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2021-06-30-accounts

The Amarna Trust - Annual Report For the year ended 30 June 2021

Charity number: 1161292

The Amarna Trust

Annual report for the year ended 30 June 2021

REFERENCE AND ADMINISTRATIVE INFORMATION

Registered office

Board of Trustees

Newton Hall Dr Paul Nicholson (Hon Chair, retired 31 Dec Town Street 2021) Newton Dr Helen Fenwick (appointed 12 July 2021 and Cambridge CB22 7ZE Hon Chair from 4 Feb 2022) Prof Barry J. Kemp (Hon Secretary) Ms Susan Kelly, CA, CPA (Hon Treasurer) Dr Andrew Bednarski Mr Paul Docherty (appointed 12 July 2021) Dr Anna Garnett (appointed 12 July 2021) Dr Alison L. Gascoigne (retired 28 Feb 2021) Ms Vicky Kemp (retired 28 Feb 2021) Dr Pamela Rose Dr Kate Spence (retired 31 Dec 2021)

Bankers

NatWest Bank 33 High Street High Wycombe Bucks HP11 2AG

Online

Registered charity number

www.amarnatrust.com 1161292

Page 1

Annual report for the year ended 30 June 2021

The Amarna Trust

REPORT OF THE BOARD OF TRUSTEES FOR THE YEAR ENDED 30 JUNE 2021

The trustees of The Amarna Trust present their report and the unaudited financial statements for the year ended 30 June 2021.

OBJECTIVES AND ACTIVITIES

Objects and aims of the charity

The Amarna Trust exists to raise funds and provide financial support for archaeological fieldwork and research relating to the ancient site of Tell el-Amarna in middle Egypt. The charity’s objectives are:

To advance public education and to promote the conservation, protection and improvement of the ancient city of Tell el-Amarna, Egypt and the surrounding area for the benefit of the public in particular, but not exclusively, by:

Main objectives and significant activities for the year

The trustees’ main objectives for the year were as follows:

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The Amarna Trust Annual report for the year ended 30 June 2021

Strategies for achieving objectives and public benefit

The charity’s strategies for achieving its objectives involve raising donations and grants from various institutions and individuals and ensuring the best use of those funds in relation to the Trust’s annual and longer term objectives. In general, the Trust achieves these goals by providing grants to applicants for their fieldwork and research projects (see Notes 4 and 5). The Amarna Trust is truly grateful to all donors and Giving Circle patrons, as well as to the Egyptian Ministry of Tourism and Antiquities (MoTA) for its continued collaboration and support.

The trustees confirm that they have complied with their duty under the Charities Act 2011 to ensure the charity provides public benefit. They have considered the public benefit guidance published by the Charity Commission and believe that they have followed its guidance in this area. In part, the charity provides these benefits via public and online lectures and the regular publication of its freely distributed newsletter, Horizon .

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Trust is governed by a Constitution dated 23 February 2015. It is registered with the Charity Commission as a Charitable Incorporated Organisation (registered charity number 1161292).

The Charitable Incorporated Organisation (CIO) was set up to continue the work of the predecessor unincorporated charity (also called The Amarna Trust, registered charity number 1113058). The assets, liabilities and reserves of the unincorporated charity were transferred to the CIO on 1 July 2016.

Trustees and their appointment, induction and training

Trustees are appointed in accordance with Articles 9 and 10 of the Constitution. New trustees are recommended based on the role to be filled and their expertise. They are then appointed during a meeting of the charity trustees. All new trustees are provided with a copy of the Constitution, the most recent annual report and statement of accounts, recent trustee meeting minutes, and the Charity Commission’s guidance “The Essential Trustee: What You Need to Know”. New trustees are also advised to regularly consult the Charity Commission website. Any trustee retirements are approved at the subsequent meeting of charity trustees in accordance with the Constitution.

