Annex B16a to Minute 1356108124 (49 pages) Transport Benevolent Fund (CIO) known as TBF A registered charity in England and Wales (1160901) and in Scotland (SC047016) Report and financial statements For the year ended 31 March 2024 Transport Benevolent Fund {ClO) Report for the year ended 31 March 2024 Contents Page Reference and administrative information Trustees, annual report Independent auditors, report 26 Statement of financial activities (incorporating an income and expenditure account) 30 Balance sheet 31 Statement of cash flows 32 Notes to the financial statements 33 Transport Benevolent Fund (CIO) Reference and Administrative Details of the Charity, its Trustees and Advisors For the year ended 31 March 2024 1. Name of charlty Transport Benevolent Fund CIO. Known as TBF. 2. Charfty Reglstratlon A reglstered charlty fn England and Wales (1160901) and in Scotland (SC0470161 3. Address Suite 2,7, The Loom, 14 Gowers Walk, LONDON, E18PY Telephone: e-mail: Webslte 0300 333 2000 (Office) hel tbf.or www.tbf.or 4. Trustees Rob Jones lan Wilson Ravlnder Kaur Kalsl Peter Sloan Mlchael Keane Simon Barry Toll Nlcole Marie Elgram Stephen Dadswell Sharon Hllley Delroy White Chalr Vlce-chalr Ire51gned on 11.08.2023) {resi8ned on 31,01.2024) 5. Prlnclpal Offlcer Rob Jones, Chalr. Mr Jones, as an elected trustee, remains the Managlng Director of stagecoach Manchester. He Is advised and assisted by John Sheehy (CEO), Vicky Jennings (Secretary) and Shaun Hearn (Buslness Manager), who are employee5 of the charlty. Transport Benevolent Fund (CIO) Reference and Administrative Detai15 of the Charity, its Trustees and Advisors For the year ended 31 March 2024 6. Other relevant organisatlon5 Solicitors Taylor Rose MW 104 South End, South Croydon, CRO 1 DQ T C Young Melrose House, 69A George Street, Edinburgh, EH2 2JG Custodian Trustees Pershing Securitles Capstan House, One Clove Crescent, London, E14 2BH (investments for the main unrestrlcted fund) Flske PLC 100 Wood Street, London, EC2V 7AN (investments for the TfL Staff Welfare Fund) Investment Managers Castlefleld Investment Partners LLP 9th Floor, 111 Piccadilly, Manchester, M12HY {main unrestrlcted fund) Fleldings Investment Management 100 Wood Street, London, EC2V 7AN ITfL Staff Welfare Fund) Bankers Unity Trust Bank plc Nlne Brindleyplace, Blrmlngham, B12HB (current account for the main unrestricted fund) CAF Bank Ltd 25 Kings Hill Avenue, Kings Hlll, West Malllng, ME19 4JQ (current account for the TfL Staff Welfare Fund) CCLA (COIF Charity Funds) One Angel Lane, London, EC4R 3AB (investment house used for placing part of the reserve account for the main, unrestricted, fund) Accountants and Auditors Goldwins Limited 75 Maygrove Road, London, NW6 2EG Transport Benevolent Fund (CIO) Reference and Administrative Details of the Charity, its Trustees and Advisors For the year ended 31 March 2024 7. Patrons Patrons are not involved In the administration of the Charity but lend their support by maklng known their endorsement of its aims. In order of appointment, the present Patrons are; Peter, Lord Hendy of Richmond Hlll, Chair, Network Rail Mlck Whelan, General Secretary, ASLEF Graham Vidler, Chief Executlve, CPT UK Michael Lynch, General Secretary, RMT Lucy D'orsl, Chlef Constable, British Transport Pollce Jacqueline Starr, Chlef Executive Officer, Rail Delivery Group Ralph Roberts, Chief Executive Officer, McGill's Buse5 Andy Lord, Commissioner of Transport for London Martln Dean, Managing Director, UK Reglonal Bus, Go-Ahead Group Ray O'Toole, Executive Chairman, Stagecoach Group Graham Sutherland, CEO, Flrst Group plc Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 The trustees present their report and financial statements for the year ended 31 March 2024 and confirm that the financial statements comply with current statutory requirements, the constitution granted by the Charity Commission in March 2015 and the Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with Charities SORP IFRS 102). Objectives and activities Objectlves The object of the charity Is the relief of need, hardship and distress among beneficiaries and their dependants. For the purposes of thls clause; 'Beneficiary' mean5 a person who is or has at any time been employed or engaged in any way in a business concerned wholly or partly with the provision of any form of public transport either within or to or from any part of Great Britain who is accepted by the Trustees as bein8 for the time being entitled to conslderation for rellef. 'Dependant' means a person who is for the time being wholly or partly dependant for support on the beneficiary in relation to whom he is described as a dependant or if that beneficiary Is dead was so dependant at the time of the beneficiary's death. The Constltutlon provldes for the Trustees to make Rules for the regulatlon of the charity, and, under these, they have determined that - other than in exceptional clrcumstances - at present only Fund Members and thelr dependants shall be eligible for rellef from the maln {unrestrictedl fund. The Rules define the term Fund Member. There is no qualiflcation for the classes of person specified by Transport for London as being eligible for relief from the TfL Staff Welfare Fund. Actlvltles To help beneficiaries and dependants by: Making cash grants to relleve short-term hardship; Slgnposting members on wherelhow to obtain advlce on debt related issues and, where necessary, enabling them to enter into arrangements whlch will relieve their burden; Helping with the cost of equipment required in order to ensure the malntenance of a reasonable standard of Ilvfng. Makin8 available complementary medical treatments; Helping wlth the cost of medlcal consultations where there Is a long wait on the NHS; Helping towards the cost of scans and tests where there is a long walt on the NHS or these will help ensure the continued employment of beneflciaries or relleve stress on thelr dependants; Providing legal help (except, normally, on employment matters and conveyancing). Helping with the cost of mobillty equipment not generally ava5lable from the state. Helping towards the cost of convalescence, recuperation or respite care; Helping towards the cost of prescription pre-payment certificates; (For TfL Staff Welfare Fund employed beneficiaries only) providing loans repayable from salary. In all cases these activities are at the discretion of the trustees. Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Public Benefit The Charities Act 2011 provides that charities must show they provide publlc benefit through their activities. We have concluded that TBF is indeed providing public beneflt. Charltie5 must show that they have charltable purposes. TBF has these because it exists for the relief of need, hardship or distress among those engaged lor previously engaged) In the public transport industry and thelr dependants. This relief falls within the categories of: • The prevention or relief of poverty; • The advancement of health or the saving of lives. • The relief of those In need by reason of youth, age, ill-health, disabSlltyi flnancial hardship or other dlsadvantage. 2. Charities must show that they have provided identifiable beneflt or benefits. This means that: It must be clear what the benefits are. • The benefits must be related to the aims; Beneflts must be balanced agalnst any detriment or harm. All benefits dlsbursed by TBF are to meet one of the charitable purposes set out above, which accord wlth the alms of the Constltutlon. Whlle all benefits are granted at the dSscretion of the Trustees, there Is no doubt what these are or how they relate to the relief of need, hardshlp or dlstre5s. We do not believe that any of our actlvities could be sald to cause detriment or harm to the publlc. 3. Charltles must ensure that beneflt Is to the publlc, or to a sectlon of the publlc. To achleve thi5: • The beneflclarfes must be approprlate to the alm5; Where benefit is to a section of the public, the opportunlty to beneflt must not be unreasonably restrlcted by geographical or other ability to pay any fees charged; • People in poverty must not be excluded from the opportunlty to benefit; • Any private beneflts must be incidental. Our beneficlarles are appropriate to our aims. We restrfict membership by only allowing those engaged in the publlc transport industry within Great Brltaln to Joln, which the Charity Tribunal has agreed lon a reference from the Attorney General relating to occupational benevolent funds In generall to be within the realm of public benefit. We do not know how many such workers there are in Great Brltain, but it is hundreds of thousands - a significant proportion of the public. We welcome everyone In the industry who accepts our Rules and do not believe that the weekly membership subscription of £1,25, is excessive, representing about half the cost of a cup of coffee In a typical outlet. We do not require members to pay their membership subscriptions if they are sufferlng short-term hardship and not drawing sufficient pay and we do not require subscriptions so missed to be made up. We provide free membership for those who retire from work with a minimum length of membership, and we grant free membership to those who have been contributing for five years while working in the industry if they are permanently medically unfit to work again. We believe that the minimum membership qualifications to enable access to free membership are reasonable. The only private benefits are those paid to Trustees who, in accordance with the Constitution, are eligible for benefit on the same basis as other beneficiarie5. Transport Benevolent Fund {ClO) Report for the year ended 31 March 2024 Main aims for the year ended 31 March 2024 Our main aims for the year under review were to.. Continue to review the types of help we offer and to introduce any additions or changes we believed appropriate and desirable in the light of the resources available; Further extend our work throughout Ensland, Scotland and Wales, especially withSn the rail and alr Industry; Spend £2,891,000 on direct beneflts to beneficlaries; Increase paying membership to 63,500, with an average contrlbutlng membership of 61,000; Recover C912,000 in Glft Ald on contributlons; Ensure TBF was not adversely affected by bank or other business problems or by events in world stock markets by maintaining dlversity of investments and cash holdlngs; Attempt to increase the reserves of the maln fund and malntaln the value of the Staff Welfare Fund; Establlsh more Local Committees, with a target of 160; Increase spending on benefits by more than would be anticipated by the growth in membership and inflation, subject to resources; Continue to increase the diversity of the trustee board and ensure good governance; Monitor the actlons of the government in relation to Gift Aid, VAT and public expendlture cuts; Maintaln a strateglc cash reserve of between £450k and £500k to ensure good cash flow. Develop proposals for the future management of the charity. Strategies for achieving the main objectives for the year ended 31 Alarch 2024.. Active Involvement of members {through thelr representatlves} In determinlng the relevance of beneflts and possible extensions; Wide dissemination of publicity; Contlnued face-to.face recruitment of members to increase membership as planned; Obtaln agreement from significant transport operators for TBF to have access to staff and, If possible, payblll deduction facllities; Encourage and help facilitate employers who see membershlp as a benefit and offer to pay their employees, membership subscription under employer paid. Review staffing regularly to ensure it met the needs of the charity and its members. Establish additional Local Committees and gain more Patrons; Ensure maxlmisation of Gift Ald. Ensure that the Investment managers do everything possible to meet Investment objectlves. Seek additional trustees to add to the diversity of the board whilst retaining a proper balance of skills; Continued maintenance of significant cash reserves in case flnancial difficulties of others affect TBF; Work with our management consultants to ensure robust systems of control and management for the future. Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Activities undertaken to achieve main objectives for the year ended 31 March 2024." Dlstribution of publicity material with trade magazines. Regular communication with CIO members; Contact wlth employers to seek support and payroll deduction facilities including employer paid; Organisers recrultlng new members on planned public transport site vlslts; Additlonal employers agreed to pay thelr employees, membershlp subscription under employer paid., A flexible approach to office management, including all offlce staff being able to work from home, to ensure that help was available to beneflciaries and dependants to help them In accordance wlth the charity's objects to relleve need, hardship and distress as described more fully under activltles; Regular monitoring of cash reserves. Regular monltoring of investment returns. Regular monltorln8 of our recruitment efforts. Soclal Investment The trustees recognlse the requlrement to take Into account all relevant flnanclally material conslderatlons for the charlty assets and requires the Investment Managers to Implement and explaln how thls Is carried out. Dlscretlonary powers are delegated to them In relation to the management of the charlty's Investments, in accordance wlth the charlty's Constltution.The trustees require the Investment Managers to use their dlscretlon to engage with investee companies on matter5 relating to environmental, soclal and governance Issues, with the objectlve of enhancing returns or reduclns rlsk. Where the Investment Manager does not provlde an in-house custody servlce, he may Iwlth our consent) appolnt a corporate body or other sultable person to act as Custodlan to hold the investments as nomlnee of the charity in accordance wlth that Constltution. The medium to long-term intention Is that the charity should operate with the minimum practicable level of worklng capital. To this end, the Secretary is usually expected to place surplus cash for the main fund with the Investment Manager for investment. In the short to medium-term, however we have suspended this expectation because it is more important to have cash available in case of unpredictable external events. The Secretary can call on money from the Investment Manager to meet the immediate needs of the charity> but only when authorised to do so by us in accordance with their authority. We review the performance of the Investment Managers regularly and also take steps to satisfy ourselves that the Custodians remain able to act. It is within our powers to replace either the Investment Manager or the Custodian at any time with or without notice, but such changes will not be made without good reason. Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 For the present, the Investment Manager for the main fund is Castlefield Investment Partners LLP. Custodial services are provided by Pershing Securities Ltd. For the Staff Welfare Fund, the Investment Manager is Fieldings Investment Management and the custodian is Fiske PLC. We have considered the Investor Protection arrangements offered by the undertaklngs and consider them appropriate in all the clrcumstances, but the matter is kept under regular review. The Investment Managers have given satisfactory assurances about diversificatlon of both investment holdings and cash deposlts. The investment objective notifled to the Investment Managers Is to provide a total return at least equal to the specified benchmark allocated to each Investment Manager. By prior written agreement between the parties, other Indices may be substituted for all or part of the portfolio, The agreed dlstribution of the Investments is: Asset Class UK Shares Global Shares Fixed Interest Bonds Infrastructure & Pro ert Other Investments Mlnlmurn Ex 20% 20% 5% osure % Maxlmum Ex 50% 50% 25% 10% 20% osure % 0% Other assets belng defined as any type of asset, or class, which does not fall into the categorles defined above. Examples of this are, but not exclusive to, commodities> private equlty, structured products, hedge funds etc. The elements and proportlons may be varled as agreed In wrltlng wlth the Investment Manager from time to time. It is recognised that the percentages set out can only ever be approximate. It Is understood that the term 'UK Equities, may Include companies which derive all or part of their earnlngs from overseas actlvitie5. Conversely, 'Overseas Equlties, may include companies where all or part of the earnings are derlved from activitles wlthin the UK. The agreed overall risk profile of the investment funds Is considered by the Investment Managers to be 'moderate' and to provide an appropriate balance between fixed income and equity investments. The overall aim Is that each fund should grow on the basis set out in our Reserves Policy. There is presently no remit to elther Investment Manager to achleve any minimum level of Income. For the TfL Staff Welfare Fund, the aim is that the fund should grow at the rate of Retail Price Inflation. It Is intended that Income should be spent to meet the needs of beneflclaries and their dependants, with investments reallsed if necessary to meet those needs If they are not met from such income. Grant-making We only help beneficiaries and dependants and do not make any grants to institutlons or companies except in payment for services to our beneficiaries. Hardship grants are made where the beneficiary is able to demonstrate financial hardship which is not part of a long-term difficulty: we do not offer any continuing support by way of grants. Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Such hardship is most commonly caused by illness of working members, but it arfses in many other ways, and we are constantly vigilant to ensure that we do not seek to Tmpose our values on those who have fallen into difficulty. Sometimes help with managing debt or with embarking on the road to bankruptcy is of more benefit to the beneficiary than a cash grant. We provlde other services (and cash grants towards medlcal equipment) to our members because they need them and, In general, we do not seek to ascertain flnancial hardship except sometimes where help is sought beyond the normal Ilmits. The 1Smits imposed on most categories of help are not intended to be absolute, and help Is extended beyond these whenever necessary and within resources. We do not make loans, except to beneficiaries of the TfL Staff Welfare Fund who can demonstrate that they are In need, hardshlp or distress and that they are able to repay these through regular deductlon from thelr salary. The trustees have no general wlsh to make loans but agreed to contlnue them to TfL Staff Welfare Fund worklng beneficlarles as to do otherwise would have ellmlnated a facllity avallable to them at the time of transfer of the TfL Staff Welfare Fund. They have become a very useful addition to the range of help available to beneficlaries. London's Transport Choir We helped the cholr organlse events, for whlch we received £111 in donatlons from those attendlng. We value our relatTonshlp wlth the cholr, whlch performs a valuable servlce to the public transport communlty. Volunteers We pay trlbute to the help glven by those In the varlous companie5 who offer recrultment facilities, recrult new members, refer those In need, encourage membershlp or offer informal advice or help. It would be an unusual charlty which did not rely on support from those In a position to glve it whether local representative5, members of local committees, the retired activ5sts' committee, managers, trade unlon representatives or others. It is Impossible to quantify the value of these voluntary effort5, but without them, It would be much harder for the charity to reach its objectives. We place on record our slncere thanks to two retired members: Davfd Freeman, a community actlvist who leads discussions about the responsibilitie5 of trustees at board meetings, serves on the risk group. Mike Welch, a former Council member who attends the offlce regularly and devotes a good deal of time helping the charity. The trustees do not slgnlflcantly rely on volunteers to undertake TBF'S charitable or Income- generating activitles, relying malnly on the work carried out by the charity's pald employees. Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Achievements and Performance - Transport Benevolent Fund CIO The main indicators we use for assessment of performance are numbers of paying members and performance against budget (including income from subscriptions and Glft Aid and the various categories of expense51. We also monitor the level of reserves and of Investment performance against that achleved generally in the marketplace. Increased membership in Scotland. Total dlrect expenditure on benefits was [£312k] + [£315k] + [28k] + [80k] + [£14k] + [£1,891k] + [£7k] + [£5k] + [1 K] £2,653,000 (8%) below budget. Average membership was around 1000 below budget. The value of grants (primarily those associated with hardshlp, bereavement and includlng those for medical equipment was £655k. Expenditure was £187k below budget {22%). Expenditure on medical treatments and consultatlons was £1,891k, was on budget. The cost of servicing, insurlng and storing medlcal equipment was less than £1 k - this was under budget. Expendlture on convalescence, recuperation and resplte care was £94k. Thls was {24%1 below the budget provislon. Total spendlng other than directly on grants and services was £1,993k. Thls was 33k {1.5%) below budget. Membership Increased by 2,401 14%) to reach 61,170 at year-end, and thls was 2,330 below the target13.5%). Donations recelved totalled £5,881, whlch Included large donatlons from Inlt Innovations and the Rail Staff Awards and donations from the Rail Staff Carol Service, CILT Annual Dinner, M Goulder, Just Giving, Much Loved and the Transport for London Festlval of Carols. We recrulted 10,897 new members, which was 29% above target due to or8anlsers' havlng better access to sltes and the faclllty for members to join onllne. Expendlture on fundralslng was £1,137k, slightly up on the previous year. Travel costs for some of our organlsers did not Increase, thanks to the Rall Delivery Group provldlng free rall travel to visit public transport sites to demonstrate the beneflts of TBF membershlp to publfc transport workers. We received £898k by way of Gift Aid, which was 1.5% below budget and adding 22.0% to our contrlbutions income. There Is little scope to improve the ratio significantly, as the absolute maximum percentage achlevable would be 25% and that figure in practlce can never be achieved. Arrangements contlnued with several companles whereby contrlbutlons were met by the employer and 1638 members were being paid for by their employers at year-end. At £89k, investment income represented just 2% of Income. This was a useful sum, but not a major factor In our plans. We do not Intend to alter our pollcy from one of looking for growth In the value of our reserves rather than for income. For figures In [ ] please refer to note 5, ChGritoble Activlties on page 39. io Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Overall, income exceeded expenditure by £264k 15.5%). There was a net gain on the investment portfolio of £124k. Reserves increased by £388,000 to £5,896,000. Reserves amount to Just over one year's cover. Like all investors, we understand the global equities market has faced a lot of uncertainty, impacting returns. However, we have conveyed to the Investment Manager that we expect a better performance next year. Day-to.day investment decisions are taken by our Investment Managers in accordance with the authority granted under the Constitution and the terms of the agreed Investment policy. Thls provides for risks to be Ilmlted by a wide spread of investments In dlfferent types of stocks and both Investment Managers are required to use their discretion to engage with investee companies on matters relatlng to envlronmental, social and governance issues to enhance returns or reduce risk. We revlew performance quarterly and hold an annual discussion with the Managers, who are required to achieve a total return at least equal to the specific benchmark allocated to each Investment