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2022-10-31-accounts

Charity registration number 1113038

Company registration number 05604295 (England and Wales)

THE MONTEFIORE ENDOWMENT

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2022

THE MONTEFIORE ENDOWMENT

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees Mr A R Bekhor
Mrs C H Green
Mr L E Gubbay
Mr D Kessler (Appointed 11 April 2022)
Mr I Levy
Mrs P C N Sinyor
Mr D R M Sopher (Appointed 11 April 2022)
Mr R M Sopher
Secretary Mrs S G Sinyor
Charity number 1113038
Company number 05604295
Registered office Schaller House
44a Albert Road
London
NW4 2SJ
Auditor RDP Newmans LLP
Lynwood House
373-375 Station Road
Harrow
Middlesex
HA1 2AW
Investment advisors Walker Crips Stockbrokers Limited
Finsbury Tower
103 - 105 Bunhill Row
London
EC1Y 8LZ

THE MONTEFIORE ENDOWMENT

CONTENTS

Page
Trustees' report 1 - 7
Statement of Trustees' responsibilities 8
Independent auditor's report 9 - 12
Statement of financial activities 13
Summary income and expenditure account 14
Balance sheet 15 - 16
Notes to the financial statements 17 - 31

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) FOR THE YEAR ENDED 31 OCTOBER 2022

The Trustees present their annual report and financial statements for the year ended 31 October 2022.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019).

Objectives and activities

The trustees have complied with their duty in Section 17 (5) of the Charities Act 2011 to have due regard to the guidance published by the Charity Commission. The benefit to the public of its work is demonstrated by the achievements contained in this report.

In 2014, having received prior consent from the Charity Commission for the purposes of section 198 of the Charities Act 2011, the trustees unanimously passed a special resolution, updating the Charity's objects as follows:

  1. The maintenance and support of the Synagogue and the maintenance of the mausoleum and cemetery belonging to the Charity;

  2. The advancement of the education of the public by the maintenance and promotion for the public benefit of the moveable property of the Charity including Scrolls of the Law, bells, cloaks, silver plate, books, manuscripts and pictures in such ways as the Trustees of the Charity think fit, including:

a) The digitisation, translation and publication of books and manuscripts;

b) The display of artefacts.

  1. The promotion of the advanced study of the Holy Law as revealed on Sinai and expounded by the revered sages of the Mishna and Talmud in one or more of the following ways:

a) In the training of Orthodox Jewish Teachers, Ministers and Rabbis, by awarding scholarships of such value and tenable at such institutions of further education as the Trustees think fit;

b) By making grants to any institution of further education which provides such education and is established for charitable purposes;

c) In such other ways as the Trustees think fit.

  1. The advancement for the public benefit, of the education of young adults and lay leaders in the Orthodox Jewish community in such ways as the Trustees of the Charity think fit, including:

a) The promotion of study of the Holy Law as revealed on Sinai as expounded by the revered sages of the Mishna and Talmud and its application to contemporary life;

b) The provision of leadership training.

  1. The promotion of religious harmony for the benefit of the public by:

a) Promoting mutual respect and understanding between those of different faiths and beliefs.

b) Teaching the benefit of tolerance, mutual understanding, social harmony and integration, in accordance with the teachings of the Holy Law as expounded by the revered sages of the Mishna and Talmud.

It is clear from Sir Moses Montefiore’s life and works that he would have expected the trustees of his Endowment to interpret the objects of the Charity in the light of the current realities of ‘orthodox’ Jewish life in the UK and elsewhere. Accordingly, the trustees have summarised the primary aims of the Endowment as follows:

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

  1. To provide and to augment resources for higher religious educational training, lay leadership training and university-level study and research, likely to lead to the fulfilment of the Endowment’s primary goals, even though these activities may not in themselves always constitute advanced Torah scholarship.

  2. To promote advanced Jewish scholarship based firmly on rabbinical tradition, coupled with the pursuit of social harmony and constructive engagement with people of all shades of religious belief and non-belief.

  3. To maintain the Montefiore Synagogue, Mausoleum, and the Jewish cemetery at Ramsgate together with the collection of manuscripts and ritual objects owned by the Endowment.

  4. To disseminate knowledge of the Jewish religious and intellectual heritage represented by the collections, records and buildings owned by the Endowment.

