
198,873
433,604
179,331
352,107
378,204		 Restricted
funds
2019
£
108,000
-
-
108,000
-
108,000
-
108,000
-
55,400
55,400		 Total
2019
£
864,334
537,779
40
1,402,153
380,099
787,840
35,341
1,203,280
198,873
234,731
433,604

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

ORT UK (FORMERLY ORT UK FOUNDATION) BALANCE SHEET

AS AT 31 DECEMBER 2020

Notes
Fixed assets
Tangible assets
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within
one year
14
Net current assets
Total assets less current liabilities
Income funds
Restricted funds
15
Unrestricted funds		 2020
£
10,550
359,815
370,365
(28,336)		 £
10,078
342,029
352,107
55,400
296,707
352,107		 2019
£
4,895
445,706
450,601
(27,075)		 £
10,078
423,526
433,604
55,400
378,204
433,604

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 December 2020, although an audit has been carried out under section 144 of the Charities Act 2011.

The directors acknowledge their responsibilities for ensuring that the charity keeps accounting records which comply with section 386 of the Act and for preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of the financial year and of its incoming resources and application of resources, including its income and expenditure, for the 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 company.

The members have not required the company to obtain an audit of its financial statements under the requirements of the Companies Act 2006, for the year in question in accordance with section 476.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the Trustees on .........................

.............................. Mr Y Linenberg Trustee

Company Registration No. 05090789

ORT UK (FORMERLY ORT UK FOUNDATION) STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2020

Notes
Cash flows from operating activities
Cash (absorbed by)/generated from
operations
19
Investing activities
Purchase of tangible fixed assets
Investment income received
Net cash generated from/(used in)
investing activities
Net cash used in financing activities
Net (decrease)/increase in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year		 2020
£
-
966		 £
(86,857)
966
-
(85,891)
445,706
359,815		 2019
£
(6,057)
40		 £
183,724
(6,017)
-
177,707
267,999
445,706

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2020

1 Accounting policies

Charity information

ORT UK is a private company limited by guarantee incorporated in England and Wales. The registered office is ORT House, 126 Albert Street, London, NW1 7NE.

1.1 Accounting convention

The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Companies Act 2006 and “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)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling , which is the functional currency of the charity. Monetary a mounts in these financial statements are rounded to the nearest £.

The accounts have been prepared on the historical cost convention. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The trustees have assessed the impact of COVID-19 on going concern and while the charity did not have much activity operationally, they were able to build a large surplus of funds for which they expect to use in the next financial year, further strengthening the going concern assessment. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted income funds are general funds that are available for use at the trustees' discretion in furtherance of the objectives of the charity.

Restricted 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.

1.4 Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

1.5 Expenditure

Liabilities are recognised as soon as there is a legal or constructive obligation committing the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category.

Costs of generating funds are the costs associated with attracting voluntary income.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

1 Accounting policies

(Continued)

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.

All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis.

Grants payable are payments made to third parties in the furtherance of the charitable objectives.

Support cost 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.

Governance costs include costs of the preparation and examination of the statutory accounts, the costs of trustee meetings and the cost of any legal advice to trustees on governance or constitutional matters.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Long leasehold improvements Straight line over the term of the lease Computer equipment 25% reducing balance basis Fixtures, fittings & equipment 25% reducing balance basis

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

1.7 Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any ) .

1.8 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9 Financial instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

1 Accounting policies

(Continued)

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

1.10 Foreign exchange

Transactions in foreign currencies are translated into sterling at the exchange rate ruling at the date of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the closing rates at the balance sheet date and the exchange differences are included in the statement of financial activities.

Unrestricted income funds are general funds that are available for use at the trustees' discretion in furtherance of the objectives of the charity.

Restricted 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.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Management do not consider there to be any material judgements or estimation and uncertainty requiring disclosure.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

3 Donations and legacies

Unrestricted
Restricted
funds
funds
2020
2020
£
£
Donations and gifts
196,972
49,500
Legacies receivable
213,887
-
CJRS Grant Income
7,986
-
418,845
49,500
Charitable activities
Breakfast
Lunch
Dinner
Other		 Total Unrestricted
Restricted
Total
funds
funds
2020
2019
2019
2019
£
£
£
£
246,472
442,405
108,000
550,405
213,887
313,929
-
313,929
7,986
-
-
-
468,345
756,334
108,000
864,334
Annual
Dinner and
Business
Breakfast
Annual
Dinner and
Business
Breakfast
2020
2019
£
£
27,790
48,794
15,780
39,297
275,332
419,683
33,237
30,005
352,139
537,779

