| REPORT OF THE TRUSTEES INCLUDING STRATEGIC REPORT | 1 |
|---|---|
| STATEMENT OF TRUSTEES' RESPONSIBILITIES | 9 |
| INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF | |
| DENISE COATES FOUNDATION | 10 |
| STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE | |
| ACCOUNT) | 13 |
| STATEMENT OF FINANCIAL POSITION | 14 |
| STATEMENT OF CASH FLOWS | 15 |
| ACCOUNTING POLICIES | 16 |
| NOTES TO THE FINANCIAL STATEMENTS | 20 |
| Charity Number:. | 1149110 |
|---|---|
| Company Number: | 08191619 |
| Trustees/Company Directors: | D Coates CBE |
| JF Coates | |
| P Coates | |
| SH Galletley | |
| JE White | |
| OR Adams | |
| Auditor: | RSM UK Audit LLP |
| Festival Park | |
| Stoke-on-Trent | |
| Staffordshire | |
| ST 1 5BB | |
| Banker: | Barclays Bank |
| Pall Mall Corporate Banking Centre | |
| Pall Mall Corporate Group | |
| 50 Pall Mall | |
| London | |
| Investment Manager | Stonehage Fleming |
| 15 Suffolk Street | |
| London | |
| S W 1 Y 4HG | |
| United Kingdom | |
| Registered Office: | bet365 House |
| Media Way | |
| Stoke-on-Trent | |
| Staffordshire | |
| ST 1 5SZ | |
| Status: | Denise Coates Foundation is a company limited by guarantee. It is a |
| registered charity and governed by the provisions of its Memorandum | |
| and Articles of Association dated 24 August 2012 as amended by | |
| special resolution on 30 November 2012 and 4 February 2016. |
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF DENISE COATES FOUNDATION (continued)
However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of f[r] aud.
In identifying and assessing risks of material misstatement in respect of irregularities, including f[r] aud, the audit engagement team:
-
obtained an understanding of the nature of the sector, including the legal and regulat01y frameworks that the charitable company operates in and how the charitable company is complying with the legal and regulatory frameworks;
-
inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any lmown actual, suspected or alleged instances of f[r] aud;
-
discussed matters about non-compliance with laws and regulations and how f[r] aud might occur including assessment of how and where the financial statements may be susceptible to fraud .
As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities Act 2011 and the charitable company's governing document. We performed audit procedures to detect non-compliances which may have a material impact on the fmancial statements which included reviewing the financial statements including the Report of the Trustees', remaining alert to new or unusual transactions which may not be in accordance with the governing documents.
The audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to f[r] aud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to any significant, unusual transactions and transactions entered into outside the normal course of business, challenging judgments and estimates.
A further description of our responsibilities for the audit of the fmancial statements is located on the Financial Reporting Council's website at http://www.f[r] c.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Patt I 6 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 auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the 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.
Anna Spencer-Gray
ANNA SPENCER-GRAY (Senior Statutory Auditor) For and on behalfofRSM UK AUDIT LLP, Statutory Auditor Chartered Accountants Festival Way Stoke-on-Trent Staffordshire STI 5BB
21 December 2021
Page 12
| Note | Endowment | Unrestricted | Total | Total | |
|---|---|---|---|---|---|
| Fund | Funds | Funds | Funds | ||
| Period ended | Period ended | ||||
| 28 March | 29 March | ||||
| 2021 | 2020 | ||||
| INCOME AND ENDOWMENTS: | £000 | £000 | £000 | £000 | |
| Donations; | |||||
