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2022-03-31-accounts

REGISTERED COMPANY NUMBER: 07170030 (England and Wales) REGISTERED CHARITY NUMBER: 1135646

Report of the Trustees and

Audited Financial Statements

for the Year Ended 31st March 2022

for

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Simpson Wreford & Partners Chartered Accountants & Statutory Auditors Suffolk House George Street Croydon Surrey CR0 0YN

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Contents of the Financial Statements for the year ended 31st March 2022

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 7
Statement of Trustees' Responsibilities 8
Report of the Independent Auditors 9 to 12
Statement of Financial Activities 13
Balance Sheet 14
Cash Flow Statement 15
Notes to the Cash Flow Statement 16
Notes to the Financial Statements 17 to 26
Detailed Statement of Financial Activities 27 to 28

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Reference and Administrative Details for the year ended 31st March 2022

TRUSTEES J P Fell (Chairman)
S G Orlik
M A Petetin
N M Gower-Smith
A V Scanlan
R A V Edmondson (deceased 30.5.22)
S P Curran (appointed 1.4.21)
K S Golding (appointed 1.4.21)
N Snook (appointed 1.4.21)
COMPANY SECRETARY S Stocker
REGISTERED OFFICE Suffolk House
George Street
Croydon
Surrey
CR0 0YN
REGISTERED COMPANY NUMBER 07170030 (England and Wales)
REGISTERED CHARITY NUMBER 1135646
INDEPENDENT AUDITORS Simpson Wreford & Partners
Chartered Accountants & Statutory Auditors
Suffolk House
George Street
Croydon
Surrey
CR0 0YN
TREASURER I Venters
INVESTMENT ADVISORS Quilters Cheviot Limited
Senator House
85 Queen Victoria Street
London
EC4V 4AB

Page 1

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

The Trustees who are also Directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31st March 2022. The Trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (the Fund) was formed from the 2010 merger of the Tobacco Trade Benevolent Association (TTBA) and the Worshipful Company of Tobacco Pipe Makers and Tobacco Blenders Benevolent Fund. It is a charitable company limited by guarantee and not having a share capital, and was incorporated on 25 February 2010.

The Fund was established under a Memorandum of Association which states the objects and powers of the charitable company, and is governed under its Articles of Association. The Fund was registered with the Charity Commission on 26 April 2010.

In 2015, the charity received an endowment from the Bernhard Baron Welfare Fund, following approval by the Charity Commission over the distribution of its assets. These assets are ring-fenced in a restricted fund, in accordance with the terms of the endowment.

The Fund continues the aims of all previous entities. The assets of the previous TTBA are ring-fenced in a restricted fund (the Welfare Fund) to ensure that the income from these assets continues to be used to assist those who have worked in the tobacco trade.

Appointment of Trustees

The Trustees who have served during the year and since the year end are:

Jonathan P Fell (Chairman) Martine A Petetin Simon G Orlik Nicholas Mark Gower-Smith Antony V Scanlan Ralph A V Edmondson (deceased 30 May 2022) Susan P Curran Katherine S Golding Nicola Snook

The Trustees are appointed by the Court of the Worshipful Company of Tobacco Pipe Makers and Tobacco Blenders ("the Court"), after endorsement by a majority of the continuing Trustees, and are Directors of the company as well as Trustees for the purposes of charity law. Under the Articles of Association, there shall be not less than four and no more than nine Trustees, and one third of the Trustees shall retire each year. The retiring Trustees shall be eligible for re-appointment but may not serve more than three terms without the approval of two-thirds of the other Trustees.

Page 2

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Board of Trustees reviews regularly the composition of itself and plans for the retirement of existing Trustees and the appointment of new Trustees. The Trustees look at the blend of experience and skills of all Trustees to ensure that these meet the needs of the charity. Where vacancies arise, a selection process will be undertaken and a recommendation made to the Court. Prospective Trustees are encouraged to attend meetings of the Trustees prior to appointment. The Secretary and Chairman ensures that a new Trustee is provided with the necessary background documentation and support to be effective from appointment. The Trustees seek professional advice to keep up to date with changes affecting the charity.

Powers

The Trustees are not restricted in their powers by the Trustee Investment Act 1961.

