2021-03-31-accounts

Dr Edwards & Bishop King’s Fulham Charity (including Bishop King’s Fulham Endowment Fund)

Annual Report and Financial Statements

31 March 2021

Company limited by guarantee Company Registration Number 05525568 (England and Wales)

Charity Registration Number 1113490

Contents

Reports

Reports	Reports
Reference and administrative details of the
charity, its Trustees and advisers	1
Executive Director’s and Trustees’ report	2
Independent auditor’s report	19
Financial Statements
Statement of financial activities	23
Balance sheet	24
Principal accounting policies	25
Notes to the financial statements	30
Appendix
Grants made	38
The following pages do not form
part of the statutory financial statements:
Supplementary notes to the
financial statements	40

Dr Edwards & Bishop King’s Fulham Charity

The Trustee body and Board of Directors

Directly appointed Mrs C Bailey Mr J Shuffrey Ms Z Beg Mr M Clein Ms H Fagan Mr R Fryer Mr R Lawrence MBE Mrs S O’Neill Mr A Russell-Smith Ms S Thomas Mr T Townsend Trustees nominated by London Cllr I Cassidy Borough of Hammersmith & Fulham Cllr M Uberoi Ex-officio Trustee Currently there is no ex-officio Trustee Executive Director Mr J Martin Administration Manager Ms Rosaline Harris Cleaner and Key-holder Ms J Singleton Officers of the Charity Mr A Russell-Smith – Chairman Mrs S O’Neill – Vice Chair Mr M Clein – Treasurer Committees appointed Every appointed Trustee is asked to serve on at by the Trustees least one committee. The officers of the Charity are ex-officio members of all committees. Committees Development Committee Mr T Townsend – Chair Ms H Fagan Ms S Thomas Ms Z Beg Finance Committee Mr M Clein – Chair Mr A Russell-Smith Mr T Townsend Mr R Lawrence Mr J Shuffrey

Reference and administrative details of the charity, its Trustees and advisers

Relief in Need Committee Governance Committee Office Website address Email Telephone Charity registration number Company registration number Auditor Bankers Investment managers Solicitors Bookkeeper

Mrs C Bailey – Chair Mr R Fryer Mr R Lawrence Mrs S O'Neill Mrs S O’Neill – Chair Mrs C Bailey Mr J Shuffrey Mr A Russell-Smith Percy Barton House 33 – 35 Dawes Road London, SW6 7DT www.debk.org.uk [e-mail] 020 7386 9387 1113490 05525568 Buzzacott LLP 130 Wood Street London EC2V 6DL Cafbank Limited Kings Hill, West Malling Kent ME19 4TA M & G Investments 10 Fenchurch Avenue London EC3M 5AG Russell-Cooke LLP 2 Putney Hill, Putney London SW15 6AB Ms S Hicks

Dr Edwards & Bishop King’s Fulham Charity 2

Executive Director’s and Trustees’ report 31 March 2021

The Trustees (who are also directors of the charitable company for the purposes of the Companies Act) are pleased to present their annual report, along with the financial statements of the Dr Edwards & Bishop King’s Fulham Charity (“DEBK”) for the year ended 31 March 2021. This report is intended to give a picture of what has been achieved over the past year, as well as to meet our legal requirements as set out in s418 of the Companies Act 2006 (and adhered to throughout).

The financial statements have been prepared in accordance with the accounting policies set out on pages 25 to 29 of the attached financial statements and comply with the charitable company’s Memorandum and Articles of Association, applicable laws 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 United Kingdom and Republic of Ireland (FRS 102).

The document itself is split into three main sections:

•  The Executive Director’s report, outlining this last year’s charitable activities (page 4)

•  A detailed explanation of the Charity’s purposes, duties, and structure (page 7)

•  A detailed examination of last year’s financial activities (page 16).

The Trustees hope that the content of this report will paint a good picture of what the charity does, and why it does it – particularly in relation to the most recent financial year. For those who may wish to learn more, there is the option to make contact by telephone or email, or to visit the website at www.debk.org.uk. Details for all three of these contact options are displayed on page 2 of this report.

The report itself is now set out as described above.

Dr Edwards & Bishop King’s Fulham Charity 3

Executive Director’s and Trustees’ report 31 March 2021

DEBK’S ACTIVITIES AND OBJECTIVES OVER THE PAST FINANCIAL YEAR

Our achievements and our grant giving decisions over a difficult twelve months

The Trustees of Dr Edwards and Bishop King’s Fulham Charity are proud to be associated with a 400-year-old tradition of helping the local community, and are pleased with the work that has been done in what has been a very challenging period since March 2020. DEBK exists for the public benefit (more detail is given on this on page 7) and its objects are the relief of poverty, hardship and distress in Fulham (the specific area of benefit). There were already significant challenges, in meeting these objects, even before the onset of a pandemic. And for disadvantaged individuals, and families, Covid has had a disproportionate impact – so that it has further exposed food poverty, digital poverty, and isolation. Through 2020, and into 2021, the Charity has reacted to the circumstances as they (brutally) unfolded and has conducted its grant giving accordingly, allocating significant resources to the reshaped needs almost as soon as they began to be identified. There is detailed information provided as to exactly how the charity operates, and how its funding streams are managed, in the main body of this report – but the intention at this stage is to give a flavour as to what has been going on, for us, during a timespan which has been unlike any other within living memory.

A total of £341k was allocated to community support, over 2020/21. Of this, £200k (£24k more than in the previous year) went in direct support to individuals and families through the relief in need programme – where we were able to supply goods for people’s homes such as cookers, washing machines, fridges, flooring, and other essential household items. This also included childcare equipment, and clothing – but with the biggest single expenditure route being through the provision of flooring. A total of 281 applications was received (which was 15 less than last year) and 260 grants were awarded. But year on year comparisons don’t really tell the story, as the pattern of demand was actually completely different to that of any other period, with very low numbers of requests during the first lockdown, followed by much higher numbers of requests from late summer onwards as more areas began to ‘open up’ whilst at the same time more of the adverse effects of the enforced closures began to bite. As the months moved on, and the applications began to flood in, the budgets (which had been reduced because of the pandemic’s negative effect on our own income) had to be amended upwards – resulting in an overall deficit, which we felt bound to accept because of the particularly desperate situations of so many people who were finding themselves worse off, and with less support, even than before.

So the demand for relief in need has been high, and we are pleased so far to have met it head on. But, at the same time, we are mindful that we shall have to cut our cloth more carefully assuming that some form of normality resumes when we move into 2022. We have needed to plunder our ‘reserves’, and there are limits on our ability to do that in the longer term. Covid has been, we have felt, the proverbial ‘rainy day’. We are where we are, for now – with direct grants. But we need to keep monitoring.

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Executive Director’s and Trustees’ report 31 March 2021

ACTIVITIES AND OBJECTIVES (continued)

Moving on, then, to other strands of our work. And perhaps surprisingly, given what has been outlined so far, there was actually a reduction over the financial year when it comes to looking at demand for grants for organisations, and for summer schemes. (This is where we give money indirectly, for the support of the same client groups, but for services that are administered by third parties.) We believe that there were two main reasons for this downturn. Firstly, there was a lot of external money made available from March 2020 onwards, to help deal with the Covid situation which was developing. Instead of coming to us for help, people were able to go elsewhere. And secondly, many projects were temporarily unable to run – and therefore they did not need the same levels of resource, in the short term, as they had needed before. So, again, we have been in unusual territory.

We provided £125k over the period in grants for organizations. This compared to £223k, in 2019/20. So the drop is significant. And there have also been notable changes, in terms of the types of grants that have been applied for. As the year moved on we began to learn that the pandemic was exposing areas of poverty and exclusion which had previously been partially hidden. Everything moved online, including schooling – but many individuals and families did not have digital access, and were being left behind. Access to essential items (including food) became extremely restrictive for certain (usually, the more disadvantaged) groups, and individuals living alone (especially those with mental health problems) became increasingly isolated and at risk. Young people as a general group, too, were suffering as a result of not being able to meet up and learn social skills.

