Company Registered Number: 05493590 Charity Registered Number: 1111709
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
UNAUDITED
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2023
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
CONTENTS
| Page | |
|---|---|
| Reference and Administrative Details of the Charity, its Trustees and Advisers | 1 |
| Trustees' Report | 2 - 9 |
| Statement of Trustees' Responsibilities | 10 |
| Independent Examiner's Report | 11 - 12 |
| Consolidated Statement of Financial Activities | 13 |
| Consolidated Balance Sheet | 14 - 15 |
| Charity Balance Sheet | 16 - 17 |
| Consolidated Statement of Cash Flows | 18 |
| Notes to the Financial Statements | 19 - 33 |
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 OCTOBER 2023
| Trustees | Peter Boone, Chair |
|---|---|
| Amy Boone | |
| Brigitte Granville | |
| Company registered number 05493590 Charity registered number 1111709 Registered office 5 Central St. Giles Piazza Flat 56 London WC2H 8AB West Africa - Chief Executive Baboucarr Bouy (resigned 1 November 2022) Fatou Bin Jobe (appointed 1 November 2022) Independent Examiner MHA 6th Floor 2 London Wall Place London United Kingdom EC2Y 5AU Bankers Barclays 1 Churchill Place London E14 5HP Ecobank Av Amilcar Cabral C.P. 126 Bissau Guinea-Bissau Ecobank P.O Box 3466 42 Kairaba Avenue Serrekunda The Gambia UBS Switzerland AG Financial Intermediaries GEM Bahnhofstrasse 45 8001 Zurich Switzerland Solicitors Farrer & Co 66 Lincoln's Inn Fields London WC2A 3LH |
Page 1
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
The Trustees present their annual report together with the audited financial statements of the Group for the year ended 31 October 2023. Effective Intervention is a charitable company limited by guarantee and the group includes its subsidiary charity Effective Intervention which is incorporated in The Gambia.
The Trustees confirm that the Annual Report and Financial Statements of the charitable company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Charities Act 2011, Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102 SORP).
Since the company qualifies as small under section 383 under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013, the strategic report required of medium and large companies is not required.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Effective Intervention ('the Group') is a company limited by guarantee (registered number 5493590) and a registered charity (registered number 1111709). The charitable company's memorandum and articles of association are the primary governing documents of Effective Intervention (EI). The Trustees of EI are also the directors of the charitable company for the purposes of company law.
Details of the Trustees who served during the year are included in the Reference and Administrative Details on page 1.
On 17 February 2014 the Charity incorporated a new fully controlled subsidiary charitable company in The Gambia, also called Effective Intervention (company number 2014/C180). The results of the subsidiary are consolidated into the group accounts on a line-by-line basis and the company is hereafter referred to as ‘the subsidiary’.
Trustees
Trustees are recruited when considered necessary. The current Trustees have long established links to the international development sector and have a strong network from which to recruit potential Trustees. New Trustees are inducted into the Charity by the Executive Chair and given an overview of the Charity’s operations and their responsibilities as Trustees. EI supports training as needed for its Trustees. At least one third of Trustees must resign each year and can then be re-appointed according to the company articles of association.
The Trustees are considering a reorganisation of Effective Intervention which would permit the Gambian fully owned subsidiary to become independent, although no decision has been made on timing. This would reduce the operating role, and the scope of activities, conducted by Effective Intervention (UK), and it would give the Gambian subsidiary an opportunity to independently seek funding and projects. In the event that any such separation does occur, the Trustees will carefully monitor any transfer of assets or resources to the Gambian entity and ensure they are in keeping with the goals and purpose of Effective Intervention (UK).
Page 2
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
Organisational structure
Effective Intervention currently operates in three countries namely: India, Guinea Bissau and The Gambia. Operations in The Gambia started with effect from 1[st ] November 2014.
Ms Fatou Bin Jobe is the CEO of Effective Intervention responsible for day-to-day management of all activities, as well as strategy and project design in West Africa. She replaced Baboucarr Bouy who resigned on 1[st] November 2022 after being asked by the President of Gambia to join his government as Minister of Public Services. Minister Bouy has subsequently accepted appointment as a Trustee for EI Gambia. Dr. Peter Boone, the Executive Chair and a Trustee, is actively involved in project design, including plans to ensure accurate and independent measurement of outcomes as well as coordinating the activities in India. Ms. Amy Boone and Professor Brigitte Granville are the other Trustees and provide advice and oversight for all major activities, as well as regularly travelling to project sites. Ms. Amy Boone oversees payments and expenditures from the UK accounts.
Key Management Personnel
The Key Management Personnel of the Group consist of the Trustees and Chief Executive. EI has surveyed the salaries of top management at NGOs in the regions we work in. The Trustees have set top management salaries in line with the salaries of these other NGOs, taking into account the professional qualifications and experience of the individual candidates and their opportunities elsewhere.
Related party transaction
Related party transactions have been disclosed in notes to the accounts.
Trustees’ Indemnities
The Charity does not have Trustee indemnity insurance as the Trustees determined the cost of insurance outweighed the benefits to the Charity.