We are truly grateful for the many and invaluable contributions of the following trustees, who retired since the last annual report:

Several new trustees were appointed, effective the trustee meeting on 12 July 2021: Dr. Helen Fenwick (who also took on the role of Honorary Chair beginning 4 February 2022), Mr Paul Docherty and Dr Anna Garnett. We welcome our new trustees and look forward to working together.

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Annual report for the year ended 30 June 2021

The Amarna Trust

Organisational Structure

The trustees of the charity review all operational and financial matters during their bi-annual meetings.

The charity has no employees. All of the work of the Trust is carried out by volunteers, to whom the trustees are truly grateful.

Risk Management

The trustees review the principal risks and major uncertainties relating to the charity throughout the year and during their bi-annual meetings. Identified risks are presented, discussed in detail and the results of those discussions are included in the meeting minutes. In addition, the trustees ensure that all grant recipients prepare appropriate risk assessments prior to undertaking any work in the field.

The key risks and uncertainties to which the charity is currently exposed include:

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Annual report for the year ended 30 June 2021

The Amarna Trust

ACHIEVEMENTS AND PERFORMANCE

The current year was again busy and successful. The permits required for work at the site of Amarna were available for the entire year, despite ongoing difficulties with the COVID pandemic. The Trust is grateful for the continued assistance and co-operation of the Egyptian MoTA and the police of el-Minia province whose responsibility it is to ensure the safety and security of all foreign expeditions.

The programme of work comprised the following elements:

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Annual report for the year ended 30 June 2021

The Amarna Trust

Dr Anna Stevens, grant recipient, lectured online as well. Both Dr Stevens and Professor Kemp prepared reports for the Egyptian MoTA and academic articles for multiple publications.

The directors also coordinated and contributed to the publication of the Horizon newsletter. Issue 21 was distributed in Spring 2021. All Horizon issues are available on the Amarna Project web site at www.amarnaproject.com.

The web site www.amarnatrust.com has been maintained and updated.

The Trust provided a partial grant for the production of 42 large information panels to be installed across the site of Amarna at all significant structures and locations. The panels were produced in spring 2020 and erected in summer 2020, bringing a more professional look to the site and benefiting visitors and scholars alike. The balance of funding for this project was received from the Newton Mosharafa Institutional Links scheme - these amounts did not pass through the Trust’s accounts.

FINANCIAL REVIEW

Income and expenditure in relation to the Trust’s objectives

Despite the continued COVID challenges in 2021, the current financial year was a busy and successful one. The Trust was pleased that all required permits were smoothly made available, thanks to the ongoing assistance of the Egyptian MoTA staff, in Cairo, el-Minia and Mallawi. The impact of COVID-19 was minimal. Although there were some limitations on travel to Egypt (often dictated by circumstances in team members’ home countries), there were no significant health issues for the individuals working at Amarna and no discernible impact on fundraising.

The Trust provided funds, grants or other support for the following:

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Annual report for the year ended 30 June 2021

The Amarna Trust

Total income for 2021 was £39,178, an increase of 3.6% over 2020 (£37,807). Income largely consisted of donations and project-related grants from institutions such as museums and foundations. Income is either a) restricted to a specific project, as specified by the donor, or b) unrestricted, available for use as directed by the trustees.

Unrestricted income for 2021 was £16,785 (42.8% of total income) and restricted was £22,393 (57.2%), compared to 37.2% and 62.8% respectively in 2020. This continues the trend of an increasing percentage of funds received from unrestricted sources.

Unrestricted income was 19.5% higher than in 2020. The Trust continued to cultivate the donor Giving Circles to recognise its most loyal supporters – the Meryra Circle (for donations of more than £500 per year) and Akhetaten Circle (for regular donors, contributing £10 or more per month). These donor circles were established to build a stable base of unrestricted income, funds to be allocated based on the recommendations of the trustees.

Restricted funding can vary considerably from year to year, depending on the various fundraising campaigns and grant applications. Restricted funds were raised in 2021 for the following projects: a) Great Aten Temple study, reconstruction and excavation, and b) Magazine appeal, for the construction of the new storage and study facility at Amarna.

