Company Registration Number.. 05284271 Charlty Registratlon Numb9r: 1106768 THE BARRISTERS. BENEVOLENT ASSOCIATION (A Company Limited by Guarantee) COMMIThEE MEMBERS. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmlted by Guaranteg) CONTENTS Page Reference and Administrative Details of the Charlty, Its Commlttoè Members and Advlsers Chairman'5 Statement Commlttee Membèrs. R•port Statement of Commlttee Members. Responsibilities Independent Auditors. Report on the Flnancial Statements 10-13 statement of Financial A¢tlvltlos 14 Balance Sheet 15 Statement of Cash Flows 16 Notas to the Financial Statements 17-36
THE BARRISTERS. BEN84OLENT ASSOCIATION {A Company Llmltad by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS COMMIThEE MEMBERS AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2021 Commlttee Membèrs TeienGe Mowschenson QC. Chairman David Phillips QC, Honorary Treasurer Raymond Cox QC, Treasurer Sara Hargreaves. Honorary Secretary The Rl. Hon. The Lord Saville of Newdig8le, Member His Honour Judgè John Hillen. Member Iresigned 11 June 20211 Helen Valley, Member (appointed 26 July 2021} Jeffrey Israel, Member lappoinled 26 July 20211 Alexander Learmonth QC, Member Graeme Halkerslon. Membei Angus Mccullough QC, Mernber Jonathan Tod, Member Master Roger Eastman, Member Daniel Toledano QC, Member Christopher Stephenson, Member Shabeena Azhar-mole, Member Teertha Gupta QC, Member Cornpany roglster&d number 05284271 Charlty registered number 1106768 Ragistered office 14 Gray's Inn Square London WC1R 5JP Chief Ex8cutlve Officer Nicky Young Deputy Chief Exo¢Utlvo Annette Bennett Officer Independent audltors MHA Maclntyre Hudson Slalulory Audrtor 6th Flooi 2 London Wall Place London EC2Y SAU Page 1
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS COMMirrEE MEMBERS AND ADVISERS ICONTINUEDI FOR THE YEAR ENDED 31 DECEMBER 2021 Bankers National Weslminsler Bank PLC Law Courts, Temple Bar Southampton Customer Service Centre BTunswick Gate 23 Brunswick Place SO15 2AQ Solicitors Withers LLP 20 Old Bailèy London EC4M 7AN Investment Managèrs Inveslec Wealth & Investment Limited 30 Gresham Street London EC2V 7QN Insolvency Practltlonors Griffins LLP Tavi5tock House South Tavislock Square London WCIH 9LG Page 2
THE BARRISTERS, BENEVOLENT ASSOCIATION IA company Ilmrted by guarant••} CHAIRMAN'S STATEMENT FOR THE YEAR ENDED 31 DECEM8ER 2021 The BBA m$¥ to a major challerwe p08ed by COVID-19 ovar th•1881 ygats. In April 2020. In OTder to deal with the increAsed need amongst mèmbars of the Bar. some of whom laund themselves eLYnpletely out of WOTk and Inellglbl• for a¥31siarbCe from the govemmenL th? 88A together Ylth the four Inns ofcouri launched the COVID-19Appgal. The appeal ralsed up lo the end of 2021 over£1.4m, Includlng £eOO.000 tlonatsd by the Inn8. The BBA look responsibility for dlstributing the fund$ and dealing wlth those who applled. Speed was essentl81. Stsrtlng In Mgy 2020. applicants applS•d onllne for grants. We held weekly cornmlttae m¢sllng$ lo deal th them, in accord8ncg with guidance w¢ dÈveloped. Grants wère made egeh ek. Crants were generalWofa Set amount per month and made for up to 3 months at a Urn?. Many applicants have Tenewed th&lr grnnts ragularly. To the end of 2021 we sUPPOrted 189 indfvidual applicants plus 121 Df th8lr dependents who induded chlldren. We wll ¢x)nllnue to make th¢ support avallabl¢ throughout unfjl the funds are used by abDul thB rnlddle of 2022. The BBA wr¢uld like to thank the Four Inns. the sgts of chambers which contributed. Bar proleg$lonal societies. the CSrcults. and individual donors for Ihetr 8UPPOrt thOut whth this level ol ass18tarKe would nol have been posslbla. I would like to extend a spedal thank you to thDSO Members Df the Commlttee attended weekty mèèfjngs to wlew appll¢all(m$ and make sure that all the appllcations wer• $ftlY dealt wth. Durtng Ihe pastya8rwe r•c8fved sllghtyfow&rTèquèsts fora8$19tanc• urneCted Eo COV11>19 albeil th8 number of appllcotlonswas notsubstantialtyoth of Ilne w]th the numbers rec8lvod In pQu9 years. Wè recèN•d 9 now applkations, a d8c¥ease of S on the previous year and of these we were ab18 to holp 7. We held thre8 sub40mmlttee meetlngs. As well as these naw (xs88, there were 18 renaWl, four less than last year. Our In¢om¢ from donatkjns Is generally In 4 mrAlest d8cNne and we are tylng to addres8 th18 Is¥uo. Admlnlstratwe expendmure Is well controlbd bui conunued tluduglbns In the Investment mark•t continue to 8ffecl the v8lu8 of our roservo$ and Incomv. We maintain our 81rict polw of sevjring all loans vtherever POSBible and revlew these annually In cos& a beneffciary'8 CiTcum&iances have changed. We ore souS to help 88 manybeneficiaries 8s Possi¢, but our iesourc&s are Ilmrted and where equlty exlsts, we bolleve 8ecurfng our loans 1$ In our b8nofielari•s' k91 Intorls, u8 the polw a8313ts In ensuring that we have fund$ for beneffciaries In th• ftrturo. Non8 of th18 tould be achleved vAthout the cLinllnu8d loy81 and Indlspensable BUPPOrt of many volunteers: in particular Ihose who serve on our Board And the Clrcuit Representatfves who vi811 opplk8nts and ben¥fidaries who arg unabio to travel to London. AL80 Invaluablo 8r& the SUPPOrt8 who make regulardonafionB orwho undertake VArfous fundraisin9 activibes for us- running marathon8, p18ying golf and the like- to whom wa af$ eqyany gral¢ful. We have a very small te8m of pahl staff whos8 friendly and helpful contact cn the phone or through e-mail Is much 8ppreciBted by Ihose who are touch wlth us and I would like to exprBS5 the thBnk3 Df the Committee to the BBA'S Chf Exepjlive Nlcky Young, and our deputy Chief Execullvts Annette Bennett, who lo the challenge of the COVID-19 Appeal and did a huge arnount of work. I would 4150 add my own Ihank8 10 those on the Committeo who attentJe¢l our Month meetings In addfiiton to the kty COVID mBelings lo deal with applications unconnected lo COVltk19 which w8 dgalt with from our g8nerBI funds. The need lo maintain ourdonaled income Is important and one way is to cOurage everyone to indude U6 Sn thelr Wlll once fomlty neads h8v¢ been Bo¢urod. Your omt wlll mean 8om&one les8 lortunate than you Can bo asshtod at a lime of need. T•r•nc• Mow•ch•nson QC Chaliman Pag& 3
THE BARRISTERS, BENEVOLENT ASSOCIATION IA company limited by guarantee) COMMIThEE MEMBERS, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 The Committee has pleasure in presenting ils report and accounts for the year ended 31 December 2021. The financial statements have been prepared in accordance with the accounting policies set out therein and comply with current statutory requirements, the Memorandum and Articles of Association, and the Statement of Recomrnended Practice Accounting and Reporting by Charilies (SORP 20151. Constitution The Barristers. Benevolent Association was founded on 10 January 1873. It is a charitable company limited by guarantee incorporated in England and Wales on 11th November 2004, number 5284271. The company gained charitable status on 15 November 2004, registration number 1106768. