## **THE MISSION TO SEAFARERS** **TRUSTEES’ ANNUAL REPORT AND ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2021** **A company limited by guarantee, registered in England and Wales no. 6220240 A charity registered in England and Wales no. 1123613** **St Michael Paternoster Royal, First Floor, 6 Bath Place, Rivington Street, London EC2A 3JE www.missiontoseafarers.org** **@flyingangelnews** **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021** ## **CONTENTS** ||**Page**| |---|---| |Introduction|**1**| |Strategic Report|**3**| |Financial Review|**12**| |Charity Information|**18**| |Governance, Structure and Management|**20**| |Statement of Trustees’ Responsibilities|**24**| |Independent Auditor’s Report to the Members|**25**| |of The Mission to Seafarers|| |Financial Statements:|| |Consolidated Statement of Financial Activities|**28**| |Consolidated Balance Sheet|**29**| |Company Balance Sheet|**30**| |Consolidated Statement of Cash Flows|**31**| |Notes to Financial Statements|**32**| **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021** ## **Introduction** The severe pandemic-related challenges faced so intensely and so suddenly by the maritime industry from early 2020 continued into 2021. The impact on The Mission to Seafarers, as a front-line maritime welfare provider, continued to be very significant. Last year I quoted the International Maritime Organization’s Secretary General Kitack Lim: “Sadly, hundreds of thousands of seafarers, who are vital to maintaining supply chains, remain stranded at sea for months beyond their contracted time. This is causing immense strain, fatigue and exhaustion and is unsustainable.” We saw some improvement in the crew change issues through 2021, largely due to the shared efforts of many in partnership across the industry (in which we have been proud to play some part). However, the problem remains - although it has fluctuated along with the ebb and flow of the virus. The “strain, fatigue and exhaustion” referred to above remained, and remain, acute. Hand in hand with the crew change issue has been the inability of large numbers of seafarers to take shore leave when they are in port, a situation which poses major challenges in the delivery of our services. Lack of shore leave enhanced the stresses. Many seafarers have not been off their ship for their entire contract length. A third major stress for seafarers in 2021 was the complexity of accessing vaccines. In addition, there were many difficulties for seafarer families, with some of the major maritime labour supplying nations very badly affected – including the Philippines and India. The Mission to Seafarers remained unable to carry out work in normal ways throughout the year. While we invested heavily in emergency support for our hospitality centres, not least in making them COVID-safe, many of them remained largely unused, as did our buses. The focus of our activity remained on “distanced” at-thegangway ship visitation. Thankfully, the number of ports where this was possible has continued to grow, although some major ports remained largely closed to any kind of welfare activity. Personal shopping for seafarers, the delivery of MiFi units and medicines, together with emergency welfare support to individuals and crews in distress, became the focus of our activity. This work has been transformational and has been carried out with those high levels of commitment and compassion which have always characterised the work of The Mission to Seafarers, and which are inherent in our Christian purpose. Our justice work has also been very important, particularly that carried out in relation to abandoned ships and crews. Numbers of such cases have increased over the last two years. Some of these have been high profile and became familiar through media stories. Amongst other crews in distress, we were glad to be able to respond to a request to visit the _Ever Given_ during its detention in the Suez Canal. Also of note have been the numbers of seafarers who found themselves stranded, able to leave ships after contract but unable to travel home. Some groups have required our support over long periods of time, with our teams in Busan (South Korea) and Brisbane (Australia) playing a particularly important role. In recent months, many of our teams have been very proactive in the vaccine roll-out, through advice, liaison, transport and even the use of MtS centres and buses as vaccine hubs. Our wider programme has also further developed this year. The MtS _Seafarers Happiness Index_ has increasingly become a recognised benchmark of seafarer well-being, informing both us and the wider shipping industry. Our WeCare suite of training programmes have been further developed. Of particular significance in 2021 have been our Family Support Networks in India and the Philippines, as well as in Myanmar. These have often responded spectacularly to the huge stresses faced by families, including through an emergency feeding programme in India during the peak of their appalling and dramatic COVID-19 crisis. I am also able to report very positively on our funding situation, which has benefited from a high level of extremely valuable maritime corporate support, alongside that of our regular donors. 2021 has been a particularly good year for legacies and the major maritime trusts have also remained extremely generous. The quality and extent of our sustaining partnerships have grown significantly and we are extremely grateful to all concerned. As Secretary General I can report again on an enormously challenging year but one on which I am able to look back once again with pride, and with enormous gratefulness to our teams, partners and supporters. 1 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021** I also wish to pay tribute to a hard-working, engaged and highly skilled Board of Trustees who have gone the extra mile in another unprecedented year to provide the very best in support, guidance and oversight. As we look ahead to 2022, we do so, like many others, with considerable uncertainty as to the long term impact of the pandemic on the maritime industry, on seafarers and consequently on our own work. Our new strategy has been launched for 2022-26 and we were glad to complete that delayed work in 2021. However, working out strategic and operational priorities in the current context is challenging. During the writing of this report, a further new and dramatic crisis has had a severe impact on seafarers – namely the Ukraine war. With 15% of crews made up of Ukrainians and Russians, the effect has been immediate and serious. In addition, other seafarers have been impacted, including many trapped in Ukrainian ports. In response, we are of course absolutely focused on providing the very best in pastoral and practical support to the many seafarers we encounter globally who find themselves in deep stress and distress. We have also set aside significant new budgets. The focus of this has been firstly, to give local stations the ability to fund free communication wherever necessary and to meet other emergency need that arises in ports. Secondly, working closely with local partners, we are supporting a substantial number of seafaring families within Ukraine where need has arisen. We have also provided fresh “own-language” Ukrainian and Russian mental health resources under our WeCare programme. Additionally, we have responded to wider requests, including the visitation of one ship attacked in the early stages of conflict. Our overall focus remains our determination to serve heroic seafarers and their families in ways which are appropriate to their difficult circumstances and with the practical love and deep commitment which have always been at the heart of what we do. We are a Christian mission, closely linked with the Church of England and the Anglican Church worldwide. That mission is expressed holistically, inclusively and practically but it has a deep spiritual underpinning which continues to inform and guide all that we do. That mission continues in 2022. Andrew Wright Secretary General 2 **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** ## **The Mission to Seafarers Trustees’ Annual Report (incorporating the Directors’ report as required by Company Law) for the financial year ending 31 December 2021** ## **Our Object** The object of The Mission to Seafarers (“the Mission”), as stated in the Articles of Association, and for which we are established for the public benefit, is: ## **“To promote the spiritual, moral and physical wellbeing of seafarers and their families worldwide.”** ## **Our Common Standards** The Mission has further revised and developed a range of common standards to maintain a strong sense of unity and common purpose, to sustain and protect its reputation and to promote high quality ministry. They will be applicable to all the Mission ‘Members’ including all Mission to Seafarers ‘Flying Angel’ local stations, operations and honorary chaplaincies as follows; ## **Our Vision** Our vision for the world’s 1.6 million seafarers of all ranks, nationalities and beliefs is to: - operate a network of services where seafarers are valued and cared for in the ports where the need is greatest, thus improving and safeguarding their wellbeing, - be in the right ports with the right resources offering support which is relevant, compassionate and lifeenhancing, and - meet the needs of all seafarers and their families, irrespective of faith or cultural background. ## **Our Mission** ## Our simple mission is **to care for the shipping industry’s most important asset: its people.** Throughout a long and distinguished history, the Mission has grown to become one of the largest port-based welfare operators in the world, with a presence in almost 200 ports. We provide a service 365 days a year, across 50 countries where 118 of these ports have a Flying Angel centre. International Headquarters (IHQ) in London directly supports over 70 front-line staff in addition to an army of volunteers who visit ships, offer hospitality, drive minibuses and engage in a range of other welfare activities. ## **Our Ethos** Our historic and integral partnership with the Anglican Church continues to be central to our ethos. It has traditionally found particular expression in how local teams should normally be licensed, recognised or affirmed by Diocesan Bishops as appropriate. In addition, it is expressed through our commitment to the Five Marks of Mission. We seek to maintain and develop close and supportive relationships with the worldwide Anglican Communion. We are also deeply committed to effective ecumenical co-operation locally, regionally and internationally. We actively seek to sustain the best in such working, including through our longstanding and proactive engagement within the International Christian Maritime Association (ICMA). Our ethos is one which also stresses the importance of the widest possible partnership and collaboration to the benefit of seafarers and their families. ## **Our Values** Pioneering: Being open to God’s leading, we encourage innovative thinking and seek to be flexible and entrepreneurial in our ways of working. Inclusive: We are unconditionally committed to the support of all seafarers and their families without discrimination. 3 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** United: We are one global, intergenerational, multicultural family united in vision and purpose, while respecting diversity of culture and context. Collaborative: We are co-operative in our approach to our work – in relation to individuals, the church, ecumenical partners, and organisations and institutions that work for the welfare of seafarers. Accountable: We are accountable to God as stewards of the resources entrusted to us, to each other in recognition of our mutual inter-dependence and to those charged with governance at local station, regional and international level. Caring: In all our dealings we strive to behave with compassion, to act with integrity and to treat everyone with respect. ## **Our Code of Conduct** Our membership of ICMA carries an obligation to abide by the Constitution of the Association and its Code of Conduct. In a fragmented and divided society it is ICMA’s mission to promote unity, peace and tolerance. ICMA was founded to promote and co-ordinate Christian ecumenical co-operation in maritime ministry. Chaplains and staff of all ICMA Member Societies at local, national and international level are therefore to: - a) Show an unconditional love to the seafarer as a human being, created in the image of God, and a sincere respect for her/his personal values and beliefs. - b) Serve seafarers and their dependants of all nationalities, religions, cultures, language, sex and race. - c) Fight prejudice, intolerance and injustice of any kind. - d) Respect the diversity of ICMA Members and Churches and develop that which unites them. - e) Respect the loyalty of those engaged in maritime ministry to their particular ecclesiastical discipline and tradition, and refrain from proselytising seafarers. - f) Co-operate with persons, organisations and institutions - Christian or non-Christian - that work for the welfare of seafarers. ## **Our Standards** The Mission to Seafarers aspires to the very highest quality of professional standards and is absolutely committed to effective and transparent safeguarding. ## **Our Common Identity** All Members share a common identity, which includes the use of the name “The Mission to Seafarers” and/or “Flying Angel Club”, followed where applicable by the name of the relevant region/country/local station, and the use of the Flying Angel logo. As such, Members should be sensitive to the fact that the actions of one or more Member, even within their own national or regional context, may significantly affect others across the global network. ## **Our Ministry** We are committed to Christian mission, informed by the “Five Marks of Mission”, with a focus on a holistic, proactive, professional and engaged response to the needs of seafarers and their families. Our port-based ministries will reflect in some measure the following services, as is appropriate within the local context. The Mission to Seafarers encourages a creative, contextual and entrepreneurial approach, providing it is in line with seafarer need and is sustainable. Areas of ministry may include: - Ship visitation - Centre hospitality: - Friendship/welcome - Wi-Fi facilities - Recreational opportunity 4 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** - Food and drink - Shop - Chapel and services - Hospital visitation - - - - Prison visitation - Transport services - Emergency response, including post-trauma and mental health counselling/signposting - Justice and Advocacy, supporting seafarers during times of crisis or need and advocating for those without voice - Spiritual support as appropriate: - Prayer - Counselling - Services of worship on board or in centre - Provision of access to community places of worship - Distribution of Christian literature - Programmes designed to meet the wider needs of seafarers in a rapidly changing maritime world, including global projects and local port welfare initiatives. ## **Our Work 2021** ## **The Challenges** The acute pandemic-related challenges of 2020 continued throughout 2021. This meant very significant ongoing difficulty for crew and their families, as well as for our teams around the world. We have had to work in new and creative ways. These have been extensive, and transformational for seafarers. The strategic work, put on hold in 2020, was completed in 2021 and has been launched in early 2022, giving renewed shape to our work. However, with very significant uncertainty continuing, there is caution, and restriction, around the speed at which this strategy can be rolled out. ## 1. Seafarers During 2021 seafarers and their families continued to face the most acute challenges. While the situation fluctuated through the year, it is estimated that between 150,000 and 300,000 crew were working well beyond their contracts at any one time as a result of crew change issues. The industry continued to work in excellent partnership to resolve this situation. However, the ongoing failure by many countries to recognise seafarers as essential workers, combined with travel restrictions and difficulties with airline capacity meant that seafarers continue to experience the deep uncertainties that first arose in 2020. This created a situation of intense stress and distress for many seafarers. “Shore leave” was also severely compromised, through local regulation, company policy, captain’s orders or seafarer choice. This prevented or restricted access to normal leisure, shopping and welfare options. For those without access to WiFi on board, it severely impacted on communications, especially with family. Many seafarers have not gone ashore during a whole contract period. This is also a serious challenge to mental well-being. Back in seafarer homes, these stresses were also felt. Many crew were unable to start their contracts, leading to financial difficulty. In some cases, and most especially during the appalling peak of Covid-19 in India, our teams experienced tremendous distress, distress which included difficulty accessing basic supplies. Stories and reports from our teams and contacts around the world and information from our own _Seafarers Happiness Index_ have all underlined the acute seriousness of the challenges faced by seafarers and their families. ## 2. Our Operations Similarly, many of the ways in which we normally deliver our work continued to be under severe pressure. Our global network of hospitality centres have received very little seafarer footfall, for all the reasons mentioned above, despite our having put significant investment into making them Covid-safe. Our transport operations have been similarly impacted. We have continued ship visiting, wherever we have access to ports and ships. We have done so in strict accordance with the guidelines we drew up in liaison with industry. These guidelines were subsequently adopted as the basis of working for all 5 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** organisations within ICMA, representing the bulk of front-line maritime welfare. This meant ship visiting at the gangway only in a safe and distanced way and utilising effective PPE. This ministry has been transformational for seafarers and has included the delivery of vast amounts of the personal shopping they would normally have accessed, the provision of MiFi units to support crew who do not have WiFi on board and the delivery of urgent medicines in some cases. The dilemmas faced by stranded seafarers, sometimes in significant numbers, have been an additional feature of the year. Cases of “abandoned” ships and crew have grown in the last two years and we have been pleased to play a significant role both in emergency response and in advocacy, especially in the Gulf and Africa. Our WeCare training programmes, now on-line, have also had an important role to play in the current environment, supporting as they do seafarer well-being and resilience. Our _Seafarers Happiness Index_ has helped both us and the maritime industry better understand the developing needs of seafarers and priorities for response. Of great import have been our Family Support Networks, who have had a major role in supporting families at home during such a very, very difficult period. ## 3. Finances Despite the challenging environment, 2021 has been a very good year for fundraising. Three areas have remained of particular significance. First, the generous contributions of the major maritime welfare trusts who continued significant new funding to assist through the emergency. Second, high levels of support from the shipping corporates, as part of their commitment to help seafarers at a time of extreme difficulty. Third, we have enjoyed a particularly strong period for legacies, including one exceptional legacy in 2021. These three areas have combined with others to put us in a strong funding position – a position which has enabled us both to sustain, support and grow our work and also to designate substantial funds to undergird our new 2022-26 strategy. ## **Emergency strategic priorities** Radically changed conditions forced us to delay the start of the new strategy, now shifted to 2022, and to adopt a range of emergency measures. These emergency priorities, formed in 2020 were continued into 2021. ## **1. To sustain and adapt our regular service, ensuring that we were able to meet the need of seafarers and their families** ## **Port-based Chaplaincy** The most visible sign of The Mission to Seafarers is our network of port chaplains and welfare teams in 200 ports across 50 countries. Our port-based services were significantly affected as a result of the Covid-19 pandemic. Rolling national lockdowns, as well as port restrictions meant that in many ports our work suffered from a stuttered, stop and start approach. We invested heavily in making our stations as Covid-secure as they could be by providing PPE, sanitising stations and updated ship visiting guidance. Despite these much-needed efforts to protect staff and volunteers, we estimate that only 50 per cent of our network was operational at any one time. In addition to local restrictions, many companies put shore leave bans on their seafarers. This resulted in very few crews being able to come ashore. As a consequence, many of our centres saw no seafarers and become administrative hubs for shopping and crew deliveries. ## **Outputs for our UK and Grant Funded port-based work** ||2021|2020| |---|---|---| |Ship visiting|21,056 meeting 126,336
seafarers at the gangway|18,232, meeting
106,352 seafarers at
the gangway| |Seafarers visiting our centres|15,412|44,999| |Seafarers transported|6,434|22,198| When combined with our international network, these increased to: 6 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** ## **Outputs for our UK and Grant Funded port-based work (continued)** ||2021|2020| |---|---|---| |Ship visiting|34,629, meeting 207,774
seafarers at the gangway|30,576, meeting
187,140 seafarers at
