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2021-09-30-accounts

Registered number: 05488354 Charity number: 1115888

THE SOCIAL MOBILITY FOUNDATION FINANCIAL STATEMENTS

YEAR ENDED 30 SEPTEMBER 2021

LUBBOCK FINE LLP Chartered Accountants Paternoster House 65 St Paul's Churchyard London EC4M 8AB

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

CONTENTS

Page
Reference and Administrative Details of the Charitable Company, its Trustees and 1
Advisers
Trustees' Report 2 - 8
Independent Auditors' Report 9 - 12
Statement of Financial Activities 13
Balance Sheet 14
Statement of Cash Flows 15
Notes to the Financial Statements 16 - 35

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY, ITS TRUSTEES AND ADVISERS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Trustees Rt Hon Alan Milburn, Chairman
Namrata Patel
Ann Doherty
Lee Cain
Fiona Dawson
Lord Stuart Rose
Dr Bandhana Rawal
Heider Ridha
Ben Rodham
Ruth Owen
Company registered
number
05488354
Charity registered
number
1115888
Registered office
The Timber Yard
17 Drysdale Street
London
N1 6ND
Chief Executive
Sarah Atkinson
Independent auditors
Lubbock Fine LLP
Chartered Accountants & Statutory Auditors
Paternoster House
65 St Paul's Churchyard
London
EC4M 8AB
Bankers
Coutts & Co
440 Strand
London
WC2R 0QS
Legal Advisors
Baker & McKenzie
100 New Bridge Street
London
EC4V 6JA

Page 1

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The Trustees (who are also directors of the Charity for the purposes of the Companies Act) present their annual report together with the audited financial statements of The Social Mobility Foundation (the Charity) for the year ending 30 September 2021. The annual report serves the purpose of both a Trustees’ report and a directors report under company law.The Trustees confirm that the Annual Report and financial statements of the Charity comply with the current statutory requirements, the requirements of the Charity's governing document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

Since the Charity qualifies as small under section 383, the strategic report required of medium and large companies under The Companies Act 2006 (Strategic Report and Director's Report) Regulations 2013 is not required.

ACTIVITIES AND KEY ACHIEVEMENTS

Despite the challenging context for charities of the last year The Social Mobility Foundation ("SMF) has continued to grow and develop, demonstrating the continued relevance of our work and the difference we make.

The young people we exist to support were already, before the pandemic, less likely to achieve educational and career success than their better-off peers. Evidence is piling up that the effects of the pandemic on those young people are profound and long-lasting, compounded by the rising cost of living. More young people are living in poverty, and the attainment gap between them and their better-off peers is growing. Our students have experienced three years of disrupted education, and we can see clearly the negative effects on their access to opportunities and their confidence and resilience.

However, the SMF has been able to understand and respond to the developing needs and concerns of our beneficiaries, and continuing to adapt our programme and other activities accordingly. We have continued to support thousands of young people directly on our programmes, influenced employers and policymakers to put socioeconomic diversity on the agenda as part of the economic recovery, and strengthened our advocacy and campaigns work to amplify the voices and experiences of young people and mobilise support for social mobility.

As we look ahead, the Trustees are committed to building on these successes and keep increasing the impact of our three strategic interventions: our student programmes, our work influencing employers and our campaigns for systemic change. Trustees are also keen to ensure the sustainable growth of the charity, supporting the wellbeing and development of our skilled staff and investing in our operational infrastructure including a new website and IT systems.

Aspiring Professionals Programme (APP)

Our five year student programme, the Aspiring Professionals Programme, continues to grow in scale and impact. Students apply to join the programme aged 16/17 and depending on their home location and career aspirations, are admitted to one of three strands:

APP City - For students living in and near Birmingham, Cardiff, Glasgow, Leeds, Liverpool, London, Manchester, and Newcastle.

APP Residential - For students anywhere in the UK outside London, offering insight into a specific sector with a top employer - in 20/21 including Arup, Akin Gump, BP, Clifford Chance, Freshfields, Herbert Smith Freehills, J.P. Morgan, KPMG, Linklaters, PA Consulting, and White & Case.

APP Reach - For young people across the UK outside our target cities, especially in social mobility ‘cold spots’.

Page 2

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The programme is designed around our competency framework, Building My Future, which is based on the Gatsby Benchmarks for career development set out in 2013 and has been developed and refreshed over the last 9 years in line with emerging research and good practice. Students on the programme are offered:

We enrolled 2,101 students from 664 schools and colleges on our 2021 programme (a 3.5% increase on 2020) across 11 career sectors: accountancy, architecture, banking & finance, biology & chemistry, business, digital, engineering & physics, law, media & communications, medicine and politics. We are embedding information about sustainability across the programme, with a sustainability careers focus within each sector and a series of events to engage and inspire students, which in 2021 included a lecture by former US Vice President Al Gore.

With the continuation of Covid-19 restrictions the 2021 programme has been delivered entirely online. New activity for 2021 included Breaking Barriers, an event series for white working class boys based on evidence that this group would benefit from a space to discuss negative perceptions and positive role models; tailored university insight webinars delivered in partnership with the Universities of Cambridge, Durham and Oxford to respond to the lack of tailored university online content for first generation students; a webinar on mental health and resilience ahead of summer assessment results in partnership with Minds Ahead, responding to student need across the cohort; and the creation of our Black Students Advisory Group, building on our existing series for students of Black heritage.