| Gift of expendable endowment | 1 | 100,000 | 100,000 | 85,000 | |
| Investment income | 2 | 3,801 | 12 | 3,813 | 3,707 |
| TOTAL INCOME | 103,801 | 12 | 103,813 | 88,707 | |
| EXPENDITURE | |||||
| Raising fitnds; | |||||
| Investment management costs | 1,044 | 1,044 | 823 | ||
| Charitable activities | 3 | 6,263 | 6,263 | 9,087 | |
| TOTAL EXPENDITURE | (1,044) | (6,263) | (7,307) | (9,910) | |
| NET INCOME/(EXPENDITURE) | |||||
| BEFORE GAINS ON | |||||
| INVESTMENTS | 102,757 | (6,251) | 96,506 | 78,797 | |
| Net gains/(losses) on investment | |||||
| assets | 86,516 | 86,516 | (31,284) | ||
| NET INCOME/(EXPENDITURE) | 189,273 | (6,251) | 183,022 | 47,513 | |
| TRANSFERS | |||||
| Gross transfers between funds | 11 | (15,500) | 15,500 | ||
| NET MOVEMENTS IN FUNDS | 173,773 | 9,249 | 183,022 | 47,513 | |
| Reconciliation offends | |||||
| Total funds brought forward | 374,320 | 11,000 | 385,320 | 337,807 | |
| TOTAL FUNDS CARRIED | |||||
| FORWARD | 11 | 548,093 | 20,249 | 568,342 | 385,320 |
| Note | 2021 | 2020 | |||
|---|---|---|---|---|---|
£000 |
£000 |
£000 |
£000 |
||
| FIXED ASSETS | |||||
| Investments | 6 | 472,261 | 305,420 | ||
| CURRENT ASSETS | |||||
| Debtors: Amounts falling due within | |||||
| one year | 7 | 9 | 8 | ||
| Cash at bank and in hand | 100,654 | 85,972 | |||
| TOTAL CURRENT ASSETS | 100,663 | 85,980 | |||
| CREDITORS: Amounts falling due | |||||
| within one year | 8 | (4,419) | (2,809) | ||
| NET CURRENT ASSETS | 96,244 | 83,171 | |||
| TOTAL ASSETS LESS CURRENT | |||||
LIABILITIES |
568,505 | 388,591 | |||
| CREDITORS: Amounts falling due | |||||
| after one year | 9 | (163) | (3,271) | ||
| TOTAL NET ASSETS | 568,342 | 385,320 | |||
| THE FUNDS OF THE | |||||
| FOUNDATION | |||||
| UNRESTRICTED FUNDS | |||||
| General funds | 12 | 20,249 | 11,000 | ||
| ENDOWMENT FUND | 12 | 548,093 | 374,320 | ||
| TOTAL FOUNDATION FUNDS | 12 | 568,342 | 385,320 |
| Note | 28 | March 2021 | 29 | March 2020 | |
|---|---|---|---|---|---|
| £000 | £000 | £000 | £000 | ||
| NET CASH PROVIDED | |||||
| BY/(USED IN) OPERATING | |||||
| ACTIVITIES | 13 | 7,682 | (1,102) | ||
| CASH FLOWS FROM INVESTING | |||||
| ACTIVITIES | |||||
| Expendable endowment invested | (84,000) | (82,500) | |||
| Transfer from investment | 6,500 | 8,000 | |||
| Interest received | 106 | ||||
| Net cash used in investing activities | (77,500) | (74,394) | |||
| CASH FLOW FROM FINANCING | |||||
| ACTIVITIES | |||||
| Gift of expendable endowment | 100,000 | 85,000 | |||
| Endowment conversion | (15,500) | (9,227) | |||
| Net cash provided by financing activities | 84,500 | 75,773 | |||
| CHANGE IN CASH AND CASH | |||||
| EQUIVALENTS IN THE PERIOD | 14,682 | 277 | |||
| Cash and cash equivalents at the | |||||
| beginning of the period | 85,972 | 85,695 | |||
| Total cash and cash equivalents at | |||||
| the end of the period | 100,654 | 85,972 |
| 2021 | 2021 | |||
|---|---|---|---|---|
| Endowment | Unrestricted | Total | Total | |
| fund | fund | 2021 | 2020 | |
| £000 | £000 | £000 | £000 | |
| Managed investments: | ||||
| Fixed interest— listed | - | |||
| Dividends — listed | 569 | 2 | 571 | 370 |
| Dividends — unlisted | 3,180 | 10 | 3,190 | 2,984 |
| Interest on cash | 50 | 50 | 256 | |
| Bank interest on cash deposits | 2 | 2 | 96 | |
| 3,801 | 12 | 3,813 | 3,706 |
| Total | Total | |||
|---|---|---|---|---|
| Period ended | Period ended | |||
| Grant | Support | 28 March | 29 March | |
| funding | costs | 2021 | 2020 | |
| £000 | £000 | £000 | £000 | |
| Charitable activity — donations | 150 | 150 | 30 | |
| — grants | 6,026 | 6,026 | 9,000 | |
| — governance costs | 87 | 87 | 57 | |
| 6,176 | 87 | 6,263 | 9,087 |
| Total | Total | |
|---|---|---|
| Period ended | Period ended | |
| 28 March | 29 March | |
| 2021 | 2020 | |
| £000 | £000 | |
| Disaster Recovery | 150 | |
