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2022-09-30-accounts

The National Funding Scheme

Annual Report and Financial Statements

30 September 2022

Company Limited by Guarantee Registration Number 08223187 (England and Wales)

Charity Registration Numbers 1149800 (England and Wales) SC045106 (Scotland)

Reports

Reports
Reference and administrative details of the
charity, its Trustees and advisors 1
Trustees’ report 2
Independent auditor’s report on the financial
statements 8
Accounts
Statement of financial activities 12
Balance sheet 13
Principal accounting policies 14
Notes to the financial statements 18

The National Funding Scheme

Reference and Administrative Details of the charity, its Trustees and advisors

Trustees Georgina Bagshawe (appointed 22 March 2022)
Sam Cooper
Jamie Galloway
William Makower
Jun Park
Registered office 1 Golden Court
Richmond
TW9 1EU
Company number 08223187 (England and Wales)
Charity numbers 1149800 (England and Wales)
SC045106 (Scotland)
Auditor Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Solicitor Bates Wells LLP
10 Queen Street Place
London
EC4R 1BE
Banker National Westminster Bank Plc
15 Bishopsgate
London
EC2P 2AP

The National Funding Scheme 1

Trustees’ report 30 September 2022

The Trustees present their report along with the financial statements of The National Funding Scheme (“NFS”) for the year to 30 September 2022.

The financial statements have been prepared in accordance with the accounting policies set out on pages 14 to 17 and comply with the charitable company’s memorandum and articles of association, the Companies Act 2006, the Charities And Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 and 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 United Kingdom and Republic of Ireland (FRS 102).

This report has been prepared in accordance with Part 8 of the Charities Act 2011 and constitutes a directors report for the purpose of company legislation.

Structure, Governance and Management

Governance

The National Funding Scheme is a charitable company, limited by guarantee, incorporated on 20 September 2012 and registered as a charity on 16 November 2012. The charity was established under a Memorandum of Association which established the objects and powers of the charity and is governed under its Articles of Association.

The governance and strategy of the charity is overseen by the Board of Trustees (named in the table below). Trustees are appointed as outlined in the Memorandum and Articles of Association and they bring specific skills to complement and support the Management Team.

The following Trustees were in office at 30 September 2022, and served throughout the period except where shown.

Trustees Appointed/resigned
Sam Cooper
Jamie Golloway
Georgina Bagshawe Appointed 22 March 2022
Bart Leonard Resigned 6 January 2022
William Makower
Jun Park

Key management personnel

The Trustees consider that they comprise the key management of the charity in charge of directing and controlling, running and operating the charity on a day to day basis.

None of the Trustees received any remuneration for their services as Trustees (2021 – none).

The National Funding Scheme 2

Trustees’ report 30 September 2022

Structure, Governance and Management (continued)

Statement of Trustees’ responsibilities

The Trustees (who are also directors of The National Funding Scheme for the purposes of company law) are responsible for preparing the Trustees’ report and 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 charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulation 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Risk Management

The Trustees are mindful of their responsibility as charity trustees to identify the risks the charity faces and to establish and implement systems and procedures to mitigate those risks identified. Risks were considered at each quarterly Board meeting and appropriate actions taken. Risks continue to be reviewed at a similar frequency.

The National Funding Scheme 3

Trustees’ report 30 September 2022

Principal Aims, Objectives and Activities

The object of the National Funding Scheme (NFS) is “the promotion of the efficiency and effectiveness of charities for the public benefit by promoting charitable giving, fundraising and donations to charities, particularly (but not exclusively) through supporting new ways of giving to charities and through digital means”.

As Trustees, we confirm that we have referred to the guidance contained in the Charity Commission’s general advice on public benefit when reviewing the charity’s aims and objectives and in planning future activities for the year.

Activities and Achievements

The charity incurred an operational surplus of £16,406 in the year to 30 September 2022 (2021: £1,859).