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articlès of Association. In the event of the eompany being wound up, Members are required lo contribute an amount not exceeding £1. Objects The objécts of the Assoeiation are lo provide financial and other assistance and support to needy and deserving members of the Bar who are 01 have been in praelice in England and Wales, their spouses and dependants. Assistance is given without geographical restriction or any need to pay fees. Policy To achieve these objectives, the Committee has followed the following policies.. al To encourage members of the Bar and Ihe judiciary to Contribute by way of donations. gift aid., and bl To create and maintain an adequate capitsl basÈ generating investment income lo augment thè gifted income ol the Association. Management The Charity is governed by a Committee whose Members are the Trustees for Ihe purposes of Charity law and the Directors for the purpose of cofflpany law. Those who served during the year and up io the date of this report are set out on page l. Recruitmont and Appolntment of Management Commltt All Members ofthe Management Committee give their lime voluntarily and receive no benefits from the Charity. Traditional business and skills are well represented on the Management Committee. In an effort lo maintain 8 broad mix of skills, new Committee Members are recTuiled after inforrnal discussions with the Chairman andlor other officers and they are invited lo visit the offices where they are briefed by the staff on their work and systems. They are provided with a copy of the Memorandum and Articles of Association, the rules and current back issues of the Annual Review as well as the Charity Commission leaflet on Ch8rity responsibili'es. During the year they receive full background papers for all potential and actual beneliciari8s, the monthly 8ecoLJnls and the annual summaTies of loans. The Chief Executive reports personally to the Members on matters concerning individuals allocated lo them as case manager and in any other case wheie they have asked to be kept in touch. Page 4
THE BARRISTERS, BENEVOLENT ASSOCIATION {A company Ilmited by guarantee) COMMirrEE MEMBERS, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Trust&e Induction and Training M05t Trustees are already familiar with the practical work of the Charity being Members of the Bar. Trustees are invited and encouraged lo attend a serie5 of Board meetings as part of their training to lamiliarise themselves with the Ch8rity and the context within which il operates. These are jointly led by the Chair of the Commiltee, Company Secretary, Chief and Deputy Chief Executive of the Charity and covers.. The obligations of Management Committee Members. The main documents which set out the operational framework for the Charity including the Memor8ndum and Articles. Resourcing and the current financial position as sel out in the latest published accounts. Any Future plan5 and obltives. Links to Ihe Charity Commission's website with publications to the Trustees role and Tesponsibililies. How our adlvFtles dellvgr publlc bgneflt The Charity seeks lo reaGh every praGlising Bgriister every year to ensure they are aware of the potential assistance available and lo seek their financial 5UPPOrt. This is primaTily achieved through emailing a Gopy of the AnnLJal Review to the Bar Counsel for distribution via email lo all Members of the Bar and Judiciary. We 81$0 att6nd relevant conferences and seek publicity in professional magazines. Our website includes information for both donors and potential bÈnèficiaTies and has a downloadable application form. We also have a small team of volunteer Circuit Represeniatives who are able lo make visits rf needed. H&lp is tsilored lo each individual case. Wherever possible we seek to enable the beneficiary lo solve their problem and continue in or return to a posf(ion where he or she can earn a living bul where this is impossible. or not to be recommended, we can offer secured OT unsecured loans or make grants. Sometimes help is needed urgently lo lide people ihrough an emergency, other limes the need 15 longer-lerm. Assistance is given without geographical restriction or any need to pay fees and with due regaid lo public benefit guidance published by the Charty Commission. A¢hlev¢m¥nt$ and performanc8 COVID-19 The BBA launched a joinl Appeal together with the Four Inns in April 2020 to support th8 demand for assistance by Members of the Bar whose pra¢lioes were adversely affected by COVID-19. During 2021 we have continued lo receive COVID applications for grants from the fund and have received continued support for the fund from the Four Inns and Donors. The total of grants made lo applicants in the year ended De¢ember 2021 was £492,681. The total of donations received during that year was £429,476. There were 24 new beneficiaries during the year. giving a lolal 01189 beneficiaries and 121 dependents since the start of the appeal. Application5 were typically renewed every 3 months. anlicipale having funds from the Appeal lo be able lo continue to offer grants untll the middle of 2022. With Ihe support of the Four Inns, donors, sets of chambers, professional associations. and circuits we are confident we can meet the demand to support those needy and deserving Members of the Bar. Page 5
THE BARRISTERS, BENEVOLENT ASSOCIATION IA company limited by guaranttrel COMMIThEE MEMBERS, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 oth8rwork The BBA general fund costs of £482,391 includes grant giving aclivities of £219,196 and support costs totalling £263,195 50 regLJlar beneficiaries including dependents were awarded monthly and quarterly grants lo meet short falls in living, medical and food costs. In 2021 there were 9 new cases unconnected lo COVID. a decrease of 5 on the previous year. Ofthese we were able to help 7 financially and 2 were offered advice. 3 sub-committee meetings were held. The refusals were based On appli¢ation$ which fell outside our immediate remit. Where we decline support because we consider the application was made too soon, we encourage the applicant lo reapply should their situation worsen. In addition to the new cases, there were also 16 renewals. 4 less than in 2020 and 23 reports, 2 rnore than in 2020. The most common rÈ8son for declining financial help at any lime lallhough leaving the door open for subsequent applicalionsl is possession of adequate personal resources which we considei should be used first. since one of our criteria for granting assistance is that the applicant should be "needy.. In very rare cases someone may be considered needy but not'deserving,. Initi81 enquiries by phone, emai5. letter or personally- are handled immediately and the aim is lo have our application form completed and processed in lime for the next available Committee meeting, although this does not rul8 out more immediate help if this is urgently required. Every case is reviewed annually on the anniversary of ils initial presentation to the Committee and renewals ofsupport have to be accompanied by another completed 8pplicalion fom. Outstanding loans are reviewed annually al Ihe beginning of the year. Secured Loans A thorough revi&w of 811 ouislanding unsecured loans has btsen ¢arried oul. Where the debt is many years old and despite attempts to contact the debtor there has been no significant repayment. the debt h88 been written off in our accounts. This does not mean that attempts to secure repayment have been abandoned and trvery effort will continue lo be made to recover these debts. Plan for tho future The AssoGialion will GontinLJe lo seek out opportunities lo publicise the work of the Charity and lo seek fin8ncial support from those in a posS1ion lo help. The Directors will ¢onlinue to monitor response times for receiving and processing applications, the prompt and accurate payment of all benefits, and the proper acknowledgement of contributions. Financial review The Associxtion made a deficit for the year of £306,048 f2020- surplus of £552,470J before net gains on revaluation of the investments of £814,634. Total incoming resources decreased from £1,843,440 in 202D lo £669,024 in 2021. Total resources expended decreased from £1,290,970 in 2020 lo £975,072 in 2021. As al the year ended 31 December 2021, the Association had unrestrieled reserves of £13,426,452 {2020- £12,917,866). Page 6
