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← Village Water Limited

2024-12-31-accounts

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

VILLAGE WATER LIMITED

(A company limited by guarantee) Report and Financial Statements for the Year Ended 31 December 2024

Registered charity numbers: 1117377 (England & Wales) and SC044129 (Scotland)

Company number: 05970344

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Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Contents Page
Reference and administrative details 3
Trustees' Report for the year ending 31 December 2024 4
•
Structure, governance, management
•
Vision
•
Principal activities
•
2024 overview
•
Fundraising & grant making statements
•
Events after year end
Statement of Trustees' Responsibilities 9
Statement of Financial Activities 11
Balance Sheet 12
Statement of Cashflows 13
Notes to the Financial Statements 14
Report of the Independent Auditor 24

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Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

Village Water is a charitable company limited by guarantee and a registered charity governed by its Memorandum and Articles of Association.

Company Registration number 05970344. Charity Registration number 1117377(England & Wales) and SC044129 (Scotland).

Principal and Registered Office:

Room C, URC Offices Coleham Head Shrewsbury Shropshire SY3 7BJ Telephone: +44 (0) 1743 241563

Website: www.villagewater.org E-mail: info@villagewater.org

Bankers:

CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

Trustees:

Mrs Louise Cook(retired 25.04.2025) Mr Andrew Picken (Chair) Ms Trina Chakravarti Mr Paul Marston(retired 25.04.2025) Ms Sarah-Jane Docherty Mr Steven Andre Mr Martyn Anwyl Ms Zara Prabhu Mr Drake Peabody (appointed 25.01.2024) Mr Martin Rickard (appointed 18.04.2024)

Independent Auditor:

Shaw Gibbs (Audit) Limited Statutory Auditor Salatin House 19 Cedar Road Sutton Surrey SM2 5DA

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

Trustees' Report for the year ending 31 December 2024

The Trustees of Village Water present their annual report and audited financial statements for the year ended 31 December 2024 and confirm that they comply with the requirements of the Companies Act 2006, the Charities Act 2011, and Accounting and Reporting by Charities: Statement of Recommended Practices applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (Charities SORP (FRS 102)).

Structure, governance, and management

Village Water is a charitable company limited by guarantee incorporated on 18 October 2006 and registered with the Charity Commission on 22 December 2006. The Memorandum and Articles of Association were revised and approved by the Board on 26 July 2024.

The charitable company's Board of Trustees currently comprises eight volunteer members who are responsible for the strategic direction and compliance activities of the charitable company. The Board meets four times a year. Board Management, Strategy, HR, Finance and Risk Committees meet regularly.

Trustees are appointed as required. When considering new Trustees, the Board will carry out a gap analysis before advertising the position on specialist sites. The Board Management Committee will make recommendations on applicants and selection is by interview. Newly appointed Trustees receive induction in Village Water's background, strategic goals, and financial history. Trustees are expected to join one of the sub-committees and given the opportunity to visit the projects in Africa to better understand the work.

The staff team is led by the CEO, to whom the Trustees delegate responsibility for ensuring that the charitable company delivers the services specified and that strategic targets are met. The CEO leads the staff team, overseeing fundraising, monitoring, and finance functions.

Vision: Better health, education and opportunity for everyone, through safe water, sanitation and hygiene, along with additional integrated activities, improving the lives of the people we work with.

Principal activities

Last year, working closely with our dedicated local partners in Zambia and Mozambique, we’ve supported over 115,000 people through safe water, sanitation, and hygiene (WASH) programmes. It’s not just about taps and toilets, it’s improving health, reducing cases of diarrhoea, and unlocking opportunities for families to thrive.

A big part of our approach is working directly with district councils’ partners to develop District Wide Plans (DWPs). These are practical, costed roadmaps that aim to reach everyone in a district with sustainable WASH services. These plans help identify gaps, support local enterprise, strengthen operation and maintenance systems, and build on existing leadership to enhance coordination, transparency, and shared responsibility. Our focus on three districts is to ensure we learn and improve our approach before general scale up and roll out and our goal is to develop systems that local councils can use to independently replicate the DWPs across the country.

We’re not just focusing on infrastructure, although investment in it really matters. Each plan also tackles bigger challenges, like how we manage water resources, adapt to climate change, and make services inclusive and resilient.

