Charity number: 1159070
ALTAJIR TRUST
TRUSTEES’ REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
ALTAJIR TRUST
CONTENTS
| Legal and Administrative Information | 1 |
|---|---|
| Report of the Trustees | 2 - 6 |
| Independent Examiner’s Report | 7 |
| Statement of Financial Activities | 8 |
| Balance Sheet | 9 |
| Notes to the Financial Statements | 10-16 |
ALTAJIR TRUST
LEGAL AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31 DECEMBER 2020
| Trustees | Professor Alan Jones |
|---|---|
| Professor Roger Williams C.B.E., M.D., F.R.C.P. (deceased July | |
| 2020) | |
| Professor Charles Tripp | |
| Dr Noel Brehony C.M.G. | |
| Director | Richard Muir C.M.G. |
| Charity registered number | 1159070 |
| Principal office | 11 Elvaston Place |
| London | |
| SW7 5QG | |
| Independent examiner | Amy Healey FCA CTA DChA |
| Lindeyer Francis Ferguson Limited | |
| Chartered Accountants | |
| North House | |
| 198 High Street | |
| Tonbridge | |
| Kent TN9 1BE | |
| Bankers | Emirates NBD |
| Emirates NBD House | |
| 25 Knightsbridge | |
| London | |
| SW1X 7LY | |
| Barclays Bank PLC Private Bank | |
| 1 Churchill Place | |
| London | |
| E14 5HP | |
| Solicitors | Taylor Wessing |
| 5 New Street Square | |
| London EC4A 3TW |
Page 1
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020
ALTAJIR TRUST
The Trustees present their annual report together with the financial statements of Altajir Trust (“the charity” or “the Trust”) for the year ended 31 December 2020. The Trustees confirm that the annual report and financial statements of the charity comply with the current statutory requirements, the requirements of the charity's governing document and the provisions of “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (effective 1 January 2019) (Charities SORP (FRS 102)). The Legal and Administrative information on page 1 forms part of this report.
Structure, governance and management
The Trust is a Charitable Incorporated Organisation (“CIO”) incorporated on 4 November 2014 (registered charity number 1159070). It was formed to convert an unincorporated charity of the same name (registered charity number 284116, now dissolved) to CIO status. The original Trust was founded by His Excellency Mohamed Mahdi AI Tajir (“the Founder”) and the CIO continues to be financed through his and his family’s charitable donations. The Trust does not actively raise funds. It seeks to continue philanthropic work through the careful management of the resources made available by the Founder and his family.
The Board of Trustees, who meet quarterly, administer the charity. A Director, appointed by the Trustees, runs the day-to-day operations of the charity, subject to the approval of the Trustees. The Trustees receive no remuneration or benefits and have no related party connections with the charity.
The Trustees are appointed by the Board of Trustees. The Trust Deed provides for a minimum of three Trustees and a maximum of twelve. The induction process for newly appointed Trustees includes a full briefing from the Director on the Trust's objectives and activities, a meeting with the Chairman and the provision of documentation including the Trust Deed, past annual reports and accounts and a copy of the Charity Commission guidance 'The Essential Trustee'.
At the quarterly Trustees' meetings the Trustees agree the broad strategy and areas of activity of the Trust including grant making and scholarships; they also review the cash flow against identified future requirements and consider risk management and overall performance against objectives. The day to day administration of grants and scholarships and the processing and handling of applications prior to consideration by the trustees is delegated to the Director and the Administrator.
Richard Muir C.M.G. remained Director on a salaried part time basis.
The pay and remuneration for the two salaried staff are set by benchmarking with similar small charities. Annual pay adjustments are made with the approval of the trustees using the State Pension as a marker.
Objectives and activities
The object of the CIO is, for the public benefit, the advancement of education in Britain or in any of the Arab states or Islamic states for needy young people and adults, with a particular but not exclusive emphasis on subjects of relevance to the Arab states or Islamic states and the publication of books in English and Arabic furthering the understanding of the history and religions of those states.