THE BARRISTERS, BENEVOLENT ASSOCIATION IA company limited by guarantee) COMMIThEE MEMBERS, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Investment Powers, Policy and Performance The Members of the Committee have, as Trustees, the stalulory general power of investment conferred by the Trustee Act 2000, which permits them lo make any kind of investment which they could make if they were absolutely enlilled lo the Association's assets. In exercise of their powers under the Act, the Members of the Committee have delegated their asset management functions to the Association's investment managers Inveslec Wealth & Investment based on 4n agreement for discretionary porttolio management. The instruclion to the investment managers is that they seek a balanced return from income and from capital growth of thè portfolio, with no more than a moderate level of risk. The investment strategy is reviewed during the year with the investment managers. The value of the investments as al 31st December 2021 was £8.787.936 (2020 £8,006,913). The portfolio received an inflow of £200,fJOO during the year and so the nel increase in the value of the portfolio was £781,023 (2020- £755. 719). 2021 was ultimately a year of continued recovery in global stock rnarkèls, although progress was not linear as vananls of COVID-19 c8used social restrictions to be re-lmposed in several countries. Company earnings were very strong due to weak comparatives in 2020 and, whilst mkjch oflhe recovery had already been anticipated, companies. results tended still to surprise on the upside. Recovering consumer demand met COVID ravaged supply chain issues however and therefore headline inflation Igures have begun to rise signrficantly and are likely lo be meaningfully above central banks, t8rgÈts over the next couple of years. The US equity market was again the best-performing region. rising by 30% in sterling, and the UK and European markets also performed slrongly, rising by 18Yo and 17% respectively in SteIng. Gains were most evident in economically sensitive areas Df the market which had been the most downtrodden in 2020. In this environment the portfolio generated an above-average overall return of +11.3%. This was slightly behind Ihe composrte benchmark reluin of +13.OOh due lo our focus on high quality growth companies, which performed well. bul did not rebound as much as the broader market given that they had not been as negatively impacted in the first place. The Trustees agree that the current diversified stratègy rèmains a suitable one for the BBA to achieve ils long tèm objectives. The benchmark is comprised of the following indices.. 32QA FTSE All Share (UK equities). 350A FTSE World ex-UK (overseas equities), 20Vo FTA GovernmentAII Stocks Ibondsl, 30/0 IPD Monthly Ipropertyl, 50/0 Bank of England Base Rate +20/0 {allemalive asselsl, 5% Bank of England Base Rale-0.5Q/o Icashl. Grant Making Policy The Association invites applications for assistance from needy and deserving Members of the Bar who are or have been in practice in England or Wales, thèir husbands or wives, widows or widowers, children, and dependanls. AssislanGe may be provided to beneficiaries by way of grant or loan. or a combination of the two. Before any grant or loan 15 considered by the Committee. applicants are required lo complete a detailéd form setting out their individual circumstances. Where possible, the Association will aayS seek to facilitate the return lo work of the praolilioners who have been in substantial full-time practlEe prior lo the events occasioning their application. Page 7
THE BARRISTERS. BENEVOLENT ASSOCIATION IA company15mlt•d by guarnntfrel COMmIE£ MEMBERS, REPORT FOR THE YEAR ENDED 31 DECEMBER 2021 Reservgs Pollcy The assets ol the A550cialion a app1&ble for its purposes al the discretion of the Committee wrthc•L any distinction bèlween capital and income. Tho Association has total funds of £13.426,452 (2020 - £12,917,866) of which £3,802,935 12020 - £4,299,853J is compristrd In dasignated fund5, £217,498 (2020- £226.298) as tsngible fixed assets and £8.787.936 (2020- £8,006,913J is hèld in investments lo continue to generate income for the Associali)n, leaving £618,083 {2020- £384.802) ol general free reserves. Whilst under Charity Commission guidance the Charity's investments repre5enlfree reserves, the Cornmittee considers that these are held lo geneTate lunds to support ils beneficiaries in the future. Consistent wrth ts policy to create and maintain an adequate capital base, the Committee intends 10 maintain the current level of total reserves limit al £7,500,000 atthough currently al the year-end there are reserves of £8,787,936 tg allow for the current uncertainties within the market Ihat could be impactèd by an increase in demand from beneficiaries. Rlsk Management The Members of thè Committèe arè satisfied that the major and operational risks thè BBA face8 have been idenlrfied and confirm that systems have been established to enable regular reports to produced $0 that the necessary steps ean be taken to lessen the risks. Approved by order of the Members ofthe Board ol Committee Members and signed C•n their behalf by.. Terence Mowschonson QC Chairman Page 8
THE BARRISTERS. BENEVOLENT ASSOCIATION (A Company Limlt¢d by Guarantee) STATEMENT OF COMMITTEE MEMBERS. RESPONSIBIUTIES FOR THE YEAR ENDED 31 DECEMBER 2021 The Commlttga MembeTS (who are 8180 the Directors of thè Ch8rity for the purposes of company lawl are responsible lor preparing the Committee Member8, Report and the financial sletgments in accordance with 8ppli¢8ble law and Unf(ed Kingdom Accounb'ng Standards (United Kingdom Generally Accepted Accounting Practice). Company18w QuIreS th8 Committoe Members lo prepare financial 5talemenls for each financial year. Under company law. the Committee Members must not approve the fln8nclal statements unless they are satisfied thai Ihey gwe a true and fair view of the stale of affairs of the Charity and of ils incoming re3Durce8 and application of fesour¢e5, induding its income 8nd expendf(ure, for that perioJ. In preparing Ihe8e finanrAd Blalemonts, the Committee Members 8r8 requId to.. sdect suitablè accounlino policies 8nd then 8ppty them consislenlty.. observe the Meth1$ and principle8 of the Charities SORP IFRS 102)., m8ke judgements and accounting eslimgtes that are reasonable and prud¢nt', stsle whÈther applicable UK Aceountlng Standards IFRS 1021 have been folk)wed, 8ubiect lo any m8ieri81 departure6 dlsclosed 8nd e¥p18ined in the finan81 slatemenl5'. prepare the financl81 statements on the going concem b85is unless it is Inapprc)rialè to presume that Ihe Charlty will continue in bu8ine66. The Commltteo Mèmbers are respansible for keeping adequate accounting records that are $fftlenl to $hLv4¥ and explain the Charity's Iransath"on8 and dis¢losa wtih reasonable accuracy at any time the financial position of the Charity and enablo them to onsure that the finanBkg1 statements Comply w(th the Companies Act 20C6. Thoy are akn responsible for safeguarding the a$$ets of the Charity and hence for taking rgastsnable Bteps for Ihe preVentn and delectlon of fraud and other IrreguLqritiBs. In so far 8$ Ihe Commlttee Mernbe gre aware.. there is no falgvgnl audit infornwtion of which the Charity'8 auditor 18 unaware.. and the Commltteè Members have taken 911 steps that they ought to have taken lo make Ihomsalves awgr• of any relevant audit infomi81ion and ti establish that the audrtOT i5 aware of that infom)atlorn, Approved by der oftho MembBrs ofthe Committee Board an¢J signed on ts behalf by.. Terence Mow8chen8on QC Chairman Dale= 13K Ly lo LL Page g