The trustees have agreed the following strategy to achieve these aims, paying due regard to the guidance issued by the Charity Commission on deciding which activities the Charity should undertake.

a.) The Endowment’s own long-term courses, such as the Semicha Course, the Dayanut Course and the GapYear school leavers’ programme will be supported on an ongoing basis, as will its support for similar courses at other institutions. Every opportunity will be taken to develop further courses and to identify and support worthy projects run by institutions with similar aims. In the UK’s small orthodox Jewish community, there are relatively few opportunities to embark successfully on significant projects consistent with the governing instrument of the Charity; and its trustees endeavour to maintain sufficient funds for any opportunities that may arise.

b.) A programme of grants to assist study and research at university level on subjects consistent with the aims of the Charity is being promoted. Research publications on the Endowment’s website and elsewhere are encouraged; and it is planned to run Leadership Training and other courses in Jerusalem for selected UK university graduates expected to return to the UK.

c.) The Montefiore Synagogue and Mausoleum at Ramsgate and the Ramsgate Jewish Cemetery remain in need of continual maintenance. Now that government health restrictions have been eased, the schedule for necessary repairs and improvements, in order of priority, will shortly re-start. Efforts continue to make the site more attractive and available to visitors, and especially to organised groups of school children.

d.) The Montefiore Endowment will continue its policy of staging special public events whenever appropriate, featuring international scholars on important topics.

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

Achievements and performance

The strategic aims set out in the Charity’s strategy document were promoted during the past year in the following ways.

All the Endowment’s Courses were successfully delivered in person and/or by Zoom; and former assistance to other similar charities was continued after receiving evidence of successful online delivery.

The Synagogue, Mausoleum and Cemetery at Ramsgate, and their grounds are in reasonably good condition and are being maintained on a regular basis. The Synagogue is again being used by school groups seeking knowledge of the Jewish religion for their studies, and an audio-visual presentation is now in use. Access to this heritage site by appointment has been maintained and it is again receiving increasing number of visitors.

Nearly all the Charity’s ritual silver continues on public display at the Victoria & Albert Museum in London, and at the Fitzwilliam Museum in Cambridge. More of the manuscript collection is being published online.

The programme of annual Gap-Year Scholarships for male and female school leavers continued as in past years and catered for 15 students, each selected by competitive interview for their potential leadership qualities from students already accepted for study at selected colleges of advanced Torah learning in Jerusalem. A special programme of additional lectures was delivered directly by the Endowment to the students in Jerusalem every fortnight, either face-to-face or on Zoom, to broaden their knowledge in accordance with clauses 4 and 5 of the Charity’s aims. The number and amount of special hardship grants increased alarmingly during the year, so much so that it was decided to budget more carefully in future years and possibly to reduce the number of students accepted.

The Montefiore Semicha Course continues to attract high-calibre students and is almost fully populated despite maintaining high criteria for admission. The policy of admitting new students at appropriate times during the fouryear course, rather than only at the beginning of each cycle, has succeeded. A new 4-year cycle started in November 2022.

The Montefiore Dayanut Programme for senior rabbis in advanced Torah learning (Dayanut) has been divided into two parallel streams, one for UK rabbis and the other for rabbis from the USA, the EU, Israel, Turkey, Hong Kong and Australia. Because of its unique features, this programme continues to attract world-wide attention with well over twenty rabbis participating, including eight from the UK. The first UK rabbi has already graduated and it is expected that he will be followed by several more next year.

An experimental two-year Diploma Course for lay men and women, divided equally between sessions on practical issues in Jewish law and on religious and cultural inspiration, has been concluded. 14 students are about to graduate and six others attended regularly but did not seek diplomas. The Course may be considered for repetition when more resources become available in the future

News of the proposed launching of a 4-year part-time course of intensive Advanced Torah Learning for Women now being planned attracted a great deal of attention and it is hoped will open early this year 2023 .

Grants were given to promote advanced study of the Holy Law at the Montefiore Kollel in North Manchester, at the London School of Jewish Studies in London and at Eretz Hemdah in Jerusalem. Satisfactory reports were received from those institutions concerning the achievement of the Charity’s aims.

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

Grants were made to a number of smaller charities to promote particular courses of study complying with one or more of the Charity’s aims. Such grants are awarded under specified conditions and monitored to ensure compliance.

Five Ph.D. students are now being supported in their studies in furtherance of several of the Charity’s aims, with one recently enrolled.

Work continues on projects for making the Endowment’s manuscript collections more widely available to the public, both online and otherwise; and numerous inquiries from scholars worldwide were answered by our Librarian. Public interest is demonstrated by the large number of “visitors” to the Endowment’s website with over 5,000 ‘users’ recorded in the past six months, mainly from the UK, Israel and the USA but also from places as far apart as Finland and China.

It should be clear from the above that the resources of the Charity are being successfully employed to further its declared aims, all for public benefit.

Financial review

During the course of the year ended on 31 October 2022, in pursuit of the charitable objectives, total incoming resources amounted to £93,131 (2021: £86,104). Total resources expended were £589,268 (2021: £640,057). There were also net losses on investments in the year of £460,324 (2021: £742,718 - gain) and there was a decrease in the net movement in funds in the year by £956,461 (2021: £188,765- increase).