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ALTAJIR TRUST
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020
The focus of the Trust's activities is currently on the following broad objectives for the public benefit:
-
funding institutions, exhibitions and other events as well as publications and lectures to make aspects of Islamic culture and history better known to a wider audience in the United Kingdom and in the Middle East;
-
supporting charitable institutions providing educational assistance and health care to deprived communities in the Levant;
-
contributing through grants to the cost of conservation of Islamic artefacts and manuscripts in the United Kingdom and to assisting conservation in Muslim countries; and
-
providing scholarships to students from the Arab world to study at British universities before returning to their own countries.
In carrying out these activities the Trust has itself organised conferences and published and distributed a number of books. It has otherwise sought to pursue its objectives through grants to, and partnerships with, other institutions. In recent years these have included the Ashmolean Museum, Asia House, the British Museum, the Council for British Research in the Levant, Mosaik Education, the Royal Institute for International Affairs (Chatham House), St John of Jerusalem Eye Hospital and Stirling University.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit.
Grant-making policy
The Trustees invite applications from existing and other potential partner institutions through direct contact and through the Trust's website. Details of how to apply for grants can be downloaded from the website. The trustees accept scholarship nominations from selected partner institutions.
The Trustees review applications for grants and scholarships at their quarterly meetings against the Trust's current aims and in light of the projected availability of funds. Grants and scholarships, once made, are kept under regular review against a three year forward plan and through dialogue with partner institutions to ensure the efficient and effective use of the grants for the purposes for which they were made. The Trust's criteria for the provision of its direct scholarships are that: recipients should normally be of Arab nationality, resident in an Arab country and intending to return there; courses should generally be one year taught masters degrees and should be of clear benefit to the recipient's home country; applicants should hold acceptance from a British university. Scholarships are conditional on the applicant obtaining a visa to enter Britain. The Trustees aim to review applications annually and make grants on an annual basis with priority given to students under 25 years of age.
Achievements and performance
The Trust continued to operate after the onset of the covid pandemic in March 2020 with staff working largely from home, visiting the office when necessary. The grant and educational programmes continued although the latter at a slightly lower level than in previous years. Trustees met remotely by Zoom in July and November; the scheduled May meeting was replaced by circulation of a memorandum from the Director.
The Trust made five grants during the year consistent with its aims and objectives and taking full account of Charity Commission guidelines.
Page 3
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020
ALTAJIR TRUST
During the period the Trust through its Educational Programme of directly funded scholarships again acted as official financial sponsor for the fees and living costs for students from Arab countries, although on a still reduced basis. The covid pandemic continued to create uncertainties including about the access of overseas students to UK courses for the academic year 2020/21. Three students were supported during the year at first degree level. One student was supported on a maintenance only basis until the summer break and another from November until year end; both were on taught masters degree courses.
The direct expenditure on core charitable activities, made under the following headings, amounted to:
| £ | |
|---|---|
| Grants for projects | 18,452 |
| Student support | 93,870 |
| Events and publications | 146 |
All of us, Trustees and staff, acknowledge the vital and generous funding for all our activities by His Excellency Mohamed Mahdi AI Tajir and his family.
Financial review
The Trust acknowledges with thanks the Donor's generous funding of its activities. Total donations of £286,000 (2019: £292,000) were received in the period. Total expenditure for grants made, student fees and maintenance and operating costs was £260,220 (2019: £306,745). Funds carried forward were £131,901 (2019: £105,540).
Reserves policy
Charity Commission guidance requires trustees to consider the need for a charity to maintain reserves. Free reserves are defined as funds which are neither restricted nor designated and which are not tied up in fixed assets necessary for operations - these are reflected in the charity's general reserve. The general reserve provides a degree of protection to the charity in the event of downturn in income or unexpected additional expenditure. The Trustees have approved a policy to maintain the general reserve at approximately 3 months' operating costs which is about £100,000. At the year-end free reserves amounted to £131,901. The Trustees will again balance expenditure against donations over 2021 to maintain the reserves level at about £100,000. The aim is to hold this amount in addition to a provision for budgeted expenditure in the following quarter.