Principal Risks and Uncertainties
The Trustees have assessed the major risks that the Charity faces, in particular in relation to its operations and finances, and are satisfied that the Charity is taking the action necessary to mitigate its exposure to these risks. A risk assessment has been conducted by Trustees in 2024 and this will be updated regularly.
The principal risks and uncertainties facing the Charity relate to the sometimes-volatile political environment in the countries and regions we work in. EI has a policy of avoiding any association with political parties or groups. We try to maintain good relations with the community and local officials in the regions we work in, and to demonstrate our determination to achieve our goals of helping mothers and children, such that if political change does occur, the new leaders are willing to continue partnerships with us. As necessary, we employ lawyers to ensure we are in strict accordance with labour laws, and all other relevant legal conditions when we employ and operate in recipient nations. We monitor the political situation where we work carefully, and we have evacuation plans for employees in case these are needed.
Page 3
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
We also face risks from the need for key personnel to supervise projects we implement directly. We have a network of connections in The Gambia which permitted us to quickly find a very strong replacement for the CEO when Baboucarr Buoy was invited by the President to join his Cabinet in 2022, and we were able to replace the head of the Guinea-Bissau project in 2023.
Given that the projects EI is managing are either ending in the near future, or have ended, all these risks will be substantially reduced in the future.
OBJECTIVES AND ACTIVITIES
The objects of the Group are the relief of suffering, hardship and distress, in particular by:
-
Promoting education, research and intervention programmes aimed at reducing child mortality and morbidity in Africa, Asia and Latin America.
-
Promoting education, research and intervention programmes aimed at reducing poverty in Africa, Asia and Latin America.
Effective Intervention (EI) implements and supports projects, as well as research, aimed at rapidly improving children’s’ education and health outcomes in some of the poorest regions of the world. EI ensures that all projects are carefully monitored, and their outcomes are measured in a highly rigorous and objective manner.
Grant activity
EI projects are developed with local partners and international experts. Statisticians are involved at an early stage to design monitoring and outcome measurement. In the initial phase of projects, EI often implements projects as randomised controlled trials to carefully measure impact and cost effectiveness. If the initial project proves successful, EI expands the project to control regions for several additional years, when feasible. The outcomes of these projects are published as academic articles in peerreviewed journals, as well as working papers and dedicated reports.
When EI works with local partners, and medical statisticians at London School of Hygiene and Tropical Medicine, we provide grants to finance the activities we support. We only provide grants to entities who are directly involved in projects we are working on such as the NICE Foundation and Pratham Foundation. We supervise their activities, budgets, and actual spending activities throughout the project. Local partners are selected according to their professional ability to carry out required components of projects we are working on, and their willingness to work closely with us throughout the implementation and conclusion of the work.
ACHIEVEMENTS AND PERFORMANCE
The projects in the 2022-2023 were implemented as planned, with very minor changes.
The health project in India, which had the goal of reducing neonatal mortality, was completed in December 2023 and the statistical team at LSHTM is currently analysing the findings. Once the results are available, the team plans to disseminate the findings through academic journals and appropriate liaisons with government agencies.
The work in the health sector proceeded as planned. In West Africa, our after-school project in The Gambia ran smoothly. The Guinea-Bissau schools project, where we provide approximately 3,000 children with quality schooling, proceeded well.
Page 4
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
India
Our project in Madya Pradesh aims to reduce neonatal deaths, and raise children’s’ literacy and numeracy, in approximately 200 of the poorest rural villages of this Indian state. We received ethics approvals from the London School of Hygiene and Tropical Medicine, as well as from the L.V. Prasad Institute in Hyderabad, India, to conduct these interventions as a randomised controlled trial. The initial goal of this work is to understand to what extent it is possible to rapidly reduce deaths, and increase children’s literacy and numeracy, at reasonably low cost, over a three-year period of interventions.
Based on our work with statisticians at the London School of Hygiene and Tropical Medicine, we completed the protocol for the trial as well as the strategy for enumerating villages, women and children throughout the intervention region. GH Consultancy completed the research work, enumerating these approximately 100,000 women and 6,000 children in 196 villages, as well as seeking relevant consents for the trial. We formed a trial steering committee and data monitoring committee to manage the trial and provide oversight on safety.
Our partner, the NICE Foundation (Hyderabad, India) received approval from the Madya Pradesh government to embark on the health interventions. They hired and trained nurse midwives to operate mobile clinics which provided antenatal and neonatal care to pregnant women. These teams also managed participatory discussion groups for pregnant women and their birthing partners.
Most the intervention activities for this project were suspended from April until July 2020 due to the pandemic. The partners in this project worked closely with ethics committees in India and London, as well as local and regional governments, in order to introduce measures that would reduce risk of disease transmission, and gain approval to restart the project. The regional government in India was particularly keen to see the health project restart as they believed the mobile clinics would permit pregnant women to receive good healthcare without risking public transport and crowded clinics. From July 2020 NICE managed the project as planned after modifying some components to reduce risks of COVID-19 transmission, as well as adding an education component on COVID-19. By November 2021 the low level of COVID-19 infections in the region allowed activities to return to normal.
