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2020-12-31-accounts

Company no. 05965793 Charity no. 1118810

The One Foundation Report and Audited Financial Statements 31 December 2020

The One Foundation

Reference and administrative details

For the year ended 31 December 2020 Company number 05965793 Charity number 1118810 Registered office and Star House operational address Star Hill Rochester Kent ME1 1UX Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Nyika Brain appointed 7 May 2021 Alexander Burnett appointed 7 May 2021 Javeria Gilmore-Khan resigned 1 July 2020 Duncan Goose resigned 7 May 2021 Karina Morawska James Ridgwick appointed 7 May 2021 Christopher Sellers appointed 1 July 2020, resigned 7 May 2021 Kenechukwu Umeasiegbu resigned 1 July 2020 Bankers National Westminster Bank Plc 6 High Street Teddington Middlesex TW11 8EP Auditors Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).

Objectives and activities

Our vision and mission

The One Foundation’s vision is a world in which everyone has access to clean, safe water, forever.

Our mission is to support sustainable water and sanitation services to change lives in some of the world’s poorest communities.

With a focus on four priority countries, Rwanda, Kenya, Ghana and Malawi, we work with partners to deliver lasting change at scale, in both rural and urban environments, varying our approach to meet local needs and focusing on the provision of clean water and sanitation as a sustainable service for all.

We aim to support a balance in our work of 70% systems change, 20% immediate interventions and 10% humanitarian emergencies.

Achievements and performance

2020 has been a year like no other. Countries all around the world have been impacted this year by the coronavirus pandemic (COVID-19), presenting enormous challenges to communities, health systems, schools and businesses.

As the pandemic continues to unfold, WASH remains at the forefront of the global community’s response. Safe water, sanitation, and hygienic conditions are essential to protecting human health during outbreaks of infectious diseases – yet millions of people across Africa, including countries that were already facing humanitarian crises because of conflict, natural disasters or climate change, still lack access to clean water and basic sanitation services.

The One Foundation‘s response has been to continue to prioritise water, sanitation and hygiene in our four priority countries, Rwanda, Kenya, Ghana and Malawi – working closely with our partners on the ground, key WASH funders and leaders in the sector to monitor developments and to better understand how we can maximise our impact to support communities in these unprecedented times. Our vision remains true to collaboratively help create a world in which everyone has access to clean and safe water, forever.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Charitable activities supported in 2020

Kenya People reached: 18,685*

Kenya suffers from a severe water crisis due to multiple causes, including droughts, floods, a lack of water supply management, the contamination of water and population growth.

Access to clean water and improved sanitation is critical to the health of Kenyan families but only 59% of the population currently have access to basic water services and only 29% have access to sanitary services.

To help address these issues, The One Foundation is funding the construction of a new simplified sewer system in Mukuru, Nairobi, which upon completion will provide improved sanitation services for over 3,000* people. We are also building new toilets in low-income settlements that operate a collection service that converts waste into energy and fertiliser.

As well as our work in Nairobi, we are improving water access in Naivasha for over 15,000* people through the expansion of tertiary water networks, the installation of water meters and by strengthening the utilities capacity to efficiently deliver pro-poor water services.

Transforming lives: Eunice’s Story – Naivasha, Kenya

Eunice is a 70-year-old resident of Kihoto, one of the biggest low-income areas in Naivasha, and is known in her community for her energy and charisma.

Eunice and her family have often struggled to access clean water, especially during the COVID-19 pandemic. Thanks to our support, a water system in Naivasha has now been extended, enabling the local utility to reach low-income areas and connect residents like Eunice to the local network.

“Clean, safe drinking water in Kihoto has been a scarce commodity. My husband and I managed to dig-up a shallow well years ago that helped cater for our water needs, but this was not water that we could easily consume. The new connection is very affordable and the fact that I now have water running from a tap every day is more than a relief to me. I only incurred a small connection fee and the water supply has been so consistent since we took up the connection.”

Ghana People reached: 24,972*

Ghana has a growing population of 29 million people and is one of the most urbanised countries in Africa. Almost half of the country now lives in towns and cities, and of these less than one fifth has access to a basic sanitation service.

While poverty in Ghana is in decline, challenges caused by rapid urbanisation are on the rise. One of the most pressing issues is a lack of public toilets and water services in low-income areas, which is having a massive knock-on effect on the population’s health, dignity and economic growth.