Risk management
Risks and uncertainties facing the charity have been identified with the following plans and strategies to manage them:
-
Inability of scholars to complete their educational programmes: careful assessment of each candidate’s qualifications including ability in English language and of their proposed course of study before the Trust’s agreement to act as official financial sponsor; monitoring of the scholar’s progress through to completion of the educational programme.
-
Misuse of grants to organisations: use of standard form as the basis for examination of grant applications followed by discussion with applicant organisations before grants are recommended to trustees for decision; monitoring of the use of grants through close dialogue with grant recipients; assessment before and after of value for money of the project funded.
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ALTAJIR TRUST
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020
- Matching income from donations with expenditure: close financial monitoring through full monthly review of the financial position against annual budget including income from donations and other sources, actual and forecast expenditure, including a five year lease commitment (2017-2022) and other contingent liabilities; supplemented when necessary with additional weekly reviews. Early warning to trustees of any impending shortfall or surplus with recommended action including use of reserves. The budgetary position is reviewed at each trustees meeting, held a minimum of three times a year and when necessary is discussed with the Donor. This is increasingly important with the possible impact from March 2020 and for the duration of the Covid-19 pandemic on the Donor’s ability to provide funds in a timely way.
Plans for the future periods
The Trustees hope to secure necessary funding to cover fees and maintenance costs for a resumed directly funded scholarship programme for the academic year 2021/22 and beyond at the rate of up to around 12 students per academic year under existing criteria and with the focus returning to one year taught masters’ degrees. Whether this will be possible will depend on the situation in British universities and surrounding overseas students’ travel to the UK during the Covid-19 pandemic as well as on the availability of funds from the Donor; there is consequently a probability of delay until 2022/23. The Trustees will also seek, within the availability of funds from the Donor during the Covid-19 pandemic, to maintain a programme of grants at a similar level to previous years and under the same criteria, which are subject to regular review. Both grant and scholarship programmes will take full account of Charity Commission guidelines.
Trustees' responsibilities statement
The Trustees 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).
The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity 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; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Page 5
ALTAJIR TRUST
TRUSTEES’ REPORT FOR THE YEAR ENDED 31 DECEMBER 2020
This report was approved by the Board of Trustees on …………………………………. and signed on their behalf by:
…………………………..
Professor Alan Jones Chairman
Page 6
ALTAJIR TRUST
INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEES OF ALTAJIR TRUST
Independent examiner’s report to the trustees of Altajir Trust
I report to the trustees on my examination of the accounts of the Charitable Incorporated Organisation (‘the CIO’) for the year ended 31 December 2020.
Responsibilities and basis of report
As the charity trustees of the CIO you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the CIO’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
Since the CIO’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I a member of the Institute of Chartered Accountants in England & Wales, which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
accounting records were not kept in respect of the CIO as required by section 130 of the Act; or
-
the accounts do not accord with those records; or
-
the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
……………………………………..
Amy Healey FCA CTA DChA Lindeyer Francis Ferguson Limited Chartered Accountants North House 198 High Street Tonbridge Kent TN9 1BE
Dated: ……………………………………….
Page 7
ALTAJIR TRUST
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020
| Notes Income from: Donations Charitable activities Total income Expenditure on: Charitable activities 2 Total expenditure Net income/(expenditure) and net movement in funds 7 Reconciliation of funds: Total funds brought forward Total funds carried forward 11 |
2020 Total funds £ 286,000 581 286,581 260,220 260,220 26,361 105,540 131,901 |
2019 Total funds £ 292,000 1,411 |
|---|---|---|
| 293,411 | ||
| 306,745 | ||
| 306,745 | ||
| ( 13,334) | ||
| 118,874 | ||
| 105,540 |
There were no restricted or endowment funds in the current or preceding period.