Management and objectives

The Trustees meet four times a year to review grants, policies, financial results and investments. Day-to-day running of the Fund is conducted by the Secretary and Treasurer in consultation with the Chairman and with other Trustees, as necessary. The ongoing administration of the Welfare Fund is supported by Forum Court Associates Ltd.

The objects of the Fund are quite widely drawn, restricted only to the charitable purposes falling within Section 3(1) of the Charities Act 2011, and the Fund's primary activity to achieve these charitable objectives is through grant-making.

The Trustees focus grant-giving from the General Fund on the advancement of education, advancement of the arts, and the relief of those in need because of youth, age, ill-health, disability, financial hardship or other disadvantage. Priority is given to charities with strong links to London, and to smaller causes where awards will make a material difference. The ring-fenced Welfare Fund is designated specifically for the provision of grants to relieve hardship for individuals and families of those who have worked in the tobacco trade.

The General Fund has strong links to a number of charities which have been the recipients of multiple annual grants. The Secretary also receives new proposals for funding, and after review these are presented to Trustees for further consideration in the context of the aims and priorities of the General Fund. The Fund prefers to fund charities for discrete periods of up to three years, in order to allow recipient charities to budget and plan.

Trustees collectively make all grant-making decisions for the General Fund, based on the recipient charity's strategy, budget and governance. Those grant-making decisions, as well as regular reviews of progress of those charities which receive grants, are informed by annual reports and accounts, formal funding applications, other periodic updates, and visits and meetings with key personnel. For the charities which receive the bulk of the General Fund's grants, a Trustee is designated as responsible for liaison between the charity and the Fund.

Grants from the Welfare Fund are overseen by the TTBA Welfare Committee (the Welfare Committee), which reports regularly to the Board of Trustees. The Welfare Committee comprises a number of Trustees, and also some non-Trustee members with expertise in administration and / or experience in the tobacco trade. It meets regularly during the year to consider and review grants on the bases of need and length of service as a member of the tobacco trade, and can exercise its discretion in applying the eligibility criteria by taking into account other factors including, redundancy, retirement, ill-health and exceptional need. Beneficiaries are visited regularly and are provided with a point of contact. The Welfare Committee maintains contact with similar charities such as Grocery Aid, the Royal British Legion and SSAFA, to see whether it is possible to share in assisting people in need.

The Trustees have complied with their duty under section 17(5) of the Charities Act 2011 to consider the Charity Commission's guidance on public benefit and believe that their activities meet the requirements.

Page 3

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

Fundraising

The charity's main source of income is investment income. Other income, including donations from corporations and individuals, is used to supplement the investment income. Fundraising focuses on securing donations from existing contacts: members of the Worshipful Company of Tobacco Pipe Makers and Tobacco Blenders for the General Fund, and companies in the tobacco trade for the Welfare Fund. The charity does not outsource fundraising via professional fundraisers or other third parties. Consequently, the charitable company is not registered with the Fundraising Regulator and has received no fundraising complaints in the year.

Risk Management

The Trustees maintain, and update annually, a risk register and have considered the vulnerability of the Fund to factors that could seriously impair its ability to achieve its objectives. The Trustees are responsible for the internal financial control systems of the Fund as set out below in the Statement of Responsibilities of the Trustees.

The ability of the Fund to make awards and grants is dependent upon investment income and donations. The financial controls operated by the Trustees include the authorisation of investment policy, allocation of resources, and regular reviews of financial results and investment performance. The investment advisor, Quilter Cheviot Limited (Quilter Cheviot) issues monthly valuation and quarterly investment reports to the Trustees and advises on investment policy and performance. The Trustees have delegated to Cheviot Capital Nominees Limited (CCN), a wholly-owned subsidiary of Quilter Cheviot, custodial services for the Fund's securities, including safeguarding of assets, monitoring of corporate activity, and collection of income. CCN maintains an internal control framework, which is reviewed by the investment advisor's compliance and internal audit departments and external auditors, to provide reasonable assurance as to the effectiveness of their internal controls. The Trustees confirm that, taking into account the Reserves Policy below, they receive regular reports to ensure that necessary steps may be taken in good time to manage this financial risk.

Trustees monitor the risk that grants made by the Fund are not achieving charitable objectives by regular review of the progress of those charities to which the General Fund makes grants. Members of the Welfare Committee review the grants made by the Welfare Fund, and report back to the Trustees on this activity.