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmlted by Guarant901 INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE BARRISTERS, BENEVOLENT ASSOCIATION Opinion We have audited the financial statements of The Barrisleis. Benevolent Association Ilhe 'ChariVI for the year ended 31 December 2021 which comprise the Statement of Financial Aotivilies, the Balance Sheet, the Slalement of Cash Flows and the related notes, including a summary of signrficant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, Iuniled K1ngdom Generally Accepted Accountsng PraGlicel. In our opinion the financial slalements.. give a true and fair view of (he stale of the Charity's affairs as al 31 December 2021 and of its incoming resources 8nd application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements of the Companies Act 2006. Ba$ls lor opinion We conducted our audit in accordance wlth Intemational Standards on Audlling IUKI IISAS IUKII and applieable law. Our responsibilities under those slandaTds are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordancè with the ethical requirements that are relevant to our audit ol the financial statements in the United Kingdom, including Ihe Financial Reporting Council's Ethical Stsndard, and we have fLJllilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Con¢luslons relating to going concern In auditing the financial statements, we have concluded that the Committee Members, us& of thè going ¢onc8m basis of accounts'ng in the preparation of the financial slalemenls is appropriate. Based on the Work we have perfomied, we have not Identified any material uncertainties relating to events or conditions that. individually or collectively, may cast significant doubl on the ¢harilable companls ability to continue as a going conc6rn for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Commillèe Members with respect to going concern are described in the relevant seclions of this Teport. Page 10
THE BARRISTERS. BENP4OLENT ASSOCIATION IA Company Llmlted by Guarantee) INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF THE BARRISTERS, BENEVOLENT ASSOCIATION (CONTINUED} Other Information The other information comprises the information included in the Committee Members, Report other than the rinancial slalewenls and our Auditors, Report thereon. The Commfftee Members are responsible for the othèr information contained within the Committee Members, Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise expli¢iUy stated in our report, we do not express any form of assurance conclusion Ihereon. Our responsibility is lo read the other information and. in doing so, consider whether Ihe olher infomation is materially inconsislenl with the financial slalemenls or our knowledge obtained in thè course of the aLJdit, or othenNise appears to be materially misslaled. 11 we idenlrfy such material inconsistencies or apparent material misstatements, we are required to determine whether this 9ives rise to 8 material misslalemenl in the fin8ncial ststements themselves. If, based on the work we have performed. we conclude that there is a material misslatemenl of this other information, we are required lo report that fact. We have nothing lo report in this regard. Opinion on other matter5 pres¢rib¢d by the Companl8s Act 2006 In our opinion. based on the work undertaken in Ihe course of the audit.. the infonnalion given in the Committee Members, Report foi the financial yeaT for which the financial statements are prepared is ¢onsistenl with the financial statements. the Committee Mebe[S, Report has been prepared in accordance with applicable legal requirements. Matters on which we are requir•d to roport by exception In the light of our knowledg& and understanding of the charitable company and its environment obtained in the course of the audit, we have not idenlified malerial misstatements in the Committee Members, Report. We have nothing to report in re$pe¢l of the folloTMng matters in relation to whi¢h Companies Act 2006 requires us to report to you if, In our opinion.. adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us., or the financial statements are not in agreement with the accounting records and returns,. or certain disclosures of Committee Members. remuneration specified by law are not made- or we have not received all the information and explanations we require for our audit., or the Committee Members were not entitled lo prepare the financial statements in accordan¢e wth the small companies regime and lake advantage of the small companies, exemptions in preparing the Committee Members. Report and from the requirement lo prepare a Strategic Report. Responsibiliti•s of Committeo Members As explained more fully in the Sialement of Committee Members. Responsibilities, the Committee Members (who are also the Directors of the charitabl¢ Gompany for the purposes of wmpany lawl are responsible for Ihe preparation of the financial slalernents and for being satisfied that they givè a true and fair view, and for such internal control as the Committee Members determine is neGessary lo enable the preparation of financial slalemenls ihal are free from material misslalemenl, whether due lo fraud or error. Page11
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE BARRISTERS. BENEVOLENT ASSOCIATION {CONTINUED} In preparing the finanGial slalemenls. the Committee Members are iesponsible for assessing the charitable company's ability to wnlinue as a going concern, disclosing, as applicable, matters related lo going concem and using the going concern basis of accounting unless the Committee Members either intend to liquidate the charitable company or lo cease operations, or have no realistic alternative bul lo do so. Audltors. responslbllltlas for the audil of tho financlal $tat8mants Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstalemenl, whether duè lo fraud or error, and lo issue an Auditors, Report that includes our opinion. Reasonable assurance is a high level of assurance. bul is not a guarantee that an audit conducted in cordance with ISAS IUKI will alway5 detect a material misstalemenl when it exists. Misslalements can arise frorn fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these fingn¢ial slalements. Irregularities, including fraud, are instances of non-compliance Mth laws and regulations. We design procedures in line with our responsibilities, outlined above, to delect material misstatements in respect of irregularities. including fraud. The extent lo which our procedures are capable of delecling irregularities, including fraud is detailed below.. Identify and assess the risks of material misslalement of the financi81 statements, whelher due lo fraud or error, design and perfom audit procedures responsive io those risks, and obtain audit evidence that is sufficient and appropriate lo provide a basis for our opinion. The risk of not delecling a material misstatement resulting from fraud is higher than for one resulting frorn error. as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Obtain an understanding of internal control relevant lo the audit in order lo design audit pro¢edure5 that are appropriate in the circumstsnces, bul not for the purposè of expressing an opinion on the effectiveness of the Charity's inlemal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Committee MembeTS. Conclude on the appropriateness of the Committee Members use of the going conGern basis of accounting and, based on the audit emdence obtained, whether a maleTial uncertainty exists related to events or conditions that may cast signrficanl doubt on the Charity's abillty lo continue as 8 going concem. If we conclude that a matevial uncertainty exists, we are required lo draw attention in our auditor's report lo the related disc105ures in the financial ststements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to th8 dale of our auditor's report. However, future events or wndilions may cause the Charity lo cease to continue as a going concern. Evaluate the ovèrall présèntation, slruclurè and contènt of the financial statements. in¢luding the disclosuTes. and whether the financial slalemenls represent the underlying transactions and events in mannèr that a¢hieves fair presentslion lie. gives a tru8 and fair view). Because of the inherent limitations of an audit, there is a risk that we will not detect all itregularilies, including those leading to a material misstatement in the financial statements or non-compliance with regulalion. This risk in¢reases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial slalemenls. as we wll be less likely lo become aware of instances of non-complian. The risk is also greater regarding irregularities occurring due lo fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misTepTesenlalion. Page 12