The Pratham Foundation, one of India’s leading education providers, hired local teachers and taught after-school classes to eligible children in 96 intervention villages. These children, who were all entering grade 2 at the start of the project, received after school classes, five days per week.
This project was suspended in April 2020 when schools in India were closed due to the pandemic. Schools in this region remained closed through November 2021. While initially it was expected that schools would reopen by summer 2020, it gradually became apparent that the government did not intend to restart schools. There is no alternative schooling in the villages where we operate, so children were not learning.
The Pratham Foundation devised a plan to offer learning by smart phone, which they initiated in autumn 2020 using the teachers employed by the project. They also worked on plans to have small group classes for children which could be held outdoors, or in facilities where risk of COVID-19 transmission can be reduced through distancing. The project returned to its designed plan in July 2021, with a oneyear extension agreed due to the school closures, and the intervention was completed in June 2022. An independent testing group then tested all enrolled children in the intervention and control villages to learn the extent of any differences in reading and numeracy skills across these villages.
Page 5
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
The statistical analysis was completed in September 2023 and showed that children in the intervention arm scored 0.55 SD (standard deviation) higher on a composite reading and math exam than those in the control arm. This result implies that the intervention, approximately, raised the outcome of a child by 18 percentiles. As an example, a child that scored at the median would then reach the top third of students after the intervention.
The team is currently writing up these results and will submit them to an academic journal for peer review and publication. At the same time, Pratham, the agency in India that implemented the programme, plans to use the results, together with the government in Satna region and more broadly, to promote a state-wide programme that would buttress children’s education based on the lessons from this intervention.
The health trial was successfully completed in 2023 and fully wound down by December 2023. The results from this intervention are currently being analysed by medical statisticians at LSHTM and will be made available in 2024. The team aims to publish the results in a peer-reviewed journal as well as disseminating results to local and state governments where relevant.
Guinea Bissau
In Guinea Bissau, the outcomes of the past education project provided to 21 villages were published in the Journal of Public Economics in 2021, and there has been considerable interest in the outcomes since then. The results demonstrated a very large improvement in education outcomes for children in these villages when compared to control villages. The end-line tests revealed children receiving the intervention scored 58.1 percentage points better than controls on early grade reading and math tests, demonstrating that the intervention taught children to read and perform basic arithmetic, from a counterfactual (pre- and non-intervention) condition of very high illiteracy. The results have been presented in Guinea-Bissau to policy makers and other donors, and at the Centre for Global Development in Washington D.C.
At the start of that project, EI committed to expand the project to controls if it proved effective. Given the success of this project, the team has implemented this expansion. This project began operating in September 2020 and provides approximately 3,000 children from control and intervention villages with schooling for five years. The Trustees believe this is particularly worthwhile as state schools continue to barely function in these rural regions, so the children would receive very little education without these schools.
This project has been running smoothly since 2020 and the feedback from communities is very positive. The project is scheduled to end in 2025.
The Gambia
In The Gambia, EI implemented the after-school project for approximately 8,000 children. This project reflects the success of the previous randomised controlled trial. In that trial, the children’s learning outcomes in control and intervention villages were compared using the internationally standardised reading and math tests: EGRA and EGMA. After three academic years, Gambian children allocated to the intervention scored 46 percentage points (3.2 SD) better on a combined literacy and numeracy test than control children. Our results demonstrate that, in this type of area, aggressive interventions can yield far greater learning gains than previously shown. We presented the results in a press conference in Banjul, Gambia and at a conference in Washington D.C. The results have been published in 2021 in the Journal of Development Economics, as well as described in “Learning” a World Bank group publication. The findings have been presented in numerous academic seminars.
Page 6
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
The Government of Gambia was impressed with these results and raised financing from the World Bank in order to provide 3,000 children with the after-school programme. EI committed to provide a further 5,000 children with schooling. These classes began in January 2020 and were completed in 2023.
With the successful completion of The Gambia interventions, the government has asked EI to help design and implement a program to introduce key aspects of these interventions into the national school system. This work will start in 2024 and is likely to be financed by the World Bank.
The education projects in Guinea-Bissau and The Gambia offer a unique opportunity to follow children through their lifetimes, to better learn the long-term benefits of improved primary school education. EI, together with external consultants, has worked on a strategy to plan and implement the first such study in 2024. EI will fund the Gambia study, and the Poverty Action Lab has offered financing for The Gambia study. Professor Alex Eble at Colombia University, and Ila Fazzio from Effective Intervention, will be coordinating the study. The study will be difficult given we need to track down children in both control and intervention villages, and design relevant surveys to learn any differences in outcomes (or not) which may have resulted from the interventions.
The most important component to achieving our objectives is a motivated, capable team along with reliable, expert partners. During 2022-2023 we have worked closely with excellent partners in India and Africa, including the NICE Foundation, Pratham Foundation, and the Ministries of Education in Gambia and Guinea-Bissau. We have continued close collaboration with medical statisticians at the London School of Hygiene and Tropical Medicine, and we have worked with education experts on EGRA and EGMA testing, and economists at the London School of Economics and Columbia University. We monitor the work of our partners regularly and closely. We continue to hire, support and train the best staff we can find in our project regions.