Gift aid income remained consistent with prior years. We note that many of the new Giving Circle donors live outside the UK and do not qualify for gift aid, so an increase in donations will not always result in higher gift aid income.

Expenditure in 2021 was significantly lower (£27,381) than the prior year (£47,118). During 2020, projects which had been delayed in 2019 were finally completed, therefore resulting in a year of significant expenditure. Whereas in 2021, although work progressed, it was with significantly smaller teams and a reduced scope of work. Both the Great Aten Temple team and the Cemetery team were awarded grants in 2021 which were not spent until 2022. In the case of the Temple, the funds were actually advanced but not spent and were recorded as an asset (£9,783) at year-end. Fieldwork and research costs were £18,001 for 2021 versus £31,839 in 2020 – making up 65.7% of total expenditure in 2021 versus 67.6% in 2020. Travel costs and consultant and honorarium expenses were also significantly lower in 2021 than in 2020, consistent with decreases in fieldwork.

Current year expenses were split between unrestricted (£14,685) and restricted (£12,696). Unrestricted expenditure was higher than in 2020. The additional unrestricted funds raised by the trust meant that the trustees were able to provide larger unrestricted grants (£8,417 in 2021 versus £6,679 in 2020 – see Note 4).

Major areas of expenditure were:

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The Amarna Trust Annual report for the year ended 30 June 2021

Much of the expenditure was in the form of grants to individuals who are directors of the Amarna Project, an unrelated entity which carries out research projects at Amarna (although one of the Project Directors, Professor Barry Kemp is a related party, as he is also a Trustee). These grants are further explained in Note 4 and related party activities are disclosed in Note 5.

The Trust had net income of £11,797 in 2021 versus a net loss of (£9,311) in 2020. The 2021 net income was made up of £2,100 unrestricted net income and £9,697 restricted net income. The restricted net income was the result of grants awarded by the trustees in the year that were not expended and were instead recorded as Advances at the end of the year (see the Balance Sheet). These amounts will be spent in 2022 on the Great Aten Temple and Magazine Extension projects.

Funds and reserves

Overall, the funds of the Trust increased £11,797 in 2021 (see Note 6). At the end of the year, the total funds available were £60,448, broken down into restricted: £36,110 and unrestricted: £24,338. Total unrestricted funds available increased from £22,238 to £24,338 during the year, leaving the Trust in a healthy position at year-end. The Amarna Trust had no funds in deficit at 30 June 2021 or at any time in 2021 or 2020.

The policy of the Amarna Trust is that all funds raised will be spent on the charitable objectives, with no significant reserves. Since some of the work of the Trust takes place at specific times of year, the trustees calculate levels of funding raised during the previous period and available to spend, and tailor grant-making accordingly. However, the trustees have decided that a balance of £10,000 unrestricted funds must be held back as a reserve to cover unexpected financial needs. The reserves and this policy are reviewed in detail at each Trustee meeting.

As always, we are extremely grateful to our enthusiastic donors, volunteers, trustees and supporters in 2021 and look forward to another successful year, regardless of the challenges that face us.

I would be happy to make full accounts available on request, or to answer any financial questions. A copy of our signed external scrutiny document has been attached to these statements.

Susan Kelly, Honorary Treasurer 26 April 2022

Page 8

The Amarna Trust

Statement of Financial Activities (incorporating an income and expenditure account) For the year ended 30 June 2021