We gave support to a number of organisations and projects that were trying to address these problems. Along with other things, we awarded grants for the following purposes,

• To relieve food poverty (particularly where people were self-isolating, unable to shop).

• To get more people online (particularly older people, and schoolchildren).

• To reduce isolation (even where the implemented contact methods were ‘virtual’).

• To support those with mental health diagnoses.

• To enable ‘controlled’ social activities, for young people.

• To provide (virtual) advice and support.

We showed flexibility to organisations with existing funding where they had to amend or postpone activities because of the need to keep people safe. We supported some of our services to move online, and with other services we allowed delays and adjustments rather than simply cancelling funding. We gave help with rents, where lost income had put pressure on core costs, and we gave one (independently administered) tranche of money specifically for small organisations to use to support families that were being disproportionately affected by Covid.

Moving on again, now, to look at the demand for our help with summer holiday schemes. And here, too, we experienced a lower demand - along with plans for altered forms of delivery.

Dr Edwards & Bishop King’s Fulham Charity 5

Executive Director’s and Trustees’ report 31 March 2021

ACTIVITIES AND OBJECTIVES (continued)

In 2019/20 we awarded £40k for summer activities (allowing access to play schemes for children from families in poverty, where otherwise the opportunity would be denied them). In 2020/21, the amount awarded dropped to £17k – largely because providers struggled to arrange events from within a context where the rules of association were constantly changing. Only four providers were able to make any kinds of arrangements, and these were very different to the kinds of things that would have been on offer in other years. So the patterns were altered, throughout. But there were still projects being delivered, and we were delighted at being able to play our part in that delivery.

Now, more generally, to close off the initial account of the period. The first thing to mention is that there has been no demand at all since March 2020 for any kind of educational/training grant. (This is where the Charity offers to pay for the costs of courses - where they are reasonably priced - such as would help individuals who are facing hardship to gain skills and have better life chances.) Demand for this kind of grant has been low, for some time – but it completely disappeared when the pandemic struck. For some time now, we have been unsure as to whether we are really reaching out sufficiently, with regard to this specific funding stream – and there is some indication that we really do need to review our offer, in this aspect.

But there has been debate, too, about our offer overall. This is further referred to in the section of this report dealing with future plans - but when we look back at this extraordinary year we should also make a mention of the discussions that have taken place in our Development and Governance Committees, and within the board as a whole, where we continue to ask questions about whether we are meeting the community’s needs in full, whether we are accurately targeted, whether there are gaps in our provision, and whether we are adequately monitoring our value and impact. These introductory paragraphs have briefly summarised what we have achieved, against a difficult backdrop – and we are right to be pleased with the things that we have enabled. But maybe we could be yet smarter, yet more focussed? And, given that we operate within a highly diverse community, perhaps we could be more reflective of that, too? There are certainly plans to try and achieve this.

DEBK has had a challenging but positive year. The Charity has functioned throughout, despite restrictions. It has continued to examine its role, internally, and to question whether it should have a higher profile in the general management of poverty and distress in the area of benefit. As this report goes on, much more information is given about our process and governance, as well as there being a detailed analysis of the relevant finances. But as an opening summary of what we have done, in the time covered, it is to be hoped that this will have been a good guide.

Jonathan Martin – Executive Director

NB. A detailed list of all grants given is provided in the financial statements, from P38

Dr Edwards & Bishop King’s Fulham Charity

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Executive Director’s and Trustees’ report 31 March 2021

DEBK: GOVERNANCE, STRUCTURE AND MANAGEMENT

History and Constitution

Dr Edwards & Bishop King’s Fulham Charity (often referred to as DEBK) exists as a result of the terms of two wills, dating back to the early part of the Seventeenth Century. In fact, to the best of our knowledge, the Charity was begun in the year 1618 – meaning that we are over 400 years old. Survival over time has been the result of careful management, and help has been given to the people of Fulham throughout, enabling a small but vital element of need relief for individuals and families otherwise struggling to cope. DEBK was incorporated as a company limited by guarantee (Company Registration No. 05525568 (England and Wales)) on 2 August 2005. It was registered as a Charity on 29 March 2006 (Charity Registration No. 1113490) having previously functioned in an unincorporated form.

NB. There also exists a separate entity: Dr Edwards & Bishop King’s Fulham Endowment Fund. This is a subsidiary of the main Charity formed in order to protect the Endowment. It is shown in the financial statements as the Endowment Fund. Trusteeship of the Fund is vested in the Company (1113490). The directors of the charitable company have been referred to as Trustees throughout this report.

Public Benefit

The current Trustees have regard to the Charity Commission’s guidance on public benefit and the guidance for charities for the prevention or relief of poverty, and the Charity’s activities fall well within the guidance. This allows for the continuance of the historical aims and objectives, from within a modern context.

The restriction on who may benefit from the Charity’s funds, other than a requirement to demonstrate financial need, is that the beneficiaries are residents of the old Metropolitan Borough of Fulham. The objects of the Charity are “the relief either generally or individually of persons resident in the area of benefit who are in conditions of need, hardship or distress” and “the advancement of education by paying for the education and training for persons in need for the aim of their obtaining employment”. There are three funding streams to which these criteria are applied: Relief in Need, Grants for Organisations, and Summer Schemes.

‘Relief in Need’ grants are given to local families and individuals who do not have the means to obtain essential items for themselves, or in circumstances where short educational or training for employment courses can help them into work. The aim is to ensure that people in the least privileged positions in society are helped with access to important goods and services which might otherwise be denied to them.

‘Grants for Organisations’ are available to support groups which target local residents on low incomes, where it can be shown that their proposed interventions will be able to underpin positive changes in the lives of the people involved. The Charity can only help projects (or the proportions of those projects) which work with Fulham residents.

‘Summer Schemes’ funding assists with organised activities and day trips for young local people from challenging backgrounds, over the July and August school holidays. It can also assist with longer trips - provided the destination venues are reputable, reasonably priced, and within the UK. All third-party funding relating to young people is conditional on a clearly promoted understanding of the duties of care towards vulnerables and minors, and on the existence and application of relevant policies and safety checks in this regard.

Dr Edwards & Bishop King’s Fulham Charity 7

Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Public Benefit (continued)

The Charity is solely a grant-giving charitable trust and does not take on contracts to provide public services or to replace statutory funds.

The Trustees

DEBK’s Board of Trustees comprises up to fourteen members – all of whom then become directors of the charitable company for the purposes of company legislation and Trustees for the purposes of charity legislation. Two of these members are nominated by the LBHF, and one by All Saints Church. Although residence in the area is not essential, it is useful for Trustees to have local knowledge and, in addition, general skills audits are carried out periodically. Many of the Board have given years of valuable service to the Charity (and, in fact, some individuals have served for more than nine years consecutively, which is as a result of the value of their input – although it was agreed in 2019 that the nine year period would, in future, be regarded as a maximum). When vacancies have arisen, it has been the Charity’s practice to recruit by advertising through local voluntary sector forums. Selection is by interview, with predetermined skills and abilities being evaluated in such a way as to maintain a balance. Appointees are issued induction packs, and provided with opportunities for training.

There are often opportunities for recruitment of new Trustees, and the Charity would be pleased to hear from anyone interested in joining us in what is a rewarding and positive role. Information on joining the charity in this capacity can be gained by contacting us directly.

An Annual General Meeting of the Dr Edwards & Bishop King’s Fulham Charity is held each year, generally in December. One third of the Trustees must retire at each AGM, those longest in office retiring first and the choice between any of equal service being made by drawing lots. A retiring Trustee who remains qualified may be re-appointed.