KEY PERFORMANCE INDICATORS
The Group aims to keep expenditures as low as feasible while implementing projects. The expenditures on activities in the year ending October 2023 primarily reflect the costs of implementing projects providing schooling and health interventions in India and Africa. These projects have provided education to approximately 3,000 children in Guinea-Bissau, and healthcare to women and neonates in roughly 100 villages in India. We aim to continue to disseminate the learnings from these projects through top academic journals as well as meetings and presentations.
Page 7
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
PUBLIC BENEFIT
In setting our programme each year we have regard to both the Charity Commission’s general guidance on public benefit and specific guidance for charities engaged in the prevention and relief of poverty. The Trustees always ensure that the programmes we undertake are in line with our charitable objects and aims.
In our health projects we offer health services to all pregnant women and children enumerated in the project intervention area, regardless of their socioeconomic background. We offer education services to all enumerated children in the respective intervention villages. The recipients are typically the poorest and most impoverished population in the regions. The design of each of our randomised controlled trials has been reviewed and approved by ethics committees in the countries where we are working, and at the London School of Hygiene and Tropical Medicine when they partner in the projects. We work closely with regional governments and communities to ensure that the services we provide are helpful to the government and communities.
FINANCIAL REVIEW
For the year ended 31 October 2023, the Group had income of £921,547 which was higher than the 2022 income of £633,320 . The Group is dependent upon donations from Trustees in order to help the Group expand its operations. Expenditure amounted to £1,873,958 in the year which was a decrease on 2022 expenditure of £2,280,398 which represents the gradual decrease in activity as a number of projects complete as described above. This resulted in a net deficit of £952,411 (2022 - deficit of £1,647,078). At the year end the Group had deficit funds of £608,521 (2022 - surplus funds £343,890). The deficit at the year-end has resulted as a result of a short fall in external funding which did not materialise in the year as planned. As noted in the Trustees’ report plans are in place to secure external funding which will return the charity to a surplus position in the following accounting period.
Reserves
The Group has a committed donor who ensures that funding is received as needed for the projects, so reserves reflect the amount of funds required on hand at any particular time. The Board has agreed that the Group, in addition to any restricted reserves (if they exist) and commitments to, and investment in, tangible fixed assets, should have unrestricted or free reserves equal to approximately three to six months of current total expenditure so that the Group's activities could continue in the short-term event of any significant funding shortfalls. At the year end the Group had deficit funds of £608,521. As noted above this was due to external funds not materialising. However, plans are in place in 2024 for such funding to be received and the trustees are considering the future of the subsidiary entity. Whilst EI undergoes this strategic review, a trustee has provided the Charity with a short term loan during the year in order to cover the deficit made in the year. The loan is interest free and not repayable until 2028.
Page 8
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
Going concern
The Trustees acknowledge that at the year end the Group had deficit funds of £608,521. However, at the year end the Group had positive cash balances of £432,190, this was due to a loan being made by a Trustee at the year end which is not repayable until 31 October 2028. As noted above and in plans for the future, the Group is undergoing a strategic review which is likely to see investment from 3[rd] parties. The loan is interest free and is expected to be repaid in accordance with the agreement. It should also be noted that the subsidiary in Gambia (also called Effective Intervention) has a material uncertainty over its future following the completion of its main project, this uncertainty involves its potential exit from the Group and does not affect the overall position of the charitable parent company.
After making appropriate enquiries, the Trustees have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
TREASURY POLICY AND PERFORMANCE
EI’s activities are supported by one major donor and this donor is committed to providing funds needed to complete all ongoing projects, so EI has not required a reserve management policy. We plan to invest funds in short-dated, safe, term deposits if we do have significant excess funds in the future beyond immediate cash needs.
FUTURE PLANS
EI is winding down its major projects and anticipates activities will be substantially reduced in the future. The projects in India were largely completed by end 2023, and the Gambian education project was finished in March 2023. The project in Guinea-Bissau comes to an end in 2025. EI will be designing and implementing a large research project, during 2024, tracking children who participated in the early education interventions in Guinea-Bissau and The Gambia.
Preparation of the Report
This report of the Board has been prepared taking advantage of the small company’s exemption of section 415A of the Companies Act 2006.
This report was approved and authorised for issue by the Board and signed on its behalf by:
………………………………..
Peter Boone
Chair
Date:
Page 9
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
STATEMENT OF TRUSTEES' RESPONSIBILITIES FOR THE YEAR ENDED 31 OCTOBER 2023
The Trustees (who are also the Directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' Report 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. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Charity and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles of the Charities SORP (FRS 102);
-
make judgements and accounting estimates that are reasonable and prudent;
-
state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Group will continue in business.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Charity 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 Group and the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the Members of the Board of Trustees and signed on its behalf by:
................................................
Peter Boone
Trustee Date:
Page 10
(A Company Limited by Guarantee)
EFFECTIVE INTERVENTION
INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 OCTOBER 2023
Independent Examiner's Report to the Trustees of Effective Intervention ('the Group')
I report to the charity Trustees on my examination of the consolidated accounts of the Group comprising the Effective Intervention ('the parent Charity') and its subsidiary undertakings for the year ended 31 October 2023.