These changes directly support UN Sustainable Development Goals such as SDG 3 (Good Health and Well-being), SDG 4 (Quality Education), and SDG 13 (Climate Action), as well as many other of the goals.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

Trustees' Report for the year ending 31 December 2024

Principal activities (continued)

Since 2019, we’ve also been tracking carbon reductions. When people don’t have to boil dirty water over wood fires, it means fewer emissions and less deforestation. Over five years, we’ve helped repair more than 3,600 water points across four provinces, reaching over 1.3 million people with safer water.

Now we’re scaling up. Over the next few years, we’ll stay focused on our three core districts, aiming to help nearly 600,000 people access reliable WASH services. The ambition is big, but with the right partnerships and a clear plan, it’s possible.

Public benefit

Working towards achieving the Sustainable Development Goals' concept 'Leave no-one behind,’ the Trustees confirm that they have complied with the duty in the Charities Act 2011 and consider that the objects of the charitable company, the activities outlined in this report and the charitable company's future plans have a demonstrable benefit to the public.

Risk Management

The Trustees have overall responsibility for ensuring that the charitable company has an appropriate system of controls to identify financial and other risks and to take appropriate measures to manage them. The Finance and Risk Committee carries out on-going reviews of the risk matrix to present to the Board at each quarterly meeting. This sets out organisational and programme risks and actions to mitigate these if appropriate.

2024 Overview:

Throughout the year, we made significant strides in improving water, sanitation, and hygiene (WASH) in the areas we work, reaching over 115,000 people in Zambia and Mozambique combined.

Zambia:

• Hygiene and Sanitation Promotion: Implemented comprehensive campaigns addressing hygiene, sanitation, and COVID-19 mitigation across seven wards reaching 39,291 people.

• Enterprise Development: We supported the creation and growth of local enterprises focused on toilet construction and strengthening the capacity of local water committees and area pump minders. This included providing training, tools, and ongoing support to ensure the effective maintenance of water points. Quality is monitored through quarterly Water Quality Testing (WQT) to ensure water stays safe across the district.

• Villages: Constructed ten new boreholes and established water committees to ensure the longevity and sustainability of these water points.

• Schools and Health Centres: Across the two districts, we improved WASH services by installing two latrine blocks, four handwashing facilities, and improved or installed four solar-powered water systems. We also rolled out centralised MHM support, including girls’ clubs and local pad production in all seven wards.

• District Strengthening: Facilitated coordination and planning meetings at various governmental levels to enhance district wide WASH initiatives.

• Integrated project: Supported our first community solar project reaching seven communities impacting 250 people and providing 32 households with taps near their homes, keyhole gardens that can provide year-round crops and support in efficient agriculture techniques.

• Monitoring: Conducted surveys to assess existing infrastructure, water quality, and access, as well as household health and school attendance.

• Carbon Project Impact: Completed 144 repairs on water points already in the project.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

2024 Overview (continued)

Mozambique:

• Hygiene and Sanitation Promotion: Implemented comprehensive campaigns addressing hygiene, sanitation, and COVID-19 mitigation across an entire ward reaching 49,898 people.

• Enterprises Development: Supporting the training of local area pump minders and provision of toolkits district wide. Increase capacity of local water committees with formalisation training and preventative maintenance training. • Villages: Constructed four new boreholes and established water committees to ensure the longevity and sustainability of these water points.

• School and Health Centres: We installed WASH facilities including two solar water systems and two ablution blocks. We also rolled out centralised MHM support, including girls’ clubs and local pad production ward wide.

• Monitoring: Conducted surveys to assess existing infrastructure, water quality, and access, as well as household health and school attendance.

• Carbon Project Impact: Completed 797 repairs on water points already in the project.

Income

Our income in 2024 was £1,678,172, reflecting a decrease of around £760,000 compared to the previous year, a reduction we had anticipated following the successful completion of a major carbon reduction project. This planned decrease was factored into our strategy, ensuring that we remain on track to achieve our goals by investing in fundraising. We are now well positioned to grow in the coming years. Encouragingly, we continue to attract support from a broad range of funders, both new and long-standing. Income from individuals and statutory sources showed modest year-on-year growth, while income from Trusts and Foundations and Corporate partners saw more significant declines, due to the difficult Trust and Foundation market and the previously mentioned end of project.