Our increased confidence and capability in delivering effective programme content online in partnership with employers meant that we were able to increase the number of internships and work experience placements we offered to students in 2021, including an innovative online medicine work experience programme funded by Health Education England. In total we offered 1,037 virtual internships to sixth form students in 2021, with 78 partner employers.

We have also continued to grow our undergraduate support including paid internships and tailored support for graduate pipeline applications. We were delighted to be chosen to partner with the Houses of Parliament Restoration and Renewal Programme, with 6 SMF students securing 12 month paid internships in the first cohort. We secured a total of 180 paid internships for SMF undergraduate students in 2021, plus places for 52 undergraduate medicine students on Transitions to Medicine and 72 undergraduate law students on the Government Legal Department Diversity Summer School.

Mentoring continues to be a significant part of the APP programme, with all students supported by a volunteer mentor during their first year of the programme, and a further mentoring offer for undergraduate students seeking employment. 2,106 volunteers mentored a school-age student in 2021, and 383 volunteers supported an undergraduate student. We hosted virtual mentor-mentee meet-ups again through 2021 with 745 mentoring pairs attending at least one session.

In 2021 we moved to a new e-mentoring platform, MentorNet, with improved data security and functionality, and this has had excellent feedback from volunteer mentors as well as delivering efficiencies for us in managing the process.

In 2022 we are developing a blended programme of virtual and face to face delivery: online for programme launches, information events and masterclasses, and undergraduate events; face to face where possible for university visits, workshops, and work placements. We are working with some partners to develop new virtual and blended work placements so that we can increase opportunities for students outside our city hubs, and explore the use of virtual collaboration tools, and we are strengthening the emphasis on face to face opportunities to build confidence and networking skills, including for the 2019 and 2020 cohorts who experienced

Page 3

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

so much disruption. We will also scope new content to support students considering graduate apprenticeships, as well as shaping an offer for young people in their early careers.

Programme outcomes and impact

The goals and outcomes for the APP are to:

In 2021:

Social Mobility Employer Index

The Social Mobility Employer Index launched in 2017. The Index benchmarks employers on the actions they are already taking to improve social mobility and encourages them to take further action to ensure they are open to accessing and progressing talent from all backgrounds. The Index encourages firms to share their initiatives and progress in becoming more inclusive employers and provides organisations with a comprehensive feedback report to inform their social mobility strategy.

Each year we publish a list of the top 75 employers and an insights report to share key data, trends and case studies across all aspects of employer-led social mobility. We draw on the insights from the Index to develop and improve our student programme and to inform our advocacy and campaigns through the Department for Opportunities.

Index outcomes and impact

In 2021 203 employers from 18 sectors, collectively employing 1.35 million people, entered the Index – a 70% increase on 2020. This included 93 employers entering for the first time. The 2021 Index launch saw our highest ever levels of media coverage and engagement including interviews on BBC Radio 4 Today and Sky News.

The Social Mobility Employer Index continues to be the leading authority on employer-led social mobility, regularly cited by the media, policy makers and academic researchers as a source of data, insight and case studies. Benchmarks and insights from the Index have been used by the Social Mobility Commission in developing their employer toolkits, and by the Government-commissioned City of London taskforce on socioeconomic diversity in financial services.

Page 4

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Returning organisations are more likely to demonstrate progress on social mobility. In 2021, employers who had submitted previously were 4 times more likely to be collecting 3 or more socioeconomic background data points, demonstrating the role the Index plays in driving change.

In 2022 we are asking Index participants to make a contribution towards our costs for managing and developing the Index, and will be further developing the Index benchmark and individual feedback reports to ensure they keep abreast of best practice and emerging issues. We will also be scoping the development of new tools and resources to help mobilise employer action on social mobility.

The Department for Opportunities

The Department for Opportunities (DO) is SMF’s campaign and advocacy arm; we aim to influence and inform decision-makers to drive systemic change, amplify the views and voices of young people and connect them with those who can drive change, and raise awareness of the problems and negative consequences of low-levels of social mobility to build our advocacy base and drive change.

DO outcomes and impact

We launched our flagship research project, Unheard Voices, in 2021. Unheard Voices seeks to amplify the stories and views of young people to engage, inform and assist those in power to create a more equal society; we published the findings of a major survey of over 2,000 young people including 1,000 from low-income backgrounds, along with a Youth Manifesto setting out ambitions and policy asks.

In the summer we once again supported young people wishing to appeal their assessment grades with guidance and template letters, and submitted a number of consultation responses to the Department for Education and Ofqual in England; two of our recommendations were implemented, that young people opting to take autumn exams should not be treated as resitting and should not have to pay, and Ofqual is now directly engaging with our students on the wording of their information.