THE 8ARRISTERS' BENEVOLENT ASSOCIATION IA Company Llmlted by Guarante•l INDEPENDENT AUDrroRS' REPORT TOTHE MEMBERS OF THE BARRISTERS. BENEVOLENT ASSOCIATION ICONTINUEDI A further description of our responsibilities for the audit of the financial slalemenls is located on the Financial Reporting Council's website al". www.frc.or .uklauditorsres onsibilities. This des¢riplion forms part of our Auditors, Report. Uso of our report This report is made solely lo the Charity's Members, as a body, in aOrdanCe wth Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might stale to the Charivs Members those matters we are required to slate lo them in an Auditors. Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility lo anyone other than the Charity and its Members. as a body. for OLJr audit work, for this report, or for the opinions we have formed. Sudhir Singh FCA (Senlor Statutory Audltorl for and on behalf of MHA Maclntyre Hudson Slalulory Auditor London, United Kingdom Dale.. 23 September 2022 Page 13
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limited by Guaranto9) STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNTI FOR THE YEAR ENDED 31 DECEMBER 2021 Unrestricted funds 2021 Total funds 2021 Total funds 2020 Notg Income from: Donation5 and leg8ci&s Investment income 463,418 197,691 7,915 463,418 197,691 7.915 1.546.437 290,367 6,636 Other income Total Income 669,024 669.024 1.843,440 Expenditure on: Investment management costs ChaTilable activities 40.131 934.941 40,131 934,941 36.821 1.254,149 Total expenditure 975.072 975.072 1,290,970 Nat laxpènditurell incom8 before not galns on Invostments Net gains on investments 1306.0481 814,634 (306.0481 814.634 552,470 275,014 12 Ngt movement in funds 508,586 508.586 827,484 Reconciliation of funds.. Total funds brought forward Net movement in funds 12,917,866 508,586 12,917,866 S08.586 12.090.382 827.484 Total funds carrlad forward 13,426,452 13.426.452 12.917.866 The Slalemenl of Financial Activities includes all gains and losses recognised in the year. In the previoijs year all income and expenditure was allocated to I from unrestricted funds. All income and expenditure derive from ¢onlinuing activities. The notes on pages 17 10 36 form part of these financial slalements. Page 14
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Lirnlted by Guaranteel REGISTERED NUMBER: 05284271 BALANCE SHEET AS AT31 DECEMBER2021 2021 2021 2020 2020 Note Flxed asset5 Tangible assets Investments 11 12 217.498 ,787.936 226,298 8.006,913 9.005N34 B,233.211 Current assets PTcgr8mmo related investments- Conces5ionary loans OebtorB'. Arnounts falling due wlihln one year CaBh at bank and in hand 13 14 18 3.640,473 66,283 734.086 3,854,095 132,210 716.645 4,440,842 4.702.950 Creditors.. Amounts falling due wthin one year 15 {19,824) (18.2951 Not current assets 4,421,018 4.684.655 Total net a3t* 13h26.452 12,917.866 Charlty funds unStn.¢ted funds 16 13A26,452 12,917,866 Total funds 13,426.452 12,917,866 The Committee Members acknowledge their responsibilities for coMpln9 with ihe r8quirernents of Ihe Companies Act 2006 w(th respect lo accounting rordS and preparation of financial Statements. Th& financial statements hove been prepared in 9ccord8nce wh the provisions applicable to entkies subject lo the Small cornp8ni08 regime. Th? finan¢ial statements were aPPToved and authorised for issue by the Committee Members and signed on their behalf by". Toronce Mowschonson QC Chgirnian Date". The notes on pages 17 to 36 fomi part of Ihgse financial slatemenls. Page15
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Limlted by Guarantgal STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2021 2021 2020 Note Cash flows from operatlng actlvities Net cash used in operating activities 17 (213,8611 323,098 Cash flows from Investlng actlvities Income from investments 197.691 290.367 1,174.707 2,147,331 11,141,096) 12,628.0361 Proceeds from sale of investments Purchase of investments 12 12 Not cash provldèd byllusèd In) Investlng a¢tlvltl•s 231,302 1190.3381 Change In cash and cash equivalent5 in the year Cash and ¢ash equivalents at the beginning of the year 17,441 132,760 716.645 583,885 Cash and cash equivalents at the end of the year 18 734,086 716,645 The notes on pages 17 to 36 fomi part of Ihese financial statements. Page 16
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 General Informallon The Chaiity is a company limited by gLJaranlee and is registered with the Charity Commission (Charity Registered Number 11067681 and Registrar of Companies (Company Registration Number 052842711. The Members of the company are the Commitlee Members narned on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limiled lo £1 per Member of the Charity. The address of the Tegislered office is given in the Charity infomi8tion on page 1 of these financial slalements. The nature of the Charity's operations and PTin¢ipal activities are listed in the Committee Members, Report. Accountlng pollclgs 2.1 Basis of praparatlon of financial statements The finanGial statements have been prepared in accordance with the Charities SORP IFRS 1021 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 IFRS 1021, the Financial Reporting Standard applicable in the UK and Republic of Irèland IFRS 1021 and the Companies Act 2006. The 8arrS$leTS' Bènevolent Association meets the definition of a public benefit entity under FRS 102. Assets and liabilities are ini118lly recognised at historical cost or transaction value unless otherwise slated in the relevant a¢Gounling policy. The financial statements are presèntèd in sleding which is the functsonal currency of the Charity and rounded lo the nearest pound. 2.2 Going concarn The Committee Members have assessed the use of going concern and have considered p055ible events or eondilions that might cast significant doubt on the ability of the Charity lo continue as a going concern including the impact of COVID-19. The Committee Members have made this assessment for a peritsd of at le8St one year from the dale of the approval of these Financial Statements. The Committee Members have concluded that there is a more than adequate resources lo continue in Dperational existence foi the foreseeable future and has no imrnediale concerns and expects the charity to therefore lo continue lo adopt the going concern basis in prèparing ils financial statement. P8ge 17
