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← The Tudor Trust

2024-03-31-accounts

THE TUDOR TRUST

Annual Report and Accounts 2023/24

Company number 5196041 Registered charity number 1105580

Contents

Tudor’s Principles 3
Chair’s Introduction 4
CEO’s Introduction 7
Structure, Governance and Management 8
Trustees 8
Decision making 9
Day-to-day operation of the Trust 10
Grant-making Policy and Aims 11
Objectives and Activities 12
Achievements and Performance 13
Looking Ahead 15
Financial Review 17
Remuneration 17
Investments 18
Social Investments 19
Reserves 19
Risk Management 20
Statement of Trustees’ Responsibilities 22
Independent Auditors’ Report to the members of The Tudor Trust 24
Reference and Administrative Information 29
Statement of Financial Activities 30
Balance Sheet 31
Statement of Cashflow 32

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Trustees' Report For the year ended 31 March 2024

Tudor's principles

Tudor's principles underpin all aspects of our work and are intended to guide us as we reflect on our practice or consider challenging issues.

  1. Supporting communities to drive their own positive change.

  2. Investing in relationships as the foundation of all we do - starting from a position of trust and demonstrating that we can be trusted.

  3. Listening with intent: always trying to hear the real voice.

  4. Valuing people's time: acting quickly where helpful and taking time where needed.

  5. Drawing on learning, creativity and experience to offer flexible, practical support to people, ideas and communities.

  6. Making the most of our resources and independence and being open to challenge

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Chair’s Introduction

This is a significant moment of change for the Tudor Trust. Over the last two years, the outgoing trustees at Tudor have focused on change and renewal stepping back in phases to enable a responsible exit. I am very pleased that we have been able to achieve this, whilst appointing a new Board and many new staff.

Until recently Tudor has had trustee involvement at grant-making level as well as strategy and governance. With this model Tudor has endeavoured to be applicant focused, relational and flexible. We are proud of this heritage, and particularly our focus on core funding, long-term grants, easy application process and minimal reporting. I would like to take this opportunity to thank Christopher Graves, our Director for 38 years, and past trustees both family and non-family who have offered insight, wisdom and support for the work of the Trust over the years. I am also proud of the many organisations, capital projects and programmes of work that we have funded over the years, that have made a huge difference to communities across the UK.

In the last 12 months we have said goodbye to seven of our long-standing trustees, Ben Dunwell, Catherine Antcliff, Elizabeth Cranshaw in November 2023, Francis Runacres, Holly Baine and James Long in April 2024 and Monica Barlow in June 2024. I will step down as Chair and trustee by the end of 2024, and this will mark the end of Tudor as a family run Trust that has had members of the Graves or Dunwell family as trustees since its inception in 1955.

Letting go of power is a messy business, and there is no perfect time or way to do this. I am hugely grateful to all staff and trustees at Tudor who have contributed to our planning and preparations. It has been an enormous period of change for Tudor, reflecting massive challenges across society over the last four or five years as the gap between rich and poor has grown massively within a policy environment that has aggravated inequality.

The role of long-standing family involvement in philanthropy, or ‘Family Trusts’ has quite rightly come under scrutiny, particularly over the last 5 years. Trustee Boards across the sector are assessing what mandate they have, and what governance models best reflect the needs of our society. I hope at Tudor we have demonstrated that changes to longstanding ways of working are possible.

With a renewal of staff and trustees, there is now an opportunity for Tudor to build on its foundations and develop new thinking. We need to co-create decision

making with our communities and mutually agree what success looks like. As the sector faces new challenges, we need to absorb risk and support emerging innovations and ways of working, and think of the Trust endowment in new and creative ways that place assets back in the heart of communities.

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The next iteration of Tudor will be different but will also carry forward many of the principles that have shaped our past work. Long standing trustees who have stepped back offer huge support and goodwill for Tudor’s transition plans. With Raji Hunjan leading our excellent staff team and Derek Bardowell as Chair of a new Board of Trustees with key skills and experience, Tudor is blessed with exceptional people for the work ahead.

Matt Dunwell Chair of Trustees

CEO’s Introduction

The Tudor Trust is an independent grant-making charity with a long-standing commitment to supporting grassroots organisations. In this reporting year we committed more than £15m in grants reaching communities across the UK, in rural and urban areas.

Behind our 2023/24 grant-making, we agreed to take time to consider deep, strategic changes to how we would operate in the future. To ensure we had the space to work through this, we remained closed to receiving applications from new organisations.

The main lens through which Tudor started to explore its strategic changes was antiracism. In a post-covid context, where the disproportionate impact of the health, economic, social and environmental challenges face have been laid out to bare, Tudor wanted to explore solutions that centred justice and lifted everyone in our society. Our desire to continue to support communities to thrive, has led to a renewed purpose of supporting organisations seeking racial, social and economic justice.

It became increasingly clear through our explorations, that to achieve greater social impact for our communities, we needed to start by changing ourselves. We came to understand that a transformation in our strategy would also need a reset of organisational culture and behaviours. In this context, Tudor recognised that a Board with significant family representation was no longer fit for purpose. It was with this in mind that long-standing Board members made the decision to plan their exit over a 12 month period, to make room for new perspectives, talents and experiences.

The time we took to develop the roles and responsibilities of a new Board, enabled us to consider different governance models. We agreed that going forward, grant-making decisions would be devolved to our staff and those closer to the communities, and that the Board would provide an oversight function. I am personally grateful to all retiring trustees for taking the time reflect on their learnings and experiences as trustees.

Our current eighteen month transformation plans focus on the development and embedding of a whole organisation strategy alongside people and culture change began

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in January 2024. This was kickstarted with a review of all our equity, diversity and inclusion policies, which led to the beginnings of a new behaviours framework, designed with our staff and trustees. This has been the backbone to recruiting new staff and additional trustees, and our approach to strategy development

There is still more we want to build and embed before we start making new grants to organisations later in 2024. Until then, we continue to work with and support our existing grantees.

It is important to acknowledge that alongside the transformation we are working towards, 2023/24 also came with challenges. There were moments where Tudor was stuck, and some of our communications and decision making led to unwanted media attention. At the same time we were heartened by the messages of support from our partners and peers, including many of our grantees. All our staff and trustees contributed significantly to our new plans, and we do not underestimate the personal commitment and dedication of all our staff and trustees. Our learning from this period in our history will play a pivotal role to how we move forward into the future.