The Charity's investment activity resulted in a first-time ‘total return’ loss for the year. The trustees regularly monitor the performance of its investment policy and consider it satisfactory when compared to losses sustained by other charities and similar organisations during this period of financial uncertainty.

The trustees have an ongoing commitment to maintain the synagogue, mausoleum and cemetery in Ramsgate along with a significant amount of moveable property. The Charity's present and planned educational and leadership programmes and assistance to charities with similar aims will involve significant expenditure in the coming years.

Reserves Policy

The reserves policy is reviewed annually to reassess risk and reflect any changes to the Endowment's income, capital, financial obligations and long-term plans for charitable expenditure. The minimum amount of reserves necessary to meet the Charity’s obligations for a year in case of emergency is between £0.5 million to £0.75 million, which is adequately covered at present.

Unrestricted Funds (not designated for other purposes) at the year end amounted to £683,185 (2021: £653,699) comprising those funds which the Trustees are free to use in accordance with the charitable objectives of the Endowment.

Designated Funds consist of several individual funds such like the Special Projects Fund, set aside by the Board of Trustees to meet the cost of the charity’s educational and other special projects as and when they occur, at the Trustees' discretion. Additionally, the Building, Tombstone and Burial Fund provides for the purchase and maintenance of the Synagogue and Mausoleum as well as for the maintenance of the burial grounds and tombstones. Other Bequest Funds provide for the general maintenance of the property of the charity. The value of Designated funds is currently £2,282,073 (2021: £2,833,569).

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

The Montefiore Endowment is currently a self-funding charity. The trustees do not consider that it would be prudent or efficient at present for the Charity to spend money on additional fund-raising. It therefore relies on internal resources to fund its work.

In the UK’s small orthodox Jewish community, there are not many opportunities to embark on large-scale projects for public benefit consistent with the governing instrument of the Charity. As the Montefiore Endowment is one of the few Jewish educational charities with funds at its disposal, its trustees consider it essential to maintain a Special Reserve Fund to take advantage of such opportunities that may present themselves or be developed. Projects that have already been made possible by this fund are described above. They include the Semicha Course, the Dayanut Programme, the Gap-year Programme, the Diploma Course and the course of Advanced Torah Learning for Women now being planned.

At present the Special Reserve Fund is fully utilised to provide the income and capital gains necessary to enable the Charity to fund its policy of maintaining its buildings and collections, publications, and to maintain and expand its programmes to promote advanced Torah learning, and leadership training.

The Charity's Endowment Funds represents assets which must be held permanently by the Charity.

A total return approach is adopted in respect of the Permanent Endowment held by the Charity, with any income and capital gains or losses arising classed as unapplied total return which can be transferred to unrestricted income at the discretion of the trustees.

Re-Organisation following Cyber Fraud

The Endowment suffered a financial loss in September 2021 due to cyber fraud involving an email breach and identity impersonation. As a first step towards seeking redress, the trustees submitted its case for compensation from the bank responsible to the Financial Services Ombudsman. The FSO result has now indicated its readiness to start its investigations and the result is awaited.

The trustees engaged several specialist consultants to check the Endowment’s compliance with all the relevant recommendations of the Charity Commission, to advise on steps needed to strengthen its administrative procedures, to increase cyber security and to initiate necessary changes. A great deal of effort was expended during the year on these changes. As a result, a new Payments Protocol, enhanced Cyber Security protection and much previously missing/inadequate documentation should be in place within the next few months.

Investment policy

The assets of the Endowment are invested in a balanced way, having regard to the ongoing commitment to maintain the Synagogue, mausoleum and cemetery at Ramsgate and having regard to the operational commitments and expected costs of the Endowment. This is important as the trustees rely only on internal resources to fund its work. Having regard to the above, the objective is to invest the assets of the Endowment in pursuit of capital growth. The trustees regularly monitor the performance of its investments against the stated policy.

Risk management

The trustees have considered the major risks to which the charity is exposed, have reviewed these risks, have established systems and procedures to manage them as set out in its Risks Register. They are satisfied that systems are being put into place to mitigate exposure.

Structure, governance and management

The Charity is a company limited by guarantee and is governed by its Memorandum and Articles of Association which were incorporated on 26th October 2005. The net assets of The Montefiore Endowment at Ramsgate (Charity No. 230919) were transferred to The Montefiore Endowment (Charity No. 1113038, Company No. 05604295) on the 20 November 2007. On 2 April 2014, having received prior consent from the Charity Commission for the purposes of section 198 of the Charities Act 2011, the trustees unanimously passed a resolution, updating the Charity's objects.