Committees appointed by the Trustees

Trustees attend five Trustees’ meetings each year – along with an ‘Awayday’ – and a meeting of Dr Edwards & Bishop King’s Fulham Endowment Fund is held every July in order to review the operation of the Fund and the current investment policy. The AGM of the Fund’s Trustee, Dr Edwards & Bishop King’s Fulham Charity, is generally held in December. Further to this, Trustees are elected to serve on one or more of the Charity’s committees, year on year, with Chairs appointed annually. The committees are briefly described in the following paragraphs, and each one reports to the Board, which also evaluates grants to organisations.

The Finance Committee meets on an ‘as required’ basis (not less than three times per year) to prepare and monitor the budget, to oversee the Charity’s investments and the audit report, and to look in depth at all financial aspects including the annual review of staff salaries, the management of the primary premises (Percy Barton House) and the letting of 309 Lillie Road (also owned by DEBK). This committee also monitors health, safety and risk management issues affecting the Charity.

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Committees appointed by the Trustees (continued)

The Governance Committee’s remit is to review constitutional and other governance issues and to oversee the recruitment of Trustees. Meetings are convened as and when needed (which was four times this year – including meetings with Development).

The Relief in Need (RiN) Committee responds to applications for funding of individuals for household and personal needs and training for employment and educational grants. It met (virtually) seven times this year.

The Development Committee’s remit (historically) has primarily been in the allocation of funding to Summer Schemes, but in the past three years it has also included detailed evaluation of the charity’s profile and direction. It met five times this year, including meetings with Governance.

The Charity also (usually) has an annual ‘Awayday’, where the Board as a whole meets in a relatively informal setting to consider the positioning of the Charity – its relationship with current patterns of need, and its profile within the community. The main purpose of this is as a planning day, where consideration is given to overall strategy in the context of the external changes that the Charity needs to respond to. The work of the Development Committee is now to follow up from this. There was no Awayday in 2020/21.

The work of the Charity’s committees has altered quite significantly recently as a result of Covid-19 (the effects of which are detailed elsewhere in this report).

Organisation and policy making

All policy and grant making decisions are made by the Trustees. The day to day running of the Charity is directly managed and undertaken by the Executive Director. This work is assisted by the Administration Manager. The Charity’s office at Percy Barton House is usually open from Monday to Thursday from 10.00am to 4.30pm (although it is sometimes closed during these hours, due to external commitments and, latterly, it has often been closed due to Covid-19).

The Charity has a website, www.debk.org.uk, and the Trustees take responsibility for the maintenance and integrity of financial and other information displayed online. The site is standards compliant, and includes updates on the Charity’s processes including the benefit areas and grant programmes. There is a good deal of information which might have been included in this report which may be more usefully accessed on the pages of the site – in part because some kinds of communications media are more suited to the internet than to ‘hard copies’, and in part because there is no way in a published report to predict changes in approach that may take place as the year goes on and describe them accurately in advance. DEBK regards itself as a responsive organisation and its relationship with the effects of poverty is continually adapted accordingly. Potential beneficiaries are encouraged to download the relevant (and most up to date) forms to apply for the various grant programmes, and to check for any variances. For those without internet access, the Charity also produces and distributes paper copies of relevant documentation and information leaflets.

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Organisation and policy making (continued)

The Trustees endorse a Risk Management Policy, which is updated at least annually – and referred to in more detail, later. This covers the significant risks which are to be found in the areas of governance, finance, investment, operations, staff and premises, including loneworking and long-term staff absence. It now also covers risks created by Covid-19.

The Charity is registered under the Data Protection Act and is compliant with General Data Protection Regulation legislation. It also has a policy in respect of criminal records disclosure for staff and Trustees in contact with vulnerable applicants.

Key management personnel

The Trustees consider that they, together with the Executive Director and the Administration Manager, comprise the key management personnel of the Charity in charge of directing and controlling, running and operating the Charity on a day to day basis.

The Trustees receive no remuneration in connection with their duties. The remuneration of the Executive Director and the Administration Manager is set by the Trustees and any changes in pay rates are based on current rates of inflation.

Trustees’ responsibilities statement

The Trustees (who are also directors of Dr Edwards & Bishop King’s Fulham Charity for the purposes of company law) are responsible for preparing the Trustees’ report and 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 income and expenditure of the Charity 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 in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102);

•  make judgements and estimates that are reasonable and prudent;

•  state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

•  prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Charity will continue in operation.

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Trustees’ responsibilities statement (continued)

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

Each of the Trustees confirms that:

•  so far as the Trustee is aware, there is no relevant audit information of which the Charity’s auditor is unaware; and

•  the Trustee has taken all the steps that s/he ought to have taken as a Trustee in order to make herself/himself aware of any relevant audit information and to establish that the Charity’s auditor is aware of that information.

This confirmation is given and should be interpreted in accordance with the provisions of s418 of the Companies Act 2006.

The Trustees are responsible for the maintenance and integrity of the financial information included on the Charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Premises – Percy Barton House

Up until July 2016, the Charity’s premises (main hall only) were in use, reasonably regularly, as a meeting space for a range of adult groups. That usage was dropping off, and was discontinued. The downstairs space was then made available to ‘Staying First’, enabling them to run a furniture shop and advice centre. During the three year period from 2017 onward the building as a whole was therefore making a significant community contribution – delivering much more per hour, and per square foot, than it had been before. The upstairs was used for the business of the Charity, and one of the upstairs rooms was rented out to a local community group, ‘The Serbian Society’. However, there have been significant changes since 2020. The Serbian Society decided not to continue to use the upstairs office as of the February, and Staying First was taken over by Shepherd’s Bush Housing who then decided to close the shop and advice centre as of the March. The building as a whole continues to be maintained by the Charity, and the upstairs areas are still used for the conduct of the Charity’s own business – but this work is going to be moved into the downstairs area, during 2021 (making the offices more accessible) and this will leave questions to be resolved in respect of what will be done with the upstairs areas, subsequently.

Health and safety throughout the premises is under constant review. Portable appliance testing is carried out annually on small electrical items. Percy Barton House is a smoke-free area compliant with the Health Act 2006. Where possible, the staff and users of the building recycle clean paper, print cartridges and other materials. Independent fire risk assessments have also been carried out.

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

309 Lillie Road

The Charity’s building in Lillie Road is let on a long lease to Hammersmith & Fulham Mind and it is used for their offices and counselling room. The rent is reviewed every four years.

Risk management

Risk is primarily controlled through the frequent review of a collection of detailed assessment documents, under a variety of headers. These cover (as key examples) governance, income and expenditure, staffing, grants monitoring, health and safety, buildings management and (now) Covid-19. Trustees have access to these assessments through an online portal – and they are periodically discussed at meetings. We examine what we do, why we do it, and what might conceivably go wrong – on an ongoing basis. Action plans arise and change as the risks themselves change.

In terms of practical application, we monitor the areas as described, as follows.

Governance is a matter for frequent discussion, in all regards. The charity takes an interest in what is happening with other charities, and in what the responsibilities of its staff and Trustees are. This includes the following of the Charity Commission’s guidelines (which are available to all new and existing Trustees). We also take an active interest in external updates as provided by advisory organisations. Headers within our core risk documentation are amended accordingly, as expectations change – and where it is felt that we need to adapt, discussions are taken within the remit of the Governance Committee or, as frequently, in meetings of the entire Trustee body. We have a reasonably healthy turnover of Trustees, producing a good balance of experience and vitality – and this in itself causes us to continually examine what we are doing and how and why we are doing it. In 2018-19 the Charity commissioned external advice, relative to governance, in two separate sessions – each of which led to action planning for ongoing improvements.

