Impetus – The Private Equity Foundation (Impetus) is a company limited by guarantee (number 08460519) and a registered charity (number 1152262) 



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## **Reference and administrative details** 

## **Committees** 

## **Investment** 

Impetus – The Private Equity Foundation (Impetus) is a company limited by guarantee (number 08460519) and a registered charity (number 1152262). 

(Shani Zindel (Chair), Filippo Cardini, Sat Singh, Marc Henckel, Chris Murray, Gemma Wright) 

## **Governance and Nominations** 

## **Trustees:** 

Hanneke Smits (Chair) Alexander Walsh (appointed May 2023) Andy Thoms Bill Benjamin Charlie Edwards Filippo Cardini Joseph Schull (resigned December 2023) Lisa Stone Natasha Porter Robert Ramsauer (resigned May 2023) Rohan Haldea (resigned July 2024) Sat Singh Shani Zindel Arnaud Bosquet (appointed June 2024) Christian Lucas (appointed June 2024) 

## **Registered Office:** 

Golden Cross House 8 Duncannon Street London WC2N 4JF 

(Hanneke Smits (Chair), Sat Singh, Lisa Stone, Filippo Cardini) 

## **Resources and Audit** 

(Bill Benjamin (Chair), David Bholat, Mike Garland, Andy Thoms and Xavier Woodward) 

## **Public Affairs** 

(Natasha Porter (Chair), Sam Freedman, Jonathon Simons, Jason Arthur) 

**Philanthropy and Partnerships** (Charlie Edwards (Chair) Rob Pulford and Alexander Walsh) 

## **Digital** 

(Andy Thoms (Chair), Alex Lloyd Hunter, Alexandra Willis, Berry Cochrane, Fernanda Munhoz, Russell Cleave) 

## **Auditors:** 

Haysmacintyre LLP 10 Queen Street Place London, EC4R 1AG 

**Primary Banker:** NatWest 127-128 High Holborn London, WC1V 6PQ 

**Investment Managers:** Goldman Sachs International Plumtree Court 25 Shoe Lane London, EC4A 4AU 

**Annual report** 2023–24 

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## **Contents** 

## **Part 1: Introduction** 

- **6** About Impetus 

- **8** Our values 

- **9** Chair’s introduction 

- **11** YEF introduction 

- **12** Trustees’ report 

- **13** Aims and objectives 

- **15** 21 years of impact 

- **17** Report 

## **Part 2: Report** 

- **18** Charity investments 

- **19** Our charity partners 

- **25** Race equity and inclusion 

- **26** Philanthropy and partnerships 

- **29** Influencing the public agenda 

- **33** Raising our profile 

- **34** Digital and knowledge management 

- **35** Our people 

- **37** Our new 2024–2028 strategy 

- **39** Financial performance 

- **41** Reserves and reserves policy 

- **43** Structure, governance and management 

- **48** Statement of Trustees’ responsibilities 

- **49** Independent auditor’s report to the members of Impetus – The Private Equity Foundation 

## **Part 3: Accounts** 

- **52** Accounts 

- **53** Group financial statements 

**Annual report** 2023–24 

**4** 



Annual report 2023-24

## **About Impetus** 

**Impetus** transforms the lives of young people from disadvantaged backgrounds by ensuring they get the right support to succeed in school, in work and in life. 

As a leading impact funder, we find and build the most promising charities working with these young people, providing them with unrestricted funding and working shoulder to shoulder with their leaders to help them become **stronger** , **better** and **bigger** organisations. 

We work with our charities for the long haul because our experience shows us that building organisations that have real and scalable impact and are delivering robust outcomes for young people takes years of intensive support, and long-term unrestricted funding. 

We partner with other funders to help our charities expand, and we influence policy and decision makers to fund evidence-backed, impact-led interventions so that all young people get the support they need. 

For 21 years we have applied our unique model to helping our charities, focusing on outcomes that are proven to make the biggest impact on young people’s lives, supporting them to achieve age-expected SATS at 11, GCSE English and maths (grades 9-4) by 19 and then to access university or sustained employment. 

But young people’s needs are constantly evolving; the pandemic hit hard and its legacy 

is still playing out. Young people are coming to our organisations in greater numbers, with greater challenges, struggling with their mental health and the cost-of-living crisis. 

Our 2020–24 strategy focused on influence, impact and sustainability, and saw us embark on a multi-fund model to build on our strengths and achieve greater scale and sustainability. And in the wake of the pandemic, we committed to bringing geography and race equity alongside socio-economic background into our investment criteria, launching two bespoke funds – the Engage fund, supporting young people excluded or at risk of exclusion from mainstream education, and the Connect Fund, focused on decreasing the employment gap faced by ethnic minority young people. 

The funds are now firmly embedded in the organisation and progressing well. 

In 2022–23 we met our objectives of investing in four new charities, increasing grant spend and raising our profile to influence the development of party manifestos. We continued to build digital foundations to improve systems and processes across the organisation and establish cross-team working practices, setting us in good stead for a strategy refresh. 

IntoUniversity 

Kids Inspire 

**6 Annual report** 2023–24 



## **We focus on outcomes that are proven to make the biggest impact on young people’s lives** 

**Age-expected GCSE English & University Sustained SATs at 11 maths (9-4) by 19 access employment Our unique model Capacity Building Co-investment 1:1 Pro Peer Support Bono Forums Policy Core Funding Charity Outcomes** ~~==~~ @00 64 **Build strong Beat Grow Scale their leadership outcomes sustainability solutions benchmarks 7 Annual report** 2023–24 



## **Our values** 

In 2022 the staff at Impetus worked together to create a set of values to act as our guiding principles as an organisation, and help us to remain focused on achieving our mission to support young people from disadvantaged backgrounds. 

## Evidence led and results driven for young people 

We pursue excellence for the young people we work with, are wholly committed to better outcomes, unapologetically results driven, and accountable for our actions. 

## High trust, high challenge 

We invest the time, kindness, integrity and honesty needed to build and sustain long-term relationships. We focus on developing high trust, to allow for high challenge, helping our colleagues, partners and supporters to be our very best selves in pursuit of our mission. 

## Diversity enables us to thrive 

## Brave and open 

We seek to embed diversity of thought, background and experience in every aspect of our work. We are open, thoughtful and proactive in better understanding and challenging our assumptions to better deliver the change we seek. 

We are brave and open; exploring new solutions to long-term problems, asking difficult questions well; learning from mistakes and challenging the status quo when needed. 

## Collaboration always 

We will not succeed alone. We seek meaningful, productive partnership with others to achieve our mission and drive systems change for young people. 


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> **8** ~~NN~~ **Annual report** 2023–24 



## **Chair’s introduction** 

As we reflect on the past year, I feel enormous pride that Impetus has been able to continue to partner with a diverse range of innovative and pioneering organisations, whose interventions prove that with the right support, young people from disadvantaged backgrounds can thrive in school, in work and life. 

While we know our work has impact, the scale of the problem still looms large. Still the life outcomes of young people from disadvantaged backgrounds remain starkly below those of their better-off peers. They are 40% less likely to pass crucial GCSEs in English and maths, and this attainment gap remains stubborn. Meanwhile some 700,000 young people in the UK are not in employment, education or training (NEET), and 2 million children are living in poverty. 

Our partner charities are navigating an external environment that is extremely challenging: young people are presenting with higher needs, and there is inflationary pressure on costs, alongside declining statutory and school budgets, as well as government uncertainty. 

## **Celebrating 21 years of impact** 

This year was a particularly special one for Impetus as we marked a milestone ‘birthday’ – 21 years since the founding of the Impetus Trust; 21 years of impact. 

We were delighted to welcome our founders, donors and charity partners to join us for a celebration at the British Library – the scene of the early meetings which led to the founding of our unique organisation. Their vision was to draw on the world of private equity, with its principles of working alongside organisations to help them grow through new sources of funding and expertise, to support the world of social impact, with its commitment to improving the lives of people facing disadvantage. 

There is still much work to be done to achieve our mission, but in turn, we do have much to celebrate. 

The evening featured an exhibition of stories of some of the young people our charity partners have supported – a humbling reminder of all that we have achieved, thanks to the commitment of Impetus’ staff, the generosity 


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**Annual report** 2023–24 

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and long-term commitment of our donors and the determination and drive of our partner charities for, and with, these young people – and what keeps us motivated to keep delivering. 

## **CEO departure** 

After four years of leading Impetus and helping us to grow, our CEO, Eleanor Harrison decided to step down in April 2024. Under Eleanor’s leadership, Impetus grew its impact, influence and income. This has included the launch of two new funds focused on school exclusions and race equity in youth employment, ensuring the organisation supports charities in a more equitable way, and that those young people who are furthest from the labour market continue to get the most support. 

In the interim, Board and Senior Management Team worked closely to make sure that Impetus continued to deliver to the high standards we are known for. It’s this that gives the enduring strength to our organisation and we’re proud to have this strong core to drive our work. 

After a comprehensive search and selection process, in September we were delighted to announce the appointment of Susannah Hardyman as new Impetus CEO, and she will take up her post in January 2025. 

next five years we will take our learning and resolutely push for better outcomes for more young people. 

With a focus on school engagement, educational attainment and good jobs, we will affirm our role as the leading impact-led funder and strategic partner of choice for charity leaders, and the go-to organisation for decision makers who want to deliver real impact in the policy choices that can change young people’s lives. 

## **A fond farewell** 

September 2024 also marks the end of my term as Chair of the Board of Trustees of Impetus after six years in post. 

I first became involved with Impetus in 2014 – attracted by its ethos of combining investment rigour and social purpose to transform young people’s lives. Since then we have been on a journey of understanding, and of growth. Over those ten years we have supported 53 charities and grown our direct reach from 27,500 to 98,000. Today we work with 25 partners all over the country – reaching 400,000 young people directly and through the school population. We’re working with more high-performing charities, producing more evidence-based policy and supporting more young people into education and employment – not a bit of temporary support, but a fundamental shift that truly transforms their lives. 

## **Looking to the future** 

2023–24 marked the final phase of our current strategy. 

In 2020–23 we supported 400,000 young people, launched new funds on school exclusions (Engage) and racial equity in youth employment (Connect) and launched the Impetus Leadership Academy – part of our broader work on race equity and diversity, to which we remain committed. 

I leave the organisation in a strong position, financially secure and with a clear strategy for the future, ready to rise to the challenges ahead. A heartfelt thank you to all our partners and supporters, and the wonderful Impetus team for your tireless commitment. I am excited to see where Impetus goes next. 

Our income has nearly doubled, we have achieved significant policy wins and formed powerful coalitions. 

**Hanneke Smits,** Chair of the Board 

Our new strategy is now complete. It builds on 21 years of delivering impact, and over the of Trustees 

> **10** ~~2~~ **Annual report** 2023–24 



## **YEF introduction** 

The Youth Endowment Fund was established by Impetus in 2019 with a ten-year, £200-million endowment to prevent children from becoming involved in violence. We exist to find what works and to build a movement to put this into practice. This year marks the halfway point in our journey. 

Reflecting on our progress, we’ve achieved a lot. Over the past five years, we’ve awarded more than £117 million in grants, funding 278 interventions and reaching over 205,000 children and young people. We’ve also launched the YEF Toolkit, which summarises the best available global evidence on what works – and what doesn’t – to prevent violence. Violence Reduction Units and others nationwide are now using these insights to shape their support for vulnerable children. 

While we have much to be proud of, there remains much to do. Last year, we conducted the largest-ever national survey on young people’s experiences of violence, with over 7,500 teenage children. The results were concerning: nearly half reported being victims or witnesses of violence in the past year. 

We also recognise that certain groups of children are still disproportionately affected by crime and violence. Black children, for instance, are significantly overrepresented at all stages of the criminal justice system. Yet, funding often fails to reach children from all ethnic backgrounds, research does not always include all voices and decisions frequently overlook some groups. To address these issues, we published our Race Equity goals, demonstrating our commitment to inclusivity and accountability. Last year, we released our first annual report on our progress against these goals, highlighting what we’ve done and where we still need to improve. 

In 2023–24 there were other notable milestones too. We continued investing in new impact trials of promising programmes to improve our knowledge of what works and fill gaps in the evidence. This includes launching one of the most ambitious and comprehensive evaluations 

of focused deterrence ever undertaken. We also announced the funding of a new summer jobs programme to test whether the success of similar initiatives in the US can be replicated here. 

However, funding research to find what works is not enough. We must ensure that our findings lead to action and change. This is our focus for the next five years. Through our guidance reports, the first of which we published last year, we will outline how systems and practices across sectors such as policing, education, youth justice, children’s services, the youth sector, health and neighbourhoods should change to better support vulnerable children. We will collaborate with others who share our mission to implement these changes. 

We are halfway through our endowment. To create a country where every child can live a life free from violence, we need to be serious about what works and committed to making real changes. While I cannot guarantee success, I can guarantee that we will not give up. 

**Jon Yates** Executive Director, Youth Endowment Fund 

**11 Annual report** 2023–24 



## **Trustees’ report** 

The Trustees, who are also the directors of the charitable company, are pleased to present their annual report on the work of Impetus in 2023–24, and plans for 2024–25, together with the financial statements for Impetus and the Impetus Group for the 12-month period to March 2024. 

Impetus is a registered charity and company limited by guarantee. Our governing document is in the Memorandum and Articles of Association incorporated on 23 March 2013. 


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Impetus has a wholly owned trading subsidiary, PEF trading Limited. It is also the sole corporate trustee of the Youth Endowment Fund Charitable Trust, which is a registered charity in England and Wales, charity number 1185413. 

392,562* **young people reached through our charity partners** 


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£7 million **of direct value delivered to our charity partners** 

*includes direct and indirect reach 

**Annual report** 2023–24 

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## **Aims and objectives** 

We support young people from disadvantaged backgrounds to help them succeed in education, employment and life by finding, funding and building the most promising organisations working in this space. 

We partner with other funders to back effective interventions, and with similar minded organisations to influence government and the wider sector to back effective support. 

We are focused on delivering better outcomes for young people in: 

- Age-expected SATS at 11 

- GCSE English and maths by age 19 

- University access for underrepresented groups 

- Sustained employment 

- Reduced youth offending (delivered through the Youth Endowment Fund) 

Part 2 of this report focuses on our work to improve education and employment outcomes. 

Our work to reduce youth offending is covered in detail in the Annual Report of the Youth Endowment Fund Charitable Trust. 

Our ambition in our 2020–2023 strategy was to significantly increase our impact and influence in the sector whilst delivering improved sustainability. Ultimately, it is about helping more young people from disadvantaged backgrounds achieve more, and better, education and employment outcomes. 


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> **13** ~~a~~ **Annual report** 2023–24 



## **Our 2023 priorities** 

This report reflects on our progress against the priorities we set ourselves for 2023–24: 

Develop our Investment team, and consolidate the gains made for, and with, our current portfolio charities. 

Put the Driving Impact agenda at the forefront of our work with our newer charities, while steering a number of our portfolio charities through the reinvestment process. 

Ensure that support for young people from disadvantaged backgrounds is a political priority, and influence party manifesto pledges in advance of a general election. 


Expand our areas of research including a new Youth Jobs Gap report to explore the link between young people’s characteristics and their labour market outcomes, and new research on attitudes to attendance amid growing concern about the rising number of absences from school. 

Complete and implement our comprehensive People Plan with key focus on culture, pay and progression, and learning and development to ensure all Impetus employees feel valued, engaged and motivated throughout their employment with us. 


Convene the third sector forum on fair access and widening participation and co-chair the Youth Employment Group. 

Join forces with a number of charities and funders working on exclusions to assemble a coalition to drive change in this space. 

Invest in our communications to more fully explain the work we do in order to secure funding, attract new and more diverse charities, and support our mission through influencing systems change. 



Launch Phase Two of our digital strategy with a review of our information and knowledge management alongside other workstreams to maximise effective collaboration and decisionmaking and drive efficiency. 

Continue to pursue the goals on race equity and inclusion within our organisation to ensure we have diversity in thought, background and experience. 

Recruit a race equity expert to advise on Connect Fund work, build on strong foundations and guide us to learn more from our charities and share that knowledge across the sector. 

**Annual report** 2023–24 

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## **21 years of impact** 

In 2023 Impetus celebrated 21 years of impact. Since Impetus was founded in 2002, we have supported 77 charities, reaching more than 1.5 million young people to succeed at school, work and in life, with £56 million in funds raised. 

In November 2023 we hosted more than 80 people from across the private equity, charity and policy sectors at the British Library to celebrate. We wanted to use our anniversary year to deepen engagement with our founders and existing supporters, increasing trust and credibility with them, and also to raise awareness of Impetus, our impact and unique approach with new audiences. 