Page 4

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

ACHIEVEMENTS AND PERFORMANCE

During the 12 months to 31 March 2022 Trustees made grants totalling £140,500 from unrestricted funds, compared to an annual grant target of £129,400 budgeted at the start of the year. Trustees therefore consider that the Fund met its aims in relation to the level of grant-making from the General Fund and, further, believe that the grants made during the year promote the Fund's objectives of the advancement of education and the arts, and the relief of those in need because of youth, age, ill-health, disability, financial hardship or other disadvantage.

Awards are listed in more detail in Note 4 to the financial statements; those charities receiving larger grants, accounting for 95% of giving from unrestricted funds, were:

Arundel Castle Cricket Foundation (youth) Barrier Breakers Foundation (education, youth) Barrow Farm RDA (disability) The Bobath Centre (disability) Guildhall School of Music & Drama (education, arts) Katherine Low Settlement (education, youth) Mark Evison Foundation (youth) Pembroke House (education, arts, youth) Physics Partners (education) Sheriffs' & Recorders' Fund (other disadvantage) Spitalfields Crypt Trust (ill-health, financial hardship)

The Welfare and Bernhard Baron funds aim to respond to requests for aid from those with a prior connection to the tobacco trade, making grants which primarily take the form of maintenance payments, pensions and general relief, welfare assistance, one-off grants, TV licenses and Christmas and birthday gifts. During the 12 months to 31 March 2022 the Welfare Fund was able to assist all eligible applicants, making grants totalling £145,287. That total was somewhat lower than the budget for the year, due to a declining number of applicants. In response to that, and to the rising cost of living which is hitting many households, the Welfare Committee has subsequently raised the sums given to applicants for maintenance grants and regular relief.

During the year the Welfare Committee undertook a study to gauge the impact of the Fund's work on beneficiaries. 94% of respondents said that their welfare had been improved by the financial support from the Fund (52% of them significantly so), and 94% also said that their quality of life had been improved (58% significantly).

The Trustees wish to record their sorrow at the death of Ralph Edmondson on 30 May 2022, and gratitude for his very substantial contribution to the work of the Fund as Secretary (May 2014 to March 2019), Trustee (from April 2019) and Chairman (July 2020 to May 2022).

Page 5

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

INVESTMENT PERFORMANCE REVIEW

The Charity's investments are managed on a discretionary basis by Quilter Cheviot. The investment objective across the four funds is to maximise the total return over the long term, whilst maintaining a level of income consistent with the Fund's level of giving.

Performance

In the twelve months to 31st March 2022, both the General and Welfare Funds increased by 13.9%, representing the combined movement of capital and income, the Freeman Fund 2.5% and the Bernhard Baron Welfare Fund by 7.9%. These were against comparative increases in the Benchmark (MS'S PIMFA Balanced Index) of 8.6% and the Asset Risk Consultants (ARC) Charity Steady Growth Index of 7.0%.

During the period, the General Fund benefitted from significant absolute outperformance from the Domestic, North American, Asian and Global equities, alongside strong relative and absolute returns from the fixed interest and alternatives held within the portfolio. This more than compensated for positive, but market lagging movements in Europe and weakness in Japan and across the Emerging Markets. This was largely replicated across the other funds, save for the Bernhard Baron Welfare Fund, which enjoyed strong returns from the Fixed Interest and Alternative investments. The Domestic funds, whilst positive, surrendered some of the especially strong returns enjoyed in the prior year.

Over the longer term, focusing on the five year returns to 31 March 2022, save for the Freeman Fund, all funds have outperformed both the benchmark and the peer group. The Freeman Fund returns have been impacted by weakness amongst the tobacco stocks, especially over three of the last five years; the mandate of this specific fund requires significant exposure to this sector. Over the five years, the General Fund enjoyed a compound total return of 41.0%, the Welfare Fund 39.0%, Bernhard Baron 35.0% and the Freeman Fund 14.2%. These compared to a rise in the Benchmark of 33.0% and the ARC Charity Steady Growth Index of 30.4%. The Welfare Fund return has continued to benefit from an agreed reduction in its historical significant exposure to the tobacco stocks over the five year period.

During the year, despite ongoing concerns due the impact of the pandemic, income levels on both the General and Welfare Funds remained broadly in line with those achieved in the previous period. The General Fund delivered £116,000 of income and the Welfare Fund £136,000, equivalent to yields of 2.9% and 3.1%. The managers expect to see income levels maintained in the period ahead.