Raji Hunjan, Interim CEO

Structure, governance and management

On 1st March 1955 Sir Godfrey Mitchell endowed a charitable trust with a gift of shares in the construction company George Wimpey. In 1979 this trust became known as The Tudor Trust. The Tudor Trust's governing document is its memorandum and articles (incorporated 3rd August 2004 and amended by special resolution(s) dated 29th May 2014). The Trust was incorporated as a company limited by guarantee on 1st April 2005, with all assets and liabilities of the previous Trust being transferred to the current legal entity on that date. The company is also registered with the Charity Commission (registered 20th August 2004).

No changes were made to our governing documents in this reporting year. Changes were made throughout the year in regard to the composition of the Board and how decisions are captured.

Trustees

The Trust's trustees are listed on page 55 of this report. The Board of Trustees appoints the trustees and while the articles of association provide for a minimum of six and there are currently 8 trustees.

The composition of the Board is kept under review and if additional trustees are needed, we look to recruit new members with relevant skills and experience. Ben Dunwell, Catherine Antcliff and Elizabeth Cranshaw resigned as trustees in November 2023. Francis Runacres, Holly Baine and James Long resigned in April 2024.

Following a wide and extensive recruitment process, five new trustees were appointed in January 2024. Derek Bardowell was appointed as the Chair Designate, who will replace the current Chair, Matt Dunwell in Autumn 2024. Other newly appointed trustees are: Anthony Murphy, Christienna Fryar, Saba Shafi, Susan Wang. Following a tender process, Cadence Partners, were retained to manage the recruitment and undertake an extensive search process. Lara Odeyele from Black on Board was also contracted as an independent advisor to the Board, offering her expertise and independence in the recruitment process.

A bespoke induction programme was designed which included one to one meetings with the current Chair and the Chair Designate, as well as the Senior Leadership Team, and conversations with the CEO regarding the transformation. An opportunity for an exchange of knowledge between exiting and incoming trustees was designed in the context of commissioning external consultants, Stephen Bediako, Louise Mousseau and Fancy Sinantha to conduct one to one interviews with all trustees, including those departing, to build up a picture of trustee perspectives on the future of the Tudor Trust. This was mapped against a wider perspective on philanthropy – particularly in relation to

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aligning investments with grant-making, governance overhauls, trust based philanthropy, and centring racial justice.

Decision making

The Board of Trustees normally meets three times a year and holds ultimate responsibility for the Trust. The Board agrees the broad strategy of the Trust, reviews and confirms policy decisions, provides oversight on grant decisions and reviews and oversee financial and investment movements.

Given the internal focus on strategy, operational and culture change, the Board met informally more regularly to consider the changes they wished to implement. They were supported at different stages by external consultants to help them to develop their strategic thinking. External consultants included Open Edge to consider how power operates in wider change strategies; A Little Bit of HR on the role of trustees in culture change; Power & Integrity to explore more specifically different forms of governance.

The following is the list of committees, sub-committees and groups that were live until December 2023. Grant-making approvals were delegated to the CEO.

At the beginning of the year 2024, with the appointment of new board, the trustees considered different approaches to governance and agreed on formation of subcommittees that are designed to support the compliance and fiduciary functions and duties of the Board.

Following two sub committees were established:

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The overall responsibility of governance sits with the full Board which includes all matters relating to strategy, including a wider conversation about investments, risks, communications, and organisational culture. The Board agreed that three meetings will be held in a year, that are the equivalent of a full day. In addition, there will be an annual staff and trustee away day that is at least one day.

Day-to-day operation of the Trust

The trustees delegate the day-to-day management and operation of the Trust to the Senior Leadership Team under the leadership of the Interim Chief Executive. Changes have been made to the Senior Leadership Team over the course of the year, and since February 2024, the SLT comprises of the Chief Executive, Head of Finance and Resources and Head of People and Culture. The Head of People and Culture is seconded from A Little Bit of HR.

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Grant-making Policy and Aims

The Tudor Trust operates for the public benefit. The ultimate beneficiaries of the Trust are the people that the groups we fund work with and support, rather than the groups themselves. The trustees have considered the Charity Commission's general guidance on public benefit when reviewing Tudor's aims and objectives and when planning future activities, setting grant-making policy and making grants.

When Sir Godfrey Mitchell endowed the charitable trust with an expendable endowment, he specified that the trustees should be able to apply the funds to any charitable purpose. Over the years the breadth of these objects and powers has allowed the trustees to reassess how best we can make best use of Tudor's funds. 2023/24 was a review year and so whilst we continued to commit £15.8m focus on repeat funding for current grant holders, with a pause on new grant-making.

Our funding guidelines are in the process of change as we work towards a renewed purpose of funding the grassroots and organisations seeking racial, social and economic justice in the UK.

The Tudor Trust wants to support smaller groups, embedded in their communities, which work directly with people who are on the edges of mainstream society in ways which encourage inclusion, integration and independence.

We don't have specific funding programmes designed to advance a particular agenda as we think that the groups we support are best placed to identify problems and develop solutions.

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Objectives and Activities

Over the year, Tudor continued to fund work across the UK which met our overarching aim of addressing the many different needs of people at the margins of society. A detailed breakdown of our grant-making is available on our website or on request from the Trust.

As part of our commitment to responsible exits, we made grants to:

Organisations that received final three-year funding included:

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Achievements and Performance

We made 410 grants, totalling £15,860,000. This was primarily exit funding for grant holders already in our grant-making portfolio, reflecting our ongoing commitment to longer term funding and developing strong relationships with our grantees.

Transformation achievements to date include:

People and Culture:

Governance:

Strategy Review:

Communications:

Changes to our working environment:

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provider, with a view to maximising how we use Sharepoint for the purpose of greater collaboration

We are also grateful to external consultants who working with us during this reporting year to help us to achieve the above. Vanessa Johnson Burgess, CEO of A Little Bit of HR has been instrumental in supporting the Board, the Chair and CEO with People and Culture strategy; independent consultant, Nina Kowalska oversaw the refresh of our website and external newsletter.

