## **THE JAGCLIF CHARITABLE TRUST**
**Registered Charity No: 1163459**
**CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 30th June 2023**
**The Jagclif Charitable Trust Trustees Report for the year ended 30th June 2023**
The trustees present their report along with the financial statements of the Trust for the year to 30 June 2023. The Trust is a CIO (Charitable Incorporated Organisation) and is registered with the Charity Commission for England and Wales with registered charity number 1163459.
**Trustees** I. G. P. Wace E. Fragomeni C. Wace R. Brown J. Vincent Appointed 20/09/2022
The trustees, as shown above were appointed by the Constitution, and subsequent trustees can be appointed by them. All the trustees receive regular updates on the charity sector.
**Principal Office** George House 131 Sloane Street London, SW1X 9AT **Bankers** Natwest Bank Plc City of London Office 1 Princes Street London EC3P 3AR **Auditors** Moore Kingston Smith LLP Floor 6 9 Appold Street London EC2A 2AP **Solicitors** Bates Wells 10 Queen Street Place London EC4R 1BE
## **Objects, Activities and Public Benefit**
The objects of the Trust are for such exclusively charitable purposes for the benefit of the public in any part of the World as the Trustees may in their absolute discretion think fit. The Trust meets its objects though grants, donations and investments.
The Trust’s support and public benefit activities, both internationally and in the United Kingdom, cover a wide range of beneficiaries and organisations. These charitable activities can be grouped into the following areas which the Trust focuses on, while at the same time still supporting other charitable activities, campaigns and initiatives where possible or if a specific need arises.
- Education, including programs and organisations which help all children and young people, regardless of their background, get access to education.
- Public health and aid, both in developed and developing countries, including the support to the National Health Service (NHS) in the United Kingdom and those who work within it.
- Regeneration of and support for communities in urban deprived areas or waning rural areas.
- Provision of support and care for those in public service, including service men and woman with mental health concerns.
The Trustees confirm that they have complied with the duty in section 17 of the Charities Act 2011 to have due regard to the Charity Commission's general guidance on public benefit.
Page: 1
**The Jagclif Charitable Trust Trustees Report for the year ended 30th June 2023**
## **Achievements, Performance and Financial Review**
During the year the Trust received donations of £15,625,000 (2022: £21,000,000) and committed to donations and grants of £397,161 (2022: £6,818,383) to various other organisations around the World as detailed in note 4 to the financial statements. Donations in the year of £397,161 were broadly in line with the prior year donations (£438,383). The two largest donations in 2023 were education focused (New York Studio School) and to help young people from disadvantaged communities (The Princes Trust). Grants reduced by £6,380,000 year on year, this was due to all prior year grants being multi-year grants with significant cash flows (£2.3m) in 2023 for ARK (education) £1.55m, Fly Navy Heritage (education & naval aviation heritage) £200k, Place2Be (mental health) £25k, The Iris Project (environment) £60k and Taigh Mor Foundation (armed forces) £500k. The Trustees receive regular updates on the progress and impact of the projects to which they donate.
In February 2020, the Trust received a donation in the form of shares in Summer Isles Enterprises Ltd, a company which owns properties within the UK. This company is actively engaged in the thoughtful restoration and renovation of the property's buildings, equipment, and infrastructure, with the involvement of the local community at the heart of the restoration efforts. The restoration phase is projected to continue for an additional 12 to 18 months, after which the focus will shift towards developing the property's hospitality services. The income generated from this venture will be directed back to the Trust, aiding in the furtherance of its charitable objectives. Through the Trust's social investment in the company, the company is poised to deliver multifaceted benefits to the public, including:
- **Health and Well-being** : SIE's objective is to establish a place for care, recuperation, and temporary relief, including for those in public service with the aim to enhance mental health, fortify resilience, and cultivate overall well-being.
- **Rural Community Empowerment:** SIE is committed to the revitalisation of rural communities by creating opportunities for employment, offering training programs, facilitating access to housing, and improving infrastructure. SIE's efforts also include preserving and promoting traditional skills and craftsmanship. Through the provision of job opportunities and housing, the company is countering negative socio-economic trends in the area. This is augmented by the company’s investment in
- decaying community infrastructure.