| Medical Research and Development | 25 | |
| Community Development | 5 | |
| Health and Welfare | ||
| 150 | 30 |
| Period ended 28 March 2021 | Period ended 28 March 2021 | Period ended 29 March 2020 | Period ended 29 March 2020 | |
|---|---|---|---|---|
| Grants to | Grants to | Grants to | Grants to | |
| institutions | individuals | institutions | individuals | |
| £000 | £000 | £000 | £000 | |
| Health and Welfare | 2,274 | 2,213 | ||
| Education and Training | 1,831 | 2,101 | ||
| Medical Research and Development | 1,332 | 1,649 | ||
| Community Development | 589 | 2,614 | ||
| Arts and Culture | 423 | |||
| 6,026 | 9,000 |
| Institution | Funded Activity | No of | Total |
|---|---|---|---|
| donations | £000 |
||
| University Hospitals of | Support of the hospital's response to the Covid-19 | 3 | 1,901 |
| Noah Midlands Charity | pandemic, including improved information | ||
| Management and Technology capability, Vocera | |||
| Communication and Software Platform, new staff | |||
| rest facilities and training equipment along with | |||
| various other initiatives. | |||
| Stonyhurst Foundation | A school bursary scheme for students from | 1 | 1,600 |
| disadvantaged backgrounds. | |||
| Chronic Disease Research | A project researching how the Microbiome and |
3 | 1,285 |
| Foundation | Metabolome can affect Covid-19, along with long- | ||
| term funding towards pilot projects, fellowships and | |||
| PHD students. | |||
| Douglas Macmillan | The typical cost of 137 patients' End of Life care. | 1 | 322 |
| Hospice | From the first introduction to the hospice, receiving | ||
| care in the inpatient unit, along with the cost of all | |||
| services offered and home care, until the end of their | |||
| journey with the Hospice. | |||
| Kick4Life | The Stadium of Life development in Lesotho, | 1 | 250 |
| designed to be an infusion of sport, nature, art and | |||
| social change. | |||
| Newcastle-under-Lyme | Additional funding for the design/construction of the | 1 | 231 |
| School | new Sports Facility at the school. | ||
| The Land Trust | Further support of the programme to develop the | 1 | 155 |
| Hassall Green Nature Reserve. | |||
| New Vic Theatre | Further support of the charity's award-winning | 1 | 100 |
| Borderlines initiative. | |||
| 5,844 | |||
| There were a further 4 institutions who benefitted from grants to aid their | charitable | ||
| activities and which are aligned to the Foundation's charitable objectives. | 182 | ||
| 6,026 |
| Analysis ofgovernance costs | ||
|---|---|---|
| Unrestricted funds | Total | Total |
| 2021 | 2020 | |
| £000 | £000 | |
| Legal and professional | 66 | 38 |
| Audit fees | 17 | 16 |
| Insurance | 4 | 3 |
| Bank charges | ||
| 87 | 57 | |
| NET INCOMING RESOURCES FOR THE PERIOD | ||
| Net incoming resources are arrived at after charging the following: | ||
| 2021 | 2020 | |
| £000 | £000 | |
| Auditor's remuneration: | ||
| Audit services | 17 | 16 |
| Non audit services: | ||
| Accounts preparation | 1 | |
| Taxation services | 3 | 4 |
| Unlisted | Listed | Cash | Other | Total | |
|---|---|---|---|---|---|
| Securities | Securities | investments | |||
| 000 | £000 | £000 | £000 | £000 | |
| Market value | |||||
| At beginning of period | 184,284 | 86,467 | 34,669 | - | 305,420 |
| Transfer from cash balances | 77,500 | 77,500 | |||
| Additions to investments at | |||||
| cost | 49,110 | 85,625 | (158,342) | 23,607 | |
| Disposals at carrying value | (28,867) | (71,272) | 100,139 | ||
| Investment income | 3,190 | 571 | 50 | 3,811 | |
| Realised and unrealised | |||||
| gains and losses during the | |||||
| period | 42,209 | 43,796 | 3,535 | (3,025) | 86,515 |
| Expenses (see below *) | (986) | (986) | |||
| At end of period | 249,926 | 145,187 | 56,566 | 20,582 | 472,261 |
| 2021 | 2020 | |
|---|---|---|