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Looking Ahead

Following on from the year currently under review, Cadence Partners were commissioned to begin recruitment of additional trustees. The Board has identified a need for trustees with expertise in both social entrepreneurship and People and Culture.

An extensive recruitment process has begun to build up a new staff team. Whilst the development of a more detailed staffing structure is still under review, the job descriptions for Programme Officers and an Office Manager/EA were designed and we are expecting newly appointed staff to take up their roles in June 2024.

With a renewed Board and staff team, we will continue our transformation plans and open up our grant-making. We want to explore a long-term goal to build alternative economic and infrastructural models that centre community wealth building and stewardship.

Organisation Strategy:

Governance Rebuild:

People and Culture:

Operational systems

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Financial Review

During the financial year, Tudor focused on maintaining a high level of support to existing grant holders and was closed to new applications. For the year under review, Tudor entered new grant commitments to the value of £15.8 million (2023: 20.2 million), comprising 410 (2023: 482) individual grants.

Note 4, on page 39 of the financial statements, provides further analysis of the grant commitments made in the year.

In line with a policy adopted some years ago, which is periodically reviewed, Tudor's expenditure continues to exceed its income. Net charitable expenditure for the year was £12.8 million (2023: £17.9 million) and was funded through capital withdrawals from the expendable endowment.

The trustees monitor the long-term real return of the portfolio and recognise that, in some years, this will result in the underlying value of the fund increasing and in other years diminishing. At this year's balance sheet date, the investments were valued at £245.7 million (2023: £247.5 million), reflecting movements in the markets during the financial year. The market movement on investments has changed the year’s net expenditure position from deficit of £12.8m to surplus of £4.7m (2023: Deficit £38.2 million).

Income earned on Tudor's investment portfolio this year has increased to £5.9 million (2023: £5.6 million).

As an endowed foundation, Tudor does not engage in public fundraising and does not use professional fundraisers or commercial participators.

Remuneration

The trustees consider the Board of Trustees, and the Senior Leadership Team as the key management personnel of the charity, in charge of directing and controlling the charity and running and operating the charity on a day-to-day basis. During the year five of the trustees were remunerated and their remuneration is set out in note 5 to the accounts on page 40. This remuneration is paid in accordance with Tudor's memorandum.

Trustees are required to disclose all relevant interests and register them with the Head of Finance and Resources and, in accordance with the Trust's conflicts of interest policy, withdraw from decisions where a conflict of interest arises. The Chair reviews the conflicts of interest register.

The remuneration of the paid trustees, and all staff has traditionally been reviewed annually and usually increased in accordance with the Consumer Price Index including

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owner-occupied housing costs (CPIH). In 2023, in line with the total Board refresh, paid trustee renumeration was reviewed with Cadence Partners and brought in line with paid Board positions in the not for profit sector. The Interim CEO’s salary was reviewed by the full Board, who undertook a benchmarking exercise, to renumerate in line with the strategic change and high level outputs required.

All staff salaries are also benchmarked with grant-making charities of a similar size and activity on a regular basis to ensure that the remuneration set is fair and not out of line with that paid for similar roles.

Investments

Tudor has adopted an investment policy for its expendable endowment which seeks to optimise performance through a diversified asset portfolio applying a medium risk strategy. This is reflected in its asset allocation as shown in note 7 on page 42. The performance of the portfolio is monitored monthly and reviewed on a quarterly basis by the Investment Committee. At these meetings trustees discuss investment strategy and asset allocation. Investment performance and market trends are discussed with the Trust's investment managers at regular meetings.

Tudor has operated a responsible investment policy for 24 years. It seeks to invest in companies that demonstrate socially responsible values, and which offer the potential for sustainable growth in the future. This positive, long-term approach to investing is a key part of the strategy for the portfolio. Negative screening, where industry sectors or companies are excluded from investment, may limit future opportunities - however some investments are not held as they are inimical to the work of the Trust.

Tudor remains a long-term social investor in ameliorating society's ills and its investment strategy continues to look for long-term performance rather than short-term gain. The trustees believe that taking a responsible, long-term approach to investment will ultimately improve returns.

Sarasin manages a global equity portfolio for Tudor: The Responsible Fund. At the yearend Tudor's equity portfolio was valued at £170.74 million (2023: £169.94 million). Liontrust manages Tudor's SRI Corporate Bond Fund, which was valued at £46.05 million (2023: £43.65 million) at the year end.

A combination of prior year withdrawals from the investment portfolio and current year repayments from the Paloma Real Estate Funds I II and III have sustained Tudor's activities in the year. In addition, to rebalance the portfolio, £10.4 million (2023: £9 million) was taken out of equities during the year. This was to guard against markets overheating and to ensure that Tudor was not a forced seller in turbulent markets.

The market value of Tudor's investments at 31st March 2024 was £248.9 million (2023:

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£250.5 million), including social investments. The portfolio at this date comprised 69% UK and global equities, 19% fixed interest holdings, 4% in Real Estate Funds, 7% in cash and 1% as social/unlisted investments (2021: 68%, 18%, 3%, 10% and 1% respectively).

Cash flow requirement is reviewed at each Investment Committee meeting.

During the year in review, the financial markets have had some periods of growth but have, in the main, been somewhat volatile. As Tudor holds an overseas equity portfolio the Investment Committee has agreed to allow Sarasin to hold limited forward foreign exchange positions to mitigate, partly, the effect of sterling movements. Valuations have seen large swings in the year, sometimes on a monthly basis. We end the year with an investment gain totalling to £17.5 million (2023: £20.2 million loss).

Tudor's portfolios are all managed against a range of indicators and benchmarks deemed to be appropriate by the trustees. The trustees are committed to seeking good longterm performance from the funds and therefore monitor the performance of the equity portfolio against the MSCI All Countries World Daily.

During the year the Responsible Fund underperformed its benchmark by 9.7% for the year (2023: underperformance of 4.5%). The Corporate Bond Fund is managed against a bespoke benchmark and during the year has outperformed its benchmark by 1.3% (2023: outperformance of 1.272%). The Finance and Investment Committee continues to review and discuss performance on a quarterly basis.