the gangway| |Seafarers visiting our centres|23,629|86,996| |Seafarers transported|12,131|46,063| |Port-based Justice/Welfare/Medical Cases|1,383|1,426| Our ship visiting teams continue to work to a strict set of protocols which include maintaining social distancing, sanitising hands and vehicles and wearing face coverings. These will remain in place regardless of whether national restrictions have been eased. In ports where we have been able to operate, teams have visited crews at the gangway and delivered Mi-Fi units as well as data cards for personal use. Care packages, often containing toiletries and our famous knitted woolly hats, have been prepared in strict hygienic conditions before being donated. Globally, our centre numbers have dropped by 94 per cent. This has exacerbated a trend which we have been monitoring closely over the last five years. In the future, we do not expect this number to go back to pre-pandemic levels and are working closely with our teams to understand what impact this will have on our ministry. ||2021|2020| |---|---|---| |Total amount of volunteer knitted woolly hats
distributed to the global Mission network for onward
giving to seafarers|630kg|810kg| Fulfilling shopping requests has grown over the past year. With seafarers unable to come ashore, many turned to the Mission to fulfil items such as communication equipment, local specialities, items of technology and treats. In addition to providing items of shopping, our teams have collected medication for seafarers and taken cash to Western Union so that it could be wired to a seafarer’s family. Because of a rise in shopping, we have been working with colleagues to devise an MtS Seafarers’ App which will allow seafarers to pre-order their items. The service will also enable our teams to be more strategic in fulfilling requests. ||2021 only| |---|---| |Approximate amount of money received for shopping
from seafarers|US$ 2,861,153| |No of shopping trips undertaken for seafarers|19,074| ## **Family Support – Philippines** Our Philippines Family Network has been in high demand during 2021 as families and seafarers sought our help. The Network has nine chapters (local branches) where families come together to share information, learn new skills and to support each other. The team in Manila held 823 (2020: 200) online events for family members including storytelling, Sea Sunday Services, coffee-mornings, musical activities and mental health and wellbeing advice. Over 3,000 requests for assistance were received, either online or by visiting our walk-in centre in Manila. Severe lockdowns continued across the country throughout the year which affected crews and their families, as well as our team of four staff in a variety of ways. Much of our response this year was focused on providing practical support and advice. The difficulty of finding food for those in dormitories was not as bad as last year, and instead our work involved signposting beneficiaries to a range of professional support services. 7 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** ## **Our work in the Philippines** ||2021|2020| |---|---|---| |Number of Covid-19 seafarer-related requests:|1,497|2,798| |Made up of:
Food aid
Practical Information
Transportation|8 parcels issued
1,487
2|1,735 parcels issued
1,371
513| |Number of Justice/Welfare/Medical cases across the
Family Network|1,476|2,158| |Made up of:
Practical assistance and pastoral support
Medical referrals
Justice cases (non-payment of wages, etc)
Financial Assistance (grants to buy food)
Accommodation provision|1,413
2
51
8
2|656
10
3
N/A
N/A| |Number of referrals to professional support or the
Mission’s chaplaincy Network|267|400| |Online attendees to Family Network events|823|286| ## **2. To develop new services in response to the challenges** ## **Digital Chaplaincy** Our Chat to a Chaplain service provided a lifeline to seafarers during the early days of the pandemic. But as the situation progressed, and we all got used to living with restrictions and new ways of working, the need for this service decreased as seafarers turned to more traditional ways of engaging with our teams. The service continues to be available on our website until our contract with the provider ends in 2022. As shipping companies got used to quarantining their crew before they could join ship, we were asked to provide access to our WeCare mental health resources. We devised a campaign in 2021 called Mental Health On Board Champions which comprised of a series of webinars and downloadable material. Working under the banner of our WeCare sub-brand, we also provided access to our e-learning courses in communication and financial literacy. In the past year, tens of thousands of seafarers have received the course to complete in their own time. In addition to our Justice and Welfare work in the ports, seafarers can contact the Regional Engagement Department in London via our CrewHelp programme. Seafarers reach out to us with a wide range of questions from information about a local port to issues with their employment contract or on board facilities. ## **Digital Chaplaincy: Chat to a Chaplain** ||2021|2020| |---|---|---| |Meaningful interactions (consisting of at least two
responses between a chaplain and a service user)|N/A|1,913| |Requests for assistance|N/A|712| |No of seafarers and their families reached through
WeCare training|8,460|N/A| |No of seafarers who have access to the WeCare
training courses via their employer|50,000|N/A| |No of requests into CrewHelp|236|N/A| 8 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** ## **Family Support – India** Our feeding programme in Tuticorin, South India continued in 2021, especially during the ‘Delta’ wave of Covid19 which ravaged many parts of the country. Tuticorin is a city with a significant maritime population both merchant and fishers. Our seafarers’ centre became a meeting place for many families from the maritime community to register for advice and support. This work builds on our plans to open a Family Support Network in the country in 2022. ## **The Mission’s Feeding Programme in Tuticorin** ||2021|2020| |---|---|---| |Number
of
individuals
benefitting
from
the
programme|11,903|8,153| |Number of families receivingfoodparcels|1,950|1,688| ## **3. In partnership with the wider industry, to play an effective role in global advocacy for seafarers** - The Secretary General, or members of the senior team, continued to join high profile shipping industry meetings, led by the International Chamber of Shipping and the International Transport Workers’ Federation. These brought together a wide range of partners and were designed to coordinate the best in shared advocacy and response to the acute dilemmas faced, with an absolute focus on seafarer well-being, within the context of sustaining effective international shipping. - The Mission is a major player in the ICMA and has remained committed both within that organisation and beyond to supporting the best in promoting mutuality in crisis response and the very best in joined-up working. We were especially pleased to be heavily involved in the launch of the SIRF (Seafarers International Relief Fund). Modelled somewhat on the Disasters Emergency Committee, this is the first joint maritime emergency fund set up to provide swift response to any particular crisis, in this case the extraordinary circumstances in India. - The Mission remained strongly proactive in addressing justice and welfare cases at a local level, particularly in relation to a growing number of “abandonment” cases. Such issues are shared at international level by our Advocacy team, including through ICMA’s International Maritime Organization and International Labour Organization delegations, within which we are pleased to play a role. **4. To strengthen communications, ensuring mutual support, guidance and encouragement across our organisation and the effective telling of a vital story externally** - We continued to strengthen internal communications at a time when face-to-face meetings have been domestically challenging and internationally impossible. Regional Directors held regular virtual meetings with the Secretary General and members of senior management. Regions similarly held regular virtual team meetings. The Secretary General met with all regions through the year. IHQ staff meetings were upgraded, including meetings where we were joined by members of the Europe Region. IHQ staff also met physically for an important in-person meeting, particularly important given the transition period between two offices. - Media attention remained high in 2021, and we continued to prioritise our effective use of media in support of seafarers. - Members of the Mission team took part in numerous webinars and similar across the shipping industry and beyond, as part of our determination to advocate for seafarers and profile our own response. ## 5. **To respond swiftly and decisively to the financial challenges** - After the initial difficulties experienced through Covid-19 in early 2020, fundraising has continued to go through a very successful period. As will be seen in the accounts, we benefited from exceptionally increased legacy income, strong Trust income, continued corporate support (benefiting especially from the networking of one of our Vice-Presidents) and from the impact of our Challenge programme. - As a result, we have been able to sustain and develop our work and grant additional funding in response to the emergency need of front-line operations where income streams have been under 9 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** severe pressure. We have also been able to designate funds for use through the coming strategic period. - Our trustee led Finance Working group has met monthly and completed some ground-breaking work, especially in establishing Financial Parameters for the coming years. Budgets and forecasts have been reviewed frequently and costs controlled as much as possible. - The Investment Committee, learning from market performance in the 2020 and informed by the Financial Parameters, has continued to monitor and review policy to ensure it remains effective and relevant. ## **2022 Objective and activities** As we move into 2022 the Mission, like seafarers, continues to be significantly impacted by the pandemic, facing considerable uncertainty. With many of our traditional services severely compromised (full ship visitation, access to hospitality centres, demand on our transport fleets) it remains unclear what the long-term impact will be on shore leave. Company policy, local regulation and changes in seafarer behaviour may have a medium/long term impact on the services that seafarers need. In this environment the speed at which we can roll out our strategy is limited and spending options challenging. We are not alone in these dilemmas. Urgent discussions are ongoing with our key stakeholders and across the Mission to clarify immediate priorities within the new overall strategic plan. It is likely that our priority focus will be on: - supporting proactive outreach to seafarers (through ship visitation for example), - enhanced digital working and - wider programme. We will be more cautious in relation to centres and transport while we await further clarity. However, it is likely that in-port facilities are going to be important and we are considering how we might successfully invest in a programme of modern, sustainable in-port centres where these are required. **Our new Strategy (2022-26)** highlights four key areas: ## **Programme** Ongoing modernisation of our port-based working, with relevance and sustainability a driving factor at regional and local level, to include: - Support for ongoing centre modernisation, in line with changed need. - Development of a “key hub” programme, focused on existing and new ports where research dictates efforts should be enhanced in relation to maximising access to seafarers and building a multi-skilled team- based approach. Priorities will be established in the early months of 2022. - Enhanced support for developing ship visiting capacity, with a particular emphasis on volunteer development. - Building on recent work in Egypt, further provision of resource where “greatest need” exists, including a commitment to developing our work in the Gulf area, with efforts ongoing to establish maritime welfare in, for example, Saudi Arabia. - Continue our programme of governance development as a high priority in supporting programme, helping our nine regions in developing strong, effective and connected governance with an emphasis on regional councils, common standards (rolled out in 2021), health and safety and safeguarding. We will further develop effective and accountable grant-funding, building on the radical work of the last three years. - Support an improved front-line training programme with enhanced ability to effectively co-ordinate global and regional training at IHQ level – with clarified and changed responsibilities at senior level. A particular priority will be training designed to respond to major change in our working environment. - Continue to improve impact reporting in our port work. - Further development and consolidation of our wider programme with particular emphasis on Family Support Networks, the WeCare educational programmes, the _Seafarer Happiness Index_ and enhanced digital provision – with seafarer facing communications a particular priority (including through the new “Happy at Sea” App to be completed in the second quarter of 2022). - Prioritise the Environment, Social and Governance agenda as a key undergirding framework for regional and local work, with a particular emphasis on developing an effective environmental policy in 2022. 10 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 STRATEGIC REPORT** ## **Provision** - A commitment to better support from IHQ for enhanced regional and local financial sustainability and to: - Consider development of funding hubs outside the UK to run in close collaboration with IHQ – the USA, UAE and East Asia are amongst places under consideration in a five year plan, - Continue to promote maritime corporate income as our key resource for the future, - Further develop external communications as a key factor in growing support. ## **Partnership** Effective partnership in its many forms remains a cornerstone for MtS working. We remain committed to ICMA as a key framework for ecumenical cooperation in front-line working and will: - Continue to strengthen relationships with key maritime bodies, - Promote and support the new shared SIRF fund, - Proactively seek out new partnership opportunities at all levels, including within maritime and in relationship to our colleague Church of England Partner in World Mission agencies, - Continue to promote the best in partnership with the Church of England and global Anglican churches, revisiting and prioritising a church engagement programme. ## **Possibilities** We will encourage the development of an entrepreneurial culture throughout MtS as we respond creatively to changing circumstances and specifically to: - Consider elements of training to support such a culture, - Launch a small project entrepreneurial fund in 2022. ## **Other key areas** In addition to the strategic work the following are key priorities for 2022: - Conclude the move to our new office (planned for April 2022) and successfully implement our new hybrid working model for IHQ staff - Prepare for a significant changeover in Trustees (2023), supporting the current Board in identifying new trustees against our skill matrix and ensuring a strong succession plan - Undertake a fundamental review of our Branch operations, particularly those in the UK, supporting our their work to ensure effective operation, safe practice and clarity of responsibility - Fulfil our plan to fill identified “gaps” in IHQ staffing, to grow numbers appropriately and sustainably - Respond to the External Governance Review, due to report in early 2022. Implement recommendations in liaison with the Board. 11 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** ## **2021 – Income and expenditure** The Consolidated Statement of Financial Activities is shown on page 28. 2021 has been another exceptional financial year for the Mission. Legacy income has increased by 295% to £4,728,000 compared to £1,197,000 in 2020 and includes one legacy from a donor who wished to remain anonymous of almost £3m. We continue to be thankful and humbled by our supporters who have remembered us in their wills. Whilst the Mission experienced a generous response to the Covid-19 pandemic from individuals, grant givers and businesses in 2020, we had assumed that such a level of support may not be sustained for a second year as the financial impact of Covid-19 was felt by our donors. Indeed general donations £1,470,000 (2020: £2,138,000) are down by 31%. Whilst grant donations £959,000 (2020: £1,015,000) are also down this year, the reduction is just 5.5% and is still much higher than the equivalent pre-pandemic figure (2019: £311,000). In 2021, the net operating result was a gain of £3,550,000 (2020: gain £585,000) making it the second year of profit following a sustained period of operating losses. Overall total income has increased by £2,804,000 (48%) to £8,607,000 (2020: £5,803,000) and income from our branches from sales to seafarers has increased slightly to £327,000 (2020: £270,000) as centres have been very proactive in serving seafarers at the quayside. Donations, grants and legacy income, together with investment income make up the Mission’s principal funding sources and represent 92% of total income (2020: 89%). They are a major contribution to funding the cost of the Mission’s charitable activities. Total operating expenditure decreased by £161,000 (3%) to £5,057,000 (2020: £5,218,000, decreased by 2%). Expenditure for charitable activities decreased by 2% to £4,255,000 (2020: £4,377,000, increased slightly by 0.7%) and the costs of Raising Funds decreased by £39,000 (5%) to £802,000 (2020: £841,000, decreased by 14%) as events and activities were constrained by the ongoing Covid-19 pandemic. An analysis of expenditure is given in note 8 to the Financial Statements. The proportion of total expenditure that the Mission considers to be of a charitable nature is 84% (2020: 84%). The Mission’s investment portfolio concluded the year with a gain of £3,383,000 (2020: £959,000). However, unrealised investment gains reflect market movements during the year and are not cash surpluses or deficits. They are not available to fund expenditure unless and until the investment is finally sold. Variations in the stock market can impact on the Mission’s reserves as can be clearly shown in early 2020 when almost £2.2million of the value of the portfolio was initially lost as the Covid-19 pandemic impacted on global stock markets and again at the start of 2022 where losses have of been as much as £2m due to the impact of the war in Ukraine. The Mission participates in various pension schemes. Some are defined contribution schemes with no liabilities at the year end and others are multi-employer, defined benefit schemes where the Mission has an ongoing liability at the year end of £16,000 (2020: £39,000). The 2021 contributions to reduce this liability are £16,000 (2020: £38,000) which represent 0.3% (2020: 0.7%) of total expenditure. The net loss before investment and foreign exchange gains for the Mission’s four (2020: four) subsidiaries is £20,000 (2020: loss £72,000). With their total reserves of £143,000 (2020: £165,000) the trustees confirm that none are in deficit. See notes 2 and 17.2 for further information about the subsidiaries. ## **Balance sheet** The Mission’s group balance sheet shows that net assets have increased by £7m to £43.9 million (2020: £36.9 million) and are made up of; _Restricted reserves_ £922,000 (2020: £1.1 million) (see Note 20) _General reserves_ £26.3 million (2020: £23.1 million) _Designated reserves_ £16.6 million (2020: £12.7 million) which are not available for general purposes. (See note 21) In recognition of the significant increase in 2021 legacy income, the Trustees have designated a further £3m of funds which will be spent in addition to the normal operating budget. Whilst the strategic plans to 2026 cannot yet be accurately costed, the trustees have designated £2m with the anticipation that expenditure will be less in the first year as planning and research is developed. In 2021 the trustees designated £500,000 for emergency Covid-19 support across the Mission and have so far provided £93,000 in grants. Another £500,000 has also been designated to foster a global culture of health and safety and learning. 