Manager. Where necessary land by prior written agreement between the partie5) other indices may be substituted for all or part of the portfolio. The retlred activlsts, forum contlnued to dlscuss the progress of the charity and to offer suggestions. The Chlef Executlve Offlcer and Secretary attended all meetlngs on our behalf. We re-afflrmed our belief that poor cash flow was likely to be among the greatest rlsks to the charityg elther because of bank failures or the possible difficulties of one or more major employers. The alm was always to retain free cash reserves of around between £450k and £500k. We malntaln contact wlth local representatlves by means of telephone and organlsers, vlslts. Overall, the number of Local Committees 144 wa5 below target of 160 at the year.end. We would like to see further improvements in member involvement. We worked closely w5th our IT provider and received good feedback from members about belng able to Joln onllne. We review our governance procedures regularly, to ensure not only that the charlty contlnued to be governed In accordance wlth best practlce, but also to ensure we complled wlth the ever-Increa5in8 requlrements of the varlous statutory and other bodies. li Transport Benevolent Fund {ClO) Report for the year ended 31 March 2024 Achievements and Performance - TfL Staff Welfare Fund The only income of the TfL Staff Welfare Fund is that derived from investments. The investment objectives, Indices and procedures are similar to those of the main fund, except that it is necessary not only to draw investment Income for the provision of grants and services, but potentially also to release part of the capltal appreciation. The aim is to maintaln the value of the TfL Staff Welfare Fund after taking into account inflation, and this was achieved, with investments increasing In value by £237k. There was an operational deficit of £68k mainly due to a large grant of £36k paid for 100 TfL employees to attend a course on reversing metabolic health problems. Therefore, the TfL Staff Welfare Fund's value Increased during the year from £1,743,000 to £1,912,000, The value of grants from the TfL Staff Welfare Fund was £104k. While we do not make loans from the main fund, we continue to make these to approprlate TfL etc. staff from the TfL Staff Welfare Fund where they were in need, hardshlp or distress. They are recovered direct from the employee's pay and much appreclated by them, as they are often looking for a short-term helping hand to get them back on their feet rather than a grant. There have been no slgnificant problems with the process involved, and there was a steady demand for loans, with £6k being made during the year. Flnancial Review The charlty's financlal position Is sound. Income exceeded expenditure during the year of the main TBF fund, and expenditure exceeded income during the year of the TfL Staff Welfare Fund. There were Increases In the value of investments in respect of both funds, leading to an Increase in the combined value of the funds by £557k. Cash flow was good, but we decided to continue holding a strategic cash reserve of between £450k and £500k as a precaution agalnst bank failures or any major employers ceasing for any reason to continue to collect contrlbutions on behalf of the charity. Usually, this money would be placed with the relevant investment manager. Still, we consider one of the more signlficant risks to the charity at present to be a shortage of cash rather than a fallure to invest to the maximum extent posslble. This pollcy will continue to be reviewed occasionally in light of world economic circumstances. It is the aim that, taking one year with another, income and expendlture should broadly equate after allowing for any intended increase in reserves. Our reserves are now £7,808,000, Including the TfL Staff Welfare Fund money, which Is held on restricted trust. TfL Staff Welfare Fund has no Income beyond investment returns, and Its reserves cannot be considered part of the general reserve. The trustees wish the general reserve to represent two years, expenditure cover. The present level does not meet the objective but is considered adequate. 12 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Exercise of control It is not practicable (nor desirable) for us to manage the charity on a day-to.day basis. For this, we appoint senior staff who advise us, implement our policies and decisions and refer issues to us where necessary. In turn, other staff report to these senior staff and take instruction from them. We exercise control through a document (titled 'Authorities'l, whlch we revlew regularly. This includes Ilmlts on individual benefits, controls over such items as accounting for assets, securing supplies and procedures whlch enable the Fund to be effectively managed without the need for us to constantly be involved in detail, provided the levels of authorlty granted are not exceeded. Durln8 the next year we intend to: Continue to review our benefits, relevance and adequacy and conslder any affordable addltions or changes we believe are appropriate and desirable. Improvements in benefits in the present economic cllmate may not be the chosen course of many organisations. Still, we believe it is appropriate to Increase help to beneflciaries and can be afforded given the level of reserves on which we may call upon. Further extend our work throughout England, Scotland and Wales. Increase paylng membership to 64, 500, with an average contributing membership of 63,000. We should like to see more arrangement5 where employers meet the cost of contrlbutlons for their staff but can see that thls wlll not be easy. Recover £944k from Glft Ald. Ensure that TBF is not adversely affected by bank or other business problems or events in world markets. We wlll ensure the diversity of our Investments and cash holdings to mlnlmlze the Impact of further downturns. Malntaln the value of the TfL Staff Welfare Fund after taklng Into account the effects of Inflation. Establlsh more Local Committees, with a target of a total of 150 by the year-end. Increase the sum spent on beneflts more than would be Indlcated by the growth In membershlp, Subject to need and re50urce5. Continue to increase the diverslty of the Trustee Board, Including further appolntments of those wlth a bus or alr background. Monltor the actlons of the government, to see what Impact these will have on Gift Aid, the VAT we have to pay (and cannot recover) and the effects of public expenditure cuts both on the Ilkely demands from beneflclarfes for help and on the numbers employed In the Industry. We expect to undertake much of the monitoring through the Association of Charity Officers (to whlch we are afflllated), but our beneflclarles have partlcular needs that are not necessarily common wlth those of other benevolent funds. Hold a strategic cash reserve of between £450k and E500k to ensure good cash flow. Continue to pay attention to our corporate governance and legislative requirements, to ensure that we remain well controlled and managed In Ilne wfth good practice. Continue to keep our Rules under review to ensure they remain appropriate to the needs of the charity ano, its beneficiaries. 13 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Reserve Policy The main unrestrlcted Fund Our policy is to hold reserves to enable us to: meet obligations in the event of the failure of the charity or any compensation awards. develop the charityg Including the appointment of additional staff who may not be cost- effective in the short-term, or only effective In terms of member service. undertake special projects including the campal8n to expand to cover the whole of Great Brltain. provide a contlnulng range of benefits whlch members and their dependants may call on in times of need without interruption. provide cover for fluctuations in future Income or expendlture and protect benefits for those qualifying for free membership. meet demand for help by members in new areas. The public transport Industry has been subject to continued fundamental change slnce the mid- 1980s. Only a seventh of our members now work directly for the undertaklng which - when the charity was re.constructed in 1996 - employed 95% of them. We enjoy good relations with many companles which help us recruit and deduct contributions - but the possibility must be faced that we might lose the goodwill of a major employer at some time. Alternatively, a major employer may go out of business, as have a few Smaller ones - some leaving staff with no current wages and looking to TBF for help. In addition, experience shows that contlnulng income streams from employer.paid schemes are more valuable than those generated by individual membership. To reduce our independence on a small number of employers and to brln8 the benefits of membership to others in the industry we are expanding into companles large and small throughout England, Scotland and Wales. We have no means of knowing what demands may be placed on the charity by new members and their dependants in those areas. We need to make provision for such demands and also for the cost of recruiting these new members. Finally, we are very unusual In providing free membership to many of those retlring from the industry and their partners. We have no means of knowlng how many of these there are, but our best guess is 60,000. Added to contributing members and their dependants, this may mean we have 180,000 people able to call on us for help against a payin8 membership base of around 120,000 fewer. Additional expenditure may also result from our decision to offer help to non. members involved in fatalities and their dependants and to allow members and their dependants to seek help much earlier that was allowed In the past. For all these reasons the trustees have decided that substantial reserves should be established to provide a cushion in uncertain times and following the difficulties encountered by the TBF'S predecessor in the early 1990s. We have decided that reserves for the main unrestricted fund should represent two years, expenditure, although we recognise that actual reserves against target will fluctuate from time to time. Given predicted levels of expenditure, our medium-term aim is thus to increase the general reserve to around £6 million. 14 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 The TIL Staff Welfare Fund The aim in respect of the TfL Staff Welfare Fund is to maintaln its capital value, taking into account price inflation as evidence by the Retail PrSces Index. TfL Staff Welfare Fund has no other income beyond investment returns (which are spent for the relief of beneficiaries and their dependantsl and it is necessary to monitor the capital value of the fund very carefully to ensure that it remains in belng for the long-term. Other Matters Appreclatfon - our Volunteers We thank all our Activists for the help they glve the Fund. Without them the charlty would be much the poorer. Apprecfatlon our Patrons We are fortunate to enjoy the support of the leaders of most publlc transport group5 and trades unlons and we thank them for thelr support. Appreclatlon - our Contractors We thank Catherlne Barlow the Fund's Design Partner who manages all our advertising and also protect5 the good name and image of TBF along with designlng all our artwork. We also thank AJW Experlence Group Llmlted for keeplng us abreast of development5 wlthln the publlc transport Industry and helplng TBF ralse Its proflle. Staff We place a great deal of reliance on John Sheehy the Chlef Executive Officer and staff, and we thank them for all they do, John Is supported by Shaun Hearn as Business Manager and Vlcky Jennings as Secretary and the three staff form the senlor management team. Other staff are Kitty Lyons Ipart-tlme Beneflts Advisor), Gladys Folaranmi and Alan Blackett (Benefits Advlsorsl, Linda Hearn 1part.time Finance Admlnlstratorl, Mamade Ruhomauly (Office Supervisor), Aneeqa Khanom, Yvonne Cammarata, Luella Allen, Steven Morgan, Nicole Henry, Kalpesh Patel, Rita Clemente.5mee Ifull-tlme Administrators), Rebbeca Hearn (part-time Administrator), Nadla Anderson (Administrative Assistant), Carole Tltherington (part.time organiser for North-west England), Michael Gib50n Ifull-time organiser for South-west England and South Wales), Karen Needham (full-time organiser for North-east England), Sandra Ryland (full. tlme organlser for London), Gary Bailey Ifull-time organlser for rail staff in the midlands and North of England, Anne Hay (full-time organiser for Scotland), Mick Vile Ifull-time organiser for London}, Ben Talbot Ifull-time organiser for South-east England) and Terry Sharpe Ipart-time organiser for North-west England). We thank the staff for all they do for the charity and its beneficiaries. We recognise the Transport Salaried Staffs, Association ITSSA). 