Income streams

Individuals (including gift aid)
Community groups
Trusts
Businesses
Statutory
Legacy
Total		 £82,746
£10,428
£377,659
£1,120,150
£54,914
£32,275
£1,678,172

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Trustees’ Report for the year ending 31 December 2024

Key Successes

In 2024, we began an ambitious new project that not only addresses safe water and sanitation, but also delivers wider benefits for the communities we work in. This integrated approach is designed to improve daily life beyond water. It provides water at home, enhances food security through better access to water for small-scale agriculture, supports livelihoods through the sale of agricultural produce, and enables children, especially girls, to spend more time in school rather than collecting water. The project reflects our commitment to holistic and climate-resilient solutions that meet immediate needs while contributing to long-term community development.

Our carbon-funded programme continues to deliver safe water access for 1.3 million people across rural areas in Zambia and Mozambique. This project is currently being renewed for another five-year period.

We also had a strong year in the three focus districts where we work closely with local governments and partners. Thanks to enhanced support and training, area pump minders have reduced both the frequency and duration of breakdowns. Just 7.3% of water points were out of service for over 1 day a month over the past year, a significant improvement from 19% previously. Area pump minders train and support water committees to carry out preventive maintenance, and this locally led approach is proving both effective and sustainable in keeping systems operational.

Together, these achievements highlight the impact of long-term partnerships at district level, and our commitment to reaching everyone with safe, sustainable water, sanitation, and hygiene.

We thank those who make regular gifts, as your support gives us the security to plan ahead. We could not continue to grow our impact without the many generous donations from individuals, community groups, and trusts during the year. We acknowledge, among others too numerous to mention, CO2 Balance, E J Spice Charitable Trust, The Waterloo Foundation, Wilmslow Wells for Africa, Guernsey Overseas Aid and Development Committee (OA&DC), The Peter Stebbings Memorial Charity, and The Clive Richards Foundation.

Expenditure

Expenditure on charitable activities (including governance) was £1,526,460. Unrestricted funds made up 28%(2023: 53%) of our income. We continued to invest heavily in the three districts we are currently working in to ensure long term sustainable WASH services for all. Expenditure on charitable activities in 2024 was 88p (2023: 94p) in every pound.

Fundraising statement

Village Water complies with the regulatory standards for fundraising. We are registered with the Fundraising Regulator and adhere to the Fundraising Promise. We are also signed up to the Fundraising Preference Service to enable individuals to opt out from receiving fundraising communications from us. We received zero requests from this service in 2024.

All our income came from fundraising. In 2024 we spent £133,556 (2023: £104,497) in support costs for our projects.

Our fundraising activities include applications to trusts and foundations, encouraging private donations, and digital appeals. We have a large proportion of income from corporate donors. We employ a small fundraising team which supports all income generating initiatives. Village Water does not use third-party suppliers for any fundraising activities.

Our complaints' policy is publicly available on our website, giving individuals clear means to complain, even anonymously, about something they are unhappy with.

Report and financial statements for the year to 31 December 2024

Page 7

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Trustees' Report for the year ending 31 December 2024

Fundraising statement (continued)

There were no complaints made in 2024 (2023: none). Our safeguarding policy is available on our website. All staff are familiar with the procedures and have signed the organisation's Code of Conduct.

Grant making statement

Village Water works through local partners in Zambia and Mozambique, with whom we have Partnership Agreements which define roles, expectations, and obligations of all parties. Each partner signs a Memorandum of Understanding which details specific activities, timeline and budget.

When we identify new partners to work with in-country we carry out due diligence checks including organisational, governance, policies, and financial processes. Partnerships are reviewed annually.

We monitor project progress and impact using a mobile-to-web system that tracks milestones along the activity timelines. Financial reports are required by an agreed deadline which, once approved, trigger further transfers made in line with the annual budget. Directors meet bi-monthly and team members from each partner, including Village Water, take part in 'hubs' focusing on, but not limited to communications and marketing, safeguarding, finance and stock control, monitoring, and board support. Staff, Trustees and occasionally volunteers visit the projects to support local partners to develop new projects, gather data, marketing materials, and to carry out 'follow the money' finance checks.