Social investments

Tudor has been interested in using part of its endowment for social investment for a number of years. The trustees have continued to discuss how social investment might enhance Tudor's work and how this is best reported. We look for good opportunities for social investment which are closely aligned with Tudor's aims but are mindful of the time and resources well-judged social investment requires and the need to balance this with Tudor's core work as a grant-maker operating in a difficult funding environment. At the year end the value of social investments held was £3.16 million (2023: £3.02 million), representing 1.26% (2023: 1.21%) of the endowment.

There have been no changes to the social investment portfolio during the year. The trustees review the value of social investments annually and this year agreed to make a number of further provisions to the investments.

Reserves

Under the terms of the Trust Deed, the Unrestricted Fund is expendable at the trustees' discretion. All unexpended funds are therefore held in the Unrestricted Fund. The trustees intend to continue monitoring the value of the Fund in real terms to ensure that

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they are able to achieve both income and capital appreciation so as to maintain the existing level of charitable giving for the foreseeable future. At the year end the value of unrestricted reserves held was £231 million (2023: £226 million).

Risk Management

The trustees are responsible for establishing and monitoring internal control systems within the Trust. The trust reviewed and updated risk management policy in early 2024.

The Trust has a formal risk management process to assess business risks and implement risk management strategies in the context of the Trust’s plan to deliver its objectives. This involves identifying the types of risks it faces, categorising them in terms of potential impact and likelihood of occurrence and identifying means of mitigating the risks.

The Board review the major risks which may impact on the operations of the Trust on an ongoing basis and are satisfied that the system of internal controls currently in place is adequate, whilst recognising that it is designed to manage rather than eliminate risk.

The trustees continue to consider the principal risk to the Trust is that of not fulfilling its core purpose: good grant-making. Failure to maximise the opportunities afforded an independently endowed grant-maker would be damaging to the communities we work with and those we might work with in the future. In order to mitigate this, Trustees will continue to oversee risk in relation to the reopening of our grant-making. Whilst we remain committed to funding organisations closest to the grassroots, the criteria that underpins our decision making will change significantly. We also want to explore how we change our relationship with our grant holders so that they are our strategic learning partners with whom we develop longer term strategies. This is likely to lead to longer term, multi-year funding.

Tudor's resources are also subject to the unpredictability of the financial markets. To mitigate this risk the trustees, review the asset allocation and fund performance at each Board meeting. The Trust also retains expert investment managers. Lack of resources would affect our ability to make available as much funding support as we might like and to deliver the objectives set out in our funding guidelines.

Additional significant risks identified by the Trust, during this transformation period, and the plans for mitigating these are as follows:

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Auditor

Sayer Vincent LLP has indicated its willingness to continue in office.

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The Tudor

Statement of Trustees' Responsibilities

The trustees (who are also directors of The Tudor Trust 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 these financial statements, 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 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.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website.

Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

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The Tudor

The trustees’ annual report has been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees of Tudor Trust on 8[th] July 2024 and signed on their behalf by:

Matt Dunwell Chair

Jonathan Bell

Trustee Director

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The Tudor

Independent auditor's report to the members of The Tudor Trust

Opinion

We have audited the financial statements of The Tudor Trust (the 'charitable company') for the year ended 31 March 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and 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 charitable company 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,

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The Tudor

may cast significant doubt on the Trust'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 trustees' 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, except to the extent otherwise explicitly stated in our report, 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' annual report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

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The Tudor

Responsibilities of trustees

As explained more fully in the statement of trustees' responsibilities set out in the trustees' annual report, the trustees (who are also the directors of the charitable company for the purposes 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 charitable company'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

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

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extent to which our procedures are capable of detecting irregularities, including fraud are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

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Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of noncompliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

Use of our report

This report is made solely to the charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Joanna Pittman (Senior statutory auditor)

19 September 2024

for and on behalf of Sayer Vincent LLP, Statutory Auditor

110 Golden Lane, LONDON, EC1Y 0TG

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Reference and Administrative Information

The Tudor Trust is a charitable company limited by guarantee, incorporated in the United Kingdom. The principal and registered office address is 7 Ladbroke Grove, London W11 3BD.

Telephone: 020 7727 8522 Website: www.tudortrust.org.uk

Company Limited by Guarantee Number: 5196041 Registered in England and Wales Charity Number: 1105580

Trustees of the Tudor Trust

Matt Dunwell - Chair Derek Bardowell – Chair designate (appointed 9th February 2024) Anthony Murphy (appointed 9th February 2024) Ben Dunwell (resigned 29th November 2023) Catherine Antcliff (resigned 29 November2023 Christienna Fryar (appointed 9th February 2024) Christopher Graves (resigned 30th April 2023) Elizabeth Crawshaw (resigned 29th November 2023) Francis Runacres (resigned 18th April 2024) Holly Baine (resigned 18 April 2024) James Long (resigned 18th April 2024) Jonathan Bell Louise Collins (resigned 25th April 2023) Monika Barlow (resigned June 2024) Saba Shafi (appointed 9th February 2024) Susan (Xiaocen) Wang (appointed 9th February 2024)

Christopher Graves Director (retired 30 April 2023) Raji Hunjan Chief Executive Officer (appointed 5 June 2023)

Associates of the Tudor Trust

John Wilson Associate – Africa

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Bankers

Barclays Bank PLC Marble Arch Corporate Banking PO Box 32016 London NW1H 2ZH

Auditor

Sayer Vincent LLP 110 Golden Lane London EC1Y 0TG

Investment managers, advisors and custodian

Liontrust 8 West Marketgait Dundee DD1 1QN

Sarasin & Partners LLP (including provision of equity custodian services) Juxon House 100 St Paul's Churchyard London EC4M 8BU

Solicitors

Bates Wells LLP 10 Queen Street Place London EC4R 1BE

Russell-Cooke LLP 2 Putney Hill London SW15 6AB

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Statement of Financial Activities