12 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** ## **Reserves** The Mission’s policy is to maintain general reserves to reflect the long-term nature of its work. As the temporary custodians of these reserves, trustees feel that it is essential that they leave The Mission to Seafarers in a state where it can continue for as long as seafarers need it and there are no signs of this need diminishing. During 2021 the trustees reconfirmed this policy and considered how the reserves should be utilised in light of the proposed five year 2022- 2026 strategy. They continue to believe that unrestricted reserves should not fall below £15m and that there should be a continued, intentional and responsible utilisation of reserves over the strategic period, within agreed parameters. This will be achieved through a targeted reduction of deficit budgets with the aim of attaining long-term financial sustainability but allowing for intentional strategic expenditure or a response to unforeseen circumstances. In the opinion of the trustees, a minimum of £15m reserves continues to be required to meet future working and capital requirements having taken into account the following factors: - The Mission seeks to operate in a proactive manner, to make commitments in terms of manpower, resources and premises for the long term and to provide a reserve of funds sufficient to support operations at locations worldwide where it operates. There are continuing indications that some of the Mission’s operations overseas, which endeavour to be self-funding, are struggling to maintain essential services. The Mission to Seafarers is committed to the principle of maintaining its worldwide support of seafarers and to retaining a sufficient level of funds to give stability to its work, including the provision of emergency financing where necessary for these activities. - In 2021 legacy income was £4,728,000 (2020: £1,197,000). Whilst the Mission has benefited from legacies in the past and hopes to do so in the future, legacy income cannot be relied upon as a continuing and certain source of incoming resources. The trustees have, therefore, made allowance for the uncertainties that arise from legacy income. - In line with the planned, phased reduction in reserves, The Mission to Seafarers anticipates continuing net cash deficits arising from insufficient cash being raised. These deficits will be funded from investment reserves. The trustees have made allowance for the risk that future adverse movement in the market value of investments may impact on the ability to meet operating cash flow requirements and have revised their investment policy to mitigate this risk, including holding a minimum of one year’s expenditure in cash. - Changes in law may impose costs, such as in the area of pensions, where obligations may arise to ensure that current and retired employees are not significantly disadvantaged. The level of the unrestricted general reserves has provided some protection to the Mission and allows time to adjust to changing financial circumstances. This has limited the risk to service provision from operating deficits, such as the Mission has experienced in recent years, or an unexpected need for unbudgeted expenditure. Indeed, during the Covid-19 pandemic in 2020 and 2021 this has provided protection and security for the Mission from the impact of Covid-19 as a proportion of investments were sold to provide enough cashfow to ensure that the Mission remained a going concern whatever the performance of stock markets. Again in 2022, the Mission’s reserves will allow additional unbudgeted funds to be provided to respond to the needs of seafarers and their famiilies resulting from the war in Ukraine. The reserves will also help to weather the impact of investment losses as global stock markets respond to the conflict and to any fall in income should donors be impacted by soaring costs of oil, gas and grains. It should be noted that although the Mission has had two years of profitable operation, in the five years preceding 2020, the cumulative operating deficit was £4.8 million. It is only the performance of the Mission's investment portfolio, the sale of some property assets and, in 2021, an exceptional legacy that has contributed to the current level of reserves. 13 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** ## **Going concern** The trustees consider that it is appropriate for the Financial Statements to be prepared on a going concern basis as they believe that the current level of reserves and cash holdings at the date of signing will enable the Mission to survive the continuing impact of the Covid-19 pandemic and any impact from the war in Ukraine. They will also ensure that the Mission can continue to be able to support seafarers for the foreseeable future. ## **Risk Management** The Board of Trustees has overall responsibility for risk management and maintains a Risk Register. This is included in the remit of the Audit and Risk Committee and continually monitored by the Senior Management Team. The Risk Register identifies risks which: - could have a serious impact on the viability or survival of the Mission - estimates the likelihood of such an event occurring - assesses the impact it would have if it occurred - identifies what controls are already in place to reduce the impact or probability of the event occurring - identifies what else could be done to reduce the probability or potential impact - identifies the person(s) responsible for monitoring the risk and taking appropriate action. The Register is reviewed as needed, but as a minimum it will be looked at annually. It was reviewed by the Audit and Risk Committee in April and October and by the Board of Trustees in July to further take stock of the impact of the Covid-19 pandemic and the implications on the Mission and the wider environment. Some risks have been expanded and/or repositioned based on the score of each risk. The principal risks that the Mission faces and the actions it takes to mitigate these risks are that: - It is unable to raise sufficient funds to permit it to maintain or expand the services it offers to seafarers to meet the level of need identified. It was feared that this risk would materialise as a result of the ongoing impact of the Pandemic. In response the Development team diversified some fundraising methodologies including on-line challenge events and launched several targeted appeals for funds to support various areas of the Mission’s Covid-19 response and on-going operations. A combination of generous contributions from the major maritime welfare trusts, shipping corporates, and strong period for legacies have yielded a good financial result for the period. Additionally, budgets and income forecasts are being updated regularly with an emphasis on reducing costs where possible and close financial monitoring is in place through forecasts, management accounts and oversight of the Audit and Risk committee. - An employee, volunteer or any other individual who comes into contact with the Mission’s work becomes subject to sexual harassment or abuse as a result. The Mission’s main resource in delivering services is its staff and volunteers who are subject to reference checks prior to engagement and DBS checks where appropriate. Staff and volunteer handbooks provide guidance and information on behaviour with training and on-going performance reviews to ensure that staff maintain the highest of standards. A Safeguarding and Professional Conduct Policy has been devised and implemented, supported by appropriate training. A Safeguarding Working group has been established with a Safeguarding lead trustee and deputy nominated. Adoption and implementation of this policy is a condition included in MOUs for all grants provided by the Mission. There are also contingency damage limitation plans in place and an Emergency Response committee. ## **Investment Policy** The Mission holds investments to help meet its current and future obligations and as a reserve against future shortfalls between income and expenditure. It is intended to hold reserves for the long term as the need to provide support and care to seafarers is not diminishing and it is expected that the Mission’s activities, including long term housing commitments to retired employees and Church of England pension obligations, will continue for many years. The overall aim of the Mission in holding investments is to produce the best financial return within an acceptable level of risk, in order to protect the long term reserves against inflation and produce regular flows of funds to support fixed costs and operating activities both in the UK and overseas. 14 **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** The investment reserves are divided into: - reserves expected to be held for a long term time horizon (more than 3 years) to provide a total net annual return which exceeds inflation plus 5% over a five-year period - those held for the short to intermediate term (0 to 3 years) to preserve the capital value with a minimum level of risk. These assets should be readily available to meet anticipated cash flow requirements. In the implementation of this policy, the trustees follow the Charity Commission guidance for the investment of charitable funds. Additionally, the Mission does not wish to profit directly from, or provide capital to, activities that are materially inconsistent with Christian values. This is ensured as the trustees also follow the guidelines of the Church of England’s Ethical Investment Advisory Group which may prohibit or limit the investment in stocks with exposure to certain sectors, such as armament and tobacco. The trustees will select one or more professional investment management firms to manage its investments in line with this policy. Such appointments can be in the form of bespoke agreements to manage the Mission’s portfolio on a segregated basis, or via investments in pooled vehicles. The Investment Committee will from time to time make recommendations to the Board on the best approach to use, based on its assessment of the relative merits of each. The Investment Committee also performs the oversight of the Investment Managers and periodically reviews their performance, commercial terms and overall services and, if appropriate, makes recommendations to the Board for any change. This policy was reviewed in 2021. ## **Investment Portfolio** CCLA, which is regulated by the Financial Conduct Authority, is the investment manager for the Mission’s funds. The assets have been invested with CCLA in the Church of England Investment Fund (Investment Fund) which is a multi-asset common fund worth over £2,143 million and benefits from charitable status. Investment in the Investment Fund is based on the purchase of units that can be bought or sold at any time. The prime objective of the Investment Fund is to protect and grow the real value of the capital invested and the income that it provides and it is managed in accordance with the policies of the Church of England’s Ethical Investment Advisory Group and therefore fits with the Mission’s investment policy. ## **Investment Performance** In 2021 the total return net performance for the Mission’s investments managed by CCLA was a gain of 17.46% (2020: 10.2%) and the performance of the comparator was a gain of 16.96% (2020: 3.95%). Gross dividend yield was 2.64% based on an annual dividend of 61.79p (2020: 2.93% based on an annual dividend of 59.99p). (Comparator - composite: from 01.01.21 MSCI World 75%, MSCI UK Monthly Property 5%, iBoxx £ Gilts 15% & SONIA 5%. From 01.01.18 MSCI UK IMI 30%, MSCI World Ex UK 45%, MSCI UK Monthly Property 5%, iBoxx £ Gilt 15% & 7 Day LIBID 5%.) ## **Fundraising** The Development team at the London IHQ is responsible for fundraising, communications and marketing. The team has continued to build upon the previous year’s results in generating a substantial level of income for the charity whilst working around the continuing challenges that the Covid-19 pandemic has placed on fundraising activities. Our marketing and communications obligations have also continued to increase the profile of the Mission across the wider global maritime world, increasing awareness of our work and the reliance that we all have on seafarers. Total fundraised income at IHQ for 2021 was £6,234,000 (2020: £3,663,000) an increase of £2,571,000 (70%) which is due to increased legacy income of £4,279,000 (2020: £1,197,000). We are very grateful to those supporters who made these commitments, sometimes many years ago. We also thank those who have pledged legacies during the year. This is a valuable source of income for us. Donations are received from individuals, churches, fundraising committees, grant giving bodies, trusts and corporates, especially those in the maritime sector. Some donations are linked to specific appeals such as the regular Lent, Summer, Christmas and Sea Sunday activities or specific events and campaigns such as the 2020 _Flying Angel Campaign_ . Some individuals and teams undertake challenge events many of which continued to be ‘virtual’ instead of physical in 2021 as the Covid-19 pandemic continued. 15 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** Corporate income of £726,000 (2020: £1,086,000, which included £658,000 for the _Flying Angel Campaign_ ) continued to produce an impressive result as companies recognised the vital importance of the Mission’s global work with seafarers. We must acknowledge fully here the role of Esben Poulsson, one of our Vice Presidents, for his tremendous influence in encouraging his network to support our Sustaining Crew Welfare Campaign. That campaign was launched in the autumn of 2020 to provide support to our centres around the world and to provide support for training and our Family Support services. The campaign continued during 2021 and has raised a further £336,000 (2020: £158,000). Our partnership with the UKP&I Club continues into a fourth year, with support for the WeCare programmes. During 2021, the training was moved onto an e-learning platform and many maritime companies took advantage of the social communications, financial wellbeing and the mental health resources training for their seafarers. Work with HFW continues to provide vital pro bono and fundraising support, for which we are so very grateful and we deeply appreciate all the companies, trusts, foundations and individuals who have continued to support us so generously to help seafarers in so much need. The Events programme raised £118,000 (2020: £72,000) and many events continued in a virtual format. However there was some move back to in-person events such as the successful bike ride ‘The Graig 100’ which included over one hundred riders and raised £38,000 and we were very pleased to be able to hold the annual Festival of Nine Lessons and Carols service in person at All Hallows in London. 2022 will see the launch of the Mission’s major _Adventure Race Japan_ which is scheduled to take place in May 2023. Community fundraising once again was impacted by the pandemic raising £94,000 (2020: £119,000). Efforts continued to ensure we maintained our profile ready for an increase in return to churches and community fundraising events for 2022. Individual giving increased for the third year running to £493,000 (2020: £462,000) with increased responses to appeals and direct debit payments. Our Trusts and Foundations income at £523,000 fell back from 2020 levels (2020: £725,000) although it was still better compared to the 2019 pre-Covid-19 result (2019: £371,000). We also greatly assisted the global Mission family by providing trust expertise, the value of which does not appear in these accounts. At the end of 2021 we appointed a new Communications Officer to support our Senior Digital Communications Officer, recognising the increase in workload over the past two years as our communications activity increased substantially. This will help us focus our communications into a more targeted approach using analytical skills building upon the past two years’ successes. The communications agency Blue has played an important role in supporting us and ensuring that our responses to journalist and media opportunities are targeted and focused. The Secretary General continued on the International Chamber of Shipping led industry group and played a significant role in the newly formed Seafarers International Relief Fund, which was in response to the increase in the pandemic in India. As we enter 2022, we are improving and structuring our communications activity, to ensure the most efficient delivery of this activity to the IHQ team and the wider global Mission in line with the Global Strategy. The Mission is a contributor to the Fundraising Regulator who regulates fundraising in England and Wales with the aim of protecting donors to charities and ensuring that fundraising is respectful, open, honest and accountable to the public. In accordance with The Charities (Protection and Social Investment) Act 2016 we confirm that; - The Mission carefully monitors all of its fundraising activities to ensure that they are compliant with the recognised standards of fundraising (as set out in the Code of Fundraising Practice) and that none were undertaken by a professional fund-raiser or commercial participator on behalf of the Mission - The Mission is bound by and complies with the Fundraising Regulator’s voluntary regulation scheme - - No complaints were received about our fundraising activities (2020: none) - All fundraising activities are overseen by the Director of Development who ensures that the Mission’s fundraising activities do not include: - Unreasonable intrusion on a person’s privacy - Unreasonable persistent approaches for the purpose of soliciting a donation or - Placing undue pressure on a person to give money or other property. 16 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 FINANCIAL REVIEW** ## **Environment, Social, Governance** The Mission to Seafarers is taking the Environment, Social, Governance (ESG) agenda and its responsibilities with great seriousness. Trustees and senior management are keeping it at the forefront of our thinking and it has already been heavily discussed, including with external input. We seek alignment with best practice. The Social and Governance aspects are well advanced in terms of current policies and operations. Environmental policies and practice are the focus of current thinking and planning. An Environmental Action Group, with global representation, has been meeting since November 2021 and will be making recommendations. It will be our aim to ensure that appropriate policies and cultures are in place globally. We are conscious that our global carbon footprint has been much reduced through the pandemic period (2020 and 2021). Severe restrictions on travel, vehicle usage, staff commuting and centre usage have all been key factors. As we emerge into more “normal” times we are seeking appropriate measurements, benchmarks and policies. Environmental responsibility is seen as a core value and is contained within the new strategy. The Mission to Seafarers plans to roll out ESG reporting annually in stages from 2023 (for the 2022 year). 17 **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 CHARITY INFORMATION** A charity registered in England and Wales, no.1123613 A company limited by Guarantee, registered in England and Wales no. 6220240 ## **Patron** Her Majesty The Queen ## **President** Her Royal Highness The Princess Royal ## **Vice Presidents** Esben Poulsson Grahaeme Henderson |**Trustees**|| |---|---| |Thomas Boardley (Chairman)|[*GN]| |Rosemary Alexander|[*A] [I]| |The Ven Christopher Burke (Vice Chairman)|[GN]| |Robert Ferris OBE|[A] [G]| |William MacLachlan
|[GN] [R]| |David Moorhouse CBE (Vice Chairman)|[GN]| |Neale Rodrigues MM (Vice Chairman)|[R] [GN]| |Timothy Smith (from January 2022)|| |Claire Sneddon|[G] [A]| |Sam Swire|[*G]| |The Very Revd Andrew Tremlett|[*R]| |Peter Cottrell|[*I]| |The Right Revd David Williams|[G]| |**Company Secretary**|| |Virginie Potbury (to November 2021)|| |Jayne Rose (from April 2022)|| |**Key Management Personnel**|| |**Secretary General**|| |The Revd Canon Andrew Wright|[G] [GN]| |**Director of Advocacy and Regional Engagement**|| |Ben Bailey|| |**Director of Development**|| |Jan Webber|| |**Director of Finance**|| |Eileen Reilly|[I]| |**Director of Human Resources and Administration**|| |Tomilayo Toluhi|[G]| ## **Committees** ## ***Denotes the Chair of the relevant Committee** **G. Grants and Programmes Committee (Formerly Grants Committee) GN. Governance and Nominations Committee** **R. Remuneration Committee** Helen Averill (External) - from March 2021 **I. Investment Committee** Jim Aiken (External) Paul Jeffries (External) - from July 2021 **A. Audit and Risk Committee** Rachel Lawton (External) - from April 2021 18 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 CHARITY INFORMATION** ## **Custodian Trustee** The Mission to Seafarers Trust Corporation Ltd acts as a custodian trustee on behalf of The Mission to Seafarers holding real estate property and investments. ## **Joint Corporate Trustee** The Mission to Seafarers is a joint corporate trustee of; - Humber Seafarers’ Service, Charity No. 1159953 - Felixstowe and Haven Ports Seafarers’ Service, Charity No. 272077 - Port of Bristol Seafarers Centre, Charity No. 286078 ## **Registered Office** ## **First Floor, 6 Bath Place, Rivington Street, London EC2A 3JE** ## **External Advisers** ## **Auditors** Price Bailey LLP, 3rd Floor, 24 Old Bond St, Mayfair, London W1S 4AP ## **Bankers** HSBC Plc, 20 Eastcheap, London, United Kingdom, EC3M 1ED ## **Investment Advisers** CCLA, Senator House, 85 Queen Victoria Street, London, EC4V 4ET ## **Solicitors** Blake Morgan LLP, New Kings Court, Tollgate, Chandler’s Ford, Eastleigh, United Kingdom, SO53 3LG HFW, Friary Court, 65 Crutched Friars, London, EC3N 2AE 19 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 GOVERNANCE, STRUCTURE AND MANAGEMENT** ## **The Mission to Seafarers; the charity** The Mission is a charity, constituted as a company limited by guarantee and not having share capital. The Mission is governed by a Board of Trustees (the Board) which forms the Board of Directors. Members of the Board are both trustees of the charity and directors of the company, as constituted by the Mission’s _Articles of Association_ . The current Articles of Association are dated 28 April 2020. ## **The charity’s trustees and management** The Board is drawn from prominent leaders with wide experience of seafaring life, including the shipping industry and from London’s financial centre, the City of London. The Mission also invites leading members of the clergy to serve as trustees. The procedure for the election and appointment of trustees is set out in the _Articles of Association of The Mission to Seafarers_ . Trustees and management regularly review the skills and experience of the current members of the Board to try to identify new candidates who might strengthen particular areas. Trustees may normally serve on the Board for two terms of four years. In exceptional circumstances, this can be extended to three terms, with annual re-election during the last term. The Board requires a quorum of five trustees and normally meets four times a year. It is the governing council of the organisation. Newly appointed trustees are given an induction which provides them with information on the work of the organisation and highlights their responsibilities as a trustee. Some trustees may also undergo specific training courses as required for their roles. Trustees are also required to sign a _Code of Conduct_ and complete a _Register of Interests_ on appointment and annually thereafter. The Board has five permanent sub-committees: - Audit and Risk - Grants and Programmes Committee - Governance and Nominations - Investment - Remuneration Each of the above committees is made up of trustees and members of the executive staff. Where appropriate, the Board may co-opt independent and professional expertise from external sources, for the benefit of a committee's work. The day to day management of the charity is delegated to the Secretary General who reports to the Board and leads the Senior Management Team. He also directly manages the Regional Directors for Europe, East Asia, Middle East and South Asia (formerly South Asia & the Gulf) and Latin America. The Mission to Seafarers’ International Headquarters takes a leading role in designing and rolling out processes to improve unity, protect the “brand”, deliver global projects and agree strategic objectives for the Mission to Seafarers’ global family. In addition, it provides a support function for the regions by disseminating information, conducting research, providing fundraising, brand and marketing services, and managing publications and digital media, including websites. The Secretary General – amongst other duties – provides the spiritual leadership for the Ministry teams which support seafarers in need around the world. The Mission is entirely funded by voluntary donations and relies on the deep generosity of loyal supporters. ## **Delivery structure of direct Mission activities** ## - **Regional network** The Mission to Seafarers’ regional network is made up of nine regions: - Europe � Middle East and South Asia - � East Asia � Latin America and the Caribbean � USA � Canada � Australia � Oceania (New Zealand and South Pacific Islands) � Africa 20 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 GOVERNANCE, STRUCTURE AND MANAGEMENT** The Regional Directors of four of these regions, Europe, East Asia, Middle East & South Asia and Latin America, are directly managed by the Secretary General and so are responsible to the Mission trustees. The remainin g five are made up of independent Mission charities with their own governing councils (except for the USA, where size does not justify). They work closely with the Mission and co-operate on matters of welfare provision and communications. They are responsible for their own financial affairs and statements. These regions provide a dynamic and responsive welfare service for seafarers, working in partnership with the four Mission regions. In 2021 the Mission continued to provide grant-funding to all independent regions to support regional development. Through the regional network, the Mission was able to give support and advice at around 150 ports through the independently run Mission to Seafarers’ charities and organisations as part of the global Mission family. Parttime honorary chaplains appointed by the Mission also provided support for seafarers and were a point of contact for emergencies. The role of the honorary chaplain varies with the port and country in which the chaplain is located, but it is a key voluntary support system, which taps into local maritime knowledge and skills. ## **– Global network** The Mission to Seafarers welfare services to seafarers in the regions detailed above were provided through directly salaried, or grant-funded, port-based chaplaincy and/or ship visitor teams in the following areas, with ‘memoranda of understanding’ in place at all key locations: ||**Directly**|**Grant Funded and**|**Grant funded, managed**| |---|---|---|---| |**Port/Area**|**employed by the**|**directly managed by the**|**by independent**| ||**Mission**|**Mission**|**organisations/regions**| |Antwerp, Belgium|�||| |Aqaba, Jordan||�|| |Bahrain Port||�|| |Baltimore, USA|||�| |Bangkok, Thailand|�||| |Belfast, N Ireland|�||| |Buenos Aires, Argentina||�|| |Busan, South Korea||�|| |Costa Rica||�|| |Colombo, Sri Lanka||�|| |Dubai, United Arab Emirates|�||| |Dunkirk, France||�|| |Felixstowe, UK|�||| |Hong Kong, China|�||| |Humber, UK|�||| |Israel|||�| |Izmir, Turkey||�|| |JNPT, India||�|| |Liberia|||�| |Limassol, Cyprus||�|| |Lyttelton, New Zealand|||�| |Milford Haven, UK|�||| |Mombasa, Kenya|||�| |Nelson, New Zealand|||�| |Panama|�||| |Port Stanley, Falklands|||�| |Richards Bay,SA|||| |Rotterdam, The Netherlands|�||| |Rouen, France|||�| |Said & Suez ports, Egypt|||�| |Scottish Ports, UK|�||| |Seattle, USA|||�| |Southampton, UK|�||| |South Wales ports, UK|�||| |Suape, Brazil||�|| |Tuticorin, India||�|| |Yokohama, Japan|�||| 21 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 GOVERNANCE, STRUCTURE AND MANAGEMENT** ## **- Branches** In addition to, and in conjunction with chaplaincy services, charitable activities were carried out by the Mission’s 14 (2020: 14) branches, the majority of which provide centre-based facilities. They were directly controlled by the Mission through local employees and the excellent and committed work of local volunteer committees, governed by Branch Constitutions. The branches employ 8 (2020: 8) staff paid from IHQ and 8 (2020: 15) staff employed locally, excluding their six chaplains who are included in the table above. Their financial results are consolidated into the Financial Statements set out on pages 28 to 31 of this report and they operate in the following locations; Aqaba, Jordan Belfast, UK Dubai, United Arab Emirates, UK Falmouth, UK Fowey, UK Humber Ports, UK Newport, UK Panama, Latin America Port Talbot, UK South Shields, UK South Wales ports, (Welsh Council), UK Tees (North), UK Tees (South), UK Bangkok, Thailand A branch of the Mission was also registered in the Philippines in 2021 but due to the impact of the Covid-19 pandemic, it has not yet formally commenced operations. - **The Mission group** The Mission to Seafarers’ group includes the following companies, which are classified as subsidiaries. Their financial results are consolidated into these accounts and they are wholly controlled by the Mission; - The Dunkirk War Memorial Trust Ltd. - The Flying Angel Belfast Ltd. - The Mission to Seafarers Scotland Ltd. - The Mission to Seafarers Trust Corporation Ltd. The subsidiaries employ no staff (although a total of 4 staff were employed until November 2021 when the operations in Dunkirk ceased) (2020: 4) with none (3 until November 2021) (2020: 3) directly providing welfare and services to seafarers including centres, ship visiting and transportation. Please see Note 2 for further information about the above subsidiaries and their 2021 results. The Regional Directors of four of these regions, Europe, East Asia, Middle East & South Asia and Latin America, are directly managed by the Secretary General and so are responsible to the Mission trustees. The remaining five are made up of independent Mission charities with their own governing councils (except for the USA, where size does not justify). They work closely with the Mission and co-operate on matters of welfare provision and communications. They are responsible for their own financial affairs and statements. These regions provide a dynamic and responsive welfare service for seafarers, working in partnership with the four Mission regions. In 2021 the Mission continued to provide grant-funding to all independent regions to support regional development. Through the regional network, the Mission was able to give support and advice at around 150 ports through the independently run Mission to Seafarers’ charities and organisations as part of the global Mission family. Parttime honorary chaplains appointed by the Mission also provided support for seafarers and were a point of contact for emergencies. The role of the honorary chaplain varies with the port and country in which the chaplain is located, but it is a key voluntary support system, which taps into local maritime knowledge and skills. 22 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 GOVERNANCE, STRUCTURE AND MANAGEMENT** ## - **Ecumenical** Many of the global family of charities, seafarers’ centres and organisations work in partnership through local ecumenical networks, and in some cases co-owned property, via their membership of ICMA. In the UK, the Mission participates in Ecumenical centres where it is a joint trustee and directly involved in their management although plans are progressing to transfer those centres to the Queen Victoria Seaman’s Rest during 2022. Further information is provided in note 23. ## **Remuneration** We recognise that we are accountable to our donors, supporters and beneficiaries and we are committed to ensuring maximum value in the use of resources. We also take our duty to provide a high quality and effective service very seriously. It is dependent upon our ability to attract and retain suitably qualified employees with the right knowledge, skills and experience. The Remuneration Committee, which consists of three trustees and one external member, has delegated responsibility from the Board to provide governance oversight on the principles and policies for setting pay and benefits within the charity. The Committee conducts an annual salary review based on forecast charity pay awards which are linked to the Retail Price Index (RPI), the Consumer Prices Index (CPI) and Average Weekly Earnings (AWE). Any inflationary awards or salary adjustments are subject to affordability. All job descriptions are evaluated based on The Mission to Seafarers’ Job Factor Framework, which consists of seven agreed organisation-wide criteria, to establish the grade of the role based on the job size, complexity and level of responsibility. The salaries of chaplaincy staff employed from IHQ are set with reference to the Church of England National Stipend Benchmark. Lay staff salaries within the UK are benchmarked against the Croner Charity Rewards annual survey. Locally employed chaplains and lay staff are paid a fair wage based on local levels. The Remuneration Committee has adopted a policy of paying median salaries compared to charities of a similar size and nature, to ensure competitiveness. The Committee approved a policy of paying all staff above the Real Living Wage which was implemented from 2015. The Committee is also responsible for setting the salary of the Secretary General. Accordingly, the trustees consider that the remuneration policy of the charity is fair and transparent. ## **Public Benefit** The activities, achievements and plans relating to the Mission’s work are detailed in pages 2 to 16 of this report and the trustees confirm that they are carried out, in line with its charitable object and objectives, for the benefit of the public. They further confirm that the impact of our work on service users is a key criterion when deciding what activities to undertake and how best to achieve our mission. The Mission to Seafarers’ trustees therefore confirm that they have complied with the duty in section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission in determining the activities undertaken by the charity. 23 THE MISSION TO SEAFARERS TRUSTEES, ANNUAL REPORT AND ACCOUNTS 2021 STATEMENT OF TRUSTEES. RESPONSIBILITIES The Iruslees Iwho a￿ also d1￿CtorS of The Mission to Seafarers for the purposes of company law} are responsible for preparing the Trustees, Annual Report including the Strategic Reportl and the financial statements in accordance wth applicable law and United Kingdom Accounting Standards (Unrted Kingdom Generally Accepted Accountsng Practice). Company law requires the trustees to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom A￿0lbntin9 Standards and applicable lawl. Under company law the directors must not approve the finan¢i31 statements unless they are satisfied that they give a true and fair view of the stale of affair5 of the charitable company and of the incoming resources and applscalion of resources, including the income and expenditure, of the charrtable company for that period. In preparing these financial statements, the Iruslees are required to: select suitable accounting poI￿leS and then apply them consistentty., observe the methods and principles in the Charth"es SORP FRS102120191', make judgements and accounbng esb"m*es that are ￿aSonable and prudent,. state whether applicable UK Accounting Standards have been followed, subject lo any matenal departures disclosed and explained in the finallfjial sl*ements'. prepare the finanaal statements on the going concern basis unless it is inappropriate to presume that the chaTrtable company ￿111 continue in operatson. The trustees are respM)nsible for keeping adequate accounting re¢ortls that are sufficient to show and explain the charitable company's transactions and disclose wrth reasonable ac¢ura¢y at any time the financial position of the group and charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 They are also responsib￿ for safeguarding the assets of the Chantable company and hence for taking reasonable steps for the prevention and dete¢tion of fraud and other irregularities. The trustees are responsible for the Maintenan￿ and integrity of the corporate and financial information included on the charitable company's websrte. Legislation In the United Kingdom governing the p￿paratiOn and dissemination of financial ststements may differ from legislat￿n in other jurisdKb"ons. In so far as the trustees are avore.. there is no relevant audrt information of vthich the chanlable company's auditor is unaware". and the Iruslees have tsken all steps that they ought to have taken to make themselve5 aware of any relevant audrt Infomialion and to establish that the auditor Is aware of that infomation. Approved and authoftsed for issue by the Board on 1510912022 and signed on tts behalf by.. Thomas Boardley Chaimian of the Board Director CLAIRL 5tsJ£tsDofvJ 24 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE MISSION TO SEAFARERS** ## **Opinion** We have audited the financial statements of The Mission to Seafarers (the ‘parent charitable company’) and its subsidiaries (the 'group') for the year ended 31 December 2021 which comprise of the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheet, the Group Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the group’s and parent charitable company’s affairs as at 31 December 2021, and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Companies Act 2006. ## **Basis for opinion** We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions relating to going concern** In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the group 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 group and parent charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The other information comprises the information included in the trustees annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the group financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. ## **Opinions on other matters prescribed by the Companies Act 2006** In our opinion, based on the work undertaken in the course of the audit: - the information given in the trustees' report (incorporating the strategic report and the directors’ report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the strategic report has been prepared in accordance with applicable legal requirements 25 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE MISSION TO SEAFARERS** ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the directors’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: - adequate and sufficient accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or - the parent charitable company’s financial statements are not in agreement with the accounting records and returns; or - certain disclosures of directors’ remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit ## **Responsibilities of trustees** As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the parent charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the group and parent 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 group or parent charitable company or to cease operations, or have no realistic alternative but to do so. ## **Auditor responsibilities for the audit of the financial statements** We have been appointed auditor under the Companies Act 2006 and report in accordance with those Acts 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: We gained an understanding of the legal and regulatory framework applicable to the Charitable Group and the sector in which it operates and considered the risk of the Charitable Group not complying with the applicable laws and regulations including fraud in particular those that could have a material impact on the financial statements. This included those regulations directly related to the financial statements, including financial reporting, and tax legislation. In relation to the operations of the Charitable Group this included compliance with the Charities Act and SORP 2019, GDPR, employment law, safeguarding and health & safety. The risks were discussed with the audit team and we remained alert to any indications of non-compliance throughout the audit. We carried out specific procedures to address the risks identified. These included the following: Reviewing minutes of Board meetings, reviewing any correspondence with the Charity Commission, agreeing the financial statement disclosures to underlying supporting documentation, enquiries of management and officers of the Charitable Group and a review of the risk management processes and procedures in place. We have also reviewed the procedures in place for the reporting of any incidents to the Trustee Board including serious incident reporting of these matters as necessary with the Charity Commission. 26 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF THE MISSION TO SEAFARERS** Management override: To address the risk of management override of controls, we carried out testing of journal entries and other adjustments for appropriateness. We reviewed systems and procedures to identify potential areas of management override risk. We also assessed management bias in relation to the accounting policies adopted and in determining significant accounting estimates, including treatment of legacies and grant income, and the valuation of investments. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the FRC's website at: https://www.frc.org.uk/auditors/audit-assurance/auditor-s-responsibilities-for-the-audit-of-the-fi/description-ofthe-auditor%E2%80%99s-responsibilities-for. This description forms part of our auditor’s report.. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. ## **Use of our report** This report is made solely to the parent charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and to the parent charitable company’s trustees, as a body, in accordance with the act. Our audit work has been undertaken so that we might state to the parent charitable company’s members and its trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the parent charitable company and the parent charitable company’s members as a body and the parent charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed. ## _**Helena Wilkinson BSc FCA DChA (Senior Statutory Auditor)**_ For and on behalf of ## **Price Bailey LLP** Chartered Accountants Statutory Auditors 3rd Floor, 24 Old Bond St, Mayfair, London W1S 4AP Date: 27 September 2022 27 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES INCORPORATING A CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT AT 31 DECEMBER 2021** |**Notes**
**Unrestricted**
**Funds**
**£’000**
**Restricted**
**Funds**
**£’000**
**Total**
**2021**
**£’000**
**Income:**
Donations and legacies
3
**6,663**
**585**
**7,248**
Charitable activities
_(Provision of services to_
_seafarers)_
4
**327**
**-**
**327**
Other trading activities
_(Commercial Trading)_
5
**239**
**-**
**239**
Investments
6
**712**
**-**
**712**
Other
7
**81**
**-**
**81**
**Total income**
**8,022**
**585**
**8,607**
**Expenditure:**
Raising Funds
_(commercial trading and_
_Fund raising activities)_
**802**
**-**
**802**
Charitable activities
_(Provision of services to_
_seafarers)_
**3,493**
**762**
**4,255**
**Total**
**Expenditure**
8
**4,295**
**762**
**5,057**
**Net income/(expenditure)**
**from operational activities**
**for the year**
**3,727**
**(177)**
**3,550**
**Net gains on investments**
**3,383**
**-**
**3,383**
**Net income for the**
**year**
**7,110**
**(177)**
**6,933**
Transfers between funds
20
**35**
**(35)**
**-**
**Other recognised**
**(losses)**
Foreign Exchange
(losses)
**(36)**
**-**
**(36)**
**Net Movement in Funds**
**7,109**
**(212)**
**6,897**
**Reconciliation of Funds**
Total funds brought forward
**35,825**
**1,134**
**36,959**
**Total Funds Carried**
**Forward**
21
**42,934**
**922**
**43,856**|_Unrestricted_
_Funds_
_£’000_
_Restricted_
_Funds_
_£’000_
_3,042_
_1,434_
_270_
_-_
_192_
_-_
_708_
_-_
_157_
_-_
_4,369_
_1,434_
_841_
_-_
_3,494_
_883_
_4,335_
_883_
_34_
_551_
_959_
_-_
_993_
_551_
_42_
_(42)_
_(13)_
_-_
_1,022_
_509_
_34,803_
_625_
_35,825_
_1,134_|_Total_
_2020_
_£’000_
_4,476_
_270_
_192_
_708_
_157_
_5,803_
_841_
_4,377_
_5,218_
_585_
_959_
_1,544_

_-_

_(13)_

_1,531_

_35,428_