Staff, Trustees and Impetus Trust co-founders Stephen Dawson and Nat Sloane all shared memories and stories. 


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Portraits and case studies of some of the young people that our charities work with were on display for people to browse as they mingled. 

**“ Thank you for organising and hosting a wonderful event last night. You put on a very professional and energising event for loads of people who have been instrumental in Impetus’ success to date. I am grateful for and proud of your efforts not just last night but over the years.”** 

– Nat Sloane, Co-founder, Impetus Trust 

## **IN 21 YEARS** 


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WE HAVE  REACHED  RAISED<br>SUPPORTED MORE THAN A TOTAL OF<br>77  1.5m  £56m<br>CHARITIES  YOUNG  IN FUNDS<br>PEOPLE<br>**----- End of picture text -----**<br>


> **15** ~~oe~~ **Annual report** 2023–24 



**2023 highlights** 

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**We invested £600k in four, high potential new charities:** Babbasa, Generation UK, IMO and Sister System, all working to deliver better employment outcomes for young people from ethnic minority backgrounds. 

As a long-term funder of Resurgo, **we were proud when the government evaluation of their proven impact was published** . It shows that if all young people who are out of education, training or employment (NEET) received support as effective as Resurgo’s, we could reduce the number of NEET young people by over 130,000, filling over 10% of the vacancies in the economy. 

**Our successful co-investment relationships have seen continued support for many of our charities** , to help them grow well, with several new portfolio partners receiving grants including, Ada, MCR Pathways, Generation and Sister System. 

We worked with our charity partners The Tutor Trust and Action Tutoring, to launch a **report in parliament** calling for **tutoring to be at the heart of future education policies** . 

As co-founders of the Youth Employment Group **we launched a ‘Young Person’s Guarantee’** , endorsed by the Minister for Social Mobility, Youth and Progression. 

Along with Public First, School-Home Support and Khulisa **we published a report looking at the reasons behind the school attendance crisis** with eight recommendations for government. 

**2023 also saw the second year of graduations from the Impetus Leadership Academy** , supporting talented leaders from ethnic minority backgrounds in the youth sector to progress into senior roles, with a third cohort starting their year-long journey this September. 

> **16** ~~2~~ **Annual report** 2023–24 



REPORTI
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Annual report 2023-24

## **Charity investments** 

## Our partner charities are getting stronger, more impactful and bigger 

Charity leaders are feeling the pressure: The sector faces universal challenges to deliver on their mission, fundraise and attract and retain talented staff. As a funder that works alongside 25 impressive CEOs of social impact organisations we are seeing some of those struggles up close, but are working shoulder to shoulder to chart the right path forward. 

## **Charity portfolio** 

In 2023–24 we worked with 25 partner charities. We brought in three new charities and re-invested in seven. Three charities left the portfolio, with two more set to graduate at the end of the financial year. In the coming year up to five longstanding charity partners will graduate to our newly founded alumni network. 

## **We support our partner charities to become better – to improve the impact they are having on the lives of young people** 


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■ Our charity partners’ performance  ■ Benchmark group performance<br>70%<br>65%<br>63%<br>61%<br>60% 59%<br>52%<br>50%<br>45% 44%<br>40%<br>33%<br>30%<br>20%<br>10%<br>0%<br>SATS Maths GCSE Maths Access to University In Education<br>Employment or Training<br>**----- End of picture text -----**<br>


## **Backing the Best** 

The make-up of our portfolio has changed significantly, with a third of partner organisations focused on school engagement and a quarter on race equity and employment, reflecting refined areas of focus. 

An increase in the number of new investments means the majority of our current partnerships are under two years old. While this is an exciting point in these organisations’ journeys to higher impact and growth, it means our capacity-building support has been more in the Focus and Build phases of investment, Driving Impact workshops, strategy, business and implementation planning and supporting leadership transitions. 

25 54 3 £7.6m 64 **partner pro bono peer forums of value delivered Net Promoter charities projects to charity partners Score** 

**Annual report** 2023–24 

**18** 



## **Our charity partners** 


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SCHOOL ENGAGEMENT SCHOOL ATTAINMENT<br>ENGAGE FUND<br>—<br>Ke} [khulisa] “: JonEggingTrust<br>— TUTORING<br>voice 21<br>FAT Nia kids Inspire Col<br>**----- End of picture text -----**<br>


**ACCESS TO EDUCATION, TRAINING AND EMPLOYMENT CONNECT FUND** 

~~2~~ **19 Annual report** 2023–24 



## **Pro bono strategy project – JET and Plural Strategy** 

**The Jon Egging Trust (JET) offers longterm support to young people who are struggling to engage at school and may have lost focus, confidence and self-belief. Their accredited Blue Skies programmes use STEM-inspired experiences to raise aspiration, self-belief and resilience, and empower young people to challenge themselves and re-engage with education to make informed career choices.** 

## **The challenge** 

JET work with more than 30 schools across the country and were keen to evaluate how they select partner schools, to ensure they work with the ones that will best enable them to reach their target population. 


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## **School selection tool** 

Impetus set out to develop a tool that would help JET identify schools with a student body that would most benefit from their intervention. We worked with JET to set out a list of criteria, and weight each metric according to its importance. 

Criteria include: 

- High numbers of students on Free School Meals 

- Schools in higher areas of deprivation 

- Schools in areas of high unemployment 

- Schools in rural areas 

- Schools within a certain distance of their delivery partners 

- Local youth offending rates 


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From there, our pro bono partners Plural Strategy set about creating a database, using open access data, that would pull in all these essential criteria and order them by importance. 

This interactive tool enables JET to use data to identify schools, allowing them to see the demographics of different student bodies, understand the local area and any underlying challenges in the community. 

What makes the tool so effective is that it’s interactive – the weighting on each criteria can be changed according to targeting needs, and produces a list is produced in priority order. The system automatically uploads updated data sets, and JET can even add their own data to it to create a fuller picture. It also has a built-in power BI dashboard so the data can be projected onto maps or charts showing the hotspots they should be targeting. 

When fully rolled out, this tool will increase JET’s impact because they will be able to be more targeted with the schools they work with, enabling them to better reach young people most in need. 

> **20** ~~as~~ **Annual report** 2023–24 



Jon Egging Trust Action Tutoring CEO / Impetus partnership 

## **Celebrating successes** 

Beyond foundational work, there has been noteworthy progress in our Build and Scale phase organisations, with four of our more mature charities undergoing QED impact evaluations – proof of our ongoing commitment to greater impact. 

Our newer charities are demonstrating tangible commitments to greater impact; the nine that have gone through Driving Impact workshops over the past two years have made implementation a key priority in business plans. 

The Peer Learning element of our support continues to be highly valued by our charity partners, with over 75% attending three forums on building organisations’ impact journeys, cultivating talent, and building sustainable income. When surveyed, funding and income were the most common concerns for CEOs of our partner organisations. 

In this financial year, we provided £7.45m of value to our partner charities, an increase of £1.47m from 2022–23. Despite several personnel changes, with 13 of 22 CEOInvestment Director relationships changing last year, we have maintained strong relationships with our partner charities, evidenced by our 

Investment team’s Net Promoter Score (NPS) of 64, well above the industry average, based on our annual anonymous CEO perceptions survey. This translates to strong influence and impact. We have had particular success in running Driving Impact workshops, supporting strategy and business planning, and supporting leadership transitions. One CEO said, 

**“ Impetus has been incredibly supportive while my charity was going through a difficult time. They provided constructive challenge, extra resources, and additional time; we would not be where we are without them.”** 

In general, our partner charities are proving very resilient. Last year, 18 out of 22 partner charities increased their income (11 by more than 15%) and 15 increased their reach (10 by more than 15%), despite a challenging operating environment. 

To better explain our work, we developed a ‘ ’ new page on the website entitled Our Impact , detailing our interventions and our partner charities’ progress. 

**21 Annual report** 2023–24 



## **Voice 21** 

**Voice 21 exists to increase access to highquality oracy education,** particularly for those children that need it most. **They have created a whole-school approach to embedding oracy into the curriculum, culture and practice within a school and they are currently operating in c.900 schools across England and Wales.** 

Oracy = the ability to articulate ideas, develop understanding and engage with others through spoken language. 

Since Impetus started working with Voice 21 in 2019, they have scaled significantly and last summer, Labour publicly made a commitment to oracy, which has led to a greater awareness of this skill in schools and beyond: 

- More than 50% of teachers feel that oracy should be one of their school’s top priorities (2023 Teacher Tapp poll) 

- “Spoken language and listening skills” were the most likely to be identified as an important skill by parents and businesses, above written communication or numeracy skills. 

Voice 21 

- Taking advantage of this, Impetus has supported Voice 21 to: 

- Successfully manage a CEO transition 

- Craft their 2025–30 organisational strategy with pro bono support from Bain & Co 

- Build an effective Public Affairs strategy and the capacity of their team to deliver this 

- Build their fundraising capability 


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**22 Annual report** 2023–24 



- ’ 

- • School of Hard Knocks mission is to empower and support individuals living in complex and challenging circumstances, to fully realise their potential and find meaning and purpose in their lives. 

- Bristol born charity ~~OO~~ Empire Fighting Chance works with young people who have faced real adversity in their lives. It uses a powerful combination of non-contact boxing and intensive personal support to give young people aged 8 to 25 the skills, knowledge and inspiration to make positive changes to how they think and behave – and to realise their unique potential. 

## **Connect Fund** 


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## **Engage Fund** 

The mission of the Engage Fund, in partnership with the Henry Smith Charity, is to narrow the gap in school, work and life outcomes for young people who are excluded or at risk of exclusion from mainstream education. We will achieve this through scaling effective interventions, building the evidence base for what works and influencing funding and policy. 

The Connect Fund aims to help decrease the employment gap faced by ethnic minority young people from disadvantaged backgrounds and promote systemic change towards a more racially equitable labour market. 

We know that young people from disadvantaged backgrounds are twice as likely as their better-off peers to be not in education, employment, or training (NEET). There is also clear data showing that young people from ethnic minority backgrounds are disproportionately impacted by unemployment, in particular young people from Bangladeshi, Pakistani and Black communities. 

After a successful grant round which received 160 applications, in March 2024 we invested in two more charities: 

**“ We were struck by these charities’ focus on supporting talented young people facing some of the most adverse circumstances across the country, the strength of their respective programmes and their commitment to delivering meaningful and enduring outcomes for the young people they serve.”** – Sebastien Ergas, Impetus Portfolio Director 

Empire Fighting Chance 

> **23** ~~a~~ **Annual report** 2023–24 



**“ I want children and young people coming from similar backgrounds to my own to have the opportunities I wish I had, and to have the barriers I encountered removed. I’m passionate about the alleviation of the barriers created by poverty and racial inequality.”** 

– Mwila Mulenshi – 2023/4 ILA participant 


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In March 2024, after a successful grant round, we invested in Streets of Growth, an organisation that builds and scales effective, impact-led employment programmes to help young people from ethnic minority backgrounds to overcome disadvantage and discrimination. 

## **Impetus Leadership Academy** 

Across UK charities just 7% of leadership positions are held by people from minority ethnic backgrounds and urgent action is needed to improve representation at senior levels across the sector. 

Sitting within the Connect fund is the Impetus Leadership Academy (ILA), a fully funded 

12-month programme for emerging leaders from minority ethnic backgrounds working in the UK youth sector. It consists of group masterclasses on key leadership topics, one-to-one coaching sessions from Impetus experts and personalised mentorship from senior professionals. 

The ILA continues to be a success, with participants telling us it is useful, especially in developing their leadership competencies. Six participants in Cohort 2 obtained new professional positions. The ILA’s third cohort of 12 individuals is underway. 

To meet the needs of our young people in this changing landscape we have continued to focus on underserved areas outside of London and the south east, and are actively seeking to extend our interventions to groups that are hardest to reach. 


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**24 Annual report** 2023–24 



## **Race equity and inclusion** 

At Impetus we’re committed to addressing systemic racism both as an organisation and through the work we support. 

We have made positive steps towards our goals which were formally adopted in 2021 after a thorough review of our practices, and extensive staff engagement. 


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## **Promoting equity, diversity** 

We have increased monitoring and reporting within our HR systems to better understand the makeup of the Impetus team and actively seek to attract candidates from more racially diverse backgrounds. We are on track to reach the target of having 40% of our staff from ethnic minority backgrounds. 

We have an internal Taskforce on equity, diversity and inclusion, made up of staff from across all teams that has direct access to senior management to ensure positive change continues. 

We are being more intentional in our policy work, cognisant of the need for diversity of background and experience in our partnerships and coalitions, and recognising that we have an important role to play in embedding racial diversity in our sector. 

On governance we are making strides towards our goal of greater diversity among our trustees and committee members. We are pleased to have welcomed one of the first cohort of the Impetus Leadership Academy to our governing board. 

Implementing these goals is not always easy, and we still have a lot to learn, but we’re on the journey. 

**Annual report** 2023–24 

**25** 



## **Philanthropy and partnerships** 

All of Impetus’ work depends on the generosity of our funders and partners. In 2023–24 these partnerships were worth £4.6million cash and £2.9million pro bono. This support is what makes Impetus possible and ultimately creates meaningful impact for young people. 

We continued to work closely with our funders, sharing learning and taking a highly collaborative approach. We deepened and extended several key partnerships, such as Inflexion who generously increased their coinvestment grants to Impetus. Alongside this, Inflexion remains the biggest fundraiser at our triathlon while also engaging directly with our work by volunteering with young people. 

**“ Seeing these kids stand up and talk to a ‘big-enough’ audience… they had very little time to prepare, but they really owned it.”** 

– Livingbridge employee 

Another example of highly impactful corporate volunteering comes from Eastdil who delivered a fantastic session with young people from several Impetus partner charities; 14 young people from across the country visited Eastdil’s London office for an Insight Day into the commercial real-estate industry. The day saw a rotating panel of experts present their area of work and talk about their role in the firm. As we find so often with these visits, the young people found it hugely useful and eye-opening – providing insight into a sector they knew nothing about and can now imagine joining. 

The young people learnt about all aspects of the company, from accounting and finance to graphic design and compliance – with the legal and finance sections proving particularly popular. The young people also had the opportunity to network with the wider Eastdil Secured team over lunch and hear about an exciting opportunity to continue their career journeys through the Pathways to Property programme. 

Donor workshop ~~w~~ On the pro bono side, Bain continued their deep involvement with our work and were heavily involved in creating our new five-year organisational strategy. 

We continued to fundraise for the Connect Fund, bringing in funders who share our mission to improve employment outcomes for young people from minority ethnic backgrounds. KKR, who are a founding donor to Impetus, have chosen to back the Connect Fund and we’re delighted to welcome them to this group. Michaela Wood in KKR’s European Private Equity team stepped up from our Impetus Futures Committee to take over as its chair, succeeding Gemma Wright at CVC who has joined our Investment Committee. We also formed a new Philanthropy and Partnerships Committee to support the team at a senior level, comprising Charlie Edwards, Alex Walsh and Rob Pulford. 

**26 Annual report** 2023–24 




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We celebrated another successful year of events in 2023, raising close to £2million in unrestricted funding and sharing our work with over 1,000 people. 

Our annual Transforming Lives dinner raised a record-breaking £1.4million and over 300 people took part in the Impetus Triathlon raising close to £400,000. In June we hosted the Impetus Futures summer party marking the last year as Futures Chair for Gemma Wright at CVC who has passed the Chair role over to Michaela Wood at KKR. We also hosted a new event, 

## £2 million 

**In 2023 we raised close to £2million and shared our work with over 1,000 people.** 

Building Impact brought together our audience in the Real Estate industry and has led to a number of new partnerships in the space. 

Alongside our fundraising events we hosted a programme of knowledge-sharing events designed to bring our supporters closer to our work; these included our annual Investor Roundtable, a breakfast celebrating our pro bono partners and a Governance Workshop exploring the role of a charity trustee. 

Transforming Lives Dinner 2023 

In November we were delighted to host ‘21 Years of Impact’ celebrating an important milestone in our journey. Co-founders of the Impetus Trust, Stephen Dawson and Nat Sloane, were joined by our charity partners past and present, supporters and those who have played an important part in our work over the last 21 years. 