15 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 The Arthur and Rose Hollingsworth Memorial Our predecessor received a donation of nearly £40,000 from the estate of the late Rose Hollingsworth In 2013, the widow of former London Transport employee land one-time LTBF activist) Arthur Hollingsworth. After much consideration, we decided to allocate some of this money to the Sandra Barr and Issy Gold Memorials, with a significant part of it belng added to the money earmarked to help non- members who encounter specified problems. It seemed appropriate to re-name this allocatlon in honour of Mr and Mrs Hollingsworth and It is now known as the Arthur and Rose Hollingsworth Memorial. TBF has always been a membershlp charity and there is no expectation that this will ever change. We are here to help in time of need, but it is not at that stage that staff should decide to Join. To Increase the public benefit of the TBF we recognise that from time to time - those employed in the public transport industry encounter events that are beyond those they might reasonably have envisaged when deciding whether or not to join TBF. These clrcumstances include intimate Involvement In a fatal accident at work (perhaps belng killed themselves) or beln8 personally involved in the recovery of the body of someone fatally Injured as a result of the operatlon of publlc transport services. To make money avaSlable to relleve such employees and thelr dependants, we orlginally set aslde donatlon of £2,000 received from Metronet Rail (now part of London Underground) and added notional interest. With the allocation of additional funds from the Hollingsworth bequest, thls memorial stood at £10,268 at 31 March 2024. We would welcome additional donatlons for this purpose but this does not constitute a separate fund. The Sandra Barr Memorlal Sandra Dowdle (nee Sandra Barr> was a London Transport employee for flfteen years, durlng whlch time she wa5 an active trade unlonist a5 well as being involved in many communlty initlatlves. Following her retirement on 111-health grounds in 1991, she continued to be actlve Sn the Labour Party, on a number of community issues and in support of animal right5, Sandra passed away early In 2001 at the age of 49 and It was the wish of her husband, John, that money should be donated to our predecessor In her memory rather than belng spent on flowers. We decided to establish a Sandra Barr Memorial with the Intention that this should fund all future medical equipment purchased to help with breathing, Sandra havin8 been an asthmatic herself. Such was the high regard in which Sandra was held that donations to date total no less than £5,040. The Memorial remains open for further donatlons. All those who are loaned TBF nebulisers are advised of the existence of the Memorial and of Sandra's Ilfe and work. In these ways, her memory Is kept alive. If necessary, we shall consider transferring additional funds to the Memorial in the future. The net sum standing in the name of the Memorial (which does not constltute a separate fund) at 31 March 2024 was £8,838. 16 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 The Issy Gold Memorlal Issy was the much-loved Secretary of the LT Benevolent Fund for many years prior to hfs retirement in 1985. After retlrement, he continued to take an interest in the Fund's work and was a member of the retired activists, forum to the end. He also remained active in his trade union and was a pillar of his synagogue. The size of the congregation at his funeral in 2005 said much about the respect In which he was held In so many quarters. We have establlshed a Memorial {which does not constitute a separate fund). This will be used to relieve need, hardship or distress among beneflciaries who have retired from London Transport or its successors. We belleve that these would have been those that Issy would most have liked to see helped. The net sum in the name of the Memorial at 31 March 2024 was £11,621. The Roy Cartlldge Memorlal Roy was Mayor of Crewe in 2011112 and kindly declded to award part of the funds ralsed durlng hls year to the Fund. We have used the money to establlsh a Memorial to relieve need, hardship or dlstress among existlng or retlred rallway workers who have lived or worked in postcode areas CW1, CW2 or CW3 and thelr dependants. Help from this Memorlal 15 available to TBF members and to non.members. We would welcome addltlonal donations for this Memorial (whlch does not constitute a separate fund). The net sum In the name of the Memorlal at 31 March 2024 was £1,126. The Belly MuJln8a Memorlal The Belly Mujlnga Memorial has been set up wlth full agreement from the family of Belly Mujlnga, the statlon staff employee who sadly lost her life to the virus. Belly, a TBF member, was a frontllne worker who, Ilke so many other staff in the rail industry, sadly faced threats and abuse whilst doing her job. Belly's story hishlights the difficulties rail workers face on a daily basis, TBF Is a great supporter of rail employees and for many years has sponsored the Statlon Staff category at the annual Rail Staff Awards. The money generously donated to TBF from the last two Rail Staff Awards annual charity raffle, wlll be available to help those rail Staff workers affected by Covid-19 who are not TBF members. The net Sum In the name of the Memorial at 31 March 2024 was £6,000. The RunForABus Mernorlal The RunForABus Memorial is available to help London bus employees and their dependants affected by Covid-19. Over the weekend of June 26th 28th 2020, 18 runners took part Sn a sponsored fundraising event organised by Mike Higgins to raise money to support London's bus drivers and associated staff who have been affected by Covid-19. The event took place through the streets of London with runners following the route of several designated bus journeys. The event was a great success, raising thousands of pounds. All funds raised have been presented to TBF and have been ring-fenced for this particular purpose. Funds 17 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 are available to help London bus employees and their dependants who find themselves in need, hardship or distress due to the coronavirus, and who are not TBF members. The net sum in the name of the Memorial at 31 March 2024 was £9,715. Environment TBF Is an integral part of the public transport Industryi which is concerned with reducing the negative environmental impact of transport. The charity also seeks to help protect the environment. It complies fully with envlronmental legislatlon and endeavours to follow best practice within the resources available. Every effort wlll be made to increase staff awareness of envlronmental responsibilitles, mlnlmlse waste and pollutlon, reduce energy and water consumption, avold the use of unnecessarlly hazardous substances, and conslder environmental factors when carrying out the charlty's work, It is not the current policy of the charity to seek to impose envlronmental standards on Its contractors, but attention will be paid to these matters as time goes on, as indeed It will to its own performance and aspiratlons for the environment. Office staff are encouraged to travel to work lor to outside events) by publlc transport, and the organisers use this when p055ible. There are no car parkin8 facilities at the TBF offices, and none will be provlded. Unfortunately, however, It Is often not feaslble to Use publlc transport because of the location of the worksites visited, the need to carry recruitment materials and - unfortunately - Sts cost. We are grateful to the Rall Delivery Group who make travel facilities available for TBF organisers to undertake thelr duties. Organfsers use thelr own cars, which they also use for their private purposes. It Is not considered realistic to impose on them the need to have cars which use green fuel, especially given the patchy distribution of supply outlets. A watch wlll be kept on these Issues, but it is expected that TBF wlll follow national trends rather than seek to set them. No hazardous materials are generated beyond those generally associated wlth offlce premise5 (including lightln8 bulbsltubes and toner). It Is the policy of the charlty to use and dispose of these responsibly, in accordance wlth the recommendatlons of manufacturers and as required by local authorities and waste dlsposal contracts. All waste includin8 recycllng is collected by the landlord's contractor. Steps have been taken to ensure that the contractor 15 properly licensed, Consumptlon of energy and water Is kept to the minimum bearing in mind the need to operate effectivelyg economically, comfortably and with due regard to safety requirements. No attempt would be made to specify green energy until its cost in cash terms was simllar to that for energy generated by other means, as again the trustees do not believe they have a mandate from the beneficiaries to spend funds in this way. 18 Transport Benevolent Fund {ClO) Report for the year ended 31 March 2024 Data Protectfon Act The charity takes Its responsibility to protect personal data relating to members very seriously. Details of our registration with the Information Commissioner INo,ZA1784411 are Included on that official's website, We do not, and shall not, share membership or mailing lists with any other organisation. Flnanclal Conduct Authorlty We take complalnts very serlously and If a beneflclary has a speciflc complalnt about debt advlce provided by the charity? the charity wlll respond In writlng wlth a final response within 8 weeks of the complalnt. If the beneficiary is still dissatlsfied, they have the right to complain to the Financlal Ombudsman Service and details of the Financial Ombudsman Service will be provided by the charlty on request. Equallty Act TBF happlly complles wlth the provlslons of thls Act and alms to ensure that nelther staff nor beneflclarles are unfalrly dlscrlmlnated agalnst on any grounds Includlng dlsabillty, gender reasslgnment, marrlage & clvll partnershlp, pregnancy & maternlty, race, religlon or belief, sex and sexual orlentatlon. It alm5, as far as posslble, also to ensure that dlscrlmlnation does not take place on the basis of age, but certain services are only provlded to those worklng In the Industry and thelr dependents. Human Rlghts and Freedom of Informatfon Acts The charlty 15 not subject to the provlslons of these Acts because It does not carry out publlc functions. All procedures and methods of worklng alm to ensure falr and dlgnlfled treatment of members, beneflciaries and others, They may appeal against our decisions where thls right does not Interfere with the ability of the charity to undertake its work on behalf of the majorlty of members and beneficiaries. It Is our policy to make as much information available to members, beneflclarles and others as 15 feaslble wlthout compromlslng the Interests of the charlty. The maln method of dissemination is our website. Trade Unlon support We very much appreciate the support shown to us at most levels in most trades unlons In the sector. 