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

The Trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

Mr A R Bekhor Mrs C H Green Mr L E Gubbay Mr D Kessler (Appointed 11 April 2022) Rabbi Dr A Levy OBE (Deceased 25 December 2022) Mr I Levy Mr R Musry (Resigned 22 February 2022) Mrs P C N Sinyor Mr D R M Sopher (Appointed 11 April 2022) Mr R M Sopher

Trustees are currently recruited by word of mouth, or by personal approach. Special knowledge of at least one of the Charity's activities is generally required.

Trustees undergo regular training in accordance with agreed policy. New trustees are furnished with recent minutes of relevant meetings and encouraged to discuss any matters with other trustees and with the Secretary.

The Board of Trustees recognises that the responsibilities of a trustee are considerable and continues to so inform all trustees.

During the period, the day to day running of the Charity was undertaken by the above trustees, and by the following Honorary Consultants: Dr Roger Bilboul and Professor Stephen Miller.

Rabbi Asaf Mittelman was employed as part-time Director of Education; and Rabbi Amrom Nemeth (stepped down in September 2022) as his part-time deputy, to be succeeded by Rabbi Sam Millunchick.

Mrs Giselle Sinyor was employed as Company Secretary and part-time Administrator, later to become C.O.O. Mrs Lauren White assisted her as Secretary.

Mrs Sally Style was employed as part-time Librarian.

Mr Ben Kelly was employed as part-time Superintendent for the Ramsgate properties and assisted by other parttime helpers on a casual basis.

Associated Organisations

The Montefiore Endowment is an independently constituted charity with historical links to the Spanish and Portuguese Jews’ Congregation, London. Many members of its board of trustees and advisory council are also members of the Spanish and Portuguese Jews Synagogue Congregation.

Asset cover for funds

Note 21 sets out an analysis of the assets attributable to the various funds and a description of the trusts. These assets are sufficient to meet the Charity's obligations on a fund by fund basis.

Auditor

A resolution confirming the re-appointment of RDP Newmans LLP as auditors of the charity was agreed by the trustees at the AGM.

Related party transactions

During the year there have been transactions with related parties - please refer to note 22 for further details.

THE MONTEFIORE ENDOWMENT

TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

Disclosure of information to auditor

Each of the Trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

The Trustees' report was approved by the Board of Trustees.

On behalf of the board of trustees

Mrs P C N Sinyor

Trustee

18 July 2023

THE MONTEFIORE ENDOWMENT

STATEMENT OF TRUSTEES' RESPONSIBILITIES

FOR THE YEAR ENDED 31 OCTOBER 2022

The Trustees, who are also the directors of The Montefiore Endowment for the purpose 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 which give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the 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 Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

THE MONTEFIORE ENDOWMENT

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF THE MONTEFIORE ENDOWMENT

Opinion

We have audited the financial statements of The Montefiore Endowment (the ‘Charity’) for the year ended 31 October 2022 which comprise the statement of financial activities, the summary income and expenditure account, the balance sheet and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Other information

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

We have nothing to report in this regard.

THE MONTEFIORE ENDOWMENT

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE MONTEFIORE ENDOWMENT

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

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

Responsibilities of Trustees

As explained more fully in the Statement of Trustees' Responsibilities, the Trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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

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

THE MONTEFIORE ENDOWMENT

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE MONTEFIORE ENDOWMENT

Extent to which the audit was considered capable of detecting irregularities, including fraud

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006 and The Charities Act 2011 together with the Charities SORP (FRS102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charitable company’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charitable company for fraud. The laws and regulations we considered in this context for the UK operations were, General Data Protection Regulation (GDPR) and employment legislation.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

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

THE MONTEFIORE ENDOWMENT

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THE MONTEFIORE ENDOWMENT

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

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

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity’s controls, and the nature, timing and extent of the audit procedures performed. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

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

Use of our report

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

RDP Newmans LLP

24 July 2023

Chartered Accountants Statutory Auditor

Lynwood House 373-375 Station Road Harrow, Middlesex HA1 2AW

RDP Newmans LLP is eligible for appointment as auditor of the Charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

