ARMED FORCES PARLIAMENTARY TRUST
REPORT OF THE TRUSTEES AND UNAUDITED ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
Registered Charity Number
1159312
ARMED FORCES PARLIAMENTARY TRUST
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| Page | |
|---|---|
| Legal and administrative information | 3 |
| Report of the Trustees | 4 |
| Report of the Independent Examiner | 6 |
| Statement of financial activities | 7 |
| Balance sheet | 8 |
| Notes to the accounts | 9 |
| Detailed statement of financial activities | 14 |
ARMED FORCES PARLIAMENTARY TRUST
LEGAL AND ADMINISTRATIVE INFORMATION
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
Trustees Mr John Robert Macara Gardner James Whiteside Gray MP (Chairman) Sir Bill Jeffrey KCB Mr Bob Keen (resigned 3 November 2020) The Baroness Hodgson of Abinger CBE (appointed 3 November 2020) The Lord Lee of Trafford DL (resigned 3 November 2020) Air Vice-Marshal Hon David Paul Murray CVO OBE The Lord Rogan Colonel Robert Alexander Stewart DSO MP The Right Honourable The Baroness Stuart of Edgbaston Mr William Thomas Tew (appointed 3 November 2020) Colonel Sir Neil Gordon Thorne OBE TD DL (Life President)
Address House of Commons London SW1A 0AA Registered charity number 1159312 Independent examiner Jonathan Wilkes FCA Bankers Barclays Bank Leicester LE87 2BB
3
ARMED FORCES PARLIAMENTARY TRUST
REPORT OF THE TRUSTEES
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
The Trustees present their report with the financial statements of the charity for the year ended 30 November 2020. The Trustees have adopted the provisions of Financial Reporting Standard 102 Statement of Reporting Practice (FRS 102 SORP) and the Charities Act 2011 in preparing the annual report and financial statements of the charity.
OBJECTIVES & ACTIVITIES
Objects
The advancement of education for the public benefit in the operation and work of Her Majesty's Armed Forces principally through the medium of the Armed Forces Parliamentary Scheme.
Summary of main activities
The Armed Forces Parliamentary Trust runs the Armed Forces Parliamentary Scheme which offers educational visits to bases and units of all three armed services - Royal Navy, Army and Royal Air Force - the purpose of which is to inform participants about the operation and work of Her Majesty's Armed Forces. We confirm the trustees have had regard to the Charity Commission's guidance on public benefit.
Achievements and performance
12 students graduated from the Armed Forces Parliamentary Scheme 2019-20 and 3 from the Royal College of Defence Studies 2019-20.
Reserves policy
The Reserves Policy is to hold a sum equivalent to twelve months' average expenditure. At 20 November 2020, reserves were £76,285, against expenditure for the 12 months of £76,609.
SPONSORSHIP INCOME
The activities of the Trust are funded principally by sponsorship from industry. The trustees are very grateful to the sponsors of the 2019-20 scheme: Airbus Operations UK, Babcock International, BAE Systems, DXC Technology, General Dynamics UK, Leonardo UK, Lockheed Martin UK, QinetiQ, Raytheon UK and RollsRoyce.
Sponsors enter into a rolling annual Sponsorship Agreement, which has the nature of a corporate social responsibility donation, with the aim being better education of parliamentarians about defence matters, and expressly excludes any lobbying activities.
The trustees have adopted the policy of recognising sponsorship in the scheme year to which it relates. If sponsorship has been pledged but not yet remitted at the balance sheet date, and where the sponsor has indicated its intention to remit the funds, the amount is recognised as a receivable, though the trustees acknowledge that due to the voluntary nature of the sponsorship such a debtor is not legally enforceable.
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ARMED FORCES PARLIAMENTARY TRUST
REPORT OF THE TRUSTEES
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
CORONAVIRUS PANDEMIC
Impact on activities
The coronavirus pandemic and consequent government control measures have resulted in the charity having to restrict activity on the Armed Forces Parliamentary Scheme 2019-20 but with the addition of virtual visits and briefings (via Zoom and Microsoft Teams).