19 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 An appeal We wlsh that not only staff, but all employers would recognise the job we do and the help we can offer not only to staff but indirectly to them as employers. We enjoy a lot of support from companies, but it is necessary to record that we continue to be denied access to staff in some of the subsidiaries of even the most supportive groups. All we ask for is access to your staff Ipotentlal TBF members) so we can offer help and support when they experience need, hardship or distress, If you are not yet a TBF member, please join. If you are able to offer any tlme to help us (however little), please volunteer. We can be the means of preventing those working in the public transport Industry lor retired from it) falling into a cycle of hardship and despalr. We can make Ilfe better for them by being there when they need help. Your help would be more than appreciated. Structure, Governance and Management Nature of the 8overnlng document The charity's Constitution was registered as a charfty on 16 March 2015. It has a legal status of a Charitable Incorporated Organisation ICIO). Amendments to the charity's Constitutlon were agreed by the Charlty Commisslon on 15 October 2019. Hlstory of the charfty The roots of the charity go back to the First World War when, In order to supplement the Income of the dependants of those called to service with the armed forces, the Train, Omnibus and Tramway Group of London passenger transport companies set up the T.O.T. Mutual Aid Fund. Subscriptions were paid on a voluntary basis and were matched penny for penny by the participating companles. Thls enabled the servlce pay of employees to be supplemented so their families would not suffer undue hardshlp. Speclal help was also provided to relieve domestic difficulties and to offer medical and legal advice. The activitles of the Fund were so successful that the T.O.T. Group (by then consisting of twelve publlc transport and associated companies) entered into a Declaration of Trust, the result of whlch was the formation of the Train, Omnibus and Tramway Benevolent Fund on January 1, 1923. Ten years later the T.O.T. Group and other undertakin8s were amalgamated to form the London Passenger Transport Board ('London Transport,) and the name of the Fund was changed to the London Transport Benevolent Fund. In January 1990, as a result of the fragmentation of London Transport, a new Deed was adopted, by which was formed the Transport Benevolent Fund (Registered Charity No 1002586). The transfer of assets from the London Transport Benevolent Fund to the first Transport Benevolent Fund was not successfully ach5eved, the Transport Benevolent Fund was finally establSshed on 27 August 1996, to take over the assets of the earlier one of the same name and (insofar as they had not been transferred earlier) those of the London Transport Benevolent Fund. The transfer took place in accordance wfth a Charity Commissioners, Scheme of December 19, 1996, together with the transfer of the assets of the associated London Transport War Comforts Fund Association I'LTWARCO,). Thls charity had been established on November 29, 1939 to provide relief for London Transport staff while on active service as well as their families or following death or disablement as a result of the Second World War or any extension of it. At the time of transfer 20 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 to the new charity, LTWARCO still provided relief to eleven widows whose husbands had been killed either while on service or in air raids. The final beneficiary passed away during 2008. On March 1, 2006, the charity acquired the assets of the TfL Staff Welfare Fund, which had been established in 1948 to provide help for staff of the London Transport Executive la predecessor body of Transport for London). These assets were accepted on the general trusts of the TBF but are held separately and used only for the relief of need, hardship and distress among the classes of persons speclfled by Transport for London in the Deed of Grant. Following the unlncorporated charity's successful application to become a Charitable Incorporated Organisation, all assets from Transport Benevolent Fund a registered charity in England and Wale5 11058032) and In Scotland ISC0400131 were transferred to the new entity Transport Benevolent Fund CIO a reglstered charity in England and Wale5 {1160901) on the 1 October 2015. The unincorporated charity ceased operatlon on the 1 October 2015 and the new Transport Benevolent Fund CIO started operatlng on the 1 October 2015. On the 25 November 2016 Transport Benevolent Fund CIO was registered with the Office of the Scottish Charity Register, registration number (SC0470161, Recrultment and Appolntment of New Trustees TBF alms to be a democratic organlsatlon. The Rules states there shall be no fewer than three or more than flfteen trustee5 at any tlme, who shall be appointed in accordance with clauses 12 and 13 of the Constitution, either by an AGM or, where vacancles remaln, by the Trustees under Clause 13[4]. Trustees shall make such appolntments only after taking into consideration any percelved need to increase dlversity among the Trustees. Wrltten notlce of the call for nomlnatlons for the electlon of Trustees at an AGM shall be sent by the Secretary to the registered address of each Local Committee Member or other CIO Member. They shall be given no less than fourteen days from the date of the despatch of the Invltatlon to submlt nomlnatlon5 whlch shall then be Included in the formal notice of the AGM. In order to ensure the Board collectlvely reflects the dlverslty of the membershlpi the Board always keeps In mlnd the followlng: Malntenance of representatlon from exlstlng mlnorlty groups. or Improved representation for minority groups. or Involvement of a further major employer group. or Involvement of a Train Operating Company or Network Rall. or Bus workers (from companies where they are under.representedl; or Apart from these employment categories, minority groups may be based on disability, gender reasslgnment, marrlage & clvll partnershlp (In employment only)I pregnancy & maternltyi race, religion or belief, sex and sexual orientation. In addition, Trustees will be sought from younger age groups, to help ensure the smooth continuation of the charity as existing trustees retire. Trustees are elected because of their commitment to the charity and the support they enjoy from their peers. While a proper balance of skills is required on the Board, Trustees are not generally elected because they possess any particular practical or professional skills. 21 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Collectively they control the Secretary, who is required to ensure that the necessary skills are available to them, either from among the staff or by the purchase of services in the market. The Secretary as scrutlneer is responsible for ensuring that those elected are not barred from office. Trustee Inductfon and Trainin8 The Secretary Is responsible for ensurfng that all trustees understand their powers and responsibilities, providing them with copies of appropriate Charity Commission publications and identlfying further training needs. The Chair is responslble for maintaining a climate In whlch all trustees may ralse questlons or issues of concern and discuss matters relevant to thelr stewardship of the charlty. He also ensures that meetings are conducted in such a way that all trustees may take part In determining policies. They are expected to attend meetings re8ularlyp both in order to control the charity effectively and to learn by experience and exposure to issues. A lay expert on trusteeshlp issues addresses the Board annually on these Issues, when all trustees are able to ralse any questions or items of concern and to identlfy what they believe to be shortcomlngs In the way in which the charity is run, or in their own development and tralning. There are also occasional questionnaires to the trustees, to ascertain areas in which they feel that further training is needed. The Board conslders the outcome and the Secretary pursues matters as necessary. Arrangements are made for trustees to attend external tralning courses as necessary. Some also have opportunities to undergo related trainin8 by other bodies on which they serve. Organlsatlonal structure of the charlty and how declslons are made The baslc unlt of organisation Is the Local Committee who also form part of the CIO membership and each contributing Fund Member is covered by a Local Committee. Each Local Committee conslsts of members employed in that area but, exceptionally, there Is a Local Committee administered by TBF staff which covers areas not currently able to support a separate committee; this is known as LC2. It is the duty of each member of the CIO to exercise the5r power as a member of the CIO in a way they decide in good faith would be the most likely to further the purposes of the CIO. The Secretary is charged wlth the establishment of as many viable Local Committees as posslble, She determines the number of members to serve on each, taking into account the vSews of members Sn that area, of CIO membership (see below) or the trustees. The trustees are able to over-rule any declsion of the Secretary in respect of the establishment or membership of Local Committees. Together, all members of Local Committees form part of the CIO membership, They elect the trustees, have the power to consider all aspects of the charity's business and may make recommendations to the trustees. If the trustees do not adopt any recommendation of the CIO membershlpi they must explaln why. The Chair and Vice-chair are elected at the first Trustees, meeting in each calendar year from among the existing trustees. Trustees, who must number between three and fifteen are elected by the AGM for rolling three year terms. They must be members of the CIO and are eligible for re- election as long as they retain this qualification. TBF staff are not eligible to serve as CIO members. 22 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 The trustees are accountable for all activities undertaken on behalf of the charity. They normally meet six times a year, including the AGM, to establish policy and review progress and developments. Within strictly defined limits (which are set down in a document which is reviewed regularly) they delegate responsibility for the day-to-day running of the charlty to thelr staff (generally through the CEO), Local Committees are able to conslder recommendations in respect of initial grants for members in thelr areas who are in financial need, but the final decisions rest with the trustees. A small sub- committee of trustees determines whether to grant further help and its decislons are notSfled to all trustees. The maln alm of the trustees Is to ensure that, through the system of delegated authority, requests for help are considered expeditiouslyi compassionately and fairly. Only in exceptional cases Is It necessary for them as a body to consider individual requests. Remuneratlon pollcy for key management personnel Key management personnel pay rates are In Ilne wlth other charltles or companles of a slmllar slze. Rlsk pollcy There Is also a sub.committee which deals with matters related to risk. It reports to the trustees as a whole, who declde whether or not to accept Its recommendatlons. We have Identlfled the rlsks to whlch the charlty Is exposed and have adopted systems which will mitigate these. These matters are considered annually lor more frequently if required), when we also determlne which are the major risks requiring regular monitoring. These major rfsks are revlewed at least each quarter to ensure that they are properly managed. Each rlsk Identlfled, along wlth assessments of the Ilkely Impact If they occurred and of the 1Skellhood of thelr occurring. There are six levels each of impact and likelihood. In each case, Level 1 means Very Low. Level 2 means Low, Level 3 means Medium, Level 4 means High, Level 4.5 means Medlum Hlgh and Level 5 means Very Hl8h. By multlplylng the two {Impact and Likelihood) fi8ures together, an overall level of risk is assessed. It follows that the lowest possible score Is 1 11 times 11 Very Low (Negligible), whlle the highest Is 25 (5 tlmes 51- Very Hl8h (Crltlcal). We have identified the 11 risks which warrant regular monitoring to ensure that the control measures remain appropriate and are operating correctly. 