* Total projected number of beneficiaries on project completion as reported by our field partners. These numbers can change as we receive new updates from the field.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Through our support in 2020, both public and school toilet blocks are under construction and upon completion will provide improved sanitation to over 6,000* residents and pupils. Water infrastructure is in the process of being upgraded to improve the efficiency of water stations across the Ashanti region of Ghana. We also continue to support the expansion of this kiosk-based water model into a household water supply – whereby over 400 households have already been connected within the first year of this programme and are now receiving water into their homes.

Transforming lives: Martha’s Story – Asikuma, Ghana

Martha is a local entrepreneur who has been operating a restaurant in Asikuma for the past four years. She uses over 2,000 litres of water a day for her restaurant. A new standpipe has transformed her business. Martha is able to increase her profits as she no longer has to pay for others to fetch water for her – and with 24/7 access from the water ATM, water is available anytime she needs it.

To make a water supply even more convenient for her business, Martha has already applied for a direct connection to her restaurant. The installation of a connection with a prepaid meter will help Martha to plan, track and manage her water expenditure.

“I now have water from a standpipe close to my restaurant. I used to pay tricycle vendors to fetch water from a hand dug well located 3 kilometers away but that is all a thing of the past. I have applied for a connection to my restaurant. I cannot wait to open the tap within my yard. What a wonderful experience that will be!”

Malawi

People reached: 167,292*

Malawi is a small, densely populated country in southeastern Africa. With most of Malawi’s population still living below the international poverty line of $1.25 a day, it remains one of the poorest countries in the world and has been challenged over the last decade with severe floods and drought.

As part of our COVID-19 response this year, The One Foundation repaired three solar water systems in three health centres in Thyolo – helping to keep over 66,000 people in and around the health centres safe from the virus. We also provided handwashing promotion and COVID-19 prevention messaging to over 126,000 people in the local area.

Through our rural work, 15 new water points are under construction and over 300 broken water points have been repaired.

In urban regions, we continue to support Everyone Forever in the district of Kasinthula – a coordinated approach that is funding the drilling of a new system that will allow water to be piped into multiple communities.

Transforming lives: Ethel’s Story – Malawi

Khonjeni Health Centre is one of three health facilities where we have rehabilitated broken water systems. The facility provides primary health care services to over 10,000* people from the surrounding communities.

* Total projected number of beneficiaries on project completion as reported by our field partners. These numbers can change as we receive new updates from the field.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

The water system at Khonjeni Health Centre had previously not been working for over two years, and so the centre had to rely on a community borehole that could only pump 200 litres (approximately 10 buckets) of water at a time before running dry. With the facility’s day-to-day operations constrained, staff and patients had no choice but to fetch water from unprotected sources. Ethel, a junior nurse at the centre, explains how the lack of adequate WASH facilities made her work as a nurse difficult:

“Each time I finished serving a patient, I needed to wash my hands properly with soap and clean treated water, but most of the time I failed because there was no water available at the facility. The water supply system and the handwashing sink taps were broken. As a result, my life was put at a high risk of contracting the coronavirus. The rehabilitation of the water supply system and handwashing facilities has improved our ability as frontline workers to take all of the necessary measures to prevent the spread of COVID-19 and other infections onsite at the facility."

Rwanda People reached: 2,436*

Following a brutal civil war 27 years ago, Rwanda has made astounding progress. Almost three in five people now have clean water and two thirds of the population have access to a toilet, however the remote and harder to reach areas still lack access to basic services.

Over the last five years in Rwanda, The One Foundation has been supporting Everyone Forever – a life-changing programme that is working with key stakeholders such as local government, communities and utility companies to deliver piped water into the districts of Rulindo, Kicukiro, Gicumbi and Karongi.

Through our support to this wider programme in 2020, 95 communities, 18 schools and 6 clinics in Gicumbi will be served through the installation and rehabilitation of piped water systems and improved sanitation. The district of Rulindo is also aiming to achieve the ‘Everyone’ Milestone at a community level, whereby all 494 communities will be reached with a reliable water service.

In response to the pandemic, PPE and handwashing materials were distributed to district COVID-19 response teams. Handwashing facilities at three health centres were also constructed to prevent the spread of COVID-19, benefitting an estimated 211,000 people and over 330,000 people have been mobilised on COVID-19 prevention.

Transforming lives: Folomina’s Story – Rulindo, Rwanda

Folomina’s face lights up when she talks about her toilet. Two years ago, the water and sanitation situation in Folomina’s village was dire. She and the other families in her community would walk two hours each day for water, which wasn’t always clean. Folomina often had to take her children to the clinic to be treated for waterborne illness.

Now, Folomina gets excited when talking about water, because there is a water point steps away from her house. She is also especially proud of her new toilet. Folomina was the first in her community to build an improved latrine – complete with sturdy walls and a tin roof.