**27 Annual report** 2023–24 



## **Thank you to our donors** 

Advent International The AIM Foundation Allan & Gill Gray Philanthropies Andrew Sillitoe & Joy Tadaki Sir Anthony Greener, The Minton Trust Apax Foundation Aref Lahham Ares Charitable Foundation Bain & Company Bank of America BC Partners Bill & Kerri Benjamin Bjorn Saven Blackstone Charitable Foundation Sir Bruce Bossom, Bt Bruno Schroder Trust CD&R Foundation Centerbridge Foundation Cerberus Capital Management Chatham Financial Christopher & Jodi Field Cinven Limited CVC David Higgins Davidson Kempner Deep & Trishna Shah Dwight & Kirsten Poler East Head Impact Eastdil Secured Eden McCallum Egon Zehnder Evelyn Partners Exponent EY-Parthenon Strategy Fairgrove Partners Filippo J Cardini Gabriele & Manila Cipparrone Geoffrey Bailhache GIC Goldman Sachs Growth Capital Partners Guillaume & Gildine Cassou H&F Gives Hanneke Smits The Henry Smith Charity Hunter & Clementine Philbrick 

The Inflexion Foundation & Inflexion J.P. Morgan James McCaffrey James Seppala Jefferies Jenni Bowley Jim & Alys Garman Johannes & Stephanie Korp Joseph Schull & Anna Yang Karen & Liam Krehbiel Kirkland & Ellis KKR & Co Latham & Watkins Lea Lazaric Calvert Lionel & Florence Assant Livingbridge Lockhart Capital Management LLP Lorcain & Evelyn Egan Louis G Elson Lulu & Ed Siskind Matthew Elliott Nat & Rebecca Sloane Nikos Stathopoulos OxfordSM ‘Good Growth’ Consultants Patrick Healy Patrick Ottersbach Plural Strategy PwC Raymond James Rede Partners Richard Cormack Richard Lenane Robert Ramsauer Rohan & Sunaina Haldea Stefan Goetz Stephen & Gitte Dawson Stone Family Foundation TA Associates Terra Firma Capital Partners Ltd Tom & Emma Thorne TowerBrook Triple Point Investment Management LLP Tuixen Foundation Warburg Pincus Wol Kolade CBE 

**28 Annual report** 2023–24 



## **Influencing the public agenda** 

Our ambition in our 2020–2023 strategy was to increase our impact and influence in the sector significantly, whilst delivering improved sustainability. Ultimately, it is about helping more young people from disadvantaged backgrounds achieve more, and better, education and employment outcomes. 

Alongside our charity investments, our Public Affairs team is building coalitions and influencing decision-makers to implement impact-led policies for young people, and getting our expertise and insights out there to a wider audience, including in mainstream media. 

You can stay up to date with our policy work by signing up to our monthly newsletter Impetus Insights. 

## 40% 

**Young people from disadvantaged backgrounds are 40% less likely to go to university than their betteroff peers** 

## **Tutoring** 

Impetus has long championed the effectiveness of tutoring as an intervention to help students catch up. 

Alongside organisations including our charity partners Action Tutoring and Tutor Trust we called for a sustained commitment to tutoring as the National Tutoring Programmes (NTP) comes to an end. Targeted at the disadvantaged pupils who need it the most, in order to narrow the attainment gap, it culminated in a call for a ‘Tutoring Guarantee’ for pupils to ensure a high impact intervention is available across English schools and colleges. 

In January we commissioned from Public First, looking at ‘The economic benefit of the National Tutoring Programme’. 


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**Annual report** 2023–24 

**29** 



The main finding was very positive. The economic impact of NTP tutoring provided in 2021/22 and 2022/23 is £4.3 billion, compared to funding of £660 million, providing a benefit cost ratio of 6.58, well above the ratio of 4 which is generally considered “very high value for money”. 

This bolstered our request for government to invest £385m a year to embed tutoring into the education system through a ‘tutoring guarantee’, which would likely generate over £2.5bn a year in economic benefits. 

This followed another Public First report The Future of Tutoring again in conjunctions with partners, published the previous July. It drew on teacher, parent and pupils’ views about tutoring, and found high levels of parental support for the intervention as well as ‘spill over benefits’ including building confidence, attendance and mental health; it also gained good media traction. 

The report was launched at an event in parliament hosted by the chair of the education select committee, Robin Walker MP, and Robert Halfon MP, Minister for Skills, Further and Higher Education gave the keynote address. 

Despite the evidence that just 12 hours of tutoring can drive three months of additional progress, and with pupils still lagging two months behind pre-pandemic levels of attainment, the government reduced funding for the National Tutoring Programme by 50% in 2023–24, and funding will end completely at the end of next year. 

In January we held a second Third Sector Forum event with John Blake, Director for Fair Access and Participation at the regulator, the Office for Students. Entitled ‘Embedding partnership: Increasing equality of opportunity in English higher education through collaboration’, the event attracted over 200 attendees and included a panel discussion and a welcome announcement of a £2m OfS fund, providing grants to test new ideas and practices that support equality of opportunity. 

## **School engagement** 

As part of our Engage fund work to tackle school exclusions, in 2023 we formed the ‘Who’s Losing Learning? (WLL) coalition, which aims to reveal the extent of post-pandemic lost learning and its disproportionate impact on young people from disadvantaged backgrounds. 

Data from the Department of Education showed more than 3,000 children a day lost learning through suspension from school in 2021/22, with suspensions from school having risen 30% and more than 250,000 more days lost compared to 2018/19. And for the first time, the majority of those suspended were children living in poverty, widening the poverty gap in lost learning even further. 

## **Access to Higher Education** 

Young people from disadvantaged backgrounds are 40% less likely to go to university than their better-off peers – a gap that has remained stuck for over a decade. 

In addition to championing interventions that raise attainment and calling for contextual admissions (reducing the entry requirements for students from under-represented backgrounds to prioritise their potential) Impetus continues to focus on growing the evidence base on successfully widening participation interventions, and sharing our insights with key sector press. 


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**30** 



## **Affiah, 15, Hertfordshire** 

MCR Pathways is a national mentoring programme dedicated to addressing the deep-rooted inequality in education outcomes, career opportunities and life chances for young people in care and those experiencing disadvantage. Young Herts Talent is a schoolbased mentoring programme that matches volunteer mentors with secondary school students to support the young person they’re matched with through one-to-one mentoring sessions in school for one period a week. 

I was struggling with school, and I just needed extra support with my behaviour. 

My mentor’s name is Annette, we get on well. Sometimes we talk about school, about whatever really. It’s actually quite good because I can tell her anything, and she helps and guides me through it. I can trust her and she’s easy to talk to. 

My behaviour has changed. I do focus more in lessons. My teachers have noticed a difference in me and I’m enjoying school more now. 

Annette taught me to be who I am and just try my hardest. Affiah, 15, Hertfordshire 

The Education Policy Institute’s March 2024 report, ‘Outcomes for Young People Who Experience Multiple Suspensions’ commissioned by Impetus, identified a “suspension grades gap”, with young people who experience even a single suspension, or temporary removal from secondary school, less likely to pass crucial GCSEs in English and maths. 

The report highlighted the importance of focusing on pupils who are suspended or at risk of suspension, and generated media coverage in The Guardian, Schools Week, TES, and our spokespeople made appearances on LBC radio and Talk TV to discuss the implications of the findings. 

## **School attendance** 

Attendance in schools is down dramatically compared to before the pandemic, with profound consequences both for our education system and for society more widely. This is why we commissioned our September 2023 report with Public First, which examined the views of parents. 

Overall, absence is up by more than 50% since 2019 and persistent absence (pupils missing 10% or more of lessons) has more than doubled, affecting the continuity of pupils’ learning. Disadvantaged pupils who most need the security, stability and care that good schools offer, are most likely to be persistently absent – 

and the gap is widening. 

> **31** ~~a~~ **Annual report** 2023–24 



The report revealed that the Covid pandemic and the resulting disruption to education, caused a seismic shift in parental attitudes to school attendance – that it’s no longer the case that every day matters to parents. Yet we know that missing school can lead to wider disengagement in learning and impact pupils’ attainment, which can limit their opportunities in later life. 

The report really resonated with the public, government decision makers and shadow cabinet, achieving blanket national press and broadcast coverage, and was a topic of discussion at the 2023 party conferences. 

## **Oracy** 

In July, Labour leader Keir Starmer launched the party’s ‘opportunity’ mission, committing to oracy and speaking skills and explicitly picking up on the work of our charity partner Voice21. 

We know oracy helps pupils make academic progress, and a recent evaluation of Voice21’s Voicing Vocabulary programme with 11 and 12 

## £69bn 

**Tackling youth unemployment could generate £69bn for UK economy** 

year olds showed it increased the number of above-average readers by about 50%. 

Our Public Affairs team is working closely with Voice21 to see how they could shape the increased focus on this ‘skill for life’ and embed it into the curriculum. 

## **Youth Employment** 

Tackling youth unemployment could generate £69bn for UK economy, that was the headline finding of our new policy paper The Young Person’s Guarantee. 

The share of young people in the UK who are NEET stands at 13.8%, a figure that has remained stagnant for a quarter of a century. Young people from disadvantaged backgrounds are significantly more likely than their better-off peers to be NEET. This means the negative effects of time spent neither learning nor earning – such as decreased earning potential or increased risk of unemployment later in life – are disproportionately borne by this group, with clear consequences for social mobility. 

Amid a political consensus that Britain must improve economic growth and raise shared prosperity, we mobilised the ~~ee~~ Youth Employment ~~ee~~ Group to agree the ~~—~~ ‘Young Persons’ Guarantee’ – a set of policy recommendations for all major parties that, if implemented, would help more young people realise their potential and bring about positive changes that will permanently reduce the number of young people who find themselves neither earning nor learning. 


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With a general election looming, we promoted the Young Person’s Guarantee at Labour and Conservative Party conference events, offering it as an opportunity for the major parties to show how serious they are about the next generation. 

**Annual report** 2023–24 

**32** 



## **Raising our profile** 

We’re To tell the story of what we do, we produced a powerful new film Just Getting Started, working closely with young people to explore how the interventions of Impetus’ charity partners have impacted their lives and raised their ambitions. 

Through the Impetus Communications Forum, part of our support to our partner charities, we hosted three peer-learning events on the subjects of ‘creating a proactive, longterm, media strategy’, ‘effective use of the Google Ads Grant’ and ‘telling young people’s stories in national media’. We were pleased to host the BBC’s Education Editor Branwen Jeffreys, building our relationship with her and connecting her to our charity network. 

And to foster better communications internally and externally we have reinvigorated our newsletters and launched the ‘6 in 60’ video summary on our social media channels to promote the Impetus Insights policy newsletter. 

We responded to news stories, often citing the less popular view but retaining our rigorous focus on evidence and impact. And we capitalised on opportunities for strategic communications partnerships in the run up to the election – including taking part in the New Statesman’s Path to Power conference which included speaking on a panel entitled ‘How can Labour build a future-focused education and skills system?’, attending a lunch with Bridget Phillipson, Shadow Secretary for Education, and publishing an article on the importance of essential skills in supporting young people to be work ready. 

**33 Annual report** 2023–24 



## **Digital and knowledge management** 

We’ve progressed our ambition of changing the way we work, not just the systems we use. In addition to replacing or developing key systems, we’ve ensured that staff time spent on impactful activities has been maximised, by giving them the knowledge, tools and relevant information to do their jobs measurably better, and making sure that Impetus’ organisational foundations, such as cybersecurity and data protection are solid. 

We’ve also convened a Digital Advisory Group including a range of sector experts. This keeps Impetus abreast of best practice, relevant developments, and opportunities and risks related to our grant-making, fundraising and communications. 

In future we will help partner charities build digital capacity through augmenting our service to our portfolio with a Digital capacity-building offer, build new tools to leverage our insights for external change, and continue to give staff back time and attention for the most impactful work. 

## **Subilo, 19, London** 

The Access Project works with high potential students from disadvantaged backgrounds, providing tutoring and intensive support including mentoring, practice interviews and networking, to help them get into top universities. 

**I feel like without help from my tutor every week, I would have only ever achieved a surface level understanding of the subject [economics]. She helped me to have a deeper understanding of it.** 

**It’s not always easy to go to your teacher, there are so many other people in class, so having someone to explain and answer questions one on one was so helpful.** 

**The other side of support from The Access Project was amazing as well – with the application process, my personal statement, researching the uni – I don’t know what I would have done without them.** 

**I’m now in my second year at London School of Economics studying international social policy and economics. It was a good feeling arriving, I couldn’t believe I’d got here.** 

Subilo, 19, London 

**34 Annual report** 2023–24 



## **Our people** 

Supporting and developing our people continued to be a key priority for Impetus in 2023–24, with a focus on growing our teams and implementing our People Plan. 

## **Recruitment and Induction** 

Following a busy period of recruitment in 2022–23, Impetus welcomed 12 new employees in 2023–24 (excluding YEF employee movements). The Philanthropy and Investment teams experienced the most growth, with newly created roles to support the expansion of Impetus’ work. Successfully inducting and supporting these new employees to embed within their teams and roles, was a major priority. We achieved this through our comprehensive induction programme with ‘Impetus Essentials’ sessions which introduce our new employees to all areas of Impetus’ work to help them understand how they contribute to Impetus’ mission. 

Although the volume of recruitment was slightly lower this year, we are still focused on increasing capacity to support organisational growth. This included creating and recruiting for new roles within our Communication and Policy teams. 

At the end of 2023–24 Eleanor Harrison announced that she would be stepping down as CEO after four years of leading the organisation. Following this news, a key priority was the successful appointment a new CEO. We announced the appointment of Susannah Hardyman as the new Impetus CEO in September 2024, and she will take up the post in January 2025. 

## **Equality, Diversity and Inclusion** 

We remain focused on our commitment to Equality, Diversity and Inclusion (EDI), and continued to ensure it is considered in all aspects of our work. We have made progress against the EDI target that was set in 2021 with 40% of staff reporting as being from minoritised ethnic groups and backgrounds. However, we acknowledge there is still further work for us to do to be a truly inclusive employer. Our EDI working group conducted an EDI 


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> **35** ~~re~~ **Annual report** 2023–24 



## 6% **In April 2023 we awarded a 6% pay increase to all employees** 

## **Salaries** 

We continued to benchmark our salaries and pay employees in the upper quartile for their roles. In addition to this in April 2023 we awarded a 6% pay increase to all employees in acknowledgement of inflationary pressures and the rising cost of living. 


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staff survey and we are working with the Senior Management Team to help develop and implement a detailed EDI Plan which will including an audit and training plan. 

## **People Plan** 

We completed the initial phase of our People Plan which focused on building good foundations on which to retain and develop our people. This involved the creation of a new online employee handbook and HR webpage to better communicate all our people policies, practices and procedures. Individual and organisational training and development opportunities were prioritised, including a bespoke Transformational Line Management programme led by Resurgo, to strengthen Impetus’ approach to management and development. 

## **Engagement** 

Staff engagement continued to be a priority. As well as involving employees in focus groups, during our Pay and Reward project, we also conducted our 9th annual staff survey at the end of 2023. There was a high level of engagement and positive feedback, particularly in relation to our people, culture and relationships. There were also lots of constructive feedback and suggestions on how to further develop in key areas such as equality, diversity and inclusion, leadership and management, and internal communication. 

We also undertook a Pay and Reward Review with the support of an independent pay and reward specialist to ensure we have the right policies and structures in place to support staff progression and development. A number of recommendations were accepted including adopting pay principles and setting a clear grading and pay structure. We are now creating a detailed implementation plan to ensure a new Reward Strategy is implemented Impetus Triathlon 2023 by April 2025. 

> **36** ~~a~~ **Annual report** 2023–24 



## **Our new 2024–2028 strategy** 

Following a thorough review of our Theory of Change we have developed a new organisational strategy that will focus on school engagement, educational attainment and good jobs, pushing for improved outcomes for hundreds of thousands more young people from disadvantaged backgrounds through a rigorous focus on impact. 

We will continue to work with charities supporting underserved communities – those that are particularly under-resourced, lacking long-term funding, resources and expertise – to deliver impact for young people, and support those who face structural barriers to providing results at scale. 

