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← The Master Charitable Trust

2024-09-30-accounts

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST

REPORT AND FINANCIAL STATEMENTS REGISTERED CHARITY NUMBER: 1139904

FOR THE YEAR ENDED 30th SEPTEMBER 2024

Hoares Trustees Limited

37 Fleet Street

London EC4P 4DQ

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST CONTENTS

Page
Trustee's Annual Report 1 - 4
Independent Auditor's Report 5 - 7
Statement of Financial Activities 8
Balance Sheet 9
Cash Flow Statement 10
Notes to the Financial Statements 11 - 19

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST TRUSTEE'S ANNUAL REPORT FOR THE YEAR ENDED 30th SEPTEMBER 2024

Reference and administrative information

Dates of Deeds Declaration of Trust - 23rd December 2009
Deed of Amendment - 5th January 2011
Trustee Hoares Trustees Limited - (Appointed 28/02/2024)
37 Fleet Street
London
EC4P 4DQ
(Messrs Hoare Trustees Limited retired 18/04/2024)
Directors of Hoares Trustees Limited Mr A. S. Hoare
Mrs V. E. Hoare
Mr S. M. Hoare
Mrs B. S. Hoare
Mr A. R. Q. Hoare
Mr R. R. Hoare
Ms D. S. Brightmore-Armour (Resigned 08/05/2025)
Ms. A. F. Rodwell (Appointed 13/08/2024)
Ms. A. M. R. Little (Appointed 13/08/2024)
A new Trustee or director may be appointed at any time and notwithstanding
that the total number of Trustees may exceed four.
Nature of Trust A registered charity, registered with the Charity Commission for England
and Wales as number 1139904.
Independent Auditors Moore Kingston Smith LLP
9 Appold Street
London
EC2A 2AP
Bankers C. Hoare & Co.
37 Fleet Street
London
EC4P 4DQ
Solicitors Birketts LLP
Providence House
141-145 Princes Street
Ipswich
IP1 1QJ
Withers LLP
20 Old Bailey
London
EC4M 7AN

Page 1

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST TRUSTEE'S ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Report of the Trustee for the year ended 30th September 2024

The Trustee of the Master Charitable Trust (the Charity) presents its report along with the financial statements of the Charity for the year to 30th September 2024. The financial statements have been prepared in accordance with the accounting policies set out on page 11 and 12 and comply with the Charity's Trust Deed, the Charities Act 2011 and the requirements of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in July 2014.

Structure, Governance and Management

The Charity's registration number is 1139904. The principal and registered address is 37 Fleet Street, London, EC4P 4DQ. The Charity is governed by a Declaration of Trust dated 23rd December 2009 (as amended by Deed on 5th January 2011). The Trustee, who is stated on page 1, is responsible for the management of the Charity.

The Charity's finances encompass the General Endowment Fund and individual Giving Funds. The Giving Funds comprise a bank account which is treated as expendable endowments under the Charities SORP, and all the Funds are unrestricted under the terms of the Trust Deed.

Donors have the ability to name their own Giving Fund subject to the Trustee's approval. Donors can make an initial lump sum contribution through cash, shares or other assets and replenish their Giving Fund when they wish. Donors can choose to invest the funds in a professionally managed portfolio in order to grow their fund.

Objectives and Activities

The Declaration of Trust directs that the capital (expendable endowment) and income of the Charity is to be held on trust for the benefit of such exclusively charitable objects and purposes in any part of the world as the Trustee may in its absolute discretion think fit.

The Charity provides a simple and cost effective way for donors to manage their charitable donations and input into the investment strategy or appoint an investment manager. The in-built flexibility and the way in which the Charity and the giving service are supporting customers throughout the process makes it easier for customers to be more philanthropic.

Many donors are attracted by the fact the Charity can be used to create an enduring legacy and appoint a successor.

Fundraising

No fundraising activities have been undertaken by the Charity. Some donors encourage other people to give to their giving fund but the Charity has not undertaken any specific activity and no complaints were received in the year regarding fund-raising practices.

