THE CHILDWICK TRUST (A Company Itmited by guardntee) FINANCIAL STATEMENTS FOR THE YEAR TO 31 MARCH 2024 Charity number 1150413 Company numb¢r 08224553 THE CHILDWICK TRUST (A Company limited by guarantee) INDEX Page Trustees, Report Independ¢nt Auditor's Report 10 Statement of Financial Activities Balanc¢ Sh¢et 12 Statement of Cash Flows 13-23 Notes to the Financial Statements THE CHtLDWICK TRUST (A Company limited by guarantee) TRUSTEES, REPORT For the year ended 31 March 2024 The Trustees present their annual report together with the financial statements of the charity for the year ended 31 March 2024. The fjnancial staternents have been PTepared in ac¢oTdance with the accounting policies set out on pages 13 to 15 and comply with the Charities Act 201 I, the Statement of Recommend¢d Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ii¢land published in October 2019 and the Companies Act 2006. Objectives and Activities The charitable company commenced operation on l April 2013 when it took over the activities of the unincotporated charity. The Childwick Trust (Charity Commission reference 326853). The principal objects of the Trnst are as follows: a) To assist the aged in need including the former employees of the Settlor of The Childwick Trust and of companies associated with the Settlor and the families of such forn)er employees. b) To make payments to charities or for charitable objects connected with hoT5e racing or horsc breeding within the United Kingdom or people involved with horqe racing or horse breeding who shall be in need. c) To make payments to or for the benefit of Jewish charlties for the promotion of the Jewish faith OT support of Jews in need within the United Kingdom. d) To support charities and charitable objects for the education and benefit of people and the families of people who intend to work, ar¢ working or have worked in th¢ mining industry in the Republic of South Africa. e) To support the education of people resident in the Republic of South Africa and to provide grants and scholarships for such individuals lo assist in their education whetlier in South Africa or elsewhere. To make payments for the benefit of charities within the United Kingdom for the promotion of h¢alth and particularly for the relief of the disabled. Gr8nt-making policy The Trust has established its grant making policy to achieve its objects for the public bencfit. The Trust's aim is to improve the lives of those in need as detailed in its objects. The Tnjstees review the grant making policy annually to ensure that it reflects the charity'5 objects and ihereby advances public benefit. All applications are made via the Trust's website. UK applications are only accepted during April and October for consideration at the Trustees, meetings in January and July. South AfTican applications are only aLcepted during April for consideration at the Trustees, meetlng in July. Application5 ar¢ assessed b¢fore each meeting to check that they meet the I rust's objects. To furtherthis, the Trustees and Trust Administrator undertake a number of visits to both potential and current beneficiaries. Public benefit The principal activities of the Trust exist for public ben¢fiL The Trustees conffftn that, to the best of their knowledge and belief, they have complied with section 17 of the Charities Act 201 I with respect to having due regard to Public Benefit Guidance published by the Charity Commission. Achievements and Performance In the 32 year5 since the death of the Settlor. The Childwick Trust, frorn its original unincorporated charity through to its current incorporated status, has awarded grant5 and donations of approximately £89 million. An analysis of grants per object is set out in Note 14 to the f￿anCIal statements and a list of the main grants THE CHILDWICK TRUST (A Company limited by guarant¢e) TRUSTEES. REPORT For the year ended ) l March 2024 and donations during the year is available on the Trust's website (www.childwicktrust.org). During the y¢ar th¢ Trust received and processed 763 (2023.. 542) grdnt applications and awarded 200 (2023.. 23 l) separate grants and donations totalling £2,865,273 (2023: £3,018,302). IT] addition. the Trust supported three (2023: three) forni¢r employees of the settlor or their dependants at a cost of £39.766 {2023: £28,901). Monitoring of Grants Visits by Trustees to charity beneficiaries both in the UK and South Africa. taken together with the annual reports of grantees, help to provide infonnation about the impact of individual grantee charities on their own beneficiarie5. The Tnistces report back to the Board on a regular basis following visits and thi5 approach. together with the investigations undertaken by the Administrator, kt]forms the dccision-making process which the Trust follows. Th¢ Trustees consider that th¢ grants allocated to South Africa require a higher level of individual monitoring in ternis of both effectiveness and appropriateness. The visits to South Africa arc intended