Income and expenditure are both monitored closely, with regular scrutiny of budgets by the Executive Director and Trustees. Almost every committee meeting includes reference to both individual budget headers and overall budget headers, against a backdrop of the performance of the investments which underpin us, and which represent a particularly vital consideration. Once a year, we have a meeting which specifically examines investment income matters, and only these matters. We have reasonable financial and budgeting knowledge within our board, and this has been evident in decisions taken over recent years (and historically). Further to this, we undertake periodic assessments of the effectiveness of the grants which we give, looking at how meaningful they are within context, and changing focus as necessary.

Risks concerned with staffing are considered from many angles, and again are dealt from multiple points of focus. We regularly look at whether we have the right structure to meet changing needs, and over the past year we have been concerned with bedding in a second member of staff whose role it is to complement the work of the Executive Director, as well as to learn the overall processes used so that vital knowledge would not be lost if the Executive Director were to become unavailable to the Charity at short notice.

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Risk management (continued)

Also, since March 2020, consideration has been given to the risks to staff as presented by Covid-19. Methods of working have changed beyond recognition with most of the tasks having been done from home, and with no ‘visits’ taking place. A separate risk assessment has been worked up, to cover this specific change in practices (not just in the workplace, but in society as a whole).

Risks concerned with grants management, and the possible misuse of funding (particularly through Relief in Need) have also been identified, and they are reduced as far as is possible because the Charity has a policy of providing specific goods, rather than money. Staff will normally make home visits, to establish need, and then the required items are delivered direct to those homes by trusted suppliers.

As for the management of our buildings, these are governed by two different sets of considerations, given our ownership of two premises. One of our buildings is leased, and the conditions of that lease along with the associated income are regularly reviewed. Also, the relationship with the partner organisation (at 309 Lillie Road) is nurtured, and managed. Further to that, our ‘main’ building (Percy Barton House) has been the subject of intense discussion over recent years – leading to a decision on a significant change of use (when the downstairs shop was opened and then again, now that it has closed) with implications in many operational areas, risk included.

Moving on, now, to the general risks (and issues) as presented by Covid-19, and the measures put in place to manage the implications – these have been wide ranging, and are still central to our work. The effect of the coronavirus was that it became unsafe (for some considerable period of time) to meet with people from other households – either in our own office, or in other offices, or in people’s homes. (Those restrictions are now, gradually, lifting.) We needed to find ways to deliver our service which took account of this, and we have also needed to consider the fact that there has been an associated economic collapse, affecting the Charity’s income. So, there has been less money to give out together with a high demand for those grants (as poverty has increased). There will remain challenges with regard to how we manage this combination of factors.

Over the period from mid-March 2020, much discussion went into deciding how we should face up to Covid-19, and even look beyond it. Early on in the outbreak the decision was taken that staff would work from home, and make only occasional visits to the offices. The ability of DEBK to exist more or less completely as an ‘online’ entity was tested, and those people wishing to interact with the Charity were encouraged to use email, text messages, or mobile phones. Trustee meetings no longer took place in the board room, but were run as telephone conferences or Zoom conferences – and this proved to be an effective way of working, made possible by the fact that a lot of our processes had in any case, over time, become digital. In fact, the transition went surprisingly smoothly, given the limited time available to make the switch. However, it was not possible to overcome all of the issues which arose from the fact that everyone else (such as Relief in Need suppliers) was in lockdown. It became much more difficult to (for example) get our granted items delivered to our beneficiaries and, during the most stringent parts of the lockdown, it actually became impossible.

Dr Edwards & Bishop King’s Fulham Charity

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Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

Risk management (continued)

So we did not have all of the answers – but, as conditions have improved it has become easier to move forward (taking note of government rulings, using social distancing, and with third party suppliers using PPE). Operationally, we have found a way ahead for the future which has allowed us to continue and, in time, we may even see improvements and efficiencies where we have found that different ways of doing things have been better ways of doing things. Our daily practices have been brought into focus, and there is still much to learn.

There were big Covid-19 question marks raised, also, with regard to our income. DEBK’s main endowment is held in equities, and the financial collapse directly affected the overall value of those equities, and therefore the return that could be expected. Trustees were concerned as to the extent of this downturn, and questions were raised with regard to whether the Charity had spread itself too thin, and whether there might be better options for the future. The Finance Committee was tasked with examining this, and with deciding whether DEBK should seek external financial advice in respect of investment options, going forward. At a meeting in June 2020, it was agreed that there would be no clear way forward on this until the markets had settled. However, the predominant view has been that we are in a relatively fortunate position with regard to a set of circumstances which has been, after all, affecting everybody. The forecasts for the Charity are to the effect that there will be a continued loss of overall income, for the time being – but the fact is that we could continue to run even with a much higher income cut than the one experienced – albeit that the grant giving would then need to be severely cut.

The conclusion reached with regard to risks as a whole is therefore that their range and potential impact is recognised, and reasonably planned for, and that there is no reason that the Charity’s future should not be secure – even despite the severe strains of 2020/21.

Fundraising strategy

For most charities, fundraising is essential in order to maintain service levels. As a result, careful consideration has to be given to the way in which this need is met, so as to ensure that the methods chosen are not unreasonable, intrusive or aggressive. DEBK is, however, in an interesting position with regard to capital, given that all of our activities can be resourced from our existing endowments.

The Trustees have taken the view for now, and for the foreseeable future, that there is nothing much to be gained from fundraising activities. We feel that the best use of staff time is in the management of grant giving, and in the running of other aspects of the charity. If this decision is reviewed, then associated strategies will be reviewed, accordingly.

The way people access our funds

All of our funding is given as a result of individuals/organisations filling out the relevant application forms, and then submitting those applications (using DEBK staff as a conduit) either to a sub-committee of the charity, or to the full Board. Ahead of the relevant decision meeting, queries are (as far as possible) ironed out by the Executive Director to the Trustees and by the Administration Manager.

Dr Edwards & Bishop King’s Fulham Charity 14

Executive Director’s and Trustees’ report 31 March 2021

GOVERNANCE, STRUCTURE AND MANAGEMENT (continued)

The way people access our funds (continued)

The forms themselves can be obtained in a number of ways – either as paper copies, or as digital copies. (They can, for example, be downloaded from our website. Or they can be posted out.) The forms themselves are largely self-explanatory, but help and assistance is given (where appropriate) if people are struggling to understand what is required. DEBK has given training sessions to external organisations, so that they too can offer help and support to anyone who is struggling to make sense of the process.

The Charity’s website, www.debk.org.uk, contains information explaining how to submit good applications. But, for anyone who is unsure as to how to move the process forward, we suggest that they ring the Charity and talk to the Executive Director (Jonathan Martin) or to the Administration Manager (Rosaline Harris) and they should be able to offer help and guidance.

The decisions we make, and restrictions to funding

In 2020/21, and ongoing, the Trustees’ decisions are and have been driven by the degree to which the respective applications match our criteria, and by the availability of funds.

There may be a number of reasons why an application is not successful, but listed below are the most common ones:

•  The relevant client or client group is out of our area;

•  The application does not relate to actual and/or significant hardship;

•  The client or group has repeatedly been funded by us, and is disproportionately reliant; or

•  There is other funding available (particularly where other organisations have existing legal duties to provide the requested items/services).

Dr Edwards & Bishop King’s Fulham Charity 15

Executive Director’s and Trustees’ report 31 March 2021

FINANCIAL REVIEW

Financial report for the year

A summary of the year’s results can be found on page 23 of the attached financial statements.

Total income for the year was £399,363 (2020 – £514,175).

There have been net investment gains for the period of £1,597,286 (2020 – losses of £1,992,144), largely as a result of the performance of the stock market in the year which has bounced back since the significant shock it experienced in March 2020 due to the coronavirus pandemic. Investment income has however, decreased to £372,143 (2020 – £470,556).

Expenditure on grants and donations to organisations was £141,424 (2020 – £301,835). Expenditure on Relief in Need grants was £199,623 (2020 – £176,472).