- **Arts, Cultural, Heritage, and Scientific Advancement:** SIE's mission extends to the preservation and celebration of craft and historical heritage by restoring and maintaining landmarks, including land, buildings, and marine vessels. SIE supports scientific exploration and the endeavours of scholarly societies and institutions. By building collaborative networks and documenting local arts, culture, and heritage, we aim to foster a rich, educational environment.
- **Environmental Stewardship:** SIE pledge to advocate for environmental conservation and improvement projects that not only support sustainable food production and protect heritage but also enhance biodiversity and encourage landscape-scale ecological restoration.
- **Educational Development** : SIE is dedicated to fostering community education and personal development, especially among the youth. Through training, research, and the dissemination of knowledge, SIE seek to build a foundation of collective wisdom and expertise.
The results of this subsidiary for the year ended 30th June 2023 are detailed in note 3 to the financial statements.
All awards and donations have been made in keeping with the Trust guidelines and objectives of the CIO Constitution.
## **Grant Policy**
The Trustees discuss each potential grant before a decision is taken to support a charitable organisation. The grants are given at arms length, for use in on-going charitable activities of an organisation, and are generally requested to remain confidential.
## **Investment Policy**
The Investment policy of the Trust is to achieve low volatility, absolute returns, whilst preserving the capital value of its investments. The fund investments donated to and held by the Trust do not pay a dividend and therefore the only source of income would be on disposal.
Page: 2
**The Jagclif Charitable Trust Trustees Report for the year ended 30th June 2023**
## **Reserves Policy**
The Trustees ensure the Trust holds sufficient working capital for the ongoing grant commitments. Reserves have been built up to fund future grant activities. The current capital value of the investments stands at £3,688,759 (2022: £17,943,617). Unrestricted funds of the group are £61,417,631 (2022: £69,926,455). The trustees review this policy on an annual basis.
## **Risk Management**
The major risks to which the Trust is exposed, as identified by the trustees, have been reviewed and the trustees are satisfied that the processes are in place to mitigate those risks.
- There is a risk we will not attract sufficient philanthropic capital to continue to meet the Trust's commitments. Mitigation: The Trust continually assesses it's level of reserves before committing to grants payable to ensure the Trust always has sufficient reserves to continue operations.
- There is a risk that the investments will not yield sufficient returns to fund the Trust's commitments. Mitigation: The Trustees review the investments made by the Trust from time to time and would take appropriate steps in the event there were insufficient returns on the Trust's investment portfolio.
- There is a risk specifically within SIE Ltd that the imposition of regulatory permissions and warrants could impact the company's ability to deliver the full restoration within the time frame. Mitigation: The
- SIE management team have established good working relationships with the relevant departments and other stakeholders to address the necessary mitigation.
## **Key management and remuneration policy**
The Trustees are not remunerated. The Trust has no employees apart from those employed by its 100% owned subsidiary.
## **Appointment of new trustees**
New trustees may be appointed by the existing trustees, to fill a vacancy or act as an additional trustee. The Trust shall select appropriate trustees and provide them with an induction to acquaint them with the governance and policies of the Trust as well as what is expected of them in their new role. Additional training and/or information will be provided to the trustees on an ongoing basis.
## **Future Plans**
The trustees plan to pursue a policy of continuity over the coming twelve months, with no major operational changes forecast for the coming year compared to the current year. The Trust plans to continue to provide benefit to the public focusing on the areas of charitable activity outlined in the trustee report.
Page: 3
## **The Jagclif Charitable Trust**
## **Trustees Report for the year ended 30th June 2023**
## **Statement of Trustees' Responsibilities**
The trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Charity law requires the trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). The financial statements are required by law to give a true and fair view of the state of affairs of the charity and of the income and expenditure of the Trust for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Trust will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Trust and enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Trust and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **Audit Information**
So far as each of the trustees at the time the trustee's report is approved is aware:
- there is no relevant information of which the auditors are unaware; and
- they have taken all relevant steps they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
## **Auditors**
Moore Kingston Smith LLP continued to be the auditors during the period.
