## **ARMED FORCES PARLIAMENTARY TRUST**
## **REPORT OF THE TRUSTEES AND UNAUDITED ACCOUNTS**
**FOR THE YEAR ENDED 30 NOVEMBER 2023**
**Registered Charity Number**
1159312
**ARMED FORCES PARLIAMENTARY TRUST**
## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 NOVEMBER 2023**
||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 YEAR ENDED 30 NOVEMBER 2023**
**Trustees** Stephen John Doughty MP James Whiteside Gray MP (Chairman) Jeremy Justin Greaves Lt Gen Sir Andrew Gregory KBE CB DL Baroness Hodgson of Abinger CBE Thomas McKane Baroness Smith of Newnham The Right Honourable Colonel Robert Alexander Stewart DSO MP William Thomas Tew **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 YEAR ENDED 30 NOVEMBER 2023**
The Trustees present their report with the financial statements of the charity for the year ended 30 November 2023. 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 His 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 and additionally for the first time, an intermediate Strategic Command course - the purpose of which is to inform participants about the operation and work of, and life in, His Majesty's Armed Forces.
We confirm the trustees have had regard to the Charity Commission's guidance on public benefit.
## **Achievements and performance**
35 students graduated from the Armed Forces Parliamentary Scheme 2022-23 and 4 from the Royal College of Defence Studies 2022-23.
## **FINANCIAL REVIEW**
## **Financial position**
Sponsorship income in the year ended 30 November 2023 was £120,000 (2022: £120,000) and our total expenditure was £114,146 (2022: £110,959), resulting in a net surplus of £5,854 for the year (2022: £9,041).
## **Reserves policy**
The Reserves Policy is to hold a sum equivalent to twelve months' average overheads. At 30 November 2023, reserves were £137,676 against overheads for the preceding 12 months of £75,837.
## **Principal risks and uncertainties**
The trustees have considered the effect of the current economic environment, in particular inflation, rising energy prices and the cost-of-living crisis, on the operation of the charity. Whilst there will be some upward pressure on the expenses of the charity, exposure to energy costs is not significant. There is sufficient flexibility in the cost base, in particular in relation to discretionary spend within events, which when combined with the surplus reserve position, ensures that the charity can continue its activities at the present level.
4
## **ARMED FORCES PARLIAMENTARY TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 NOVEMBER 2023**
## **SPONSORSHIP INCOME**
The activities of the Trust are funded principally by sponsorship from industry. The trustees are very grateful to the sponsors of the 2022-23 scheme: Airbus Operations UK, Babcock International, BAE Systems, Boeing Defence UK, DXC Technology, Elbit Systems, General Dynamics UK, Leonardo UK, Lockheed Martin UK, QinetiQ, Raytheon UK and Rolls-Royce.
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.
…............................................................... James Gray Chairman
Date: 20 September 2024
5
## **ARMED FORCES PARLIAMENTARY TRUST**
## **REPORT OF THE INDEPENDENT EXAMINER FOR THE YEAR ENDED 30 NOVEMBER 2023**
I report to the trustees on my examination of the accounts of the Armed Forces Parliamentary Trust for the year ended 30 November 2023.
## **Responsibilities and basis of report**
As the charity trustees of the Trust 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 Trust’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**
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:
1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
2. the accounts do not accord with those records; or
3. 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.
…............................................................... Jonathan Wilkes FCA Independent Examiner
Date: 20 September 2024
6
## **ARMED FORCES PARLIAMENTARY TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 NOVEMBER 2023**
|**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**
**2023**
**£**
120,000
(38,309)
81,691
75,837
75,837
-
5,854
5,854
-
5,854
131,822
**137,676**|**Total funds**
**2023**
**£**
120,000
(38,309)
81,691
75,837
75,837
-
5,854
5,854
-
5,854
131,822
**137,676**|**Total funds**
**2022**
**£**
120,000
(40,228)|
|---|---|---|---|
||||79,772
70,731|
||||70,731
-|
||||9,041|
||||9,041
-|
||||9,041
122,781|
||||**131,822**|
7
## **ARMED FORCES PARLIAMENTARY TRUST**
## **BALANCE SHEET**
## **FOR THE YEAR ENDED 30 NOVEMBER 2023**
|**Fixed assets**
Tangible assets
**Current assets**
Debtors (Sponsorship receivable)
7
Other debtors
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|**2023**
**£**
1,557
40,000
146
98,588
138,734
(2,615)
136,119
**137,676**
-
137,676
**137,676**|**2022**
**£**
654
30,000
146
104,977|
|---|---|---|
|||135,123
(3,955)|
|||131,168|
|||**131,822**|
|||-
131,822|
|||**131,822**|
The financial statements on pages 6 - 13 were approved by the Trustees and signed on their behalf by:
…............................................................... James Gray Chairman
Date: 20 September 2024
8
## **ARMED FORCES PARLIAMENTARY TRUST**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 NOVEMBER 2023**
## **1 Accounting policies**
## **Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), 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**
|**Income**||
|---|---|
|Recognition of|Income is included 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||