(incorporating an income and expenditure account) Year ended 31 March 2024

Unrestricted Restricted Total Total
Notes 2024 2024 2024 2023
£000 £000 £000 £000
Income
Donations 13 - - - -
Investment income 2 5,951 - 5,951 5,645
Total income 5,951 - 5,951 5,645
Expenditure
Costs of raising funds
Investment Management Costs 3 747 - 747 860
Expenditure on charitable activities
Grantmaking
Grants approved 4/5a 15,760 - 15,760 20,426
Grants withdrawn 5a (274) - (274) (137)
Management of grants 5b 2,200 - 2,200 2,220
Professional support costs 5b 224 - 224 80
Governance costs 5b 70 - 70 83
Cost ofgrantmaking 17,980 - 17,980 22,672
Total expenditure 18,727 - 18,727 23,532
Net(expenditure)/income beforegains and losses on investments (12,776) - (12,776) (17,887)
Net gains on investments 7 17,539 - 17,539 (20,282)
(Increase)/decrease in provisions on social investments 8 (71) - (71) 5
(Deficit)/surplus for the year and net movement in funds 4,691 - 4,691 (38,163)
Funds balance at beginning of year 13 226,259 291 226,550
 264,713
Funds balance at the end of theyear 13 230,950 291 231,241
 226,550

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

All incoming resources and resources expended derive from continuing activities. A copy of the 2023 Statement of Financial Activities is included at note 21

The Tudor Trust - report for the year ended 31 March 2024

30

Balance Sheet

As at 31 March 2024
As at 31 March 2024 Company number: 5196041
Notes 2024 2023
£000 £000
Fixed Assets
Investments 7 245,745 247,531
Social investments 8 3,157 3,023
Tangible assets 9 823 887
249,725 251,440
Current Assets
Debtors 10 258 294
Cash at bank and in hand 1,080 1,000
1,339 1,294
Current liabilities
Creditors: amounts falling due within one year 11 (16,265) (17,602)
Net current liabilities (14,927) (16,308)
Total assets less current liabilities 234,799 235,133
Creditors: amounts falling due after more
than one year 12 (3,558) (8,583)
Net assets 231,241 226,550
Funds
Unrestricted fund 13 230,950 226,259
Restricted fund 13 291 291
231,241 226,550

The financial statements were approved and authorised for issue by the Trustees of the Tudor Trust on 08 July 2024 and signed on their behalf by:

Matt Dunwell Trustee/Director

Jonathan Bell Trustee/Director

The Tudor Trust - report for the year ended 31 March 2024

31

Statement of Cash Flows

Year ended 31 March 2024

2024 2023
£000 £000
Net cash used in operating activities (note 14) (25,161) (22,201)
Cash flows from investing activities:
Interest and dividends 5,951 5,645
Proceeds from sale of investments 61,015 70,297
Purchase of investments (49,360) (51,639)
Forward foreign exchange transactions 248 (1,682)
Repayments from social investments 9 69
Purchase of social investments (227) (636)
Purchase of fixed assets (1) (52)
Net cashprovided byinvestingactivities 17,636 22,002
Change in cash and cash equivalents in the year (7,526) (199)
Cash and cash equivalents at the beginning of the year 27,222 27,420
Cash and cash equivalents at the end of the year (note 15) 19,696 27,222

The Tudor Trust - report for the year ended 31 March 2024

32

Notes to the Accounts

1. Accounting policies

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.

Tudor is a public benefit entity as defined by FRS 102. Tudor is also a Charitable company limited by guarantee and is incorporated in the United Kingdom. In the event of the company being wound up, the liability in respect of the guarantee is limited to £1 per member of the company. The registered office address is 7 Ladbroke Grove, London, W11 3B0.

In view of the level of investments held at the balance sheet date the trustees are of the opinion that the Trust is a going concern. The trustees consider this at each board meeting and are of the view that the Tudor Trust will remain able to meet its commitments as they arise for a period of at least 12 months from the date of this report. The Trust has no material uncertainties.

The results of the subsidiary The Family Centre Trust have not been consolidated with the Trust's accounts in the year to 31 March 2022 or prior year. This is due to the immaterial nature of the transactions through this charity during the year. Further details of the Family Centre Trust are given in note 18.

b Investments

All investments are stated at market value. It is the Trust's policy to keep valuations up to date such that when investments are sold there is no gain or loss arising. As a result the Statement of Financial Activities (SOFA) only includes those unrealised losses or gains arising from the investment portfolio throughout the year. Any change in fair value will be recognised in the statement of financial activities.

During the year Tudor has taken sterling hedge positions against the effect of fluctuations in the Euro and US dollar as Tudor's equity portfolio is mainly held in these currencies. Provisions are recognised on a monthly basis. The hedge position is realised on a quarterly basis and the resulting cash movement is recognised through the SOFA. The accounting policy for financial instruments is included as note 1 l).

Social investments are carried at fair value where practicable otherwise at cost less impairment. Such investments are subject to regular review, and any diminution is charged to the SOFA. Investments valuations are not enhanced to more than original cost. Tudor considers all social investments to be mixed motive investments, rather than programme related investments.

The Tudor Trust - report for the year ended 31 March 2024

33

Notes to the Accounts

1. Accounting policies

1. Accounting policies (continued)

c Investment income

Investment income is stated on an accruals basis and includes the related tax credit. As a charity the Trust has an exemption to income tax and capital gains tax granted by HM Revenue and Customs..

d Voluntary income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

e Tangible fixed assets

Fixed assets acquired with a value below £1,000 are evaluated for capitalisation based on the economic benefit derived in use. All other assets are capitalised on acquisition.

The value of freehold land cannot be separately identified as such the entire cost of the freehold property is depreciated. The impact of this is not material. Depreciation is calculated to write-off the cost less residual value of tangible assets on a·straight-line basis over their estimated useful economic lives as f ll

Freehold building Fifty years Furniture, fittings and equipment Five to ten years Computer equipment Three to five years

f Resources expended

i. Cost of generating funds

The fees due in respect of investment managers' services are charged against income as the cost of generating funds.

ii. Charitable donations

Grants awarded are charged in full against income when a grant has been approved by the Trustee Committee and communicated to the recipient;

hence the Trust is considered to have a legal or constructive obligation, irrespective of the time period it may cover. Grants awarded but unpaid at the balance sheet date are recognised as grant commitments under creditors. Grants withdrawn or cancelled in the year are credited against new grant commitments made in the same year.

iii. Support costs

All expenditure incurred in the course of grant making is shown as support costs. Resources utilised for this purpose are defined as staff time, office expenses, accommodation and IT costs. As noted below no costs are allocated to governance costs.

iv. Governance costs

Governance costs relate to direct expenditure incurred in compliance with the constitutional and statutory requirements of the Trust. Due to the way in which the Trust works it is difficult to attribute a meaningful breakdown of staff costs and other support costs relating to governance work.