Events after the year end

Two trustees stepped down at the April meeting, Paul Marston, who resigned for personal reasons, and Louise Cook, who completed her full 12-year term. We are deeply grateful to both for their commitment over the years. Village Water is stronger thanks to their contributions.

Report and financial statements for the year to 31 December 2024

Page 8

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Trustees' Report for the year ending 31 December 2024

Statement of Trustees' responsibilities

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

Company law requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charitable company as at the balance sheet date and of its incoming resources and application of resources, including income and expenditure, for the financial period. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of Village Water and enable them to ensure that the accounts 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.

Statement as to disclosure to auditors

The Trustees confirm that they have taken all the required steps to acquaint themselves with any relevant audit information, as defined by Section 418 of the Companies Act 2006 and to ensure that Village Water's auditors are aware of that information.

Going concern

The financial statements are drawn up on the going concern basis which assumes Village Water will continue in operational existence for the foreseeable future. The Board has given due consideration to the working capital and cash flow requirements of Village Water. The Board consider Village Water's current and forecast cash resources to be sufficient to cover the working capital requirements of the charitable company for at least 12 months from the date of signing these financial statements.

Auditors

Shaw Gibbs Group are Village Water’s appointed auditors for the financial year January to December 2024, responsible for auditing the annual accounts.

Report and financial statements for the year to 31 December 2024

Page 9

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Trustees' Report for the year ending 31 December 2024

Statement of Trustees' responsibilities

Small company provisions

This report has been prepared in accordance with the Statement of Recommended Practice-Accounting and Reporting by Charities (SORP (FRS 102)) and in accordance with the special provisions of Part VII of the Companies Act 2006 relating to small companies.

Approved by the Board on 7 July 2025 and signed on its behalf by:

Signed by: [Date …………………………………………………………… BE6BC942AB4D435... Prabody

Drake Peabody - Trustee

Report and financial statements for the year to 31 December 2024

Page 10

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Statement of Financial Activities

(incorporating an Income and Expenditure account)

for the year to 31 December 2024

Note
Incoming Resources
Incoming resources from generated Funds:
Donations
2
Investment Income:
Bank and Other Interest
3
Total Incoming Resources
Resources Expended
Charitable Activities Zambia
Charitable Activities Mozambique
Fundraising expenses
Governance
Total resources expended
4
Net income/(expenditure) for the year
before transfers
Transfers between funds
6
Net income/(expenditure) for the year
after transfers
Reserves at 1 January 2024
Reserves at 31 December 2024
Unrestricted
2024
£
Restricted
2024
£
Total
2024
£
Total
2023
£
458,403
1,219,769 1,678,172
2,437,656
10,136
-
10,136
10,234
468,539
1,219,769 1,688,308
2,447,890
101,435
595,923
697,358
1,346,572
110,511
663,615
774,126
1,058,893
133,556
-
133,556
104,497
54,976
-
54,976
48,996
400,478
1,259,538 1,660,016
2,558,958
68,061
(39,769)
28,292 (111,068)
(14,737)
14,737
-
-
53,324
(25,032)
28,292
(111,068)
377,027 65,000
442,027
553,095
430,351 39,968
470,319
442,027

Notes:

All of the above results are derived from continuing activities. All gains and losses in the year are included above.

The notes on pages 14 to 23 form part of the Financial Statements.

Report and financial statements for the year to 31 December 2024

Page 11

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Balance Sheet

(Company no. 05970344)

As at 31 December 2024

Total Funds

Note Note 2024 2023
£ £
Non-current Assets
Property, plant and equipment 10 2,049 1,864
Current Assets
Receivables 11 121,350 6,624
Cash and cash equivalents 12 358,125 441,808
479,475 448,432
Payables:
Amounts falling due within one year		 13 (11,205) (8,269)
Net current assets 468,270 440,163
Net Assets 15 470,319 442,027
Funds
Unrestricted 16 430,351 377,027
Restricted
16 39,968 65,000
470,319 442,027

These financial statements have been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

These financial statements were approved and authorised for issue by the Board on 7 July 2025 and signed on its behalf by:

Signed by: [Dake ………………………………………………………………… BE6BC942AB4D435... Prabody Drake Peabody - Trustee