Grant making policy

A wide variety of UK charitable causes have been supported. The policy is to make grants to UK registered charities or for charitable purposes in any part of the world as approved by the Trustee.

As required by the Charities Act 2011, the Trustee has referred to the Charity Commission's general guidance on public benefit when approving grants. In particular, the Trustee has considered how grants can be made to ensure maximum benefit flows through to the intended ultimate beneficiaries. The grants benefit a number of public causes, as detailed in note 5. In shaping objectives and planning activities for the year, the Trustee has considered the Charity Commission's guidance on public benefit, including the guidance 'public benefit: running a charity (PB2)'.

Achievements and Performance

Our donors have continued in their generosity in the past year, with donations totalling £85.24m to 1,018 different charities (2023: £74.36m to 1,429).

This year 28% of these donations supported health or saving lives causes, followed by 24% for grants in support of citizenship and community development. 12 donations of £1m or over were made in the year benefiting 11 different charities.

We continue to provide a flexible service for our donors, supporting a wide variety of charities and projects. Alongside growth in the UK Donor Advised Fund market, MCT has also grown, continuing to hold a significant proportion of the market share. We hope to continue to support our donors in having a positive impact in years to come.

Financial Review

The Trustee received donations during the year of £97.17m (2023: £108.46m) which includes £3.68m of Gift Aid claims (2023: £3.03m), and established a further 12 Giving Funds which among them donated new expendable endowments totalling £30.51m bringing the number of Giving Funds to 156 at the year end. The net inflow of funds after recognised gains and losses amounted to £31.01m (2023: £42.11m). The financial statements for the year are set out on pages 8 to 19.

Page 2

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST TRUSTEE'S ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Risk Management

Hoares Trustees Limited is responsible for the oversight of the risks faced by the Charity. Hoares Trustees Limited regularly reviews' the risk position, internal controls assessment and compliance with relevant statutory and financial regulations. The Trustee is supported by a Governance Committee and a Finance and Investment Committee. The committee members have a wide range of experience to support the Trustee to exercise its duties.

The Charity has a risk-management process designed to identify the major risks that could impact the Charity. This process identifies the major risks the Charity faces, the likelihood of occurrence, the significance of the risk, and any mitigating controls that are in place. It also seeks to identify any actions and resources required to mange these risks further.

The Charity's investment activities are its main financial risk. This risk is managed, with the support of professional or experienced investment advisers, through: an investment management policy; regular reviews of investments; diversification across a broad range of asset classes, geographies, investment managers and investment strategies.

To mitigate the possibility of any inappropriate donation being made, the Trustee has a Due Diligence Policy which requires due diligence on each beneficiary to ensure that it is either a UK registered charity with the Charity Commission, an exempt charitable body (church or school etc) or an entity or individual using the funds for charitable purposes and public benefit. Where a donation is to be made to a foreign body or individual, more extensive due diligence is undertaken in accordance with HMRC guidelines.

Investment Policy and Performance

Under the terms of Clause 22 of the Trust Deed the Trustee is able to apply any money to be invested in the purchase of or at interest upon the security of such shares, stocks, funds, securities, land, buildings, chattels or other investments or property of whatever nature and wherever situate and whether involving liabilities or producing income or not, as it sees fit. For the avoidance of doubt, the Trustee may for investment purposes, pool all or part of the property held by them under the terms of this Deed.

Performance is measured in accordance with the risk profile of each Giving Fund.

Reserves Policy

According to the Charity Commission's guidance update in their Statement of Recommended Practice: "Accounting and Reporting by Charities" revised in July 2014, the Trust's expendable endowment is not considered part of the Charity's free reserves. However, this endowment is a considerable sum, and the capital can be used at the discretion of the Trustee to fund any deficit on expenditure. MCT aims to ensure there are sufficient liquid assets available in each Giving Fund to cover short and medium term disbursements.

Future Plans

In the medium to long term, the Trustee intends to increase the impact of charitable donations and investments by promoting increased charitable giving and impact investing and increasing the number of Giving funds.