_36,959_| |---|---|---| |||| All activities are continuing except for the Dunkirk War Memorial Trust which ceased operations in France on 30 November 2021 (see Note 2.1). Notes 1 to 32 form part of these Financial Statements. 28 THE MISSION TO SEAFARERS TRUSTEES, ANNUAL REPORT AND Accoupifs 2021 CONSOLIDATED BALANCE SHEET AT 31 DECEklBER 2021 Company Nurn￿r 6220240 Notos Unrestricted Funds £'ooo Restricted Fund3 £'ooo 60 Total 2021 £'ooo 94 Total 2020 £OLK+ Intangible Fixed Assets Fixad Assets Tangible assets Investments 16 16 17 3.885 29.849 426 4,311 29.849 4, 769 23,209 Total fixed assets 33,768 486 34.2S4 27,981 Current Assets Stocks Debtors Investments- short tem) deposits Cash at bank and in hand 14 830 7,199 1.500 14 830 7.199 1.936 18 597 7,299 7,493 18 436 Totsl current assots 9,543 436 9.979 9.407 Llabilitie5 Creditors falling due wthin one year 19 361 361 390 Net curr•nt assets 9,182 436 9.618 9,017 Nèt assets excluding ￿nsIon liability Defirt￿ benefit ponsion scheme 15 42,950 922 43,872 36,998 16 16 39 Total ￿t assots 42.934 922 43,856 36.959 Charity Funds Unrestri¢led general Unrestricted designated Restn"cled income funds 21 21 20 26.339 16.595 26.339 16,S9S 922 23.082 12, 743 1, 134 922 Total Charity Funds 42,934 922 43,856 36,959 Approved and auth0ri5ed for issue by thè Board on 15 September 2022. Signed on its behalf by.. Thomas Boardl¢y Chairnian of thè Board Dlrector Notes 1 to 32 forni part of these Financk41 Statements. LAikL STrJEf)tyoNJ 29 THE MISSION TO SEAFARERS TRUSTEES, ANNUAL REPORT AND ACCOUNTS 2021 COMPANY BALANCE SHEET AT 31 DECEMBER 2021 Company Number 6220240 Notes Unrestrict8d Funds £'ooo Restricted Fund$ £'ooo 60 Total 2021 £'ooo Total 2020 £000 Intangible Fixed Assets Fixed Assets Tangible assets Investments 16 16 17 3,885 29.735 426 4.311 29.735 4.563 23.110 Total fixed assets 33.654 486 34.140 27,673 Current Assets Sto¢ks 13 13 10 Debtors Investments- short term deposrts Cash at bank and in hand 18 1,198 7,199 1,073 1,198 7.199 1,$09 901 7,299 1,300 436 Total current assets 9,483 436 9.919 9,570 Liabilities Creditors falling due wrthin one year 19 330 330 350 Net current assets 9.153 436 9.589 9.160 Net assèts excluding pension liability Defined benefit pension scheme liability 42,807 43,729 36,833 16 16 39 Total net assets 42.791 922 43.713 36.794 Charity Funds Llnreslricted general 26.339 26,339 23.082 Unrestricted designated Restricted income funds 16.452 16.452 922 12,578 1. 134 20 922 Total Charity Funds 42,791 922 43,713 36,794 Approved and 8Uthonsed for issue by the Board on 1510912022. Signed on its beharf by". Thomas Boardley Chairman of the Board Dirèctor Notes 1 to 32 form part of these Finart¢ial state￿nIs. 30 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 CONSOLIDATED STATEMENT OF CASH FLOWS AT 31 DECEMBER 2021 Company Number 6220240** |**Notes**
**Cash flows from operating activities:**
**_Net cash used in operating activities_**
28
**Cash flows from investing activities:**
Dividends and interest from investments
Proceeds from the sale of assets
Purchase of assets
Purchase of investments
Proceeds from sale of investments
**Net cash provided by investing activities**
**Change in cash and cash equivalents in the**
**reporting period**
Cash and cash equivalents at the beginning of the
reporting
period
Change in cash and cash equivalents due to exchange rate
movements
**Cash and cash equivalents at the end of the reporting period**||**2021**
**£’000**
**2,580**
**712**
**477**
**(133)**
**(3,257)**
**-**
**(2,201)**
**379**
**8,792**
**(36)**
**9,135**|_2020_
_£’000_
_(41)_
_708_
_418_
_(114)_
_-_
_5,000_
_6,012_
_5,971_
_2,834_
_(13)_
_8,792_| |---|---|---|---| ||||| ||||| Notes 1 to 32 form part of these Financial Statements. 31 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **1. ACCOUNTING POLICIES** The Mission to Seafarers (the Mission) a company limited by guarantee (No. 6220240) and a charity (No. 1123613) both registered in England and Wales. The registered address is First Floor, 6 Bath Place, Rivington Street, London EC2A 3JE. The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the Financial Statements are shown below and the presentational currency of the financial statements is Sterling. ## **1.1 Basis of preparation** 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 (FRS102) (effective 1 January 2019) - (SORP (FRS102)) and the _Companies Act 2006_ . The Mission to Seafarers meets the definition of a public benefit entity under FRS102. The Financial Statements have been prepared in sterling and rounded to the nearest thousand pounds under the historical cost convention (modified to present investments at market value) and in accordance with applicable UK accounting standards. ## **1.2 Going concern** At the balance sheet date the trustees consider that there are no material uncertainties about the Mission’s ability to continue as a going concern. The most significant areas of adjustment and key assumptions that affect items in the accounts are to do with estimating legacy income and pension liability. With regard to 2022, the most significant area of uncertainty for the Mission is the level of donation income which needs to be raised each and every year, especially as the impact of Covid-19 is ongoing. However, the trustees feel that the level of reserves provides resilience and that, together with the current amount of cash in hand plus plans to closely monitor and review budgets, there are no material uncertainties that the Mission can continue as a going concern. This opinion has been reviewed post the balance sheet date as the war in Ukraine in the Spring of 2022 has impacted on global stock markets and has seen the value of the Mission’s investments decrease by around £2 million. However, the trustees feel that the level of reserves provides resilience and that, together with the current amount of cash in hand (£5 million), there are no material uncertainties that the Mission can continue as a going concern. ## **1.3 Group Financial Statements** The Financial Statements consolidate the results of the charity and its wholly owned subsidiaries detailed in note 2 on a line-by-line basis and by eliminating intra-group transactions. No separate Statement of Financial Activities has been presented for the Company alone, as permitted by section 408 of the _Companies Act 2006_ . A summary company ‘Statement of Financial Activities’ (SoFA) can be found at note 31. The Company’s Balance Sheet on page 30 includes the assets and liabilities of the branches detailed on pages 20 and 21. ## **1.4 Fund accounting** Unrestricted funds are available to spend on activities that further any of the charitable objectives of the Mission. Designated funds are unrestricted funds which the trustees have decided at their discretion to set aside to use for specific purposes. The aim and purpose of each designated fund is set out in note 21. Restricted Funds represent capital grants received together with donations for specific purposes. Restricted funds may only be used to fulfil the donor’s restriction which must also further the charitable activities of the Mission. Details of restricted funds are set out in note 20. Transfers to unrestricted funds represent the release for the year of these grants or donations. For capital grants, a transfer is made to unrestricted funds over the estimated useful lives of the assets to which they relate, matching depreciation charged to the unrestricted funds. 32 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **1.5 Income** The value of all income is recorded in the Statement of Financial Activities (SoFA) as soon as the Mission is legally entitled to the income, it is probable that the income will be received and the amount can be quantified with reasonable accuracy. Where income has related expenditure, the income and expenditure are reported gross in the SoFA. Donations, grants and gifts are recognised when receivable. In the event that a donation is subject to fulfilling performance conditions before the Mission is entitled to the funds, the income is deferred and not recognised until it is probable that those conditions will be fulfilled in the reporting period. Income from Gift Aid tax reclaims is recognised for any donations with relevant Gift Aid certificates recognised in income for the year. Any amounts of Gift Aid not received by the year end are accounted for in income and accrued in debtors. Legacies are recognised at the earlier of actual receipt or on receipt of Estate accounts which confirm the Mission’s entitlement to receive the gifts, the probability of receipt and provide an accurate measure of the legacy. If the legacy is in the form of an asset other than cash or an asset listed on a recognised stock exchange, recognition is subject to the value of the asset being able to be reliably measured and title to the asset has passed to the Mission. The Mission maintains a legacy pipeline system which, in addition to accrued legacies, includes further estimated legacies of which the Mission is aware but which do not meet the above criteria and are therefore not included within these accounts. The estimated value of those legacies in the pipeline is £23,000 (2020: £33,000). Event income received in advance for a future fundraising event or a grant received relating to the following year are deferred until the criteria for income recognition are met. Interest on deposit funds and dividends on investments are recognised when the amounts can be measured reliably which is normally upon notification of the amount paid or payable by the bank or when the dividend yield has been notified by our investment advisors. Sponsorship from events, fundraising and events registration fees are recognised in income when the event takes place. Trading income, including primary purpose sales to seafarers, is recognised at the point of sale. ## **1.6 Expenditure and irrecoverable VAT** Expenditure is accounted for on an accruals basis and 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. Operating lease costs are charged on a straight line basis over the lease term. Irrecoverable VAT is charged to support costs which are then reallocated to the headings on the SoFA. See note 8 for a further analysis of expenditure. Charitable expenditure comprises expenditure directly relating to the objects of The Mission to Seafarers. It includes: - Employment and associated costs of chaplains including recruitment and training - Advice to the Mission family and linked organisations worldwide - Services to seafarers such as providing transport, communication facilities and access to centres or specific projects to address the needs of seafarers. - The costs of educational material and information for seafarers together with the newspaper for seafarers _the Sea._ Support costs such as irrecoverable VAT, depreciation and governance costs (including secretarial and administrative support from the Mission’s International Headquarters) are allocated to Charitable Activities and Costs of Raising Funds on the basis of head count at International Headquarters. (See note 9) 33 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** Governance costs comprise amounts related to constitutional and statutory requirements and include Staff costs, audit fees, professional fees and trustees’ expenses. ## **1.7 Donated services** Donated services or facilities are recognised when the Mission has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the item is probable and that economic benefit can be measured reliably. ## **1.8 Volunteers** Volunteers make a valuable contribution to the charitable activities of the charity. With approximately 200 volunteers working in centres, transporting seafarers and ship visiting, they complement and enhance the work of our chaplains and staff in serving seafarers. No financial value is included in these accounts as it is impossible to measure but their priceless contribution to the Mission is further referred to throughout in the _Trustees’ Annual Report and Accounts_ and specifically in ‘Our Mission’ on page 2. ## **1.9 Fixed assets** Intangible fixed assets are non-monetary assets which will be amortised on a straight-line basis over the useful life of the asset. - Licence: deemed to have an indefinite life and disposed of in 2021 - Happy at Sea seafarers’ app: amortised over three years. Intangible and Tangible fixed assets are stated in the Balance Sheet at historical cost less amortisation/depreciation. Assets with a cost of less than £1,000 are written off in the year of purchase. Depreciation is provided on a straight line basis over the anticipated useful life of fixed assets as follows: - Motor vehicles: four to six years - Fixtures and equipment: between five and ten years - Short leasehold buildings: over the term of the lease - Computer equipment: three years - Freehold land and properties: Where the trustees consider that the expected useful life of freehold land and buildings is in excess of 50 years and the carrying value in the Financial Statements is not more than the estimated recoverable amount, no depreciation is charged. The trustees have carried out and will continue to carry out annual reviews of impairment for land and property. An asset will be considered impaired if the deemed value in use or the net realisable value is lower than the carrying value. Its carrying value will be written down to the deemed impaired value. For impaired assets, evidence of increased value up to a maximum of the historic cost will be recognised in the accounts. ## **1.10 Revaluation of tangible fixed assets** The Mission has not adopted the revaluation model for freehold property and those assets are recognised at the lower of their historical cost or impaired value. ## **1.11 Investments** Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value at the balance sheet date using the bid-market rate, as reported by the investment managers. The trustees confirm that the difference in the value of investments between their valuation policy and the closing market valuation required by SORP (FRS102) is immaterial. Net gains and losses on revaluation and disposals throughout the year are shown in the SoFA. The Mission does not acquire put options, derivatives or other complex instruments. All gains and losses are taken to the SoFA as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the 1 January. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the SoFA. 34 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **1.11 Investments continued** The main form of financial risk faced by the Mission is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk and changes in sentiment concerning equities and within particular sectors or sub sectors. ## **1.12 Stocks** Stocks are valued at the lower of cost and net realisable value. ## **1.13 Debtors** 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. Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date. ## **1.14 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. ## **1.15 Creditors** Creditors are recognised where the Mission 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 are normally recognised at their settlement amount after allowing for any trade discounts due. ## **1.16 Concessionary loan** The Mission has taken advantage of section 34 of FRS (102) to recognise the loans to its trading subsidiaries as concessionary loans as the subsidiaries and the Mission form a public benefit entity group. The loans are recognised and measured at the amount paid. The carrying amount will be adjusted to reflect any repayments or any accrued interest and adjusted if necessary for any impairment. Note 18 details all concessionary loans. ## **1.17 Financial instruments** The Mission 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. Fixed assets are recorded at depreciated historical cost and investments are recorded at fair value, being the closing bid price. All other assets and liabilities are recorded at cost which is their fair value. Investments are also recorded at fair value and note 17 details all unrealised gains and losses. ## **1.18 Pension costs** All employees are entitled to join a pension scheme. The Mission to Seafarers makes contributions to defined benefit and defined contribution ‘money purchase’ schemes. The defined benefit schemes are two Church of England multi-employer pension schemes, as described in Section 28 of FRS102, and are now only open to ordained chaplains. Although it is not possible to separately identify the assets and liabilities of the schemes attributable to the Mission a recovery plan with agreed deficit recovery payments has been put in place. Details of the Mission’s liability for both schemes of £16,000 (2020: £39,000) are given in note 15. The money purchase plan is managed by Royal London (formerly Scottish Life) and the plan invests the contributions made by the employee and employer in an investment fund to build up over the term of the plan. The fund is then converted into a pension upon the employee’s chosen retirement age. The Mission has no liability beyond making its contributions and the deductions for the employee’s contributions. ## **1.18 Pension costs continued** Following the implementation of The Occupational and Personal Pension Schemes (Automatic Enrolment) Regulations 2010, The Mission to Seafarers commenced auto-enrolment from 1 March 2015, deferred to 1 June 2015 using NOW. However, following the April 2019 increase of the employee’s minimum contribution to 5%, this scheme was closed and staff were eligible to join the Royal London scheme. 35 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **1.19 Foreign currency translation** With the exception of investments, transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. Foreign currency investment transactions are recorded at an average rate. For overseas branches and subsidiaries, income and expenditure is recorded at an average rate for the year. Monetary assets and liabilities are shown in the balance sheet at the sterling rate ruling at the balance sheet date. Exchange gains and losses are recognised in the Statement of Financial Activities. ## **1.20 Taxation** The Mission to Seafarers is considered to pass the tests set out in Paragraph 1 Schedule 6 of the _Finance Act 2010_ and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Mission is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the _Corporation Tax Act 2010_ or Section 256 of the _Taxation of Chargeable Gains Act 1992_ , to the extent that such income or gains are applied exclusively to charitable purposes. ## **1.21 Judgements and key sources of estimation uncertainty** No judgements (apart from those involving estimates) have been made in the process of applying the above accounting policies. The trustees make estimates and assumptions concerning the future based on their knowledge of the Mission and the environment in which it operates. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual outcome. ## **2. SUBSIDIARY AND CONNECTED UNDERTAKINGS** ## **2.1 The Dunkirk War Memorial Trust Ltd Company No. 185130, Charity No. 236806** The Dunkirk War Memorial Trust Limited (DWMT) was set up in 1922 as a charity to provide premises and facilities for the use of seafarers within the port of Dunkirk, France. DWMT is effectively controlled by virtue of the directors being former trustees or are senior employees of The Mission to Seafarers. On 30 November 2021 operations in Dunkirk were closed as they were no longer economically viable. |Donations
Other trading
Investment Income
Charitable activities
Other income
**Total Income**
Raising funds
Charitable activities
**Total Expenditure**

Net expenditure
Net gain on investments
Foreign exchange gain
**Net Loss Retained in Subsidiary**|**2021**
**£’000**
**51**
**-**
**3**
**102**
**69**
**225**
**(3)**
**(246)**
**(249)**
**(24)**
**14**
**(16)**
**(26)**|_2020_
_£’000_
_50_
_-_
_3_
_103_
_-_
_156_
_(7)_
_(221)_
_(228)_
_(72)_
_6_
_4_
_(62)_| |---|---|---| 36 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **2.2 Flying Angel Marketing Enterprises Ltd (FAME) Company No. 00933115** The Mission to Seafarers owns the whole of the issued share capital of FAME. One trustee and a current director of the Mission sit on the board of FAME but receive no remuneration for doing so. FAME is a retailer and distributor of Christmas cards and novelties and is party to any commercial agreement that is not considered a charitable activity of The Mission to Seafarers. Any taxable profit from trading is gifted to The Mission to Seafarers. |Turnover
Cost of Sales
**Gross Profit**
Administration
Donation to The Mission to Seafarers
**Net Gain Retained in Subsidiary**|**2021**
**£’000**
**2**
**-**
**2**
**(2)**
**-**
**-**|_2020_
_£’000_
_3_
_-_
_3_
_(2)_
_(1)_
**_-_**| |---|---|---| ## **2.3 The Flying Angel Belfast Ltd Company No. NI605252** The Flying Angel Belfast Ltd was set up to operate catering services in The Mission to Seafarers’ Belfast premises. All the shares in this company are owned by The Mission to Seafarers. Any taxable profit is gifted to The Mission to Seafarers. |Turnover
Cost of sales
**Gross Profit**
Administration
Donation to The Mission to Seafarers
**Net Gain Retained in Subsidiary**||**2021**
**£’000**
**4**
**(3)**|_2020_
_£’000_
_5_
_(3)_| |---|---|---|---| |||**1**|_2_| |||**(1)**
**-**|_(2)_
_-_| |||**-**|_-_| ## **2.4 The Mission to Seafarers Scotland Ltd Company No. SC389483, Charity No. SCO41938** The Mission to Seafarers Scotland Ltd was set up as a company limited by guarantee and a registered charity in Scotland to raise funds and deliver services to seafarers and their families in Scotland. The Mission to Seafarers is the sole member |Donations
Charitable activities
Other trading
**Total Income**
Raising Funds
Charitable activities
**Total Expenditure**
**Net Gain Retained in Subsidiary**|**2021**
**£’000**
**134**
**24**
**-**
**158**
**(1)**
**(153)**
**(154)**
**4**|_2020_
_£’000_
_87_
_23_
_-_| |---|---|---| |||_110_| |||_(4)_
_(106)_| |||_(110)_| |||_-_| 37 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **2.5 The Mission to Seafarers Trust Corporation Ltd (MTSTC) Company No. 38498** MTSTC holds real property and investments as custodian trustee on behalf of The Mission to Seafarers. It has no transactions on its own account. All the shares are owned by the Mission. ## **3. DONATIONS AND LEGACY INCOME** |**Unrestricted**
**Funds**
**£’000**
**Restricted**
**Funds**
**£’000**
General donations
**1,462**
**8**
Legacies
**4,728**
**-**
General grants
**382**
**577**
Vote 4_(Pension note 15)_
**91**
**-**
**Total**
**6,663**
**585**|**Unrestricted**
**Funds**
**£’000**
**Restricted**
**Funds**
**£’000**
General donations
**1,462**
**8**
Legacies
**4,728**
**-**
General grants
**382**
**577**
Vote 4_(Pension note 15)_
**91**
**-**
**Total**
**6,663**
**585**|**2021**
**£’000**
**Total**
**1,470**
**4,728**
**959**
**91**
**7,248**|_Unrestricted_
_Funds_
_£’000_
_Restricted_
_Funds_
_£’000_
_1,719_
_419_
_1,197_
_-_
_-_
_1,015_
_126_
_-_
_3,042_
_1,434_|_2020_
_£’000_
_Total_
_2,138_
_1,197_
_1,015_
_126_
_4,476_| |---|---|---|---|---| ||**585**|||| ## **4. CHARITABLE ACTIVITIES INCOME** |here was no restricted charitable activity income in 2021 or 2020.