The notes on pages 14 to 23 form part of the Financial Statements.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Statement of Cashflows

for the year to 31 December 2024

Net cash flows from operating activities
Net income/(expenditure)for the year
Adjustments for items not affecting cash flows:
Depreciation of equipment
Bank interest received
Net operating cash flows before reinvestment
in working capital
(Increase)/decrease in receivables
Increase/(decrease) in payables
Net cash flows from operating activities
Net cash flows from investing activities
Purchase of non-current assets
Bank interest received
Cash generated from investing activities
Decrease in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2024
£
2023
£
28,292
(111,068)
2,085
1,561
(10,136)
(10,234)
20,241
(119,741)
(114,726)
14,647
2,936
(1,833)
(91,549)
(106,927)
(2,270)
(1,604)
10,136
10,234
7,866
8,630
(83,683)
(98,297)
441,808
540,105
358,125
441,808

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024

General information

Village Water is a private charitable company limited by guarantee, incorporated in England and Wales under Companies Act, and registered as a charity in England and Wales (1117377) and Scotland (SC044129).

The charitable company's registered office address is shown on page 3. The nature of the charitable company's operations and its principal activities are set out in the Trustees' Report on pages 4-10.

Village Water meets the definition of a public benefit entity as defined by FRS 102. The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Going Concern

The financial statements are drawn up on the going concern basis which assumes Village Water will continue in operational existence for the foreseeable future. The Board has given due consideration to the working capital and cash flow requirements of Village Water. The Board consider Village Water's current and forecast cash resources to be sufficient to cover the working capital requirements of the charitable company for at least 12 months from the date of signing these financial statements.

Statement of compliance

The financial statements 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 UK and Republic of Ireland - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Basis of preparation

The financial statements have been prepared using the historical cost convention. The functional currency of the charity is considered to be pounds sterling (£) because that is the currency of the primary economic environment in which it operates. The financial statements are presented in pounds sterling (£).

Incoming resources

All incoming resources are included in the statement of financial activities when the charitable company is entitled to the income, it is probable that the income will be received, and the amount can be measured reliably.

Incoming resources from donations represent voluntary income, which is credited in the year in which they are received; and investment income, including bank interest, is credited in the year in which it is received.

Reserves policy

Village Water, in accordance with recommendations from the Charity Commission, aims to maintain an unrestricted reserve that allows for Village Water to protect against future uncertainties and to provide a secure standing.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Reserves policy (Continued)

The Board remains focused on the need to balance the level of reserves in the charity with the effective delivery of the organisation's strategic objectives.

This reserve is to be invested in an interest-bearing account with the potential to release deposits in a timely fashion if required.

Should the organisation face liquidation, all assets would be distributed to another not-for-profit organisation, working in the same sphere of activity as Village Water to be used for charitable purposes. Should any such assets be restricted to a specific funder, any decision regarding disposal would be discussed and agreed with them before action.

Resources expended

Expenditure is included on an accrual's basis inclusive of VAT, which is not recoverable. Expenditure directly attributable to specific activities has been allocated to those activities.

Fund structure

The funds held by the charitable company fall into the following categories:

Unrestricted funds - represents donations and other incoming resources receivable for the object of the charitable company without further specified purpose and are available as general funds.

Restricted funds - represent funds subject to restrictions on their expenditure as imposed by the donor.

Property, plant and equipment

Property, plant and equipment is stated in the balance sheet at cost less subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of property, plant and equipment comprises the purchase price together with all expenses directly incurred in bringing the asset to its location and condition ready for use.

Depreciation is charged by annual instalments estimated to write off their cost less any residual value over the expected useful lives which equate to the following rates:

Furniture & equipment 33% per annum on straight line

Receivables

Receivables are recognised at settlement amount due. Prepayments are valued at the amount prepaid net of any discounts due.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024

Cash and cash equivalents

Cash and cash equivalents comprise cash on hand and bank current account balances and are subject to insignificant risk of change in value.

Payables

Payables are recognised where the charitable company has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Payables are normally recognised at their settlement amount.

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.

Pensions

The charitable company operates a defined contribution pension scheme. Contributions are recognised in the Statement of Financial Activities in the period in which they become payable.