The year from 1st October 2021 to 30th September 2022 coincided with the end of the various Government mandated Pandemic lockdowns. The Charity Commission’s own research (https://www.gov.uk/government/publications/charity-commission-covid-19survey-2021) carried out on the impact of the Pandemic on charities showed that nearly all charities were impacted by the pandemic with over 90% having experienced some negative impact from Covid-19, whether on their service delivery, finances, staff, or indeed on staff morale, resulting from the months of frustration and uncertainty. The majority (60%) saw a loss of income, and a third (32%) said they experienced a shortage of volunteers.

NCVO, in collaboration with Nottingham Trent University and Sheffield Hallam University, produced a series of detailed reports (http://cpwop.org.uk/respond-recover-reset-reportarchive/) on the impact of the Pandemic on charities.

85% of infrastructure bodies in the sample thought that the level of demand for services and support from infrastructure organisations has increased as a result of the pandemic in the areas such as digital technology, developing and promoting new services, new funding and mobilising volunteers.

National Funding Scheme, as an infrastructure fundraising platform, saw and met this increasing demand both by improving the onboarding processes of the online platform, providing additional human resources to meet the rise in contact enquiries and increasing education across the sector. A key element of this increased education was to develop targeted microsites for specific fundraising sectors. These freely available guides can be viewed at the following links:

The National Funding Scheme 4

Trustees’ report 30 September 2022

Activities and Achievements (continued)

However, the Pandemic also laid bare that the platform, originally built back in 2012, had built up significant technical debt and further development was costing the organisation disproportionate funds to add features and ensure reliability. A grant application was made to the Garfield Weston Foundation to support the redevelopment of the underlying platform and we were delighted to receive a fully funded grant of £30,000 in February 2022 to scope and deliver an improved service. Our thanks to the Trustees of the Garfield Weston Foundation for continuing to support the development of the DONATE platform.

During the year over 309 charities applied to join DONATE. Many of these were schools, churches and other charitable organisations where lockdown made a considerable difference to their fortunes.

Over the year, total funds raised (including Gift Aid) was £551,223 (2021: £940,543). This drop in fundraising was a natural consequence of a worsening economic backdrop prior to the tightening of monetary policy which started in December 2021. The impact of increasing interest rates has a direct and negative impact on available household funds for donations; ironically at a time when the charitable need is increasing.

Three case studies from the year:

Case Study 1 – Charity auction for Tiggy Hancock

A silent auction was the anchor fundraising event during the Turn Cheltenham Yellow for Tiggy event on December 10th 2021. Reaching out to the riding community both in Ireland and the UK, the Tiggy Hancock Trust ran a live and silent auction to raise funds for the Injured Jockeys Fund.

The DONATE™ platform provided the Trust with the service it needed to maximise fundraising. Each lot was shown

off to its best effects using imagery and content that underlined the strength of community support.

"We were new to organising a fundraising auction and wanted to find a partner who with similar incentives to us, would provide us with an account managed service and whose technology would ensure that we would raise the maximum amount from our supportive community. The DONATE™ team was fantastic and their platform did everything it said on the tin. We were delighted with the support we received from the moment we decided to use them to the event itself and then the after-event support. We will be back next year.”

- Frank Hancock | Tiggy’s Father and charity Founder

The National Funding Scheme 5

Trustees’ report 30 September 2022

Case Study 2 – Foodbank support

National Funding Scheme supports a range of foodbanks from Bridgewater in Somerset to Edinburgh in Scotland to raise funds for local communities. As an example Canterbury Foodbank raised over £16,000 during the year.

To support foodbanks maximise their fundraising we produced a series of case studies and a specific microsite available at https://www.nationalfundingscheme.org/foodbanks/

Since joining DONATE™ in 2019, Canterbury Food bank CIC has raised over £55,000. Whilst they welcome food donations to keep their services running, they also collect money where this is not possible. 58% of donors opted to add Gift Aid when making their donation by completing DONATE’s enduring Gift Aid declaration. All Gift Aid is processed by DONATE™ meaning Canterbury Food Bank received 100% of these donations.

Case Study 3 - Dumfries and Galloway Canine Rescue

Dumfries and Galloway Canine Rescue operates a local rescue centre which in 2018 noted its 4000th dog rehomed from their centre. Their digital presence has not only enabled them to extend their reach (rehoming dogs from as far afield as Orkney to Dorset) but also acts as a major fundraising outreach point.