23 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Statement of responsibilities of the trustees The trustees are responsible for preparing the Trustees, Report and the flnanclal statements fn accordance with applicable law and United Kingdom Accounting Standards Including Financial Reporting Standard 102 The Flnancial Reportlns Standord opplicable in the UK and Republic of Irelond (United Kingdom Generally Accepted Accountin8 Practice). The law applfcable to charltles In England & Wales requires the trustees to prepare financlal statements for each financial year whlch give a true and fair view of the state of affairs of the charlty and of the income and expenditure of the charity for that pertod. In preparing these flnancial statements, the trustees are requlre ed to; select sultable accountlng pollcles and then apply them conslstently; observe the methods and prfnciples in the Charftles SORP; make Judgments and accountlng estlmates that are reasonable and prudent; state whether applicable accounting Standards have been followed, subject to any materfal departures dlsclosed and explained In the flnancial statements, and prepare the flnanclal statements on the golng concern basls unless It Is Inapproprtate to presume that the chartty wlll contlnue In buslness. The trustees are responslble for malntalnlng proper accountlng records whlch dlsclose with reasonable accuracy at any tlme the flnancial posltion of the charlty and enable them to ensure that the flnancial statements comply wlth the Charltles Act 2011, the Charlty (Accounts and Reports) Regulations 2008 and the provislons of the trust deedlconstltution. They are also responsible for safeguarding the assets of the charlty and hence for taking reasonable steps for the preventlon and detectlon of fraud and other Irregularlties. The trustees are responslble for the maintenance and Integrfty of the charfty and flnanclal Information included on the charitls website. Legislatlon in the Unlted Klngdom governlng the preparation and dlssemination of flnancial statements may dlffer from legislation In other jurisdictlons. Statement as to dlsclosure to our audltors In so far as the trustees are aware: There Is no relevant audit Information of whlch the CIO'S auditors are unaware; and The trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audlt Information and to establish that the auditors are aware of that information. 24 Transport Benevolent Fund (CIO) Report for the year ended 31 March 2024 Audltor5 Goldwlns Ilmlted were re-appointed as the audltors of the CIO during the year and have expressed thelr wllllngness to contlnue In that capaclty. s annual report has been approved by the trustees on S/A.Ak¥.. The truste Iv/1 nd slg edont elr behalf by; lan Wllson Trustee 25 Independent Auditor's Report to the Trustees of Transport Benevolent Fund (CIO) Opinion We have audlted the financial statements of Transport Benevolent Fund (CIO) for the year ended 31 March 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and notes to the financial statements including a summary of slgnlficant 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 Flnanclal Reporting Standard applicable in the UK and Republic of Ireland (United Klngdom Generally Accepted Accounting Practlcel. In our opinion, the financial statements: give a true and fair view of the state of the Charity's affairs as at 31 March 2024 and of Its income and expenditure for the year then ended. have been properly prepared In accordance with United Kingdom Generally Accepted Accounting Practlce. have been prepared in accordance wlth the requirements of the Charlties and Trustee Investment (Scotlandl Act 2005 and regulation 8 of the Charitles Accounts (Scotland) Regulations 2006 las amended) and Charitie5 Act 2011. Basls for oplnlon We conducted our audlt In accordance with Internatlonal Standards on Audltlng (UK) (ISAS (UKI) and applicable law. Our responslblllties under those standards are further descrlbed In the Auditor's responsibilltles for the audit of the financial statements sectlon of our report. We are independent of the Charity in accordance with the ethlcal requirements that are relevant to our audit of the financial statements In the UK, including the FRC'S Ethical Standard and we have fulfllled our other ethical responsibilities in accordance wlth these requirements. We belleve that the audlt evidence we have obtained Is sufflclent and appropriate to provlde a basls for our oplnlon. Concluslons relatlns to golng concern In auditing the flnanclal statements, we have concluded that the trustees, use of the golng concern basis of accounting in the preparatlon of the financial statements Is approprlate. Based on the work we have performed, we have not identlfled any material uncertainties relating to events or conditions that, indlvidually or collectivelyi may cast slgnificant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the flnancial statements are authorised for Issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described fn the relevant sections of this report. 26 Independent Auditor's Report to the Trustees of Transport Benevolent Fund (CIO) Other Information The trustees are responsible for the other information. The other informatlon comprises the information included in the annual report other than the financial statements and our auditor's report thereon. Our opinion on the flnancial statements does not cover the other information and, except to the extent otherwise expllcitly stated in our report, we do not express any form of assurance conclusion thereon. In connectlon wlth our audlt of the financial statements, our re5ponslbllity is to read the 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 identlfy such material Inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the flnancial statements or a material mlsstatement of the other Information, If, based on the work we have performed, we conclude that there Is a material misstatement of this other informatlon, we are required to report that fact. We have nothin8 to report In this regard. Matters on whlch we are requlred to report by exceptfon In the 118ht of the knowledge and understandlng of the Charlty and environment obtalned In the course of the audlt, we have not identlfled materlal mlsstatements In the Tru5tees' Annual Report. We have nothlng to report In respect of the following matters In relatlon to whlch the Charitles Act 2011 or the Charity Accounts (Scotlandl Regulations 2006 (as amended) requires us to report to you If, In our oplnlon: sufflclent accountlng record5 have not been kept. the flnanclal statements are not In agreement wlth the accounting records and returns; or we have not obtalned all the informatlon and explanations necessary for the purposes of our audlt. Re5pon51bllltles of the tru5tee5 As explalned more fully In the trustees, responsibilities statement, the trustee5 are responsible for the preparatSon of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine is necessary to enable the preparation of flnancial statements that are free from material misstatement, whether due to fraud or error. In preparing the flnancial statements, the trustees are responsible for assessing the Charity's ablllty 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 Charity or to cease operations, or have no realistic alternative but to do so. 27 Independent Auditor's Report to the Trustees of Transport Benevolent Fund (CIO) Our responslbll?ties for the audlt of the flnanclal statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material mlsstatement, whether due to fraud or error, and to issue an auditor's report that Includes our opinion. Reasonable assurance is a hlgh 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 reasonably be expected to influence the economic decisions of users taken on the basls of these financial statements. Irregularities, Includlng fraud, are Instances of non.compliance with laws and regulatlons, We design procedures In line with our responsibilities, outlined above, to detect materlal misstatements in respect of Irregularities, Including fraud. The extent to which our procedures are capable of detecting Irregularities, includSng fraud are set out below. Capablllty of the audlt In detectlnq Irregularltles In identifying and assessing rlsks of material mlsstatement in respect of Irregularftles, Including fraud and non-compllance wfth laws and re8ulations, our procedures Included the followlng: We enqulred of management, which Included obtalnlng and revlewlng supporting documentatlon, concernlng the charlty's policles and procedures relatlng to: Identlfylng¥ evaluatlng, and complyfng wlth laws and regulatlons and whether they were aware of any Instances of non-compllance. Detectlng and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud; The internal controls establlshed to mltlgate rlsks related to fraud or non-compllance wlth laws and regulatlons. We Inspected the mlnutes of meetln8s of those charged w1th governance. We obtained an understanding of the legal and regulatory framework that the charfty operates In, focuslng on those laws and regulations that had a materfal effect on the flnanclal statements or that had a fundamental effect on the operatlons of the charlty from our professlonal and sector experience. We revtewed the financlal statement dlsclosures and tested these to supporting documentatlon to assess compliance wlth applicable laws and regulatlons. We performed analytlcal procedure5 to Identlfy any unusual or unexpected relatlon5hlps that may indicate rlsks of material mlsstatement due to fraud. In addresslng the risk of fraud through management overrlde of controls, we tested the appropriateness of Journal entries and other adjustments, assessed whether the Judgements made In maklng accountlng estimates are Indlcative of a potential blas and tested slgnlflcant transactlons that are unusual or those outslde the normal course of business. Because of the Inherent Ilmltatlons of an audlt, there is a rfsk that we ￿11 not detect all Irregularltles, Includlng those leadlng to a material mlsstatement in the flnanclal statements or non-compllance with regulatlon. This risk Increases the more that compliance wfth 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.compllance. The risk Is also greater regarding irreguladtles occurring due to fraud rather than error, as fraud involves Intentlonal concealment, forgeryi collusion, omlsslon or misrepresentation. A further description of our responsibilities Is available on the Flnancial Reportfing Council's website at: www.frc.org.uklauditorsresponslbllities. This descrfption forms part of our auditor's report. 28 Independent Auditor's Report to the Trustees of Transport Benevolent Fund cio Use of our report Thls report Is made solely to the Charity's trustees, as a bodyi In accordance wlth sectlon 144 of the Charftles Act 2011 and the regulations made under section 154 of that Act and under Sectfon 44(1) Icl of the Charitles and Trustee Investment (Scotland) Act 2005. Our audlt work has been undertaken so that we mlght state to the Charity's trustees those matters we are requlred to state to them In an auditoffs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume re5pon5ibllity to anyone other than the Charlty's trustees as a body, for our audlt work, for thls report, or for the oplnlons we have formed. Goldviins Llmlted Chartered Accountants Statutory Audltor 75 Maygrove Road London NW6 2EG Goldwlns Llmlted15 ellglble for appolntment as audltor of the chartty by vlrtue of Its ellglblllty for appolntment as audltor of a company under sectlon 1212 of the Companles Act 2006. .sE koLy- 29 Transport Benevolent Fund (CIO) Statement of Financial Activities (Including an Income and Expenditure Account) For the year ended 31 March 2024 TBF 2024 £ 'ooo SWF 2024 £'ooo Total 2024 £ 'ooo Total 2023 Note INCOME AND EXPENDITURE INCOME FROM Donat1ons Gift Aid on donations Investment income 3,923 898 89 3,923 898 141 3,818 879 100 52 Total Income 4,910 52 4.962 4,797 EXPENDITURE ON Raising funds: Ralsfng funds Investment Management costs Charitable activlties 1,114 23 3,509 1,114 39 3,613 926 26 3,368 16 104 Total expendlture 4,646 120 4,766 4,320 Net Income before net galns / ¢losse5) on Investments 264 {68) 196 477 Net galns l (I055esl on Investments 124 237 361 (337) Net movement In funds 388 169 557 140 Funds brought forward Funds carrfed forward 5896 1912 The attached notes form part of these accounts. The TBF (Transport Benevolent Fund CIO) is unrestricted, while the TfL Staff Welfare Fund (SWF) Is restricted. The Sandra Barr Memorial, Issy Gold Memorial, Arthur and Rose Hollingsworth, Roy Cartlidge Memorial and Belly Mujinga Memorial are part of the unrestricted fund. All activities during the year were continuing. There were no other recognised gaSns or losses other than those stated above. 