“I’m proud of having a modern toilet, it has improved our health and we do not get sick anymore”.

* Total projected number of beneficiaries on project completion as reported by our field partners. These numbers can change as we receive new updates from the field.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Humanitarian emergencies People reached: 46,900*

Over the last ten years, The One Foundation has donated funds to support WASH activities in a number of humanitarian emergencies, including:

This year, we are extremely proud to have supported a COVID-19 emergency response which is helping to ensure that vulnerable and marginalised people living across seven countries (Syria, Iraq, Lebanon, Bangladesh, Kenya, Zimbabwe and Myanmar) receive inclusive and safe support to prevent and reduce the infection risk of COVID-19. This has been through hygiene training sessions, access to handwashing facilities and emergency water trucking.

Thank You

In a year where we have all felt more apart than ever, we'd like to thank our partners and supporters for coming together to make a real difference to the lives of people and communities across the world.

* Total projected number of beneficiaries on project completion as reported by our field partners. These numbers can change as we receive new updates from the field.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Financial review

Despite the impact of the COVID-19 pandemic, The One Foundation raised a total of £2,037,708 in 2020, which was down on 2019 fundraising by 21%. As with previous years, the vast majority of income came from corporate partnerships.

2020 expenditure was £1,976,418, a decrease of 19% on 2019, of which £1,799,723 was spent on charitable activities.

Reserves policy

The charity budgets to deliver its charitable objectives while ensuring financial stability through aiming to keep adequate, but not excessive, levels of unrestricted reserves. It makes this assessment by looking at future cash requirements and setting budgets each year which ensure adequate cash liquidity taking into account the availability of headroom on financial facilities, expected cash inflows and suitable levels of contingency.

As at 31 December 2020, total reserves are £1,443,130 of which £821,597 is planned to be used for future programmes to be spent down in 2021 (of the £821,597, £778,463 are Co-op donations that have been accrued at 31 December 2020, received in March 2021).

£280,939 is held in fixed assets, programme related investments and mixed motive investments.

As outlined in our reserves policy, reserves to cover at least 6 months of operating expenditure is held at all times. Operating expenditure in 2021 is expected to total £158,000 therefore at 31 December 2020 £79,000 is held for this purpose. The remaining funds of £263,095 are held as further contingency to act as a safeguard against unforeseen events.

Investment policy

The One Foundation’s support for clean water and sanitation programmes usually takes the form of grants to field partners who are delivering programmes in line with TOF’s objectives and which meet its guiding principles for project and partner selection. In 2018, the trustees awarded 2 loans to partners who met the above criteria. One loan supports a social enterprise in Ghana to deliver a container-based sanitation service in peri-urban communities in Kumasi. The second loan enables an existing partner to improve the financial viability of its clean water service by fitting infrastructure with facilities to accept mobile money payments. Each partner has signed a loan agreement with reporting requirements.

During 2020 The One Foundation made an investment of $250,000 into the Water Unite Impact Pilot Vehicle (WUIPV), a limited partnership. The objective of WUIPV is to invest in mixed-motive investments for financial return and furtherance of charitable purposes. Each investment made by WUPIV will be focused on providing a positive and measurable social and/or environmental impact in the areas of water, sanitation and plastics recycling. WUIPV will primarily invest in small and mediumsized enterprises supporting UN SDG 6, 12 & 14.

Grant making policy

The One Foundation does not accept unsolicited applications. It researches and identifies potential partners from whom it invites proposals which are considered at bi-annual trustee meetings.

Our aim is to make a meaningful contribution to the fight against water poverty and to support programmes that we can ultimately walk away from knowing they are self-sustaining.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Our grant-making is therefore underpinned by the following key principles and we assess each potential project with these in mind:

Quality: We look for a focus on quality in the projects we support, including quality of drinking water, reliability of the water supply and the supporting infrastructure.

Sustainability and engagement: We support projects that can demonstrate community commitment, appropriate financial management models, affordability of services to users, clear project ownership and evidence of sustainability beyond our intervention.

Wider community benefits: We look for indicators that projects will contribute towards wider community benefits, particularly reducing waterborne diseases, improving health and hygiene practices, enabling opportunities for education and stimulating local economic activity.

Locally appropriate solutions: We work in both rural and urban environments and so the approach taken must be both country and region specific. We support projects that understand the local context and need and are value driven.

Fundraising policy

The charity solicits funding primarily from corporate supporters and does not engage in activities, or hire external parties to engage in activities, which solicit funds from the public via, for example, phone calls or face to face campaigns. For that reason it is not currently registered with the Fundraising Regulator but this may change over the coming years as the fundraising strategy develops.