9
## **ARMED FORCES PARLIAMENTARY TRUST**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30 NOVEMBER 2023**
## **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.
10
## **ARMED FORCES PARLIAMENTARY TRUST**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 NOVEMBER 2023**
|**2**
**Statement of Financial Activities - prior year**
**Income and endowments from:**
Donations and legacies
**Total**
**Expenditure on:**
Cost of charitable activities
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**
Cost of charitable activities
Events|**Unrestricted**
**2023**
**£**
120,000
120,000
**Unrestricted**
**2023**
**£**
(38,309)
(38,309)|**Unrestricted**
**funds**
**2022**
**£**
120,000
120,000
40,228
70,731
110,959
9,041
9,041
-
9,041
122,781
**131,822**
**Total**
**2023**
**£**
120,000
120,000
**Total**
**2023**
**£**
(38,309)
(38,309)|**Total funds**
**2022**
**£**
120,000|
|---|---|---|---|
||||120,000
40,228
70,731|
||||110,959|
||||9,041|
||||9,041
-|
||||9,041
122,781|
||||**131,822**|
||||**Total**
**2022**
**£**
120,000|
||||120,000|
||||**Total**
**2022**
**£**
(40,228)|
||||(40,228)|
11
## **ARMED FORCES PARLIAMENTARY TRUST**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 NOVEMBER 2023**
## **5 Other expenditure**
|**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**
Trade creditors
Accruals and other creditors
**9**
**Movement in funds**
**At 21**
**November**
**Incoming**
**resources**
**(including**
**other**
**gains/losses)**
**2022**
**£**
**£**
**Restricted funds:**
-
-
**Unrestricted funds:**
General funds
131,822
120,000
**Total funds**
**131,822**
**120,000**|**Unrestricted**
**2023**
**£**
67,424
704
7,709
75,837
67,424
67,424
**Resources**
**expended**
**£**
-
(114,146)
**(114,146)**|**Total**
**2023**
**£**
67,424
704
7,709
75,837
67,424
67,424
**2023**
**£**
40,000
40,000
**2023**
**£**
400
2,215
2,615
**Gross**
**transfers**
**£**
-
-
**-**|**Total**
**2022**
**£**
62,485
942
7,304|
||||70,731|
||||62,485|
||||62,485|
||||**2022**
**£**
30,000|
||||30,000|
||||**2022**
**£**
2,100
1,855|
||||3,955|
||||**At 20**
**November**
**2023**
**£**
-
137,676|
||||**137,676**|
12
## **ARMED FORCES PARLIAMENTARY TRUST**
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30 NOVEMBER 2023**
|**10**
**Analysis of net assets between funds**
Net current assets|**Unrestricted**
**funds**
**£**
137,676
**137,676**|**Total**
**£**
137,676|
|---|---|---|
|||**137,676**|
13
## **ARMED FORCES PARLIAMENTARY TRUST**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 NOVEMBER 2023**
|**Income and endowments from:**
Donations and legacies
Other trading activities
Cost of charitable activities
**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**
**2023**
**£**
120,000
120,000
(38,309)
(38,309)
**81,691**
67,187
237
67,424
704
704
1,050
4,670
1,120
869
7,709
**75,837**
**75,837**
-
5,854
5,854
-
**5,854**|**Total funds**
**2023**
**£**
120,000
120,000
(38,309)
(38,309)
**81,691**
67,187
237
67,424
704
704
1,050
4,670
1,120
869
7,709
**75,837**
**75,837**
-
5,854
5,854
-
**5,854**|**Total funds**
**2022**
**£**
120,000|
|---|---|---|---|
||||120,000|
||||(40,228)|
||||(40,228)|
||||**79,772**
62,485
-|
||||62,485|
||||942|
||||942|
||||835
4,737
281
1,451|
||||7,304|
||||**70,731**|
||||**70,731**
-|
||||9,041|
||||9,041
-|
||||**9,041**|
14