The managers are confident, as demonstrated during the worst periods of the pandemic, that the portfolios remain suitably well-diversified to withstand a reasonable level of capital volatility over the medium to long term, but cannot exclude the ever- present risk of sharp movements in the short term. The managers expect that the ongoing impact of the war in Ukraine, challenges with energy and food supply, supply chain constraints, the actions of central banks to constrain high inflation and ongoing friction between the Unites States and China will all continue to contribute to market volatility, and potentially lower valuations, in the year ahead. Overall, though, they remain positive for the long-term prospects of the current investment strategy.

Page 6

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Report of the Trustees for the year ended 31st March 2022

FINANCIAL REVIEW

Performance

Incoming resources for the year were £553,416 (2021: £426,252) which includes investment income of £267,804 (2021: £261,520). Donations were £157,036 (2021: £164,732) and the Trustees are especially grateful to Imperial Brands, British American Tobacco and JTI for their continued generous support of the Welfare Fund. In addition a legacy of £128,576 was received from the estate of Mrs Butcher for the Welfare Fund in gratitude for its support under the stewardship of the late Past Master John Adler, who was a Trustee. Total resources expended were £411,569 (2021: £397,961). The Trustees also report realised investment gains of £59,175 (2021: gains of £92,193) and unrealised gains of £805,286 (2021: gains of £1,378,402). The net consequence of realised and unrealised movements during the year was a gain of £864,462 (2021: gain of £1,470,596).

The Welfare Fund supports around 120 former members of the tobacco trade and the General Fund continues to give grants to other charities, as described in more detail above.

Position

The charity held Fixed assets of £9,176,291 (2021; 7,955,838), Cash at bank of £558,265 (2021; £769,294). Total funds £9,726,778 (2021; £8,720,469).

Reserves policy

The Trustees have considered the vulnerability of the Fund to factors that could seriously impair its ability to achieve its objectives. The most serious impairment would be a significant reduction in its investment income. The ability of the Fund to make awards and grants, however, is not directly dependent upon the value of its investments. The Trustees hold the equivalent of one year's income in cash in the unrestricted fund, to mitigate the impact of financial market volatility on the Fund's investments and enable giving to continue if investment income were to fall sharply.

Plans for Future Periods

Trustees will continue to monitor the performance and projected income of the Fund's investments carefully in the light of ongoing volatility in financial markets. No change is expected in the objects for the General Fund and Trustees will continue to seek to meet those objects through grant-making. Trustees will continue to monitor the progress of those charities in receipt of grants and will consider new applications for grants as they are received and depending on the development of investment income and donations.

The Welfare Fund will continue to make grants to relieve hardship for individuals and families of those who have worked in the tobacco trade, and will examine ways to improve the efficiency of its operations and the effectiveness of its coordination with similar charities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

So far as the Trustees are aware, there is no relevant information (as defined by Section 418 of the Companies Act 2006) of which the charitable company's auditors are unaware, and each Trustee has taken all the steps that they ought to have taken as a Trustee in order to make them aware of any audit information and to establish that the charitable company's auditors are aware of that information.

AUDITORS

The Trustees will be reviewing the provision of audit services during the coming year.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the Board of Trustees on 6[th] December 2022 and signed on its behalf by:

J P Fell - Trustee

Page 7

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Statement of Trustees' Responsibilities for the year ended 31st March 2022

The Trustees (who are also the directors of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund for the purposes of company law) are responsible for preparing the Report of the Trustees and the Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

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

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

Page 8

Report of the Independent Auditors to the Members of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (Registered number: 07170030)

Opinion

We have audited the financial statements of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (the 'charitable company') for the year ended 31st March 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether 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:

Page 9

Report of the Independent Auditors to the Members of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (Registered number: 07170030)

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of Trustees

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

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

Page 10

Report of the Independent Auditors to the Members of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (Registered number: 07170030)

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

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

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Page 11

Report of the Independent Auditors to the Members of The Tobacco Pipe Makers and Tobacco Trade Benevolent Fund (Registered number: 07170030)

Use of our report

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

Timothy Lindfield (Senior Statutory Auditor) for and on behalf of Simpson Wreford & Partners Chartered Accountants & Statutory Auditors Suffolk House George Street Croydon Surrey CR0 0YN

19th December 2022 Date: .............................................