It was approved by the Charity Commission on 24th January 2024 to transfer the assets of The Golden Bottle Trust to The Master Charitable Trust. The transfer progressed during the year and will be finalised in 2025. The effect of this post balance sheet event are detailed in the notes to these accounts on page 19.

Page: 3

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST TRUSTEE'S ANNUAL REPORT (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Statement of Trustee's responsibilities

The Trustee is 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).

Charity law requires the Trustee to prepare financial statements for each financial period that give a true and fair view of the state of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the Charity for that period.

In preparing those financial statements, the Trustee is required to:

The Trustee is responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure that the financial statements comply with the Charities Act 2011.

The Trustee is also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Approved by the Trustee and and signed on its behalf by:

28/7/2025 ............................................. Date

.......................................................................... 2D95CE232F4C44A... Director of Hoares Trustees Limited .......................................................................... cSA99A514F4E714F6... by: Director of Hoares Trustees Limited

Page: 4

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE MASTER CHARITABLE TRUST FOR THE YEAR ENDED 30th SEPTEMBER 2024

Opinion

We have audited the financial statements of The Master Charitable Trust for the year ended 30 September 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the 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 FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

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

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

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:

Page: 5

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE MASTER CHARITABLE TRUST (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Responsibilities of The Trustee

As explained more fully in the trustee’s responsibilities statement set out on page 4, the trustee is 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 Trustee determines 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 Trustee is responsible for assessing the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustee either intends to liquidate the Charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

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.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the Charity.

Page: 6

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEE OF THE MASTER CHARITABLE TRUST (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Our approach was as follows:

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

This report is made solely to the Charity's Trustee, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the Charity’s Trustee 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 any party other than the Charity and Charity's Trustee as a body, for our audit work, for this report, or for the opinion we have formed.

Signedby:
Mou KinetonGutaLLP
9ED5D7CC3357445...
Adam Fullerton
(Statutory auditor)
Moore Kingston Smith LLP 9 Appold Street
London
28/7/2025 EC2A 2AP

Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.

Page: 7

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30th SEPTEMBER 2024

Notes
Income and Expenditure
INCOME AND ENDOWMENTS FROM:
Donations and legacies:-
Endowments received
2
Investment income
3
Other income
4
TOTAL INCOME
EXPENDITURE ON:
Cost of raising funds
Investment management costs
7
Charitable activities
5
TOTAL EXPENDITURE
NET OPERATING INCOME/(EXPENDITURE)
OTHER RECOGNISED GAINS/(LOSSES)
Gains/(losses) on Investments
9&10
Gains/(losses) on currency transactions
NET INCOME/(EXPENDITURE)
Gross transfer between Funds
14
NET MOVEMENT IN FUNDS
RECONCILIATION OF FUNDS
Total funds brought forward
15
BALANCES CARRIED FORWARD
15		 General
Total
Endowment
Expendable
Funds
Fund
Income
Endowment
2024
(£ in '000)
(£ in '000)
(£ in '000)
(£ in '000)
584
-
96,588
97,172
4
10,631
-
10,635
-
-
72
72
--------Giving Funds--------
-------------Unrestricted Funds-------------		 General
Total
Endowment
Expendable
Funds
Fund
Income
Endowment
2023
(£ in '000)
(£ in '000)
(£ in '000)
(£ in '000)
-
-
108,455
108,455
-
5,276
-
5,276
-
-
-
-
-------------Unrestricted Funds-------------
--------Giving Funds--------
588
10,631
96,660
107,879		 -
5,276
108,455
113,731
1
-
615
616
8
85,243
604
85,855		 1
-
550
551
-
74,361
720
75,081
9
85,243
1,219
86,471		 1
74,361
1,270
75,632
579
(74,612)
95,441
21,408
339
-
10,747
11,086
-
-
(1,399)
(1,399)		 (1)
(69,085)
107,185
38,099
-
-
4,305
4,305
(3)
-
(287)
(290)
918
(74,612)
104,789
31,095
(711)
74,612
(73,901)
-		 (4)
(69,085)
111,203
42,114
(3)
68,876
(68,873)
-
207
-
30,888
31,095
345
-
354,841
355,186		 (7)
(209)
42,330
42,114
352
209
312,511
313,072
552
-
385,729
386,281		 345
-
354,841
355,186

All amounts relate to continuing activities. All recognised gains and losses are included in the Statement of Financial Activities.