30 Tran5POrt Benevolent Fund (CIO) Balance Sheet As at 31 March 2024 TBF 2024 £ 'ooo SWF TOTAL 2024 2024 £ 'ooo £'ooo TOTAL 2023 £ 'ooo Note Flxed Assets Investments 3,735 1,884 5,619 5,244 3,735 1,884 5,619 5,244 Current Assets Debtors Cash at bank and In hand 1,482 779 1,487 806 1,214 861 27 2,261 32 2,293 2,075 Llabllltle5 Amounts falllns due wlthln one perlod 10 {100) {4) {104) (68) Net Current A55ets 2,161 28 2,189 2,007 Total assets less current Ilabllltles 5,896 1,912 7.808 7,251 The funds of the charlty 11,12 5,896 1,912 7.808 7,251 The TBF (Tran5POrt Benevolent Fund CIO) is unre5trlcted, whlle the TfL Staff Welfare Fund 1s restrtcted. The attached notes form part of these accounts. Approved by th oard of Trustees on .?. F4..Afd. Atsk...2.02Afr.... and slgned on Its behalf by: lon Wllson Trustee Ravi KGlsl Trustee 31 Transport Benevolent Fund (CIO) ststement of Cash Flows For the year ended 31 March 2024 TBF SWF Total 2024 2024 2024 Total 2023 Note £'ooo £'ooo £'ooo £'ooo Net cash provlded by l (used In) operatin8 activitles 15 {57) (1251 (1821 615 Cash f lows from Investln8 actlvftles: Interestl rentl dividends from investments Proceeds from sale of Investments Purchase of investments 89 100 121 52 116 109 141 216 230 100 269 816 Cash provlded by l (used In) Investln8 actlvltles 68 59 127 447 ChanEe In cash and cash equlvalents In the year (66) (55) 168 Cash and cash equlvalents at the beginnlng of the year Cash and cash equlvalents at the end of the year 768 779 93 27 861 806 693 16 861 32 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Accounting Policies 1.1 Basis of preparatlon The financial statements have been prepared in accordance with Accounting and Reporting by Charlties: Statement of Recommended Practice applicable to charlties preparang thelr accounts In accordance with the Financial Reportin8 Standard applicable in the UK and Republic of Ireland (Charities SORP FRS 102), Charities and Trustee Investment (Scotland) Act 2005, regulatlon 8 of the Charities Accounts (Scotland) Regulations 2006 {as amended) and the Charlties Act 2011. The charlty meets the definltion of a public benefit entity under FRS 102. Assets and Ilabilitles are inltlally recognlsed at historlcal cost or transaction value unless otherwlse stated in the relevant accounting pollcy or note, These accounts are prepared on the hlstorfc cost basls of accountlng except for investments and other flxed assets, which have been included at revalued amounts. 1.2 Golns concern The trustees conslder that there are no material uncertalntie5 about the charlty's abllity to continue as a golng concern. The trustees do not conslder that there are any sources of estlmatlon uncertalnty at the reporting date that have a signlficant risk of causlng a material adjustment to the carrylng amount5 of assets and Ilabilltles wlthln the next reportlng perlod. 1.3 Income Income is recognlsed when the charity has entitlement to the funds, any performance conditions attached to the income have been met, It Is probable that the income wlll be recelved and that the amount can be measured reliably. 1.4 Donatlons of 8lfts, senAces and facllltles Donated professional servlces and donated facllities are recognised as Income when the charity has control over the item or recelved the servlce, any condltions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economlc benefit can be measured reliably. In accordance wlth the Charities SORP IFRS 102), volunteer time is not recognised so refer to the trustees, annual report for more information about their contribution. On receipt, donated gifts, professional service5 and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain seryices or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the year of receipt. 33 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Accounting Policies (continued) 1.5 Interest recelvable Interest on funds held on deposit is Included when receivable and the amount can be measured reliably by the charlty. this is normally upon notiflcatlon of the Interest paid or payable by the bank. 1.6 Fund accountln8 Unrestricted funds are avallable to spend on actlvltles that further any of the purposes of charity. Restricted funds are donatlons which the donor has speclfled are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity. 1.7 Expendlture and Irrecoverable VAT Expenditure is recognlsed once there Is a legal or constructlve obllgation to make a payment to a third party, It Is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: Costs of raising funds comprise of tradlng costs and the costs incurred by the CIO In Inducing third parties to make voluntary contributions to it, as well as the cost of any activlties wlth a fundraising purpose, Expenditure on charitable activities Include5 the costs of dellvering services and other actlvftle5 undertaken to further the purposes of the charity and their assoclated support costs. Other expenditure represents those items not falling into any other heading. Where grants have been pledged but not pald by the end of the flnanclal reporting period, these are treated as accrued expenses. The charity Incurs a range of charitable expenditure, breakdown of whlch Is included in Note 5. Expenditure on medical treatments and consultatlons, legal assistance and medical equlpment is incurred in respect of any given beneficlary or dependant at any time throughout the accounting period and payments may be made either to that person or to a third.party provider. Several payments may be made to or for the same person. Irrecoverable VAT is charged as a cost against the activity for whlch the expenditure was Incurred. 34 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Accounting Pollcies (continued) 1.8 Allocatlon of support costs Support costs are those functions that asslst the work of the charity but do not directly undertake charitable actlvities. Support costs include back-office costs, finance, personnel, payroll and governance costs which support the CIO'S activfties. These costs have been allocated between cost of ralsing funds and expenditure on charitable activitles on the following basis: Expenses have been allocated against the most appropriate category in the Statement of Flnancial Actlvlties. Certain expenses have been apportloned between two or more categories; the proportlon5 may vary from year to year, but for the year belng reported the following basls has been adopted. The expenses attributable to the dlfferent classes of charltable actlvitles are further allocated as shown in Note 5. The trustees have consldered whether any of the followlng expenses should be allocated to Investment Management costs but have determlned that the sums attributable to this category are small enough to be consldered Immaterlal. Salarfes, Penslons & Soclal Securlty COSts 60% costs of generatlng funds, 39% charltable activlties, 1% governance costs Premlsei 25% costs of generatlng funds, 73% charitable actlvities, 2% governance costs Informatlon Techno108y 25% costs of generatlng funds, 75% charltable actlvities Telecommunlcatlons and postage actlvltles, 49% costs of generating fund5, 49% charitable actlvities, 2% governance costs Travel & sub51stence 98% costs of generating funds, 2% governance costs Depreclatlon of offfce Equlpment 25% costs of generatlng funds, 75% charitable activitles Other expenses 33% costs of generating funds, 50% charltable activitles, 17% governance costs 'Other expenses, includes costs of engagement of management consultants, agency staff, training, general insurance, printTng and stationery, office expenses, charges levied by one employer for collection of subscription5, payroll service charges and expenses of trustees (see Note 18.4). 35 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Accounting Policies (continued) 1.9 Operatlng leases Rental charges are charged on a straight-line basls over the term of the lease. 1.10 Tanglble flxed assets Assets acquired at a cost of less than £1,000 are written off in the year of acquisition. The cost of all other furnlture and equipment is wrltten off on a straight-line basis over Its estimated useful life. This is taken to be: Furniture, fittings and non-electrical office equipment Electrlcal offlce equipment and medlcal equipment 8 years 3 years When an asset Is fully depreciated, both the gross amount and the a88re8ate depreciation are eliminated from the accounts. 1.11 Investments Investments are a form of baslc flnancial instrument and are initially recognlsed at thelr transaction value and subsequently measured at thelr fair value as at the balance sheet date using the closing quoted market price. Any change in fair value wlll be recognlsed In the statement of financial actlvlties, with gains or losses shown in Note 8. 1.12 Publlclty materlals All publlclty materlals are consldered to be for the purpose of generatlns fund5 and the cost of acquisition Is wrltten off on payment for the goods. 1.13 Debtors Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepald. 1.14 Cash at bank and In hand Cash at bank and cash In hand includes cash and short term highly liquid investments with a short matudty of three months or less from the date of acquisition or opening of the deposit or similar account. 1. 15 Creditors and provlsfons 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 obligatTon can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 36 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Accounting Policies (continued) 1.16 Flnanclal Instruments The charity only has financial assets and flnanclal liabilities of a kind that qualify as basic financial Instruments. Basic financlal instruments are initially recognised at transactlon value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective Interest method. Detalled comparatlves for the statement of financial activlties TBF 2023 £ 'ooo SWF 2023 £'ooo Total 2023 £ 'ooo INCOME AND EXPENDITURE INCOME FROM Donatlons Gift Ald on donatlons Investment income 3,818 879 52 3,818 879 100 48 Total fncome 4,749 48 4.797 EXPENDITURE ON Raising funds: Ralslng funds Investment Management costs Charltable activltles 926 12 3,330 926 26 3,368 14 38 Total expendlture 4,268 52 4,320 Net Income before net galns l (losses) on Investments 481 (4) 477 Net gains l (losses) on investments (207) (130) (337) Net movement In fund5 274 (134) 140 Funds brought forward Funds carried forward 37 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Donations Income from donations was attributable to membership subscriptions and tax recoverable on these through the Gift Aid scheme, apart from the following donations: AJW Exp Ltd Charities Ald Foundation Init Innovations CILT Annual Dlnner M Goulder Much Loved Rallstaff Awards TFL Festival of Carols Just Giving Donations from Q Members 65 122 2,000 251 100 485 1,108 111 531 5,881 Rafslng funds TBF SWF TOTAL TOTAL 2024 2024 2024 2023 £'ooo E'ooo £'ooo £'ooo Salarles, Pensions, Social Securlty Premlses Informatlon Technology Telecommunications and Postage Travel and subsistence Publicity Other expenses Governance costs (note 6) Cost5 of 8eneratln8 voluntary Income 756 41 36 23 37 159 49 13 1,114 756 41 36 23 37 159 49 13 1,114 650 34 28 21 37 114 33 926 Investment management costs 23 16 39 26 Total cost of 8eneratlng funds 1,137 16 1,153 952 See also Note 7. Investment Management costs represent a proportion of the value of the funds under management. 38 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 5. Charitable Activit7es TBF SWF TOTAL TOTAL 2024 2024 2024 2023 £ 'ooo £ 'ooo £ 'ooo £ 'ooo Hardshlp grant5 for beneflciaries by Local Committees (No. of grants: 1,374) {2023; 1,523) [312] 312 334 Hardship grants for beneficlaries by the trustees (No. of TBF grants: 1,390) {2023: 1,845) (No. of SWF grants: 50) {2023.' 