Responsibilities and Basis of Report
As the Trustees of the parent Charity (and its Directors for the purposes of company law) you are responsible for the preparation of the consolidated accounts of the Group in accordance with the requirements of the Companies Act 2006 ('the 2006 Act') and you have chosen to prepare consolidated accounts for the Group. You are satisfied that the accounts of both parent Charity and the Group are not required by either company or charity law to be audited and have chosen instead to have an independent examination.
Having satisfied myself that the consolidated accounts are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Group's accounts carried out under section 152 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 152(5)(b) of the 2011 Act.
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently I express no option as to whether the consolidated accounts present a 'true and fair' view and my report is limited to those specific matters set out in the independent examiner's statement.
Independent Examiner's Statement
Since the Trustees have opted to prepare consolidated accounts for the Group your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants in England and Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
-
accounting records were not kept in respect of the parent Charity and its subsidiaries as required by section 386 of the 2006 Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
-
the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Page 11
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2023
This report is made solely to the Charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an Independent Examiner's Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the parent Charity and the Charity's Trustees as a body, for my work or for this report.
Signed: Dated: 30/10/2024
Stuart McKay BSc FCA
MHA
London, United Kingdom
Page 12
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 OCTOBER 2023
| Note Income from: Donations 4 Total income Expenditure on: Charitable activities 6 Other expenditure 5 Total expenditure Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2023 £ 921,547 921,547 1,914,177 (40,219) 1,873,958 (952,411) 343,890 (952,411) (608,521) |
Total funds 2023 £ 921,547 921,547 1,914,177 (40,219) 1,873,958 (952,411) 343,890 (952,411) (608,521) |
Total funds 2022 £ 633,320 633,320 2,356,864 (76,466) 2,280,398 (1,647,078) 1,990,968 (1,647,078) 343,890 |
|---|---|---|---|
All income and expenditure derive from continuing activities.
The Consolidated Statement of Financial Activities includes all gains and losses recognised in the year.
The notes on pages 19 to 33 form part of these financial statements.
Page 13
EFFECTIVE INTERVENTION (A Company Limited by Guarantee) REGISTERED NUMBER: 05493590
CONSOLIDATED BALANCE SHEET AS AT 31 OCTOBER 2023
| Note Fixed assets Tangible assets 11 Current assets Debtors: Amounts falling due within one year 12 Cash at bank and in hand Creditors: Amounts falling due within one year 13 Net current assets Creditors: Amounts falling due after more than one year 14 Net liabilities / assets excluding pension asset Total net assets Charity funds Unrestricted funds Total funds |
2023 £ 9,842 432,190 442,032 (60,623) |
2023 £ 10,070 10,070 381,409 (1,000,000) (608,521) (608,521) (608,521) (608,521) |
2022 £ 850,889 80,802 931,691 (610,493) |
2022 £ 22,692 |
|---|---|---|---|---|
| 22,692 321,198 - |
||||
| 343,890 | ||||
| 343,890 | ||||
| 343,890 | ||||
| 343,890 |
The Charity was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Page 14
EFFECTIVE INTERVENTION (A Company Limited by Guarantee) REGISTERED NUMBER: 05493590
CONSOLIDATED BALANCE SHEET (CONTINUED) AS AT 31 OCTOBER 2023
................................................
Peter Boone
Trustee Date:
The notes on pages 19 to 33 form part of these financial statements.
Page 15
EFFECTIVE INTERVENTION (A Company Limited by Guarantee) REGISTERED NUMBER: 05493590
CHARITY BALANCE SHEET AS AT 31 OCTOBER 2023
| Note Fixed assets Tangible assets 11 Current assets Debtors: Amounts falling due within one year 12 Cash at bank and in hand 16 Creditors: Amounts falling due within one year 13 Net current assets Creditors: amounts falling due after more than one year 14 Net liabilities / assets excluding pension asset Total net assets Charity funds Unrestricted funds Total funds |
2023 £ 3,735 405,554 409,289 (59,883) |
2023 £ 7,324 7,324 349,406 (1,000,000) (643,270) (643,270) (643,270) (643,270) |
2022 £ 818,337 37,926 856,263 (605,239) |
2022 £ 16,397 |
|---|---|---|---|---|
| 16,397 251,024 - |
||||
| 267,421 | ||||
| 267,421 | ||||
| 267,421 | ||||
| 267,421 |
The Group has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Financial Activities in these financial statements.
The Charity's net movement in funds for the year was a loss of £910,691 (2022 - £1,665,527).
The Charity was entitled to exemption from audit under section 477 of the Companies Act 2006.
The members have not required the company to obtain an audit for the year in question in accordance with section 476 of Companies Act 2006.
The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements.
The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime.
Page 16
EFFECTIVE INTERVENTION (A Company Limited by Guarantee) REGISTERED NUMBER: 05493590
CHARITY BALANCE SHEET (CONTINUED) AS AT 31 OCTOBER 2023
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
................................................