Page 12

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Statement of Financial Activities for the year ended 31st March 2022

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Investment income
3
Total
EXPENDITURE ON
Charitable activities
4
General
Maintenance Grants
Robert Freeman Master's Fund
Total
Net gains on investments
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
26,691
118,402
145,093
170,074
-
-
170,074
429,161
404,180
3,967,699
4,371,879		 Restricted
funds
£
258,921
149,402
408,323
-
235,888
5,607
241,495
435,301
602,129
4,752,770
5,354,899		 31.3.22
Total
funds
£
285,612
267,804
553,416
170,074
235,888
5,607
411,569
864,462
1,006,309
8,720,469
9,726,778		 31.3.21
Total
funds
£
164,733
261,520
426,253
250,770
142,691
4,500
397,961
1,470,596
1,498,888
7,221,581
8,720,469

The notes form part of these financial statements

Page 13

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND (REGISTERED NUMBER: 07170030)

Balance Sheet 31st March 2022

Notes
FIXED ASSETS
Tangible assets
11
Investments
12
CURRENT ASSETS
Debtors
13
Cash at bank
CREDITORS
Amounts falling due within one year
14
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT LIABILITIES
NET ASSETS
FUNDS
15
Unrestricted funds:
General fund
Restricted funds:
Robert Freeman Master's Fund
Welfare Fund
TOTAL FUNDS		 Unrestricted
Restricted
funds
funds
£
£
-
23,346
4,219,388
4,933,557
4,219,388
4,956,903
-
-
155,491
402,774
155,491
402,774
(3,000)
(4,778)
152,491
397,996
4,371,879
5,354,899
4,371,879
5,354,899		 31.3.22

Total
funds
£
23,346
9,152,945
9,176,291
-
558,265
558,265
(7,778)
550,487
9,726,778
9,726,778
4,371,879
163,343
5,191,556
5,354,899
9,726,778		 31.3.21
Total
funds
£
23,746
7,932,092
7,955,838
5,378
769,294
774,672
(10,041)
764,631
8,720,469
8,720,469
3,967,699
164,034
4,588,736
4,752,770
8,720,469

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

The financial statements were approved by the Board of Trustees and authorised for issue on 6[th] December 2022 and were signed on its behalf by:

J P Fell - Trustee

The notes form part of these financial statements

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THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Cash Flow Statement
for the year ended 31st March 2022
31.3.22
Notes
£
Cash flows from operating activities
Cash generated from operations
1
(122,442)
Net cash used in operating activities
(122,442)
Cash flows from investing activities
Purchase of fixed asset investments
(779,698)
Sale of fixed asset investments
423,307
Dividends received
267,804
Net cash (used in)/provided by investing activities
(88,587)
Change in cash and cash equivalents in the
reporting period
(211,029)
Cash and cash equivalents at the beginning
of the reporting period
769,294
Cash and cash equivalents at the end of
the reporting period
558,265		 31.3.21
£
(185,123)
(185,123)
(1,037,049)
928,162
261,520
152,633
(32,490)
801,784
769,294

The notes form part of these financial statements

Page 15

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Cash Flow Statement for the year ended 31st March 2022

1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

31.3.22 31.3.21
£ £
Net income for the reporting period (as per the Statement of Financial
Activities) 1,006,309 1,498,888
Adjustments for:
Depreciation charges 400 400
Gain on investments (864,462) (1,470,596)
Dividends received (267,804) (261,520)
Decrease in debtors 5,378 48,122
Decrease in creditors (2,263) (417)
Net cash used in operations (122,442) (185,123)

2. ANALYSIS OF CHANGES IN NET FUNDS

At 1.4.21 Cash flow At 31.3.22
£ £ £
Net cash
Cash at bank 769,294 (211,029) 558,265
769,294 (211,029) 558,265
Total 769,294 (211,029) 558,265

The notes form part of these financial statements

Page 16

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements for the year ended 31st March 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.

Critical accounting judgements and key sources of estimation uncertainty

In applying the charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions in determining the carrying value of assets and liabilities. The Trustees' judgements, estimates and assumptions are based on the best and most reliable evidence at the time when the decisions are made and are based on historical experience and other factors that are considered to be applicable. Due to the inherent sensitivity involved in making judgements, estimates and assumptions, the actual results and outcomes may differ.