In October 2021 we ran our biggest campaign yet, ‘Class Polish’, raising awareness of the existence of the class pay gap and calling on employers to take action. Working in partnership with creative agencies Creature, W Communications and Wavemaker and with advice from Professor Sam Friedman of the LSE, we created a campaign film, featuring comedian Fern Brady, which was shown in cinemas across the UK and on social media, and adverts which ran in the Guardian and City AM. The overall campaign reach was 1.1 million people with extensive print and broadcast media coverage and social media engagement.

We have also taken other opportunities to amplify the voice and influence of disadvantaged young people, securing media opportunities including live interviews on Channel 4, BBC and Sky News and contributing to youth consultations and round table discussions including with the Labour shadow Education team, the Times Education Commission and the Lord Mayor of London.

Plans for 2022 include continuing and developing our Unheard Voices project and running a second campaign on class pay.

Structure Governance and Management

The SMF is a company limited by guarantee. In the event of a winding up the members' liability is restricted to contributing an amount not exceeding £10 each.

The Company was incorporated on 22 June 2005; the governing document is the Memorandum and Articles of Association, as amended by special resolutions dated 16 July 2006, 8 November 2006 and 30 April 2020. The Company was registered as a charity in England & Wales on 22 August 2006.

The Charity is administered by the board of Trustees, who are also directors of the Charitable Company and are listed on page 1. The board meets 5 times a year to ensure the proper administration of the Charity and application of its resources.

Page 5

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The day-to-day management of the Charity is delegated by the Trustees to the Chief Executive who reports to the Trustees on a regular basis.

Trustees are appointed only by resolutions passed by existing Trustees to co-opt new Trustees. This is carried out in accordance with clauses 3.9 and 4.5 of the Articles. Trustees are appointed for 2 terms of three years, with a third term of three years possible under exceptional circumstances.

The training needs of each Trustee are assessed on an individual basis and access to training is offered where necessary. On appointment each new Trustee is given the opportunity to meet with the staff of the Charity and is provided with a copy of the Charity Commission’s Essential Trustee guidance, the charity’s governing document, latest accounts and recent board papers and minutes.

The Trustees serving during the year and to the date of this report are as follows:

Rt Hon Alan Milburn (Chairman) Rt Hon Hazel Blears (retired 31 December 2020) Lee Cain (appointed 5 May 2021) Ann Doherty Sir Terry Leahy (retired 31 December 2020) Theresa Loar (retired 31 December 2021) Fraser Nelson (retired 31 December 2020) Nami Patel (appointed 17 February 2021) Dr Bina Rawal Heider Ridha Ben Rodham Lord Stuart Rose (appointed 17 February 2021) Fiona Dawson (appointed 17 February 2021) Ruth Owen (appointed 23 February 2022)

Risk Assessment

The Trustees will continue to monitor and review the risk assessment process on an ongoing basis. In the opinion of the Trustees there are adequate internal controls in place to cover any significant risks to the Foundation.

Charitable Objects, Vision and Objectives

The Social Mobility Foundation is a Charity, registered in 2006, to advance the life chances of bright but financially disadvantaged young people.

Our vision is that young people across the UK should be able to achieve their potential regardless of their socioeconomic background, benefiting them and making our economy and society stronger. Our mission is to support and champion young people from low socio-economic backgrounds, breaking down the barriers that prevent them achieving their potential and mobilising others to take positive action on social mobility.

The SMF advances its charitable objectives through:

Page 6

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The eligibility criteria for our student programme are:

In shaping our objectives for the year and planning our activities, the Trustees have considered the Charity Commission’s guidance on public benefit, including the guidance ‘public benefit: running a charity (PB2)’.

Reserves policy and going concern

The Trustees are pleased to report that total funds at 30 September 2021 amount to £1,744,731 (2020: £1,034,573) of which unrestricted reserves amount to £1,313,077 (2020: £485,807) and restricted funds amount to £431,654 (2020: £548,766). Over the period of the pandemic, the strong income performance combined with the temporary reduction in expenditure from the suspension of travel and face-to-face events means that the SMF has increased both its restricted and unrestricted reserves.

The Trustees aim to maintain a level of unrestricted reserves sufficient to cover 6 months running costs for the charity - at the current operating budget this is approximately £900,000.

The Trustees have designated unrestricted reserve funds for the following priorities over the next 1-2 years:

The Trustees are confident that the Charity will be able to continue its operations beyond the next 12 months given a healthy level of free reserves and a number of income sources secured or in the pipeline for future years.

Financial Review

The balance sheet remains strong at the 30 September 2021 with total funds of £1,744,731 (2020 - £1,034,573) and cash at bank of £1,725,699 (2020 - £1,178,286).

TRUSTEES' RESPONSIBILITIES STATEMENT

The Trustees (who are also directors of the Social Mobility Foundation for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Page 7

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company's transactions and 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.

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

DISCLOSURE OF INFORMATION TO AUDITORS

Each of the persons who are Trustees at the time when this Trustees' Report is approved has confirmed that:

The auditors, Lubbock Fine, have indicated their willingness to accept re-appointment under section 487(2) of the Companies Act 2006 and a resolution to reappoint them will be proposed at the Annual General Meeting.