Page: 8

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST BALANCE SHEET AS AT 30th SEPTEMBER 2024

Restated
Notes 2024 2023
(£ in '000) (£ in '000)
FIXED ASSETS
Listed Investments 9 227,585 187,366
Unlisted Investments 9 11,419 3,705
Programme Related Investments 10 1,060 228
Tangible fixed assets 11 - 13
Long term deposit accounts 19,095 1,500
259,159 192,812
CURRENT ASSETS
Cash at Bank 110,414 132,292
Short term deposit accounts 16,104 29,275
Debtors 12 1,408 2,170
127,926 163,737
CURRENT LIABILITIES
Creditors - falling due within one year 13 654 1,088
NON-CURRENT LIABILITIES
Creditors - falling due more than one year 13 150 275
NET CURRENT ASSETS 127,122 162,374
Total assets plus current assets 386,281 355,186
NET ASSETS 386,281 355,186
UNRESTRICTED FUNDS
General Endowment Fund 15 552 345
Giving Funds
Expendable Endowment 15 385,729 354,841
Income Funds 15 - -
386,281 355,186

Approved and authorised for issue by the Trustee and signed on its behalf by:

28/7/2025 .............................................................................. Date

.................................................................................. | AmySigned2D95CE232F4C44A...Rodwell by: Director of Hoares Trustees Limited

.................................................................................. cSA99A514F4E714F6... by: Director of Hoares Trustees Limited

Page: 9

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST CASH FLOW STATEMENT FOR THE YEAR ENDED 30th SEPTEMBER 2024

Cash flows from operating activities
Net cash (used in)/provided by operating activities
Cash flows from investing activities
Dividends and interest from investments
Proceeds from sale of fixed asset investments
Purchase of fixed asset investments
Purchase of programme related investments
Purchase of fixed bank deposits
Redemption of fixed bank deposits
Cost incurred on programme related investments capitalised
Net cash used in investing activities
Cash flows from financing activities
Movement on loan
Receipt of endowments
Net cash used in financing activities
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
Cash and cash equivalents at the end of the reporting period
Net debt
At start of year
Cash and cash equivalents
132,292
Loan
(215)
Net debt
132,077		 Notes
16
3
9
9
10
10
Cash flows
(21,878)
-
(21,878)		 2024
(£ in '000)
(87,473)
10,635
82,919
(101,745)
(104)
(68,304)
63,880
-
(12,719)
-
78,314
78,314
(21,878)
132,292
110,414
Other
movements
-
65
65		 Restated
2023
(£ in '000)
(76,997)
5,276
57,323
(80,087)
-
(30,775)
-
(3)
(48,266)
(15)
105,274
105,259
(20,004)
152,296
132,292
At end of year
110,414
(150)
110,264

The notes on pages 11 to 19 form part of these financial statements.

Page: 10

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30th SEPTEMBER 2024

1 ACCOUNTING POLICIES

(a) Basis of Preparation

These financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the revaluation of investments being measured at fair value through income and expenditure within the Statement of Financial Activities.

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charity is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP) and the Charities Act 2011.

The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest one thousand pounds.

The principal accounting policies adopted in the preparation of the financial statements are set out below.

(b) Fund Structure

The General Endowment Fund is a fund which the Trustee is free to use in accordance with the charitable objects.

Giving Funds comprise those funds that Donors have donated to their Giving Fund. Whilst these funds are technically unrestricted, donors are able to request The Trustee to make payments and understand that these are not legally binding instructions. Within the Giving Funds, the expendable endowment represents those assets which are held for the longer term of the Trust, in accordance with the terms of the Declaration of Trust.

Income arising within the General Endowment Fund and Giving Funds can be used in accordance with the objects of the Trust as well as the expendable endowment, which can be spent in certain circumstances in fulfilment of the Trust's objects.