On behalf of the Trustees:-
.................................................. **Trustee**
Date:
29th April 2024
Page: 4
## **Independent Auditors Report to the Trustees of The Jagclif Charitable Trust**
## **Opinion**
We have audited the financial statements of The Jagclif Charitable Trust for the year ended 30 June 2023 which comprise the Group Statement of Financial Activities, the parent Statement of Financial Activities, the Group Balance Sheet, the Group Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 ‘The Financial Reporting Standard Applicable in the UK and Ireland’ (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
- give a true and fair view of the state of the charity’s affairs as at 30 June 2023, and of its incoming resources and application of resources, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs(UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the audit of financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility 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 identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Page: 5
## **Independent Auditors Report to the Trustees of The Jagclif Charitable Trust**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:
- the information given in the Trustees’ Annual Report is inconsistent in any material respect with the financial statements; or
- the charity has not kept adequate accounting records; or
- the financial statements are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we required for our audit.
## **Responsibilities of trustees**
As explained more fully in the trustees’ responsibilities statement set out on page 4, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity’s ability 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.
## **Auditor’s responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the charity’s internal control.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
- Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.
- Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Page: 6
## **Independent Auditors Report to the Trustees of The Jagclif Charitable Trust**
## **Auditor’s responsibilities for the audit of the financial statements (continued)**
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud**
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charity.
Our approach was as follows:
- We obtained an understanding of the legal and regulatory requirements applicable to the charity and considered that the most significant are the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council.
- We obtained an understanding of how the charity complies with these requirements by discussions with management and those charged with governance.
- We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.
- We inquired of management and those charged with governance as to any known instances of noncompliance or suspected non-compliance with laws and regulations.
- Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.
There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charity and charity's trustees as a body, for our audit work, for this report, or for the opinion we have formed.
30 April 2024 Date ………………… Moore Kingston Smith LLP Floor 6 Chartered Accountants and 9 Appold Street Statutory Auditors London EC2A 2AP
Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006.
Page: 7
## **The Jagclif Charitable Trust Consolidated Statement of Financial Activities For the year ended 30th June 2023**
|**Note**
**Income from:**
Donations
2
Investment income
Commercial trading income
3
Other income
**Total Income**
**Expenditure on:**
_Charitable Activities:_
Grants and donations payable in furtherance of objects
4
Commercial trading expenditure
3
**Total Expenditure**
Gains / (losses) on investments
Gains / (losses) on foreign exchange
**Net movement in funds**
**Reconciliation of funds :**
Total funds brought forward
Total funds carried forward|**Unrestricted**
**Restricted**
**Total**
**Total**
**Funds**
**Funds**
**Funds**
**Funds**
**2023**
**2023**
**2023**
**2022**
**£**
**£**
**£**
-
15,625,000
15,625,000
21,000,000
69,759
-
69,759
805
436,460
-
436,460
345,674
13,607
-
13,607
20,146|
|---|---|
||519,826
15,625,000
16,144,826
21,366,625|
||(449,053)
-
(449,053)
(6,831,471)
(9,134,749)
-
(9,134,749)
(9,339,127)|
||(9,583,802)
(9,583,802)
(16,170,598)|
||568,073
-
568,073
1,779,623
(12,921)
-
(12,921)
1,795|
||(8,508,824)
15,625,000
7,116,176
6,977,445|
||69,926,455
-
69,926,455
62,949,010|
||61,417,631
15,625,000
77,042,631
69,926,455|
All gains and losses arising in the year are included in the Statement of Financial Activities and arise from continuing operations.
The notes on pages 12 to 19 form part of the financial statements.