to allow Ihe trustees to monitor very directly the effectiveness of the grantees and thc impact of their work on the uliimal'e benefiLiarie5. Discussions also take place with South Africa-based Trusts that support pre-school education, in Order to share expcrience of developments in thc sector and best practice. In the year ¢nded 31 March 2024, a single annual visit was made by the Trustees to South Africa. The intention is to visit all South African grantees over a two or three year cycle, as in pre-covid years, The Trnst has the guidance advice of a consultanl, Mrs Giuliand Bland, who is based in Johannesburg and is w¢ll-known in the South African Early Childhood Dcvelopment community. She provides the Trustees with regular reports about developments in the ECD sector and she also monitors progress of the grdnts awarded, makes ad hoc visits and undertakes due diligence on behalf of the TrLtst. The consultant often accompanies the Trnstees on their visiis and reports fornially at the Trustees, July meeting when grants to South Africa are considered. Grant-making The Trustees retain discretion to distribute both income and capital each year and in nornial circumstances plan to distribute by way ot grant approximatcly 40/0 of the value of the investm¢nt portfolios. I"he I'rustees onsider that maintaining this level of byrants is important. even if tt results in a diminution in the real value ot the Trust's capital. ljniled Kingdom Grants for healih and associated causes amounted to 53.30/0 of the total grants in the year (2023: 57.10/0). The level of total grants was similar to th¢ previou5 year, but the proportions allocated to Racing and grant5 to Jewish charities were higher. .Sottih Afric'a In South Afric4 the Trust supports up to 40 FCD organisations. During the year under review, Lyrants to the F.CD sector totalled £682,284 (SA Rand 15,800,000) (2023: £807,265 (SA Rand 16,000,000)). Grants to South African ECD projects during the year represented 23.5 % (2023- 26.5 /0) of the Trust's annual total distributions. In spite of its natural wealth, South Africa faces a number of challenges which include high unemployment, corruption, poverty, insuffici¢nt power supply and the after-effects of Covid. The fmancial burdens that grantees face as a result of the effect5 of Covid continue. Many of th¢ individuals that the T￿Ste¢S met on their visits were meeting these difficulties with resilience and ambition which provided comfort that the Trust's funding plays a crucial support function and continues to have a material impact. The Trustees recognise the tmportance to ECD in South Africa of the Charity's funding and rcmain cornmitted to the ECD sector which will continue to be the focus of their grdtLt-giving activities in South Africa. The Trust ha5 SUPPOrted ECD in South Africa for more than 25 years and is one of the longest cOntin￿ing providers of funds to the ECD sector. THE CHILDWICK TRUST (A Company limited by guarant¢¢) TRUSTEES, REPORT For the year ended 31 March 2024 Financial Review During the year under review the net assets of the T[￿$t decre&sed by £603.602 to £83.420.377 (2023: £84,02i,979). Grant expenditure decreased by 50/0 to £2.905.039 {2023". £3.047.203) and represented 4.10 of the value of the Trust's year-end investment portfolio. Investment income incteased by 7Q/o to £2,045,817 (2023.. £1,906,677). The Statement of Financial Activities is presented on page l O. The Trust does not cary out any fiujdraising activities. Investment Poliey and Review The Trustees have adopted an investment policy that aims to balance the requircment for income and the long-terni protection of the Trust's assets. The Trust invests on a total return basis with the Trustees having wide powers to suppl¢mcnl incom¢ from capital if rcquir¢d. The Trust's assets comprise investment portfolios managed by professional managers as well as dire¢t ownership of a number of properties. The investment portfoli05 include direLt equitics, fixcd intcrcst securities and collectiv¢ investmenl schemes which may include the use of derivatives to protect the Trust's assets and reduce volatility- The Trustees maintain regular contact with their investment managers and receive monthly valuations and a quarterly market commentary. Formal review meetings take place at least twice a year. The Trust's investment portfolios were split between two discretionary investment managers with diff¢rent investment strategies and asset spreads, in order to increase diversification and reduce risk. Al 31 March 2024 total investments were split 59141 0/0 between the two portfolios. The larger portfolio is mainly equity based and the smaller portfol io used protection straleb?ies designed to reduce volatility in the event of a major market fall. Tliis stralegy had been particularly effective in prvtecting values during market volatility. Over the last 13 years (since inception). the two investment portfolios have produced annualised total returns (net of managemeni