27) Grants for beneflciarles for medlcal equlpment and aids (No. of TBF grants: 124) {2023; 122) (No, of SWF grants.. 12112023: 2) Costs In support of £rant maklng [315] 25 340 412 [28] 12 40 34 202 202 196 Total c05t of grant maklng 857 37 894 976 Provfslon of convalescence (No of TBF cases: 80) {2023: 71) {No. of SWF case5: 16) {2023; 101 Provlslon of recuperatlon (No of TBF cases: 23) {2023: 29) (No. of SWF cases: 7) {2023: 9) [80] 20 100 71 [14] 19 20 Medlcal treatments and consultations Legal asslstance Debt relief Medlcal equlpment associated costs Costs in support of the provision of services [1,891] [7] [5] [1] 615 42 1,933 1,778 11 615 479 Total cost of the provlsion of services Total 2,613 67 2,680 2,360 3.470 104 3,574 3,336 Governance costs (note 6) 39 39 32 Total cost of charitable activitTes 104 Further to Note 1.8, expenses attributable to charitable activities have been allocated to grant makTng and the provision of services in proportion to the direct costs incurred on these activities. See also Note 7. For fisures in [ ] please refer to Achievements and Performance on poselo. 39 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Governance Costs TBF 2024 £ 'ooo SWF 2024 £ 'ooo TOTAL 2024 £ 'ooo TOTAL 2023 Audit fees Staff costs Premises Telecoms and postage Travel and subsistence Other expenses Total cost of governance Allocated to ralsing funds Allocated to charitable actSvities Total 13 13 27 52 (13) 39 27 52 (131 39 18 41 (9) 32 Governance costs are allocated to ralslng funds costs and charltable activities on the basls of staff tlme spent on paying grants and recrultlng members. Total Expendlture 7.1 Unrestrlcted fund Telecorns and Travel and postage Subslstence Publlclty 2024 2024 2024 £'o £'oco £'OLIJ 37 159 Informatlon Staff Costs Premises Technology 2024 2024 2024 £'ooo C'OCK) 756 36 RaSsln8 funds (Note 4) Charitable actlvftle5 (Note 51 Governance c05tS INote 61 41 23 491 120 109 23 13 164 145 47 38 159 Audlt Grants and Se￿lee$ 2024 c'oLsJ Investment Mana8ement 2024 £'oc 23 legal advice 2024 Other expenses 2024 C'ODJ 49 Re. allocatlon 2024 £'ooo 13 Total Total 2024 2023 £'ooo £'c 1,137 938 Raising funds (Note 4) Charitable Actlvities (Note 51 Governance costs {Note 2,653 74 39 3,509 3,330 61 27 152} 23 149 4,646 4 268 40 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Total Expenditure (continued) 7.2 TfL Staff Welfare Fund (restrlcted fund) 2024 2023 £'ooo £ 'ooo 104 38 16 14 Grants and servlces Investment Management 120 52 7.3 Staff Costs 2024 2023 £'ooo £'ooo 1,072 930 119 101 69 52 Salaries Social Security Staff pensions 1 260 1083 The followlng number of employees recelved employee beneflts (excludlng employer penslonl during the year between: 2024 2023 £60,000 - £69,999 £70,000 - £79,999 £80,000 - £89,999 The total employee benefits Includlng pension contrlbutions of the key management personnel were £178,559 (2023.. £88,630), None of the charity trustees received any remuneration or other benefits from the charity. Amounts pald to auditors In respect of audit servlces amounted to £7,000 {2023.' £7,000) and £4,500 {2023: £4,500) in respect of accountancy services. Staff numbers The average number of employee5 (headcount based on number of staff employed) during the year was as follows., 2024 2023 No. No. 10 RaTsing funds Charltable activities Support Governance 10 26 24 41 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Total Expenditure (continued) 7.4 Professional Indemnity Insurance Professional indemnity insurance was held throughout this year, wlth a value of £2,500,000. The total cost of general insurance, including professional indemnlty cover, was £7,198 (2023; £9,190). Fixed Assets - Investments TBF SWF TOTAL TOTAL 2024 2024 2024 2023 £'ooo £'ooo £'ooo £'ooo 3,590 1,654 5,244 5,034 121 109 230 816 (1001 11161 (2161 (269) 124 237 361 (337) Market Value at the beginning of the year Add: Additions at cost Less: Disposals at market value Net movement on portfollo Market Value of securltles at the end of the year 3735 1 884 5619 8.1 Benevolent Fund Account (unrestrlcted fund) All Investments (other than cash held by the Investment Manager) were in UK listed securltles, Includlng Britlsh Government Stocks, Investment and Unlt Trusts. The followlns holdings constltuted 5% or more of the total portfollo: Fund CFP Castlefields FD CFP Castlefields Sust UK O First Sentier Inv Sl WWIDE Sust B CBP DIS CFP Ca5tlefield FD CFP Castlefield Sust Eur FP Wheb Ast M t FD FP Wheb Sust FD B Acc CFP Castlefields FD CFP Castlefields Real Rtn Gn CFP Castlefield FD CFP Castlefield Sust UK SML Liontrust Sust Futr GBL GTH 2 Rathbone Ethical Bond l Dis Ro al London Bond RL Ethical Bond Z GBP DIS Value £ 968 766 362 406 362 293 331 972 284 374 283 085 241 856 207 145 205 722 Percenta 28% 10% 10% 9% 8% 6% 6% 42 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 Fixed Assets - Investments (continued) 8.2 TfL Staff Welfare Fund (re5trlcted fund) All investments (other than cash held by the Investment Manager) were in UK listed securities, Includlng Brltlsh Government Stocks, Investment and Unit Trusts. None of the holdlngs constltuted 5% or more of the total portfolio. Debtors TBF SWF TOTAL TOTAL 2024 2024 2024 2023 £ 'ooo £ 'ooo £ 'ooo £ 'oc 109 109 141 1,174 1,174 888 199 199 183 Prepayments and other debtors Tax recoverable on subscrlptions Subscrlptions not yet received Loans advanced to beneflciarles 1 487 1214 10. Llabllltles: Amounts fallfng due wlthln one year TBF SWF TOTAL TOTAL 2024 2024 2024 2023 £'ooo £'ooo £'ooo £'ooo Audlt fees Staff costs Other 31 62 31 66 24 37 100 104 68 11. Transport Benevolent Fund {Unrestrlcted) 2024 2023 £ 'ooo £ 'ooo 5,508 5,234 388 274 Brought forward Surplus for the year Balance as at the end of the year The money in this account was held for the provislon of grants and other member services, costs of support and governance and fundraising. All the funds are unrestricted. 43 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 12. TfL Staff Welfare Fund (Restricted) 2024 £ 'ooo 1,743 169 2023 £0 1,877 (134) Brought forward Surplus / {lossl for the year Balance as at the end of the year The money in this account is held for the provision of grants and other member services, costs of support and governance and fundraising. The funds are restrlcted and may only be used in the way described In the Deed of Grant from Transport for London dated March 1, 2006. Eligible persons (who need not be TBF members) may also be granted loans from thls fund. 13. Transfers between Funds There were no transfers between the Irestrlcted) TfL Staff Welfare Fund and the (unrestricted) Benevolent Fund account. Although the trustees are entitled in accordance wlth the Deed of Grant which transferred the TfL Staff Welfare Fund from Transport for London to the charity to charge up to 0.5% of the asset value each year for administration, the trustees have determined that this charge should not be levied in the foreseeable future. 14. Analysls of Net Assets between Funds Unrestrfcted Restrlrted Total 2024 2024 2024 £ 'ooo £ 'ooo £ 'ooo 3,735 1,884 5,619 2,161 28 2,189 Fixed assets Net Current Assets Total Previous year Unrestricted Restricted Total 2023 2023 2023 £ 'ooo £ 'ooo £ 'ooo 3,589 1,655 5,244 1,919 88 2,￿7 Fixed Gssets Net Current Assets Total 44 Transport Banevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 15. Reconciliatfon of net Income / (expenditure) to net cash flow from operating activfties TBF SWF Total Total 2024 2024 2024 2023 £'ooo £'ooo £'ooo £'ooo 388 169 557 140 Net Income for the reportlng perlod (as per the statement of flnanclal actlvltles) Interest, rent and dlvidends from investments (Gainsl/ losses on investments Ilncreasell decrease in debtors Increasel (decrease) In credltors 189) {52) {1411 (100) 1124} 1237) (361) 337 (271) 12) {2731 234 39 (3) 36 Net cash provlded by / (used In) operatln8 actlvltles 57 125 182 615 16. Analysis of cash and cash equlvalents TBF SWF Total 2024 2024 2024 £ 'ooo £ 'ooo £ 'ooo 779 27 806 Total 2023 Cash at bank and In hand 861 Total cash and cash equlvalent5 779 27 806 861 17. Penslon arrangements The penslon charge for the year shown In Note 7 to the accounts relates to the stakeholder pension scheme and death-fn-servlce cover. All staff aged under state pension age are auto enrolled into the scheme. There Is no legal or ontractual obligation for the trustees to contribute beyond 3% of salary but the trustees have decided to contribute 5% of salary and meet the cost of the associated death.in-5ervlce cover. Their contributlon is increased to 9% of salary where members of the scheme agree to contribute 6% or more of salary. The trustees belleve it Is right to help staff prepare for retirement and encourage them to remain in the scheme. At the year-end, nineteen staff had jolned and seventeen were paying at the rate of 6% or more, triggerlng the trustees, additional contrlbution of 9% and two were paying 5%. 45 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 18. Transactlons with Trustees and Related Parties 18.1 Services Granted All trustees are members of the Charity and they and thelr dependants are eligible for conslderation for services on the same terms as any other beneficiary or their dependants, with the exception that they take no part in determlnlng the granting of any services to themselves or thelr dependants. The total value of grants or services made to trustees or thelr dependants from the unrestricted fund was £10812023: £6571, involving one trustee. No grants or servlces were made to trustees or thelr dependants from the TfL Staff Welfare Fund. 18.2 Remuneratlon and loans No trustee received any remuneration, loan or other benefit from the Charfty, except as dlsclosed in the precedlng Note. 18.3 Buslness Transactlons Involvlng Trustees and Related Partles There were no business transactions Involving trustees personally or persons wlth a family or buslness connectlon wlth them, either directly or Indirectly nor with any related parties. 18.4 Expense5 Only actual expenses Incurred by trustees are relmbursed. The total pald during the year was £64212023: £631). 19, Grants to Other Instltutlons No grants were made to other instltutlons, except where these were for the dlrect relief of the charity's beneflclarles. 20. Loan5 and Guarantee5 There were no loans or guarantees secured against the Charity's assets. 46 Transport Benevolent Fund (CIO) Notes to the Financial Statements For the year ended 31 March 2024 21. Future Commitments The only major leasing commitment is fn respect of offlce premises. Total minimum rental payments payable in terms of operating lease are £673,383 {2023.. £809,293), payable quarterly in advance. Thls includes service charge whlch is a fair and reasonable proportion of the service costs. The charity is also required to pay business rates and a fair proportion of the landlord's insurance premlum. The lease explres in October 2028. The charfty incurs expenditure on medical treatments and consultations, legal assistance and medical equipment, all of which is for the specific relief of the beneficlary or dependant. Such expenditure may take place over an extended perlod and it is the policy to agree In advance the extent of help which may be offered over a perlod not exceeding twelve months The beneflciary or dependant is then enabled to seek approprlate relmbursement of expenditure during that period. The assessment of these future commltments Is difflcult to achleve, however, because the extent to which reimbursement wlll be sought by the Individuals concerned is not known, the trustees have consldered the questlons of, firstly, at whlch polnt a contingent liablllty may be sald to arise In this regard and, secondly¥ whether or not St is possible to reasonably estlmate the extent to which any such contlngent Ilabillty may crystallize. The trustees conslder that It Is not Ilkely that any contlngent Ilablllty will crystallize in this respect and hence no provlslon has been made In the flnancial statements in this regard. The trustees have assessed the potentlal liabllity accruing for these reasons to be £191,519 representlng approxlmately 14. 5 days, Tncome12023: £186, 593 representins approxlmately 14. 5 days, Income). 47