Between 2024 and 2028, it’s our ambition to: 

**Increase fundraising income** from £8.5m to £11–13m by 2028 (base case, excluding pro bono) 

**Build a new cohort of impact exemplars,** including a minimum of six partners delivering positive external evaluations against robust impact benchmarks by 2028 

- Grow unrestricted funding 

- Secure extension funding for Engage and Connect Funds (from 2026–27) 

**Deliver 1–2 major policy reforms** that are grounded in our research and portfolio insights 

• Secure funding for two new Funds 

- ~~nC) re~~ 

**Expand our reach** from 393k to ~475k young people 

**Deliver on our commitment to equality, diversity and inclusion** across every part of our work – what we fund, where we fund, how we work 

- Expand our portfolio (from 25 to 30–35 organisations), through two new funds 

   - Support a full portfolio to achieve outcomes for young people from minoritised backgrounds at the same rate as others 

- Support portfolio to continue to deliver good growth (+10–15% average charity reach CAGR) 

- Support 1–2 of our evidenced programmes to national scale (additional to ~475k expansion) 

- Support all colleagues to be themselves and to be their best at work 

**Annual report** 2023–24 

**37** 



## OUR OBJECTIVES FOR 2024–25 

The next 12 months will be about laying strong foundations for the delivery of our new strategy. We will: ~~_@® @e _~~ 

## **Ensure a strong leadership transition** 

**Take further steps towards becoming more diverse and inclusive** 

- Committing resource in senior leadership and the wider team 

## **Grow our fundraising income to £10.2million** 

- Carrying out analysis to understand areas of disproportionality 

- Launching an Equity, Diversity and Inclusion Taskforce 

## **Support our portfolio to grow its reach and build sector-leading programmes** 

   - Conducting an in-depth review of our work 

- Investing in a minimum of five new partners, and graduating 3–4 long-standing partners 

## **Build our brand to drive new business** 

- Sharpening our message about what differentiates us and our impact 

## **Build a platform for policy reforms in our sectors** 

- Aligning key players on the school engagement problem and solution 

   - Equipping all staff, trustees and external champions to be brand ambassadors 

   - Upgrading our fundraising materials and building our employer brand to attract talent 

- Establishing oracy as an education priority with the new government 

- Working with government to implement Young Person’s Guarantee and build an evidence base for skills 

## **Building organisational foundations for growth** 

- Implementing the People Plan and creating efficiencies in financial reporting 

- Refreshing the definition and implementation of core policies 

- Improving and embedding Salesforce into core processes 

**Annual report** 2023–24 

**38** 



## **Financial performance** 

## **Impetus group** 

Our income for the year ended March 2024 stood at £22.2 million compared with £27.1 million in 2023 (15 month period), the change reflecting a £4.3 million decrease in donations and grant income across the group, as well as a £0.65 million decrease in investment income. Total group funds as of 31 March 2024 were £158.6 million (2023: £170.1 million). 

The main change to the balance sheet was a decrease in group cash balances by £1.9 million to £12.9 million and a decrease in investments to £150.9 million from £154.6 million, reflecting the spend-down nature of the Youth Endowment Fund. 

|**£’000s ***|**2024**|**2023**|**Variance**|
|---|---|---|---|
|Income|22,207|27,161|(4,954)|
|Expenditure|(42,309)|(42,232)|(77)|
|Net expenditure|(20,102)|(15,071)|(5,031)|
|Investment gains|8,639|(18,642)|27,281|
|Surplus/(deficit)|(11,463)|(33,713)|22,250|
|**Balance Sheet**|**2024**|**2023**|**Variance**|
|Fixed assets|131|144|(13)|
|Investments|150,887|154,643|(3,756)|
|Current assets|13,900|16,491|(2,591)|
|Creditors|(6,293)|(1,190)|(5,103)|
|Net Assets|158,624|170,087|(11,463)|



*2023 represents a 15-month period from January 2022 to March 2023 


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**Annual report** 2023–24 

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## **Impetus (excluding the Youth Endowment Fund)** 

Our income in 2023–24 reduced to £11.5 million (2023: £11.9 million). Within this, grants and donations to Impetus reduced by £0.6 million to £9.4 million, with investment and fundraising income increasing by close to £0.2 million. Despite these decreases, overall, Impetus continues to receive generous financial support from four main sources: individual donations, corporate sponsors, grant-making trusts and foundations, and public funding. 

## £11.5 million 

**Our income in 2024 reduced to £11.5 million (2023: £11.9 million). Within this, grants and donations to Impetus reduced by £0.6 million to £9.4 million** 

Our income includes the value our pro bono experts contributed in the form of donated services. This was £2.9 million over the past year, compared to £2.5 million in 2023. 

Our expenditure increased from £11.5 million to £11.8 million, reflecting the fact that we continued to invest in our people, infrastructure and the number of charities we support. We were able to maintain our grant spend to charities of £4.6 million. 


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## **Youth Endowment Fund** 

We received a £200 million grant from the Home Office in April 2019 which is to be spent over ten years to 2029. The grant was included in full in the income for 2019. 

## £200 million 

**We received a £200 million grant from the Home Office in April 2019** 

Investments from the fund returned a net gain of £13.5 million (including income and market value gain) in the 12 months to 31 March 2024. Additional grant income received during the period totalled £5.1 million. 

Expenditure in the 12 months to 31 March 2024 totalled £30.5m, of which £25.8m was on grants to interventions with a further £4.7m spend on activities we undertook directly. 

Of the grant, £151m remained invested with Goldman Sachs and remained the largest component of the balance sheet at the yearend. The restricted fund at the year-end amounted to £150.3m (£148.1m for the Home Office grant, £1.7m for the Centre of Excellence grant and £0.5M from other grants received). 

**Annual report** 2023–24 

**40** 



## **Reserves and reserves policy** 

## **Impetus (excluding the Youth Endowment Fund)** 

Impetus has healthy unrestricted reserves and a strong cash position at the balance sheet date. Our reserves policy, as initially approved by the Board in March 2014, entails: 

- Minimum unrestricted funds being set as six months operating costs and the cash cost of any office lease commitment up until the break; and 

- Unrestricted funds not being designated by the Trustees. Rather, a narrative is used to explain how unrestricted funds would be used against ongoing grant agreements and planned new investments. 

approved by the Investment Committee. If all current grant agreements progress as planned, then the grants made in 2025–26 will be £1.7 million. 

Our level of reserves is such that we can reduce them over the next few years (though remaining above the minimum level) as we continue to support more organisations, including through grants and funds, for a significant period in their journey to scaling impact. 

In the longer-term, we will need to raise additional funds to fulfil our commitments and the strategy agreed by the Board in June 2024 is designed to increase our sustainability. 

## **Youth Endowment Fund** 

Our unrestricted funds were £7.8 million as at 31 March 2024 (2023: £8.0 million). The minimum level of unrestricted reserves to comply with our reserves policy is £5 million (2023: £3 million). 

## £7.8 million 

## **Our unrestricted funds were £7.8 million as at 31 March 2024** 

However, given the longer-term nature of our investments, a proportion of our funds are earmarked for fulfilling future funding commitments to our charities’ partners. The total value of grants to portfolio charities that are authorised but not accrued as expenditure at 31 March 2024 was £4.2 million (2023: £2.2 million); an increase as a number of grant agreements were reviewed during the year as part of our funding process. 

The Impetus Board, as sole Trustee, agreed a policy of holding minimum restricted funds in respect of the Home Office funded work equal to six months’ operating expenditure. The receipt of the Home Office grant at the outset of our work means that this policy is comfortably met. 

## **Going concern** 

We consider that we have adequate financial reserves to continue to deliver our plans and that we have a reasonable expectation that we will have adequate resources to continue in operational existence for the foreseeable future and that there are no material uncertainties that call into doubt the charity’s ability to continue. 

## **Investment policy for funds other than the Youth Endowment Fund** 

These grants only become an obligation to Impetus if the charities achieve specific milestones. The authorised amount of £4.2 million relates to the current portfolio charities and excludes any amounts in respect of new investees or next phase investments yet to be 

Given the need to be able to honour long-term commitments to the charities it funds, the Board has adopted a cautious investment strategy with funds received by Impetus for activities other than the Youth Endowment Fund invested in deposit accounts. 

**Annual report** 2023–24 

**41** 



- Liquidity sub-portfolio – cash and cash equivalent investments. 

- Mid-term sub-portfolio – investment grade government and corporate bonds. 

- Growth sub-portfolio – global equities. 

The balance between the three portfolios will vary over time in line with the fund’s planned cash flows and the need to limit the level of capital risk within the portfolio. 

Post year-end, in line with Committee instructions, the decision was taken to fully derisk the equity portion of the portfolio by selling out all equity exposure. The investment portfolio is therefore currently divided into two subportfolios: liquidity and mid-term, respectively. 


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Impetus staff awayday 2024<br>**----- End of picture text -----**<br>


## **Investment policy and objectives for the Youth Endowment Fund** 

The grant from the Home Office was invested and has been managed by Goldman Sachs who were appointed after a competitive selection process. The investment objective is to achieve an average nominal return of 2%, net of management fees, over the life of the fund. 

As at the 31 March 2024, of the total portfolio of £151 million, £77 million was invested in fixed income bonds and £33.5 million in equities. The performance of the managed fund against the target is most usefully measured over a longer period than was available in 2024. The Trustees consider that the portfolio performed well, taking advantage of the equities markets during the pandemic with a well-defined glide path to reduce equity risk post year-end. 

To ensure that there are sufficient funds to cover planned grant giving and the costs of the partners in managing the YEF, the equivalent of six months forecast spending is held in cash and cash equivalents. 

The investment portfolio has historically been divided into three sub-portfolios, each invested in different types of asset: 

To limit currency risk in the portfolio, cash and cash equivalent investments are only invested in sterling instruments. Bond investments are in sterling or hedged back into sterling. Hedging of non-sterling currency exposure arising from overseas equity investments is permitted but not required. 

The fund managers are required to integrate consideration of environmental, social and governance (ESG) issues into their investment process in a thoughtful manner and actively engage with companies to improve their ESG practices and policies. Given the fund’s social objectives, the Trustees considers it inappropriate to invest in certain companies whose activities have a clearly negative social impact. No direct or indirect investment is therefore permitted in companies whose principal activity is in tobacco and alcohol manufacturing, armaments and controversial weapons, gambling, adult entertainment and high-interest-rate lending. 

The focus during this year has been on building out the investment portfolio as market opportunities presented themselves whilst being mindful of the impact of ongoing geo-political events, including the war in Ukraine, recent economic forecasts and events. The Investment Committee alongside the investment managers reviewed the state of the portfolio ensuring the investment strategy remains prudent and protects the charity’s investment. 

**42 Annual report** 2023–24 



## **Structure, governance and management** 


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**43 Annual report** ~~ee~~ 2023–24 



## **Governance and management** 

Impetus is a charitable company registered with the Charities Commission (Charity number 1152262) registered in 2013 under its Memorandum and Articles (governing document). The governing body of the charity is the Board of Trustees, listed on the administrative details page. 

The committees ensure in-depth review and oversight of our activities. They ensure that the specific areas of focus are led, where possible, by Trustees. Trustees are aware of and comply with the duty to act in the public benefit in accordance with Section 17 of the Charities Act 2011. 

## **Investment Committee** 

The governing body also meets as the sole corporate Trustee of The Youth Endowment Fund, a registered charitable trust. 

The appointment of a new Trustee takes place after due consideration from both parties. This is vital to ensuring a good strategic fit for the Board and the prospective Trustee. Over time, new Trustees meet our charities to gain a good understanding of our work. New Trustees are also briefed on their obligations under charity and company law, the Memorandum and Articles of Association, the committee and decision-making processes, the business plan and the financial performance of the charity. During their induction, they meet members of staff and other Trustees whom they had not previously met. Trustees attend training events which facilitate the undertaking of their role. 

Trustees are typically elected for three-year periods and may be re-elected for a further three-year period. The Chair conducts an annual appraisal of the Board’s performance and composition and the functioning of its committees, and a designated Trustee conducts a review of the Chair’s role and performance. 

The Board sets strategy and reviews policy. Day-to-day responsibility is delegated to the Chief Executive Officer, who works closely with the Chair. During 2023/24, the Board met six times. There were five committees reporting to the Impetus Board in 2024: Investment, Governance, Resources and Audit, Public Affairs and the Youth Endowment Fund Committee. The Youth Endowment Fund Committee has two further sub committees, the Grants and Evaluation Committee and the Endowment Investment Committee. 

The Committee is responsible for ensuring that Impetus manages well a balanced portfolio that helps us deliver our mission. The Committee scrutinises individual investment proposals and recommends for Board ratification the charities that should enter, progress through and exit the portfolio. The committee also reviews how each charity is progressing through our Outcomes Framework in the semi-annual Charity Review as well as its progress against funding milestones. 

## **Governance and Nominations Committee** 

The Committee has a strategic role in defining the role of the Board as well as how the Board interacts with its committees. It also directs the Trustee recruitment process and Trustee responsibilities. The Committee is responsible for conducting the Chair evaluation as well as advising on Trustee and Board development. 

## **Resources and Audit Committee** 

The Committee is responsible for reviewing and monitoring all financial and operational aspects of Impetus and reports to the Board on such matters, including financial risk management and people. Due to the size and nature of the organisation, the committee considers that an internal audit function is not required. The committee also helps ensure that Impetus maintains and develops relationships with its donors, co-investors and supporters in order for Impetus and its charities to receive the funding, pro bono and other relevant support to achieve its overall mission and strategy. 

**Annual report** 2023–24 

**44** 



## **Public Affairs Committee** 

The Committee supports Impetus in defining and achieving our public affairs goals. The Committee reviews our public affairs strategy to ensure it is aligned with our organisational mission, and achievable in terms of the external landscape. Committee members also review research and publications in draft to help ensure our public work is high-quality, and relevant to those we are seeking to reach and influence. Annually, the Committee review progress against the public affairs KPIs, to assess performance and impact. 

- The overall strategy for the charity and the grants strategy or any material changes thereto 

- A budget and business plan for the charity within the framework set by the Home Office Grant Agreement and Partnership Agreement 

- The appointment or termination of appointment of Committee members and the YEF Executive Director; individual grants or material changes to existing grants with a value in excess of £10 million, including those made from Supplementary Funding 

## **Philanthropy and Partnerships Committee** 

- The terms of any partnerships with other funders, where their funding is in excess of £10 million 

The Committee supports Impetus’ philanthropy and partnership teams in our efforts to increase donor engagement and stewardship, as well as overseeing key fundraising events. 

- The Investment Policy and the appointment of investment managers 

- The Committee has two sub-committees, the Grants and Evaluation Committee and the Endowment Investment Committee 

## **The Youth Endowment Fund** 

Impetus acts as the sole corporate Trustee through its board of Trustees. Impetus established the Youth Endowment Fund Charitable Trust Committee as a committee of its board. The Committee has delegated responsibility for the management of the Youth Endowment Fund and compliance with, and implementation of the Home Office Grant Agreement. Impetus has the following matters reserved to it, receiving recommendations from the Committee on each matter: 

## **The Youth Endowment Fund – The Grants and Evaluation Committee** 

The Grants and Evaluation Committee provides oversight and scrutiny of grants to Project Implementation Partners and agreements with independent evaluators. It makes recommendations in respect of individual grants, monitors grants awarded and produces reports for the YEF Committee. 

## **The Youth Endowment Fund –** 

## **The Endowment Investment Committee** 

The Endowment Investment Committee has delegated responsibility for the investment management of the Youth Endowment Fund. The Trustees consider that the portfolio performed well, taking advantage of the equities markets during the pandemic with a well-defined glide path to reduce equity risk post year-end. : ¥‘y ~., di | **Remuneration arrangements for  key management personnel** The Trustees consider the Impetus board and the senior management team to be the key : Vv management personnel for reporting purposes. In 2024, the senior management team at Impetus staff awayday 2024 Impetus (excluding the YEF Charitable Trust) 

**45 Annual report** 2023–24 




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Impetus Triathlon 2023<br>**----- End of picture text -----**<br>


comprised the Chief Executive Officer, Director of Public Affairs, Portfolio Director, Director of Philanthropy and Partnerships, Director of Finance and Operations and the Director of Digital and Information. 

Trustees receive no remuneration. Employee pay is set by reference to an upper quartile salary benchmark which is established using a salary survey for the sector which Impetus subscribes to. The remuneration is agreed by the Resources and Audit Committee with a recommendation from the Chair in respect of the Chief Executive Officer. 

## **Fundraising** 

We do not use external professional fundraisers and did not receive any complaints about our fundraising activities. We fundraise by soliciting donations from organisations and individuals. We also organise fundraising events including those where individuals fundraise directly for us. We are registered with the Fundraising 

Regulator and pay its annual levy and comply with its Code of Fundraising Practice. 

## **Safeguarding** 

Impetus is committed to protecting our staff, volunteers, partner organisations and the people we work with alongside the interests of the young people we support and who benefit from the grants we make. Our safeguarding policies and procedures set out clear expectations of our staff and charity partners ensuring we effectively manage our risk, whilst setting out clear accountability mechanisms. 