Any capital gains or losses arising on the investments held in the Expendable Endowment Fund form part of that Fund.

(c) Income

All income is recognised in the Statement of Financial Activities (SOFA) when the conditions for receipt have been met, the amount is measurable and receipt is probable. Where a claim for repayment of income tax has been or will be made, such income is grossed up for the tax recoverable. The following accounting policies are applied to different categories of income:

Grants and Donations Receivable

Grants and Donations are recognised in the SOFA when conditions for receipt have been complied with.

Investment Income

Interest receivable on deposit and securities is accounted for as it accrues. Dividend income receivable on securities is accounted for when received by the investment manager.

(d) Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. The following accounting policies are applied to the different categories of expenditure:

Costs of Raising Funds

The costs of raising funds consist of investment management and certain legal fees.

Charitable Activities

Donations payable are recognised when they are approved by the trustees and the recipient of the grant has been informed of the amount to be paid.

Governance Costs

Governance costs comprise all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These costs include costs related to statutory audit fees together with support costs.

Page: 11

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

1 ACCOUNTING POLICIES (Continued)

(e) Tangible Fixed Assets

Tangible fixed assets costing more than £100 are capitalised and depreciated over their useful lives and shown in the balance sheet at cost less accumulated depreciation. Depreciation has been calculated at the rate of 10% of original cost, per year.

(f) Investments

Investments are stated at market value at the Balance Sheet date. The SOFA includes the net gains and losses on revaluation and disposals throughout the year.

(g) Realised and Unrealised Gains and Losses

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 opening market value (purchase date if later). Unrealised gains and losses are calculated as the difference between the market value and book cost (opening market value adjusted with acquisition cost, cost of disposal, cost of gift of shares during the year and other costs if any) at the year end.

(h) Going Concern

The Trustee has assessed whether the use of the going concern basis is appropriate and has considered possible events or conditions that might cast significant doubt on the ability of the Charity to continue as a going concern. The Trustee has made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the Trustee has taken account of investment income pressures and the likely impact of the volatile investment markets, as well as expenditure. The Trustee has the flexibility to draw down on the expendable endowment fund if required to support grant expenditure. After making enquiries the Trustee has concluded that there is a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. The Charity therefore continues to adopt the going concern basis in preparing its financial statements.

(i) Financial Instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

With the exceptions of prepayments and deferred income (which are not financial investments) and derivatives, all other debtor and creditor balances are considered to be basic financial instruments under FRS 102. See notes 12 and 13 for the debtor and creditor notes.

Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

(j) Cash and Cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, balances held with investment manager, other short-term liquid investment with original maturities of three months or less.

(k) Key Estimates and Judgements

In preparing financial statements it is necessary to make certain judgements, estimates and assumptions that affect the amounts recognised in the financial statements.

In the view of the Trustee, in applying the accounting policies adopted, no judgements were required that have a significant effect on the amounts recognised in the financial statements nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year.

2 ENDOWMENTS RECEIVED

Cash:
Donations received in year
Gift Aid reclaimable
Investments:
Transferred into Trust at Market Value		 2024
(£ in '000)
74,632
3,682
18,858
97,172		 2023
(£ in '000)
102,242
3,032
3,181
108,455

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Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

3 INVESTMENT INCOME

Investment income
Interest on cash deposits
Gain on cash currency difference		 2024
(£ in '000)
5,611
5,024
-
10,635		 2023
(£ in '000)
3,137
2,123
16
5,276

4 OTHER INCOME

OTHER INCOME
Loan waiver
Other interest- Interest on gift aid claim		 2024
(£ in '000)
65
7
72		 2023
(£ in '000)
-
-
-

5 CHARITABLE ACTIVITIES

The Charity undertook no direct charitable activities but awarded donations to a number of institutions in furtherance of its charitable activities.