The Tudor Trust - report for the year ended 31 March 2024

34

Notes to the Accounts

1. Accounting policies

1. Accounting policies (continued)

g Exchange gains and losses

All realised and unrealised exchange gains and losses on investments are accounted for in the SOFA.

h Leased assets

The cost of operating leases is charged to the Statement of Financial Activities on a straight line basis.

i Pension schemes

The Trust makes payments to defined contribution pension schemes on behalf of employees. The assets of the schemes are held separately from those of the Trust in independently administered funds. The pension cost charge represents contributions payable to the funds during the year. The Trust has no liability under the schemes other than the payment of those contributions.

j Funds

All unexpended funds are held in the General Fund (expendable endowment) which can, under the terms of the Trust Deed, be used at the discretion of the trustees.

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets

k VAT Status and Irrecoverable VAT

Tudor cannot be registered for VAT. All VAT suffered by the Trust is irrecoverable and all expenditure is stated gross of VAT.

l Financial instruments

With the exception of the listed investments described above and derivative financial instruments as described below, the charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

The Trust uses forward foreign currency contracts to reduce exposure to foreign exchange rates. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re­ measured at their fair value. Changes in the fair value of derivatives at the reporting date are taken to the relevant income/expenditure heading(s) in the SoFA as appropriate.

The Trust does not currently apply hedge accounting for foreign exchange derivatives.

m Cash at bank and in hand

Cash at bank and cash in hand includes the regular bank account. Short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account are reported within fixed asset investments as cash, but are included within the statement of cash flows as cash and cash equivalents.

The Tudor Trust - report for the year ended 31 March 2024

35

Notes to the Accounts

2. Investment income

2024 2023
Total Total
£000 £000
Dividends and Interest
Equity investments 2,481 2,404
Fixed interest 1,963 1,852
Real Estate Fund distributions 667 889
Social investments 41 58
Misc income 29 51
Bank interest 770 390
5,951 5,645

3. Investment management costs

3. Investment management costs
2024 2023
£000 £000
Investment management fees 742 856
Accountancyfees re tax reclaims 5 4
747 860

4. Analysis of grants by classification

% by number 2024 % by number 2023
of grants Number Total of grants Number Total
£000 £000
Grants by classification
Youth 13 55 2,186 12 32 2,264
Older People 1 6 109 2 5 328
Community 42 173 8,046 55 153 11,202
Relationships 9 36 1,371 11 29 1,922
Housing 5 21 779 4 10 917
Mental Health 5 21 929 7 19 1,492
Substance Misuse 2 8 160 0 1 63
Learning 0 2 75 1 2 125
Financial Security 1 4 207 1 2 205
Criminal Justice 3 12 436 4 12 1,040
Overseas 17 71 1,464 4 11 456
Wellbeing (£2k) - - - - 206 412
100 409 15,760 99 482 20,426

Previously, wellbeing grants have been shown separately. The Trustees decided to include wellbeing grants as part of the main grants this year and these have be included with the relevant classification.

A full list of grants is available from the Trust's website http://tudortrust.org.uk/downloads or by application for a printed copy.

The Tudor Trust - report for the year ended 31 March 2024

36

Notes to the Accounts

5. Expenditure

a) Grants approved

2024 2024 2023 2023
Number £000 Number £000
Mainstream grants approved during the year 384 15,710 276 20,014
Immediate support grants made during the year 2 4 -
Wellbeing grants made during the year 23 46 206 412
Grants cancelled or adjusted duringtheyear (22) (274) (4) (137)
387 15,486 478 20,289

The number of fully cancelled grants in the year was 22 (2023: 7), adjustments were made to 2 other grants (2023: 2).

b) Resources expended

2024 2023
Total Total
Management of grants
Staff costs 1,646 1,686
Office expenses 137 133
Depreciation 64 62
Accommodation costs 163 132
IT costs 119 113
Trustee remuneration 63 85
Trustees' expenses 9 9
2,200 2,220
Professional support costs 224 80

Professional support costs include amounts paid to consultants and professional advisors who are providing beneficiaries with expert support. They also include costs associated with work around new grantmaking approaches and the implementation of Tudor's values.

Governance costs

Legal & professional fees 49 62
Auditor's remuneration 21 21
70 83

The Tudor Trust - report for the year ended 31 March 2024

37

Notes to the Accounts

5. Expenditure (continued)

The Trustees are reimbursed for out-of-pocket travel and subsistence expenses. During the year, 4 trustees (2023: 5) received reimbursement of £8,558.06 (2023: £8,874.89) for travel expenses, subsistence and overnight accommodation.

There is provision in the Memorandum of Association that no more than half of the trustee board can be offered reasonable remuneration. Members of the Trustee Committee can work up to 60 days a year for the Trust with other trustees working up to 25 days.

2024 2023
Total Total
£000 £000
£ £
James Long 21 30
Monica Barlow 21 30
Holly Baine 19 25
Saba Shafi 1 -
Christienna Fryar 1 -

In addition on 4th July 2014, following a change to Tudor's memorandum, the Charity Commission gave its consent to remunerate Christopher Graves (a trustee) in his role as Executive Director of the Trust. Christopher retired on 30th April 2023. His remuneration in the year was £10,055.09 (2023: £105,406) and Tudor made contributions of £1,106.06 towards his pension (2023: £11,595).

The Executive Director's remuneration costs are included in the employment costs note. The other trustees' remuneration costs are shown separately as part of the management of grants costs.

None of the other trustees received remuneration.

c) Net expenditure for the year

c) Net expenditure for the year
2024 2023
Total Total
£000 £000
This is stated after charging:
Operating leases 86 77
Auditor's remuneration (net of VAT) - statutory audit 19 18
Depreciation 64 62

The Tudor Trust - report for the year ended 31 March 2024

38

Notes to the Accounts

6. Employment costs

2024 2023
£000 £000
Wages and salaries 982 1,146
Termination payments 283 130
Temporary staff 48 26
Social Security costs 112 159
Pension costs 186 187
Insurance costs 35 39
1,646 1,686

The average head count for the year was 19.9 (2023: 23.3). The average full-time equivalent number of employees during the year was 19.3 (2023: 18.2).