**. TRADING ACTIVITIES INCOME**
Provision of services to seafarers
**Total**
Trading activities
Fundraising events
Property rental
**Total**|**2021**
**£’000**
**327**
**327**
**2021**
**£’000**
**105**
**84**
**50**
**239**|_2020_
_£’000_
_270_| |---|---|---| |||_270_| |||_2020_
_£’000_
_140_
_10_
_42_| |||_192_| There was no restricted charitable activity income in 2021 or 2020. ## **5. TRADING ACTIVITIES INCOME** There was no restricted trading activity income in 2021 or 2020. Rental Income represents monies received from properties held as fixed assets that are not fully occupied for The Mission to Seafarers’ own activities and are let out in furtherance of our charitable activities or because they are temporarily surplus to operational requirements. ## **6. INVESTMENT INCOME** |**Listed investments:**
Dividends – equities
Bank deposit interest
**Total**|**2021**
**£’000**

**709**
**3**
**712**|_2020_
_£’000_
_694_
_14_| |---|---|---| |||_708_| There was no restricted investment income in 2021 or 2020. Income from unlisted investments is shown gross, including tax reclaimable. 38 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **7. OTHER INCOME** |Surplus on disposal of properties
Surplus on disposal of other assets
Other
**Total**|**2021**
**£’000**
_2020_
_£’000_
**63**
_149_
**17**
_7_
**1**
_1_
**81**
_157_| |---|---| There was no restricted other income in 2021 or 2020. ## **8. ANALYSIS OF EXPENDITURE** |**Raising Funds:**
Appeals and events
Commercial trading; sale of
Christmas cards and catering
Promotional materials and media
**Total Raising Funds**
**Charitable activities:**
**Port based welfare services**
Ship visiting and ministry to
seafarers
Transport for seafarers and
ship visiting
Branch and centre operations
Grants to support ministry
around the world (see note 10)
_the Sea_publication for
seafarers
**Advocacy, welfare and**
**emergency response**
**Digital welfare and support**
**Programmes for the wellbeing**
**of seafarers and their families**
**Total Charitable Activities**
**TOTAL EXPENDITURE**|**Direct**
**Costs**
**£’000**
**494**
**6**
**59**
**559**
**1,181**
**182**
**760**
**972**
**13**
**289**
**133**
**112**
**3,642**
**4,201**|**Support**
**£’000**
**217**
**1**
**25**
**243**
**205**
**27**
**119**
**175**
**2**
**39**
**25**
**21**
**613**
**856**|**Total**
**2021**
**£’000**
**711**
**7**
**84**
**802**
**1,386**
**209**
**879**
**1,147**
**15**
**328**
**158**
**133**
**4,255**
**5,057**|_Direct_
_Costs_
_£’000_
_519_
_12_
_55_
_586_
_1,405_
_132_
_771_
_904_
_24_
_301_
_82_
_125_
_3,744_
_4,330_|_Support_
_£’000_
_231_
_1_
_23_
_255_
_247_
_23_
_118_
_163_
_4_
_40_
_15_
_23_
_633_
_888_|_Total_
_2020_
_£’000_
_750_
_13_
_78_
_841_
_1,652_
_155_
_889_
_1,067_
_28_
_341_
_97_
_148_
_4,377_| |---|---|---|---|---|---|---| |||||||_5,218_| ## **Analysis by department 2021:** |Staff Costs (note 11)
All other costs
**Total**
**expenditure**|**Advocacy/**
**Ministry**
**£’000**
**Comms**
**£’000**
**Regions**
**£’000**
**Fund**
**Raising**
**£’000**
**Support**
**£’000**
**Total**
**2021**
**£’000**
**354**
**52**
**1,128**
**325**
**427**
**2,286**
**396**
**131**
**1,636**
**179**
**429**
**2,771**
**750**
**183**
**2,764**
**504**
**856**
**5,057**| |---|---| 39 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **Analysis by department 2020:** |_Staff Costs (note 11)_
_All other costs_
_Total expenditure_|_Advocacy/_
_Ministry_
_£’000_
_Comms_
_£’000_
_Regions_
_£’000_
_Fund_
_Raising_
_£’000_
_Support_
_£’000_
_Total_
_2020_
_£’000_
_346_
_33_
_1,264_
_304_
_438_
_2,385_
_517_
_137_
_1,447_
_282_
_450_
_2,833_
_863_
_170_
_2,711_
_586_
_888_
_5,218_| |---|---| ## **9. ANALYSIS OF SUPPORT COSTS** Support costs not directly attributable to the headings on the Statement of Financial Activities are reallocated on the basis of headcount at the Mission’s International Headquarters as follows; |**2021**
**Basis of**
**apportionment**
Cost of
Charitable
activities
Headcount at
IHQ
Raising
funds
Headcount at
IHQ
**Support costs total**
_2020_
_Basis of_
_apportionment_
_Cost of_
_Charitable_
_activities_
_Headcount at_
_IHQ_
_Raising_
_funds_
_Headcount at_
_IHQ_
_Support costs total_|**Management**
**& admin**
**£’000**
**Finance**
**£’000**
278
178
117
58
395
236
_Management_
_& admin_
_£’000_
_Finance_
_£’000_
_235_
_156_
_98_
_58_
_333_
_214_|**HR**
**£’000**
46
20|**IT**
**£’000**
**Property**
**£’000**
37
52
16
22
53
74
_IT_
_£’000_
_Property_
_£’000_
_52_
_43_
_23_
_19_
_75_
_62_|**Governance**
**£’000**
22
10|**2021**
**Total**
**£’000**
**613**
**243**| |---|---|---|---|---|---| |||66||32|**856**| |||_HR_
_£’000_
_69_
_30_||_Governance_
_£’000_
_77_
_28_|_2020_
_Total_
_£’000_
_632_
_256_
_888_| |||_99_||_105_|| Audit fees included in governance costs for the group amount to £24,600 (2020: £23,800) and there were no other fees in respect of non-audit services (2020: none). Depreciation costs total £44,000 (2020: £104,000). Operating lease payments total £24,200 (buildings £22,100 and other £2,100), (2020: total £40,200; buildings £37,500 and other £2,700). 40 **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **10. MINISTRY AND PROJECT GRANTS** |**Grant recipient**|**Port/Country**|**2021**|_2020_| |---|---|---|---| |||**£’000**|_£’000_| |The Mission to Seafarers Africa Region|Africa region|**92**|_158_| |Asociacion de la Iglesia Anglicana|Buenos Aires, Argentina|**31**|_26_| |The Australian Council of The Mission to Seafarers|Australia|**70**|_70_| |The Mission to Seafarers Geraldton|Geraldton, Australia|**11**|_-_| |The Mission to Seafarers Townsville|Townsville, Australia|**17**|_-_| |The Mission to Seafarers Portland|Portland, Australia|**5**|_-_| |The Diocese of Cyprus &The Gulf|Bahrain|**22**|_20_| |Ordem de Sao Patricio|Belem, Brazil|**-**|_23_| |Province of Alexandria for the Anglican Church|Egypt, Ports Said &|**6**|_-_| ||Suez||| |The Anglican Diocese of Recife|Suape, Brazil|**20**|_30_| |The Mission to Seafarers Canada|Canada region|**20**|_22_| |Church Misson Society|Israel|**7**|_-_| |The Mission to Seafarers Southern Ontario|Ontario, Canada|**-**|_10_| |The Mission to Seafarers Colombo|Colombo, Sri Lanka|**23**|_20_| |The Episcopal Church of Costa Rica|Costa Rica|**2**|_1_| |The Mission to Seafarers Africa Region|Liberia|**2**|_-_| |The Diocese of Cyrus and The Gulf|Limassol, Cyprus|**37**|_36_| |Lighthouse Seamen’s Mission|Falklands|**3**|_3_| |Assn Rouennaise Amis Des Marins|Rouen, France|**6**|_21_| |Bombay Diocesan Council|JNPT, India|**22**|_22_| |Tuticorin Nazareth Diocesan Trust|Tuticorin, India|**73**|_57_| |The Mission to Seafarers Dublin|Ireland|**-**|_8_| |The Mission to Seafarers Kobe|Yokohama,Japan|**45**|_-_| |The Mission to Seafarers Mombasa|Mombasa, Kenya|**15**|_5_| |The Mission to Seafarers Yangon|Yangon, Myanmar|**18**|_-_| |The Mission to Seafarers Walvis Bay|Walvis Bay, Namibia|**44**|_-_| |Stichting Zeemanshuis Flying Angel|Rotterdam, Netherlands|**15**|_30_| |Stitching Vrienden Van MtS Vlissingen|Vlissingen, Netherlands|**-**|_31_| |The Mission to Seafarers Lagos|Nigeria|**-**|_15_| |The Mission to Seafarers Oceania Council|Oceania region|**39**|_156_| |The Mission to Seafarers Oceania Council|Lyttelton, NZ|**27**|_-_| |The Mission to Seafarers Oceania Council|Napier, NZ|**34**|_-_| |The Mission to Seafarers Oceania Council|Nelson, NZ|**10**|_-_| |The Mission to Seafarers Oceania Council|Solomon Islands|**41**|_-_| |Homer Foundation Inc|Philippines|**37**|_-_| |The Mission to Seafarers Cape Town|Cape Town, South|**8**|_-_| ||Africa||| |The Mission to Seafarers Durban|Durban, South Africa|**18**|_-_| |The Mission to Seafarers Africa Region|Richards Bay, South|**7**|_-_| ||Africa||| |Daehan Sungkunghoe Yuji Jaeden|Busan, South Korea|**60**|_60_| |The Diocese in Europe|Izmir, Turkey|**10**|_10_| |Felixstowe and Haven Ports Seafarers Service|Felixstowe, UK|**-**|_1_| |Humber Seafarers Service|Humber, UK|**-**|_2_| 41 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** |Queen Victoria Seamens Rest
London,UK
Port of Bristol Seafarers Centre
Portbury, UK
The Seaham Seafarers Centre
Seaham, UK
The Mission to Seafarers Dubai
UAE
The Mission to Seafarers Seattle
USA
North American Maritime Ministry Association
USA
Baltimore International Seafarers Centre
USA
**Total**|**10**
_-_
**-**
_9_
**-**
_4_
**43**
_3_
**7**
_36_
**5**
_5_
**10**
_10_
**972**
_904_| |---|---| The Mission to Seafarers makes grants to maritime organisations whose work will fulfill our charitable objectives. Grants are to support direct maritime ministry, the development of maritime ministry or seafarer welfare projects. Amounts are agreed annually and the terms and amounts will be set out in a Memorandum of Understanding (MoU). Funded organisations are required to report to The Mission to Seafarers annually to ensure that the terms of the MoU have been met. ## **11. STAFF COSTS** ## **Staff costs 2021:** |**Staff costs 2021:**|||||||| |---|---|---|---|---|---|---|---| |**Staff costs 2020:**
Wages and salaries
Social security costs
Other pension costs
Other Staff costs
**Total**
**Average head count**
**Full time equivalent**
_Wages and salaries_
_Social security costs_
_Other pension costs_
_Other Staff costs_
_Total_
_Average head count_
_Full time equivalent_|**Charitable**
**Activities**
**£’000**
1,057
131
106
224
1,518
38
31
_Charitable_
_Activities_
_£’000_
_1,049_
_119_
_84_
_382_
_1,634_
_46_
_36_||**Raising**
**Funds**
**£’000**
273
31
19
18
341
6
6
_Raising_
_Funds_
_£’000_
_259_
_29_
_18_
_7_
_313_
_6_
_6_||**Support**
**£’000**
308
35
22
62
427
9
9
_Support_
_£’000_
_299_
_33_
_25_
_81_
_438_
_9_
_9_||**Total**
**2021**
**£’000**
**1,638**
**197**
**147**
**304**| ||||||||**2,286**| ||||||||**53**
**46**
_Total_
_2020_
_£’000_
_1,607_
_181_
_127_
_470_| ||||||||_2,385_| ||||||||_61_| ||||||||_51_| Other staff costs include recruitment, compensation for loss of office, training, welfare of overseas employees, temporary staff and travel related costs. Redundancy costs of £12,000 were made in 2021 (2020: £5,500). Employees with remuneration (excluding benefits in kind) in excess of £60,000: - £60,000 to £70,000 - 2 (2020: 4) - £70,000 to £80,000 - 3 (2020: 0) - £80,000 to £90,000 - 1 (2020: 1) 42 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **12. KEY MANAGEMENT PERSONNEL REMUNERATION AND BENEFITS** The 2021 Senior Management Team comprised the Secretary General, the Director of Development, the Director of Finance, the Director of Human Resources & Administration and the Director of Advocacy and Regional Engagement. The team’s total remuneration and benefits package consisted of salary, pension contributions, health insurance and the tax thereon. |Total salary paid to Senior Management Team
Total of other benefits
Employer social security costs on salary and benefits
**Total**|**2021**
**£’000**
**370**
**43**
**48**
**461**|_2020_
_£’000_
_356_
_44_
_46_| |---|---|---| |||_446_| ## **13. TRANSACTIONS WITH TRUSTEES** No trustee (2020: none) received remuneration during the current year. During the year £537 of expenses (2020: none) were reimbursed directly to four trustees (2020: no trustees) and £776 (2020: £1,341) was paid to third parties for subsistence to attend meetings of and on behalf of The Mission to Seafarers and for trustee training. £65 was spent on a trustee leaving gift (2020: £nil). The total amount paid was £1,378 (2020: £1,341). ## **14. RELATED PARTY TRANSACTIONS** During the year there was one payment to a related party (2020: 1). A £7,500 membership fee was paid to ICMA where the Secretary General Andrew Wright is a trustee (2020: a £7,500 membership fee was paid to ICMA where the Secretary General Andrew Wright was a trustee). There were no other related party transactions and no outstanding balances (2020: none) due at 31 December. ## **15. PENSIONS** ## **15.1 Defined Benefit Schemes** The Mission to Seafarers participates in two of the Church of England’s Defined Benefits Schemes administered by the Church of England Pensions Board. These are; - The Church of England Funded Pensions Scheme ( **CEFPS** ) for the clergy - The Church of England Defined Benefits Scheme ( **CEDBS** ) for lay employees of Church of England organisations. The assets of both schemes are held separately from those of The Mission to Seafarers. The Church of England Pensions Board has stated that it is unable to identify the Mission’s share of the underlying assets and liabilities as each employer is exposed to actuarial risks associated with the current and former employees of other entities participating in the schemes. The Mission to Seafarers has treated these schemes as multi-employer schemes as described in Section 28 of FRS102. This means that contributions are accounted for as if the Schemes were defined contribution schemes. Each participating Responsible Body in the scheme pays contributions at a common contribution rate applied to pensionable stipends. The legal structure of the scheme is such that if another Responsible Body fails, The Mission to Seafarers could become responsible for paying a share of that Responsible Body’s pension liabilities. The pensions costs charged to the SoFA in the year are contributions payable towards benefits and expenses accrued in the year, plus any impact of deficit contributions. 43 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **15.2 CEFPS** A valuation of the CEFPS was carried out as at 31 December 2018 and the results revealed a shortfall of assets of £50 million with assets of £1,818m and a funding target of £1,868m. A recovery plan was put in place until 31 December 2022 and the deficit recovery contributions (as a percentage of pensionable stipends) are as set out in the table below. |% of pensionable stipends|January 2021 to|January 2018 to| |---|---|---| ||December 2022|December 2020| |Deficit repair contributions|7.1%|11.9%| Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The Mission’s liability and movement in the provision with effect from 1 January 2019 are set out in the table below. ## **Deficit liability – CEFPS** |Balance sheet liability at 1 January