Reserves policy

The Trustees have examined the requirement for free reserves i.e. those unrestricted funds not invested in tangible fixed assets, or designated for specific purposes or otherwise committed.

The Trustees consider that the Charity should keep a reserve of £700,000 in the unrestricted fund to cover approximately eighteen months’ expenditure and that the balance of the current unrestricted funds is available if required for grant-giving. A minimum of £50,000 is kept on short term deposit with the balance of free reserves deposited for up to a year at a time. Trustees are mindful not to spend the free reserves too quickly and invest short-term in order to improve the interest on these reserves. This approach is regularly reviewed.

The Trustees are of the opinion that this provides sufficient flexibility to cover temporary shortfalls in income due to timing differences in income flows and adequate working capital to cover core costs.

Financial position

The balance sheet shows total reserves of £8,936,908 (2020 – £7,380,753). Of this £7,992,310 (2020 – £6,395,023) are investments held as an endowment fund, of which the capital is kept and is currently unavailable to support the general financing of the Charity.

Designated funds, consisting of the freehold property fund, amount to £250,063. General funds amount to £694,535 of which £403 is represented by fixed assets the remaining £694,132 being free reserves (inclusive of creditors falling due in more than one year) which is in line with the policy above. This also includes £500,000 within investments which has arisen due to a transfer of money from the Scottish Widows deposit account to the M&G investment portfolio in the year ended 31 March 2020, and has been deemed as part of free reserves as it can be readily liquidated should the need arise.

Investment policy

The investment portfolio is shown in the financial statements as an endowment fund. The endowment funds are held in the subsidiary of the Charitable Company and are managed by the Company, its Trustee.

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Executive Director’s and Trustees’ report 31 March 2021

Investment policy (continued)

The Charity has a portfolio of investments with a market value as at 31 March 2021 of £8,492,310 (2020 – £6,895,023).

There are no restrictions on the Charity’s power to invest. The investment strategy is set by the Trustees and takes into account income requirements, the risk profile and the investment manager’s view of the market prospects in the medium term. The overall investment policy is to maximise total returns through a diversified portfolio which aims to provide the level of income required by the Trustees and at the same time to try to ensure that capital appreciation of the fund exceeds inflation over any five year period.

The Finance Committee reviews the Trustees’ investment strategy and reports regularly to the Trustees. The Trustees monitor the performance of the portfolio at the bi-monthly meeting of the Trustees.

The Trustees closely monitor the Charity’s income and are keen to improve it whilst continuing a controlled investment strategy. The Trustees continue to monitor the investment policy for the medium to long-term on a regular basis.

The investment managers’ report on the performance of the investments is as follows:

Charifund (as managed by M and G investments)

In a year dominated by the damaging socio-economic effects of Covid-19 and the resulting lockdown restrictions, Charifund struggled for much of 2020 while having to focus entirely on the dual aspects of shoring up income and protecting capital where possible. A balanced and pragmatic approach was adopted to ensure that the degree to which income had to be reduced was limited, while stocks that were sitting on cheap valuations following the significant market sell-off were not simply sold for reducing or suspending dividends, recognizing that an eye had to be kept firmly on harnessing long-term capital value opportunities when markets entered a post-crisis recovery phase. Our strongly UK-centric mandate and our traditional relative bias toward mid- and small-caps over FTSE 100 stocks proved particularly painful for much of the first half, but proved to be a distinct positive once the first vaccines news was announced in November and on through the first quarter of 2021 as UK markets in particular posted the beginnings of a strong relative recovery buoyed also by our late Brexit deal with the EU. We maintained a widely diversified portfolio of over 100 individual holdings, designed to ensure that we continued to manage both capital and income risk as best we could in truly challenging market conditions.

In what was very much “a game of two halves”, Charifund ended the year to 31 March 2021 having posted a total return (capital plus income reinvested, net of fees) of 29.74%, ahead of our benchmark FTSE All-Share Index (26.71%) having spent much of the year lagging behind. Our focus on higher yielding stocks from more defensive and cyclical sectors, plus early action taken to reduce exposure to the most vulnerable areas in the first few months of lockdown (such as Transport, Travel & Leisure, and non-food retail) all came through as net positives by year-end.

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Executive Director’s and Trustees’ report 31 March 2021

FINANCIAL REVIEW (continued)

Charifund (as managed by M and G investments) (continued)

Regarding income, we were disappointed to have to announce a reduction in distribution in 2020 for only the fourth time in Charifund’s 61-year history; however, our cut of -19.3% should be viewed in context with the equivalent measure of overall reduction in FTSE All-Share dividends paid in the UK last year when compared to 2019, which came in at around -37%. Despite this, Charifund ended the year still offering a healthy yield of 4.4%, significantly more than the average on the FTSE All-Share Index, and prospects for a return to offering annual growing dividends once again looked increasingly positive throughout the first quarter of this year. At the time of writing, our latest forecast for 2021 is to expect at least the same 67.00p annual distribution as we paid in 2020, and we shall strive to deliver a modest increase if the dividend environment continues to improve.

FUTURE PLANS: TRUSTEES’ PLANS FOR 2021/22 AND BEYOND

The Charity has five main objectives, for the coming year.

• To develop a revised strategy for the running of the Charity, in the wake of the pandemic – making amendments where health considerations continue to require it, and also where potential improvements in modes of operation may have been identified by the changes that were made to work practices.

• To continue to assess whether the Charity is accurately aligned to meet current needs – or whether there are better or unseen ways in which poverty in Fulham could be addressed.

• To continue working to make the Charity a more diverse and responsive unit, offering equal opportunities on its board, and for its applicants, alike.

• To move the Charities work area from the upstairs at Percy Barton House to the downstairs – thus making the workspace more accessible for staff, Trustees, and applicants alike.

• To rebuild some of the links with other organizations which have lost strength as a result of the lack of actual integration during the pandemic.

Signed on behalf of the Trustees:

Trustee Michael Clein, Treasurer

Approved by the board on: 7[th] July 2021

Company Registration Number: 05525568 (England and Wales

Dr Edwards & Bishop King’s Fulham Charity 18

Independent auditor’s report 31 March 2021

Independent auditor’s report to the members of Dr Edwards and Bishop King’s Fulham Charity

Opinion

We have audited the financial statements of Dr Edwards and Bishop King’s Fulham Charity (the ‘charitable company’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet, the principal accounting policies and the notes to the financial statements. 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:

•  give a true and fair view of the state of the charitable company’s affairs as at 31 March 2021 and of its income and expenditure for the year then ended;

•  have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

•  have been prepared in accordance with the requirements of the Companies Act 2006.

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 charitable company’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.

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Independent auditor’s report 31 March 2021

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the annual report and financial statements, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

•  the information given in the Trustees’ report, which is also the directors’ report for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and

•  the Trustees’ report, which is also the directors’ report for the purposes of company law, has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

•  adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

•  the financial statements are not in agreement with the accounting records and returns; or

•  certain disclosures of Trustees’ remuneration specified by law are not made; or

•  we have not received all the information and explanations we require for our audit; or

•  the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the Trustees’ report and from the requirement to prepare a strategic report.

Dr Edwards & Bishop King’s Fulham Charity

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Independent auditor’s report 31 March 2021

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor’s responsibilities for the audit of the financial statements

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

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

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:

•  the engagement partner ensured that the engagement team collectively has the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;

•  we obtained an understanding of the legal and regulatory frameworks that are applicable to the charitable company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practice Accounting and Reporting by Charities preparing this accounts in accordance with the Financial reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, and the Companies Act 2006) and those that relate to data protection (General Data Protection Regulation) and general employment law.

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

•  making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and

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Independent auditor’s report 31 March 2021

•  considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

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

•  performed analytical procedures to identify any unusual or unexpected relationships; and

•  tested journal entries to identify unusual transactions.