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ALTAJIR TRUST
BALANCE SHEET AS AT 31 DECEMBER 2020
| Notes Fixed assets Tangible assets 8 Current assets Stock of publications Debtors 9 Cash at bank and in hand Creditors: amounts falling due within one year 10 Net current assets Net assets Charity funds Unrestricted funds 11 |
£ £ - 6,934 17,425 117,338 141,697 ( 9,796) 131,901 131,901 131,901 2020 |
£ £ - 6,961 18,287 99,303 124,551 ( 19,011) 105,540 105,540 105,540 2019 |
£ £ - 6,961 18,287 99,303 124,551 ( 19,011) 105,540 105,540 105,540 2019 |
|---|---|---|---|
| 105,540 | |||
| 105,540 |
The financial statements were approved by the Board of Trustees on …................. and signed on their behalf by:
…..................................... …..................................... Professor Alan Jones Professor Charles Tripp Chairman Trustee
Page 9
ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
1 Accounting policies
1.1 Basis of preparation
The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) ("Charities SORP FRS 102"), the Financial Reporting Standard applicable in the UK and Republic of Ireland ("FRS 102") and the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
The accounts are presented in pounds sterling and rounded to the nearest pound.
The trustees have considered the effects of the global pandemic Covid-19 in assessing the charity's ability to continue as a going concern. As noted in the Trustees' report, the charity's scholarship programme may have to be delayed until 2021/22 due to travel restrictions, but the grants programme is expected to be maintained. The charity remains dependent on funds being made available by the Donor in a timely way but there has so far been no effect on funding during the Covid19 pandemic. The trustees therefore expect the charity to be able to continue and the accounts are consequently prepared on a going concern basis.
There are no significant areas of judgement or estimation uncertainty.
1.2 Income
Donations are recognised when the charity has entitlement to the funds, the receipt is probable and the amount can be reliably measured. This is usually on receipt.
1.3 Expenditure
General
Expenditure is recognised when a present legal or constructive obligation exists at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefits will be required to settle the obligation, and the amount can be measured or estimated reliably.
Grants payable
Grants payable are payments made to third parties in the furtherance of the charitable objectives of the Trust. The grants are accounted for where either the trustees have agreed to pay the grant without condition and the recipient has a reasonable expectation that they will receive a grant, or any condition attaching to the grant is outside the control of the Trust.
Charitable activities
The Trustees have identified three main charitable activities: grant making, student support and events and publications. Support costs have been allocated on the basis of direct costs (including grants payable) attributable to each activity.
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ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
1 Accounting policies continued
1.3 Expenditure (continued)
Governance costs
Governance costs are included in support costs and are directly associated with the general running of the charity as opposed to the direct functions inherent in managing charitable activities.
VAT
The Trust is VAT registered. Irrecoverable VAT is charged against the category of resources expended for which it was incurred.
1.4 Operating leases
Rentals payable under operating leases are charged to the statement of financial activities on a straight line basis over the lease term.
1.5 Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost less depreciation. Depreciation is provided at rates calculated to write off the cost less estimated realisable value of each asset over its expected useful life, as follows:
Fixtures, fittings and equipment 20% on cost Office equipment 25% on the reducing balance Computer equipment 25% on cost
1.6 Stock
Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
1.7 Financial instruments
The charity only has financial instruments which are classified as basic financial instruments. Shortterm debtors and creditors are measured at the settlement value. Any losses from impairment are recognised in the Statement of Financial Activities.
1.8 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
1.9 Status
Altajir Trust is a charitable incorporated organisation (CIO) registered with the Charity Commission in England and Wales. Its registered address is 11 Elvaston Place, London, SW7 5QG.