Deficit contributions paid
Interest cost
Change to balance sheet liability
**Balance sheet liability at 31 December**
**Assumptions:**
Discount rate
Price Inflation
Increase to total pensionable payroll|**2021**
**£’000**
**39**
**(16)**
**-**
**(7)**
**16**
**0.0% pa**
**n/a pa**
**(1.5%) pa**|_2020_
_£’000_
_118_
_(38)_
_1_
_(42)_| |---|---|---| |||_39_| |||_0.2% pa_
_3.1% pa_
_1.6% pa_| Mortality in accordance with 95% of the S3NA_VL tables, with allowance for improvements in mortality rates in line with the CMI2018 extended model with a long term annual rate of improvement of 1.5%, a smoothing parameter” of 7 and an initial addition to mortality improvements of 0.5% pa. The liability at the year end represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the assumptions above. In general these are set by reference to the duration of the deficit recovery payments but as at 31 December 2021, under accounting rules the payments are not discounted since the remaining recovery plan is less than 12 months. No price inflation assumption is needed since pensionable stipends for the remainder of the recovery plan are already known. 9 (2020: 11) of The Mission to Seafarers’ employed chaplains are currently funded by the Archbishops’ Council under Vote 4 provisions. Employer’s contributions of £93,000, representing current contributions and the deficit repair contributions above, (2020: £126,000) were paid by the Mission to the CEFPS and are included in Staff costs (note 11). This amount was reimbursed by the Archbishops Council and is included in Donations (note 3). ## **15.3 CEDBS (also known as the Church Workers Pension Fund)** The Church Workers Pension Fund has a section known as the Defined Benefits Scheme, a deferred annuity section known as Pension Builder Classic and a cash balance section known as Pension Builder 2014. The Defined Benefits Scheme (“DBS”) section of the Church Workers Pension Fund provides benefits for lay staff based on final pensionable salaries. For funding purposes, DBS is divided into sub-pools in respect of each participating employer as well as a further sub-pool, known as the Life Risk Pool. The Life Risk Pool exists to share certain risks between employers, including those relating to mortality and post-retirement investment returns. The division of the DBS into sub-pools is notional and is for the purpose of calculating ongoing contributions. They do not alter the fact that the assets of the DBS are held as a single trust fund out of which all the benefits are to be provided. From 44 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** time to time, a notional premium is transferred from employers’ sub-pools to the Life Risk Pool and all pensions and death benefits are paid from the Life Risk Pool. The scheme is a multi-employer scheme as described in Section 28 of FRS 102. It is not possible to attribute DBS assets and liabilities to specific employers, since each employer, through the Life Risk Section, is exposed to actuarial risks associated with the current and former employees of other entities participating in DBS. This means that contributions are accounted for as if DBS were a defined contribution scheme. A valuation of DBS is carried out once every three years. The most recently finalised was carried out at 31 December 2019. In this valuation, the Life Risk Section was shown to be in deficit by £7.7m and £7.7m was notionally transferred from the employers’ sub-pools to the Life Risk Section. This increased the Mission’s contributions that would otherwise have been payable. The overall deficit in DBS was £11.3m (Last valuation at 31 December 2016: £26.2m deficit). The next actuarial valuation is due at 31 December 2022. Following the valuation, The Mission to Seafarers entered into an agreement with the Church Workers Pension Fund to pay a contribution rate of 32.7% of pensionable salary and expenses of £3,200 per year. Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The movement in the provision is set out below: ## **Deficit liability – CEDBS** The 31 December 2021 balance sheet liability is £nil (2020: £nil). The legal structure of the scheme is such that if another employer fails, The Mission to Seafarers could become responsible for paying a share of that employer’s pension liabilities. During the year The Mission to Seafarers paid pension contributions and expenses of £10,700 (2020: £11,200). The Mission currently has one (2020: 1) active member and 5 (2020: 6) deferred pensioners. Overall the scheme has 272 active members (2020: 272) and 1,669 deferred pensioners (2020:1,669). ## **15.4 Defined Contribution Schemes** **Royal London** . A scheme for staff was set up in 2008 with Royal London (formerly Scottish Life). Contributions to this scheme are funded 3% by the employee and 7% by The Mission to Seafarers. There are 26 (2020: 26) members of staff in this scheme at 31 December 2021. Employer contributions to this scheme in 2021 were £67,000 (2020: £64,000) with nothing due to be paid at the year end (2020: £nil). |**16.**
**FIXED ASSETS**
**16.1 Intangible fixed assets**
Cost 1 January 2021
Additions
Disposals
**Net book value**
**31 December 2021**
_31 December 2020_|**Group**
**Company**
£’000
£’000
3
-
94
94
(3)
**94**
**94**
_3_
_-_|**Group**
**Company**
£’000
£’000
3
-
94
94
(3)
**94**
**94**
_3_
_-_| |---|---|---| |||**94**| |||_-_| 45 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **16.2 Tangible fixed assets** |**Group**
**Property**
**£’000**
**Cost**
1 January 2021
5,678
Additions
-
Disposals
(211)
Transfers
-
Exchange difference
-
**31 December**
**2021**
5,467
**Depreciation**
1 January 2021
1,261
Provided during the year
26
Disposals
-
**31 December**
**2021**
1,287
**Net book value 31 December**
**2021**
**4,180**
_31 December_
_2020_
_4,417_
None of the property values were found to be impaired
**The**
**Company**
**Property**
**£’000**
**Cost**
1 January 2021
5,678
Additions
-
Disposals
(211)
Exchange difference
-
**31 December 2021**
5,467
**Depreciation**
1 January 2021
1,261
Provided during the year
26
Disposals
-
**31 December**
**2021**
1,287
**Net book value 31 December**
**2021**
**4,180**
_31 December_
_2020_
_4,417_|**Motor**
**Vehicles**
**£’000**
612
31
(368)
-
-|

|**Fixtures &**
**Equipment**
**£’000**
1,073
8
(266)
-
-
815
874
31
(109)
796
**19**
_199_
**Fixtures &**
**Equipment**
**£’000**
804
8
-
-
812
782
11
-
793
**19**
_22_|||**Total**
**£’000**
**7,363**
**39**
**(845)**
**-**
**-**
**6,557**
**2,594**
**103**
**(451)**
**2,246**
**4,311**
_4,769_
**Total**
**£’000**
**7,028**
**39**
**(513)**
**-**| |---|---|---|---|---|---|---| ||275|||||| ||459
46
(342)|||||| ||163|||||| ||**112**
_153_
(2020: none).
**Motor**
**Vehicles**
**£’000**
546
31
(302)
-
275
422
43
(302)
163
**112**
_124_|||||| |||||||| |||||||| |||||||**6,554**| |||||||**2,465**
**80**
**(302)**| |||||||**2,243**| |||||||**4,311**
_4,563_| |||||||| |||||||| 46 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **Property** The properties held are split between categories as follows: |Freehold
Long term leasehold
**Total**|**2021**
**£’000**
_2020_
_£’000_
**2,888**
_3,109_
**1,292**
_1,308_
**4,180**
_4,417_| |---|---| Freehold and leasehold property represents the book value of staff houses, pensioners’ houses, and club and office premises. Premises and club leases are long term with many at peppercorn rent. All assets are used by the charity for its charitable purposes or rented out if surplus to current operational requirements. ## **17. INVESTMENTS** ## **17.1 Listed Investments** |Market value 1 January
Additions
Disposals
Unrealised gain for the year
Market value 31 December
Listed investments
**Total**
Historical Cost at 31 December|**Group**
**£’000**
**23,209**
**3,257**
**-**
**3,383**
**29,849**
**29,849**
21,595|**2021**
**Company**
**£’000**
**23,110**
**3,256**
**-**
**3,369**
**29,735**
**29,735**
21,516|_Group_
_£’000_
_27,249_
_-_
_(5,538)_
_1,498_
_23,209_
_23,209_
_18,351_|_2020_
_Company_
_£’000_
_27,156_
_-_
_(5,538)_
_1,492_
_23,110_
_23,110_
_18,272_| |---|---|---|---|---| The CCLA’s annual charge in relation to the CBF Church of England Investment Fund (Investment Fund) was approximately 0.55%, (2020: 0.55%) although this was not directly charged to the Mission but against the capital of the Investment Fund. ## **Analysis of investments** |Holdings in multi asset funds
Fixed interest securities
**Total**|**Group**
**£’000**
**29,836**
**12**
**29,848**|**2021**
**Company**
**£’000**
**29,723**
**12**
**29,735**|_Group_
_£’000_
_23,197_
_12_
_23,209_|_2020_
_Company_
_£’000_
_23,098_
_12_| |---|---|---|---|---| |||||_23,110_| 47 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **Analysis of investments continued** As part of a multi asset Investment Fund, significant individual holdings cannot be identified, however the significant class of holdings (over 5%) at 31 December were: ||**2021**|2020| |---|---|---| |Overseas Equities|**65%**|68%| |UK Equities|**10%**|10%| |Cash and near cash|**8%**|-| |Infrastructure and Operating assets|**6.5%**|9%| ## **17.2 Investments in subsidiaries** The Company controls the following principal active subsidiaries, the results of which have been consolidated. |**Name of**|**Country of**|**% Holding/**|**No of shares held**|**Net Income**|**Net Assets**|| |---|---|---|---|---|---|---| |**Company**|**in-**|**Control**|**and value**|**2021**|**as at 31/12/21**|**Nature of Business**| ||**corporation**|||**£'000**|**£'000**|| ||||12 shares; 8|||| |The Dunkirk War
Memorial Trust
Ltd|UK|100|held by the
Mission, 3 held
by Mission
directors, 1 held
another director|(26)|**7**|Provision of
spiritual and
practical welfare
for all seafarers| ||||£12|||| |Flying Angel
Marketing
Enterprises Ltd|UK|100|6 shares
£6|-|**1**|Sales of
promotional
goods| |The Flying Angel
Belfast Ltd|UK|100|1 share
£1|-|**-**|Sales of catering
services and
promotional| |||||||goods| |The Mission to
Seafarers
Scotland Ltd|UK|100|Company
limited by
guarantee, sole
member|4|**135**|Provision of
spiritual and
practical welfare
for all seafarers| |The Mission to
Seafarers Trust
Corporation Ltd|UK|100|11 shares
£11|-|**-**|Holds property as
custodian trustee
on behalf of the
Mission| 48 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **18. DEBTORS** ||**2021**|_2020_|**2021**|_2020_| |---|---|---|---|---| ||**Group**|_Group_|**Company**|_Company_| ||**£’000**|_£’000_|**£’000**|_£’000_| |Amounts owed by group/associated undertakings;||||| |Flying Angel Marketing Enterprises Ltd (FAME)|**-**|_-_|**3**|_3_| |The Flying Angel Belfast Ltd (FAB)|**-**|_-_|**20**|_21_| |The Dunkirk War Memorial Trust Ltd (DWMT)|**-**|_-_|**355**|_306_| |The Mission to Seafarers Scotland Ltd (MtSS)|**-**|_-_|**1**|_-_| |Trade debtors|**380**|_355_|**369**|_337_| |Prepayments and accrued income|**413**|_187_|**413**|_185_| |Other debtors|**37**|_55_|**37**|_49_| |**Total**|**830**|_597_|**1,198**|_901_| The prepayment and accrued income includes accrued legacies £208,000 (2020: £18,000). Amounts due from FAB include a £10,000 (2020: £10,000) concessionary loan made to FAB which is secured and carries a market rate of interest and is repayable on demand. Amounts due from DWMT include a £188,000 (2020: £188,000) concessionary loan to undertake essential repairs to the centre in Dunkirk. The loan terms state that it is repayable on the sale of property owned by DWMT ideally within a two year period and is at a zero interest rate. The DWMT trustees decided to close operations in 2021 and the property was sold in September 2021. The loan had not been repaid at 31 December but it is expected to be repaid in full in 2022. A proportion of legacies receivable may be received after more than 1 year, but this figure cannot be determined with any accuracy due to the inherent uncertainty in the timing of legacy income receipt. ## **19. CURRENT LIABILITIES** |**19. CURRENT LIABILITIES**|| |---|---| |**20. RESTRICTED FUNDS**
Trade creditors
Social security and tax
Accruals and other creditors
**Total**
**Restricted funds 2021**|**2021**
**Group**
**£’000**
_2020_
_Group_
_£’000_
**2021**
**Company**
**£’000**
_2020_
_Company_
_£’000_
**103**
_176_
**99**
_168_
**70**
_52_
**43**
_38_
**188**
_162_
**188**
_144_
**361**
_390_
**330**
_350_
**Opening**
**Balance**
**£’000**
**Income**
**£’000**
**Expenditure**
**£’000**
**Transfer**
**£’000**
**Closing**
**Balance**
**£’000**| |Belfast branch building reserve fund|**384 **
**-**
**-**
**(8)**
**376**| |Cadetship project; TK Foundation|**43**
**4**
**(37)**
**-**
**10**| |Christmas welfare for seafarers;
International Transport Workers’ Federation,
ICMA, Mission to Seafarers Rotterdam|**6**
**12**
**(17)**
**-**
**1**| |Coivd-19 relief funding for Oceania and
Africa regions; Seafarers’ International Relief
Fund|**-**
**35**
**(35)**
**-**
**-**| |Dubai,UAE Welfare worker; International
Transport Workers’ Federation|**-**