fees) of 6.30/0 and 5.30/0. respectively. RPI has been 3.9 % during this period. For fulure years, the 'l'rustees have decided to set a longy_term objeLlive of achieving an annual retum of 4 /0 plus CPI rather than RPI, as previously. During January 2024 the Trustees appointed a third investmcnt rnanager which. with effcct from l April 2024, will manage hdlf ofthe funds previously managed in the smaller, lower volatility portfolio. The freehold properties and investment properties provide income and capital diversification to the prcdominantly equity-ba5ed investments held by the Tnsst. The properties were fonnally re-valued as at 31 March 2024 by Strutt & Parker. The valuation was carried out on a vacant possession basis with some values being discounted to reflect the basis of occupation where regulated tenants are in place. It gave rise to a modest surplus over book value. Principal Risks and Uneertainties The principal risks faced by the Trust lie r￿st in the perfornanc¢ of investments and the variability of returns on the portfolio and secondly, in the appropriate alloration of grdnts. Inv¢stm¢nt risk is mitigaled by relaining expert inve8tmeTtt managers and appropriately experienced Trustees and having div¢rsifi¢d portfolios. The investment policy referred to above helps to stabilise the resources available for grant making. The risk of inappropriate all￿allOn is mitigated by the oversight of grantees by the Trustees (as addressed in Monitoring of Grants above). Reserves policy Unrestricted reserves at 31 March 2024 stood at over £83 million (2023.. just over £84 million). The Trust's reserves policy is driven by both its investment policy which aims to maintain the real value of assets in the long-term aiid its grant makinty policy, which aims to distribute 40/0 of the value of the managed funds, investments annually. This equates to approximately £2.9m of grant expenditure based on the Tnjst's Managed funds of £72.5m a5 at 31 March 2024. The Trustces have authority to call on both capital and income to fund grants and the Trusle¢s recognise that its grant making policy may result in a diminution of th¢ r¢al value of its assets. The Trnst has no significant financial commitments. THE CHILDWICK TRUST (A Company limited by guarantee) TRUSTEES, REPORT For the year ended 31 March 2024 The charity's reserves are in line with the policy set and are considered sufficient for the continuing activities of the Trust but the Trustees will monitor the level of future grant distributions in the light of potential investsnent returns, while continuing to exercise their discretion. Going Coneern Th¢ accounts have be¢n prepared on a going concern basis. The Trustees have prepared a budget to 31 March 2025 which assumes that further unrestriLtcd resurvcs will bc used. They have also considered the potenlial cash requirements for the year to 31 March 2025 and one year from the date of signing these financial statements. They note that the charity has a readily realisable investment portfolio and they do not believe that the utilisation of th¢ unrestricted reserves will have a material impact on the chaTity. Plans for the future The Trustees, cutTent aim is to ¢ontinu¢ with th¢ current investment policy and to make grants in line with the long-terni investsnent return objectives. The future l¢vcl of grants will be kept under review and may have to be reduced in order to reflect the possibility of earning lower investment returns than have been realised in the past. Strueture. Governance and Management Th¢ Childwick Trust is a company limited by suarnntee (company number 08224553) which was incorporuled on 21 Septeinber 2012 and rcgistered with the Charity Commission on 9 January 2013 (Registered Number 1150413). It is administered from 9 The Green, Childwick Bury. St Albans, Hertfordshire, AL3 6JJ. It is governed by its Memorandum and Articles of Association dated 17 September 2012. The Articles of Association were changed in February 2022 to allow a TNstee. who would have been obligyed lo retire at age 75. to conli]iue as a Irustee beyond that dgFe. subjecl to i￿nu(LI re-appointment. Appointment of Trustees A new 'Frustee can only be appointed with the unanimous appToval of the existing Trustee5. The minimum number of Trustees required under thc Mcmorandum and Articles of Associalion is three and the m&ximum is sev¢n. Th¢ Trust¢¢s seek to maintain a balance of ski115 and expertise on the Board. The induction process for new Tru.stee5 would comprise a meetTng with the Chairnian and the Board outlining the responsibilities of a Trustee, a study of th¢ Trust Deed and a perusal of copies of the Minutes of previous meetings and of the lasi three years, Annual Report and Accounts. The induction would also include an overview of the grant making process with the Trust Administrator. Trustee indemnity insurance Qualifying third party indemnity provision is in place for the benefit of all Trustees of the Trust. Key management personnel