We have a dedicated senior safeguarding lead and our Board and our Resources and Audit Committee receive any necessary safeguarding updates. All staff are made aware of our safeguarding policies and procedures during their induction. We continue to support and work with our charity partners to ensure the risks surrounding safeguarding are monitored and managed effectively. 

**46 Annual report** 2023–24 



## **Risk and internal control** 

The Trustees are responsible for ensuring that the charity has an appropriate system of controls, financial and otherwise. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention of fraud and other irregularities. 

Assisted by the executive and the Resources and Audit Committee, the Board regularly reviews and assesses the major risks to which Impetus is exposed. Movements against risks are reviewed at Board meetings with mitigating actions and controls discussed. 

The most significant risks identified by the Board post our current mitigation strategies are: 


**----- Start of picture text -----**<br>
Risk Mitigation<br>Our ability  The economic downturn, coupled with the high inflation and cost-of-living crisis, may<br>to continue  force organisations to cut costs, which could result in a reduction of our corporate<br>fundraising  donations, particularly affecting our fundraising events. Both our organisation and our<br>against the  charity partners are feeling the impact of these challenging financial conditions.<br>backdrop  Continued success with our co-investment donors has increased our financial<br>of a difficult<br>sustainability and diversified our donor mix.<br>economic<br>climate;  Banked and committed income is in line with expectations for the year, with income from<br>challenges in  new sources being positive. We have formed a Philanthropy and Partnerships Committee<br>renewing donors  and a new chair has been appointed. In line with diversifying our donor mix, we are<br>and/or winning  reviewing prospective markets beyond private equity and developing our events offering.<br>new business<br>Reputational  A full review of safeguarding policy and procedures with external consultants (FSC) has<br>Risk relating to  begun, with two staff having had specific safeguard lead training already.<br>governance of<br>Once documentation and processes are clear and updated, before the end of the year,<br>safeguarding,<br>training (general for all, and tailored for select teams) will follow.<br>both internally,<br>within a funded  By April 2025, the new staff and trustee induction process will include basic safeguarding<br>partner or a  training by an internal safeguard lead. Furthermore, we will work with the Board to<br>donor    appoint a designated safeguarding trustee.<br>The safeguarding working group will continue to work closely with the two DSLs to ensure<br>safeguarding remains a priority for Impetus.<br>All safeguarding-related policies and documents will be monitored and updated annually<br>(or more frequently if required). Finally, the safeguarding sector of the website is to be<br>updated following the review.<br>Funded partners  Given that we have invested in a greater proportion of smaller charities, as well as the<br>face significant  majority of our funded partners having been in the portfolio for less than three years, the<br>financial,  portfolio carries increased risk.<br>governance,<br>Our approach to risk management and engaged support model will continue to help us<br>legal challenges<br>surface risks and provide advice and capacity building to help organisations manage such.<br>Next steps to continue to improve our risk management in this area include:<br>1. A more explicit consideration of overall portfolio risk when making new investment<br>decisions<br>2. Clearer protocols for communicating any portfolio risks with philanthropy and<br>communications teams<br>**----- End of picture text -----**<br>


These risks are monitored by the Resources and Audit Committee and the Impetus Board of Trustees, which reviews risk movements and the various mitigation strategies in place to manage risks. 

The Board believes these risks cannot be fully eliminated but they can be managed through looking to reduce their impact and the chance of their occurrence as part of the reviews. 

**Annual report** 2023–24 

**47** 



## **Statement of Trustees’ responsibilities** 

The Trustees (who are the directors of the charitable company) are responsible for preparing the Trustees’ Report, and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

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

- Select suitable accounting policies and then apply them consistently; 

- Observe the methods and principles in the Charities SORP; 

- Make judgments and accounting estimates that are reasonable and prudent; 

- State whether applicable UK Accounting Standards have been followed, subject to any material 

- departures disclosed and explained in the financial statements; 

- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. 

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. 

They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Impetus website. Legislation in the United Kingdom governing the preparation and dissemination of the financial statements may differ from legislation in other jurisdictions. 

Each of the Trustees confirms that to the best of his/her knowledge there is no information relevant to the audit of which the auditors are unaware. The Trustees also confirm that they have taken all necessary steps to ensure that they themselves are aware of all relevant audit information and that this information has been communicated to the auditors. 

The Trustees’ Report, incorporating the directors’ report and strategic report, was approved by the Trustees on 24 September 2024 and signed on their behalf by the Chair. 

## **Hanneke Smits** 

Chair of Impetus 

> **48** ~~a~~ **Annual report** 2023–24 



## **Independent auditor’s report to the Trustees of Impetus – The Private Equity Foundation** 

## **Opinion** 

We have audited the financial statements of Impetus – The Private Equity Foundation for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, the Charity Statement of Financial Activities, the Consolidated and Charity Balance Sheets, the Consolidated Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, 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: 

- Give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 March 2024 and of the group’s and parent charitable company’s net movement in funds, including the income and expenditure, for the year then ended; 

- Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

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 group’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** 

- Have been prepared in accordance with the requirements of the Companies Act 2006. 

## **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 group in 

The Trustees are responsible for the other information. The other information comprises the information included in the Chair’s Introduction, YEF Introduction and the Trustees’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 

In connection with our audit of the financial statements, our responsibility is to read the 

**Annual report** 2023–24 

**49** 



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: 

- The information given in the Trustees’ Report (which includes the directors’ report and strategic report prepared for the purposes of company law) for the financial year for which the financial statements are prepared is consistent with the financial statements; and 

- The strategic report and directors’ report included within the Trustees’ Report has been prepared in accordance with applicable legal requirements. 

## **Matters on which we are required to report by exception** 

In the light of the knowledge and understanding of the group and the parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report (which incorporates the directors’ report and strategic report). 

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

- Adequate accounting records have not been kept by the parent charitable company; or 

- The parent charitable company financial statements are not in agreement with the accounting records and returns; or 

- Certain disclosures of trustees’ remuneration specified by law are not made; or 

- We have not received all the information and explanations we require for our audit. 

## **Responsibilities of trustees for the financial statements** 

As explained more fully in the Trustees’ responsibilities statement set out on page 48, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the Trustees are responsible for assessing the group’s and the parent 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 group or the parent 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 

**50 Annual report** 2023–24 



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. 

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of noncompliance with laws and regulations related to trust law requirements relate to the use of restricted funds, charity law and GDPR, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and the Charities Act 2011, and payroll tax. 

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to recognition of voluntary income. Audit procedures performed by the engagement team included: 

- Inspecting correspondence with regulators and tax authorities; 

- Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud; 

- Evaluating management’s controls designed to prevent and detect irregularities; 

- Identifying and testing journals, in particular journal entries posted with unusual descriptions and entries posted at unusual times; and 

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

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

Tracey Young (Senior Statutory Auditor) 

For and on behalf of Haysmacintyre LLP, Statutory Auditor, 10 Queen Street Place London EC4R 1AG 

- Challenging assumptions and judgements made by management in their critical accounting estimates. 

**51 Annual report** 2023–24 



52
Annual report 2023-24

## **Group financial statements** 

## **Consolidated Statement of Financial Activities For the year ended 31 March 2024** 


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Note Restricted  Unrestricted  Year Ended   Restricted  Unrestricted  15 months<br>£ £ 31 March 2024   £ £ ended 31<br>Total   March 2023<br>£ Total £<br>**----- End of picture text -----**<br>


|**Income:**<br>Donations and grants<br>**2a**<br>Events and fundraising activities<br>**2b**<br>Investment<br>**2c**<br>Other<br>**2d**<br>**Total income**<br>**Expenditure:**<br>Raising funds<br>**3a**<br>Charitable activities<br>**3a**<br>**Total expenditure**<br>**Net expenditure**<br>Transfers between funds<br>**Net gains on investments**<br>**10**<br>**Net movement in funds**<br>**Reconciliation of funds:**<br>**Funds at the start of the year**<br>**14**<br>**Funds at the end of the year**<br>**14**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|9,087,659<br>6,199,001<br>**15,286,660**<br>12,747,860<br>6,846,431<br>**19,594,291**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>4,911,629<br>154,782<br>**5,066,411**<br>5,688,700<br>27,322<br>**5,716,022**<br>-<br>417<br>**417**<br>-<br>16,756<br>**16,756**|
|---|---|---|---|---|---|---|
||13,999,288<br>8,207,314<br>**22,206,602**<br>18,436,560<br>8,724,679<br>**27,161,239**||||||
||-<br>1,287,810<br>**1,287,810**<br>-<br>1,307,370<br>**1,307,370**<br>33,894,792<br>7,126,325<br>**41,021,117**<br>33,836,094<br>7,088,654<br>**40,924,748**||||||
||33,894,792<br>8,414,135<br>**42,308,927**<br>33,836,094<br>8,396,024<br>**42,232,118**||||||
||(19,895,504)<br>(206,821)<br>**(20,102,325)**<br>(15,399,534)<br>328,655<br>**(15,070,879)**||||||
||(33,907)<br>33,907<br>**-**<br>(94,090)<br>94,090<br>**-**<br>8,639,315<br>-<br>**8,639,315**<br>(18,641,701)<br>-<br>**(18,641,701)**||||||
||(11,290,096)<br>(172,914)<br>**(11,463,010)**<br>(34,135,325)<br>422,745<br>**(33,712,580)**||||||
||162,041,066<br>8,046,379<br>**170,087,445**<br>196,176,391<br>7,623,634<br>**203,800,025**||||||
||**150,750,970**|7,873,465|**158,624,435**|162,041,066|8,046,379|**170,087,445**|



All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 14 to the financial statements. The financial statements for Impetus (company registration number 08460519 and charity registration number 1152262), for the year ending 31 March 2024 were approved and authorised for issue by the Board on 24 September 2024. 

The notes that follow form an integral part of these financial statements. 

**Annual report** 2023–24 

**53** 



## **Charity Statement of Financial Activities For the year ended 31 March 2024** 


**----- Start of picture text -----**<br>
Note Restricted  Unrestricted  Year ended   Restricted  Unrestricted  15 months<br>£ £ 31 March 2024  £ £ ended 31<br>Total £ March 2023<br>Total £<br>**----- End of picture text -----**<br>


||||||||
|---|---|---|---|---|---|---|
|**Income:**<br>Donations and grants<br>**2a**<br>Events and fundraising activities<br>**2b**<br>Investment<br>**2c**<br>Other<br>**2d**<br>**Total income**<br>**Expenditure:**<br>Raising funds<br>**3e**<br>Charitable activities<br>**3e**<br>**Total expenditure**<br>**Net expenditure**<br>Transfers between funds<br>**Net movement in funds**<br>**Reconciliation of funds:**<br>**Funds at the start of the year**<br>**Funds at the end of the year**||3,234,161<br>6,199,001<br>**9,433,162**<br>3,172,983<br>6,846,431<br>**10,019,414**<br>-<br>1,853,114<br>**1,853,114**<br>-<br>1,834,170<br>**1,834,170**<br>-<br>154,782<br>**154,782**<br>-<br>27,322<br>**27,322**<br>-<br>34,324<br>**34,324**<br>-<br>62,109<br>**62,109**|||||
|||3,234,161<br>8,241,221<br>**11,475,382**<br>3,172,983<br>8,770,032<br>**11,943,015**|||||
|||-<br>1,287,810<br>**1,287,810**<br>-<br>1,307,370<br>**1,307,370**<br>3,394,385<br>7,126,325<br>**10,520,710**<br>3,135,247<br>7,088,654<br>**10,223,901**|||||
|||3,394,385<br>8,414,135<br>**11,808,520**<br>3,135,247<br>8,396,024<br>**11,531,271**|||||
|||(160,224)<br>(172,914)<br>**(333,138)**<br>37,736<br>374,008<br>**411,744**|||||
|||-<br>-<br>**-**<br>-<br>-<br>**-**|||||
|||(160,224)<br>(172,914)<br>**(333,138)**<br>37,736<br>374,008<br>**411,744**|||||
|||602,965<br>8,046,379<br>**8,649,344**<br>565,229<br>7,672,371<br>**8,237,600**|||||
|||442,741<br>7,873,465<br>**8,316,206**<br>602,965<br>8,046,379<br>**8,649,344**|||||



The notes that follow form an integral part of these financial statements. 

**Annual report** 2023–24 

**54** 



## **Consolidated and Charity Balance Sheets As at 31 March 2024** 

||**Note**|**Group**<br>**2024**<br>**£**|**Group**<br>**2023**<br>**£**|**Charity**<br>**2024**<br>**£**|**Charity**<br>**2023**<br>**£**|
|---|---|---|---|---|---|
|||||||
|**Fixed assets**||||||
|Intangible fixed assets|**9(a)**|**113,820**|130,080|**-**|-|
|Tangible fixed assets|**9(b)**|**17,311**|13,914|**17,311**|13,914|
|Investments|**10**|**150,886,547**|154,643,333|**1**|1|
|||**151,017,678**|154,787,327|**17,312**|13,915|
|**Current assets**||||||
|Debtors|**11**|**972,537**|1,626,071|**843,713**|769,930|
|Cash at bank and in hand||**12,927,468**|14,864,448|**7,980,907**|8,263,016|
|||**13,900,005**|16,490,519|**8,824,620**|9,032,946|
|**Creditors: amounts due within one year**|**12**|**(6,293,248)**|(1,190,401)|**(525,726)**|(397,517)|
|**Net current assets**||**7,606,757**|15,300,118|**8,298,894**|8,635,429|
|**Net assets**|**13**|**158,624,435**|170,087,445|**8,316,206**|8,649,344|
|**Funds**||||||
|Restricted funds|**14**|**150,717,063**|162,041,066|**442,741**|602,965|
|Unrestricted funds|**14**|**7,907,372**|8,046,379|**7,873,465**|8,046,379|
|**Total funds**||**158,624,435**|170,087,445|**8,316,206**|8,649,344|



The financial statements for Impetus (company registration number 08460519 and charity registration number 1152262), for the year ending 31 March 2024 were approved and authorised for issue by the Board on 24 September 2024. 

## Hanneke Smits 

## Trustee 

The notes that follow form an integral part of these financial statements. 

**Annual report** 2023–24 

**55** 



## **Consolidated Cash Flow Statement For the year ended 31 March 2024** 

|**Note**|**2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|
|**Net cash used in operating activities**<br>**(a)**<br>**Cash fows from investing activities:**<br>Dividends and interest from investments<br>Purchase of software and equipment<br>Proceeds from sale of investments<br>Purchase of investments<br>**Net cash provided by investing activities**<br>**Change in cash and cash equivalents in the year**<br>Cash and cash equivalents at the beginning of the year<br>**Cash and cash equivalents at the end of the year**<br>**(a) Reconciliation of net movement in funds to net cash fow from operating activities**|**(19,385,997)**<br>**(21,396,833)**|
||**5,066,411**<br>5,716,022<br>**(13,495)**<br>(22,973)<br>**12,001,505**<br>24,556,611<br>**394,596**<br>(5,671,337)|
||**17,449,017**<br>**24,578,323**|
||**(1,936,980)**<br>3,181,490<br>**14,864,448**<br>11,682,958|
||**12,927,468**<br>**14,864,448**|
|||
||**2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|Net movement in funds<br>Losses/(Gains) on investments<br>Dividends and interest from investments<br>Loss on disposal of fxed assets<br>Depreciation and amortisation<br>Decrease/(Increase) in debtors<br>Increase/(Decrease) in creditors<br>Net cash used in operating activities<br>The charity has no debt, so no analysis of net debt is presented.|**(11,463,010)**<br>(33,712,580)<br>**(8,639,315)**<br>18,641,701<br>**(5,066,411)**<br>(5,716,022)<br>**-**<br>-<br>**26,358**<br>26,331<br>**653,534**<br>(506,484)<br>**5,102,847**<br>(129,779)|
||**(19,385,997)**<br>**(21,396,833)**|
|||



The notes that follow form an integral part of these financial statements. 

**Annual report** 2023–24 

**56** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **1. Accounting policies** 

- a)  The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant notes to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) Second Edition effective 1 January 2019 and the Companies Act 2006. 

Impetus – The Private Equity Foundation is a company, number 08460519, limited by guarantee and incorporated in England and Wales. Its registered office is at Golden Cross House, 8 Duncannon Street, London, WC2N 4JF. 

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

The financial statements of the wholly owned subsidiary, PEF Trading Limited, have been consolidated with those of the charity on a lineby-line basis. The financial statements of The Youth Endowment Fund Charitable Trust have also been consolidated in the accounts of the group. 

The charity is the sole corporate trustee of The Youth Endowment Fund Charitable Trust (YEF), a registered charity number 1185413. The activities of the subsidiary charity, YEF, have been included as a restricted fund in the accounts of the group. 