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accounting poll¢la$ {contlnuedl 2.3 Incom All income is recognised once the Charity has ÈnliUÈmènt lo the income, il is probable that the income will be received and the amount of income receivable be measured reliably. The recognition of income from legacies is dependent on establishing entitlemènt. thè probability of receipt and the ability lo estimate with sufficient accuracy the amount receivable. Evidence of entillemenl to a legacy exists when the Charity has sufficient evidence that a gift has been left lo them Ilhrough knowledge of the exislÈnee tsf a valid wll and the death of the benefaclorl and the executor is satisfied that the property in question will not be requiTed lo satisfy claims in the estate. Receipt of a legacy musl be recognised when Il Is probable that il will be received and the fair value of the amount Teceivable, which will generally be the expected cash amount lo be distributed to the Charity, can be reliably measured. Grants are included in the Stalemenl of Financial Activities on a receivable basis. The balance of income received for specific purposes bul not expended during the period is shown in Ihe relevant funds Dn the Balance Sheet. WheTe income is received in advance of entitiemenl of receipt, fits recognition is deferred and included in creditors as deferred income. Where entitlement occurs before income is received, the income is accrued. For donations lo be recognised the Charity will have been notified of the amounts and the setuemenl dale in writing. If there Ère condilions attached lo the donation and this requires a level of pÈrformanee bèfore entitlement can be obtained then income is deferred until those condititsns are fully mel or the fulfillment of those conditions is within the control of the Charity and it is probable that they will be fulfilled. On receipt. donated professional services and facilities are recognised on the basis of the value of the gift to the Charity which 15 the amount it would have been willing lo pay lo obtain services or facilities of equivalent economic benefit on thè open market. a ¢otresponding amount is then recognised in expenditure in the period of receipt. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. Income tax recovèrable in relation lo investment income is recognised at the time the inveslmènl income is receivable. Other income is recognised in the peTiod in which il is receivable and to the extent the goods have been provided or on completion of the service. Page 18
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limlt8d by Guarantoel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accountlng pollclos Icontlnugdl 2.4 Exponditurè l expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related lo that category. Expenditure Is recognised once there is a legal or nslruGlive obligation to transfer economic benefit lo a third paty. il is probable that a Iransler of economic benefits will be required in settlement and the amount of the obligation can be rneasured reliably. Expenditure is classified by activity. The costs of each activity are made up of th8 total of direct costs and shared costs, including support CO515 involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly lo that activity. Shared costs which contribute to more than one activity and support costs which are not attributsble to a single activity are apportioned beleen those activities on a basis con515tent with the use of resources. Central staff costs are allocated on the basis of lime spent. and deprecbalion charges allocated on the portion of the assèt's use. ExpendilLJre on raising funds includes all expendibjre incurred by the Charity lo raise funds for Its char1table purposes and includes costs of all fundraising activities events and non-charitable trading. Expendituré on charitable aotivities is incurred on directly undertaking the 8Ctivities which further the ChaTiWs objectives, as well as any associated support costs. Grants payable are charged in the year when the offer is made except in Ihose cases wheTe thé offer is conditional, such grants being recognised as expenditure when the condits.ons attaching are fuilled. Grants offered subject to eondrtions which have not been met at thè year Ènd arè noted as a commitment, bul not accrued as expenditure. All expenditure is inclusive of irrÈcovÈr8ble VAT. 2.5 Forelgn currencies Foreign cuffency transactions are initially recognised by applwng lo the foreign currency amount the spot exchange rate beeen the functional currency and the foreign currency at the Balance Sheet dale of thè Iransactson. hAonetary assets and Iiabililies denominated in foreign currencies are translated into sterling al rates of exchange ruling al the Balance Sheèt dale. ExGhange gains and losses are recognised in the Slalement of Flnancial Activities. 2.6 Taxation The Charity is consbdered lo pass the lesls set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore il meets the definition of a charitable company for UK corporation tax purposes. A¢¢ordingly, the Charity is potentially exempl from laxalion in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992. to the extent that such income or gains are applied exclusively lo charitable purposes. Page 19
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Llmlted by Guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accounting policios Icontlnuodl 2.7 Tangible fixod assats and dopraciatlon Tangible fixed assets costing £500 or more are capilalised and recognised when future economic benefits are probable and the cost or value of the asset can bè measured reliably. Tangible fixed assets are initially recognised at cost. After recognition. under the Cost model, tangible fixed assets 8re measured at cost less accumulated depreciation and any accumulated imp3irment losses. All costs incurred to bring a iangible fixed asset into ils inlended wotking condition should be included in the rlleasuremenl of cost. Depreciation is charged so as to allocate the cost of tangible fixed assets less Iheir residual value over their estimated useful lives, using the slraight-line method. Depreciatson is provided on the following bases.. Leasehold property Fixtures and fittings Computer equipment 2% straight line on cost of building 15°h straight line 20°/o straight line 2.8 Investments Fixed asset investments are a lom) of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value using the closing qLJOted market price. All gains and losses are taken lo the Statement of Financial Activities as they 8rise. The Statemènt of Finaneial Activities includes the net gains and losses arising on revaluations and disposals throughout the year. As investments are revalued to fair value continually, no realised gains or losses arise. The fair value of listed investments is determin by reference to the quoted price for identical assets in an active rnarkel al the Balance Sheet dale. Soci81 investments include programme related investments which are those held to further our charitable PLJrposes. Programme related investments include concessionary loans to third parties. 2.9 Concessionary loans Concessionary loans include those receivable lo third parties which are interest free c*r below market inteiesl rates and are made to advance charitable purposes. Where the loan is repayable on demand within one year, the loan is measured al cost, less impairment. Where the loan is repayable more than one year. the loan is initially measured al fair value and subseqijenlly measured al amortised cost using the effective interest rale method, less impairment. 2.10 Debtors Tradè and other debtors are recognised al the settlement arnount after any Ir8dè discount offered. PrepayTnents are valued al the amount prepaid net of any trade diswunts due. Page 20