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

•  reading the minutes of meetings of those charged with governance; and

•  enquiring of management as to actual and potential litigation and claims.

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 for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

09 July 2021

Hugh Swainson, Senior Statutory Auditor for and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL

Dr Edwards & Bishop King’s Fulham Charity

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Statement of financial activities Year to 31 March 2021

Notes	Unrestricted funds £	Endowment funds £	2021 Total funds £	Unrestricted funds £	Endowment funds £	2020 Total funds £
Income Donations and legacies Investment income 1 Income from other trading activities . Rent receivable 2 Total income Expenditure Expenditure on charitable activities 3 . Grants to individuals . Grants to local organisations . Percy Barton House and 309 Lillie Road Total expenditure Net expenditure before losses on investments 4 Net gain / (loss) on investments 8 Net expenditure and net movement in funds Reconciliation of funds Balances brought forward at 1 April 2020 Balances carried forward at 31 March 2021	220 372,143 27,000	— — —	220 372,143 27,000	45 470,556 43,574	— — —	45 470,556 43,574
	399,363	—	399,363	514,175	—	514,175
	259,178 164,767 16,550	— — —	259,178 164,767 16,550	236,082 326,108 16,898	— — —	236,082 326,108 16,898
	440,495	—	440,495	579,088	—	579,088
	(41,132) —	— 1,597,287	(41,132) 1,597,287	(64,913) —	— (1,992,144)	(64,913) (1,992,144)
	(41,132)	1,597,287	1,556,155	(64,913)	(1,992,144)	(2,057,057)
	985,730	6,395,023	7,380,753	1,050,643	8,387,167	9,437,810
	944,598	7,992,310	8,936,908	985,730	6,395,023	7,380,753

All of the charitable company’s activities were continuing during the above two financial periods.

All recognised gains and losses are included in the above statement of financial activities.

Dr Edwards & Bishop King’s Fulham Charity

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Balance sheet As at 31 March 2021

Notes Fixed assets Tangible assets 7 Investments 8 Total fixed assets Current assets Debtors 9 Short term deposits Cash at bank and in hand Total current assets Liabilities Creditors: amounts falling due within one year 10 Net current assets Creditors: amounts falling due in more than one year 11 Total net assets The funds of the charity Unrestricted funds . General funds 12 . Designated funds 13 Endowment fund 14 Total charity funds	2021 £ 3,823 252,453 1,165 257,441 62,484 694,535 250,063	2021 £ 250,466 8,492,310 8,742,776 194,957 (825) 8,936,908 944,598 7,992,310 8,936,908	2020 £ 3,406 297,932 1,165 302,503 74,065 726,412 259,318	2020 £
				259,792 6,895,023
				7,154,815 228,438 (2,500)
				7,380,753
				985,730 6,395,023
				7,380,753

Approved by the Board of Trustees, Company Registration Number 05525568 (England and Wales), and signed on its behalf by:

Trustee Michael Clein, Treasurer

Approved by the board on: 7[th] July 2021

Dr Edwards & Bishop King’s Fulham Charity 24

Principal accounting policies 31 March 2021

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.

Basis of preparation

These accounts have been prepared for the year to 31 March 2021.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The accounts have been prepared in accordance with 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 United Kingdom and Republic of Ireland (FRS 102) (Charities SORP FRS 102) issued on 16 July 2014, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the Trustees and management to make significant judgements and estimates.

The items in the accounts where these judgements and estimates have been made include:

•  estimating the liability for multi-year grant commitments; and

•  estimating the useful economic life of tangible fixed assets.

The full impact following the recent emergence of the global coronavirus pandemic is still unknown. It is therefore not currently possible to evaluate all the potential implications for the charity’s activities, beneficiaries, funders, suppliers and the wider economy. Estimates used in the accounts, particularly with respect to the value of listed investments are subject to a greater degree of uncertainty and volatility.

With regard to the next accounting period, the year ending 31 March 2022, the most significant area that affects the carrying value of the assets held by the charity are the level of investment return and the performance of the investment markets (see the investment policy and the risk management sections of the Trustees’ report for more information).

As set out in these accounting policies under “going concern”, below, the Trustees have considered the impact of the pandemic on the charity and have concluded that although there may be some negative consequences, it is appropriate for the charity to continue to prepare its accounts on the going concern basis.

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Principal accounting policies 31 March 2021

Assessment of going concern

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect to a period of one year from the date of approval of these accounts.

The Trustees of the charity have concluded that there are no material uncertainties that may cast significant doubt on the ability of the charity to continue as a going concern. This is on the basis that the value of assets held by the charity are very materially in excess of the liabilities of the charity and the level of commitments in respect of grants approved for projects payable in future years. The Trustees are therefore of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due.

Income recognition

Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.

Income comprises donations, investment income and rental income.

Donations are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

Rental income is usually recognised in the period to which the income relates. Where income is received in arrears this is accrued if it is probable that the income will be received.

Expenditure recognition and basis of allocating costs

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment 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.

All expenditure is accounted for on an accruals basis. Expenditure comprises direct costs and support costs. All expenses, including support costs, are allocated or apportioned to the applicable expenditure headings.

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Principal accounting policies 31 March 2021

Expenditure recognition and basis of allocating costs (continued)

Charitable activities comprise grants payable to people on low incomes for essential items of daily living; grants and donations to local organisations whose work meets the Charity’s criteria of helping people in need; and the costs associated with providing a meeting place for local organisations at Percy Barton House. The cost of administering the grant programme and other indirect charitable expenditure is also included under this heading, apportioned across the three activities of the Charity. The basis of apportioning support costs is as follows:

•  Premises costs are apportioned according to the floor area occupied by each activity.

•  Staff costs are apportioned according to estimated time spent by support staff on each activity.

•  Other support costs are apportioned according to estimated time spent by all staff on each activity.

The percentages used are:

	Premises 2020 and 2021 %	Staff support costs	Staff support costs	Other support costs	Other support costs
		2021 %	2020 %	2021 %	2020 %
Grants to individuals Grants to organisations Percy Barton House 309 Lillie Road	23.0 23.0 54.0	60.0 30.0 10.0	60.0 30.0 10.0	68.4 23.7 7.9	67.3 24.5 8.2
	100.0	100.0	100.0	100.0	100.0

Grants, donations and pensions payable are included in the statement of financial activities when approved and when the intended recipient has either received the funds or been informed of the decision to make the payment and has satisfied all related conditions. Grants and donations approved but not paid at the end of the financial year are accrued.

Tangible fixed assets

All assets costing more than £5,000 and with an expected useful life exceeding one year are capitalised.

Freehold property

Freehold properties used for the direct charitable work of the Charity are included in these financial statements at cost at the date of acquisition together with the cost of additions and improvements to date.

Freehold properties are depreciated at a rate of 2% per annum on a straight line basis in order to write the buildings off over their estimated useful economic life to the Charity. No depreciation is provided on freehold land.

Other tangible fixed assets

Other tangible fixed assets are capitalised and depreciated at the following annual rates in order to write them off over their estimated useful lives:

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Principal accounting policies 31 March 2021

Tangible fixed assets (continued)

•  Furniture and equipment 15% per annum based on written down value  Computer equipment 25% per annum based on written down value

Fixed asset investments

Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.

The charity does not acquire put options, derivatives or other complex financial instruments.

Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value, if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than one year have been disclosed as short term deposits.

Creditors and provisions

Creditors and provisions 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. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

Fund structure

The general fund comprises those monies which may be used towards meeting the charitable objectives of the Charity at the discretion of the Trustees.

The designated funds are monies set aside out of general funds and designated for specific purposes by the Trustees.

The endowment fund comprises monies for which the Charity has responsibility in Trustee capacity. Income from the endowment fund can be used for general purposes and is credited directly to unrestricted funds.