Peter Boone
Trustee Date:
The notes on pages 19 to 33 form part of these financial statements.
Page 17
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 OCTOBER 2023
| Note Cash flows from operating activities Net cash used in operating activities 15 Cash flows from investing activities Purchase of tangible fixed assets 11 Net cash used in investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 16 |
2023 £ 352,515 (1,127) (1,127) 351,388 80,802 432,190 |
2022 £ (1,068,976) (368) (368) (1,069,344) 1,150,146 80,802 |
|---|---|---|
The notes on pages 19 to 33 form part of these financial statements
Page 18
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
1. General information
Effective Intervention is a private charitable company limited by guarantee and is registered with the Charity Commission (Charity Registered Number 1111709) and the Registrar of Companies (Company Registered Number 05493590) in England and Wales.
The address of the registered office is given in the Group information on page 1 of these Financial Statements. The nature of the Group's operations and principal activities are detailed in the Trustees Report.
The Members of the Group are the Trustees named on page 1. In the event of the Group being wound up, the liability in respect of the guarantee is limited to £1 per member of the Group.
The significant accounting policies applied in the preparation of these Financial Statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
2. Accounting policies
2.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Effective Intervention constitutes a public benefit entity as defined by FRS 102. The financial statements are presented in Great British Pounds and are rounded to the nearest pound. The functional currencies of the Group are Great British Pounds, Gambian Dalasi and CFA Francs.
The Consolidated Statement of Financial Activities (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Charity and its subsidiary undertaking.
The results of the subsidiary are consolidated on a line by line basis.
2.2 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Page 19
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
2. Accounting policies (continued)
2.3 Income
All income is recognised once the Group has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
For donations to be recognised the Group will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfillment of those conditions is within the control of the Group and it is probable that they will be fulfilled.
Volunteer time - no amount is recognised in the financial statements.
2.4 Expenditure
All expenditure is accounted for on an accrual basis. Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs.
Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.
All expenditure is inclusive of irrecoverable VAT.
2.5 Tangible fixed assets and depreciation
Tangible fixed assets costing £500 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Page 20
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
2. Accounting policies (continued)
2.5 Tangible fixed assets and depreciation (continued)
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, using the straight-line method.
The estimated useful lives are as follows:
Plant and machinery - 4 years Motor vehicles - 4 years straight line Office equipment & furniture - 5 years straight line Computer equipment - 5 years straight line
2.6 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
2.7 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Group anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Consolidated Statement of Financial Activities as a finance cost.
2.8 Concessionary loans
Concessionary loans include those receivable and payable to a third party which are interest free or below market interest rates and are made to advance charitable purposes. Where the loan is repayable on demand within one year, the loan is measured at cost, less impairment. Where the loan is repayable more than one year, the loan is initially measured at fair value and subsequently measured at amortised cost using the effective interest rate method, less impairment.
For the loan recognised in 2023, it has not been discounted as the effect will be immaterial.
2.9 Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated into Great British Pounds at rates of exchange ruling at the reporting date.
Transactions in foreign currencies are translated into Great British Pounds at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the Consolidated Statement of Financial Activities.
Page 21
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
2. Accounting policies (continued)
2.10 Cash at bank and in hand
Cash at bank and in hand includes cash and 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.
2.11 Financial instruments
The Group holds basic financial instruments. The financial assets and financial liabilities of the Group are as follows:
Debtors - trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost as detailed in Note 12. Prepayments are not financial instruments.
Cash at bank - is classified as a basic financial instrument and is measured at face value.
Liabilities - trade creditors, accruals and other creditors will be classified as financial instruments, and are measured at amortised cost as detailed in Note 13. Taxation and social security is not a financial instruments.
2.12 Pensions
When employees have rendered service to the Group, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid in exchange for that service.
2.13 Taxation
The Group is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Group is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Page 22
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
2. Accounting policies (continued)
2.14 Going concern
The Trustees acknowledge that at the year end the Group had deficit funds of £643,270. However at the year end the Group had positive cash balances of £432,190, this was due to a loan being made by a Trustee at the year end which is not repayable until 31 October 2028. As noted in plans for the future in the Trustees' report, the Group is undergoing a strategic review which is likely to see investment from 3rd parties. The loan is interest free and is expected to be repaid in accordance with the agreement. It should also be noted that the subsidiary in Gambia (also called Effective Intervention) has a material uncertainty over its future following the completion of its main project, this uncertainty involves its potential exit from the Group and does not affect the overall position of the charitable parent company.
The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exists for the Group and the parent charitable company. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the Group and the parent charitable company to be able to continue as a going concern.
3. Critical accounting estimates and areas of judgement
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.