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limitod by Guarant80} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accountlng pollclos {¢ontlnuedl 2,11 Liabilities and proYi5ion5 Liabilrties are recognised when there is an obligation at the Balance Sheet date as a result of a past event. il is probable that a transfer of economic benefit will be required in settlernenl, and the amounl of the settlement can be eslimaled reliably. Liabilities are recognise¢J al the amount that the Charity anlicipales il will pay to settlè the dÈbl or Ihe amount il has received as advanced payments for the goods or services il must provide. Provisions are measured al the besl estimate of the amounts required lo settle the obligation. Where the effect of the time value of money is material, the prowsion is based on the present value of those amounts. discounted al the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of Financial Activities as a finance cost. 2.12 Flnan¢lal Instruments The Charity doe¥ not havè a malerfal holding in complex financial instruments. The Charity only holds basic Financial Instruments. The financial assets and financial liabilities of the Charity are as follows-. DebloTS- trade and otheT debtors (including accrued incomel are basic financial instruments and are debt Instruments measured at amortised cost as detsiled in Note 14. Prepaymenis are not financial instruments. Cash al bank- is classified as a basic financial instrument antl is measured at face value. trade creditors, accruals and other creditors will be classrfied as financial instruments, and are measured at amortised cost as detailed in Note 1 S. Taxation and social security are not included in the financial instruments disclosure. Deferred income is not deemed to be a financial liability. as in the cash seitlement has already taken place and there is simply an obligation lo deliver charitsble servi¢es rather than ¢ash or 8nother financial inslrumenl. 2.13 Operating leases Rentals paid under operating leases are char9ed to the Slalement of Finanaal Activities on a straight line basis over the lease term. 2.14 Pènslons The Charity is committed lo providing pensions lo former members of staff al an agreed rale on retirement of the employee. The cost of providing these pensions is included in the Slalemenl of Financial Activities as it Is incurred. Page 21
THE BARR15TERS' BENEVOLENT ASSOCIATION {A Company Limitod by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Accounting poll¢19s {¢ontlnuedl 2.15 Fund accountlng General funds are unrestricted funds which are available for use al the discretion of the Committee Members in furtherance of the general objecb'ves of the Charity and which have not been designated for other purposes. Designated funds cornprise unrestricted funds that have been sel aside by the Committee Members for particular purposes. The aim and use of each designated fund is Sel out in the notes lo the financial statements. Investment income, gains and losses are allocated to the appropriate fund. 2.16 Judgamants and kèy sour¢e$ of estlmatlon un¢•rtalnty The following judgements lapart from those involving eslimalesl have been made in the process of applying the above accounting policies that have had the most significant effect on amounts reGognis¢d in the financial slalements.. Basis of valuation of financial instruments Allocation of support costs The useful economic lrfe of tangible fixed assets and the depreciation rates applied Impairment of programme related investments I ConSSiOnary loans. Page 22
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Llmited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 In¢ome from donations and 18ga¢los Unrestricted funds 2021 Total funds 2021 Donations - general Legacies Donations received from specific in5tilulions 229.476 10,000 223,942 229,476 10,000 223,942 Total 2021 463,418 463,418 An analysis of donations received from specific institutions is shown in Note 4. Unrestrictèd funds 2020 Total funds 2020 Donations general Donations received from specific inslilulions 640,149 906,288 640,149 906,288 Total 2020 1,546,437 1,546,437 P8ge 23
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Llmited by Guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Donations received from speciflc instltution5 2021 2020 Honourable Society of Inner Temple Icovid Appeal £50.000} Honourable Society of Middle Temple Icovid Appeal £50,000) Honourable Society of Lincoln's Inn (Covid Appeal £50,000) Honourable Society of Gray's Inn (Covid Appeal £50,000) Western Circuit Lodge (Covid Appeal) One Crown Office Row Solev Co Ltd (Covid Appeal) Landmark Chambers WilberfOr Chambe Quadrant Chambers Matrix Chambers Falcon Chambers Essex Court Chambers (Covid Appeal) Cloth Fair Chambers (Covid Appeal) Old Square Chambers (Covid Appeal) Bar Golf Society 5RB (Covid Appeal) 1GC Management Limited 3VB Services Limited Chancery Bar Associalion Icovid Appeal) Midland Chaneery Bar Association Icovid Appeal) Commerical Bar Association Icovid Appeal) Personal Injuries Bar Association Icoyid Appeal) Queens Council Appoinlrnenls (Covid Appeall The Yves Guihannec Foundation (Covid App8all Bar Mutual Fund (Covid Appeal) Bar Mulual Fund Payp41 Giving Fund The Band Tiusl G and K 8oyes Charitable Trust (Covid Appeall Alastair and Rachel Norris Charitable Trust 60,000 45,000 57,000 50.392 110,000 120.250 132.000 120.000 750 250 250 5,000 1,000 250 250 250 500 250 250 3.000 20,000 5,000 10.000 965 500 250 16 30.000 2,000 30,000 6,500 100,OQIO 10,000 100,000 2SO 104 272 2,000 100,000 2,000 1,250 1.500 981 Agencia Consulting Ltd Grals Inn Benchers Ladies Association 223.942 906,288 Page 24
THE BARRISTERS. BENEVOLENT ASSOCIATION {A Company Llmited by Guarantae) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Income from Investments Unr*stri¢ted funds 2021 Total funds 2021 Dividends and interest on investments 166,821 30,822 48 166,821 30,822 Interest on loans Bank interest receivable Total 2021 197,691 197.691 Unrestricted funds 2020 Total funds 2020 Dividends and interest on investments 169,049 120.798 520 169,049 120.798 520 Interest on loans Bank interest receivable Total 2020 290,367 290,367 Other income Unrestricted fund5 2021 Total funds 2021 Rental income 7,915 7,915 Unrestricted funds 2020 Total funds 2020 Rental income 6,636 6,636 Page 25
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmitgd by Guarantoel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Analysis of expenditure on charitable activitie5 Activities undgrtak&n dlrectly 2021 Grant fundlng of a¢tlvities 2021 Support costs 2021 Total funds 2021 Grant giving 1,900 669,846 263,195 934,941 Activities undertaken direcuy 2020 Grant funding ol activities 2020 Support costs 2020 Total funds 2020 Grant giving 5.100 996,545 252,504 1,254,149 In both the current and previous year. all grant funding of activities were to individuals. Gmnts were made to 50 individual beneficiaries, often in respect of living costs such as food. mecsical, rènt and council tsx. Grants varied in length between the short and long tèrm and were often distributed monthly or qLJarterly. Page 26
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limitgd by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 Analysls of expendlture on charltable actlvltles lcontlnugdl Analysis of support costs Total funds 2021 Total funds 2020 Staff costs Depreciation Rent and rates 112,467 8,800 34,102 5,280 2,003 2,632 6.390 22.276 1.241 112,967 8,800 40,674 6,104 2,006 2,927 5,890 23,115 1,375 4.400 1,200 728 Office cleaning, electricity, insurance, maintenance and water Printing, postage. stationery and appeals Telephone Advertising Computer consultants Bank charges Consultancy costs Subscriptions Sundry expenses Concessionary loans impeimitrnl Governance Costs 1,786 673 37,B07 27,738 42,318 263,195 252,504 Govarnance costs 2021 2020 Legal and professional fees Audilorfs remuneration Audit of the financial stalemenls Audilorfs remuneration - Other serviGe5 Auditorfs remuneration - Under accrual of prlor year fees 16,052 8,200 2,225 1.261 30.078 7,600 4,640 27,738 42.318 Page 27
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmlted by Guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 staff costs 2021 2020 Wages and salaries Social security costs Pension costs 81,445 5.707 2S,315 81,856 5,799 25,312 112,467 112.967 The average number of persons employed by the Charity during the year was as follows.. 2021 No. 2020 No. Administration No employee received remuneration amounting to more than £60,000 in either year. 10. Commlttee Members. remuneratlon and gxponses During the year, no Committee Members, who are considered to be Ihe Key Management Personnel of the Charity, received any remuneration or othèr benefts12020- £NILI- During the year ended 31 December 2D21, no Committee Member expenses havè been incurred12020 - £NILI. Page 28