remuneration And related party transactions The Tru5tee5 consider the Board of Trustees as comprising the key management personnel of the charity in charge of directing and controlling the chariiy and runningy and operaling the charity on a day to day basis. All trustee5 give of their time freely and no Trustee remuneration was paid in th¢ y¢ar. Any connections between a Trustee and a supplier or grant recipient of the charity must be disclosed to the Board of Trustees. Details of Trnstee expenses and related party transactions are disclosed in notes 7 and 14 to the accounts. Reference and administrative detsi]s The Board of Trustees from l April 2023 and to the date of this report comprised: P D Anwyl-Harris Chainnan M P Farmar C M Maurice Dr A P O Stranders JDWood M J A Fiddes THE CHILDWICK TRUST (A Company limited by guardntee) TRUSTEES, REPORT For the year ended 31 March 2024 Trust Administrator and Registered orrice Mrs Kirsty Jones, 9 The Green, Childwick Bury. St. Albans, He￿, AL3 6JJ Charity Registration Number: 1150413 co￿paNY Registration Num ber: 08224553 Prineipal Advisors: Auditor Buzzacott LLP 130 Wood Street London EC2V 6DL Managing Agents Chappell Land and Property LLP Future Business Centre King's Hedges Road Cambridge. CB4 2HY Investment Managers Caz¢nove Capitsl l London Wall London EC2Y SAU Ruffer LLP 80 Victoria Street London SWIE 5JL Bankers C Hoar¢ & Co 37 P leet Street London EC4P 4DQ Investec tlank Limited 100 Grayston Drive Sandown Sandton 2196 South Africa Solicitors Debenhams Ottaway Ivy House 107 St P¢t¢r's Street St Albans. Herts ALI 3EW Maurice Turnor Gardner LLP 151h Floor. Milton House Milton Streel London, EC2Y 9BH Small company exemption This report has been Prepared in accordance with the provTsions applicable to companies entttled to the small companies exemption. Statement of Trustees, Responsibilities The Trustees (who are also the directors of The Childwick Trust for the purposes of company law) are responsibl¢ for preparing the Trust¢es' Report and the fiiiancial slat¢mLnts in accordance with appliLable law and United Kingdom Accounting Standards (United Kingdom Generdlly Accepted Accounting Practice). Company law requires the Trustees to prepare fmancial statements for each financial y¢ar which give a and fair view of the state of affairs of the charitable company and of the income and expenditure, of the charitable company for that period. In preparing these financial statements. the Trustees are required to: select suitable UK accowiting policies and then apply them consistently; observe the methods and principles in th¢ Accounting and Reporting by Charities: Statement of Recomend¢d Practice applicable to charities preparing their accolmts in accordance with the Financial Reporting Standard applicable to the United Kingdom and Republic of Ireland (FRS 102). make judgments and estimates that are reasonable and prndent. stat¢ whcthcr applicable accounting standards have ￿¢n follow¢d, subject to any material departur¢s disclosed and explained in the financial statements; and THE CHILDNVICK TRUST (A Company limited by guarantee) TRUSTEES, REPORT For the year ended 31 March 2024 prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continu¢ in bu5in¢ss. The Tru5t¢es ar¢ rcsponsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitabl¢ company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsibSe for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other i￿¢gUlarItieS. In so far as the Intstees are aware: there is no relevant audit infomiation of which the charitable cotnpany's auditor IS unaware. and the trustees have taken all step5 that they ought to have tsken to make themselves aware of any relevant audit inforniation and to establish that the auditor is aware of that informgltion. This confirmation is given and should be interpreted in accordance with the Provisions of s418 of the Companics Act 2006. Signed on behalf of the Trustees.. P D Anwyl-Harris Approved on.. 17 July 2024 THE CHtLDWtCK TRUST (A Company limited by guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHILDWICK TRUST Opinion We have audited Ihc financial statcrncnts of The Childwick Trust (thc 'charitable company.) for the year ended 31 March 2024 which comprise the statement of financial activities, the balance sheet, the statement of cashflows, the principal accounting policies and the notes lo the financia] statements. The financial reporting framework that has been applied in Iheir prcparalion is applicable law and ljniled Kingdom Accounting Stsndards, including F'inancial Reporting Standard 102 1.he Financial Ileporting Standard applicable in the UK and Ilepublic ol-lreland, Iunilcd Kingdom GLncrally Acccplcd AcLounling Pr<￿tice). In our opinion. the financial statements: + give a true and fair view of the state of the charitable company's affairs as at 31 March 2024 and of its income and cxpcnditurc for thc yC¢ir thcn cndcd. • have been properly prcparcd in ¢wcordance with United Kingdom