The centre joined DONATE in May 2020 but and since then have received over 400 donations across both

web and text. Donations have ranged from £1 to £1000 with the most popular (mode) being £10 and 28 donations being over £100. The flexibility of DONATE, the ease of donors to collect Gift Aid and the simplicity of developing fundraising campaigns to meet emerging needs is central to their reason for working with us.

The National Funding Scheme 6

Trustees’ report 30 September 2022

Activities and Achievements (continued)

Financial report for the period

Results for the period

Total income for the period was £609,622 (2021 – £965,239), consisting of donations and commission earned through the NFS platform, and gifts in kind.

Charitable expenditure on activities in furtherance of the charity’s objectives amounted to £593,216 (2021 – £963,380), predominantly comprised of charitable donations, other costs relating to the charity’s version of the licensed fundraising platform, and gifts in kind.

The charity incurred an overall surplus of £16,406 (2021 – £1,859) for the year.

Reserves policy

The Trustees are mindful that the target for free reserves should be three months’ running costs and work towards this objective on the basis that this timeframe is sufficient to recruit additional volunteers or part time staff to cover unforeseen circumstances without having a material effect on the charity’s operations.

Financial position and future plans

At the period end restricted funds were £nil (2021 - £nil) as all restricted funds are paid out to beneficiary charities and unrestricted funds were a deficit of £38,743 (2021 - £54,879).

The worldwide outbreak of the coronavirus pandemic (Covid-19) has caused extensive disruptions to organisations globally with major implications for operations as well finances. Trustees acknowledge and recognise the likely impact of the Covid-19 pandemic on the future operations of the charity, its beneficiaries, partners and stakeholders and on the wider society. At the date of approval of these financial statements, the digital-first charity has been able to work efficiently with staff working from home. However, the trustees continue to closely monitor the availability and scale of resources needed to manage the charity.

The Trustees are confident that the charity will be able to meet its liabilities as they fall due for the foreseeable future and have plans to ensure that the charity can build its reserves up to an acceptable level. The Trustees, therefore, believe it is appropriate for the accounts to be prepared on a going concern basis.

This report was prepared under the Small Companies Provisions of the Companies Act 2006.

Signed on behalf of the Trustees Jamie Galloway

Approved by the Board of Trustees on: 21st June 2023

The National Funding Scheme 7

Independent auditor’s report on the financial statements 30 September 2022

Independent auditor’s report to the trustees and members of The National Funding Scheme

Opinion

We have audited the financial statements of The National Funding Scheme (the ‘charitable company’) for the year ended 30 September 2022 which comprise the statement of financial activities, the balance sheet, the principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the 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 and financial statements, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

The National Funding Scheme 8

Independent auditor’s report on the financial statements 30 September 2022

Other information (continued)

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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

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

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, 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.

The National Funding Scheme 9

Independent auditor’s report on the financial statements 30 September 2022

Responsibilities of trustees (continued)

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.

Auditor’s responsibilities for the audit of the financial statements

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

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

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

We assessed the susceptibility of the charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

The National Funding Scheme 10

Independent auditor’s report on the financial statements 30 September 2022

Auditor’s responsibilities for the audit of the financial statements (continued)

To address the risk of fraud through management bias and override of controls, we:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

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

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

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and to the charity’s trustees as a body, in accordance with Section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and Regulation 10 of the Charities Accounts (Scotland) Regulations 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.

Edward Finch (Senior Statutory Auditor) For and on behalf of Buzzacott LLP, Statutory Auditor 130 Wood Street London EC2V 6DL