The trustees have assessed the ability of the charity to continue its activities in future. The Armed Forces Parliamentary Scheme for 2020-21 will recommence fully as soon as the pandemic recedes and when government restrictions allow.
Impact on fundraising
The charity has not experienced any reduction in sponsorship as a result of the coronavirus pandemic.
Financial sustainability and going concern
Whilst the trustees recognise that there are a great number of national concerns and uncertainties due to the coronavirus pandemic, they do not consider there to be any serious financial uncertainties regarding the charity’s financial sustainability and consider therefore that the financial statements of the charity for the year ended 30 November 2020 shall be prepared on the going concern basis.
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…...............................................................
James Gray MP
Chairman
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Date: 28 September 2021
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ARMED FORCES PARLIAMENTARY TRUST
REPORT OF THE INDEPENDENT EXAMINER
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
I report on the accounts for the year ended 30 November 2020 which comprise the Statement of Financial Activities, the Balance Sheet and the related notes.
Respective responsibilities of trustees and examiner
The charity's trustees are responsible for the preparation of the accounts. The trustees consider that an audit is not required for this year under s.144(2) of the Charities Act 2011 (the “2011Act”) and that an independent examination is needed.
Having satisfied myself that the charity is not subject to audit under charity law and is eligible for independent examination, it is my responsibility to:
-
examine the accounts under s.145 of the 2011 Act;
-
follow procedures laid down in the General Directions given by the Charity Commission under s.145(5)(b) of
-
the 2011Act; and
-
state whether particular matters have come to my attention.
Basis of independent examiner's report
My examination was carried out in accordance with the general directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures do not provide all the evidence that would be required in an audit, and consequently no opinion is given as to whether the accounts present a "true and fair" view and the report is limited to those matters set out in the statement below.
Independent examiner's statement
In connection with my examination, no matter has come to my attention:
(1) which gives me reasonable cause to believe that in any material respect the requirements:
-
to keep accounting records in accordance with s.130of the 2011 Act;
-
to prepare accounts which accord with the accounting records and comply with the accounting requirements of
-
the 2011Act have not been met; or
(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached, other than the following:
Sponsorship revenues committed by a single sponsor totalling £10,000 as at 30 November 2020 remain unpaid at the date of this report. The sponsor has reaffirmed its commitment to pay, so the trustees consider the outstanding sponsorship to be recoverable.
…............................................................... Jonathan Wilkes FCA
Independent Examiner
Date: 28 September 2021
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ARMED FORCES PARLIAMENTARY TRUST
STATEMENT OF FINANCIAL ACTIVITIES
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| Notes Income and endowments from: Donations and legacies 3 Other trading activities 4 Total Expenditure on: Other 5 Total Net gains on investments Net income Net income before other gains / (losses) Other gains and losses: Net movement in funds Reconcilliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted funds 2020 £ 95,000 (476) 94,524 73,609 73,609 - 20,915 20,915 - 20,915 58,178 79,093 |
Total funds 2020 £ 95,000 (476) 94,524 73,609 73,609 - 20,915 20,915 - 20,915 58,178 79,093 |
Total funds 2019 £ 90,000 (34,038) |
|---|---|---|---|
| 55,962 64,438 |
|||
| 64,438 - |
|||
| (8,476) | |||
| (8,476) - |
|||
| (8,476) 66,654 |
|||
| 58,178 |
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ARMED FORCES PARLIAMENTARY TRUST
BALANCE SHEET
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| Fixed assets Tangible assets Current assets Debtors 7 Cash at bank and in hand Liabilities Creditors falling due within one year 8 Net current assets Net assets The funds of the charity Restricted funds Unrestricted funds |
2020 £ 2,808 15,000 65,605 80,605 (4,320) 76,285 79,093 - 79,093 79,093 |
2019 £ - 30,000 30,678 |
|---|---|---|
| 60,678 (2,500) |
||
| 58,178 | ||
| 58,178 | ||
| - 58,178 |
||
| 58,178 |
The financial statements on pages 7 - 14 were approved by the Trustees and signed on their behalf by:
…............................................................... James Gray MP Chairman
Date: 28 September 2021
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ARMED FORCES PARLIAMENTARY TRUST
NOTES TO THE ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
1 Accounting policies
Basis of preparation
The financial statements have been prepared in accordance with: SORP (FRS 102): 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), issued in October 2019; the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102); and the Charities Act 2011.