**43**
**(43)**
**-**
**-**| 49 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** |**Restricted funds 2021 continued**|**170**|**-**|**(123)**|**-**|**47**| |---|---|---|---|---|---| |_Flying Angel Campaign_|||||| |i.in response to the Covid-19 pandemic;|||||| |Clearwater Foundation and many others|||||| |ii.technical Solutions; DNV GL, TK|**208**|**-**|**(92)**|**-**|**116**| |Foundation, The Marine Society, Seafarers|||||| |UK, Norden Shipping,Tindall Riley, Wallem|||||| |Group, Baltic Charitable fund, Trinity House,|||||| |Ship Owners,Vickers and many others|||||| |International Labour Organization training re|**4**|**(4)**|**-**|**-**|**-**| |MLC 2006; International Transport Workers’|||||| |Federation (refunded)|||||| |Innovations fund; AET Tankers|**-**|**9**|**-**|**-**|**9**| |Job Retention Scheme; HMRC|**-**|**12**|**(12)**|**-**|**-**| |Justice & Welfare support and Samaritan|||||| |Fund for the Middle East & South Asia|**-**|**46**|**(38)**|**-**|**8**| |region; The Seafarers Charity|||||| |Lagos centre repairs, Nigeria; International|**35**|**-**|**-**|*****|**35**| |Transport Workers’Federation|||||| |Newport centre roof repairs; Merchant Navy||||*****|| |Welfare Board|**-**|**5**|**(5)**||**-**| |Philippines family projects; Pacific Basin|**-**|**22**|**(5)**|**-**|**17**| |Shipping|||||| |Philippines family projects and We Care|**32**|**19**|**(35)**|**-**|**16**| |resources; UK P&I Club|||||| |Port costs and advocacy; The Seafarers|**122**|**90**|**(122)**|**-**|**90**| |Charity|||||| |Port Talbot building costs; Merchant Navy|**30**|**-**|**-**|**(7)**|**23**| |Welfare Board; Garfield Weston|||||| |The Austin Bailey Foundation, Maurice &|||||| |Hilda Laing Charitable Trust|||||| |Seafarers App; Cargill International SA £30k;|**-**|**60**|**-**|**-**|**60**| |The Seafarers Charity £30k|||||| |_Seafarers Happiness Index_; Standard Club|**-**|**23**|**(23)**|**-**|**-**| |£12.5k and Wallem Group £10.8k|||||| |Ship visitor, Richards Bay; David Pellatt|**-**|**8**|**(8)**||**-**| |Suicide prevention training & resources;|**-**|**30**|**(2)**|**-**|**28**| |Trinity House £20k, EBM £10k|||||| |Tauranga centre, New Zealand Covid-19|**15**|**-**|**-**|**-**|**15**| |support; TK Foundation|||||| |Tuticorin, India seafarers and families|**-**|**47**|**(47)**|**-**|**-**| |emergency feeding programme, Seafarers|||||| |International Relief Fund|||||| |Vehicles for use in UK Ports; Merchant Navy|**47**|**-**|**-**|**(20)**|**27**| |Welfare Board|||||| |Vehicle for Myanmar; Tritax Management|**-**|**18**|**(18)**|**-**|**-**| |Vehicles for Napier and Solomon Isles, New|**-**|**65**|**(65)**||**-**| |Zealand; International Transport Workers’|||||| |Federation|||||| |Vehicle & mi-fi for Wellington, New Zealand;|**2**|**(2)**|**-**|**-**|**-**| |International Transport Workers’ Federation|||||| |(refunded)|||||| |Vehicle for Yokohama, Japan; International|**-**|**25**|**(25)**|**-**|**-**| |Transport Workers’Federation|||||| 50 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** |Vehicle running costs Colombo, Singapore
and South Tees; The Baltic Exchange
Charitable Foundation|**-**|**15**
**-**
**-**
**15**| |---|---|---| |**Restricted funds 2021 continued**
Vehicle running costs Saldanha Bay, South
Africa; Anglo Amercan Marketing Ltd|**-**|**3**
**-**
**-**
**3**| |We Care e-learning resource; Prime Training|**10**|**-**
**(10)**
**-**
**-**| |Others
**Total**
**Restricted funds 2020**|**26**|**-**
**-**
**-**
**26**
**585**
**(762)**
**(35)**
**922**
**Income**
**£’000**
**Expenditure**
**£’000**
**Transfer**
**£’000**
**Closing**
**Balance**
**£’000**| ||**1,134**|| ||**Opening**
**Balance**
**£’000**|| |_Africa fiveprojects; SeafarersUK _|_-_|_25_
_(25)_
_-_| |_Belfast branch building reserve fund_|_393_|_-_
_-_
_(9)_
_384 _| |_Cadetship project; TK Foundation_|_43_|_37 _
_(37)_
_-_
_43_| |_Christmas welfare for seafarers; ICMA_
_£18.5k; Mission to Seafarers Rotterdam_
_£0.5k_||_19_
_(13)_
_6_| |_Dubai,UAE Welfare worker; International_
_Transport Workers’ Federation_|_-_|_43_
_(43)_
_-_| |_Dublin vehicle; Stena Line_||_8_
_(8)_
_-_| |_Flying Angel Campaign_
_i.in response to the Covid-19 pandemic;_
_Clearwater Foundation £20k and many_
_others_|_-_|_335_
_(165)_
_-_
_170_| |_ii.technical Solutions; DNV GL £29k, TK_
_Foundation £90k, The Marine Society £17k,_
_Seafarers UK £38k, Norden Shipping_
_£12.5k,Tindall Riley £3k, Wallen Group £11k,_
_Baltic Charitable fund £15k, Trinity House_
_£10k, Ship Owners £10k,Vickers £4k and_
_many others_||_301_
_(93)_
_208_| |_iii resilience in ports, PPE, safer centres &_
_vehicles and advocacy; Trinity House £10k,_
_The Medway Mission £5k, Seafarers UK_
_£40k and many others_||_95_
_(95)_
_-_| |_International Labour Organization training re_
_MLC 2006; International Transport Workers’_
_Federation_|_5_|_(1)_
_-_
_4_| |_Job RetentionScheme; HMRC_||_21_
_(21)_
_-_| |_Lagos centre, Nigeria repairs; International_
_Transport Workers’ Federation_||_50_
_(15)_
_35_| |_Maritime conference New Zealand/Australia;_
_International Transport Workers’ Federation_
_TK Foundation_|_25_|_24_
_(49)_
_-_| |_Monrovia, Liberia vehicle; International_
_Transport Workers’ Federation_||_31_
_(31)_
_-_| |_Philippines family projects and We Care_
_resources; UK P&I Club £50k; Bengal Tiger_
_Lines £2k; Tindall Riley £3k _|_-_|_55_
_(23)_
_-_
_32_| |_Port costs and advocacy Seafarers UK_||_222_
_(100)_
_-_
_122_| |_Port Talbot building costs; Merchant Navy_
_Welfare Board; Garfield Weston_|_37_|_-_
_-_
_(7)_
_30_| 51 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** |_The Austin Bailey Foundation, Maurice &_
_Hilda Laing Charitable Trust_||| |---|---|---| |_Rouen centre repairs; TK Foundation_|_15_|_(15)_
_-_
_-_| |**Restricted funds 2020 continued**
_Saldhana Bay, S Africa vehicle; International_
_Transport Workers’ Federation_||_27_
_(27)_
_-_| |_Stranded seafarers aide, Covid-19 response;_
_ISWAN_||_41_
_(41)_
_-_| |_Tauranga centre, New Zealand Covid-19_
_support; TK Foundation_||_15_
_15_| |_Tuticorin, India seafarers and families_
_emergency feeding programme, Seafarers_
_UK_|_-_|_36_
_(36)_
_-_
_-_| |_Vehicles for use in UK Ports; Merchant Navy_
_Welfare Board_|_73_|_-_
_-_
_(26)_
_47_| |_Vlissingen; David Pellatt_|_10_|_(10)_
_-_| |_We Care e-learning resource; Prime Training_||_10_
_10_| |_Wellington, New Zealand vehicle and mi-fi;_
_International Transport Workers’ Federation_||_37_
_(35)_
_2_| |_Others_
_Total restricted funds_|_26_|_-_
_-_
_26_
_1,434_
_(883)_
_(42)_
_1,134_| ||_625_|| Restricted funds (note 1.4) represent capital grants or donations received for specific purposes. For capital grants or donations the transfer to unrestricted funds represents the depreciation charge on fixed assets. |**21. UNRESTRICTED FUNDS**
**Unrestricted funds 2021**
**Designated funds**
Fixed assets
Branch and subsidiary
reserves
African Region Fund
Strategy plan 2022-2026
Covid-19 Emergency Support
Fund
Global Health & Safety &
Training Fund
Commitments to Retired
Chaplains
**Total designated funds**
**General Funds**
**Total unrestricted funds**|**Opening**
**Balance**
**£’000**
**4,311**
**7,171**
**261**
**-**
**-**
**-**
**1,000**
**12,743**
**23,082**
**35,825**|**Income**
**£’000**
**73**
**2,336**
**-**
**2,000**
**407**
**500**
**-**
**5,316**
**6,089**
**11,405**|**Expenditure**
**£’000**
**(103)**
**(942)**
**(57)**
**-**
**-**
**-**
**-**
**(1,102)**
**(2,832)**
**(3,934)**|**Transfer/**
**Disposals**
**£’000**
**Closing**
**Balance**
**£’000**
**(362)**
**3,919**
**-**
**8,565**
**-**
**204**
**-**
**2,000**
**-**
**407**
**-**
**500**
**-**
**1,000**
**(362)**
**16,595**
**-**
**26,339**
**(362)**
**42,934**| |---|---|---|---|---| 52 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** |**Unrestricted funds 2020**
**Designated funds**
_Fixed assets_
_Branch and subsidiary_
_reserves_
_African Region Fund_
_Commitments to Retired_
_Chaplains_
_Total designated funds_
_General Funds_
_Total unrestricted funds_|**Opening**
**Balance**
**£’000**
_4,522_
_6,499_
_300_
_1,000_
_12,321_
_22,482_
_34,803_|**Income**
**£’000**
_117_
_1,939_
_-_
_2,056_
_3,272_
_5,328_|**Expenditure**
**£’000**
_(104)_
_(1,267)_
_(39)_
_-_
_(1,410)_
_(2,714)_
_(4,124)_|**Transfer/**
**Disposals**
**£’000**
_(224)_
_-_
_-_
_-_
_(224)_
_42_
_(182)_|**Closing**
**Balance**
**£’000**
_4,311_
_7,171_
_261_
_1,000_| |---|---|---|---|---|---| ||||||_12,743_| ||||||| ||||||_23,082_| ||||||_35,825_| The Fixed Asset reserves represent the cost value, net of depreciation, of the investment in fixed assets owned by The Mission to Seafarers. The Reserves of the branches, subsidiary companies and the African region fund are held for the purpose of delivering services in the relevant geographical locations. Any chaplain employed prior to 1983 with a minimum service of 30 years is entitled to be provided with housing for the remainder of their life. Although there are no further properties to be purchased, the Mission has an ongoing commitment to retired chaplains’ property costs including maintenance and council tax. ## **22. ANALYSIS OF NET ASSETS BETWEEN FUNDS** |**2021**
**Unrestricted**
**General**
**Unrestricted**
**Designated**
**Restricted**
**£’000**
**£’000**
**£’000**
**Intangible fixed assets**
**-**
**34**
**60**
**Tangible fixed assets**
**-**
**3,885**
**426**
**Investments**
**23,172**
**6,677**
**-**
**Net current assets**
**3,183**
**5,999**
**436**
**Long term liability**
**(16)**
**-**
**-**
**Total**
**26,339**
**16,595**
**922**
_2020_
_Intangible fixed assets_
_-_
_3_
_-_
_Tangible fixed assets_
_-_
_4,308_
_461_
_Investments_
_17,872_
_5,337_
_-_
_Net current assets_
_5,249_
_3,095_
_673_
_Long term liability_
_(39)_
_-_
_-_
_Total_
_23,082_
_12,743_
_1,134_|**Total**
**£’000**
**94**
**4,311**
**29,849**
**9,618**
**(16)**
**43,856**
_3_
_4,769_
_23,209_
_9,017_
_(39)_
_36,959_| |---|---| 53 **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **23. ECUMENICAL CENTRES** Financial details of organisations in which the charity is a joint trustee and involved in the management are: |**Humber Seafarers’**
**Service Ltd**
**Charity No**
**1159953**
Proportion of controlling influence
33.3%
**Proportion of net assets on dissolution:**
Property
-
Other
-
Last published accounts date
31/03/21
Net Surplus/(Deficit) in £000s
83
**Net Assets in £000s at 31 March 2021**
**189**|**Felixstowe**
**Charity No**
**272077**
**Port of**
**Bristol**
**Charity No**
**286078**
33.3%
33.3%
33.3%
33.3%
33.3%
33.3%
31/03/21
31/03/21
53
(9)
**469**
**218**| |---|---| During 2020 The Mission to Seafarers agreed in principle, along with the other joint trustees, to transfer the three ecumenical centres to the Queen Victoria Seaman’s Rest (QVSR). Work continued during 2021 to enable and support the QVSR takeover which is expected to be completed in 2022. ## **24. CAPITAL COMMITMENTS** At 31 December 2021 there was no contracted capital expenditure (2020: Board had contracted to purchase a chaplain’s vehicle at a cost of £31,000). ## **25. FINANCIAL COMMITMENTS** At 31 December 2021 the Group and Company had no commitments under non-cancellable operating leases as set out below: ||**Land and**|_Land and_| |---|---|---| ||**Buildings**|_Buildings_| ||**2021**|_2020_| ||**£’000**|_Restated_| |||_£’000_| |Not later than 1 year|**-**|_24_| |Later than 1 year and not later than 5 years|**-**|_-_| ## **26. CONTINGENT LIABILITIES** The Mission to Seafarers supports certain ecumenical centres. Although these centres operate independently of the Mission, there would be certain obligations on The Mission to Seafarers if any of them were to run into financial difficulty. The Mission to Seafarers appoints one or more of their trustees, normally a Mission trustee or senior member of staff, to these centres and, as far as they are aware, there are currently no material matters that would give rise to a liability. During 2021 work continued to transfer those centres to the Queen Victoria Seaman’s Rest (QVSR) which is expected to be completed in 2022 See Note 23 Ecumenical Centres. ## **27. CONTINGENT ASSET** There are no contingent assets. 54 ## **THE MISSION TO SEAFARERS TRUSTEES’ ANNUAL REPORT AND ACCOUNTS 2021 NOTES TO FINANCIAL STATEMENTS FOR YEAR ENDED 31 DECEMBER 2021** ## **28. RECONCILIATION OF NET EXPENDITURE TO NET CASH FLOW FROM OPERATING ACTIVITIES** |**29. ANALYSIS OF CASH AND CASH EQUIVALENTS**
**30. RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN DEBT**
**2021**
**£000**
Net increase (decrease) in cash and cash equivalents in the year
**343**
Cash flow from (increase)/decrease in debt financing
**-**
Change in net debt resulting from cash flows
**(343)**
**Movement in net debt in the year**
Net debt at the start of the year
**-**
Net debt at the end of the year
**-**
**31. SUMMARY SOFA FOR THE MISSION TO SEAFARERS COMPANY NO. 622024**
**2021**
**£’000**
Net income for the reporting period_(as per the statement of financial activities)_
**6,933**
**Adjustments for:**
Depreciation charges
**103**
(Gains) on investments
**(3,383)**
Dividends and interest
**(712)**
Profit on sale of fixed assets
**(80)**
Decrease/(Increase) in stocks
**4**
Decrease/(Increase) in debtors
**(233)**
(Decrease) in creditors
**(52)**
**Net cash provided by operating activities**
**2,580**
**2021**
**£’000**
Cash in hand
**1,936**
Notice deposits (less than 3 months)
**7,199**
**Total cash and cash equivalents**
**9,135**
**2021**
**£’000**
Income
**8,321**
Gains/(loss) on investments
**3,369**
Expenditure
**(4,751)**
**Net income/(expenditure)**
**6,939**
(Loss)/gain on foreign exchange
**(20)**
Total funds brought forward
**36,794**
**Total funds carried forward**
**43,713**|_2020_
_£000_
_5,958_
_-_
_(5,958)_
_-_
_-_
_2020_
_£’000_
_1,544_
_104_
_(959)_
_(708)_
_(156)_
_14_
_136_
_(16)_
_(41)_
_2020_
_£’000_
_1,493_
_7,299_
_8,792_
_2020_
_£’000_
_5,649_
_953_
_(4,992)_
_1,610_
_(17)_
_35,201_
_36,794_| |---|---| ## **32. NON-ADJUSTING EVENT AFTER THE END OF THE REPORTING PERIOD** On 24 February 2022 Russia invaded Ukraine and at the date of signing these accounts the war is ongoing. This has impacted on seafarers of all nationalities who have been caught up in the conflict or may have families and friends in the war zone. The Mission has initially made available a budget of $100,000 to support seafarers’ families in Ukraine and is funding free communications via our ports for affected seafarers to contact loved ones. The impact on global stock markets has contributed to a loss in the value of the Mission’s investments of £2 million. 55