In preparing this report, the Trustees have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

Approved by order of the members of the board of Trustees and signed on their behalf by:

Rt Hon Alan Milburn, Chairman Trustee

Date: 24 June 2022

Page 8

THE SOCIAL MOBILITY FOUNDATION (A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SOCIAL MOBILITY FOUNDATION

FOR THE YEAR ENDED 30 SEPTEMBER 2021

OPINION

We have audited the financial statements of The Social Mobility Foundation (the 'charitable company') for the year ended 30 September 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law , 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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.

Page 9

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SOCIAL MOBILITY FOUNDATION (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

OTHER INFORMATION

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

We have nothing to report in this regard.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

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

MATTERS ON WHICH WE ARE REQURIED TO REPORT BY EXCEPTION

In the light of our 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 where the Companies Act 2006 requires us to report to you if, in our opinion:

RESPONSIBILITIES OF TRUSTEES

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

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

Page 10

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SOCIAL MOBILITY FOUNDATION (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

AUDITORS' 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 Auditors' 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.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, we considered the following:

We also obtained an understanding of the legal and regulatory framework that the charity operates in, focusing on provisions of those laws and regulations that had direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act, UK Charities Act and Charities SORP 2019.

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 may be fundamental to the charity's ability to operate or to avoid a material penalty. These included health and safety regulations, employment law and environmental regulations.

As a result of these procedures, we considered the particular areas that were susceptible to misstatement due to irregularities, including fraud were in respect of revenue recognition and classification, management override, non-compliance with grant terms and conditions, erroneous or fraudulent staff or student expense claims included in the charity’s records as charitable expenditure and the incorrect allocation of expenditure between restricted funds. Our procedures to respond to risks identified included the following:

Page 11

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF THE SOCIAL MOBILITY FOUNDATION (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

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

A further description of our responsibilities 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 Auditors' Report.

USE OF OUR REPORT

This report is made solely to the Charitable Company's members, 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 Charitable Company's members 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 Charitable Company and its members, as a body, for our audit work, for this report, or for the opinions we have formed.

Lee Facey (Senior Statutory Auditor)

For and on behalf of Lubbock Fine LLP Chartered Accountants & Statutory Auditors Paternoster House 65 St Paul's Churchyard London EC4M 8AB

Date: 24 June 2022

Page 12

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Note
INCOME FROM:
Donations and grants
3
Charitable activities
4
Investments
Other income
6
TOTAL INCOME
EXPENDITURE ON:
Raising funds
7
Charitable activities
8
TOTAL EXPENDITURE
NET MOVEMENT IN FUNDS BEFORE
OTHER RECOGNISED GAINS
RECONCILIATION OF FUNDS:
Total funds brought forward
Net movement in funds
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
2021
£
1,177,546
45,690
159
2,429
1,225,824
9,076
389,478
398,554
827,270
485,807
827,270
1,313,077		 Restricted
funds
2021
£
1,280,001
-
-
-
1,280,001
4,494
1,392,619
1,397,113
(117,112)
548,766
(117,112)
431,654		 Total
funds
2021
£
2,457,547
45,690
159
2,429
2,505,825
13,570
1,782,097
1,795,667
710,158
1,034,573
710,158
1,744,731		 Total
funds
2020
£
2,204,238
-
949
2,335
2,207,522
51,829
1,509,921
1,561,750
645,772
388,801
645,772
1,034,573

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 16 to 35 form part of these financial statements.

Page 13

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee) REGISTERED NUMBER: 05488354

BALANCE SHEET

AS AT 30 SEPTEMBER 2021

Note
FIXED ASSETS
Tangible assets
12
CURRENT ASSETS
Debtors: amounts falling due after more than
one year
13
Debtors: amounts falling due within one year
13
Cash at bank and in hand
Creditors: amounts falling due within one
year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
Creditors: amounts falling due after more
than one year
15
TOTAL NET ASSETS
CHARITY FUNDS
Restricted funds
20
Unrestricted funds
20
TOTAL FUNDS		 8,490
277,893
1,725,699
2,012,082
(272,615)		 2021
£
5,264
1,739,467
1,744,731
-
1,744,731
431,654
1,313,077
1,744,731		 8,490
172,626
1,178,286
1,359,402
(218,564)		 2020
£
7,619
1,140,838
1,148,457
(113,884)
1,034,573
548,766
485,807
1,034,573

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

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

Rt Hon Alan Milburn, Chairman Trustee

Date: 24 June 2022

The notes on pages 16 to 35 form part of these financial statements.

Page 14

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

STATENENT OF CASH FLOWS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Note
CASH FLOWS FROM OPERATING ACTIVITIES
Net cash used in operating activities
22
CASH FLOWS FROM INVESTING ACTIVITIES
Interest from investments
Purchase of tangible fixed assets
NET CASH USED IN INVESTING ACTIVITIES
CHANGE IN CASH AND CASH EQUIVALENTS IN THE YEAR
Cash and cash equivalents at the beginning of the year
CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR
23		 2021
£
549,818
159
(2,564)
(2,405)
547,413
1,178,286
1,725,699		 2020
£
548,250
949
(2,864)
(1,915)
546,335
631,951
1,178,286

The notes on pages 16 to 35 form part of these financial statements

Page 15

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1. ACCOUNTING POLICIES

1.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Social Mobility Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

1.2 Company status

The Charity is a company limited by guarantee incorporated in England and Wales. The members of the Charity are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the Charity.