THE MONTEFIORE ENDOWMENT

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 OCTOBER 2022

Unrestricted Endowment
funds
funds
2022
2022
Notes
£
£
Income from:
Donations and legacies
3
16,875
-
Investments
4
31,215
45,041
Total income and
endowments
48,090
45,041
Expenditure on:
Raising funds
5
628
19,168
Charitable activities
6
569,472
-
Exceptional item - Loss
due to fraud
23
-
-
Total resources expended
570,100
19,168
Net gains/(losses) on
investments
11
-
(460,324)
Net movement in funds
(522,010)
(434,451)
Fund balances at 1 November
2021
3,487,268
4,411,298
Fund balances at 31 October
2022
2,965,258
3,976,847		 Total Unrestricted Endowment
funds
funds
2022
2021
2021
£
£
£
16,875
19,034
-
76,256
17,144
49,926
93,131
36,178
49,926
19,796
605
14,215
569,472
525,237
-
-
100,000
-
589,268
625,842
14,215
(460,324)
30,000
712,718
(956,461)
(559,664)
748,429
7,898,566
4,046,932
3,662,869
6,942,105
3,487,268
4,411,298		 Total
2021
£
19,034
67,070
86,104
14,820
525,237
100,000
640,057
742,718
188,765
7,709,801
7,898,566

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

All income and expenditure derive from continuing activities.

THE MONTEFIORE ENDOWMENT

SUMMARY INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 31 OCTOBER 2022

All income All income
funds funds
2022 2021
£ £
Gross income 48,090 36,178
Change in fair value on investment property - 30,000
Total income in the reporting period 48,090 66,178
Total expenditure from income funds 570,100 625,842
Net expenditure for the year (522,010) (559,664)

THE MONTEFIORE ENDOWMENT

BALANCE SHEET

AS AT 31 OCTOBER 2022

Notes
Fixed assets
Tangible assets
13
Investment properties
14
Investments
15
Current assets
Debtors
17
Cash at bank and in hand
Creditors: amounts falling due within
one year
18
Net current assets
Total assets less current liabilities
Capital funds
Endowment funds - general
19
Income funds
Unrestricted funds
Designated funds
20
General unrestricted funds		 2022
£
£
1,470
500,000
4,377,693
4,879,163
3,793
2,085,318
2,089,111
(26,169)
2,062,942
6,942,105
3,976,847
2,282,073
683,185
2,965,258
6,942,105		 2021
£
£
2,046
500,000
4,849,865
5,351,911
3,077
2,561,692
2,564,769
(18,114)
2,546,655
7,898,566
4,411,298
2,833,569
653,699
3,487,268
7,898,566		 2021
£
£
2,046
500,000
4,849,865
5,351,911
3,077
2,561,692
2,564,769
(18,114)
2,546,655
7,898,566
4,411,298
2,833,569
653,699
3,487,268
7,898,566
5,351,911
2,546,655
7,898,566
4,411,298
3,487,268
7,898,566

THE MONTEFIORE ENDOWMENT

BALANCE SHEET (CONTINUED)

AS AT 31 OCTOBER 2022

The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 31 October 2022, although an audit has been carried out under section 144 of the Charities Act 2011. No member of the company has deposited a notice, pursuant to section 476, requiring an audit of these accounts under the requirements of the Companies Act 2006.

The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

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

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

The financial statements were approved by the Trustees on 18 July 2023

Mrs P C N Sinyor Mr D R M Sopher Trustee Trustee

Company Registration No. 05604295

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2022

1 Accounting policies

Charity information

The Montefiore Endowment is a private company limited by guarantee incorporated in England and Wales. The registered office is Schaller House, 44a Albert Road, London, NW4 2SJ. The Charity is registered at the Charities Commission with the registration number 1113038.

All of the Trustees are members of the charitable company and guarantee to contribute such sum (not exceeding £1) in the event of winding up.

1.1 Accounting convention

The accounts have been prepared in accordance with the Charity's Memorandum and Articles of Association, the Companies Act 2006 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019). The Charity is a Public Benefit Entity as defined by FRS 102.

The Charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

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

The financial statements have been prepared under the historical cost convention modified to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes.

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the Charity.

Endowment funds represent assets which must be held permanently by the Charity. The Charity has adopted a total returns approach in respect of its permanent endowment under section 104A(2) of the Trust (Capital and Income) Act 2013. Any income and capital gains or losses arising on the assets are classed as the unapplied total return which can be transferred to unrestricted income at the discretion of the Trustees.

1.4 Incoming resources

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

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

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

1 Accounting policies

(Continued)

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

Investment income is accounted for on a receivable basis.

Rental income is recognised in the period to which the rent relates.

1.5 Resources expended

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.

Grants payable are charged in the year when the offer is conveyed to the recipient 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.

Charitable expenditure comprises all expenditure directly relating to the objectives of the Charity. It also includes an allocation of support and governance costs.

Governance costs include expenses associated with constitutional and statutory requirements, such as audit fees and the cost of legal advice taken by the Trustees. Governance costs have been allocated based on the proportion of total direct costs attributable to each charitable activity to total resources expended.