2021 2020
Notes Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds
£ £ £ £ £ £
Income from:
Donations and grants
Donations 16,060 8,315 24,375 11,142 9,160 20,302
Grants - 14,078 14,078 - 14,596 14,596
Gift aid 725 - 725 789 - 789
Royalty and other - - - 2,120 - 2,120
income
Total income 16,785 22,393 39,178 14,051 23,756 37,807
Expenditure on:
Raising funds and newsletter 2,978 - 2,978 1,920 - 1,920
Charitable activities and support costs
Fieldwork and research 4, 5 5,305 12,696 18,001 2,100 29,739 31,839
Consultants and 4, 5 1,547 - 1,547 2,350 1,507 3,857
honorariums
Website 1,322 - 1,322 780 - 780
Travel 1,268 - 1,268 1,116 3,086 4,202
Cairo office rent 725 - 725 1,600 - 1,600
Financial charges 645 - 645 543 - 543
Insurance 597 - 597 2,155 - 2,155
Equipment and software 298 - 298 - - -
Trustee expenses - - - 222 - 222
Total expenditure 14,685 12,696 27,381 12,786 34,332 47,118
Net income (loss) 2,100 9,697 11,797 1,265 (10,576) (9,311)
for theyear
Reconciliation of charity funds:
Total funds brought 6 22,238 26,413 48,651 20,973 36,989 57,962
forward
Total funds carried
forward 6 24,338 36,110 60,448 22,238 26,413 48,651

All activities relate to continuing operations.

The notes on pages 12 to 19 form part of these financial statements.

Page 9

The Amarna Trust

Balance Sheet

As at 30 June 2021

Notes 2021 2020
£ £
Current assets:
Cash at bank and in hand 54,159 49,203
Debtors, advances and prepayments 2 9,783 -
Total assets 63,942 49,203
Creditors and provisions: amounts 3 3,494 552
falling due within one year
Total net assets 60,448 48,651
Charity funds:
Restricted income funds 6 36,110 26,413
Unrestricted funds 6 24,338 22,238
Total charity funds 60,448 48,651

The notes on pages 12 to 19 form part of these financial statements.

The charity is entitled to exemption from statutory audit by the Charities Act 2011, section 160.

The financial statements were approved by the trustees on 26 April 2022 and signed on their behalf by:

Susan Kelly, Honorary Treasurer

Dr Helen Fenwick, Honorary Chair

Registered charity number 1161292

Page 10

The Amarna Trust Statement of Cash Flows

For the year ended 30 June 2021

2021 2020
£ £
Net income (loss) for the year 11,797 (9,311)
Adjustments for:
(Increase)/decrease in debtors, advances and (9,783) 19,239
prepayments
Increase/(decrease) in creditors and provisions 2,942 552
Net cash provided by (used in) operating 4,956 10,480
activities
Change in cash at bank and in hand in the year 4,956 10,480
Cash at bank and in hand at the beginning of the 49,203 38,723
year
Cash at bank and in hand at the end of theyear 54,159 49,203

The charity did not have any investing or financing activities in 2021 or 2020.

A table reconciling net debt has not been provided. The charity has cash balances as disclosed above, but no other borrowings, derivatives, obligations under finance leases or other loans.

Page 11

The Amarna Trust

Notes to the Financial Statements For the year ended 30 June 2021

1. Accounting policies

a. Basis of preparation of financial statements

The financial statements are prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), second edition, effective 1 January 2019 and published October 2019 – (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (updated March 2018) and the Charities Act 2011.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

b. Public benefit entity

The Amarna Trust meets the definition of a public benefit entity under FRS 102.

c. Going concern

The trustees consider that there are no material uncertainties, including the ongoing impact of the COVID-19 pandemic, on the charity’s ability to continue as a going concern.

Key judgements and assumptions that the charity have made, which have a significant effect on the accounts, include estimating the timing of liabilities for future grant commitments.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

d. Fund accounting

Restricted funds are to be used only for specific purposes as communicated by the donor. Expenditures that meet these criteria are charged to the fund. Only eligible direct support costs, such as travel, are charged against the relevant restricted funds.

Unrestricted funds are donations and other income received or generated for general charitable purposes and can be spent at the discretion of the trustees.

e. Income

All income is recognised when the charity is entitled to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and the amount can be measured reliably.

Royalty income is earned when the charity provides use of images or other information from its archives for use in publications or other media, as long as there is reasonable certainty of collection.