2) Donations

2) Donations
Community
Corporate
Individuals
Statutory
Trusts/
Foundations
Legacy
Gift aid
Total
Donations		 Unrestricted
2024
£
Restricted
2024
£
Total
2024
£
Total
2023
£
7,318
3,110
10,428
10,466
318,221
801,929
1,120,150
1,861,185
67,682
3,356
71,038
62,580
-
54,914
54,914
49,500
21,199
356,460
377,659
431,343
32,275
11,708
-
-
32,275
11,708
10,000
12,582
458,403
1,219,769
1,678,172
2,437,656

£1,144,012 included within the 2023 donations were restricted.

3) Interest income

Unrestricted Restricted Total Unrestricted Restricted Total
2024 2024 2024 2023 2023 2023
£ £ £ £ £ £
Bank interest 10,136 10,136 10,234 10,234
receivable - -

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

4) Analysis of Resources Expended

a) Restricted Resources Expended

Village Water raises donations in the UK to support water, sanitation and hygiene (WASH) activities in Zambia and Mozambique. The monies are remitted to Empowered Communities Helping Others and WATSAN Mozambique, both independent NGOs, who carry out our fieldwork programme.

out our fieldwork programme.
Remittances to Zambia
Supporting partners to deliver water, sanitation &
hygiene
Direct Expenditure in UK on work in Zambia
IT, Equipment and Materials
FCDO (Formerly DFID)
Remittances to Mozambique
Supporting partners to deliver water, sanitation &
hygiene
Direct Expenditure in UK on work in Mozambique
Total Expenditure		 2024
£
2023
£
593,248
1,204,832
593,248
1,204,832
2,675
51,347
2,675
51,347
653,575
971,295
10,040
3,768
1,259,538
2,231,242

b) Unrestricted Resources Expended

The charitable company initially identifies all unrestricted expenditure and then apportions the cost between four major expenditure categories:

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

4)Analysis of Resources Expended (continued)

b) Unrestricted Resources Expended (continued)

The table below outlines unrestricted expenditure, as apportioned between the four expenditure categories.

Year ended
31 December 2024
Salaries
Training
Travel
Volunteers
Work from home
allowance
Events &
fundraising
Office costs
Insurance
IT expenses
Other governance
costs
Audit fees
Depreciation
Bank charges
Year ended
31 December 2023
Salaries
Training
Travel
Volunteers
Work from home
allowance
Events &
fundraising
Office costs
Insurance
IT expenses
Other governance
costs
Audit fees
Depreciation
Bank charges		 Charitable
Activities
Zambia
Charitable
Activities
Mozambique
Fundraising
Expenses
Governance
Total
2024
£
£
£
£
£
92,793
101,550
100,694
41,316
336,353
2,544
2,638
2,827
1,413
9,422
1,416
1,468
1,573
787
5,244
-
-
-
-
-
572
594
636
318
2,120
-
-
23,260
-
23,260
1,503
1,557
1,670
835
5,565
659
684
733
366
2,442
1,385
1,436
1,538
769
5,128
-
-
-
1,260
1,260
-
-
-
7,500
7,500
563
584
625
313
2,085
-
-
-
99
99
101,435
110,511
133,556
54,976
400,478
Charitable
Activities
Zambia
Charitable
Activities
Mozambique
Fundraising
Expenses
Governance
Total
2023
£
£
£
£
£
84,451
77,668
95,361
39,187
296,667
995
1,031
1,105
552
3,683
911
945
1,013
506
3,375
-
-
-
-
-
508
526
564
282
1,880
-
-
2,533
-
2,533
1,324
1,373
1,472
736
4,905
287
298
319
160
1,064
1,496
1,552
1,662
831
5,541
-
-
-
1,520
1,520
-
-
-
4,882
4,882
421
437
468
234
1,560
-
-
-
106
106
90,393
83,830
104,497
48,996
327,716

Salaries, recruitment, training, travel and volunteers' costs are apportioned per capita - i.e., on the number of people employed within an activity.

Events and fundraising, other governance costs, audit fees and bank charges apportionment is based on usage.

Office costs, insurance and IT expenses apportionment is based on floor area occupied by an activity.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

5) Employees and Trustees

The aggregate payroll costs were as follows:
Salaries
Social security costs
Pension costs		 2024
£
2023
£
292,448
258,830
22,950
19,660
20,952
18,177
336,350
296,667

No employee received emoluments above £60,000.