The estimates and underlying assumptions are reviewed on an ongoing basis. Any revisions to accounting estimates are recognised prospectively.

Investments

Investments comprise publicly quoted, listed securities, including shares, bonds and units. Investments are stated at fair value at the balance sheet date. The basis of fair value for investments is equivalent to the market value, using the mid-price. Asset sales and purchases are recognised at the date of trade.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the income, it is probable that the income will be receivable and the amount of income can be measured reliably.

Expenditure

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

Charitable activities comprise those costs incurred by the charity in the delivery of its activities and include grants and donations paid to its beneficiaries.

Support and governance costs include those costs that assist the work of the charity but do not directly undertake charitable activities, and include investment management fees, auditors' remuneration and other such administration costs.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Tangible fixed assets

Depreciation is provided at the following annual rate in order to write off the asset over its estimated useful life.

Freehold Property - 1% on Cost

Debtors

Short term debtors are measured at transaction price, less any impairment.

continued...

Page 17

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

1. ACCOUNTING POLICIES - continued

Tangible fixed assets

Cash and cash equivalents

Cash is represented by cash on hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours.

Creditors

Short term creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are measured at the transaction price.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the Trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Financial instruments

The charity only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like investments, trade and other accounts receivable and payable.

Debt instruments that are payable or receivable within one year, typically trade creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received.

Investments are measured at fair value in the Balance sheet. The gains and losses arising are recognised in Statement of Financial Activities.

2. DONATIONS AND LEGACIES

Incoming Resources
Voluntary income
Donations
Legacies
Donations and legacies
Investment income
Dividends and interest
Robert Freeman Master's Fund dividends
Total income		 Unrestricted
Funds
£
26,691
-
26,691
118,402
-
145,093		 Restricted
Funds
£
130,345
128,576
258,921
144,577
4,825
408,323		 31.3.22
Total
Funds
£
157,036
128,576
285,612
262,979
4,825
553,416		 31.3.21
Total
Funds
£
164,733
-
164,733
256,398
5,122
426,253

continued...

Page 18

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

3. INVESTMENT INCOME

INVESTMENT INCOME
31.3.22 31.3.21
£ £
Investment income 267,804 261,520

4. CHARITABLE ACTIVITIES COSTS

Charitable activities

Charitable activities
Grants and donations
Pembroke Music & Dance projects
Arundel Castle Cricket Foundation
Guildhall School of Music awards
Riding and Carriage Driving For the Disabled
Barrow Farm
Sheriffs' and Recorder's Fund
Royal British Legion
Corporation of the Sons of the Clergy
The London Regiment Welfare Fund
St Lawrence Jewry
Physics Partners
ABF The Soldiers' Charity
Bobath Centre
Mark Evison Foundation
St. Paul's Cathedral Foundation
Katherine Low Settlement
Spitalfields Crypt Trust
Barrier Breakers Foundation
Small donations
Welfare fund
Maintenance grants
Pensions and general relief
One off Grants
Welfare Assistance
TV Rentals and Licences
Christmas and Birthday Gifts
Building insurance relief
Deprecation of Buildings
House Insurance
Robert Freeman Master's Fund
Master's charitable donations		 Unrestricted
Fund
£
30,000
10,000
20,000
10,000
10,000
500
500
2,500
1,000
10,000
1,000
12,000
10,000
1,000
5,000
11,000
5,000
1,000
-
-
-
-
-
-
-
-
-
-
140,500		 Restricted
Fund
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
24,150
41,625
25,777
24,560
6,126
22,345
704
400
251
4,750
150,688		 31.3.22
Total
Funds
£
30,000
10,000
20,000
10,000
10,000
500
500
2,500
1,000
10,000
1,000
12,000
10,000
1,000
5,000
11,000
5,000
1,000
24,150
41,625
25,777
24,560
6,126
22,345
704
400
251
4,750
291,188		 31.3.21
Total
Funds
£
30,000
10,000
20,000
10,000
10,000
500
500
2,500
1,000
10,000
1,000
10,000
10,000
1,000
10,000
11,000
-
-
27,300
46,575
15,161
24,146
7,584
25,215
948
400
221
4,500
289,550

continued...