Gcnerally Accepted Accountin8 Practice- huv¢ been pr¢par¢d in aLcordance with the requirem¢nts of the Companies Act 2006. Basis for opinion We conducted our audit in accordancc with Inlcrnational %landardq on Auditing (IIK) {ISA8 {UK}) and applicable law. Our respunsibilities under th08c .slandards are luriher desLribLd in Ihe audilor'% rcsponsibililies for the audit ot. thc finanLial statements s¢¢lion of our rcport. Wc arc indvpL'ndent uf lh¢ charitablo c1)mpi￿Y in accordance wilh the eihiclll requirement% Ihal are relevani ith (Jur audil ol. Ihe findncial 81aLemenLS in ihe IJK, including the rRC's F.IhiL&I Sts￿dard, uttd WL hnsibilily to anyone oth¢r than the haritable company and Ihc charl￿ble comptiny'% m¢M￿.rI as a body, for our audil work, lor Ihis repori, or for thc opinions we have fomed. Catherine Biscoe, Senior Statutory Audiior for and behdlf 01-Bui￿COtt l.LP. Statutory Auditor 130 Wood StrcLt London EC2V 6DL 1gJJLJ 102 THE CHILDWICK TRUST (A Compally limited by guarantee) STATEMENT OF FINANCIAL ACTIVITIES (including Income and Expenditure Account) For the year ended 31 March 2024 Note Year ended 31 March 2024 Unrestricted funds Year ended 31 March 2023 Unrestricted funds Income from: Investments Rent receivable Listed investments Inler¢st received 312,830 1,732,805 182 291,695 1.614,909 73 Total 2,045,817 1,906,677 Expenditure on: Raising funds Inveslment management costs Property management, repairs and maintenance iosls 765,706 833,663 175,066 168,498 940,772 ,002.161 Charilable activities Grants and donalions payable 3,147,564 3,277,470 Total 4,088.336 4.279,6J I Nel expeiiditure before gainsl(losses) on investments (2,042,519) (2,372,954) Net gainsl(losses) on investments ,443,917 (2,266.872) (Losses)/gains on revaIuation of tangible fixed assets (5,000) 320,000 Net movement in funds (603,602) (4,319,826) Reconciliation of funds: Total funds brought forward at l ApTiI 84,023.979 88,343,805 Totsl funds carried forward at 31 March 83,420,377 84,023,979 The not¢s on pages 13 to 23 fomi part of these financial statements. 10 THE CHILDWICK TRUST (A Company limited by guarnnt¢e) BALANCE SHEET AT 31 MARCH 2024 Company Registration Number 08224553 31 March 2024 31 March 2023 FIXED ASSETS Tangible Assets 1,520,000 1,525,000 Investments Investment Properties Listed Investments 9.077,500 72,449,783 8,995,000 7J,069,835 9b 81,527,283 82,064,835 83,047,283 83,589,835 CURRENT ASSETS Debtors Cash at bank and in hand 10 93,786 473.184 77,144 583,688 566,970 660,832 Creditors: Amounts falling due wiihin on¢ year (193,876) (226,688) NET CURRENT ASSETS 373.094 434,144 TOTAL NET ASSETS 83,420,377 84,023.979 THE FUNDS OF THE CHARITY: Unrestricted Funds - General Revaluation reserve 12 12 83,050,377 370,000 83,648,979 375,000 83,420,377 84,023,979 The financial statements on pages l O to 23 were approved by the Trustees and authorised for issue and signed on their behalf: P D Anwyl-Harris (Trustee) M P Farmar (Trust¢e) Approved on: 17 July 2024 The notes on pages 13 to 23 forni part of these financial statements. li THE CHILDWtCK TRUST (A Company limited by guarantee) STATEMENT OF CASH FLOWS For the year ended J l March 2024 2024 2023 Reconciliation of net expenditure to net e8sh used in operating activities (603.602) (4,319,826) Adjustments for: (Gains)Ilosses on investments Dividends. interest and rents from investments (Incre&se)/decre&se in debtors (Decrease) in creditors (1,438,917) 1,946.872 (2,045,817) (16,642) (32,812) (1,906,677) 6.556 (25,128) Net cash used in operating activitie5 (4,137,790) (4,298,203) Investing activitie5: Dividends. inter¢st and Knts from investments Proceeds from sale of investments Purchase of investments 2,045,817 35,030,895 (33,049,426) 1,906,677 41,673,925 (39,629.201) Nel cash from investing activities 4,027,286 3,951,401 Change in cash and cash equivalents in the reporting period (110,504) (346,802) Cash and cash equivalents at l April 583,688 930,490 Cash and cash equivalents at 31 March 473.184 583,688 The Trusl does not have any bo￿owingS or1¢&8e obligattons. Net debt consists therefore of cash and cash equivalents only. 12 THE CHILDWICK TRUST (A Company limited by guarante¢) NOTES TO THE FINANCIAL STATEMENrs For the ytrar ended 31 March 2024 i) Accounting Policies a) General information The Charitable Company is a private company limited by guarantee and was incorporated in England and Wales. company registration number 08224553. The registered office address is 9 The Green, Childwick Bury, St. Albans, Herts, AL3 6JJ. The principal activity of the COTnpany is as detailed in the Trustees, Report. b} Basis of accounting These financial statements have been prepared under the historical cost conventio modified to include the revaluation of freehold land and buildings and to include investment properties and certain finanLial instruments at fair value. Th¢ financial stalements have been prepared in accordance with the Statement of Recommend¢d Practice.. Accounting and Reporting by Charities