Date 27 June 2023

The National Funding Scheme 11

Statement of financial activities Year to 30 September 2022

Notes Unrestricted
£		 Restricted
£		 2022
Total
funds
£		 Unrestricted
£		 Restricted
£		 2021
Total
funds
£
Income
Donations
1
Charitable activities
2
Interest receivable
Total income
Expenditure
Cost of raising funds
3
Charitable activities
4
Total expenditure
Net (expenditure)/income
before transfers
Transfers between funds
14
Net income and net
movement in funds
Reconciliation of funds:
Fund balances brought forward
at 1 October 2021
Fund balances carried
forward at 30 September
2022		 34,150
50,979
39		 524,454
—
—		 558,604
50,979
39		 30,000
87,548
15		 847,676
—
—		 877,676
87,548
15
85,168 524,454 609,622 117,563 847,676 965,239
90
1,638		 —
596,989		 90
598,627		 —
7,803		 —
955,577		 —
963,380
1,728 596,989 598,717 7,803 955,577 963,380
83,440
(72,535)		 (72,535)
72,535		 10,905
—		 109,760
(107,901)		 (107,901)
107,901		 1,859
—
10,905
(54,879)		 —
—		 10,905
(54,879)		 1,859
(56,738)		 —
—		 1,859
(56,738)
(43,974) — (43,974) (54,879) — (54,879)

All of the charity’s activities derived from continuing operations during the above financial periods.

All recognised gains and losses are included in the above statement of financial activities.

The notes on pages 18 to 23 form part of the financial statements.

The National Funding Scheme 12

Balance sheet at 30 September 2022

Notes 2022
£		 2022
£		 2021
£		 2021
£
Fixed assets
Intangible fixed assets
10
Current assets
Debtors
11
Cash at bank and in hand
Current liabilities
Creditors: amounts falling due
within one year
12
Net current liabilities
Creditors: amounts falling due after
one year
13
Total net liabilities
The funds of the charity:
Unrestricted funds
Restricted funds
14		 7,177
104,179		 —
(29,630)		 48,079
106,448		 —
154,527
(38,255)
(140,986) (192,782)
(14,344) (16,624)
(43,974) (54,879)
(43,974)
—		 (54,879)
—
(43,974) (54,879)

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

Signed on behalf of the Board of Trustees by:

Jamie Galloway

Trustee

Approved by the Board of Trustees on: 21 June 2023

Registered Company Number 08223187 (England and Wales)

The National Funding Scheme 13

Principal accounting policies 30 September 2022

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.

Basis of preparation

These accounts have been prepared for the year to 30 September 2022.

The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.

The accounts have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), the Charities Act 2011 and the Charities Accounts (Scotland) Regulations 2006.

The charity constitutes a public benefit entity as defined by FRS 102.

The accounts are presented in sterling and are rounded to the nearest pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the Trustees and management to make significant judgements and estimates.

The items in the accounts where these judgements and estimates have been made include:

Assessment of going concern

The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect of a period of one year from the date of approval of these accounts and have considered the impact of the coronavirus pandemic on the charity’s operations.

The trustees have considered the financial position of the charity at the date of approval of these financial statements, and also its ongoing income and expenditure. Given the modest expenditure of the charity, a reduction in overheads and our best estimates for projected income the Trustees have concluded that the charity will be able to meet its financial obligations. Although it is anticipated that no such support will be required, a trustee has confirmed that he will provide funds to support the charity’s cashflow requirements for a period of at least one year from the date of approval of the financial statements.

The National Funding Scheme 14

Principal accounting policies 30 September 2022

Assessment of going concern (continued)

These financial statements have been prepared on a going concern basis. The Trustees are confident that the charity will be able to meet its liabilities as they fall due for the foreseeable future. For this reason the financial statements have been prepared on a going concern basis.

Income recognition

Income is recognised in the period in which the charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.

Income comprises donations, commission earnt on donations processed through the National Funding Scheme, investment income and income from charitable activities.

Donations processed through the National Funding Scheme are included within income as restricted donations. Any commission earned on these donations by the charity is included within income from charitable activities. The donations less the commission are subsequently passed onto the recipient organisations and included in expenditure as charitable donations. Any amounts not paid over to the recipients at the year end are included within creditors.

Donations are recognised when the charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period.

Donated services and facilities provided to the charity are recognised in the period when it is probable that the economic benefits will flow to the charity, provided they can be measured reliably. This is normally when the service is provided/the facilities are used by the charity. An equivalent amount is included as expenditure.

Donated services and facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain facilities or services of equivalent economic benefit on the open market.

In accordance with the Charities SORP FRS 102 volunteer time is not recognised.

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

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment 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.