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ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
2 Charitable activities
| Grant making Student support Events and publications |
2020 Grants £ 18,452 - - 18,452 |
2020 Direct costs £ - 93,870 146 94,016 |
2020 Support costs £ 24,241 123,319 192 147,752 |
2020 Total £ 42,693 217,189 338 260,220 |
2019 Total £ 82,731 222,861 1,153 |
|---|---|---|---|---|---|
| 306,745 |
3 Grants paid
| Council for British Research in the Levant The British Museum Columbia University - Gulf 2000 University of Stirling University of St Andrews University of Oxford - Ashmolean Asia House V & A Museum St John of Jerusalem Mosaik Education Other grants to institutions Direct costs Publications Bookselling expenses Stock adjustment Student maintenance Student fees |
2020 £ - - 952 2,500 - - - 5,000 5,000 5,000 - 18,452 2020 £ 47 119 ( 20) 35,760 58,110 94,016 |
2019 £ 8,000 10,000 3,837 2,500 5,000 5,000 5,000 - - - 1,000 |
|---|---|---|
| 40,337 | ||
| 2019 £ 211 411 ( 60) 35,510 73,150 |
||
| 109,222 |
4 Direct costs
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ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
5 Support costs
| Wages and salaries National insurance Payroll costs Travel and entertaining Premises costs Office costs Subscriptions Bank charges Insurance Sundry expenses Professional fees Governance costs: Independent examination fees |
2020 £ 77,997 4,290 619 544 55,804 1,250 315 140 508 44 2,751 3,490 147,752 |
2019 £ 77,349 5,237 601 3,063 57,813 1,907 415 125 497 171 6,681 3,327 |
|---|---|---|
| 157,186 |
6 Staff costs
| Wages and salaries Social security costs |
2020 £ 77,997 4,290 82,287 |
2019 £ 77,349 5,237 |
|---|---|---|
| 82,586 |
The average number of employees during the year was 2 (2019: 2). No member of staff earned over £60,000 per annum in the period or the previous year.
None of the Trustees received any remuneration in the period. No travel expenses were reimbursed to trustees during the year (2019: One trustee reimbursed £179). Expenditure of £Nil was incurred by the charity in respect of delivery costs for three trustees (2019: £46).
Key management personnel are considered to be the trustees and the director. The remuneration of key management personnel during the year was £47,824 (2019: £50,374).
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ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
7 Net income/(expenditure)
| This is stated after charging: Independent examination fees (including irrecoverable VAT) 8 Tangible fixed assets Fixtures & fittings Office equipment Cost At 1 January 2020 14,556 8,607 At 31 December 2020 14,556 8,607 Depreciation At 1 January 2020 14,556 8,607 At 31 December 2020 14,556 8,607 Net book value At 31 December 2020 - - At 31 December 2019 - - 9 Debtors Trade debtors Other debtors Prepayments and accrued income |
2020 £ 3,490 Computer equipment 3,060 3,060 3,060 3,060 - - 2020 £ 103 3 17,319 17,425 |
2019 £ 3,327 |
|---|---|---|
| Total 26,223 |
||
| 26,223 | ||
| 26,223 | ||
| 26,223 | ||
| - | ||
| - | ||
| 2019 £ 300 7 17,980 |
||
| 18,287 |
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ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
10 Creditors: amounts falling due within one year
| Accruals Grants payable Other taxation and social security Statement of funds Brought forward Incoming resources Current year £ £ General funds 105,540 286,581 Total unrestricted funds 105,540 286,581 Brought forward Incoming resources Prior year £ £ General funds 118,874 293,411 Total unrestricted funds 118,874 293,411 The general reserve represents the free reserves of the charity. |
2020 £ 7,088 - 2,708 9,796 Resources expended £ ( 260,220) ( 260,220) Resources expended £ ( 306,745) ( 306,745) |
2019 £ 6,333 10,000 2,678 |
|---|---|---|
| 19,011 | ||
| Carried forward £ 131,901 |
||
| 131,901 | ||
| Carried forward £ 105,540 |
||
| 105,540 |
11 Statement of funds
Page 15
ALTAJIR TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020
12 Operating lease commitments
At 31 December 2020 the charity was committed to making the following payments under noncancellable operating leases:
| cancellable operating leases: | ||
|---|---|---|
| 2020 | 2019 | |
| £ | £ | |
| Buildings: | ||
| Payable not later than one year | 43,425 | 43,425 |
| Payable later than one year not later than five years | 27,840 | 71,265 |
13 Related party transactions
There were no related party transactions in the year (2019: £nil).
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