preparing their accounts in accordance wilh the Financial Reporting Standard applicable in thc UK and R¢public of. Ireland (FRS 102) issued in October 2019 and the Charities Act 2011 and Companies Act 2006. The Trust constitutes a public benefit entity &$ defined by FRS 102. The financial statements are presented in sterling and are rounded to the nearest pound. c) Going Concern These accounts have b¢en prepar¢d on a going concem basis as the Trustees believe that the income from the invesiments is enough to sustain the day to day running of the Trust and to rneet its objectives for a period of at least twelve months from the date of approval of these financial statements. d) Tangible fixed assets and depreciation All assets costing more than £1,000 are capitalised. Freehold land and buildings ar¢ stated at their current vacant possession value, with the exception of those where regulated tenants are in place. Those prnperties have been discounted to reflect this impact of their fair value. Valualions by professionally qualified valuers are carried out every five years and values are reviewed by the Trustees, on the basis of professional advice, between fomial valuations. The revaluation gains and losses are recognised in the Stateinent of financial Activities and presented within a separate revaluation reserve within the unrestricted reserve. No depreciation is provided on freehold land and buildings on the basis that their current residual value is equal to or greater than the carrying value, and that land is not depreciated. e) Funds structure Unrestricted income funds comprise those funds which the Tnjstees are free to use for any purpose in furtherance of the charitable objects. Income recognition All income is inLluded within the financial statements for amounts receivable at the Balance Sheet date. It consists of investment income from listed investments, bank interest from deposits held and rental income from properties. 13 THE CHILDWICK TRUST (A Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the yeaT ended 31 March 2024 i) Accounting Policies (continued) g) Leases Rental income from operating leases is recognised on a straight line b&sis over the teTm of the relevant lease. h) Expenditure recognition Liabilities are recognised as expenditure as soon as th¢re is a l¢ga] or constructive obligation committing the trust to the expenditure. All expenditure is accounted for on an accruals basis. All expenses including support costs and LFovemance costs are allocated or &iPPOrtion¢d to the applicable expenditure headings. For more infonnation on ihis atlribution refer lo note (i) bclow. Grants payable are payments made to third parties in the fl￿heYance of the charitable objects ot'ihe TrLLSt. Unconditional grants (ind donations are charged to the Slatement of Financial Aclivities once they are approved annLially for paymeni by the Trustees and notified to thc bencficiaries, and include grants made and an apportionment of overhead and support costs. i) Foreign currencies Transactions in foreign currencies are inilially recorded In the enlity's functional currency by applying the spot exchange rdte ruling at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated at the rate of exLhange ruling at the balance sheet date. All differences are taken to the Statement of Financial Activities j) Support costs Support costs, including governt￿Ce costs, are allocated on a reasonable and coiisistent basis according to the time and resources spenl within eacli charitable area. Governance costs consist of the cost of auditing the Trust, expenses of the TrLlStees and an appropriate allocation of staff tirn¢. The allocation of support costs is analysed in note k) Realised gains and losses All blains aiid losses are taken to thc Statement of Financial Activities as they arise. Realised gains and losses on listed investments are calculaied &5 the dityerence belween sales proceeds and opening fair value (purchase dale if later). Unrealised gains and losscs are calculaled as the difference between the fair value at the year end and opening market value (or purchase date if later). l) Financial instruments The Trust's financial assets and liabilitics cofftprise investment asset5 held in a managed investment portfolio (refer to investments accounting policy), short terni deposils, cLs11 at bank and in hand, other debtors. trade creditors. grants and donations payable. other creditors and accruals. Other debtors whiLh are receivable within one year are initially measured at the transaction price and are subscquently measured at amortised cost, being the transaction price less any amounts settled and any impaimient losses. Trade creditors, grants and donations payable, other creditor5 and accruals are initially mcasured al the transaction price and subsequently measured at amortised cost, being thc transaction price less any amounts settled. 