Critical accounting estimates and assumptions:
The following judgements (apart from those involving estimates) have been made in the process of applying the above accounting policies that have had the most significant effect on amounts recognised in the financial statements:
-
Depreciation rates for tangible fixed assets
-
Allocation of support costs
-
Use of foreign exchange rates
Page 23
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
4. Income from donations
| Donations Under accrual of prior year Gift Aid Total 2023 Donations Other expenditure Gain on foreign currencies Gain on foreign currencies |
Unrestricted funds 2023 £ 904,750 16,797 921,547 Unrestricted funds 2022 £ 633,320 Unrestricted funds 2023 £ (40,219) Unrestricted funds 2022 £ (76,466) |
Total funds 2023 £ 904,750 16,797 921,547 Total funds 2022 £ 633,320 Total funds 2023 £ (40,219) Total funds 2022 £ (76,466) |
|---|---|---|
5. Other expenditure
Page 24
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
6. Analysis of expenditure on charitable activities - by type
| The Gambia Guinea-Bissau India Total 2023 The Gambia Guinea-Bissau India Total 2022 |
Activities undertaken directly 2023 £ 301,945 463,847 412,734 1,178,526 Activities undertaken directly 2022 £ 540,731 449,852 296,826 1,287,409 |
Grant funding of activities 2023 £ - - 527,295 527,295 Grant funding of activities 2022 £ - - 805,119 805,119 |
Support costs 2023 £ 38,871 169,485 - 208,356 Support costs 2022 £ 70,423 193,913 - 264,336 |
Total funds 2023 £ 340,816 633,332 940,029 1,914,177 |
|---|---|---|---|---|
| Total funds 2022 £ 611,154 643,765 1,101,945 2,356,864 |
Page 25
(A Company Limited by Guarantee)
EFFECTIVE INTERVENTION
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
6. Analysis of expenditure on charitable activities - by type (continued)
Analysis of support costs
| Staff costs Depreciation Rent Utilities Bank charges Office costs Professional fees and consultancy Repairs and maintenance Training Sundry expenses Governance costs Travel and subsistance (Profit)/loss on disposal of fixed assets Teaching and learning costs Delivery costs 7. Grants payable London School of Hygiene and Tropical Medicine (India) NICE (India) Pratham Education Foundation |
Total funds 2023 £ 64,487 13,096 15,159 1,035 4,440 28,137 5,473 6,545 11,538 (2,918) 35,495 7,431 (538) 18,976 - 208,356 2023 £ 180,000 347,295 - 527,295 |
Total funds 2022 £ 37,974 13,407 17,101 1,229 6,429 16,090 7,388 8,604 63,143 4,558 35,921 2,179 - 43,793 6,520 264,336 |
|---|---|---|
| 2022 £ 266,477 428,770 109,872 805,119 |
In the current and previous year, all grants were payable to institutions.
Please see Note 13 for further information on grants payable as at the year-end.
Page 26
(A Company Limited by Guarantee)
EFFECTIVE INTERVENTION
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
8. Governance costs
| Independent Examiner's remuneration - Independent Examination /Audit of the financial statements Independent Examiner's remuneration - Accountancy services and bookkeeping Independent Examiner's remuneration - Taxation services Independent Examiner's remuneration - Under-accrual of prior year fees Other professional fees |
2023 £ 19,800 11,400 2,640 - 1,655 35,495 |
2022 £ 16,500 10,950 2,220 4,410 1,841 35,921 |
|---|---|---|
9. Staff costs
| Wages and salaries Social security costs Pension costs |
Group 2023 £ 659,554 80,625 5,459 745,638 |
Group 2022 £ 786,175 85,809 5,005 876,989 |
Charity 2023 £ 543,109 71,640 5,459 620,208 |
Charity 2022 £ 496,714 64,352 5,005 566,071 |
|---|---|---|---|---|
The average number of persons employed by the Charity during the year was as follows:
| Project staff - The Gambia Project staff - Guinea-Bissau Project staff - India Support staff |
Group 2023 No. 122 79 1 8 210 |
Group 2022 No. 288 76 1 8 |
|---|---|---|
| 373 |
Staff numbers fluctuate from year to year depending upon the activities of each project within each jurisdiction. This figure above includes part time workers.
Page 27
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
9. Staff costs (continued)
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
| Group | Group | ||
|---|---|---|---|
| 2023 | 2022 | ||
| No. | No. | ||
| In the band £70,001 | - £80,000 | - | 1 |
| In the band £90,001 | - £100,000 | 1 | - |
10. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL) .
The total amount of employee benefits (including employers national insurance contributions and employers pension contributions) received by Key Management Personnel is £107,654 (2022 - £76,414).
The Group considers its Key Management Personnel comprise:
-
Trustees
-
Chief Executive Officer
During the year ended 31 October 2023, no Trustee expenses have been incurred (2022 - £NIL) .