Grants made during the year
Support costs (see note 7)
The total comprised grants to the following:
The prevention or relief of poverty
The advancement of education
The advancement of religion
The advancement of health or the saving of lives
The advancement of citizenship or community development
The advancement of the arts, culture, heritage or science
The advancement of amateur sport
The advancement of human rights, conflict resolution or reconciliation or the
promotion of religious or racial harmony or equality and diversity
The advancement of environmental protection or improvement
The relief of those in need, by reason of youth, age, ill-health, disability,
financial hardship or other disadvantage
The advancement of animal welfare
The promotion of the efficiency of the armed forces of the Crown, or of the
efficiency of the police, fire and rescue services or ambulance services
Any other charitable purpose		 2024
(£ in '000)
85,243
612
85,855
13,028
11,101
2,306
23,892
20,220
2,414
2,233
872
1,366
4,539
1,408
1,427
437
85,243		 2023
(£ in '000)
74,361
720
75,081
9,356
18,234
1,180
14,657
9,458
7,764
374
213
1,879
3,065
569
291
7,321
74,361

Page: 13

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

5 CHARITABLE ACTIVITIES (continued)

CHARITABLE ACTIVITIES (continued)
Institutional Donations of £250,000 and over
King's Trust
Substance Abuse Foundation
Centrepoint Soho
UK Youth
Trussell Trust
Maudsley Charity
The Big Give Trust
Heathfield School
St James's PCC, Westminster
Forward Trust
Governors For Schools
Great Ormond Street Hospital
London Air Ambulance
Anna Freud Centre
Fareshare
Gloucester Cathedral
Carers Trust
Comic Relief
Mental Health Innovations
Medicinema
Christopher & Dana Reeve Foundation
SSPCA
Kindred Squared
Transparency International UK
National Literacy Trust
Maggie's Foundation
Dogs For Good
International Spinal Research Trust
Duke of Edinburgh's Award
Metabolic Terrain Institute of Health
Sue Ryder
Hestia Housing & Support
2020 Levels
Greenhouse Sports
Medecins Sans Frontieres (UK)
Strategic Resource Group Inc.
CSJ Foundation
Cancer Nutrition Research & Development Centre
St Martin-in-the-Fields Christmas Appeal Charity
RNLI
Tate Gallery
Dogs Trust
Tonic Music for Mental Health
Smart Works Charity
Now Teach
The Queen's Reading Room		 2024
(£ in '000)
13,375
9,986
5,051
4,157
3,673
3,000
1,651
1,500
1,350
1,126
1,050
1,016
1,001
800
677
652
545
530
500
473
464
455
450
430
409
407
406
400
399
373
371
355
350
350
347
324
323
306
301
286
285
283
265
251
250
250
61,203

Page: 14

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

6 RELATED PARTY TRANSACTIONS

Donations received from a Director of the Trustee
Donation in kind received from the Trustee
The Golden Bottle Trust (Charity Commission no. 327026)
David Nott Foundation
Intermission Youth Theatre
The Fore
Discount provided in Trustee's fees
Donations received from other charities where Hoare
Trustees Limited is a Trustee:
Donations made to other charities where a director
of Hoare Trustees Limited is a Trustee:		 2024
(£ in '000)
325
2
12,885
-
-
123
7
13,342		 2023
(£ in '000)
91
-
31
2
5
100
-
229

A S Hoare, a director of the Trustee, is also the Chair of the Board of Directors of Snowball Impact Management Limited. At the year-end the Trust had an investment in Snowball Impact Investments LP worth £8.10m (2023: £0.93m).

7 ANALYSIS OF SUPPORT COSTS

Bank charges
Cost of printing voucher books
Depreciation of tangible fixed asset
Legal fees
Rausing's office + Simon Fourmy's contract
Consultancy fees
GOVERNANCE COSTS
Trustee Administration Fee (including VAT)
Independent Auditor's Remuneration
Over provision of previous years audit fee
Accountancy fees
Professional fees
INVESTMENT RELATED FEES
Investment Management fees
Custody Fees		 2024
(£ in '000)
2
1
-
12
23
446
21
-
89
18
612
553
63
616		 2023
(£ in '000)
1
-
3
25
23
652
21
(5)
-
-
720
501
50
551

8 REMUNERATION OF TRUSTEE

For the year ended 30th September 2024, the Trustee charged £0.44m (2023: £0.65m) for their administrative fees in accordance with the power given to them by virtue of clause 28.3 of the Declaration of Trust. In addition, £0.01m (2023: £0.01m) was paid towards Trustee's due diligence fees. No out of pocket expenses were reimbursed by the Charity.