The following number of employees received employee benefits (excluding employer pension costs and employer national insurance) during the year between:

2024 2023
£000 £000
£60,000 - £69,999 2 1
£70,000 - £79,999 1 2
£80,000 - £89,999 - -
£90,000 - £99,999 1 -
£100,000 - £109,999 - 1
£300,000 - £310,000 - 1

Tudor considers that its key management personnel are the trustees, the Director, the Head of Finance and Resources, the Head of Grantmaking and the Head of Research and Information. The total employment benefits of the key management personnel (including employer national insurance and employer pension contributions) were £403,232 (2023: £752,386).

7. Investments

2024 2023
£000 £000
Fair value of investments at 1 April 247,531 284,836
Purchases at cost made during the year 49,360 51,639
Sales proceeds on disposal (61,015) (70,297)
Forward foreign exchange transactions in year (248) 1,682
(Decrease)/Increase in investment cash held (7,422) (47)
Netgain on change in fair value 17,539 (20,282)
Fair value of investments at 31 March 245,745 247,531

With the exception of the Unlisted UK fixed interest investments and Unlisted Jersey-based Real Estate Fund all investments are listed investments.

The Tudor Trust - report for the year ended 31 March 2024

39

Notes to the Accounts

7. Investments (continued)

Fair value comprised:
2024 2023
£000 £000
UK equity investments 27,350 27,350
UK fixed interest investments 46,057 43,655
Overseas equity investments 143,394 142,258
Foreign exchange hedge (65) 183
Cash on deposit awaiting investment held in the UK 18,615 26,038
Unlisted Jersey-based Real Estate Fund 10,394 8,047
245,745 247,532

Derivative financial instruments - foreign exchange contracts

The Trust enters into foreign currency contracts to mitigate the exchange risk for certain foreign currency transactions within its equity investment portfolio. At 31 March 2024 there were 2 (2023: 2) open currency commitments. This is included within the forward foreign exchange transactions in the year.

The forward currency contracts are measured at fair value using quoted forward exchange rates.

8. Social investments

8. Social investments
2024 2023
£000 £000
Value of investments at 1 April 3,023 2,503
Additions during the year 227 636
Sales proceeds on disposal (9) (69)
Conversion of social investment to grant - (40)
Net expenditure including management fees (13) (12)
Provisions against investments (71) 5
Value of social investments at 31 March 3,157 3,023

Social investments comprise of:

Social investments comprise of:
2024 2023
£000 £000
Charity Bank Limited 618 455
Charities Aid Foundation Community Land Trust Fund I 4 16
Charities Aid Foundation Community Land Trust Fund II 122 247
Charities Aid Foundation Venturesome 131 238
Charities Aid Foundation Venturesome Community Led Housing Fund 86 89
Ethical Property Company 170 170
Fair for You 250 250
Social and Sustainable Housing 1,776 1,558
Value of social investments at 31 March 3,157 3,023

The value of the social investments at the end of year is shown at cost less amounts either provided for or written off. The trustees review the value of the investments annually and where necessary make provisions.

The Tudor Trust - report for the year ended 31 March 2024

40

Notes to the Accounts

9. Tangible fixed assets

Freehold Furniture,
land & fittings & Computer
building equipment equipment Total
£000 £000 £000 £000
Cost
At 1 April 2023 2,145 204 94 2,443
Additions in the year - 1 - 1
Assets written off inyear - - - -
At 31 March 2024 2,145 205 94 2,444
Depreciation
At 1 April 2023 1,342 143 72 1,556
Charge for the year 43 10 11 64
Assets written off inyear - - - -
At 31 March 2024 1,385 152 83 1,621
Net book value at 31 March 2024 760 52 11 823
Net book value at 31 March 2023 803 61 22 888

All fixed assets are used for charitable purposes.

10. Debtors

2024 2023
£000 £000
Accrued investment income 187 231
Other debtors andprepayments 71 63
258 294

The Tudor Trust - report for the year ended 31 March 2024

41

Notes to the Accounts

11. Creditors: amounts falling due within one year

2024 2023
£000 £000
Grants payable (note 16) 15,987 17,034
Trade creditors 23 91
Taxation and Social Security 18 2
Other creditors 26 17
Accruals 211 458
16,265 17,602

12. Creditors: amounts falling due after more than one year

2024 2023
£000 £000
Grants payable in 2 - 5 years (note 16) 3,558 8,583

13. Movement in funds for the current year

Funds Net
balances at investment Funds
start of the gains/ balance at
year Income Expenditure (losses) end of year
£000 £000 £000 £000 £000
Restricted fund
Salvaire 185 - - - 185
Grant funds 106 - - - 106
Total restricted funds 291 - - - 291
Total unrestricted fund 226,259 5,951 (18,798) 17,539 230,950
Total funds 226,550 5,951 (18,798) 17,539 231,241
Net current Creditors
Represented by: Fixed assets liabilities >1 year Net assets
£000 £000 £000 £000
Unrestricted fund 249,725 (15,218) (3,558) 230,950
-
Restricted funds - 291 - 291
249,725 (14,927) (3,558) 231,241

Restricted funds

During the 2019 year Tudor was asked to distribute the closing funds of Salvaire (charity number: 1150709) to charities working in the criminal justice sphere within the greater Sheffield area. Another fund of £106k ,from an anonymous donor, was received in 2021 to distribute funds to a project in Uganda. As the trust has been closed for the grant making, no new grant commitments were made in 2023/24. There are plans in place to fully commit the restricted fund balance in the year 2024/25.

The Tudor Trust - report for the year ended 31 March 2024

42

Notes to the Accounts

13. Movement in funds note (continued)

Unrestricted funds

Under the Articles of Association, Capital and Accumulated income are expendable at the trustees' discretion. The Trust has adopted a total return basis of investing. All unexpended funds are therefore held as unrestricted funds.

It is the trustees' current intention to monitor the value of the unrestricted funds in real terms to ensure that they can maintain the Trust's existing level of charitable donations and meet its outstanding grant commitments over future years.