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Principal accounting policies 31 March 2021

Pension contributions

Contributions in respect of the charity’s defined contribution pension scheme are charged to the statement of financial activities when they are payable to the scheme. The charity’s contributions are restricted to the contributions disclosed in note 5. There were no outstanding contributions at the year end. The charity has no liability beyond making its contributions and paying across the deductions for the employees’ contributions.

Dr Edwards & Bishop King’s Fulham Charity 29

Notes to the financial statements 31 March 2021

1 Investment income

Investment income
	Unrestricted funds £	Endowment funds £	2021 Total funds £
From endowment fund M & G Charifund From unrestricted fund CAF Gold Account 2021 total funds	372,012	—	372,012
	372,012	—	372,012
	131	—	131
	131	—	131
	372,143	—	372,143
	Unrestricted funds £	Endowment funds £	2020 Total funds £
From endowment fund M & G Charifund From unrestricted fund CAF 90 Day Notice Account CAF Gold Account 2020 total funds	469,199	—	469,199
	469,199	—	469,199
	810 547	— —	810 547
	1,357	—	1,357
	470,556	—	470,556
Rent receivable	Unrestricted funds £	Endowment funds £	2021 Total funds £
2021 total funds	27,000	—	27,000
	Unrestricted funds £	Endowment funds £	2020 Total funds £
2020 total funds	43,574	—	43,574

2 Rent receivable

Dr Edwards & Bishop King’s Fulham Charity 30

Notes to the financial statements 31 March 2021

3 Cost of charitable activities

Cost of charitable activities
	Grant making £	Direct costs £	Support costs £	2021 un-restricted and total funds £
Grants to individuals Grants to local organisations Percy Barton House and 309 Lillie Road	199,623 141,424 —	13,214 — 341	46,341 23,343 16,209	259,178 164,767 16,550
	341,047	13,555	85,893	440,495

Grants to individuals Grants to local organisations Percy Barton House and 309 Lillie Road	Grant making £	Direct costs £	Support costs £	2020 un-restricted and total funds £
	176,472 301,835 —	11,491 — 341	48,119 24,273 16,557	236,082 326,108 16,898
	478,307	11,832	88,949	579,088

A detailed list of the grants payable to institutions is given in the appendix to these financial statements.

Dr Edwards & Bishop King’s Fulham Charity 31

Notes to the financial statements 31 March 2021

3 Cost of charitable activities (continued)

Support costs breakdown	Grants to individuals £	Grants to local organisations £	Percy Barton House and 309 Lillie Road £	2021 Total £	Basis of allocation
Premises Staff costs Other support costs: Printing, stationery and postage Telephone Insurance Bank charges Subscriptions, seminar fees and sundries Website and publicity Legal fees, payroll and computer consultancy Bookkeeping fees Copier, computer and other software costs Auditor’s remuneration	4,183 29,695 106 828 729 66 501 1,003 531 1,593 332 6,774	4,183 14,847 37 287 252 23 173 347 184 551 115 2,344	9,821 4,949 12 95 84 9 58 116 61 184 38 782	18,187 49,491 155 1,210 1,065 98 732 1,466 776 2,328 485 9,900	1 2 3
	46,341	23,343	16,208	85,893

Support costs breakdown	Grants to individuals £	Grants to local organisations £	Percy Barton House and 309 Lillie Road £	2020 Total £	Basis of allocation
Premises Staff costs Other support costs: Printing, stationery and postage Telephone Insurance Bank charges Subscriptions, seminar fees and sundries Website and publicity Legal fees, payroll and computer consultancy Bookkeeping fees Copier, computer and other software costs Auditor’s remuneration	4,203 30,062 445 807 698 92 292 1,268 876 1,822 281 7,273	4,203 15,031 162 293 254 34 106 461 319 663 102 2,645	9,866 5,011 54 98 85 11 35 154 106 221 34 882	18,272 50,104 661 1,198 1,037 137 433 1,883 1,301 2,706 417 10,800	1 2 3
	48,119	24,273	16,557	88,949

Dr Edwards & Bishop King’s Fulham Charity

32

Notes to the financial statements 31 March 2021

3 Cost of charitable activities (continued)

Basis for support costs allocation

1. Premises costs are allocated according to floor area used for each activity.

2. Support staff costs are allocated on the basis of estimated time spent on operational activities by those staff members.

3. Other support costs are allocated on the basis of estimated time spent on operational activities by all staff, including those attributed to direct costs.

4 Net expenditure before losses on investments

Net expenditure before losses on investments
This is stated after charging:	Total 2021 £	Total 2020 £
Employees' remuneration (note 5) Auditor’s remuneration . Audit fees . Other services Depreciation	62,705 4,950 4,950 9,326	61,595 5,400 5,400 9,339

5 Employees' and remuneration of Trustees and key management personnel

	2021 £	2020 £
Staff costs during the year were as follows: Wages and salaries Social security costs Other pension costs	59,227 1,353 2,125	57,410 2,146 2,039
	62,705	61,595

No employee earned £60,000 per annum or more during the year (2020 – none).

The average number of employees during the year, calculated on an average headcount basis was 3 (2020 – 3).

The key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis comprise the Trustees and the Executive Director. The total remuneration (including taxable benefits and employer’s national insurance and pension contributions) of the key management personnel for the year was £46,212 (2020 – £47,234).

No Trustees received any remuneration for their services (2020 – none). No Trustee was reimbursed for any expenses incurred whilst acting as a Trustee (2020 – none).

Dr Edwards & Bishop King’s Fulham Charity 33

Notes to the financial statements 31 March 2021

6 Taxation

Dr Edwards & Bishop King’s Fulham Charity is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

7 Tangible fixed assets

Tangible fixed assets
	Freehold property £	Furniture and equipment £	Computer equipment £	Total £
Cost At 1 April 2020 and 31 March 2021 Depreciation At 1 April 2020 Charge for year At 31 March 2021 Net book values At 31 March 2021 At 31 March 2020	508,372	9,632	604	518,608
	249,054 9,255	9,158 71	604 —	258,816 9,326
	258,309	9,229	604	268,142
	250,063	403	—	250,466
	259,318	474	—	259,792

The freehold properties are used for charitable purposes, either as the offices of the charity or let out to other charities. As permitted under FRS 102, the Charity has opted to adopt a policy of not revaluing its fixed assets. The book value of land and buildings is based on cost. It is likely that there are material differences between the open market values of the Charity’s freehold land and buildings and their book values due to the effects of inflation.

Investments

	2021 £	2020 £ 8,387,167 500,000 (1,992,144) 6,895,023 7,635,233
UK listed investments Market value at 1 April 2020 Additions at cost Net unrealised investment Gain / (loss) Market value at 31 March 2021 Cost of listed investments as at 31 March 2021	6,895,023 — 1,597,287
	8,492,310
	7,635,233

In the current and prior years, all investments were held in the M & G Equities Investment Fund for Charities (Charifund) and are dealt in on a recognised stock exchange.