In 2020, The One Foundation did not receive any complaints about its fundraising.

Principle risks

The board of trustees regularly review a risk register, provided by the management of The One Foundation. The board is satisfied that the appropriate systems are in place to manage its exposure to risk.

The key risks identified by The One Foundation in 2020 were:

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Plans for future periods

We remain committed to making a meaningful contribution to eradicating global water poverty and to achieving Global Goal 6; ensuring the availability and safe management of water and sanitation for all by 2030. We will continue to work with field partners delivering sustainable clean water and sanitation services in our priority countries, and supporting innovation in WASH delivery along with investment in emergency humanitarian aid. We will be spending 2021, in light of the impact of COVID-19, looking at our strategy to ensure that it is relevant for the new context that we find ourselves in.

Structure, governance and management

The One Foundation is a registered charity and is controlled by its governing document, the Memorandum and Articles of Association and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Public benefit statement

The main activities undertaken by the charity are the selection and funding of clean water and sanitation projects in the Global South. The trustees have taken into account the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims and objectives and planning future activities.

Induction and training of new trustees

New trustees receive an induction pack to brief them on; their legal obligations under charity and company law, the Charity Commission guidance on public benefit, and inform them of the content of the Memorandum and Articles of Association, the committee and decision-making processes, the business plan and the recent financial performance of the charity.

Key management remuneration

The One Foundation’s board of trustees comprise of the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. All of the trustees give of their time freely and no trustee received remuneration in the year. The pay of the staff is reviewed annually and normally increased in line with average earnings.

Organisational structure and related parties

The One Foundation is an independent UK registered charity.

Global Ethics Limited and Global Ethics Investments Limited are close partners to The One Foundation and all entities were founded by Duncan Goose. Both companies raise funds which are donated to The One Foundation via product sales and/or licensing agreements.

Global Ethics Limited was the sole employer across the related entities (excepting Water Unite) until 31 March 2020 and recharges were made to The One Foundation for relevant staff costs. With effect from 1 April 2020 all of The One Foundation staff became employees of The One Foundation.

Duncan Goose is also an employee of Global Ethics Limited and donated his support to The One Foundation on a pro bono basis with no recharge for time or costs.

The trustees delegate the operational management of The One Foundation to the Programme and Partnership Manager.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Global Ethics Liquor Company Limited was co-founded by Duncan Goose and he is one of its three directors. Global Ethics Liquor Company Limited also aims to raise funds for The One Foundation through product sales.

Water Unite is an initiative originally incubated at The One Foundation before registering as a separate company.

Statement of responsibilities of the trustees

The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the income and expenditure of the charity for that period. In preparing 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 the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

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.

Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

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The One Foundation

Report of the trustees

For the year ended 31 December 2020

Auditors

Godfrey Wilson Limited were re-appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.

Approved by the trustees on 12 July 2021 and signed on their behalf by

KMorawska

Karina Morawska, Chair

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Independent auditors' report

To the members of

The One Foundation

Opinion

We have audited the financial statements of The One Foundation (the 'charity') for the year ended 31 December 2020 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related 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 Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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Independent auditors' report

To the members of

The One Foundation

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

We have nothing to report in this regard.

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

Responsibilities of the trustees

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

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

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Independent auditors' report

To the members of

The One Foundation

Our responsibilities for the audit of the financial statements

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

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

(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.

(2) We reviewed the charity’s policies and procedures in relation to:

(3) We inspected the minutes of trustee meetings.

(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.

(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.

(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.

(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:

▪Testing the appropriateness of journal entries;

▪Assessing judgements and accounting estimates for potential bias;

▪Reviewing related party transactions; and

▪Testing transactions that are unusual or outside the normal course of business.

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

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Independent auditors' report

To the members of

The One Foundation

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

Use of our report

This report is made solely to the charityʼs members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charityʼs members those matters we are required to state to them in an auditorʼs 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 charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.

Alison Godfrey

Date: 14 July 2021

Alison Godfrey FCA (Senior Statutory Auditor)

For and on behalf of:

GODFREY WILSON LIMITED

Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD

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The One Foundation

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 December 2020

Note
Income from:
Donations
3
Other trading activities
Investments
Other income
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
4
5
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
Net income and net
movement in funds
Restricted
£
50,240
-
-
-
50,240
-
10,240
10,240
40,000
-
40,000
Unrestricted
£
1,972,170
14,510
788
-
1,987,468
176,695
1,789,483
1,966,178
21,290
1,381,840
1,403,130
2020
Total
£
2,022,410
14,510
788
-
2,037,708
176,695
1,799,723
1,976,418
61,290
1,381,840
1,443,130
2019
Total
£
2,523,563
38,404
2,258
3,587
2,567,812
141,795
2,297,660
2,439,455
128,357
1,253,483
1,381,840

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 16 to the accounts.