## **Going concern** 

The accounts are prepared on the going concern basis as the Trustees expect that the activities will continue for the foreseeable future and Impetus has healthy reserves and a strong cash position at the balance sheet date. There are no material uncertainties that call into doubt the charity’s ability to continue in operational existence. 

- b)  Income is included in full in the statement of financial activities once the charity has entitlement to the income; it is probable that the income will be received and the amount of income receivable can be measured reliably. 

Grants to Impetus are recognised in full in the statement of financial activities in the year in which they are receivable, or in the case of grants with associated eligibility criteria, in the year in which those criteria are satisfied. 

Where entitlement to grants receivable is dependent upon fulfilment of conditions within the charity’s control, the income is recognised when there is sufficient evidence that conditions will be met. Where there is uncertainty as to whether the charity can meet such conditions, recognition of income is deferred. 

- c)  Donated services and facilities are recognised as income and expenditure in the financial statements when companies or individuals offer their professional expertise on a pro bono basis. The value of these donated services and facilities is an estimated figure based upon the valuation the professional individual or organisation places upon the time, services and facilities they have provided to Impetus. Individuals offering their time to work in areas where they are not undertaking their profession are classified as volunteers and their time is not quantified in the accounts, but is disclosed in the Trustees’ Report. All of these amounts are treated as unrestricted donations. 

- d)  Expenditure is recognised on an accruals basis, inclusive of any VAT which cannot be recovered. Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. 

Expenditure is allocated to the particular activity where the cost relates exclusively and directly to that activity. In addition, an allocation of salary and overhead costs of the central function is made and is apportioned based upon staff estimates of time spent on each activity (including the time of the executives who offer their services on a pro bono basis). 

Expenditure on raising funds relate to the costs incurred by the charitable company in raising funds for the charitable work. This includes an allocation of salary and overhead costs of the central function and is apportioned based upon staff estimates of time spent on fundraising activity. 

- e)  Grants payable to charities are charged in the year when the offer is conveyed to the investee charity except in those cases where the offer is conditional, which is typical of investee charities of Impetus. Funding is usually offered over a period of up to five years, which is reviewed on a regular basis throughout the funding relationship. Continued funding is conditional upon the 

**Annual report** 2023–24 

**57** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

charities meeting specified milestones. Conditional grants are recognised as expenditure when the conditions are fulfilled. If the conditions have not been met at the year end, the grants are disclosed as a future commitment but are not shown as expenditure. 

Grants payable to interventions by the YEF are charged in the year in which they are disbursed to the intervention. Continued funding is conditional on the interventions meeting specified milestones. Conditional grants are recognised as expenditure when the conditions are fulfilled. If the conditions have not been met at the year end, the grants are disclosed as a future commitment but are not shown as expenditure. 

- f)  The group’s financial instruments all qualify as basic financial instruments in accordance with Section 11 of FRS102 and are recognised on the following bases: 

   - i. Investments in subsidiaries are measured at cost less provision for impairment. 

   - ii. Other investments are measured at market value at the balance sheet date. 

   - iii. Cash and cash equivalents represent bank balances and deposits held in sterling. 

   - iv. Debtors, including Gift Aid receivable, are measured at the transaction price less any provision for doubtful debts. 

   - v. Trade creditors are measured at the transaction price. 

- g)  Items of equipment and software are capitalised where the purchase price or the cost of the capital project exceeds £1,000. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use. 

- h)  Depreciation and amortisation are provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follow: Computer equipment Three years Computer software Ten years Office equipment Four years Fixtures and fittings Five years 

- k)  Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is matched to the restricted funds, together with a fair allocation of overheads and support costs, if appropriate. 

- l)  The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable under the scheme by the group to the fund. The group has no liability under the scheme other than for the payment of those contributions. 

Pension contributions are also made on behalf of eligible employees and are paid into personal pension schemes as nominated by the employee and contributions pass through the SOFA as incurred. 

   - m)  Transactions in foreign currencies are translated into sterling at the rates of exchange current at the date of the transaction. Foreign currency monetary assets and liabilities in the balance sheet are translated into sterling at the rates of exchange ruling at the end of the year. Resulting exchange gains and losses are taken to the statement of financial activities. 

   - n)  Leases are regarded as operating leases and the rentals are charged to operating expenses on a straight-line basis over the term of the lease. Operating lease incentives received are added to the lease rentals and charged to operating expenses over the life of the lease. The charity has no finance leases. 

   - o)  The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses during the year. The key judgment which has had the most significant effect on amounts recognised in the financial statements relates to the recognition and measurement of Donated Services (see note 1(c)). 

- i) Short-term deposits represent cash on deposit. 

- j)  Unrestricted funds are donations and other income receivable or generated for the objects of the charity. 

**Annual report** 2023–24 

**58** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **2. Total income** 

## **2 (a). Donations and grants** 

|**2 (a). Donations and grants**|||||
|---|---|---|---|---|
||**Group**<br>**2024**<br>**Total**<br>**£**<br>**Group**<br>**15 months**<br>**ended 31 March**<br>**2023**<br>**Total**<br>**£**<br>**Charity**<br>**2024**<br>**Total**<br>**£**<br>**Charity**<br>**15 months ended**<br>**31 March 2023**<br>**Total**<br>**£**||||
||||||
|Other grants<br>Donated services<br>Income for Engage and Connect Funds<br>Cash donations from individuals and companies<br>Donations and grants|**7,303,157**<br>10,737,002<br>**2,200,488**<br>2,093,805<br>**3,620,406**<br>3,415,308<br>**2,869,577**<br>2,483,628<br>**1,033,673**<br>898,660<br>**1,033,673**<br>898,660<br>**3,329,424**<br>4,543,321<br>**3,329,424**<br>4,543,321||||
||**15,286,660**<br>19,594,291<br>**9,433,162**<br>10,019,414||||



Donations and events income received from Trustees for the charity totalled £221,770 (2023: £259,090) 

Donated services represent pro bono services and facilities received by Impetus and the Youth Endowment Fund (YEF). These services relate both to work performed for Impetus or the YEF, and for our portfolio charities and are included as expenditure under Note 3. 

## **2 (b). Events and fundraising activities** 

|**2 (b). Events and fundraising activities**||
|---|---|
|Fundraising events<br>**2 (c). Investment**<br>Interest receivable<br>Fixed income bonds<br>Global equities<br>Investment income<br>**2 (d). Other income**<br>Contract income<br>Capacity building<br>**Total income**|**1,853,114**<br>1,834,170<br>**1,853,114**<br>1,834,170|
||187,383<br>44,685<br>154,782<br>27,322<br>619,763<br>797,782<br>-<br>-<br>4,259,265<br>4,873,555<br>-<br>-|
||**5,066,411**<br>5,716,022<br>**154,782**<br>27,322|
||**417**<br>16,755<br>**14,116**<br>41,365<br>**-**<br>-<br>**20,208**<br>20,744|
||**417**<br>16,755<br>**34,324**<br>62,109|
||**22,206,602**<br>27,161,238<br>**11,475,382**<br>11,943,015|



## **2 (e). Additional funds raised for portfolio charities** 

Additional funds raised for charities are donations made directly to the portfolio charities where Impetus was instrumental in obtaining those funds. These amounts are not included in Impetus’ own financial statements nor those of the group. 

|||||
|---|---|---|---|
||**2024**<br>**Total**<br>**£**|**15 months ended**<br>**31 March 2023**<br>**Total**<br>**£**||
|Total additional funds generated by Impetus for portfolio charities|**6,710,880**|6,828,010||



**Annual report** 2023–24 

**59** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **3. Expenditure** 

## **3 (a). Total expenditure – Group** 

||**Grant funding**<br>**£**<br>**Activities**<br>**undertaken**<br>**directly**<br>**£**<br>**Support costs**<br>**£**<br>**Group**<br>**Total 2024**<br>**£**|
|---|---|
|Note for the current year<br>**Raising funds**<br>Fundraising and events<br>**Charitable activities**<br>Supporting charities<br>Evaluation and research<br>Grants payable (note 4)<br>Donated services<br>**Total charitable activities**<br>**Total expenditure**|**Note 4**<br>**Note 3(b)**<br>**Note 3(c)**<br>-<br>-<br>1,287,810<br>**1,287,810**|
||-<br>4,987,789<br>2,734,067<br>**7,721,856**<br>6,600,788<br>-<br>-<br>**6,600,788**<br>23,078,067<br>-<br>-<br>**23,078,067**<br>750,829<br>2,082,952<br>786,625<br>**3,620,406**|
||30,429,684<br>7,070,741<br>3,520,692<br>**41,021,117**|
||**30,429,684**<br>**7,070,741**<br>**4,808,502**<br>**42,308,927**|
|||
||**Grant funding**<br>**£**<br>**Activities**<br>**undertaken**<br>**directly**<br>**£**<br>**Support costs**<br>**£**<br>**Group**<br>**Total 15 months**<br>**ended**<br>**31 March 2023**<br>**£**|
|Note for the prior year<br>**Raising funds**<br>Fundraising and events<br>**Charitable activities**<br>Supporting charities<br>Evaluation and research<br>Grants payable (Note 4)<br>Donated services<br>**Total charitable activities**<br>**Total expenditure**|**Note 4**<br>**Note 3(b)**<br>**Note 3(c)**<br>-<br>-<br>1,307,369<br>**1,307,369**|
||-<br>5,159,559<br>3,307,577<br>**8,467,136**<br>5,897,952<br>-<br>-<br>**5,897,952**<br>23,144,352<br>-<br>-<br>**23,144,352**<br>931,680<br>1,779,789<br>703,839<br>**3,415,308**|
||29,973,984<br>6,939,348<br>4,011,416<br>**40,924,748**|
||**29,973,984**<br>**6,939,348**<br>**5,318,785**<br>**42,232,117**|



**Annual report** 2023–24 

**60** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

|**3 (b). Activities undertaken directly - Group**|||
|---|---|---|
||**Group**<br>**2024**<br>**£**<br>**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**||
|Staf costs<br>Consultancy costs<br>Ofce costs<br>Depreciation and amortisation<br>Donated services<br>Other costs|**4,151,346**<br>4,225,214<br>**279,181**<br>426,639<br>**273,799**<br>305,490<br>**4,860**<br>3,078<br>**2,082,952**<br>1,779,789<br>**278,606**<br>199,139||
||**7,070,744**<br>6,939,349||



## **3 (c). Support costs – Group** 

||**Raising**<br>**funds**<br>**£**<br>**Charitable**<br>**activities**<br>**£**<br>**Total**<br>**2024**<br>**£**<br>**Raising**<br>**funds**<br>**£**<br>**Charitable**<br>**activities**<br>**£**<br>**Total**<br>**15 months**<br>**ended**<br>**31 March 2023**<br>**£**|
|---|---|
|Staf costs<br>Ofce costs<br>Depreciation<br>Donated services<br>Fundraising events costs<br>Investment management fees<br>Other costs|794,539<br>1,313,904<br>**2,108,443**<br>744,262<br>1,525,522<br>2,269,784<br>151,463<br>393,952<br>**545,415**<br>134,118<br>469,374<br>603,492<br>2,689<br>2,585<br>**5,274**<br>1,351<br>1,577<br>2,928<br>-<br>786,625<br>**786,625**<br>-<br>703,839<br>703,839<br>172,802<br>-<br>**172,802**<br>385,827<br>-<br>385,827<br>-<br>370,839<br>**370,839**<br>-<br>576,148<br>576,148<br>166,317<br>652,787<br>**819,104**<br>41,812<br>734,956<br>776,768|
||1,287,810<br>3,520,692<br>**4,808,502**<br>1,307,370<br>4,011,416<br>5,318,786|



Included within support costs above are governance costs totalling £126,883 (2022–23: £180,905). 

## **3 (d). Pro bono income and expenditure – Group and Charity** 

Donated services are analysed as income and expenditure within the financial statements. The split of donated services across portfolio charities and other activities is as follows: 

||**2024**<br>**£**<br>**15 months**<br>**ended**<br>**31 March 2023**<br>**£**|
|---|---|
|**Unrestricted**<br>Support to portfolio charities<br>Support to Impetus for portfolio work<br>Support to Impetus<br>Youth Endowment Fund<br>Total donated services|**2,082,952**<br>1,779,789<br>**750,000**<br>665,641<br>**36,625**<br>38,198<br>**750,829**<br>931,680|
||**3,620,406**<br>**3,415,308**|



**Annual report** 2023–24 

**61** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

|**3 (e). Total expenditure – Charity**||
|---|---|
|Note for the current year|**Grant funding**<br>**£**<br>**Activities**<br>**undertaken**<br>**directly**<br>**£**<br>**Support costs**<br>**£**<br>**Total**<br>**2024**<br>**£**|
|**Raising funds**<br>Fundraising and events<br>**Charitable activities**<br>Supporting charities<br>Grants payable (Note 4)<br>Donated services<br>**Total charitable activities**<br>**Total expenditure**|**Note 3(f)**<br>**Note 3(g)**<br>-<br>-<br>1,287,810<br>**1,287,810**|
||-<br>2,025,503<br>1,009,392<br>**3,034,895**<br>4,616,238<br>-<br>-<br>**4,616,238**<br>-<br>2,082,952<br>786,625<br>**2,869,577**|
||4,616,238<br>4,108,455<br>1,796,017<br>**10,520,710**|
||**4,616,238**<br>**4,108,455**<br>**3,083,827**<br>**11,808,520**|
|||
|Note for the prior year|**Grant funding**<br>**£**<br>**Activities**<br>**undertaken**<br>**directly**<br>**£**<br>**Support costs**<br>**£**<br>**15 months**<br>**ended 31 March**<br>**2023**<br>**£**|
|**Raising funds**<br>Fundraising and events<br>**Charitable activities**<br>Supporting charities<br>Grants payable (Note 4)<br>Donated services<br>**Total charitable activities**<br>**Total expenditure**|-<br>-<br>1,307,370<br>**1,307,370**|
||-<br>1,942,862<br>1,153,606<br>**3,096,468**<br>4,643,805<br>-<br>-<br>**4,643,805**<br>-<br>1,779,789<br>703,839<br>**2,483,628**|
||4,643,805<br>3,722,651<br>1,857,445<br>**10,223,901**|
||**4,643,805**<br>**3,722,651**<br>**3,164,815**<br>**11,531,271**|



**Annual report** 2023–24 

**62** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **3 (f). Activities undertaken directly – Charity** 

|**3 (f). Activities undertaken directly – Charity**||
|---|---|
||**2024**<br>**£**<br>**15 months**<br>**ended**<br>**31 March 2023**<br>**£**|
|Staf costs<br>Ofce costs<br>Depreciation<br>Donated services<br>Other costs|**1,468,238**<br>1,435,155<br>**273,799**<br>305,490<br>**4,860**<br>3,078<br>**2,082,952**<br>1,779,789<br>**278,606**<br>199,139|
||**4,108,455**<br>3,722,651|



## **3 (g). Support costs – Charity** 


**----- Start of picture text -----**<br>
Raising funds  Charitable  Total   Raising funds  Charitable  15 months<br>£ activities  2024  £ activities  ended<br>£ £ £  31 March 2023<br>£<br>**----- End of picture text -----**<br>


|Staf costs<br>Ofce costs<br>Depreciation<br>Donated services<br>Fundraising events costs<br>Other costs|794,539<br>705,638<br>**1,500,177**<br>744,262<br>885,668<br>1,629,930<br>151,463<br>145,638<br>**297,101**<br>134,118<br>156,470<br>290,588<br>2,689<br>2,585<br>**5,274**<br>1,351<br>1,577<br>2,928<br>-<br>786,625<br>**786,625**<br>-<br>703,839<br>703,839<br>172,802<br>-<br>**172,802**<br>385,827<br>-<br>385,827<br>166,317<br>155,531<br>**321,848**<br>41,811<br>109,891<br>151,702|
|---|---|
||1,287,810<br>1,796,017<br>**3,083,827**<br>1,307,369<br>1,857,445<br>3,164,814|



Included within support costs above are governance costs totalling £126,833 (2022–23 - £180,905). 