The registered office address and principal place of business is The Timber Yard, 17 Drysdale Street, London, N1 6ND.

1.3 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charitable Company and which have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charitable Company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.

1.4 Income

All income is recognised once the Charitable Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Donated services and facilities are included at the value to the Charity where this can be quantified and reliably estimated.

Contract income from charitable activities is accounted for when receivable.

Revenue and capital grants are accounted for gross when notification is received and conditions are met. Where the grants specify the time period they relate to, they are recognised as income in that period.

Donation and fundraising income is recognised at the point at which the pledge is made.

1.5 Interest receivable

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

Page 16

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1. ACCOUNTING POLICIES (CONTINUED)

1.6 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

Expenditure is included on an accruals basis and all costs related to each charitable activity have been allocated directly to that activity. When costs cannot be directly attributed to an activity they have been allocated on a basis consistent with the use of resources. The vast majority of support costs comprise office related costs and professional fees.

Costs of raising funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

Charitable activity costs are costs incurred on the Charity's operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.

1.7 Going concern

The Charity's focus and level of operations is dependent on the availability of working capital provided by grants and donations. The Board of Trustees are continuously monitoring the activities carried out by the Charity in order to ensure that sufficient working capital is available to cover the running expenses.

The Board of Trustees have prepared detailed forecasts for the year ended 30 September 2022 and preliminary incoming forecast results for year ended 30 September 2023 which confirm that the Charity is expected to have the resources to continue as a going concern. On this basis, the Trustees considers it appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustment which would result if there were insufficient funds available in respect of the Charity's operations.

1.8 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost less depreciation. The costs of minor additions or those costing below £500 are not capitalised.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Fixtures and fittings - 25.00% per annum straight line
Computer equipment - 33.33% per annum straight line

1.9 Operating leases

Rentals under operating leases are charged to the Statement of Financial Activities incorporating Income and Expenditure Account on a straight line basis over the lease term.

Page 17

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1. ACCOUNTING POLICIES (CONTINUED)

1.10 Taxation

There is no charge to corporation tax due to the nature of the activities carried out by the organisation.

The Charity's expenditure is inclusive of input VAT which cannot be recovered.

1.11 Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date.

Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.

Exchange gains and losses are recognised in the Statement of Financial Activities incorporating Income and Expenditure Account.

1.12 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

1.13 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

1.14 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation.

Trade and other creditors are recognised at the settlement amount after any trade discount received. Accruals are valued based on the estimated amount to be paid.

1.15 Financial instruments

The Charitable Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

Page 18

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1. ACCOUNTING POLICIES (CONTINUED)

1.16 Pensions

The Charitable Company operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charitable Company to the fund in respect of the year.

The pensions expense is allocated between funds in accordance with the wages allocation. The creditor is unrestricted.

2. NET INCOME/(EXPENDITURE)

This is stated after charging:

2021 2020
£ £
Depreciation of tangible fixed assets 4,766 4,851
Auditors remuneration 10,200 10,200
Operating lease expense 45,147 29,058

3. INCOME FROM DONATIONS AND GRANTS

Unrestricted
funds
2021
£
Donations and grants
957,805
Gifts in Kind
219,741
Total 2021
1,177,546
Unrestricted
funds
2020
£
Donations and grants
690,716
Gifts in Kind
263,664
Total 2020
954,380		 Restricted
funds
2021
£
1,280,001
-
1,280,001
Restricted
funds
2020
£
1,249,858
-
1,249,858		 Total
funds
2021
£
2,237,806
219,741
2,457,547
Total
funds
2020
£
1,940,574
263,664
2,204,238

Page 19

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

INCOME FROM DONATIONS AND GRANTS (continued)

Gifts in Kind

Gifts in Kind are split as follows:

Unrestricted
funds
2021
£
Pro bono legal fees
36,596
Marketing
183,145
Total 2021
219,741
Unrestricted
funds
2020
£
Pro bono legal fees
112,624
Use of facilities
25,000
Office space
13,097
Consultancy
18,148
Marketing
94,795
Total 2020
263,664		 Total
funds
2021
£
36,596
183,145
219,741
Total
funds
2020
£
112,624
25,000
13,097
18,148
94,795
263,664

During the year, the Charity also received Gifts in Kind which have not been included within the accounts on the basis that a value could not be reliably estimated.