Page 19

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

Grants and donations
Support costs and governance
Auditors' remuneration
Investment management fees
Trustees' indemnity insurance
Administration fees
Office costs and bank charges
House repairs
Sundries
Total
5.
GRANTS PAYABLE
General
Maintenance Grants
Robert Freeman Master's Fund
6.
SUPPORT COSTS
Management
£
General
4,807
Maintenance Grants
63,608
Robert Freeman Master's
Fund
-
68,415		 Unrestricted
Fund
£
140,500
3,000
20,577
651
4,800
539
-
7
29,574
170,074
Finance
£
539
153
-
692		 Unrestricted
Fund
£
140,500
3,000
20,577
651
4,800
539
-
7
29,574
170,074
Finance
£
539
153
-
692		 Restricted
Fund
£
150,688
3,000
24,048
-
45,600
13,818
-
4,342
90,808
241,495
Other
£
21,228
23,190
857
45,275

continued...

Page 20

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

7. NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

31.3.22 31.3.21
£ £
Auditors' remuneration 6,000 6,000
Depreciation - owned assets 400 400

8. TRUSTEES' REMUNERATION AND BENEFITS

There were no Trustees' remuneration or reimbursed expenses for the year ended 31st March 2022 nor for the year ended 31st March 2021.

The charity has a Trustees' indemnity insurance policy and a premium of £651 (2020: £626) has been charged in these financial statements.

9. STAFF COSTS

The number of staff during the year was Nil (Nil: 2021).

10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

INCOME AND ENDOWMENTS FROM
Donations and legacies
Investment income
Total
EXPENDITURE ON
Charitable activities
General
Maintenance Grants
Robert Freeman Master's Fund
Total
Net gains on investments
NET INCOME
RECONCILIATION OF FUNDS
Total funds brought forward		 Unrestricted
funds
£
27,265
120,804
148,069
160,343
5,000
-
165,343
644,525
627,251
3,340,449		 Restricted
funds
£
137,468
140,716
278,184
90,427
137,691
4,500
232,618
826,071
871,637
3,881,132		 Total
funds
£
164,733
261,520
426,253
250,770
142,691
4,500
397,961
1,470,596
1,498,888
7,221,581

continued...

Page 21

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

10.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
TOTAL FUNDS CARRIED FORWARD
11.
TANGIBLE FIXED ASSETS
COST
At 1st April 2021 and 31st March 2022
DEPRECIATION
At 1st April 2021
Charge for year
At 31st March 2022
NET BOOK VALUE
At 31st March 2022
At 31st March 2021
12.
FIXED ASSET INVESTMENTS
MARKET VALUE
At 1st April 2021
Additions
Disposals
Revaluations
At 31st March 2022
NET BOOK VALUE
At 31st March 2022
At 31st March 2021		 - continued
Unrestricted
funds
£
3,967,700		 Restricted
funds
£
4,752,769		 Total
funds
£
8,720,469
Freehold
property
£
40,178
16,432
400
16,832
23,346
23,746
Listed
investments
£
7,932,092
779,698
(364,131)
805,286
9,152,945
9,152,945
7,932,092

All investments are listed and 68% (2021: 64%) of the investments held were inside the UK.

continued...

Page 22

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

12. FIXED ASSET INVESTMENTS - continued

Cost or valuation at 31st March 2022 is represented by:

Valuation in 2022
Valuation in 2021
Valuation in 2020
Valuation in 2019
Valuation in 2018
Valuation in 2017
Valuation in 2016
Valuation in 2015
Valuation in 2014
Cost
Revaluations
Realised gains / (losses)
Unrealised gains / (losses)		 31.3.22
£
59,175
805,287
864,462		 Listed
investments
£
605,727
1,378,402
(821,775)
(352,467)
2,406,177
(130,846)
1,016,480
(205,532)
(680,102)
5,936,881
9,152,945
31.3.21
£
92,193
1,378,402
1,470,595
13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.3.22 31.3.21
£ £
Other debtors - 5,378

continued...