Change in basis of accounting or to previous accounts
There has been no change to the accounting policies (valuation rules and method of accounting) since last year and no changes have been made to accounts for previous years.
Fund accounting
| Fund accounting | |
|---|---|
| Unrestricted funds | These are available for use at the discretion of the trustees in furtherance of the |
| general objects of the charity. | |
| Restricted funds | These are available for use subject to restrictions imposed by the donor or through |
| terms of an appeal. | |
| Income | |
| Recognition of | Income is induded in the Statement of Financial Activities (SoFA) when the |
| income | charity becomes entitled to, and virtually certain to receive, the income and the |
| amount of the income can be measured with sufficient reliability. | |
| Income with related | Where income has related expenditure the income and related expenditure is |
| expenditure | reported gross in the SoFA. |
| Donations and | Voluntary income received by way of grants, donations and gifts is included in the |
| legacies | the SoFA when receivable and only when the Charity has unconditional |
| entitlement to the income. | |
| Tax reclaims on | Income from tax reclaims is included in the SoFA at the same time as the |
| donations and gifts | gift/donation to which it relates. |
| Donated services | These are only included in income (with an equivalent amount in expenditure) |
| and facilities | where the benefit to the Charity is reasonably quantifiable, measurable and |
| material. | |
| Volunteer help | The value of any volunteer help received is not included in the accounts. |
| Investment income | This is included in the accounts when receivable. |
| Gains/(losses) on | This includes any gain or loss resulting from revaluing investments to market |
| revaluation of fixed | value at the end of the year. |
| assets | |
| Gains/(losses) on | This includes any gain or loss on the sale of investments. |
| investment assets |
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ARMED FORCES PARLIAMENTARY TRUST
NOTES TO THE ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
Expenditure
| Expenditure | |
|---|---|
| Recognition of | Expenditure is recognised on a cash basis. Expenditure includes any VAT which |
| expenditure | cannot be fully recovered, and is reported as part of the expenditure to which it |
| relates. | |
| Expenditure on | These comprise the costs associated with attracting voluntary income, fundraising |
| raising funds | trading costs and investment management costs. |
| Expenditure on | These comprise the costs incurred by the Charity in the delivery of its activities |
| charitable activities | and services in the furtherance of its objects, including the making of grants and |
| governance costs. | |
| Grants payable | All grant expenditure is accounted for on an actual paid basis plus an accrual for |
| grants that have been approved by the trustees at the end of the year but not yet | |
| paid. | |
| Governance costs | These include those costs associated with meeting the constitutional and statutory |
| requirements of the Charity, including any audit/independent examination fees, | |
| costs linked to the strategic management of the Charity, together with a share of | |
| other administration costs. | |
| Other expenditure | These are support costs not allocated to a particular activity. |
Taxation
The charity is exempt from tax on its charitable activities.
Trade and other debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Sponsorship amounts receivable are recognised at the amount pledged but not yet remitted. Prepayments are valued at the amount prepaid net of any trade discounts due.
Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits with banks and other shortterm highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities. In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the company's cash management.
Trade and other creditors
Short term creditors are measured at the transaction price. Other creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
Pension costs
The charity operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the charity pays fixed contributions into a separate entity. Once the contributions have been paid the charity has no further payments obligations. The contributions are recognised as expenses when they fall due. Amounts not paid are shown in accruals in the balance sheet. The assets of the plan are held separately from the charity in independently administered funds.