13b. Movement in funds for the year ended 31 March 2023

Funds balances Net Funds
at start of the investment balance at
year Income Expenditure gains end of year
£000 £000 £000 £000 £000
Restricted fund
Salvaire 185 - - - 185
Grant funds 106 - - - 106
Total restricted funds 291 - - - 291
Total unrestricted funds 264,422 5,646 (23,527) (20,828) 226,259
Total funds 264,713 5,646 (23,527) (20,828) 226,550
Net current Creditors >1
Fixed assets liabilities year Net assets
£000 £000 £000 £000
Unrestricted fund 251,441 (16,599) (8,583) 226,259
Restricted funds - 291 - 291
Represented by:
251,441 (16,308) (8,583) 226,550

The Tudor Trust - report for the year ended 31 March 2024

43

Notes to the Accounts

14. Reconciliation of net (expenditure) to net cash flow from operating activities

2024 2023
£000 £000
Net (expenditure) for the reporting period (12,776) (17,886)
(as per the statement of financial activities)
Depreciation charges 64 62
Investment income (5,951) (5,645)
Other movements on social investments (134) 52
Movement in Foreign exchange hedge - 141
Movement in working capital:
decrease in debtors 36 (36)
decrease in creditors (471) 59
decrease ingrant commitments (5,928) 1,052
Cash outflow from operating activities (25,161) (22,201)

15. Analysis of cash and cash equivalents

15. Analysis of cash and cash equivalents
Cash at bank and in hand
Investment cash		 At 31
March
2024
At 31
March
2023
£000
£000
1,080
1,000
18,615
26,221
19,696
27,221
16. Grant commitment reconciliation
Commitment at the start of the year
Payable in less than one year (note 11)
Payable in more than one year (note 12)
Grants committed during the year (note 5a)
Grants written back or adjusted (note 5a)
Grants paid during the year
Commitment at the end of the year
Payable in less than one year (note 11)
Payable in more than oneyear(note 12)		 2024
2023
£000
£000
17,034
16,467
8,583
8,098
25,617
24,565
15,760
20,426
(274)
(137)
(21,558)
(19,237)
15,987
17,034
3,558
8,583
19,546
25,617

The Tudor Trust - report for the year ended 31 March 2024

44

Notes to the Accounts

17. Operating lease commitments

The Trust's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

2024 2023
£000 £000
Payable within one year 87 86
Payable within two to fiveyears 8 79
95 166

During the 2022 year, Tudor entered into a new lease agreement for office premises with an annual charge of £86,400. The minimum term of the lease is three years. The Trust will be giving in notice in September 2024 to terminate the lease on 1 March 2025. In the March 2023, Tudor entered into a new lease agreement for the office equipment for three years with an annual charge of £8,064.

The minimum term of this lease is also three years.

18. Related organisations

In 2009 the Board agreed to finance the construction of a new family visitors' centre at HMP Wormwood Scrubs through The Family Centre Trust, a new charitable company.

The Tudor Trust is the sole member of the Family Centre Trust. All trustees of FCT are appointed by the Tudor Trust. When considering future appointments at least three trustees must be individuals who are neither directors of the Tudor Trust nor employed by the Tudor Trust.

The centre continued to operate throughout the year and transactions through FCT are now minimal. In March 2020, following a review, the trustees took the decision to wind the charity up and have instructed solicitors. FCT's balance sheet as at 31 March 2023, 2022 and 2021 is as follows; these entries have not been consolidated into the Tudor accounts in this accounting period.

Cash at bank and in hand
Creditors: amounts due within one year		 2024
£000
17
(4)
13		 2023
£000
17
(4)
13

19. Capital and other commitments

In December 2015, Tudor entered into a legal agreement with Paloma to invest £7,500,000 in their Real Estate Fund I. At this year's balance sheet date £375,247 of the commitment remained to be drawn.

In June 2018, Tudor entered into a legal agreement with Paloma to invest £7,500,000 in their Real Estate Fund II. At this year's balance sheet date £1,917,086 of the commitment remained to be drawn.

In May 2019, Tudor entered into a legal agreement with Social and Sustainable Capital to invest £1,500,000 into their Building Fund. In October 2020, a further £500,000 was committed to the Fund. At this year's balance sheet date £138,616 of the commitment remained to be drawn.

In January 2020, Tudor entered into a legal agreement with Charities Aid Foundation to invest £400,000 in their Venturesome Community Led Housing Fund. At this year's balance sheet date £250,000 of the commitment remained to be drawn.

The Tudor Trust - report for the year ended 31 March 2024

45

Notes to the Accounts

20. Related party transactions

Christopher Graves was both the salaried director of Tudor and a trustee until 30 April 2023. Full details of his remuneration are set out in note 5.

There were no other related party transactions.

The Tudor Trust - report for the year ended 31 March 2024

46

Notes to the Accounts

Note 21. Statement of Financial Activities for the previous year

(incorporating an income and expenditure account) Year ended 31 March 2023

Unrestricted Restricted Total
Notes 2023 2023 2023
£000 £000 £000
Income
Donations 13 1 - 1
Investment income 2 5,646 - 5,646
Total income 5,647 - 5,647
Expenditure
Costs of raising funds
Investment Management Costs 3 860 - 860
Expenditure on charitable activities
Grantmaking
Grants approved 4/5a 20,426 - 20,426
Grants withdrawn 5a (137) - (137)
Management of grants 5b 2,220 - 2,220
Professional support costs 5b 80 - 80
Governance costs 5b 83 - 83
Cost ofgrantmaking 22,672 - 22,672
Total expenditure 23,532 - 23,532
Net(expenditure)/income beforegains and losses on investments (17,886) - - 17,886
Net gains on investments 7 (20,282) - (20,282)
Decrease/(increase) in provisions on social investments 8 5 - 5
Surplus/(deficit) for the year and net movement in funds (38,163) - (38,163)
Funds balance at beginning of year 13 264,422 291 264,713
Funds balance at the end of theyear 13 226,259 291 226,550

The statement of financial activities includes all gains and losses recognised in the year. All incoming resources and resources expended derive from continuing activities.

The Tudor Trust - report for the year ended 31 March 2024

47