Page: 15

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

Movement in fixed asset investments
Investments
Market Value Brought Forward
Reclassification of listed as unlisted
Investments gifted in
Acquisition costs
Disposal proceeds
Realised gains on disposals
Unrealised gains/(losses)
Market Value Carried Forward
Historical cost as at 30th September 2024		 Listed
Unlisted
Investments
Investments
(£ in '000)
(£ in '000)
187,366
3,705
(56)
56
10,361
7,660
99,414
2,331
(82,823)
(96)
(2,053)
-
15,376
(2,237)		 Total
2024
(£ in '000)
191,071
-
18,021
101,745
(82,919)
(2,053)
13,139		 Total
2023
(£ in '000)
160,818
-
3,181
80,087
(57,323)
2,161
2,147
227,585
11,419		 239,004 191,071
199,719
10,375		 210,094 184,158

The market value of investments to 30th September 2024 includes an investment of unlisted shares in Beagle Bidco Limited, totalling £2.14m (2023: £2.14m) that was acquired on the 9th December 2020.

During the year, it was discovered that some of the unlisted investments were incorrectly categorised and disclosed under listed investments in the 2023 financial statements. The values brought forward have been reclassified to listed investments in the current year as a result.

10 PROGRAMME RELATED INVESTMENTS

Movement in programme related investments

Unlisted programme related investments
Value brought forward
Programme related investments gifted in
Programme related investments acquired
Legal fees paid for land capitalised
Unrealised loss on investments
Value Carried Forward
Historical cost as at 30th September 2024		 2024
(£ in '000)
228
728
104
-
-		 2023
(£ in '000)
228
-
-
3
(3)
1,060 228
1,060 225

All of the programme related investments were held in the United Kingdom and are unlisted. They have therefore been valued at par.

Unlisted programme related investments held
25,000 CW Renewable Energy EIS Fund
1 EcoPower Indian Ocean Ltd
10,623 Mission Housing Limited 1.25% Loan 30/11/2024
50,000 Mustard Seed Maze Social Entrepreneurship Fund
33.33 Oikocredit GBP Depository Receipts
39 Relational Analytics Ordinary £1 Shares
14,961 Relational Analytics Preference Shares of £1
25,000 Relational Analytics Subordinated Loan Notes
N/A Land retained at Warren Farm
N/A Pelican AG Limited (see narrative (i) below)
N/A Social Finance Ltd Loan (see narrative (ii) below)
143 Mustard Seed
26,881 Truestone		 2024
(£ in '000)
25
23
11
45
5
-
15
25
83
400
300
100
28		 2023
(£ in '000)
25
23
11
41
5
-
15
25
83
-
-
-
-
1,060 228

Page: 16

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

11 TANGIBLE FIXED ASSETS

Cost
At 1st October 2023
Additions
Asset transferred as gift at book cost
At 30th September 2024
Depreciation
At 1st October 2023
Charge for year
Accumulated depreciation on asset gifted
At 30th September 2024
Net book value
At 30th September 2024
At 30th September 2023
12 DEBTORS
Donation due from donors
Gift aid tax reclaim
Investment income/interest due
Other debtors
13 CREDITORS
Due within one year
Loan
Grants payable
Investment trade to settle
Accrued expenses
Financial instruments
Other creditors
Due more than one year
Grants payable
The loan is repayable on demand and does not bear any interest.		 Motor vehicles
Totals
(£ in '000)
(£ in '000)
25
25
-
-
(25)
(25)
-
-
12
12
-
-
(12)
(12)
-
-
-
-
13
13
2024
2023
(£ in '000)
(£ in '000)
109
2
529
1,491
632
646
138
31
1,408
2,170
2024
2023
(£ in '000)
(£ in '000)
120
185
125
207
22
219
380
327
-
150
7
-
654
1,088
150
275
150
275
2024		 Motor vehicles
Totals
(£ in '000)
(£ in '000)
25
25
-
-
(25)
(25)
-
-
12
12
-
-
(12)
(12)
-
-
-
-
13
13
2024
2023
(£ in '000)
(£ in '000)
109
2
529
1,491
632
646
138
31
1,408
2,170
2024
2023
(£ in '000)
(£ in '000)
120
185
125
207
22
219
380
327
-
150
7
-
654
1,088
150
275
150
275
2024
- -
12
-
(12)		 12
-
(12)
- -
- -
13 13
2024
(£ in '000)
109
529
632
138		 2023
(£ in '000)
2
1,491
646
31
1,408 2,170
2024
(£ in '000)
120
125
22
380
-
7		 2023
(£ in '000)
185
207
219
327
150
-
654 1,088
150 275
150 275