The National Funding Scheme 15

Principal accounting policies 30 September 2022

Expenditure recognition (continued)

All expenditure is accounted for on an accruals basis. Expenditure comprises direct costs and support costs. All expenses, including support costs, are allocated or apportioned to the applicable expenditure headings. The classification between activities is as follows:

All expenditure is stated inclusive of irrecoverable VAT.

Allocation of support and governance costs

Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the charity it is necessary to provide support in the form of personnel, development, financial procedures, provision of office services and equipment and a suitable working environment.

Governance costs comprise the costs involving the public accountability of the charity (including audit costs) and costs in respect to its compliance with regulation and good practice.

Support costs and governance costs are apportioned based on the proportion of staff time spent on each activity.

Intangible fixed assets and amortisation

All assets with a cost greater than £500 and a life expectancy exceeding one year are capitalised.

Intangible fixed assets are included at cost. Amortisation is provided at the following annual rates in order to write off each asset on a straight line basis over its estimated useful life:

 Software Licence 33% pa of cost.

Fund accounting

Restricted funds are to be used for specific purposes as specified by the donor. Expenditure which meets these criteria, is charged to the fund.

General unrestricted funds are available for use at the discretion of the Trustees in the furtherance of the general objectives of the charity.

The National Funding Scheme 16

Principal accounting policies 30 September 2022

Cash flow

The financial statements do not include a cash flow statement because the charity, as a small reporting entity, is exempt from the requirement to prepare such a statement under Financial Reporting Standard 102.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition.

Creditors and provisions

Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

The National Funding Scheme 17

Notes to the financial statements Year to 30 September 2022

1 Donations

Donations
Unrestricted
£		 Restricted
£		 2022
Total
funds
£
National Funding Scheme donations
Other donations
2022 Total funds		 —
34,150		 524,454
—		 524,454
34,150
34,150 524,454 558,604
Unrestricted
£		 Restricted
£		 2021
Total
funds
£
National Funding Scheme donations
Gifts in kind (note 15)
2021 Total funds		 —
30,000		 847,676
—		 847,676
30,000
30,000 847,676 877,676

2 Income from charitable activities

Income from charitable activities
Unrestricted
£		 Restricted
£		 2022
Total
funds
£
Commission on National Funding Scheme Donations
Contactless trial
Other
2022 - Total funds		 38,958
500
11,521		 —
—
—		 38,958
500
11,521
50,979 — 50,979
Unrestricted
£		 Restricted
£		 2021
Total
funds
£
Commission on National Funding Scheme Donations
Contactless trial
Other
2021 - Total funds		 73,475
970
13,103		 —
—
—		 73,475
970
13,103
87,548 — 87,548

3 Cost of raising funds

Cost of raising funds
Unrestricted
£		 Restricted
£		 2022
Total
funds
£
Costs of raising funds
2022 Total funds		 90 — 90
90 — 90

The National Funding Scheme 18

Notes to the financial statements Year to 30 September 2022

3 Cost of raising funds (continued)

Cost of raising funds(continued)
Unrestricted
£		 Restricted
£		 2021
Total
funds
£
Costs of raising funds
2021 Total funds		 — — —
— — —

4 Charitable activities

Charitable activities
Unrestricted
£		 Restricted
£		 2022
Total
funds
£
Administration
Marketing
Transaction costs
Legal and professional fees
Support costs (note 7)
Purchase and rental of contactless units
Charitable donations
Other
Governance costs (note 5)
2022 Total funds		 —
—
—
—
—
463
—
—
1,175		 20,181
9,533
19,870
18,347
22,378
—
501,713
4,967
—		 20,181
9,533
19,870
18,347
22,378
463
501,713
4,967
1,175
1,638 596,989 598,627
Unrestricted
£		 Restricted
£		 2021
Total
funds
£
Administration
Marketing
Transaction costs
Legal and professional fees
Support costs (note 7)
Purchase and rental of contactless units
Charitable donations
Other
Governance costs (note 5)
2021 Total funds		 —
—
—
—
—
3,423
—
—
4,380		 13,200
23,220
23,913
22,311
28,302
—
829,886
14,745
—		 13,200
23,220
23,913
22,311
28,302
3,423
829,886
14,745
4,380
7,803 955,577 963,380