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The One Foundation

Balance sheet

As at 31 December 2020

Note
Fixed assets
Tangible assets
9
Programme related investments
10
Mixed motive investments
11
Current assets
Debtors
12
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within 1 year
13
Net current assets
14
Net assets
15
Funds
16
Restricted funds
Unrestricted funds
Designated funds
General funds
Total charity funds
Creditors: amounts falling due after more
than 1 year
£
930,893
383,824
1,314,717
(97,212)
2020
£
2,321
81,984
196,634
280,939
1,217,505
(55,314)
1,443,130
40,000
976,730
426,400
1,443,130
2019
£
1,680
91,000
-
92,680
1,022,528
394,336
1,416,864
(127,704)
1,289,160
-
1,381,840
-
-
1,381,840
1,381,840

These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.

Approved by the trustees on 12 July 2021 and signed on their behalf by

KMorawska

Karina Morawska, Chair

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The One Foundation

Statement of cash flows

For the year ended 31 December 2020

Cash used in operating activities:
Net movement in funds
Adjustments for:
Depreciation charges
Dividends, interest and rents from investments
Foreign exchange loss on programme related investments
Decrease / (increase) in debtors
Increase / (decrease) in creditors
Net cash provided by operating activities
Cash flows from investing activities:
Dividends, interest and rents from investments
Purchase of tangible fixed assets
Acquisition of mixed motive investments
Net cash provided by / (used in) investing activities
Increase 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
2020
£
61,290
442
(788)
9,016
91,635
24,822
186,417
788
(1,083)
(196,634)
(196,929)
(10,512)
394,336
383,824
2019
£
128,357
124
(2,258)
-
(84,578)
28,721
70,366
2,258
(708)
-
1,550
71,916
322,420
394,336

Analysis of net debt

The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.

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The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

1. Accounting policies

a) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The One 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 notes.

b) Going concern basis of accounting

The accounts have been prepared on the assumption that the charity is able to continue as a going concern. The COVID-19 pandemic has resulted in a decrease in income but this has been manageable due to the ability to reduce the level of grants made. The trustees have considered the impact of each of this on the charity’s current and future financial position. The charity holds unrestricted, general reserves of £426,400 and a cash balance of £383,824. The trustees consider that the charity has sufficient cash reserves to continue as a going concern for a period of at least 12 months from the date on which these financial statements are approved.

c) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Global Ethics Limited’s donations to The One Foundation are generated from sales to its customers. Donations are recognised by The One Foundation on receipt and are not accrued as entitlement is deemed to be unmet until the point of receipt.

Income received in advance for recharges of premises costs is deferred.

d) Interest receivable

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

19

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

1. Accounting policies (continued)

e) Funds accounting

Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.

f) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

g) Allocation of support and governance costs

Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on an estimate of staff time spent on activities, as follows:

2020 2019
Raising funds 57.8% 49.6%
Charitable activities 42.2% 50.4%

h) Tangible fixed assets

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

Furniture and fixtures 20% straight line basis
Computer equipment 10% straight line basis

i) Programme related investments

Programme related investments are concessionary programme related loans made to partners that directly further the charitable purposes of the charity. The loans are recognised at the amount paid, less cumulative repayments. They are reviewed annually for impairment.

j) Mixed motive investments

Investments represent the Foundation's Limited Partner interest in an impact fund which was launched in 2020. The trustees consider this interest as an investment with the dual objective of both financial return and social impact and as such the investment is carried at fair value through the profit and loss account. The Limited Partnership is an unquoted investment vehicle and as such a degree of judgement is required in assessing the fair value. At initial recognition the fair value is assumed to be the transaction amount. A review for impairment will be carried out annually.

20

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

1. Accounting policies (continued)

k) Debtors

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

l) Cash at bank and in hand

Cash at bank and cash 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.

m) Creditors

Creditors and provisions are recognised where the charity 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. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

n) Foreign currency transactions

Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.

o) 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 recognised at amortised cost using the effective interest method.

p) Accounting estimates and key judgements

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

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

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below.

Fair value of mixed motive investments

As described in note 1j to the financial statements, mixed motive investments are held at fair value. This investment is an unquoted investment vehicle and judgement is required in assessing the fair value.