Page: 8
## **The Jagclif Charitable Trust Statement of Financial Activities For the year ended 30th June 2023**
|**Note**
**Income from:**
Donations
2
Investment income
Loan interest
Other Income
**Total**
**Expenditure on:**
_Charitable Activities:_
Grants and donations payable in furtherance of objects
4
**Total**
Gains / (losses) on investments
Gains / (losses) on foreign exchange
**Net movement in funds**
**Reconciliation of funds :**
Total funds brought forward
Total funds carried forward|**Unrestricted**
**Restricted**
**Total**
**Total**
**Funds**
**Funds**
**Funds**
**Funds**
**2023**
**2023**
**2023**
**2022**
**£**
**£**
**£**
**£**
-
15,625,000
15,625,000
21,000,000
69,759
-
69,759
805
2,672,751
-
2,672,751
948,019
13,607
-
13,607
20,146|
|---|---|
||2,756,117
15,625,000
18,381,117
21,968,970|
||(449,053)
-
(449,053)
(6,831,471)|
||(449,053)
-
(449,053)
(6,831,471)|
||568,073
-
568,073
1,779,623
(12,921)
-
(12,921)
1,795|
||2,862,216
15,625,000
18,487,216
16,918,917|
||66,785,683
-
66,785,683
49,866,766|
||69,647,899
15,625,000
85,272,899
66,785,683|
All gains and losses arising in the year are included in the Statement of Financial Activities and arise from continuing operations.
The notes on pages 12 to 19 form part of the financial statements.
Page: 9
## **The Jagclif Charitable Trust**
## **Consilidated Balance Sheet at 30th June 2023**
|**Note**
**Non Current assets**
Investments
8
Concessionary loans
Investments in trading subsidiary
Tangible fixed assets
7
**Current Assets**
Cash at bank
Debtors
9
**Creditors: Amounts falling due**
**within one year**
Creditors
10
**Net Current Assets**
**Total Net Assets**
**Funds**
Unrestricted Funds
Restricted Funds|**2023**
**2022**
**£**
**£**
3,688,759
17,943,617
1,200,000
-
-
-
61,061,826
53,467,341
65,950,585
71,410,958
10,652,959
2,907,768
3,712,528
1,209,479
14,365,487
4,117,247
(3,273,441)
(5,601,750)
(3,273,441)
(5,601,750)
11,092,046
(1,484,503)
77,042,631
69,926,455
61,417,631
69,926,455
15,625,000
-
77,042,631
69,926,455
**Group**|**2023**
**2022**
**£**
**£**
3,688,759
17,943,617
1,200,000
-
5
5
-
-
4,888,764
17,943,622
9,499,567
1,808,018
73,252,918
51,705,168
82,752,485
53,513,186
(2,368,350)
(4,671,125)
(2,368,350)
(4,671,125)
80,384,135
48,842,061
85,272,899
66,785,683
69,647,899
66,785,683
15,625,000
-
85,272,899
66,785,683
**Charity**|**2023**
**2022**
**£**
**£**
3,688,759
17,943,617
1,200,000
-
5
5
-
-
4,888,764
17,943,622
9,499,567
1,808,018
73,252,918
51,705,168
82,752,485
53,513,186
(2,368,350)
(4,671,125)
(2,368,350)
(4,671,125)
80,384,135
48,842,061
85,272,899
66,785,683
69,647,899
66,785,683
15,625,000
-
85,272,899
66,785,683
**Charity**|
|---|---|---|---|
||||17,943,622|
||||1,808,018
51,705,168|
||||53,513,186|
||||(4,671,125)|
||||(4,671,125)|
||||48,842,061|
|||||
||||66,785,683|
||||66,785,683
-|
||||66,785,683|
## 29 April 2024
The accounts were approved by the board and authorised for issue on ….................... and signed on its behalf by:
.........................................................................
## **Trustee**
The notes on pages 12 to 19 form part of the financial statements.