Support costs are those costs that are not directly attributable to a single activity but provide the necessary organisational support for all the charity's activities. The support costs have been allocated based on the proportion of total direct costs attributable to each charitable activity to total resources expended.

1.6 Tangible fixed assets

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

Items of equipment are capitalised when the purchase price exceeds £1,000.

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

Plant and equipment

20% straight line

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

1.7 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in the statement of financial activities.

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

1 Accounting policies

(Continued)

1.8 Heritage assets

These assets are integral to the activities of the Congregation and are unique in terms of their religious and historic significance. Conventional valuation techniques cannot be applied because of their uniqueness and any valuation would be misleading. The heritage assets held are as follows:

a) Freehold Properties and Content

The cost of properties as listed below held for religious, burial and administrative purposes has previously been written off against reserves. Their current value is not shown as the properties are inalienable and historic.

i) Land comprising 0.095 hectares being the Synagogue and the Mausoleum thereon.

ii) Land comprising 0.29 hectares being the Burial Ground.

b) Movable Assets

Movable assets, primarily silver, manuscripts and books are not included in the accounts at any value. This is in accordance with the Statement of Recommended Practice which specifies that assets held as the objects of the charity for long term retention and to which it is difficult to reliably estimate their value can be excluded from the balance sheet.

1.9 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

1.10 Impairment of fixed assets

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

1.11 Cash and cash equivalents

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

1.12 Financial instruments

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

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

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

Basic financial assets

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

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

1 Accounting policies

(Continued)

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

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

Derecognition of financial liabilities

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

1.13 Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense.

1.14 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

2 Critical accounting estimates and judgements

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

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

Specifically, the Trustees have made made judgements on the apportionment of support and governance costs across the various charitable activities (see note 8 for further details) - the basis of this apportionment has remained consistent to prior years. The trustees have also made judgements on the fair value of the investment property (see note 14 for further details).

3 Donations and legacies

Unrestricted Unrestricted
funds funds
2022 2021
£ £
Donations and gifts 16,875 19,034

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

4 Investments

Unrestricted Endowment
funds
funds
general
2022
2022
£
£
Income from listed
investments
-
45,041
Rental income
17,794
-
Interest receivable
13,421
-
31,215
45,041		 Total
Unrestricted
Endowment
funds
funds
general
2022
2021
2021
£
£
£
45,041
-
49,926
17,794
16,222
-
13,421
922
-
76,256
17,144
49,926		 Total
2021
£
49,926
16,222
922
67,070

5 Raising funds

Unrestricted Endowment
funds
funds
general
2022
2022
£
£
Investment management
628
19,168
628
19,168		 Total
Unrestricted
Endowment
funds
funds
general
2022
2021
2021
£
£
£
19,796
605
14,215
19,796
605
14,215		 Total
2021
£
14,820
14,820

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

6 Charitable activities

Religious
and
cemetery
running
expenses
Educational Maintenance
and
conserving
assets
£
£
£
Staff costs
7,699
45,834
-
Building costs
17,483
-
-
Semicha course provision
-
65,798
-
Expenses incurred in support of
Semicha courses
-
42,633
-
Conservation programme
-
-
195
Manuscripts
-
-
9,068
Testimonial projects
-
-
750
25,182
154,265
10,013
Grant funding of activities (see note 7)
-
264,298
-
Share of support costs (see note 8)
5,922
98,437
2,355
Share of governance costs (see note
8)
499
8,302
199
31,603
525,302
12,567
Analysis by fund
Unrestricted funds
31,603
525,302
12,567
31,603
525,302
12,567
For the year ended 31 October 2021
Unrestricted funds
31,670
473,767
19,800
31,670
473,767
19,800		 Total
2022
£
53,533
17,483
65,798
42,633
195
9,068
750
189,460
264,298
106,714
9,000
569,472
569,472
569,472		 Total
2021
£
44,180
16,104
42,737
1,391
4,980
7,485
2,197
119,074
269,857
127,306
9,000
525,237
525,237
525,237

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

7 Grants payable

Educational Educational
2022 2021
£ £
Grants to institutions:
Manchester Kollel 25,000 31,250
Dayanut Course 12,000 13,750
London School of Jewish Studies 54,159 50,386
University Scholarships 11,440 11,449
Eretz Hatzvi 18,500 13,500
Midreshet Harova 22,000 22,500
Secular Yeshiva 7,500 7,500
Morenu 8,000 8,025
Sephardi Voices (101) 4,197
Jewish Chaplaincy 10,000 10,000
Yeshivat Hakotel 25,500 31,500
Sephardi Haburah 37,000 12,500
230,998 216,557
Grants to individuals 33,300 53,300
264,298 269,857