Dr Edwards & Bishop King’s Fulham Charity 34

Notes to the financial statements 31 March 2021

8 Investments (continued)

The total unrealised gains as at 31 March 2021 constitute movements on revaluation of investments and are as follows:

	2021 £	2020 £
Unrealised gains (losses) included above: On investments Total unrealised gains (losses) at 31 March Reconciliation of movements in unrealised gains Unrealised (losses) gains at 1 April Add: net gains (losses) on revaluation arising in the year Total unrealised gains (losses) at 31 March	857,077	(740,210)
	857,077	(740,210)
	(740,210)	1,251,934
	**1,597,287 **	(1,992,144)
	857,077	(740,210)

9 Debtors

Debtors
	2021 £	2020 £
Prepayments Accrued income	3,563 260	3,406 —
	3,823	3,406

10 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
	2021 £	2020 £
Charitable giving Support, management and administration of the Charity	50,902 11,582	61,456 12,609
	62,484	74,065
Creditors: amounts falling due in more than one year	2021 £	2020 £
Charitable giving	825	2,500
	825	2,500
Unrestricted funds – General funds	2021 £	2020 £
At 1 April 2020 Net expenditure before gains / (losses) on investments Movement in respect of freehold property fund (note 13) At 31 March 2021	726,412 (41,132) 9,255	782,070 (64,913) 9,255
	694,536	726,412

11 Creditors: amounts falling due in more than one year

12 Unrestricted funds – General funds

Dr Edwards & Bishop King’s Fulham Charity 35

Notes to the financial statements 31 March 2021

13 Unrestricted funds – Designated funds: Freehold property fund

	2021 £	2020 £
At 1 April 2020 Gains, losses and transfers At 31 March 2021	259,318 (9,255)	268,573 (9,255)
	250,063	259,318

The freehold property fund represents the net book value of the charity’s freehold property. A decision was made to separate this fund from the general fund of the charity in recognition of the fact that the freehold property is essential to the day-to-day work of the charity and as such its value should not be regarded as funds that would be realisable with ease, in order to meet future contingencies.

14 Endowment fund

From 6 November 2006, the (original) Charity, Dr Edwards’ And Bishop King’s Fulham Charity (247630) became known as Dr Edwards & Bishop King’s Fulham Endowment Fund (247630).

This meant that the two Charities were united for accounting purposes and the original Charity (247630) became a subsidiary of the main, incorporated Charity, Dr Edwards & Bishop King’s Fulham Charity (1113490).

Dr Edwards & Bishop King’s Fulham Endowment Fund (247630) acts as an entity to protect the endowment. The investment income is to be paid into a bank account pertaining to the Endowment Fund and transferred as required to the Company’s account to pay grants and other expenditure concerning the Incorporated Charity’s (1113490) activities.

Those activities are as set out in the in the memorandum and Articles of the Charity. Broadly speaking they are the relief of poverty, hardship and distress within the area formerly known as the Metropolitan Borough of Fulham.

	2021 £	2020 £
At 1 April 2020 Gains, losses and transfers At 31 March 2021	6,395,023 1,597,287	8,387,167 (1,992,144)
	7,992,310	6,395,023

Further detail of the charity’s endowment can be found within the “History and Constitution” section of the trustees’ report (page 7).

Dr Edwards & Bishop King’s Fulham Charity 36

Notes to the financial statements 31 March 2021

15 Analysis of net assets between funds

	General funds £	Designated funds £	Endowment fund £	2021 Total funds £
Fund balances at 31 March 2021 are represented by: Tangible fixed assets Investments Net current assets Non-current liabilities Total net assets	403 500,000 194,957 (825)	250,063 — — —	— 7,992,310 — —	250,466 8,492,310 194,957 (825)
	694,535	250,063	7,992,310	8,936,908
	General funds £	Designated funds £	Endowment fund £	2020 Total funds £
Fund balances at 31 March 2020 are represented by: Tangible fixed assets Investments Net current assets Non-current liabilities Total net assets	475 500,000 228,438 (2,500)	259,317 — — —	— 6,395,023 — —	259,792 6,895,023 228,438 (2,500)
	726,413	259,317	6,395,023	7,380,753

16 Related party transactions

Grants were awarded to the following organisations where Trustees of the Charity have an interest in:

•  United in Hammersmith & Fulham were awarded £5,000 (2020 – £55,000) where Susan O’Neil, Michael Clein and Helen Fagan are all Trustees, although none were involved in the decision making to award this grant.

•  All Saints were awarded £1,000 (2019 – £nil) where Robert Fryer is on the Finance Committee.

Dr Edwards & Bishop King’s Fulham Charity 37

Appendix of grants made 31 March 2021

	2021 £	2020 £
Grants to organisations: (a) Grants Barons Court Project Bishop Creighton House Carers Network Community Education Forum Dance West Feel at Home Community Fuelourfrontline Fulham Citizen Advice Bureau Fulham Cross Academy Fulham Primary School Funpact Glass Door Hammersmith & Fulham Action on Disability Hammersmith & Fulham Family Groups Project Hammersmith & Fulham MIND Headway Leaf Education Lunch Club 4 the Blind Minaret Musiko Musica Outside Edge Theatre Rays Playhouse Ready Tech Go River House Trust Sands End Adventure Project (SEAPIA) Sobus Solidarity Sports St Albans Church St Andrew’s Church St Ethelred’s Church The Doorstep Library Network The Food Bank The Harrow Club The Smile Brigade Turtle Key Arts United Hammersmith & Fulham Charities West London Family Church West London Welcome Woman’s Trust Grants to organisations written back	5,278 — — 4,630 7,000 — 1,000 9,178 2,500 2,380 — — — 5,000 5,000 — 4,810 6,600 5,000 4,486 — — 4,000 — 9,803 — 1,500 4,000 — — 4,696 15,000 2,853 — — 5,000 4,967 5,000 5,373 (500)	— 8,000 2,675 — 4,848 3,620 — 10,000 — — 4,925 10,675 15,000 10,000 — 5,000 4,560 3,000 — — 5,000 4,028 - 5,000 - 10,000 4,000 6,000 10,000 1,000 5,000 15,000 — 8,900 6,000 55,000 — — 5,514 —
	124,554	222,745

Dr Edwards & Bishop King’s Fulham Charity 38

Appendix of grants made 31 March 2021

(b) Summer Schemes Active 360 Paddle Boarding All Saints Community Days Out Fun Days Holiday Playscheme Hammersmith & Fulham Action on Disability London Sports Trust (Previously Active Planet) Sands End Adventure Project (SEAPIA) St Andrew’s Church The Harrow Club The Brunswick Club for Young People (c) Shop and Advice Centre at Percy Barton House Staying First Total one off and summer scheme grants to organisations Grants to individuals: Relief in need (including education/training grants) Total grants to individuals Total to individuals and organisations	— 1,000 — — 4,450 7,420 — — 4,000 —	2,925 — 800 3,000 5,820 6,250 10,700 4,485 2,525 4,335
	16,870	40,840
	—	38,250
	141,424	301,835
	199,623	176,472
	199,623	176,472
	341,047	478,307

Dr Edwards & Bishop King’s Fulham Charity 39

Supplementary notes to the financial statements Year to 31 March 2021

This page does not form part of the statutory financial statements.

	2021 £	2020 £
Freehold property Percy Barton House - cost - accumulated depreciation - net book value 309 Lillie Road - cost - accumulated depreciation - net book value Total net book value Investments Market value M & G Charifund (2021 – 576,763 units; 2020 – 576,763 units) Deposit accounts CafCash CAF Gold Account Investment income From endowment fund M & G Charifund From unrestricted fund CAF 90 Day Notice Account CAF Gold Account Total investment income	311,620 (164,234)	311,620 (158,914)
	147,386	152,706
	196,752 (94,075)	196,752 (90,140)
	102,677	106,612
	250,063	259,318
	8,492,310	6,895,023
	8,492,310	6,895,023
	1,120 252,453	1,120 297,931
	253,573	299,051
	372,012	469,199
	372,012	469,199
	— 131	810 547
	131	1,357
	372,143	470,556

Dr Edwards & Bishop King’s Fulham Charity 40

Supplementary notes to the financial statements Year to 31 March 2021

This page does not form part of the statutory financial statements.

	2021 £		2020 £ 3,839 1,084 136 863 1,431 84 9,255 797 783 18,272 341
Premises support expenses Lighting, heating and services Business rates Water rates Cleaning costs Insurance Depreciation of furniture and equipment Depreciation of buildings Security Repairs and renewals Premises direct expenses Percy Barton House	3,073 1,101 167 619 1,556 71 9,255 1,289 1,056
	18,187
	341 341
			341

Dr Edwards & Bishop King’s Fulham Charity 41