14 THE CHILDWICK TRUST (A Company limited by guarautee) NOTES TO THE FtNANCIAL STATEMENTS For the year ended 31 March 2024 i) Aecounting Policies (continued) m) Critical accounting estimate5 and assumptions The Trust makes estimates and assumptions concerning the future. The resulling estimates and dssumptions will, by definition, seldom equal the related actual results. The Trustees consider that ihe only significant eslimate relat¢s to the valuation of the property Portfolio which has been fonnally revalued by Strutt & Parker LLP. Chartered Surveyors at 31 March 2024 on th¢ basis of ihe Royal Institution of Charter¢d Surveyors valuation standards. n) Investments Investments in quotcd securities are included within the Balance Sheet at the market value existing at the reporting date. Cash held for reinvestment as part of the investment portfolio is included in investments. Investments in unquoted securities are included at cost less impainnent as their fair value cannot be measured reliably. Investment properties are included in the Balance Sheet at the market valu¢ existing at the reporting date, iii accordance with FRS 102. 15 THE CHILDWICK TRUST (A Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 2) Members, guarantee The Charitable Company is limited by guarantee and does nol have a share capital. Each member gives a guarantee to contribute a sum not exceeding £ I to the company should it be wound up. At 31 March 2024 there were six members (2023.. six) and the liability of every member is limiled to £1 (2023- £1). Expenditure 3) Direct Costs Support Costs Total 2024 Expenditure on raising funds: Investment management Costs Property management, repairs and maintenance costs 765,706 148,359 765,706 175.066 26,707 914.065 26,707 940.772 Expenditure on charitable activities: Grants and donations: United Kingdom South AfriLa Pensionern, welfare costs 2,182.989 682,284 39,766 160,346 2,343,335 32,920 715,204 3.143 42.909 2,905,039 46,116 196,409 3,101,448 46.116 Los5 on foreigm currency 2,951,155 196,409 3,147,564 3.865,220 223,116 4,088.336 Direct Costs Support Costs Total 2023 Expenditure on raisinR funds: Investment management costs Property managemenl. repairs and maintenance costs 833,663 136,950 833,663 168,498 31,548 970,613 31,548 1,002,161 Expenditure on charitable activitie5: Grants and donations: United Kingdom South Africa Pensioners, welfare cost5 2,211,037 807,265 28,901 159,543 2,370,580 88.567 895.832 3,712 32,613 3,047.203 (21,555) 251,822 3,299.025 (21,555) Profit on foreign currency 3,025,648 251.822 3,277,470 3,996.261 283,370 4,279,631 16 THE CHILDMCK TRUST (A Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 3) Expenditure (Continued) 2024 2023 Support costs: Office running costs Staff costs Legal and professional fees Bank charges Office and administration costs Website development costs Governance costs (3(a)) 17.899 77,818 34,740 ,865 22,442 5,062 63,290 14,941 73.098 37,697 2,026 13,924 41,580 100,104 223.116 283,370 2024 2023 (a) Governance Costs: Administration staff costs Exlemal audit fees Tru5tees' meetings Trustees, expenses (including site visits) 11,911 23,280 3,423 24,676 11,154 21,726 2,295 64,929 63.290 100.104 2024 2023 4) Net gainsl(losses) on investments Realised and unrealised gainsl(losses) on investments (9b) Revaluation of investment properties (9a) 1,361,417 (3,340,434) 82,500 1,073,562 1,443,917 (2,266,872) 2024 2023 5) Net expendlture Net expenditure is slated after charging/(crediting): Reporting Auditors fees: Audit fee- current year Audit fee- prior year (disbursements) Accountancy services Loss/(profit} on toreign currency Rental income 23,280 21,600 126 4,514 46.116 (21,555) (312,830) (291.695) 17 THE CHILDWICK TRUST (A Company limited by guarantee} NOTES TO THE FtNANCIAL STATEMENTS For the year ended 31 March 2024 2024 2023 6) Staff Costs The average number of full and part-time employees during the year was: Part-ttme 2024 2023 Staff costs for th¢ above persons: Wages and salaries Social security costs Employer's pension costs 77.346 3,16i 9,220 72.604 2,903 8,745 89,729 84,252 No member of slaff earned in excess of £60.000, 7) Payments to Trustees The Trustees received no remuneration for their work &$ Trustees. The Trustees are considered to be the only key management pcrsonnel. Trustees, expenscs during the period under review were as follows: 2024 2023 Trustees, meetings and travel 24,676 64,929 2024 No. 2023 Number of Trustexs in¢vrring expenses in the period 18 THE CHILDMCK TRUST (A Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 8) Tangible Fixed Assets Freehold Land and Buildings Valuation As at l April 2023 Impairnient losses 1,525.000 (5,000) As at 31 March 2024 1,520,000 Depreciation As at l April 2023 and 31 March 2024 Net Book Value As at 31 March 2024 1,520,000 As at 31 March 2023 1,525,000 The historic cost of the Freehold Land and Buildings carried forward at the Balance Sheet date was £1,150,000 (2023: £1,150,000). The freehold land and buildings were externally revalued as at 31 March 2024, on a vacant possession basis with