4. INCOME FROM CHARITABLE ACTIVITIES

Unrestricted Total Total
funds funds funds
2021 2021 2020
£ £ £
Income from charitable activities - Contracts for services 45,690 45,690 -

Page 20

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

5. INVESTMENT INCOME

Investment income

Investment income
6.
OTHER INCOMING RESOURCES

Other income

Other income		 Unrestricted
funds
2021
£
159
Unrestricted
funds
2020
£
949
Unrestricted
funds
2021
£
2,429
Unrestricted
funds
2020
£
2,335		 Total
funds
2021
£
159
Total
funds
2020
£
949
Total
funds
2021
£
2,429
Total
funds
2020
£
2,335

Page 21

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

7. COSTS OF RAISING FUNDS

Costs of raising voluntary income

Unrestricted
funds
2021
£
Staff costs of raising funds - wages and salaries
7,500
Staff costs of raising funds - NI
913
Staff costs of raising funds - pension costs
219
Other costs of raising funds
444
Total 2021
9,076
Unrestricted
funds
2020
£
Staff costs of raising funds - wages and salaries
5,114
Staff costs of raising funds - NI
658
Staff costs of raising funds - pension costs
112
Other costs of raising funds
484
Total 2020
6,368		 Restricted
funds
2021
£
3,983
428
83
-
4,494
Restricted
funds
2020
£
5,605
656
162
39,038
45,461		 Total
funds
2021
£
11,483
1,341
302
444
13,570
Total
funds
2020
£
10,719
1,314
274
39,522
51,829

Page 22

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

8. ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES

Summary by fund type

Unrestricted
funds
2021
£
Student programme
163,083
Employer Index
15,928
Department for Opportunities
210,467
Total 2021
389,478
Unrestricted
funds
2020
£
Student programmes
490,894
Employer Index
31,439
Department for Opportunities
153,703
Total 2020
676,036		 Restricted
funds
2021
£
1,014,308
55,677
322,634
1,392,619
Restricted
funds
2020
£
780,547
2,502
50,836
833,885		 Total
funds
2021
£
1,177,391
71,605
533,101
1,782,097
Total
funds
2020
£
1,271,441
33,941
204,539
1,509,921

9. ANALYSIS OF EXPENDITURE BY ACTIVITIES

Student programmes
Employer Index
Department for Opportunities
Total 2021		 Activities
undertaken
directly
2021
£
1,031,171
66,763
516,865
1,614,799		 Support
costs
2021
£
146,220
4,842
16,236
167,298		 Total
funds
2021
£
1,177,391
71,605
533,101
1,782,097

Page 23

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

9. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

Student programmes
Employer Index
Department for Opportunities
Total 2020		 Activities
undertaken
directly
2020
£
1,000,165
29,501
195,664
1,225,330		 Support
costs
2020
£
271,276
4,440
8,875
284,591		 Total
funds
2020
£
1,271,441
33,941
204,539
1,509,921

ANALYSIS OF SUPPORT COSTS

Staff costs
Depreciation
Other staff costs
Printing, postage and stationery
Premises costs
Travel and subsistence
Miscalleneous
Legal and professional
Loss on disposal of fixed assets
Total 2021		 Student
programmes
2021
£
11,681
4,766
4,663
8,539
48,767
1,040
17,623
48,988
153
146,220		 Employer
Index
2021
£
403
-
166
294
1,682
-
608
1,689
-
4,842		 Department for
Opportunities
2021
£
1,342
-
536
981
5,605
116
2,025
5,631
-
16,236		 Total
funds
2021
£
13,426
4,766
5,365
9,814
56,054
1,156
20,256
56,308
153
167,298

Included within support costs of £167,298 (2020 - £284,591) are Gifts in Kind for legal and professional fees of £36,596 (2020 - £112,624).

Page 24

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

9. ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED)

ANALYSIS OF SUPPORT COSTS (continued)

Student
programmes
2020
Employer
Index
2020
£
£
Staff costs
11,732
309
Depreciation
4,851
-
Other Staff costs
5,734
151
Printing, postage and stationery
6,983
184
Premises costs
61,597
1,621
Travel and subsistence
13,459
-
Miscalleneous
7,452
196
Legal and professional
140,468
1,479
Dilapidations expense
19,000
500
Total 2020
271,276
4,440
10.
AUDITORS' REMUNERATION
Fees payable to the Charitable Company's auditor for the audit of the
Charitable Company's annual accounts		 Department
for
Opportuniti
es
2020
Total
funds
2020
£
£
309
12,350
-
4,851
151
6,036
184
7,351
1,621
64,839
-
13,459
196
7,844
5,914
147,861
500
20,000
8,875
284,591
2021
2020
£
£
10,200
10,200

Page 25

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

11. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs		 2021
£
1,015,648
93,496
32,969
1,142,113		 2020
£
888,077
66,246
29,212
983,535

The average number of persons employed by the Charitable Company during the year was as follows:

2021 2020
No. No.
Average number of employees 37 32

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2021 2020
No. No.
In the band £60,001 - £70,000 - 1
In the band £70,001 - £80,000 1 -

The total employee benefits, including salary, pensions and employer national insurance, of the key management personnel of the Charity was £86,328 (2020 - £80,916).

No trustee received remuneration or benefits in kind during the current year or prior period. No trustees were reimbursed travel expenses.