21

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

2. Prior period comparatives: statement of financial activities

Income from:
Donations
Other trading activities
Investments
Other income
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net income and net movement in funds
3.
Income from donations
Donations - corporates
Donations - give water give life
Donations - individuals and fundraising
Grants - trusts and foundations
Total income from donations
Prior period comparative:
Donations - corporates
Donations - give water give life
Donations - individuals and fundraising
Grants - trusts and foundations
Total income from donations
Restricted
£
£
53,376
2,470,187
-
38,404
-
2,258
3,587
53,376
2,514,436
-
141,795
53,376
2,244,284
53,376
2,386,079
-
128,357
Restricted
£
£
40,000
1,950,156
-
9,466
240
12,548
10,000
-
50,240
1,972,170
Restricted
£
£
20,833
2,369,114
-
49,196
7,543
16,877
25,000
35,000
53,376
2,470,187
Unrestricted
Unrestricted
Unrestricted
2019
Total
£
2,523,563
38,404
2,258
3,587
2,567,812
141,795
2,297,660
2,439,455
128,357
2020
Total
£
1,990,156
9,466
12,788
10,000
2,022,410
2019
Total
£
2,389,947
49,196
24,420
60,000
2,523,563

The charitable company does not receive any government grant funding.

22

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

4. Total expenditure

Raising
funds
£
Staff costs (note 7)
35,630
Grants payable (note 6)
-
Monitoring and evaluation costs
-
Fundraising costs
3,428
Audit and accountancy
-
Governance costs
-
Premises costs
-
Foreign exchange loss
-
Other office and support costs
-
Irrecoverable VAT
-
Depreciation
-
Sub-total
39,058
Allocation of support and governance costs
137,637
Total expenditure
176,695
Total governance costs were £18,043 (2019: £16,608).
Charitable
activities
£
£
26,022
15,701
1,655,459
-
8,706
-
-
-
-
38,054
-
7,833
-
14,663
9,016
-
-
15,968
-
145,496
-
442
1,699,203
238,157
100,520
(238,157)
1,799,723
-
Support and
governance
costs
2020
Total
£
77,353
1,655,459
8,706
3,428
38,054
7,833
14,663
9,016
15,968
145,496
442
1,976,418
-
1,976,418

Prior period comparative:

Staff costs (note 7)
Staff training and recruitment
Grants payable (note 6)
Monitoring and evaluation costs
Fundraising costs
Audit and accountancy
Governance costs
Premises costs
Other office and support costs
Irrecoverable VAT
Depreciation
Sub-total
Allocation of support and governance costs
Total expenditure
Raising
funds
£
54,151
-
-
-
19,648
-
-
-
-
-
-
73,799
67,996
141,795
Charitable
activities
£
£
55,078
28,967
-
6,540
2,168,225
-
5,197
-
-
-
-
18,261
-
7,227
-
40,151
-
12,512
-
23,374
-
124
2,228,500
137,156
69,160
(137,156)
2,297,660
-
Support and
governance
costs
2019 Total
£
138,196
6,540
2,168,225
5,197
19,648
18,261
7,227
40,151
12,512
23,374
124
2,439,455
-
2,439,455

23

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

5. Net movement in funds

This is stated after charging:

Depreciation
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration:
Statutory audit (excluding VAT)
Under-accrual in prior year
Other services
2020
£
442
Nil
Nil
7,050
-
303
2019
£
124
Nil
Nil
6,800
2,581
1,685

6. Grants payable

Grants payable
Grants paid to institutions:
Water and Sanitation for the Urban Poor
Water for People
United Purpose
Safe Water Network
Oxfam
Fisherman's Rest Outreach Malawi
Sanergy
Sub-total
Grants paid to individuals
Total grants payable
Prior period comparative:
Grants paid to institutions:
Water and Sanitation for the Urban Poor
Safe Water Network
Water for People
United Purpose
Oxfam
Fisherman's Rest Outreach Malawi
Sanergy
Sub-total
Grants paid to individuals
Total grants payable
Restricted
£
-
-
-
-
-
10,240
-
10,240
-
10,240
Restricted
£
-
10,000
-
23,376
-
20,000
-
53,376
-
53,376
Unrestricted
£
500,000
400,000
252,259
250,015
120,000
89,699
25,000
1,636,973
8,246
1,645,219
Unrestricted
£
783,734
390,012
400,000
198,999
150,000
128,893
50,012
2,101,650
13,199
2,114,849
2020
Total
£
500,000
400,000
252,259
250,015
120,000
99,939
25,000
1,647,213
8,246
1,655,459
2019
Total
£
783,734
400,012
400,000
222,375
150,000
148,893
50,012
2,155,026
13,199
2,168,225

24

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

6. Grants payable (continued)

All grants payable to institutions are paid to fund charitable activities for water and sanitation projects and emergency relief. Grants payable costs do not include any contribution to core costs.