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmited by GuaTantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 11. Tangibl8 fixod assèts Flxtures and fittlngs Computer equiprnent Properties Total Cost or valuatlon Al 1 January 2021 304.950 33.838 13.505 352.293 At 31 December 2D21 304.950 33,838 13,505 352.293 Depreciation At 1 January 2021 Charge for the year 88.289 6,099 33,838 3.868 2.701 125,995 B,800 Al 31 December 2021 94,388 33,838 6.569 134,795 Net book value At 31 December 2021 210.$62 6,936 217.498 At 31 December 2020 216,e61 9,637 226,298 All fixed assets are held for use by the Chartty. The Association has an interest in tsvo properties lone freehold and one leasehold flatl where ownership has been transferred to the Association by beneficiaries of the Charity. Page 29
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 12. Fixed as$ot Investment$ Listed Investmgnts Valuatlon At 1 January 2021 Additions at cost 8,006.913 1,141,096 11.174,7071 814,634 Disposals at carrying value Revaluations At 31 December 2021 8,787,936 13. Programme related investments - Concessionary loans 2021 2020 Loans to beneficiaries 3.640.473 3,854.095 2021 2020 Loans at 1 January Loans granted in the year Loans repaid in the year Loan impairment charges 3.854,095 60,294 1236.1091 137,8071 3,913,589 132,673 1192,167) Loans at 31 December 3,640,473 3,854,095 The above balances include an element of loans rep8yable in more than one year, this is agreed on an annual basis and is therefore not quantifiable al this lime. Where possible, loans ale secured on the beneficiarls property. Interest is Gharged on secured loans al a rale of 1VD plus base rate. No interest is charged on unsecured loans. Page 30
THE BARRISTERS, BENEVOLENT ASSOCIATION IA Company Limitgd by Guaranteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 310ECEMBER 2021 14. Debtors 2021 2020 Due wlthln one year Other debtors 1.688 24,752 39,843 3,588 74,804 53.818 Prepayments and acciued income Dividends and interest receivable 66,283 132,210 15. Crgditors.. Amounts falllng due wlthin one year 2021 2020 Trade creditors Other creditors 2.934 6.465 10,425 733 708 Accruals 16.854 19,824 18,295 P8ge 31
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Limitad by Guarant901 NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 16. Statement of funds Statement of funds - current year Balance at 31 Galnsl Decèmber (Losses} 2021 Balance at I January 2021 Transfers Inlout Income Expenditure De$ignaled funds Funds designated for loans 3.854.095 445.758 {213.622} 50.000 3.640,473 162,462 COVID fund 159.385 1492.6811 4.299.853 159.385 1492.6811 1163,6221 3,802,935 General funds General funds 8,618,013 509,639 1482,3911 163,622 814,634 9,623.517 Total Unrestrietèd tunds 12,917,866 669,024 1975,0721 814,634 13.426,452 General funds are fund5 whlch can be used in ac¢ordan¢e with the ¢harilable objects al the discretion of the Committee Boaid. Designated funds are sel aside by the Committee Members out of the unrestricled general funds for specific future purposes. The fund design8led for con¢essionary loans was sel up to recognise the fund5 committed lo loans to beneficiaries. The Iransfer between the funds represents the net movement during the year beeen loans granted in the year less amounts repaid and impaired during the year on the loans to beneficiaries. The COVID fund relates to funds sel aside by the Committee Members in connection with appeals made for mernbers of the Bar and Iheii dependants who have contracted the coronavirus and are unable lo support themselves and IheiT families as well as those members, partioulaTly but not exclusively. who do publicly funded work, who find themselves in drfficully. Pag& 32
THE BARRISTERS. BENEVOLENT ASSOCIATION {A Company Limlted by Guaranteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 16. Statement of funds (continued} Statement of funds - prior year Balance at 31 December 2020 B818nee 8t 1 January 2020 Transfers inlout Gainsl (Losses) Income Expenditure Deslgnat¥d funds Funds designated for loans 3.913.589 159.4941 50.000 3,854.095 445,758 COVID fund 1.242.568 (846,8101 3.913.589 1.242,568 (846.8101 {9,4941 4,299,853 General funds General funds 8,176,793 600,872 {444,1601 9.494 275,014 8,618.013 Total Unrestricted funds 12,090,382 1,843,440 {1,290,9701 275,014 12,917,866 Page 33
THE BARRISTERS. BENEVOLENT ASSOCtATION {A Company Llmlted by Guarantgel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 17. Reconciliation of net movement in funds to net cash flow from operating activities 2021 2020 Nel income for the year las per Slatemenl of Financjal Activiliesl 508,586 827,484 Adjustments for.. Depreciation eharges Nel g4ing on investments Income from investments Decrease in programme related investments Decreasellincreasel in debtors Increase in creditors 8,800 8,800 1814,634> 1275.0141 {197,691} 1290.367) 213,622 59.494 65,927 110,7681 1.529 3,469 12 14 15 Net cash provlded byllused inl operating activities 1213.8611 323,098 18. Analysls of cash and cash equivalents 2021 2020 Cash in hand 734,086 716,645 Total cash and Cash equivalents 734,086 716.645 19. Analysls of ehang85 In net debt At1 January 2021 Cash flows At31 Dècember 2021 Cash al bank and in hand 716.645 17,441 734.086 Page 34
THE BARRISTERS, BENEVOLENT ASSOCIATION {A Company Limited by Guarant&e} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 20. Ponsion commitment5 rhe Charity is eommitted to paying pensions to fomer sl¥ff. lotalling £1.775 12020 £1.7751 per month. To quantify the value ol this Gorllmilmenl as al 31 December 2021 the Iruslees instructed a firm of consulting actuaries lo formally estimate this liability for the purpose of its Stalulory financial statements. This valuation was prepared under Technical Actuarial Standard 100.. Principles for Technical Actuarial Work, as issued by the Financial Reporb'ng Council. Based on this the trustees consider that this liability is not material to the financial position of the charity and hence no provision has been madè in thè financial statements for this liability. The arnount recognised as an expense in the year was £21,295 (2020 £21,295). TheTe were no contributions payable to the fund al the Balance Sheet date (2020- £NIL). 21. Op8ratlng l•aso commitments Al 31 December 2021 the Charity had commitments to make future minimum lease payments under non- ancellable operating le8ses 8s follows.. 2021 2020 Not later than l year Later than 1 year and not laler than 5 years 36,208 18,104 36,208 54.312 54,312 90,520 The followng lease payments have been recognised as an expense in the Statement of Financial Aclivilies= 2021 2020 Operating lease rentals 36,208 18,788 22. Rolated party transactlons There were no related party Iransadions during the year olher than Committee Members making unreslricled donations of £5,765 (2020- £73,410) lo the Chaiily. If a Committee Member knows an applicant, then they are not involved in the decision making process in regards to agreeing loans or grant applications. Page 35
THE BARRISTERS. BENEVOLENT ASSOCIATION IA Company Llmitgd by Guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2021 23. Post balance sheet evènts Following the year-end, in May 2022, the BBA received over £300,000 from the Gainsfor¢J Trust. This receipt represented the transfer of Trust's nel assets as at Ihis date, less an excluded sum. The funds are lo be held by the BBA on a re5tri¢ted b8$1S and are to be applied in furtherance of the Trust's Objects. Page 36