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ARMED FORCES PARLIAMENTARY TRUST
NOTES TO THE ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| 2 Statement of Financial Activities - prior year Income and endowments from: Donations and legacies Total Expenditure on: Raising funds Other Total Net income Net income before other gains / (losses) Other gains and losses: Net movement in funds Reconcilliation of funds: Total funds brought forward Total funds carried forward 3 Income from donations and legacies 4 Income from other trading activities Costs of generating funds: Events |
Unrestricted 2020 £ 95,000 95,000 Unrestricted 2020 £ (476) (476) |
Unrestricted funds 2019 £ 90,000 90,000 34,038 64,438 98,476 (8,476) (8,476) - (8,476) 66,654 58,178 Total 2020 £ 95,000 95,000 Total 2020 £ (476) (476) |
Total funds 2019 £ 90,000 |
|---|---|---|---|
| 90,000 34,038 64,438 |
|||
| 98,476 | |||
| (8,476) | |||
| (8,476) - |
|||
| (8,476) 66,654 |
|||
| 58,178 | |||
| Total 2019 £ 90,000 |
|||
| 90,000 | |||
| Total 2019 £ (34,038) |
|||
| (34,038) |
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ARMED FORCES PARLIAMENTARY TRUST
NOTES TO THE ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| 5 Other expenditure Employee costs Travelling expenses General administrative costs 6 Staff costs Salaries and wages 7 Debtors Sponsorship receivable 8 Creditors: Amounts falling due within one year Other creditors 9 Movement in funds At 21 November Incoming resources (including other gains/losses) 2019 £ £ Restricted funds: - - Unrestricted funds: General funds 58,178 95,000 Total funds 58,178 95,000 |
Unrestricted 2020 £ 64,487 1,935 7,187 73,609 62,929 62,929 Resources expended £ - (74,085) (74,085) |
Total 2020 £ 64,487 1,935 7,187 73,609 62,929 62,929 2020 £ 15,000 15,000 2020 £ 4,020 4,020 Gross transfers £ - - - |
Total 2019 £ 59,681 633 4,124 |
|---|---|---|---|
| 64,438 | |||
| 54,665 | |||
| 54,665 | |||
| 2019 £ 30,000 |
|||
| 30,000 | |||
| 2019 £ 2,500 |
|||
| 2,500 | |||
| At 20 November 2020 £ - 79,093 |
|||
| 79,093 |
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ARMED FORCES PARLIAMENTARY TRUST
NOTES TO THE ACCOUNTS
FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| 10 Analysis of net assets between funds Net current assets |
Unrestricted funds £ 79,093 79,093 |
Total £ 79,093 |
|---|---|---|
| 79,093 |
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ARMED FORCES PARLIAMENTARY TRUST
DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE PERIOD FROM 21 NOVEMBER 2019 TO 30 NOVEMBER 2020
| Income and endowments from: Donations and legacies Other trading activities Costs of generating funds: events Total income and endowments Expenditure on: Employee costs Salaries and wages Staff welfare Travelling General administrative costs, including depreciation and amortisation Stationery and printing Professional fees Sundry expenses Depreciation of tangible assets Total expenditure of other costs Total expenditure Net gains on investments Net income Net income before other gains / (losses) Other gains Net movement in funds |
Unrestricted funds 2020 £ 95,000 95,000 (476) (476) 94,524 62,929 1,558 64,487 1,935 1,935 310 5,815 265 797 7,187 73,609 73,609 - 20,915 20,915 - 20,915 |
Total funds 2020 £ 95,000 95,000 (476) (476) 94,524 62,929 1,558 64,487 1,935 1,935 310 5,815 265 797 7,187 73,609 73,609 - 20,915 20,915 - 20,915 |
Total funds 2019 £ 90,000 |
|---|---|---|---|
| 90,000 | |||
| (34,038) | |||
| (34,038) | |||
| 55,962 54,665 5,016 |
|||
| 59,681 | |||
| 633 | |||
| 633 | |||
| 1,393 288 2,443 - |
|||
| 4,124 | |||
| 64,438 | |||
| 64,438 - |
|||
| (8,476) | |||
| (8,476) - |
|||
| (8,476) |
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