Page 26

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

12. TANGIBLE FIXED ASSETS

Cost or valuation
At 1 October 2020
Additions
Disposals
At 30 September 2021
Depreciation
At 1 October 2020
Charge for the year
On disposals
At 30 September 2021
Net book value
At 30 September 2021
At 30 September 2020
13.
DEBTORS
Due after more than one year
Other debtors
Due within one year
Other debtors
Prepayments and accrued income		 Fixtures and
fittings
£
7,375
-
(4,674)
2,701
6,002
523
(4,551)
1,974
727
1,373		 Computer
equipment
£
27,662
2,564
(13,752)
16,474
21,416
4,243
(13,722)
11,937
4,537
6,246
2021
£
8,490
2021
£
14
277,879
277,893		 Total
£
35,037
2,564
(18,426)
19,175
27,418
4,766
(18,273)
13,911
5,264
7,619
2020
£
8,490
2020
£
33,795
138,831
172,626

Page 27

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

14. CREDITORS: amounts falling due within one year

Other taxation and social security
Other creditors
Accruals and deferred income		 2021
£
31,089
2,472
239,054
272,615		 2020
£
23,882
-
194,682
218,564

Deferred income relates to grant income which was deferred in line with grant agreements. Brought forward deferred income of £124,944 was released in the year with additional deferred income introduced in the year of £113,884.

15. CREDITORS: amounts falling due after more than one year

2021 2020
£ £
Accruals and deferred income - 113,884

Deferred income relates to grant income which was deferred in line with grant agreements. Brought forward deferred income of £113,884 was released in the year and no additional deferred income was introduced.

16. PENSION COMMITMENTS

The Charity operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charity to the fund and amounted to £32,969 (2020 - £29,212). Contributions totalling £4,941 (2020 - £4,044) were payable to the fund at the balance sheet date and are included in creditors.

17. OPERATING LEASE COMMITMENTS

At 30 September 2021 the Charitable Company had commitments to make future minimum lease payments under non-cancellable operating leases as follows:

Within 1 year
Between 1 and 5 years
Total		 2021
£
31,892
-
31,892		 2020
£
50,484
31,892
82,376

Page 28

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

18. FINANCIAL INSTRUMENTS

Financial assets
Financial assets measured at amortised cost
Financial liabilities
Financial liabilities measured at amortised cost		 2021
£
252,149
2021
£
127,642		 2020
£
179,416
2020
£
69,738

Financial assets measured at amortised cost comprise other debtors and accrued income.

Financial liabilities measured at amortised cost comprise of accruals and other creditors.

19. RELATED PARTY TRANSACTIONS

There were no related party transactions in the year (2020 - none).

Page 29

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

20. STATEMENT OF FUNDS

STATEMENT OF FUNDS - CURRENT YEAR
Unrestricted funds
General funds
Restricted funds
Sofronie Foundation
Health Education England
JP Morgan Chase (2017-21)
Alstom (2020-21)
Credit Suisse (Cardiff)
Readman Foundation Fund (Community
Foundation)
Macquarie Group Foundation
Matthew and Sian Westerman
Generation Foundation
Steve Morgan
The Robertson Trust
BP International
Linklaters
Catalyst for Impact Fund
Cognizant Foundation
Freshfields Bruckhaus Deringer
The Mullany Fund
Merton College
Close Brothers
Total of funds		 Balance at 1
October
2020
£
485,807
-
136,009
201,548
1,004
-
584
-
49,671
161,176
-
(1,226)
-
-
-
-
-
-
-
-
548,766
1,034,573		 Income
£
1,225,824
50,000
224,000
193,064
-
74,423
-
50,000
124,944
250,000
25,000
35,000
15,000
54,132
67,000
53,817
35,606
18,415
3,600
6,000
1,280,001
2,505,825		 Expenditure
£
(398,554)
(50,000)
(258,673)
(196,221)
(1,004)
(74,423)
(584)
(50,000)
(171,283)
(428,321)
(25,027)
(33,961)
(15,000)
(42,018)
-
(2,245)
(20,338)
(18,415)
(3,600)
(6,000)
(1,397,113)
(1,795,667)		 Balance at
30
September
2021
£
1,313,077
-
101,336
198,391
-
-
-
-
3,332
(17,145)
(27)
(187)
-
12,114
67,000
51,572
15,268
-
-
-
431,654
1,744,731

Page 30

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

20. STATEMENT OF FUNDS (CONTINUED) STATEMENT OF FUNDS - PRIOR YEAR

Unrestricted funds
General funds
Restricted funds
Health Education England
JP Morgan Chase (2017-21)
Alstom (2020-21)
Credit Suisse (Cardiff)
Readman Foundation Fund (Community
Foundation)
Macquarie Group Foundation
Matthew and Sian Westerman
Diversity Project Charity
JP Morgan Chase Tech (2020)
Generation Foundation
Steve Morgan
The Robertson Trust
Total of funds		 Balance at
1 October
2019
£
210,547
12,518
78,406
-
13,934
-
-
61,165
12,231
-
-
-
-
178,254
388,801		 Income
£
957,664
255,172
320,000
29,540
70,000
24,280
50,000
125,323
-
69,710
250,000
20,833
35,000
1,249,858
2,207,522		 Expenditure
£
(682,404)
(131,681)
(196,858)
(28,536)
(83,934)
(23,696)
(50,000)
(136,817)
(12,231)
(69,710)
(88,824)
(20,833)
(36,226)
(879,346)
(1,561,750)		 Balance at
30
September
2020
£
485,807
136,009
201,548
1,004
-
584
-
49,671
-
-
161,176
-
(1,226)
548,766
1,034,573

Page 31

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

20. STATEMENT OF FUNDS (CONTINUED)

RESTRICTED FUNDS:

Sofronie Foundation

Funding to support the Social Mobility Foundation's Manchester office.