7. Staff costs and numbers

Staff costs were recharged from Global Ethics Limited, a related party, until April 2020 when staff were brought onto payroll. Details of the related party transactions are disclosed in note 19 to the accounts. The total staff costs (including employer national insurance and pension contributions) are as follows:

Staff costs recharged from Global Ethics Limited
Gross wages
Employer's social security
Employer's pension
Freelance staff
Total staff costs
2020
£
23,730
45,923
5,025
1,175
1,500
77,353
2019
£
138,196
-
-
-
-
138,196

No individual earned more than £60,000 during the current or prior year.

The key management personnel of the charitable company comprise the trustees, deputy director (until December 2019), and since January 2020 the Programming and Partnerships Manager and freelance Finance Manager. The total employee salaries and benefits of the key management personnel were £53,544 (2019: £56,538).

Average head count 2020
No.
1.6
2019
No.
2.7

8. Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

25

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

9. Tangible fixed assets

Cost
At 1 January 2020
Additions in year
At 31 December 2020
Depreciation
At 1 January 2020
Charge for the year
At 31 December 2020
Net book value
At 31 December 2020
At 31 December 2019
10. Programme related investments
Loans to partners:
Clean Team Ghana
Safe Water Network
Furniture
and
fixtures
£
1,196
-
1,196
130
120
250
946
1,066
Computer
equipment
£
708
1,083
1,791
94
322
416
1,375
614
2020
£
50,000
31,984
81,984
Total
£
1,904
1,083
2,987
224
442
666
2,321
1,680
2019
£
50,000
41,000
91,000

Programme related investments consist of loans made to partners to fund charitable activities. No interest is charged on the loans.

The Clean Team Ghana loan is a three-year loan repayable in more than one year.

The Safe Water Network loan is repayable over five years with a payment of 12,825 GHC (approximately £1,581) due in within one year. Payments of approximately £6,500 due annually until Jan 2026. A foreign exchange loss of £9,016 has been recognised on this loan in the year.

26

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

11. Mixed motive investments

Investment in Impact Fund 2020
£
196,634
2019
£
-

During 2020 The One Foundation made an investment of $250,000 into the Water Unite Impact Pilot Vehicle (WUIPV), a limited partnership. The objective of WUIPV is to invest in mixed-motive investments for financial return and furtherance of charitable purposes. Each investment made by WUPIV will be focused on providing a positive and measurable social and/or environmental impact in the areas of water, sanitation and plastics recycling. WUIPV will primarily invest in small and medium-sized enterprises supporting UN SDG 6, 12 & 14.

12. Debtors

Trade debtors
Prepayments
Accrued income
Other debtors
Creditors : amounts due within 1 year
Trade creditors
Accruals
VAT
PAYE & social security
Creditors: amounts falling due after more than 1 year
VAT
2020
£
-
3,310
927,583
-
930,893
2020
£
24,300
7,432
64,147
1,333
97,212
2020
£
55,314
2019
£
36,031
10,709
950,188
25,600
1,022,528
2019
£
60,845
59,851
7,008
-
127,704
2019
£
-

13. Creditors : amounts due within 1 year

14. Creditors: amounts falling due after more than 1 year

During the year the charity made a voluntary disclosure to HMRC for a historic error in the amount of VAT reclaimed. The full amount to be repaid has been recognised in the year and will be repaid to HMRC on a monthly basis. The final repayment is due 1 August 2022.

27

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

15. Analysis of net assets between funds

Tangible fixed assets
Programme related investments
Mixed motive investments
Current assets
Current liabilities
Non current liabilities
Net assets at 31 December 2020
Prior period comparative
Tangible fixed assets
Programme related investments
Current assets
Current liabilities
Net assets at 31 December 2019
Movements in funds
At 1
January
2020
£
Restricted funds
Malawi programme
-
Total restricted funds
-
Unrestricted funds
Designated funds:
Co-Operative funds
-
Impact fund investment
-
Total designated funds
-
General funds
1,381,840
Total unrestricted funds
1,381,840
Total funds
1,381,840
£
-
-
-
40,000
-
-
40,000
£
-
-
-
-
-
Income
£
50,240
50,240
1,703,655
-
1,703,655
283,813
1,987,468
2,037,708
Restricted
funds
Restricted
funds
General
funds
£
£
-
2,321
-
81,984
196,634
-
780,096
494,621
-
(97,212)
-
(55,314)
976,730
426,400
General
funds
£
£
-
1,680
-
91,000
-
1,416,864
-
(127,704)
-
1,381,840
£
£
(10,240)
-
(10,240)
-
(1,627,250)
703,691
-
196,634
(1,627,250)
900,325
(338,928)
(900,325)
(1,966,178)
-
(1,976,418)
-
Expenditure
Designated
funds
Designated
funds
Transfers
between funds
Total funds
£
2,321
81,984
196,634
1,314,717
(97,212)
(55,314)
1,443,130
Total funds
£
1,680
91,000
1,416,864
(127,704)
1,381,840
£
40,000
At 31
December
2020
40,000
780,096
196,634
976,730
426,400
1,403,130
1,443,130