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

8 Support costs

Staff costs
Depreciation
IT costs
Maintenance costs
Accountancy and secretarial
Rent and security costs
Legal and professional fees
Sundry expenses
Audit fees
Analysed between
Charitable activities		 Support
costs
Governance
costs
£
£
52,748
-
576
-
7,251
-
11,513
-
13,126
-
20,000
-
1,500
-
-
-
-
9,000
106,714
9,000
106,714
9,000		 2022
£
52,748
576
7,251
11,513
13,126
20,000
1,500
-
9,000
115,714
115,714		 2021 Basis of allocation
£
66,793 See note a)
714 See note a)
7,965 See note a)
15,268 See note a)
12,290 See note a)
23,333 See note a)
900 See note a)
43 See note a)
9,000 See note b)
136,306
136,306

a) All other supports costs have been apportioned on the percentage of total charitable expenditure directly attributable to each charitable activity.

b) Governance costs have been allocated based on the percentage of total charitable expenditure directly attributable to each charitable activity.

9 Trustees

There were no travel, accommodation or other expenses paid to Trustees in the current or prior year.

No other Trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year.

10 Employees

The average monthly number of employees during the year was:

2022 2021
Number Number
5 5

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

10
Employees
Employment costs
Wages and salaries
Social security costs
Other pension costs		 (Continued)
2022
2021
£
£
100,433
103,859
3,789
4,933
2,059
2,181
106,281
110,973		 (Continued)
2022
2021
£
£
100,433
103,859
3,789
4,933
2,059
2,181
106,281
110,973
110,973

There were no employees whose annual remuneration was more than £60,000.

11 Net gains/(losses) on investments

Endowment
Unrestricted
Endowment
funds
funds
funds
general
general
2022
2021
2021
£
£
£
Revaluation of investments
(374,087)
-
714,126
Gain/(loss) on sale of investments
(86,237)
-
(1,408)
Revaluation of investment properties
-
30,000
-
(460,324)
30,000
712,718		 Total
2021
£
714,126
(1,408)
30,000
742,718

12 Taxation

The Charity is exempt from tax on income and gains falling within section 505 of Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects.

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2022

13 Tangible fixed assets
Plant and equipment
£
Cost
At 1 November 2021 4,254
At 31 October 2022 4,254
Depreciation and impairment
At 1 November 2021 2,208
Depreciation charged in the year 576
At 31 October 2022 2,784
Carrying amount
At 31 October 2022 1,470
At 31 October 2021 2,046
14 Investment property
2022
£
Fair value
At 1 November 2021 and 31 October 2022 500,000

The fair value of the investment properties has been arrived at on the basis of a valuation exercise based on current market rents and investment property yields for comparable real estate undertaken by the Trustees.

The Trustees having suitable knowledge and qualification considered the above valuation to be a fair reflection of the investment property at 31 October 2022.

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

15 Fixed asset investments

Listed Cash held by Total
investments investment
managers
£ £
Cost or valuation
At 1 November 2021 4,838,752 11,113 4,849,865
Additions 1,246,990 - 1,246,990
Valuation changes (374,087) - (374,087)
Movement in cash - 45,557 45,557
Investment management fees - 11,782 11,782
Disposals (1,402,414) - (1,402,414)
At 31 October 2022 4,309,241 68,452 4,377,693
Carrying amount
At 31 October 2022 4,309,241 68,452 4,377,693
At 31 October 2021 4,838,752 11,113 4,849,865

Fixed asset investments revalued

The market value of the listed investment as at 31 October 2022 is £4,309,241 (2021: £4,838,752).

16
Financial instruments
Carrying amount of financial assets
Instruments measured at fair value through profit or loss
17
Debtors
Amounts falling due within one year:
Trade debtors
18
Creditors: amounts falling due within one year
Other taxation and social security
Trade creditors
Other creditors
Accruals and deferred income		 2022
£
4,309,241
2022
£
3,793
2022
£
1,868
2,318
2,569
19,414
26,169		 2021
£
4,838,752
2021
£
3,077
2021
£
2,914
2,124
4,076
9,000
18,114

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

19 Endowment funds

Endowment funds represent assets which must be held permanently by the Charity. The charity has adopted a total returns approach in respect of its permanent endowment under section 104A of the Charities Act 2011 as amended by the Trust (Capital and Income) Act 2013. Any income and capital gains or losses arising on the assets are classed as unapplied total return which can be transferred to unrestricted income at the discretion of the trustees. This approach was reflected as of 1 November 2017 where the original endowment was valued at £984,874 with the unapplied total return being £1,664,625. The value of the original endowment is deemed as the value of the permanently endowed investment funds as at 31 October 2004. This value was chosen being the most historic value available.