4 Charitable activities

5 Interest

Unrestricted Unrestricted
funds
funds
2020
2019
£
£
Interest receivable 966
40

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

6 Raising funds

Unrestricted Unrestricted
funds
funds
2020
2019
£
£
Costs of generating funds
Cost of generating donations and legacies 170,116
238,630
Costs of Fundraising Events
Fundraising events 45,728
141,469
215,844
380,099
Charitable activities
2020
2019
£
£
World ORT 533,679
637,785
World ORT, restricted 49,500
108,000
Project JUMP 73,902
42,055
657,081
787,840
657,081
787,840
Analysis by fund
Unrestricted funds 607,581
679,840
Restricted funds 49,500
108,000
657,081
787,840
For the year ended 31 December 2019
Unrestricted funds 679,840
Restricted funds 108,000
787,840

7 Charitable activities

8 Trustees

None of the Trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. Trustees made charitable donations to the the charity during the period.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

9 Employees

Number of employees

The average monthly number of employees during the year was:

Administration and fundraising
Employment costs
Wages and salaries
Social security costs
Other pension costs
The number of employees whose annual remuneration was £60,000 or
more were:
£60,000 - £70,000
10
Governance costs
Employment costs
Audit fees
Accountancy fees
Bank charges
Cardnet service charges		 2020
Number
7
2020
£
195,596
11,504
7,754
215,854
2020
Number
1
2020
£
14,307
10,363
4,232
992
128
30,022		 2019
Number
7
2019
£
164,661
14,304
5,065
184,030
2019
Number
1
2019
£
15,997
10,563
6,526
1,305
950
35,341

11 Taxation

The company is a registered charity and is, therefore, exempt from taxation.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

12
Tangible fixed assets
Long
leasehold
improvements
Computer
equipment
Fixtures,
fittings &
equipment
£
£
£
Cost
At 1 January 2020
11,819
52,186
15,768
At 31 December 2020
11,819
52,186
15,768
Depreciation and impairment
At 1 January 2020
11,818
47,957
9,920
At 31 December 2020
11,818
47,957
9,920
Carrying amount
At 31 December 2020
1
4,229
5,848
At 31 December 2019
1
4,229
5,848
13
Debtors
2020
Amounts falling due within one year:
£
Other debtors
8,065
Prepayments and accrued income
2,485
10,550
14
Creditors: amounts falling due within one year
2020
£
Trade creditors
-
Other creditors
692
Accruals and deferred income
27,644
28,336		 Total
£
79,773
79,773
69,695
69,695
10,078
10,078
2019
£
-
4,895
4,895
2019
£
8,534
691
17,850
27,075

Included within creditors is £17,444 (2019: £1,537) due to World ORT for services provided.

FOR THE YEAR ENDED 31 DECEMBER 2020

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

15 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Movement in funds Movement in funds Movement in funds
Balance at Incoming Resources Balance at Incoming Resources Balance at
1 January 2019 resources expended
1		 January 2020 resources expended 31 December
2020
£ £ £ £ £ £ £
General
restricted
fund 55,400 108,000 (108,000)
55,400		 49,500 (49,500)
55,400

16 Unrestricted funds

Unrestricted reserves are free reserves held by the charity.

17 Analysis of net assets between funds

Unrestricted
funds
Restricted
funds
2020
2020
£
£
Fund balances at 31
December 2020 are
represented by:
Tangible assets
10,078
-
Current assets/
(liabilities)
231,229
55,400
241,307
55,400		 Total Unrestricted
funds
Restricted
funds
2020
2019
2019
£
£
£
10,078
10,078
-
342,029
368,126
55,400
352,107
378,204
55,400		 Total
2019
£
10,078
423,526
433,604

18 Related party transactions

Transactions with related parties

During the year the charity entered into the following transactions with related parties:

During the year, the charity received £96,193 (2019: £46,435) as donations without conditions from the trustees.

The charity is controlled by the trustees who are all directors of the company.

ORT UK (FORMERLY ORT UK FOUNDATION) NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2020

19
Cash generated from operations
(Deficit)/surpus for the year
Adjustments for:
Investment income recognised in statement of financial activities
Movements in working capital:
(Increase) in debtors
Increase/(decrease) in creditors
Cash (absorbed by)/generated from operations
20
Analysis of changes in net funds
The charity had no debt during the year.		 2020
£
(81,497)
(966)
(5,655)
1,261
(86,857)		 2019
£
198,873
(40)
(438)
(14,671)
183,724