| £000 | £000 | |
| Unrealised gains/(losses) on investments | 77,550 | (30,394) |
| Realised gains/(losses) on investments | 8,948 | (890) |
| Realised losses on currency and money markets | 17 | |
| 86,515 | (31,284) |
| 7 | DEBTORS: Amounts falling due within one year | ||
|---|---|---|---|
| 2021 | 2020 | ||
| £000 | £000 | ||
| Accrued income - interest | 9 | 8 | |
| 8 | CREDITORS: Amounts falling due within one year | ||
| 2021 | 2020 | ||
| £000 | £000 | ||
| Accruals | 306 | 253 | |
| Donation and grant commitments | 4,113 | 2,556 | |
| 4,419 | 2,809 | ||
| 9 | CREDITORS: Amounts falling due after one year | ||
| 2021 | 2020 | ||
| £000 | £000 | ||
| Grant commitments | 163 | 3,271 | |
| Movement in recognised funding commitments during the period |
| Movement in recognised funding commitments during the period | |
|---|---|
| Grant and donations | |
| commitments accrued | |
| 20212020 | |
| £000£000 | |
| Donations and grant commitments recognised at start of the period | 5,826 7,079 |
| New donation and grant commitments charged to SoFA in period | |
| (see note 3) | 6,176 9,030 |
| Donations and grants paid during the period | (7,726) (10,282) |
| Donation and grant commitments recognised at the end of the period | 4,276 5,827 |
| 2021 | 2020 | |
|---|---|---|
| £000 | £000 | |
| Financial assets: | ||
| Instruments measured at cost | 9 | 7 |
| Instruments treasured at fair value | 472,261 | 305,420 |
| Financial Liabilities: | ||
| Measured at amortised cost | 4,582 | 6,080 |
| At 29 | Gains on | At 28 | ||||
|---|---|---|---|---|---|---|
| March | revaluation of | Transfer of | March | |||
| 2021 | 2020 | Income | Expenditure | investments | Funds | 2021 |
| £000 | 000 | 000 | £000 | £000 | 1000 | |
| UNRESTRICTED | ||||||
| FUNDS | ||||||
| General fund | 11,000 | 12 | (6,263) | - | 15,500 | 20,249 |
| ENDOWMENT FUND | ||||||
| Expendable | 374,320 | 103,801 | (1,044) | 86,516 | (15,500) | 548,093 |
| TOTAL FUNDS | 385,320 | 103,813 | (7,307) | 86,516 | 568,342 | |
| At 31 | Losses on | At 29 | ||||
| March | revaluation of | Transfer of | March | |||
| 2020 | 2019 | Income | Expenditure | investments | Funds | 2020 |
| £000 | £000 | £000 | 000 | £000 | 1000 | |
| UNRESTRICTED | ||||||
| FUNDS | ||||||
| General fund | 10,772 | 87 | (9,087) | 9,227 | 11,000 | |
| ENDOWMENT | ||||||
| FUND | ||||||
| Expendable | 327,035 | 88,619 | (823) | (31,284) | (9,227) | 374,320 |
| TOTAL FUNDS | 337,807 | 88,706 | (9,910) | (31,284) | 385,320 |
| 2021 | Endowment | Unrestricted | Total |
|---|---|---|---|
| fund | General funds | funds | |
| £000 | £000 | £000 | |
| Investments | 449,357 | 22,904 | 472,261 |
| Cash at bank and in hand | 99,000 | 1,654 | 100,654 |
| Creditors due within one year | (264) | (4,155) | (4,419) |
| Creditors due after one year | (163) | (163) | |
| Debtors due within one year | 9 | 9 | |
| Total net assets | 548,093 | 20,249 | 568,342 |
| 2020 | Endowment | Unrestricted | Total |
| fund | General funds | Funds | |
| £000 | £000 | £000 | |
| Investments | 290,520 | 14,900 | 305,420 |
| Cash at bank and in hand | 84,000 | 1,972 | 85,972 |
| Creditors due within one year | (207) | (2,602) | (2,809) |
| Creditors due after one year | (3,271) | (3,271) | |
| Debtors due within one year | 6 | 1 | 7 |
| Total net assets | 374,320 | 11,000 | 385,320 |
| 28 March | 29 March | |
|---|---|---|
| 2021 | 2020 | |
| £000 | £000 | |
| Income after gains and losses on investments | 183,021 | 47,513 |
| Gift of expendable endowment | (100,000) | (85,000) |
| Endowment conversion | 15,500 | 9,227 |
| Investment income | (3,813) | (3,707) |
| Investment manager costs | 1,044 | 823 |
| Decrease in creditors | (1,554) | (1,242) |
| Net (gains)/losses on investments | (86,516) | 31,284 |
| Net cash provided by/(used in) operating activities | 7,682 | (1,102) |