Page: 10
## **The Jagclif Charitable Trust Statement of Consolidated Cash Flows for the year ended 30th June 2023**
|**Note**
**Cash generated from operating activities**
Net cash provided by operating activities
**(i)**
Investment income
**Cash flows from investing activites:**|**2023**
**£**
2,949,790
69,759|**2022**
**£**
4,171,168
805|
|---|---|---|
|Purchase of investments
Purchase of fixed assets
Proceeds from disposal of fixed assets
Proceeds from sale of fixed asset investments
**Cash flows from financing activities:**|(4,255)
(10,231,466)
134,178
14,827,185|(41,877,084)
(17,048,142)
408,595
50,126,198|
|Change in cash and cash equivalents in the reporting period
**Note (i)**
**Reconciliation of net expenditure to net cash flow from operating**
**Cash and cash equivalents at start of year**
**Cash and cash equivalents at end of year**|7,745,191
2,907,768
10,652,959
**activities**
**2023**
**£**
7,116,176
(69,759)
(568,073)
12,921
(2,503,049)
(1,200,000)
(2,328,309)
2,489,883
2,949,790
**2023**
**£**
10,652,959
10,652,959
Cash-flows
7,745,191||
|||(4,218,460)
7,126,228|
|||2,907,768|
|||**2022**
**£**
6,977,445
(805)
(1,779,623)
(3,330)
(159,427)
-
(2,750,295)
1,887,203|
|
Net income/(expenditure) as per the statement of financial activities
Investment income
Gains / (losses) on investments
Gains / (losses) on foreign exchange
Decrease / (Increase) in debtors
Decrease / (Increase) in concessionary loans
Increase/(decrease) in creditors
Depreciation charged during the year
Net cash used in operating activities
**Analysis of cash and cash equivalents**
Cash in hand
**Total cash and cash equivalents**
**Analysis of changes in net debt**
As at 1 July
2022
**Cash at bank**
2,907,768|||
|||4,171,168|
|||**2022**
**£**
2,907,768|
|||2,907,768|
|||As at 30 June
2023
10,652,959|
Page: 11
**The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
## **1 Accounting policies**
## **Basis of accounting**
The group financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), including Update Bulletin 2. The Trust is a public benefit entity for the purposes of FRS 102 and therefore the Trust also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP) 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 pound. The principal accounting policies adopted in the preparation of the financial statements are set out below.
## **Going Concern Basis**
The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the Trust to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the Trust's forecasts and projections and have taken account of pressures on donation and investment income. After making enquiries the trustees have concluded that there is a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. The Group therefore continues to adopt the going concern basis in preparing its financial statements and there are no material uncertainties at the date of signing.
## **Consolidation**
These financial statements consolidate the results of the charity and its wholly owned subsidiary Summer Isles Enterprises on a line by line basis. A separate Statement of Financial Activities, or income and expenditure account is presented for the charity itself.
## **Foreign currencies**
Transactions denominated in foreign currencies are translated into Sterling at the exchange rate ruling at the date of the transactions. Assets and liabilities in foreign currencies are translated into Sterling at the rates of exchange ruling at the end of the financial period. All exchange differences are dealt with in the Statement of Financial Activities.
## **Income**
Income is credited to the Statement of Financial Activities on an accruals basis when there is entitlement to the funds, the receipt is probable and the amount can be measured reliably.
## **Expenditure**
Expenditure is charged on an accruals basis. Grants payable are included in the Statement of Financial Activities when approved by trustees and offered to the grantee.
## **Investments**
Investments are included in the accounts at market value. Realised and unrealised gains and losses on investments are included within the funds.
Page: 12
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
## **1 Accounting policies (continued)**
## **Cash and Cash Equivalents**
Cash and cash equivalents include cash at banks and in hand and short term deposits with a maturity date of three months or less.
## **Grants Payable**
Contractual arrangements are recognised as goods and services are supplied. Other grant payments are recognised when a constructive obligation arises.
## **Fund accounting**
The unrestricted fund consists of those funds which the Trust may use in furtherance of its charitable objectives at the discretion of the Trustees.
The restricted funds can only be used for a particular restricted purposes within the objects of the charity.
## **Financial Instruments**
The Trust has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
With the exceptions of prepayments, concessionary loans and deferred income all other debtor and creditor balances are considered to be basic financial instruments under FRS 102.
## **Concessionary loans**
Concessionary loans are loans that are initially measured at the amount paid and are adjusted annually for any accrued interest receivable less impairment loss.
## **Tangible fixed assets and depreciation**
Tangible fixed assets are capitalised and included at cost including any incidental expenses of acquisition. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost on a straight line basis over their expected useful economic life as follows:
Freehold property 2% on straight line basis Improvements to property 2% on straight line basis Plant & machinery 5% - 12.5% on straight line basis Fixtures & fittings 12.5% on straight line basis Motor vehicles 25% on straight line basis Computer equipment 33% on straight line basis
The assets' residual values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting period. The effect of any changes is accounted for prospectively.