Health Education England

Funding for the medical Aspiring Professionals Programme.

JP Morgan Chase Foundation (2017-2021)

Funding for the residential Banking/Finance strand for young people and an increase in the organisation's capacity.

Alstom

Funding to open a Liverpool office and mentor professionals.

Credit Suisse

Funding to work with schools, young people and employers in areas of the UK with the lowest social mobility and funding to support the Social Mobility Foundation's Cardiff office.

Readman Foundation Fund (Community Foundation serving Tyne & Wear and Northumberland)

To support the "Guy Readman Rising Starts" on the Aspiring Professionals Programme.

Macquarie Group Foundation

To support SMF's Aspiring Professionals Programme covering 70 participants in Birmingham and 10-15 in London each year.

Matthew and Sian Westerman

Funding the SMF Pathfinder Programme from 2019-2022.

Generation Foundation

To launch the Department for Opportunities to mobilise a coalition of different entities to take action within their spheres of influence to improve social mobility, to widen SMF's core offering to the social and environmental sector and support SMF's core offerings.

Steve Morgan

For support for the Liverpool office, by providing funding towards the salaries of the APP Coordinators in Liverpool.

The Robertson Trust

Funding towards an Aspiring Professionals Programme Coordinator in Glasgow.

BP International

To fund various activities for engineering students on the Aspiring Professionals Programme.

Linklaters

To fund the Making Links initiative, a bespoke 18 month programme to offer students the opportunity to engage with Linklaters.

Catalyst for Impact Fund

To provide financial and non-financial support over a five year period to carry out research into the barriers faced by students in rural areas and fund a six-month internship for an SMF student.

Page 32

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Cognizant Foundation

The aim of the project is to increase SMF's ability to support talented young people from socioeconomically disadvantaged backgrounds aspiring to technology careers, enabling them to build necessary knowledge, confidence and networks, and increasing the opportunities to access technology career pathways.

Freshfields Bruckhaus Deringer

To cover the salary costs of an SMF employee seconded to assist with the administration of the Aspiring Professionals Programme.

The Mullany Fund

To cover the costs associated with the secondment of an SMF employee to assist with the delivery of the Aspiring Professionals Programme.

Merton College

To fund assistance with Merton College's admissions process and promote the college to sixth form students.

Close Brothers

To fund a summer work experience opportunity for 6 SMF students.

21. ANALYSIS OF NET ASSETS BETWEEN FUNDS

ANALYSIS OF NET ASSETS BETWEEN FUNDS - CURRENT YEAR

Unrestricted
funds
2021
£
Tangible fixed assets
5,264
Debtors due after more than one year
8,490
Current assets
1,458,054
Creditors due within one year
(158,731)
Total 2021
1,313,077		 Restricted
funds
2021
£
-
-
545,538
(113,884)
431,654		 Total
funds
2021
£
5,264
8,490
2,003,592
(272,615)
1,744,731

Page 33

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

21.
ANALYSIS OF NET ASSETS BETWEEN FUNDS (CONTINUED)
ANALYSIS OF NET ASSETS BETWEEN FUNDS - PRIOR YEAR
Unrestricted
funds
2020
£
Tangible fixed assets
7,619
Debtors due after more than one year
8,490
Current assets
563,318
Creditors due within one year
(93,620)
Creditors due in more than one year
-
Total 2021
485,807
22.
RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW
ACTIVITIES
Net income for the year (as per Statement of Financial Activities)
Adjustments for:
Depreciation charges
Dividends, interests and rents from investments
Loss on the sale of fixed assets
(Increase) in debtors
(Decrease) in creditors
Net cash provided by operating activities
23.
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash at bank		 Restricted
funds
2020
Total
funds
2020
£
£
-
7,619
-
8,490
787,594
1,350,912
(124,944)
(218,564)
(113,884)
(113,884)
548,766
1,034,573
FROM OPERATING
2021
2020
£
£
710,158
645,772
4,766
4,851
(159)
(949)
153
-
(105,267)
(12,687)
(59,833)
(88,737)
549,818
548,250
2021
2020
£
£
1,725,699
1,178,286		 Restricted
funds
2020
Total
funds
2020
£
£
-
7,619
-
8,490
787,594
1,350,912
(124,944)
(218,564)
(113,884)
(113,884)
548,766
1,034,573
FROM OPERATING
2021
2020
£
£
710,158
645,772
4,766
4,851
(159)
(949)
153
-
(105,267)
(12,687)
(59,833)
(88,737)
549,818
548,250
2021
2020
£
£
1,725,699
1,178,286
4,851
(949)
-
(12,687)
(88,737)
548,250
2020
£
1,178,286

Page 34

THE SOCIAL MOBILITY FOUNDATION

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

24. ANALYSIS OF CHANGES IN NET DEBT
At 1 At 30
October September
2020 Cash flows 2021
£ £ £
Cash at bank and in hand 1,178,286 547,413 1,725,699

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