Page 28
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
11. Tangible fixed assets
Group
| Cost or valuation At 1 November 2022 Additions Foreign exchange movement At 31 October 2023 Depreciation At 1 November 2022 Charge for the year Foreign exchange movement At 31 October 2023 Net book value At 31 October 2023 At 31 October 2022 |
Plant and machinery £ 7,729 1,127 (1,254) 7,602 3,959 1,710 (734) 4,935 2,667 3,770 |
Motor vehicles £ 170,546 - (16,844) 153,702 152,111 11,225 (16,782) 146,554 7,148 18,435 |
Office equipment £ 1,599 - (260) 1,339 1,599 - (260) 1,339 - - |
Computer equipment £ 18,825 - (3,055) 15,770 18,338 161 (2,984) 15,515 255 487 |
Total £ 198,699 1,127 (21,413) 178,413 176,007 13,096 (20,760) 168,343 10,070 22,692 |
|---|---|---|---|---|---|
Page 29
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
11. Tangible fixed assets (continued)
Charity
| Cost or valuation At 1 November 2022 Additions Foreign exchange movement At 31 October 2023 Depreciation At 1 November 2022 Charge for the year Foreign exchange movement At 31 October 2023 Net book value At 31 October 2023 At 31 October 2022 |
Plant and machinery £ - 1,127 - 1,127 - - - - 1,127 - |
Motor vehicles £ 63,132 - 587 63,719 46,735 10,429 358 57,522 6,197 16,397 |
Total £ 63,132 1,127 587 64,846 |
|---|---|---|---|
| 46,735 10,429 358 57,522 |
|||
| 7,324 | |||
| 16,397 |
| 12. Debtors Due within one year Trade debtors Other debtors Prepayments Gift aid receivable |
Group 2023 £ 7 - 9,835 - 9,842 |
Group 2022 £ 7 14,927 22,550 813,405 850,889 |
Charity 2023 £ 7 - 3,728 - 3,735 |
Charity 2022 £ 7 - 4,925 813,405 |
|---|---|---|---|---|
| 818,337 |
Page 30
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
13. Creditors: Amounts falling due within one year
| Other taxation and social security Other creditors Accruals |
Group 2023 £ 4,603 27,080 28,940 60,623 |
Group 2022 £ - 581,603 28,890 610,493 |
Charity 2023 £ 4,603 26,340 28,940 59,883 |
Charity 2022 £ - 576,349 28,890 |
|---|---|---|---|---|
| 605,239 |
Other creditors include grants payable by the Charity as at the year-end of £NIL (2022 - £576,349).
During the year, grants of £527,295 (2022 - £805,119) were committed, of which £527,295 had been paid as at 31st October 2023 (2022 - £428,779 was paid) . Grants payable as at the year-end include £NIL (2022 - £376,349) of unpaid grants committed in the current year, and £NIL (2022 - £200,000) of grants committed in the previous financial reporting period.
14. Creditors: Amounts falling due after more than one year
| Group | Group | Charity | Charity | |
|---|---|---|---|---|
| 2023 | 2022 | 2023 | 2022 | |
| £ | £ | £ | £ | |
| Other loans | 1,000,000 | - | 1,000,000 | - |
In the year 31 October 2023, the Charity was given an unsecured loan of £1,000,000 (2022 - £NIL) which is interest free and repayable in three years by 31 October 2028. It is considered a concessionary loan. The amount outstanding as at the year ended 31 October 2023 is £1,000,000 (2022 - £NIL).
Page 31
EFFECTIVE INTERVENTION
(A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
15. Reconciliation of net movement in funds to net cash flow from operating activities
| Net expenditure for the year (as per Statement of Financial Activities) Adjustments for: Depreciation charges 11 Decrease in debtors 12 Increase in creditors 13 Foreign exchange movement on fixed assets 11 Net cash provided by/(used in) operating activities 16. Analysis of cash and cash equivalents Cash in hand Total cash and cash equivalents 17. Analysis of changes in net debt At 1 November 2022 £ Cash at bank and in hand 80,802 Debt due after 1 year - 80,802 |
Group 2023 £ (952,411) 13,096 841,047 450,130 653 352,515 Group 2023 £ 432,190 432,190 Cash flows £ 351,388 (1,000,000) (648,612) |
Group 2022 £ (1,647,078) 13,407 491,654 73,869 (828) (1,068,976) Group 2022 £ 80,802 80,802 At 31 October 2023 £ 432,190 (1,000,000) (567,810) |
||
|---|---|---|---|---|
Page 32
EFFECTIVE INTERVENTION (A Company Limited by Guarantee)
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2023
18. Related party transactions
Unrestricted donations in aggregate received from Trustees in 2023 were £904,750 (2022 - £633,320).
In the year 31 October 2023, Peter Boone had also lent the Charity £1,000,000 (2022 - £NIL) , which was given in order to facilitate the payment of a grant and for supporting the future plans as the Charity is undergoing a strategic review. The unsecured loan was interest free and repayable in three years by 31 October 2028. The amount outstanding as at the year ended 31 October 2023 is £1,000,000 (2022 - £NIL) .
19. Principal subsidiaries
Effective Intervention (The Gambia)
Subsidiary name: Effective Intervention (The Gambia) Company registration number: 2014/C180 Basis of control: Fully owned subsidiary Equity shareholdings %: 100% Address: Kerr Serign, P.O. Box 3325, Serrekunda, The Gambia Total assets as at 31 October 2023: £38,624 Total liabilities as at 31 October 2023: £740 Total equity as at 31 October 2023: £37,884 Turnover for the year ended 31 October 2023: £160,971 Expenditure for the year ended 31 October 2023: £199,556 Deficit for the year ended 31 October 2023: £38,585
Page 33