Where income from a donation or grant carries a restriction that the funds must be used for a specific purpose, project or activity, this income is included as restricted funds.

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The Amarna Trust

Notes to the Financial Statements For the year ended 30 June 2021

Accounting policies (continued)

Expenditure is recognised once there is a legal or constructive obligation 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.

All expenditure is accounted for on an accrual basis. Expenditure is classified under the following activity headings:

The charity is below the threshold for statutory audit as required by the Charities Act 2011 section 160 and the Charities SORP FRS 102 Appendix 3 and therefore chooses to present its expenditure based on the nature of the expense rather than on an activity basis. Indirect support costs are minimal and are included in their separate headings, rather than being allocated to other expenditure categories.

Grants for fieldwork are recognised when awarded by the Board of Trustees, unless there are conditions that impact the probability of settlement, such as a delay in the start of fieldwork. Archaeological grants are conditional on the receipt of all required permits and the commencement of fieldwork – once these conditions are in place, the grant expense is recognised in the accounts. Prior to this, any payments are recorded as advances to the grant holder on the Balance Sheet (see Note 2).

g. Donated services and volunteers

Donated professional services are recognised as income when the charity has received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and the economic benefit can be measured reliably.

On receipt, donated services 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 similar services on the open market. A corresponding amount is then recognised in expenditure in the period of receipt.

There were no donated services received in 2021 or 2020.

In accordance with the Charities SORP (FRS 102), volunteer time is not recognised as income. Please refer to the trustees’ annual report for more information about the contribution of volunteers.

h. Cash at bank and in hand

Cash at bank and in hand includes cash in the charity’s bank accounts and held in petty cash in the office in Cairo, of which there was none at the end of 2021. The charity funds do not include any short-term highly liquid investments.

i. Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered.

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Notes to the Financial Statements For the year ended 30 June 2021

The Amarna Trust

Accounting policies (continued)

j. Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

k. Financial assets and financial liabilities

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement amount.

l. Staff costs and charity trustee remuneration and expenses

The charity does not employ any staff or key management.

The Report of the Board of Trustees discusses the work of two “project directors”, Professor Barry Kemp (who is also a Trustee) and Dr Anna Stevens. Both of these directors are volunteers with the Amarna Project, the entity allowed to seek the required Egyptian permissions for work at the site of Amarna. They are volunteers and do not receive salaries. They do, however, receive grants from the Trust, in support of their fieldwork from time to time. See also Notes 4 and 5 (Grant making and Related party transactions).

The charity trustees are not remunerated and received no other benefits from employment with the charity in the year. No charity trustee received payment or reimbursement for travel or subsistence costs relating to attendance at meetings of the trustee. Trustee expenses on the Statement of Financial Activities consist of costs incurred for the trustee meetings. There have been no such expenses in 2021, as all meetings have been held online since the start of the COVID pandemic. No charity trustee received payment for professional or other services to the charity, except as disclosed in Note 5.

2. Debtors, advances and prepayments

2021 2020
£ £
Accrued income - -
Grant advances (see Note 1f) 9,783 -
Debtors, advances andprepayments 9,783 -

Page 14

For the year ended 30 June 2021

The Amarna Trust

Notes to the Financial Statements

3. Creditors and provisions: Amounts falling due within one year

2021 2020
£ £
Creditors andprovisions 3,494 552

4. Grant making expenditure

Fieldwork and research, consultants and honorariums, and travel expenditure includes amounts relating to the following restricted and unrestricted grants approved by the Trustees:

2021 2021 2021 2020 2020 2020
Re- Unre- Total Re- Unre- Total
stricted stricted stricted stricted
£ £ £ £
£ £
Great Aten Temple research seasons – Fall 2020 and 19,219 6,004 25,223 34,076 1,967 36,043
Spring 2021
Magazine Extension appeal funds 3,260 - 3,260 - - -
Signage project at Amarna - 1,500 1,500 - 2,100 2,100
Cairo office rent and other costs contribution - 913 913 - 1,600 1,600
South Tombs Cemetery Publication Fund - - - 256 1,012 1,268
Less: Ending balances, unspent (see Advances) (9,783) - (9,783) - - -
Total grant expenditures, accrual basis 12,696 8,417 21,113 34,332 6,679 41,011
(see also Notes 5 and 6)

All grants are awarded after discussion and approval by the Board of Trustees, and are funded from both restricted and unrestricted funds, depending on grant requests received and availability of funds. After the related work is completed, accounts and receipts are presented to the Trust by the grant recipient, as proof of expenditure.