Movement in funds
Movement in funds
Balance at
1 November
2020
Transfer on
adoption of
total returns
approach
Investment
return:
dividends and
interest
Investment
return:
realised and
unrealised
gains/(losses)
Investment
management
costs
Balance at
1 November
2021
Transfer on
adoption of
total returns
approach
Investment
return:
dividends and
interest
Investment
return:
realised and
unrealised
gains/(losses)
Investment
management
costs
£
£
£
£
£
£
£
£
£
£
Permanent endowments
Endowment
984,874
-
-
-
984,874
-
-
-
-
Unapplied total
return
2,677,995
49,926
712,718
(14,215)
3,426,424
-
45,041
(460,324)
(19,168)
3,662,869
-
49,926
712,718
(14,215)
4,411,298
-
45,041
(460,324)
(19,168)		 Balance at
31 October
2022
£
984,874
2,991,973
3,976,847

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2022

20 Unrestricted fund

The unrestricted funds of the charity include general unrestricted funds and the following designated funds which have been set aside by the Trustees for specific purposes:

Balance at
1 November
2020
£
Designated -
Special Project
Fund
2,616,434
Designated -
Building,
Tombstone and
Burial Ground
Fund
364,254
Designated -
Other Bequest
Funds
30,986
Designated -
Investment
Property
Revaluation Fund
298,279
General
Unrestricted
Funds
736,979
4,046,932		 Incoming
resources
£
17,129
1,725
-
-
17,324
36,178		 Movement in funds
Resources
expended
Transfers Revaluations,
gains and
losses
Balance at
1 November
2021
£
£
£
£
(473,768)
-
-
2,159,795
(31,670)
-
-
334,309
(19,800)
-
-
11,186
-
-
30,000
328,279
(100,604)
-
-
653,699
(625,842)
-
30,000
3,487,268		 Incoming
resources
£
15,030
1,565
-
-
31,495
48,090		 Movement in funds
Resources
expended
Transfers Revaluations,
gains and
losses
£
£
£
(525,302)
-
-
(31,603)
-
-
(12,566)
1,380
-
-
-
-
(629)
(1,380)
-
(570,100)
-
-		 Balance at
31 October
2022
£
1,649,523
304,271
-
328,279
683,185
2,965,258

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2022

20 Unrestricted fund

(Continued)

The Special Projects Fund was set aside by the Trustees to meet the cost of special projects as and when they occur at the Trustees' discretion.

Building, Tombstone and Burial Ground Reserves Fund - this fund is used for the purchase and maintenance of the Synagogue and Mausoleum as well as the maintenance of the burial grounds and tombstones.

Other Bequests Funds - this provides for the maintenance of the property of the Charity. During the year a transfer was made by the trustees from general unrestricted funds amounting to £1,380 to this designated fund.

The Investment Property Revaluation Fund is comprised of gains or losses in fair value of investment properties.

The Trustees are satisfied that sufficient resources are held in an appropriate form to enable each fund to be applied in accordance with any designations.

Total designated funds at the year-end amounted to £2,282,073 (2021: £2,833,569). General unrestricted funds at the year-end amounted to £683,185 (2021: £653,699). These funds are available for use at the discretion of the Trustees for particular purposes.

THE MONTEFIORE ENDOWMENT

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 OCTOBER 2022

21
Analysis of net assets between funds
Unrestricted
funds
Endowment
funds
2022
2022
£
£
Fund balances at 31
October 2022 are
represented by:
Tangible assets
1,470
-
Investment properties
500,000
-
Investments
400,846
3,976,847
Current assets/(liabilities)
2,062,942
-
2,965,258
3,976,847		 Total
Unrestricted
funds
Endowment
funds
2022
2021
2021
£
£
£
1,470
2,046
-
500,000
500,000
-
4,377,693
438,568
4,411,297
2,062,942
2,546,655
-
6,942,105
3,487,269
4,411,297		 Total
2021
£
2,046
500,000
4,849,865
2,546,655
7,898,566

22 Related party transactions

Remuneration of key management personnel

The Charity's key management personnel consists of the Board of Trustees only, The Trustees received no remuneration in the year.

Transactions with related parties

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

During the year, the Endowment paid rent and security costs of £nil (2021: £5,000) to the Spanish and Portuguese Jews Synagogue, a charity in which there are common trustees.

During the year, the Endowment paid rent and security costs of £20,000 (2021: £18,333) and a grant of £54,159 (2021: £50,386) to Jews' College T/A the London School of Jewish Studies, a charity in which there are common trustees.

23 Exceptional item - Loss due to fraud

In the prior year, in September 2021, the charity suffered a loss amounting to £100,000 as a result of a cyber fraud.