16. Movements in funds

28

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

16. Movements in funds (continued)

Purposes of restricted and designated funds

Malawi programme Funds received for use on programmes in Malawi.

Co-Operative funds Funds to be allocated on projects in accordance with the CoOperative programme guidelines.

Impact fund investment Funds invested in mixed motive investments (as set out in note 11 above).

Transfers between funds

Transfers in to designated funds represent amounts received or accrued in previous years from Co-Op, now ringfenced in a separate fund. The balance held in the new impact fund investment is also designated as a separate fund.

Prior period comparative

Prior period comparative
At 1
January
2019
£
Restricted funds
Ghana programme
-
Malawi programme
-
Total restricted funds
-
General funds
1,253,483
Total unrestricted funds
1,253,483
Total funds
1,253,483
Financial instruments at fair value
Financial assets measured at fair value
Unrestricted funds
Income
£
10,000
43,376
53,376
2,514,436
2,514,436
2,567,812
£
(10,000)
(43,376)
(53,376)
(2,386,079)
(2,386,079)
(2,439,455)
Expenditure
£
-
-
-
-
-
-
2020
£
196,634
Transfers
between
funds
£
-
-
At 31
December
2019
-
1,381,840
1,381,840
1,381,840
2019
£
-

17. Financial instruments at fair value

Financial assets measured at fair value comprise unlisted investments.

29

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

18. Operating lease commitments

The charity had operating leases at the year end with total future minimum lease payments as follows:

Amount falling due:
Within 1 year
Within 2 - 5 years
2020
£
-
-
-
2019
£
32,000
106,667
138,667

19. Related party transactions

During the year the company purchased services from Global Ethics Limited, a company in which Duncan Goose, a trustee of The One Foundation, is a director. The value of the services was £24,718 (2019: £139,020). At the balance sheet date, The One Foundation owed Global Ethics Limited £nil (2019: £17,336).

The company provided services to Global Ethics Limited amounting to £14,510 (2019: £38,404) in the year. At the balance sheet date Global Ethics Limited owed the company £nil (2019: £7,727) in respect of services provided.

In addition, the company received donations from Global Ethics Limited of £47,269 during the year (2019: £310,415). At the balance sheet date, Global Ethics Limited owed The One Foundation £2,624 in respect of donations collected (2019: £10,000).

As described in note 20 to the accounts, Global Ethics Ltd has a repayment plan to settle a historic balance due to TOF of £412,373 over the next three years.

The company received donations of £20,000 (2019: £15,000) from Global Ethics Investments Limited, a company in which Duncan Goose, a trustee of The One Foundation, is a director. This year the donation was a gift in kind in the form of a waiver of expense.

During the year the company purchased services from Water Unite (formerly Global Investment Fund for Water Limited), a company in which Duncan Goose was a director until June 2020. The value of the services was £1,998 (2019: £nil). At the balance sheet date, The One Foundation owed Water Unite £333 (2019: £nil). As at the balance sheet date, the company is due £nil (2019: £25,600) from Water Unite .

In addition, the investment in the impact investment fund has been carried out in conjunction with Water Unite. Both charities have separately invested $250,000 into the Water Unite Impact Pilot Vehicle (WUIPV), a limited partnership.

30

The One Foundation

Notes to the financial statements

For the year ended 31 December 2020

20. Contingent asset

In the 2018 accounts a large debtor balance due from Global Ethics Ltd was written off because recoverability of the debtor was uncertain. During 2019 a payment plan was drawn up and agreed to for a balance of £422,373 to be paid over the next three years (£120,000 in 2020, £180,000 in 2021 and £122,373 in 2022). The impact of the Covid-19 pandemic has meant that only £10,000 was received against this balance in 2020 and the balance currently stands at £412,373. Monthly payments towards this balance continue to be received, however it is likely that the terms of the payment plan will need to be revised throughout 2021. Full recoverability of the debt remains uncertain and as such the income recognition criteria have not been met and the amount has not been accrued.

31