Page 23

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.3.22 31.3.21
£ £
Trade creditors 1,778 4,041
Accruals and deferred income 6,000 6,000
7,778 10,041

15. MOVEMENT IN FUNDS

Unrestricted funds
General fund
Restricted funds
Robert Freeman Master's Fund
Welfare Fund
TOTAL FUNDS		 At 1.4.21
£
3,967,699
164,034
4,588,736
4,752,770
8,720,469		 Net
movement
in funds
£
404,180
(691)
602,820
602,129
1,006,309		 At
31.3.22
£
4,371,879
163,343
5,191,556
5,354,899
9,726,778

Net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Robert Freeman Master's Fund
Welfare Fund
TOTAL FUNDS		 Incoming
resources
£
145,093
4,825
403,498
408,323
553,416		 Resources
expended
£
(170,074)
(5,607)
(235,888)
(241,495)
(411,569)		 Gains and
Movement
losses
in funds
£
£
429,161
404,180
91
(691)
435,210
602,820
435,301
602,129
864,462
1,006,309

continued...

Page 24

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

15. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Restricted funds
Robert Freeman Master's Fund
Welfare Fund
TOTAL FUNDS		 At 1.4.20
£
3,340,449
137,171
3,743,961
3,881,132
7,221,581		 Net
movement
in funds
£
627,250
26,863
844,775
871,638
1,498,888		 At
31.3.21
£
3,967,699
164,034
4,588,736
4,752,770
8,720,469

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Restricted funds
Robert Freeman Master's Fund
Welfare Fund
TOTAL FUNDS		 Incoming
resources
£
148,069
5,122
273,062
278,184
426,253		 Resources
expended
£
(165,344)
(5,303)
(227,314)
(232,617)
(397,961)		 Gains and
losses
£
644,525
27,044
799,027
826,071
1,470,596		 Movement
in funds
£
627,250
26,863
844,775
871,638
1,498,888

Restricted Funds

Welfare Fund

This fund is the former Tobacco Trade Benevolent Association and its resources are restricted to assist former tobacco industry and associated trade employees and their dependants who are in needy circumstances. Grants may be given on a regular basis with additional amounts to help with winter fuel bills or other large items of household expenditure as well as television licences and rentals. One off grants are considered for essential items which are beyond the means of an applicant.

Bernhard Baron Welfare Fund

Included within the Welfare Fund within the financial statements, the Bernhard Baron Welfare Fund was acquired in 2015 by way of an endowment from Bernhard Baron Welfare Fund (registered charity 247818), following Charity Commission Approval. Its reserves are restricted to providing assistance in the form of one off grants to former employees of Carrerras Limited and associated companies (British American Tobacco) but not exclusively.

continued...

Page 25

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Notes to the Financial Statements - continued for the year ended 31st March 2022

15. MOVEMENT IN FUNDS - continued

The Robert Freeman Master's Fund

These financial statements include the income, expenditure, assets and liabilities of The Robert Freeman Master's Fund which is a restricted fund for charitable gifts by the Master of the Livery Company during their year of office. Investment remains significantly in tobacco shares, which was the wish (although not binding) of the donor. The Trustees are of the opinion that these funds are under the control of the Charity.

16. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31st March 2022.

Page 26

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Detailed Statement of Financial Activities
for the year ended 31st March 2022
31.3.22 31.3.21
£ £
INCOME AND ENDOWMENTS
Donations and legacies
Donations 157,036 164,733
Legacies 128,576 -
285,612 164,733
Investment income
Investment income 267,804 261,520
Total incoming resources 553,416 426,253
EXPENDITURE
Charitable activities
Insurance 250 221
Depreciation of tangible fixed assets 400 400
Grants to individuals 290,537 288,929
291,187 289,550
Support costs
Management
Sundries 4,348 3,763
Administration fees 50,400 50,000
Office costs and bank charges 13,667 6,796
68,415 60,559
Finance
Bank charges 692 460
Other
Insurance 652 626
Portfolio management 44,623 40,766
45,275 41,392
Governance costs
Auditors' remuneration 6,000 6,000
Total resources expended 411,569 397,961
Net income before gains and losses 141,847 28,292

This page does not form part of the statutory financial statements

Page 27

THE TOBACCO PIPE MAKERS AND TOBACCO TRADE BENEVOLENT FUND

Detailed Statement of Financial Activities
for the year ended 31st March 2022
31.3.22 31.3.21
£ £
Realised recognised gains and losses
Realised gains/(losses) on fixed asset
investments 59,176 92,194
Net income 201,023 120,486

This page does not form part of the statutory financial statements

Page 28