The following grants were awarded to a trustee (Professor Barry Kemp), who then disbursed the funds in accordance with budgets presented to the trustees – see related party disclosure in Note 5:

Page 15

The Amarna Trust

Notes to the Financial Statements

For the year ended 30 June 2021

5. Related party and other transactions

The following is a complete list of all related party transactions that took place in 2021.

2021 2020
Relatedparty transactions £ £
Opening advance to Trustee - 14,858
Add: Grant payments to Trustee in the year (cash basis) 26,284 17,331
Add: Amounts granted to Trustee, but paid to third parties
on the Trustee’s behalf (cash basis) 2,199 5,454
Less: Ending advance to Trustee (9,783) -
Total grants and other payments to Trustee Barry Kemp
in theyear(accrual basis) 18,700 37,643

There were no restricted donations from related parties in either 2021 or 2020.

There are no other related party transactions to disclose for 2021 or 2020.

Page 16

The Amarna Trust

Notes to the Financial Statements

For the year ended 30 June 2021

6. Movement in Charity Funds

Fund Fund Incoming Outgoing Transfer Fund
balances at resources resources between balances at
30 June 2020 funds 30 June 2021
£ £ £ £
£
Restricted income funds
South Tombs Cemetery
Publication Fund 9,292 - - - 9,292
Statuary Publication Fund 8,637 - - - 8,637
Great Aten Temple Fund 1,026 15,304 (9,060) 113 7,383
Magazine Extension Fund - 7,089 - - 7,089
Amarna Trust Annual
Fund 6,749 - (3,636) - 3,113
North Tombs Cemetery Fund 596 - - - 596
Kom el-Nana Protection Fund 113 - - (113) -
Total restricted income
funds 26,413 22,393 (12,696) - 36,110
Unrestricted funds 22,238 16,785 (14,685) - 24,338
Total Charity Funds 48,651 39,178 (27,381) - 60,448

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The Amarna Trust

Notes to the Financial Statements

For the year ended 30 June 2021

Fund Fund Incoming Outgoing Transfer Fund
balances at resources resources between balances at
30 June 2019 funds 30 June 2020
£ £ £ £
£
Restricted income funds
South Tombs Cemetery
Publication Fund 5,548 4,000 (256) - 9,292
Statuary Publication Fund 8,637 - - - 8,637
Amarna Trust Annual
Fund 6,749 - - - 6,749
Great Aten Temple Fund 15,346 19,756 (34,076) - 1,026
North Tombs Cemetery Fund 596 - - - 596
Kom el-Nana Protection Fund 113 - - - 113
Total restricted income
funds 36,989 23,756 (34,332) - 26,413
Unrestricted funds 20,973 14,051 (12,786) - 22,238
Total Charity Funds 57,962 37,807 (47,118) - 48,651

Only eligible direct support costs, such as travel, are charged against the relevant restricted funds.

Included in unrestricted funds is an amount designated by the trustees as an Emergency Fund (£10,000). See further discussion of this policy in the trustees’ annual report.

Page 18

The Amarna Trust

Notes to the Financial Statements For the year ended 30 June 2021

Purposes of Restricted income funds

All funds support on-going excavation and research projects at the ancient Egyptian city of Tell elAmarna, as follows:

Statuary Publication Fund

Great Aten Temple Fund

Magazine Extension Fund

Amarna Trust Annual Fund

North Tombs Cemetery Fund

Page 19

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