The average number of employees during the year calculated as full-time equivalents was 8 (2023: 7)

The Trustees were not paid any remuneration or received any other benefits from employment with the charitable company in the year (2023: £nil).

Six Trustees were paid expenses totalling £1,330 (2023: £1,053) for travelling to UK Trustees' meetings. No charity Trustee received payment for professional or other services supplied to the charity (2023: £nil).

6) Transfers

In accordance with a standing Board resolution to support expenditure in Africa with unrestricted funds and maintain a positive balance on restricted funds, unrestricted funds of £15,231 (2023: £1,006,493) were transferred to restricted funds.

7) Movement in funds

Net movement in funds is stated after charging:

2024 2023
£ £
Depreciation 2,085 1,560

8) Auditor’s remuneration

) Auditor’s remuneration
Auditor’s remuneration – the audit of charitable
company’ accounts
Auditor’s remuneration – other services		 2024
£
2023
£

5,000
3,000
2,500
1,440
7,500
4,400

9) Taxation and charitable status

The Trust is a charitable company within the definition of Section 467 Corporation Tax Act 2010 and is, therefore, able to take advantage of the exemption given by Section 486 of that Act. Accordingly, there is no Corporation Tax charge in these financial statements.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

10) Non-current assets Furniture & Equipment

Furniture & Equipment
Cost
At 1 January
Additions
At 31 December
Depreciation
At 1 January
Charge in the year
At 31 December
Net book value at 31 December
11) Receivables
Gift Aid Recoverable
Other receivables
Prepayments
12) Cash and cash equivalents
Cash at bank
13) Payables: amounts falling due within one year
Other payables
Accrued expenses		 2024
2023
£
£
7,488
5,884
2,270
1,604
9,758
7,488
5,624
4,063
2,085
1,561
7,709
5,624
2,049
1,864
2024
£
2023
£
493
5,143
120,857
-
-
1,481
121,350
6,624
2024
£
2023
£
358,125
441,808
358,125
441,808
2024
£
2023
£
8,879
8,269
2,326
11,205
8,269

14) Pensions scheme

The charitable company operates a defined contribution pension scheme. The pension cost charge for the period represents contributions payable by the charitable company to the scheme and amounted to £20,952 (2023: £18,177).

Contributions totalling £3,512 (2023: £1,802) were payable to the scheme at the end of the year and are included in other payables.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

15) Analysis of net assets between fund

Year ended 31 December
 Unrestricted Unrestricted
Restricted Total
2024
Funds Zambia
Mozambique
£ £ £ £
Property, plant & 2,049
- - 2,049
equipment
Receivables 121,350
-
 - 121,350
Cash at Bank 348,125
10,000		 - 358,125
Payables (11,205) - - (11,205)
460,319
10,000		 - 470,319
Year ended 31 December Unrestricted Restricted Total
2023
Funds Zambia Mozambique
£ £ £ £
Property, plant & 1,864
- - 1,864
equipment
Receivables 6,624
-
 - 6,624
Cash at Bank 376,808
50,000		 15,000 441,808
Payables (8,269) - - (8,269)
377,027
50,000		 15,000 442,027
16) Movements in funds
At 1 Jan Incoming Outgoing
Transfer		 At 31
2024 Resources Resources
between		 Dec
funds 2024
£ £ £ £ £
Unrestricted
Property, plant & equipment 1,864 2,270 (2,085)
 -
2,049
Receivables 6,624 121,350 (6,624)
 - 121,350
Cash at Bank 376,809 356,124 (400,038) (14,737) 318,158
Payables (8,269) (11,205) 8,269
 -
(11,205)
Total Unrestricted Funds 377,027 468,539 (400,478) (14,737) 430,351
Restricted
Zambia 50,000 585,891 (595,923) - 39,968
Mozambique 15,000 633,878 (663,615) 14,737
-
Total Restricted Funds 65,000 1,219,769 (1,259,538) 14,737 39,968
Total Funds 442,027 1,688,308 (1,660,016) -
470,319
At 1 Jan Incoming Outgoing
Transfer		 At 31
2023 Resources Resources
between		 Dec
funds 2023
£ £ £ £ £
Unrestricted
Property, plant & equipment 1,821 1,604 (1,561)
- 1,864
Receivables 21,271 6,624 (21,271)
- 6,624
Cash at Bank 394,368 1,303,919 (314,986)
(1,006,493)		 376,809
Payables (10,102) (8,269) 10,102
- (8,269)
Total Unrestricted Funds 407,358 1,303,878 (327,716)
(1,006,493)		 377,027
Restricted
Zambia 127,737 664,490 (1,256,179) 513,952 50,000
Mozambique 18,000 479,522 (975,063) 492,541 15,000
Total Restricted Funds 145,737 1,144,012 (2,231,242)
1,006,493		 65,000
Total Funds 553,095 2,447,890 (2,558,958) - 442,027