The National Funding Scheme 19

Notes to the financial statements Year to 30 September 2022

5 Governance costs

Governance costs
Unrestricted
£		 Restricted
£		 2022
Total
funds
£
Audit fees
Support costs (note 7)
2022 Total funds		 5,500
1,175		 —
—		 5,500
1,175
6,675 — 6,675
Unrestricted
£		 Restricted
£		 2021
Total
funds
£
Audit fees
Support costs (note 7)
2021 Total funds		 2,890
1,490		 —
—		 2,890
1,490
4,380 — 4,380

6 Staff costs

No employees received remuneration in excess of £60,000 during the period (2021 – none).

During the period, the average number of staff was zero (2021 – zero).

During the period, no expenses were reimbursed to any Trustee (2021 – £nil).

The key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis comprise the Trustees. No Trustee received any remuneration for their services (2021 – £nil).

7 Support costs

The support costs incurred during the year to 30 September 2022 and the basis of their allocation were as follows:

Charitable
activities
£		 Governance
£		 2022
Total
£
Insurance
Travel and expenses
Subsistence
Computer and software		 589
9
46
21,734		 31
—
—
1,144		 620
9
46
22,878
22,378 1,175 23,553

The National Funding Scheme 20

Notes to the financial statements Year to 30 September 2022

7 Support costs (continued)

Charitable
activities
£		 Governance
£		 2021
Total
£
Insurance
Travel and expenses
Subsistence
Computer and software		 586
—
—
27,715		 31
—
—
1,459		 617
—
—
29,174
28,301 1,490 29,791

Any direct costs are charged to the relevant activity. Any indirect costs are allocated to each activity based on the estimated level of usage. Amounts relating to costs of raising funds are immaterial and have been disregarded.

8 Net movement in funds

This is stated after charging:

2022
Total
funds
£		 2021
Total
funds
£
Auditor’s remuneration:
. Currentyear		 5,500 2,890

9 Taxation

The National Funding Scheme is a registered charity and, therefore, is not liable to income tax or corporation tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

10 Intangible fixed assets

Intangible fixed assets
Software
Licence
£
Cost
At 30 September 2021 and 30 September 2022
Amortisation
At 30 September 2021 and 30 September 2022
Net book value
At 30 September 2021 and at 30 September 2022		 100,000
100,000
—

The National Funding Scheme 21

Notes to the financial statements Year to 30 September 2022

11 Debtors

Debtors
2022
£		 2021
£
Trade and other debtors
VAT Recoverable
Gift aid receivable		 1,484
1,012
4,681		 35,753
382
11,944
7,177 48,079

12 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2022
£		 2021
£
Trade creditors
Amounts due to affiliates with charitable purpose
Accruals		 10,144
121,439
9,403		 16,663
150,812
25,307
140,986 192,782

The amounts due to affiliates with charitable purpose are held in a separate bank account, as agreed with the Charity Commission.

13 Creditors: amounts falling due after one year

2022
£		 2021
£
Loan from Digital Information and Giving 14,344 16,624

14 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants to be applied for specific purposes.

At 30
September
2021
£		 Income
£		 Expenditure
£		 Transfers
£		 At 30
September
2022
£
National Funding Scheme
donations		 — 524,454 (501,713) (22,741) —
— 524,454 (501,713) (22,741) —
At 30
September
2020
£		 Income
£		 Expenditure
£		 Transfers
£		 At 30
September
2021
£
National Funding Scheme
donations		 — 847,676 (955,577) 107,901 —
— 847,676 (955,577) 107,901 —

The National Funding Scheme 22

Notes to the financial statements Year to 30 September 2022

15 Related party disclosures

The Trustees acknowledge the considerable support given by many individuals and organisations. Specifically Bates Wells LLP for legal work, Panlogic Ltd for technical development and administration support and Digital Innovation and Growth (DIG) Ltd for the core technology, ongoing development of the technology, technical hosting and maintenance.

William Makower is a shareholder director of Panlogic Ltd and Digital Innovation and Growth (DIG) Ltd and a serving Trustee of The National Funding Scheme.

The National Funding Scheme 23