**Annual report** 2023–24 

**63** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **4. Grants payable** 

|**4. Grants payable**||
|---|---|
||**2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|Grants payable fall in three categories:<br>- paid to Impetus portfolio charities<br>- paid to Impetus research organisations<br>- paid to Youth Endowment Fund interventions|**4,616,238**<br>4,643,805<br>**-**<br>-<br>**18,461,827**<br>18,500,547|
||**23,078,065**<br>**23,144,352**|
|||
||**2024**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|**Grants paid to portfolio charities in the year were as follow:**<br>Access Project<br>Action Tutoring<br>ADA<br>Babbasa Youth Empowerment Projects CIC<br>Career Ready<br>City Gateway<br>Empire Fighting Chance<br>Football Beyond Borders<br>Generation: You Employed UK<br>IMO Charity<br>IntoUniversity<br>Jon Egging Trust<br>Khulisa<br>Kids Inspire<br>Mama Youth<br>MCR Pathways<br>Miss Macaroon<br>Olive Academies<br>Power the Fight<br>Resurgo<br>School of Hard Knocks<br>Sister System Charity<br>Spiral Skills<br>Streets of Growth<br>The Diference<br>ThinkForward (2)<br>Think for the Future<br>Transforming Lives for Good<br>Tutor Trust<br>Venture Trust<br>Voice 21<br>West London Zone<br>**Charity total**|**225,000**<br>**275,000**<br>**100,000**<br>**100,000**<br>**300,000**<br>**137,500**<br>**122,500**<br>**40,000**<br>**55,000**<br>**105,809**<br>**381,250**<br>**375,000**<br>**50,000**<br>**-**<br>**300,000**<br>**493,750**<br>**300,000**<br>**50,000**<br>**70,000**<br>**30,000**<br>**50,000**<br>**125,000**<br>**221,250**<br>**75,000**<br>**175,000**<br>**75,000**<br>**163,750**<br>**80,000**<br>**30,000**<br>**160,000**<br>**375,000**<br>**225,000**<br>**5,000**<br>**-**<br>**159,000**<br>**125,000**<br>**1,000**<br>**-**<br>**240,488**<br>**457,996**<br>**50,000**<br>**-**<br>**172,500**<br>**30,000**<br>**1,000**<br>**-**<br>**50,000**<br>**-**<br>**158,000**<br>**225,000**<br>**200,000**<br>**350,000**<br>**-**<br>**40,000**<br>**-**<br>**125,000**<br>**225,000**<br>**177,500**<br>**-**<br>**50,000**<br>**183,000**<br>**210,000**<br>**252,500**<br>**506,250**|
||**4,616,238**<br>4,643,805|



**Annual report** 2023–24 

**64** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

Impetus adopts a three-stage approach to its portfolio investment in charities. The three stages are Focus, Build and Scale. The precise nature of the investment including term and amount invested is reviewed on a case-by-case basis by the Investment Committee. As a result, total annual payments to charities can vary significantly depending on the phase of the investment programme. At present, there are charities in the Focus, Build and Scale stages. 

Continued funding of portfolio charities is conditional upon the charities meeting specified milestones. Conditional grants are recognised as expenditure when the conditions are fulfilled. If the conditions have not been met at the year end, the grants are noted as a future commitment but not shown as expenditure. 

The total amount of grants authorised but not accrued as expenditure at 31 March 2024 was £4,188,500 (2022–23: £2,271,250). This amount relates to the charities listed above, but excludes any amounts in respect of new investees or next phase investments yet to be approved by the Investment Committee. If all current charity investees progress as envisaged, the phasing of future commitments is estimated as follows: 

|<br>yet to be approved by the Investment Committee. If all current charity investees progress as envisaged, the phasing<br>commitments is estimated as follows:|<br>of future|
|---|---|
||**£**|
|2024–25<br>2025–26<br>2027–28<br>**2024**<br>**£**|2,260,250<br>1,697,000<br>231,250|
||**4,188,500**|
|||
||**15 months ended**<br>**31 March 2023**<br>**£**|
|**Grants paid by the Youth Endowment Fund to interventions in the year were as follow:**<br>Achieving for Children<br>-<br>Artswork Ltd<br>(16,641)<br>ASSIST Trauma Care<br>-<br>Behavioural Insights Ltd<br>533,760<br>Birmingham City Council<br>(991)<br>Bradford teaching hospital NHS Foundation Trust<br>259,999<br>Bridgend County Borough Council<br>281,182<br>Blackburn with Darwen Borough Council<br>-<br>Centre for Youth Impact (Part of YMCA-WC)<br>1,700<br>Empire Fighting Chance<br>-<br>Family Psychology Mutual CIC<br>557,267<br>Future Men<br>228,622<br>Greater Manchester Violence Reduction Unit<br>391,652<br>High Trees Community Development Trust<br>-<br>Imperial College London<br>(3,502)<br>Knowledge Change Action Ltd<br>393,651|464,609<br>278,473<br>70,431<br>213,784<br>262,202<br>-<br>-<br>69,013<br>1,064,723<br>152,780<br>121,257<br>-<br>-<br>319,305<br>367,658<br>-|



**Annual report** 2023–24 

**65** 



## **Notes to the Financial Statements For the year ended 31 March 2024** 

||**2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|
|**Grants paid by the Youth Endowment Fund to interventions in the year were as follow:**<br>Lancashire & South Cumbria NHS FT<br>LifeLine Community Projects<br>Lives Not Knives<br>London Borough of Lambeth<br>London VRU<br>Media Academy Cymru<br>Mental Health Foundation<br>National Children's Bureau (NCB)<br>Nesta<br>Redthread Youth Limited<br>REMEDI- Restorative Services<br>Right to Succeed CIO<br>Salford Foundation Ltd<br>South London and Maudsley NHS Foundation Trust (SLaM)<br>South Wales VRU<br>St Christopher's Fellowship<br>StreetGames UK<br>Tavistock Relationships<br>The Education Endowment Foundation<br>The English Football League Trust (FL Community Ltd)<br>The Global Fund for Children UK Trust<br>The Nottinghamshire Ofce of the Police and Crime<br>The Tavistock and Portman NHS Foundation Trust<br>The Titan Partnership<br>Trauma Informed Schools UK CIC<br>Triple P<br>UK Youth<br>United Borders<br>UpskillU Ltd<br>Violence Reduction Network for Leicester (OPCC)<br>Volunteering Matters<br>Wakefeld Council Youth Work Team<br>WE ARE WITH YOU<br>West Midlands Police and Crime Commissioner<br>YES Outdoors<br>Young Devon<br>Youth Focus North East<br>Young Persons Advisory Service<br>Other grants paid below £200,000<br>**Total**|92,821<br>227,734<br>-<br>108,066<br>-<br>27,088<br>-<br>125,198<br>2,291,071<br>2,332,153<br>293,883<br>313,519<br>241,359<br>622,553<br>286,644<br>-<br>599,848<br>-<br>147,215<br>454,547<br>503,100<br>432,109<br>333,332<br>-<br>507,233<br>222,793<br>7,778<br>359,942<br>206,288<br>206,288<br>-<br>(62,000)<br>17,500<br>273,821<br>543,770<br>-<br>224,730<br>-<br>306,934<br>224,466<br>2,693,518<br>3,762,140<br>503,918<br>519,820<br>-<br>(49,493)<br>-<br>262,247<br>308,850<br>-<br>624,256<br>-<br>353,763<br>-<br>349,457<br>299,438<br>302,135<br>-<br>1,038,315<br>498,541<br>-<br>250,090<br>-<br>50,078<br>196,630<br>292,200<br>751,739<br>476,506<br>215,009<br>248,058<br>(553)<br>252,309<br>-<br>270,664<br>142,176<br>244,090<br>1,752,409<br>1,871,347|
||**18,461,827**<br>18,500,547|



**Annual report** 2023–24 

**66** 



## **Notes to the Financial Statements For the year ended 31 March 2024** 

Only grants of £50,000 and above have been individually disclosed in the note above. To obtain the detail of the grants included within ‘other’ please contact Impetus at its registered address. 

The Youth Endowment Fund aims to prevent children and young people from getting caught up in crime and violence by making sure that those at most risk get the best possible support, as early as possible, to get on a positive path and succeed. 

The total amount of grants authorised but not accrued as expenditure at 31 March 2024 was £50,945,000 (2022–23: £33,031,000). This amount relates to the organisations listed above. If all current interventions progress as envisaged, the phasing of future commitments is estimated as follows: 

||**2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|
|2024<br>2025<br>2026<br>2027|**-**<br>**17,447,000**<br>**27,710,000**<br>**11,926,000**<br>**14,087,000**<br>**3,658,000**<br>**9,148,000**<br>**-**|
||**50,945,000**<br>**33,031,000**|



The above conditional grant commitments to organisations are underwritten by existing reserves (see Note 14). 

## **5. Net income/(expenditure) for the year** 

This is stated after charging: 

||**Group**<br>**2024**<br>**£**|**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**|**Charity**<br>**2024**<br>**£**|**Charity**<br>**2024**<br>**£**|**Charity**<br>**15 months ended**<br>**31 March 2023**<br>**£**|**Charity**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|---|---|---|---|---|
|Trustees' remuneration|**-**|-||**-**||-|
|Trustees' expenses|**-**|-||**-**||-|
|Depreciation and amortisation|**26,358**|26,331||**10,098**||6,006|
|Operating lease expenses|**258,053**|441,698||**258,053**||441,698|
|Auditors' remuneration for audit services|**45,180**|41,148||**24,390**||22,200|



Directors and Officers insurance which covers the Trustees against any personal liability was provided at a cost of £11,702 (2022–23: £11,944). 

**Annual report** 2023–24 

**67** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **6. Subsidiaries** 

## **6a. Investment in PEF Trading Limited** 

The investment of £1 in PEF Trading Limited (PEFTL) represents the whole of the issued ordinary share capital of a company incorporated in England and Wales on 13 February 2012. PEFTL engaged in miscellaneous trading activities connected to Impetus but has not traded since 2015. 

|Ordinary share capital<br>Proft and loss account<br>Shareholders' funds represented by net assets|**As at**<br>**31 March 2024**<br>**£**<br>**As at**<br>**31 March 2023**<br>**£**|
|---|---|
||1<br>1<br>–<br>-|
||1<br>1|



## **6b. The Youth Endowment Fund Charitable Trust** 

On 10 April 2019, The Youth Endowment Fund Charitable Trust was established with Impetus as its sole corporate trustee. YEF is a registered charity, number 1185413. 

Summary financial results of the Youth Endowment Fund: 

|Summary fnancial results of the Youth Endowment Fund:||
|---|---|
||**Year ended**<br>**31 March 2024**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|Total income<br>Total expenditure<br>Gain on investments<br>Net movement in funds<br>Investments<br>Intangible assets<br>Current assets<br>Creditors: amounts due within one year<br>Net assets<br>Restricted funds|10,765,127<br>15,263,577<br>(30,534,314)<br>(30,746,202)<br>8,639,316<br>(18,641,701)|
||(11,129,871)<br>(34,124,326)|
||150,886,547<br>154,643,333<br>113,820<br>130,080<br>5,373,364<br>7,711,014<br>(6,065,502)<br>(1,046,327)<br>150,308,229<br>161,438,100<br>150,308,230<br>161,438,100|
||**150,308,230**<br>161,438,100|



**Annual report** 2023–24 

**68** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **7. Staff costs** 


**----- Start of picture text -----**<br>
||||||
|---|---|---|---|---|
|Staff costs were as follows:|Group|Group|Charity|Charity|
|2024|15 months|2024|15 months ended|
|£|ended 31 March|£|31 March 2023|
|2023|£|
|£|
|Salaries and wages|5,372,034|5,571,597|2,543,574|2,635,140|
|Social security costs|610,132|644,261|293,064|300,708|
|Pension contributions|273,097|279,139|127,250|129,236|
|6,255,263|6,494,997|2,963,888|3,065,084|
|The salary breakdown by employee is shown in the table below (where applicable).|
|Number of employees|
|2024|15 months|
|ended 31 March|
|2023|
|Salary band|
|£60,000 – £70,000|10|18|
|£70,000 – £80,000|8|7|
|£80,000 – £90,000|4|6|
|£90,000 – £100,000|1|1|
|£100,000 – £110,000|1|–|
|£110,000 – £120,000|1|4|
|£120,000 – £130,000|–|1|
|£130,000 – £140,000|1|–|

**----- End of picture text -----**<br>


The employer’s pension contributions for staff earning more than £60,000 per annum amounted to £108,779 (for the 15 month period ended 31 March 2023: £150,182). 

Employee benefits, (salary, bonus, employer NI and employer pension contributions), paid for the senior management team totalled £2,007,871 for the year ended 31 March 2024 (for the 15 month period ended 31 March 2023: £1,810,774). 

## **Staff numbers** 

The average monthly number of Charity and Group employees is shown below on a full-time equivalent and headcount basis: 


**----- Start of picture text -----**<br>
||||||
|---|---|---|---|---|
|Group|Group|Charity|Charity|
|2024|15 months|2024|15 months ended|
|ended 31 March|31 March 2023|
|2023|
|Full time equivalents|95.8|84.7|41.4|36.4|
|Headcount|102|89|45|38|

**----- End of picture text -----**<br>


## **8. Taxation** 

There are no taxable profits arising for the year ending 31 March 2024 (15 months to 31 March 2023 (nil)). Consequently Impetus has no liability to tax and no deferred tax. 

**Annual report** 2023–24 

**69** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **9. Fixed assets** 

## **9(a). Intangible fixed assets** 

|**9. Fixed assets**<br>**9(a). Intangible fxed assets**||
|---|---|
||**Software**<br>**£**<br>**Group Total**<br>**£**|
|**Cost**<br>At the start of the year<br>Additions in period<br>At the end of the year<br>**Amortisation**<br>At the start of the year<br>Charge for the period<br>At the end of the year<br>**Net book value**<br>**At the end of the year**<br>At the start of the year<br>The charity has no intangible fxed assets|160,593<br>**160,593**<br>-<br>**-**|
||**160,593**<br>**160,593**|
||30,513<br>**30,513**<br>16,260<br>**16,260**|
||**46,773**<br>**46,773**|
||**113,820**<br>**113,820**|
||130,080<br>130,080|
|||



## **9(b). Tangible fixed assets** 

|**For the year ended 31 March 2024**|**Fixtures and fttings**<br>**£**<br>**Ofce and computer**<br>**equipment**<br>**£**<br>**Group & Charity**<br>**Total**<br>**£**|
|---|---|
|**Cost**<br>At the start of the year<br>Additions in period<br>Disposals in period<br>At the end of the year<br>**Depreciation**<br>At the start of the year<br>Charge for the period<br>Depreciation on disposals<br>At the end of the year<br>**Net book value**<br>**At the end of the year**<br>At the start of the year|57,533<br>27,073<br>**84,606**<br>-<br>13,495<br>**13,495**<br>-<br>-<br>**-**|
||**57,533**<br>**40,568**<br>**98,101**|
||54,903<br>15,789<br>**70,692**<br>656<br>9,442<br>**10,098**<br>-<br>-<br>**-**|
||**55,559**<br>**25,231**<br>**80,790**|
||**1,974**<br>**15,337**<br>**17,311**|
||2,630<br>11,284<br>13,914|



**Annual report** 2023–24 

**70** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **10. Investments** 

|**10. Investments**||
|---|---|
||**Group**<br>**2024**<br>**£**<br>**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|**Market value at 31 March 2023/December 2021**<br>Disposals<br>Dividends and interest reinvested<br>Investment management fees deducted from portfolio<br>Realised gain/(loss)<br>Unrealised loss<br>Market value as at 31 March|154,643,333<br>192,170,307<br>(16,880,533)<br>(23,946,418)<br>4,879,028<br>5,671,337<br>(394,596)<br>(610,192)<br>27,052,172<br>(9,533,746)<br>(18,412,857)<br>(9,107,955)|
||**150,886,547**<br>**154,643,333**|



Listed and unlisted investments at the year-end consist of amounts invested with Goldman Sachs for the Youth Endowment Fund. Impetus holds a £1 investment in PEF Trading Limited. 

||**Group**<br>**2024**<br>**£**<br>**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|
|Cash and cash equivalents<br>Fixed income bonds<br>Global equities|40,416,776<br>12,537,093<br>76,941,701<br>89,100,396<br>33,528,070<br>53,005,844|
||**150,886,547**<br>**154,643,333**|



## **11. Debtors** 

|**11. Debtors**||
|---|---|
||**Group**<br>**2024**<br>**£**<br>**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**<br>**Charity**<br>**2024**<br>**£**<br>**Charity**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|Accrued income<br>Gift Aid<br>Amount due from subsidiary charity<br>Other debtors<br>Prepayments|**485,110**<br>1,273,562<br>**130,000**<br>236,879<br>**186,119**<br>73,531<br>**186,119**<br>73,531<br>**-**<br>-<br>**297,980**<br>253,442<br>**56,352**<br>53,066<br>**56,352**<br>53,066<br>**244,956**<br>225,912<br>**173,262**<br>153,012|
||**972,537**<br>1,626,071<br>**843,713**<br>769,930|