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

17) Comparatives for Statement of Financial Activities

Note
Incoming Resources
Incoming resources from generated Funds:
Donations
2
Investment Income:
Bank and Other Interest
3
Total Incoming Resources
Resources Expended
Charitable Activities Zambia
Charitable Activities Mozambique
Fundraising expenses
Governance
Total resources expended
4
Net income/(expenditure) for the year before
transfers
Transfers between funds
6
Net income/(expenditure) for the year after
transfers
Reserves at 1 January 2023
Reserves at 31 December 2023		 Unrestricted
2023
£
Restricted
2023
£
Total
2023
£
1,293,644
1,144,012
2,437,656
10,234
-
10,234
1,303,878
1,144,012
2,447,890
90,393
1,256,179
1,346,572
83,830
975,063
1,058,893
104,497
-
104,497
48,996
-
48,996
327,716
2,231,242
2,558,958
976,162
(1,087,230)
(111,068)
(1,006,493)
1,006,493
-
(30,331)
(80,737) (111,068)
407,358
145,737
535,095
377,027
65,000
442,027

18) Lease commitments

Operating Leases

The total of future minimum lease payments is as follows:

Nolater than oneyear Office premises
2024
2023
£
£
-
4,125
-
4,125

19) Company limited by guarantee

The company is a charitable company limited by guarantee and consequently not have share capital. In the event that the charitable company enters into liquidation, each member of the charitable company agrees to contribute an amount not exceeding £1 towards costs of the dissolution, and liabilities of the charitable company.

20) Related party transactions

The charitable company works in partnership with independent local charities Empowered Communities Helping Others (ECHO) in Zambia - WATSAN Mozambique in Mozambique, who share a common purpose. All partners receive funding for their charitable objectives from Village Water and from other donors. During the year, the charitable company remitted £1,246,823 (2023: £2,176,127) to these partners.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Notes to the financial statements for the year to 31 December 2024 (continued)

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Report of the Independent Auditors to the Members and Trustees of Village Water Limited

Opinion on financial statements

We have audited the financial statements of Village Water Limited for the year ended 31 December 2024 which comprise the Statement of Financial Activities (including income and expenditure account), the Balance Sheet, the Statement of Cash Flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland", (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees' (who are also directors of the charitable company for the purpose of the company law) 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 directors with respect to going concern are described in the relevant sections of this report.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Other information

The other information comprises the information included in the Trustee's Report, other than the financial statements and our auditor's report thereon. The Trustees are responsible for the other information. 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 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 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 Directors' Report included within the Trustees' Report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 require us to report to you if, in our opinion:

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Responsibilities of Trustees

As explained more fully in the Statement of Trustees' Responsibilities (set out on page 9), the Trustees, who are Directors for the purpose of the 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.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland)Act 2005 and under the Companies Act 2006 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

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

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

The extent to which the audit was considered capable of detecting irregularities including fraud

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:

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

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

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

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

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 directors and other management and the inspection of regulatory and legal correspondence, if any.

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

A further description of our responsibilities is available on the Financial Reporting Council's website at:

www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Report and financial statements for the year to 31 December 2024

Docusign Envelope ID: 8B2D2385-5FFD-4F24-80F3-BE57E5D09F4D

VILLAGE WATER LIMITED

Report of the Independent Auditors to the Members and Trustees of Village Water Limited

Use of the audit 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, and to the charitable company's Trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members and Trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company, the charitable company's members as a body and the charitable company's Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Ransford Agyei-Boamah

Senior Statutory Auditor

for and on behalf of: Shaw Gibbs (Audit) Limited Statutory Auditors 7 July 2025

Salatin House 19 Cedar Road

Sutton, Surrey SM2 5DA

Report and financial statements for the year to 31 December 2024