14 FUND TRANSFERS

The Trustee made a transfer of £0.71m from the General Endowment Fund as well as a transfer of £73.90m from the Expendable Endowment Fund, totalling £74.61m to the Giving Fund in order to meet the level of donations as suggested by donors and in accordance with the terms under which the Giving Funds are operated.

Page: 17

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

15 ANALYSIS OF NET ASSETS BETWEEN FUNDS

-------------Unrestricted Funds------------- -------------Unrestricted Funds------------- -------------Unrestricted Funds-------------
General
Endowment Expendable
Fund Income Endowment Total Funds
2024 2024 2024 2024
(£ in '000) (£ in '000) (£ in '000) (£ in '000)
Fixed Assets
Listed Investments 323 - 227,262 227,585
Unlisted Investments - - 11,419 11,419
Programme Related Investments - - 1,060 1,060
Tangible fixed assets - - - -
Fixed bank deposits - - 19,095 19,095
Current Assets
Cash 231 - 110,183 110,414
Sundry Debtors - - 1,408 1,408
Creditors due within one year (2) - (652) (654)
Creditors due more than one year - - (150) (150)
Total 552 - 369,625 370,177
-------------Unrestricted Funds-------------
General
Endowment Expendable
Fund Income Endowment Total Funds
2023 2023 2023 2023
(£ in '000) (£ in '000) (£ in '000) (£ in '000)
Fixed Assets
Listed Investments 330 - 187,036 187,366
Unlisted Investments - - 3,705 3,705
Programme Related Investments - - 228 228
Tangible fixed assets - - 13 13
Fixed bank deposits - - 30,775 30,775
Current Assets
Cash 16 - 132,276 132,292
Sundry Debtors - - 2,170 2,170
- -
Creditors due within one year (1) - (1,087) (1,088)
Creditors due more than one year - - (275) (275)
Total 345 - 354,841 355,186
**16 ** RECONCILIATION OF OPERATING SURPLUS TO NET CASH Restated
(OUTFLOW)/INFLOW FROM OPERATING ACTIVITIES 2024 2023
(£ in '000) (£ in '000)
Net operating income 21,408 38,099
Investment income (10,635) (5,276)
Endowment Donations (97,172) (108,455)
Gift in kind (Tangible fixed asset granted out) 13 -
Loan waiver (65) -
Gains on Currency transactions (1,399) (290)
Depreciation - 3
Decrease/(increase) in Debtors 871 (1,934)
Increase/(decrease) in Creditors (494) 856
Net cash (outflow)/inflow from operating activities (87,473) (76,997.00)

Page: 18

Docusign Envelope ID: BB90A422-8486-4E7D-998B-2C509D7488DF

THE MASTER CHARITABLE TRUST NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 30th SEPTEMBER 2024

17 POST BALANCE SHEET EVENTS

Following the year-end, Golden Bottle Trust, a charity for which Hoare Trustees Limited serves as Trustee, transferred assets valued at £6.03m to The Master Charitable Trust.

18 PRIOR YEAR ADJUSTMENT

It was discovered in year that in the prior year, deposit accounts were incorrectly classified as fixed assets instead of current assets. Accounting for this prior year adjustment had the following effect in 2023:

Page 19