**Annual report** 2023–24 

**71** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **12. Creditors: amounts due within one year** 

||**Group**<br>**2024**<br>**£**<br>**Group**<br>**15 months ended**<br>**31 March 2023**<br>**£**<br>**Charity**<br>**2024**<br>**£**<br>**Charity**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|---|---|
|Trade and other creditors<br>Tax and social security<br>Accruals and deferred income|**5,582,974**<br>659,654<br>**23**<br>77,106<br>**210,071**<br>174,335<br>**210,071**<br>174,335<br>**500,203**<br>356,412<br>**315,632**<br>146,076|
||**6,293,248**<br>1,190,401<br>**525,726**<br>397,517|



## **13. Analysis of net assets between funds** 

|**13. Analysis of net assets between funds**||
|---|---|
|Note for the current year|**Restricted funds**<br>**£**<br>**Unrestricted funds**<br>**£**<br>**Total 2024**<br>**£**|
|**Group**<br>Tangible and intangible fxed assets<br>Investments<br>Net current assets/(liabilities)|113,820<br>17,311<br>**131,131**<br>150,886,547<br>-<br>**150,886,547**<br>(249,395)<br>7,856,157<br>**7,606,762**|
||**150,750,972**<br>**7,873,468**<br>**158,624,440**|
|||
||**Restricted funds**<br>**£**<br>**Unrestricted funds**<br>**£**<br>**Total 2024**<br>**£**|
|**Charity**<br>Tangible and intangible fxed assets<br>Investments<br>Net current assets|-<br>17,311<br>**17,311**<br>-<br>1<br>**1**<br>442,741<br>7,856,153<br>**8,298,894**|
||**442,741**<br>**7,873,465**<br>**8,316,206**|
|||
|Note for the prior year|**Restricted funds**<br>**£**<br>**Unrestricted funds**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|**Group**<br>Tangible and intangible fxed assets<br>Investments<br>Net current assets|£<br>130,080<br>13,914<br>**143,994**<br>154,643,333<br>**-**<br>**154,643,333**<br>7,267,653<br>8,032,465<br>**15,300,118**|
||**162,041,066**<br>**8,046,379**<br>**170,087,445**|
|||
||**Restricted funds**<br>**£**<br>**Unrestricted funds**<br>**£**<br>**15 months ended**<br>**31 March 2023**<br>**£**|
|**Charity**<br>Tangible and intangible fxed assets<br>Investments<br>Net current assets|-<br>13,914<br>**13,914**<br>-<br>1<br>**1**<br>602,965<br>8,032,464<br>**8,635,429**|
||**602,965**<br>**8,046,379**<br>**8,649,344**|



**Annual report** 2023–24 

**72** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **14. Movements in Funds Group** 


**----- Start of picture text -----**<br>
At the   Income  Expenditure  Net gains/  Transfer  At the<br>start of the   £ £ (losses) on  between   end of the<br>period  investments  funds  period<br>£  £ £ £<br>Restricted funds<br>Portfolio charities - 2,200,488 (2,200,488) - - -<br>- - - -<br>Engage Fund 350,000 (350,000)<br>Connect Fund 377,086 683,673 (830,905) - - 229,854<br>- - -<br>Youth Jobs Gap 166,418 (12,992) 153,426<br>- - - -<br>Covid Response Fund 59,461 59,461<br>Restricted funds 602,965 3,234,161 (3,394,385) - - 442,741<br>-<br>Unrestricted general funds 8,046,379 8,207,314 (8,414,135) 33,907 7,873,465<br>-<br>Total Charity funds 8,649,344 11,441,475 (11,808,520) 33,907 8,316,206<br>Youth Endowment Fund restricted funds<br>Endowed Funds: Home Office 156,939,358 4,911,629 (22,347,210) 8,639,315 (33,907) 148,109,185<br>Centre of Excellence 2,901,089 - (1,247,090) - - 1,653,999<br>#iwill - 601,202 (601,202) - - -<br>-<br>Co-operative 62,349 500,000 (540,980) 21,369<br>Comic Relief 1,473,145 100,000 (1,298,145) - 275,000<br>Focused Deterrence - 1,000,000 (1,000,000) - -<br>Trauma Informed - 1,591,373 (1,591,373) - -<br>- - -<br>Violence Against Women and Girls 573,396 (573,396)<br>National Police Chiefs' Council - 14,992 (14,992) - -<br>- -<br>Arts Council England 37,500 37,500 (75,000)<br>- - -<br>Youth Futures Foundation (YFF) 24,660 (24,660)<br>- - -<br>YFF: Summer Jobs 17,538 (17,538)<br>Children in Need - 666,668 (417,992) - 248,676<br>General YEF funds - 750,829 (750,829) - - -<br>Total YEF restricted funds 161,438,101 10,765,127 (30,500,407) 8,639,315 (33,907) 150,308,229<br>-<br>Total group funds 170,087,445 22,206,602 (42,308,927) 8,639,315 158,624,435<br>Summary by type of fund<br>- -<br>Charity restricted funds 602,965 3,234,161 (3,394,385) 442,741<br>YEF restricted funds 161,438,101 10,765,127 (30,500,407) 8,639,315 (33,907) 150,308,229<br>Total restricted funds 162,041,066 13,999,288 (33,894,792) 8,639,315 (33,907) 150,750,970<br>-<br>Unrestricted general funds 8,046,379 8,207,314 (8,414,135) 33,907 7,873,465<br>-<br>Total group funds 170,087,445 22,206,602 (42,308,927) 8,639,315 158,624,435<br>**----- End of picture text -----**<br>


**Annual report** 2023–24 

**73** 



## **Notes to the Financial Statements For the year ended 31 March 2024** 

|**Note for the prior year Group**|**At the**<br>**start of the**<br>**period**<br>**£**<br>**Income**<br>**£**<br>**Expenditure**<br>**£**<br>**Net gains/**<br>**(losses) on**<br>**investments**<br>**£**<br>**Transfer**<br>**between**<br>**Funds**<br>**£**<br>**At the**<br>**end of the**<br>**period**<br>**£**|
|---|---|
|**Restricted funds**<br>Portfolio charities<br>Engage Fund<br>Connect Fund<br>Youth Jobs Gap<br>Covid Response Fund<br>**Restricted funds**<br>**Unrestricted general funds**<br>**Total Charity funds**<br>**Youth Endowment Fund restricted funds**<br>Home Ofce grant<br>Centre of Excellence grant<br>#iwill and Co-operative grants<br>Comic Relief<br>Focused Deterrence<br>Trauma Informed<br>Violence Against Women and Girls<br>Department for Culture, Media and Sports<br>National Police Chiefs’ Council – County Lines<br>Arts Council England<br>Youth Futures Foundation<br>General YEF funds<br>**Total YEF restricted funds**<br>**Total group funds**<br>**Summary by type of fund**<br>Charity restricted funds<br>YEF restricted funds<br>**Total restricted funds**<br>**Unrestricted general funds**<br>**Total group funds**|-<br>2,093,805<br>(2,093,805)<br>-<br>-<br>**-**<br>-<br>380,000<br>(380,000)<br>-<br>-<br>**-**<br>505,768<br>518,660<br>(647,342)<br>-<br>-<br>377,086<br>-<br>180,518<br>(14,100)<br>-<br>-<br>166,418<br>59,461<br>-<br>-<br>-<br>-<br>59,461|
||565,229<br>3,172,983<br>(3,135,247)<br>-<br>-<br>602,965<br>**7,623,634**<br>**8,724,679**<br>**(8,396,024)**<br>**-**<br>**94,090**<br>**8,046,379**|
||**8,188,863**<br>**11,897,662**<br>**(11,531,271)**<br>**-**<br>**94,090**<br>**8,649,344**|
||191,135,651<br>5,688,700<br>(21,149,202)<br>(18,641,701)<br>(94,090)<br>**156,939,358**<br>4,041,098<br>-<br>(1,140,009)<br>-<br>-<br>**2,901,089**<br>446,888<br>1,662,500<br>(2,047,039)<br>-<br>-<br>**62,349**<br>-<br>5,687,525<br>(4,214,380)<br>-<br>-<br>**1,473,145**<br>-<br>500,000<br>(500,000)<br>-<br>-<br>**-**<br>-<br>139,590<br>(139,590)<br>-<br>-<br>**-**<br>-<br>407,446<br>(407,446)<br>-<br>-<br>**-**<br>-<br>161,493<br>(161,493)<br>-<br>-<br>**-**<br>-<br>10,008<br>(10,008)<br>-<br>-<br>**-**<br>-<br>37,500<br>-<br>-<br>-<br>**37,500**<br>-<br>24,660<br>-<br>-<br>-<br>**24,660**<br>(12,475)<br>944,155<br>(931,680)<br>-<br>-<br>**-**|
||**195,611,162**<br>**15,263,577 (30,700,847)**<br>**(18,641,701)**<br>**(94,090)**<br>**161,438,101**|
||**203,800,025**<br>**27,161,239**<br>**(42,232,118)**<br>**(18,641,701)**<br>**-**<br>**170,087,445**|
||565,229<br>3,172,983<br>(3,135,247)<br>-<br>-<br>602,965<br>195,611,162<br>15,263,577<br>(30,700,847)<br>(18,641,701)<br>(94,090)<br>161,438,101|
||**196,176,391**<br>**18,436,560 (33,836,094)**<br>**(18,641,701)**<br>**(94,090)**<br>**162,041,066**<br>**7,623,634**<br>**8,724,679**<br>**(8,396,024)**<br>**-**<br>**94,090**<br>**8,046,379**|
||**203,800,025**<br>**27,161,239**<br>**(42,232,118)**<br>**(18,641,701)**<br>**-**<br>**170,087,445**|



**Annual report** 2023–24 

**74** 



## **Notes to the Financial Statements For the year ended 31 March 2024** 

|**Note for the current year**<br>**Charity**|**At the start of**<br>**the year**<br>**£**<br>**Income**<br>**£**<br>**Expenditure**<br>**£**<br>**Transfer**<br>**between Funds**<br>**£**<br>**£**|
|---|---|
|**Charity funds**<br>**Restricted funds**<br>Portfolio charities<br>Engage Fund<br>Connect Fund<br>Youth Jobs Gap 2<br>Covid Response Fund<br>**Unrestricted funds**<br>Unrestricted general funds<br>**Total Charity funds**|-<br>2,200,488<br>(2,200,488)<br>-<br>-<br>-<br>350,000<br>(350,000)<br>-<br>-<br>377,086<br>683,673<br>(830,905)<br>-<br>**229,854**<br>166,418<br>-<br>(12,992)<br>**153,426**<br>59,461<br>-<br>-<br>-<br>**59,461**|
||**602,965**<br>**3,234,161**<br>**(3,394,385)**<br>**-**<br>**442,741**<br>8,046,379<br>8,241,221<br>(8,414,135)<br>-<br>**7,873,465**|
||**8,649,344**<br>**11,475,382**<br>**(11,808,520)**<br>**-**<br>**8,316,206**|
|||
|**Note for the prior year**<br>**Charity**|**At the start of**<br>**the year**<br>**£**<br>**Income**<br>**£**<br>**Expenditure**<br>**£**<br>**Transfer**<br>**between Funds**<br>**£**<br>**£**|
|**Charity funds**<br>**Restricted funds**<br>Portfolio charities<br>Engage Fund<br>Connect Fund<br>Youth Jobs Gap 2<br>Covid Response Fund<br>**Unrestricted funds**<br>Unrestricted general funds<br>**Total Charity funds**|-<br>2,093,805<br>(2,093,805)<br>-<br>-<br>-<br>380,000<br>(380,000)<br>-<br>-<br>505,768<br>518,660<br>(647,342)<br>-<br>**377,086**<br>-<br>180,518<br>(14,100)<br>**166,418**<br>59,461<br>-<br>-<br>-<br>**59,461**|
||**565,229**<br>**3,172,983**<br>**(3,135,247)**<br>**-**<br>**602,965**<br>7,672,371<br>8,770,032<br>(8,396,024)<br>-<br>**8,046,379**|
||**8,237,600**<br>**11,943,015**<br>**(11,531,271)**<br>**-**<br>**8,649,344**|



**Annual report** 2023–24 

**75** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **Purposes of restricted funds** 

Portfolio charities: Impetus receives donations for specific domain areas, charities and for specific expenditure. These are treated as restricted donations with appropriate expenditure allocated against them. 

Engage Fund: Impetus receives donations to support its work with partners in the school exclusions domain. These are treated as restricted donations with appropriate expenditure allocated against them. 

Connect Fund: Impetus receives donations for its fund focussed on race equity work and its leadership academy. These are treated as restricted donations with appropriate expenditure allocated against them. 

Covid Response Fund: Impetus carried out a campaign at the height of the Covid-19 pandemic to provide additional assistance to our portfolio charities adversely affected by the pandemic. 

Youth Jobs Gap 2: funding secured to build on our Youth Jobs Gap research series, with another set of reports and a dissemination strategy, including an interactive digital tool so the data can be effectively used by decision makers and practitioners. 

Youth Endowment Fund: the grant from the Home Office and investment returns from it are used to fund interventions to prevent children and young people from getting caught up in crime and violence by making sure that those at most risk get the best possible support. 

Youth Endowment Fund: supplementary funding secured in support of the YEF is used to support and fund interventions to prevent children and young people from getting caught up in crime and violence by making sure that those at most risk get the best possible support. 

Centre of Excellence Fund: The Youth Endowment Fund received an additional restricted grant from the Home Office in 2020 to create a ‘Centre of Excellence’. 

Supplementary income includes the #iwill and Co-op funds, formed in a joint partnership with YEF to create The Peer Action Collective (PAC). Together, the partners are investing £5.2 million to build a network of peer researchers to study the experience of youth violence and turn the learning into opportunities for young people to make their community a safer, fairer place. 

## **Purposes of unrestricted funds** 

Unrestricted general funds of £7,873,465 (2023 – £8,046,379) will be used to support a significant proportion of conditional grant commitments made to charities of £4,188,500 (2023 – £2,271,250) as per Note 4. 

**Annual report** 2023–24 

**76** 



**Notes to the Financial Statements For the year ended 31 March 2024** 

## **15. Members’ liability** 

Impetus is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. The charity has no parent or ultimate holding company. 

## **16. Operating lease commitments** 

At 31 March 2024, the charity had commitments under operating leases of: 


**----- Start of picture text -----**<br>
Buildings  Equipment  2024 Total  Buildings  Equipment  2023 Total<br>£ £ £ £ £ £<br>**----- End of picture text -----**<br>


|**Impetus**<br>Due within one year<br>Two to fve years<br>**Youth Endowment Fund**<br>Due within one year<br>Two to fve years<br>**Total group**|111,188<br>1,766<br>112,954<br>151,597<br>1,766<br>153,363<br>-<br>3,091<br>3,091<br>-<br>1,766<br>1,766|
|---|---|
||111,188<br>4,857<br>116,045<br>151,597<br>3,532<br>155,129<br>247,500<br>-<br>247,500<br>171,000<br>-<br>171,000<br>189,000<br>-<br>189,000<br>-|
||436,500<br>-<br>436,500<br>171,000<br>-<br>171,000|
||**547,688**<br>**4,857**<br>**552,545**<br>**322,597**<br>**3,532**<br>**326,129**|



## **17. Related party transactions** 

Amounts donated to Impetus by its Trustees are disclosed in Note 2a. 

Impetus has consolidated a subsidiary, PEF Trading Limited, in the Group financial statements. Note 6 discloses Impetus’ investment in this subsidiary and the subsidiary’s results to 31 March 2024. 

Impetus pays salary and other costs on behalf of the Youth Endowment Fund which it recharges to the restricted fund at cost. It also charges the Youth Endowment Fund for time spent by Impetus staff on YEF matters, including capacity building. Amounts totalling £3,413,187 (2023: £3,457,931) were charged by Impetus to the Youth Endowment Fund during 2024. As at the 31 March 2024 the Youth Endowment Fund owed amounts totalling £297,980 (2023: £253,442) to Impetus. 

There are no other related party transactions which require disclosure in the financial statements. 

**Annual report** 2023–24 

**77** 



## **Impetus** 

Registered office: 1st Floor, Golden Cross House, 8 Duncannon Street, London, WC2N 4JF 

Impetus.org.uk @ImpetusUK info@impetus.org.uk 

© Impetus – The Private Equity Foundation 2022 All rights reserved Company number 08460519 Registered charity number 1152262