some values being discounted to reflect the basis of occupation where regulated tenants are in plaLe. The fornial valuation in March 2024 was undertaken by Strutt & Parker LLP, Chartered SuTveyors. Total 9a) Investment Properties Valuation As at l April 2023 Revaluation ,995,000 82.500 As at 31 March 2024 9,077,500 Investment properties include those properties held to generate a purely commercial rental income. Thc histori¢ cost of the investment propcrties carried fonvard at the Balance Sheet date was £0.361,438 (2023: £6,361.438). The investment properties were externally revalued as at 31 March 2024, on a vacant possession basis with some values being discounted to reflect the basis of OCCLipation where regulated tenants are in place. The fonnal valuation in March 2024 was undertaken by Strutt & Parker LLP, Chartered Surveyors. No depreciation is provided in respect of investment propertLes. 19 THE CHILDWICK TRUST (A Company limited by guardntee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 Total 9b) Fixed Asset Inv£stments - Managed Funds Valuation As al l April 2023 Additions to investment portfolio Disposal proceeds Net gain on revaluation 73,069,835 33,049.426 (35,030,895) 1,361,417 As at 31 March 2024 72.449.783 The historical cost of the investments at the year end was £64,448.937 (2023: £64,728,173). 2024 2023 Listed securities comprised.. UK Equities Overseas Equities UK Bon(ts and Gilts Overseas Bonds Unit Trusts and Funds Property Commodities Other 4,361.480 29,936,993 5,765,614 15,160,248 1,389,833 4,271,255 3,710,679 6,667,579 6,547,207 27,620,275 6,717,263 11.416.332 2,939.593 4,520,213 4,099,860 8,002.765 71,263,681 1,186,102 71,863,508 1,206.327 Cash 72,449,783 73,069,835 Details of material investments are as follows: 2024 /0 value of Portfolio 2023 /0 value of Portfolio Ruffer SICAV Fixed income Z GBP The Growth Trust For Charities Income Unils Vanguard S&P 500 UCITS Exchang¢ Traded Fund 12.30 5.17 11.65 5.49 7.18 5.13 20 THE CHILDWICK TRUST (A Company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2024 10) Debtors 2024 2023 Trade debtors Other debtors Prepayments 370 85,927 7,489 370 73,011 3,763 93,786 77,144 I l) Creditors: Amounts falling due within one year 2024 2023 Trade creditors Other tax and social security Other Creditors Accruals Deferred income 5,745 2,536 29,053 140,663 15,879 15,350 2,073 58,764 133,225 17,276 193,876 226,688 Other creditors includes £nil of grants payable (2023: £30,000). Deferred income relates exclusively to rental incoine which is received in advance of the forthcoming accounting period. This is released in full in the following year. 21 THE CHILDWICK TRUST (A Company by 8uw'anlee5 NOTES TO THE FtNANCIAL STATEMEKrs For thc year ended 31 March 2024 12) Analysis of net assets between funds 2024 2023 Fund balances Unrestricted Brought fonvard (Deficit) for the year (excluding realised losses) 83,648.979 88.288.805 (598,602) (4,639,826) Carried forward Revaluation reserve Brought forward Unrealised (lossygain (note 8) 83,050,377 83,648,979 375,000 (5,000) 55,000 320.000 Carried forward 370,000 375,000 83.420,377 84.023,979 Fund balance is represented by: Tangible fixed assets Investment properties Fixed asset investments Current assets Cu￿ent liabilities 1,520,000 9,077.500 72,449,783 566,970 (193,876) 1,525,000 8,995.000 73,069,835 660,832 (226,688) Total Net Assets 83,420,377 84,023,979 22 I"HE CHILDWICK TRUST (A Company limited by guarantee} NOTES I"0 THE FINANCIAL STATEMENTS For the year ended 31 March 2024 13) Grants and Donations An analysis of grants made per object of the Trust is as follows: 2024 2024 2023 2023 Education- South Africa - charitable objects (d) and (e) Racing- United Kingdom - Charitable object (b) Health and associated causes - United Kingdom - charitable objects (a) and (fj Jewish Charilies- United Kingdom- charilable object (c) 682,284 23.49 807,265 26.49 310,189 10.68 266,837 8.76 1,547.300 53.26 1,740,700 57.12 325.500 11.20 203.500 6.68 2,865,273 Pensioners, Welfare- charitable object 3,018.302 (a) 39,766 1.37 28.901 0.95 2,905,039 100.0 3.047,203 i 00.0 A list of the main grants and donations made during the ycar are detailed on our website (￿'￿'W.l171ldNIicLlrLl5t.o2. All granls made during th¥ Ye<￿ are to institutions. 14) Related Party Transactions The Trust retains the services of Maurice Tumor Gardner LLP for legal advice. A Trustee, C M Maurice, is a partner in this firm. Transactions are under normal commercial terms and amounted lo £173 for mLL'ting costs (2023: £nil). There were no outslanding balances at the year end {2023: £nil). During the year grants totalling £20,000 (2023.. £120,000) were paid to St Bartholomew's Heritage, an incorpordted charity of which C M Maurice is a Trustee and Director. During the year ended 31 March 2023 a grant of £ l 0,000 was made to The Saddlers, Company Charitable Fund, a charity of which M P Farmar is a Trustee. There were no balances outstanding at the year end (2023: £nil). 23