Assets still under construction are not depreciated until they have been brought into a working condition. At this point they are transferred to the relevant category and depreciated accordingly.
## **Critical accounting estimates and areas of judgement**
In the view of the trustees in applying the accounting policies adopted, no critical accounting estimates and judgements were required that have a significant effect on the amounts recognised in the financial statements nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year.
Depreciation and amortisation charges are based on the estimated useful life of the assets held.
Page: 13
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
## **2 Donations receivable- Group and Charity**
|Individual donations
Gift aid on donations|**Restricted**
**Unrestricted**
**Total**
**2023**
**2023**
**2023**
12,500,000
-
12,500,000
3,125,000
-
3,125,000
15,625,000
-
15,625,000|**Total**
**2022**
**£**
21,000,000
-|
|---|---|---|
|||21,000,000|
All donation income received in 2022 was unrestricted.
## **3 Commercial trading operations and investment in trading subsidiary**
In February 2020 The Jagclif Charitable Trust acquired 100% of the issued share capital of Summer Isles Enterprises Ltd, Company Number: 07210121 which is incorporated in the UK. Summer Isles Enterprises Ltd operated commercial activities, which are further explained in the trustee report.
The charity owns the entire issued share capital of 5 shares of £1.
A summary of the results for the year is shown below:-
## **Shares held in subsidiary**
|5 Ordinary shares of £1
**Summary Profit & Loss account**
Turnover
Commercial expenditure
Interest on intercompany loan
Net profit / (loss)
Corporation tax
Investment income
Retained in the subsidiary
**Summary Balance Sheet**
Fixed assets
Current assets
Current liabilities
Non current liabilities
Capital and reserves/ (deficit)|**2023**
£
**5**
**2023**
£
436,460
( 9,134,749)
(2,672,751)
(11,371,040)
-
-
(11,371,040)
**2023**
£
61,061,826
1,740,920
( 905,091)
(70,127,918)
(8,230,263)|**2022**
£
**5**|
|---|---|---|
|||**2022**
£
345,674
( 9,339,127)
(948,019)|
|||(9,941,472)|
|||-
-|
|||(9,941,472)|
|||**2022**
£
53,467,341
2,309,229
( 930,625)
(51,705,167)|
|||3,140,778|
Page: 14
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
|**4**
**Grants and donations payable**
**Grants**
ARK
Fly Navy Heritage
Taigh Mor Foundation
Place2be
The Iris Project
**Donations**
ARK
BFC Foundation
Bowel Research
Brainwaves
Bright Ideas for Tennis
Forward Trust
Friends of Canouan
Great Ormond Street
Lawrence Home Nurse
Hospital Rooms
Kids4Kids
Macmillan Cancer Research UK
NAC
Newman Holiday Trust
New York Studio
Princes Trust
PACE
PCC of All Saints
Quintessentially Foundation
Royal Academy of Arts
Smart Works
Somerset House
Taigh Mor Foundation
Tate Foundation
The Felix Project
The Mix
The Serpentine Trust
V&A Museum
Weizmann Institute
Support costs (see note 4)|**2023**
**2022**
**£**
**£**
-
2,815,000
-
2,400,000
-
1,000,000
-
75,000
-
90,000
-
6,380,000
15,000
-
-
15,000
-
2,000
-
100,000
-
11,500
-
28,256
-
74,280
-
5,000
-
40,000
60,000
-
20,015
-
-
10,000
20,313
-
5,000
89,143
-
100,000
7,000
20,000
-
10,000
-
-
1,000
8,150
-
-
40,000
-
5,000
20,560
25,000
10,680
10,680
10,000
-
45,000
-
13,667
10,300
-
3,000
-
397,161
438,383
51,892
13,088
449,053
6,831,471
**Group**|**2023**
**2022**
**£**
**£**
-
2,815,000
-
2,400,000
-
1,000,000
-
75,000
-
90,000
**Charity**|
|---|---|---|
|||-
6,380,000|
|||15,000
-
-
15,000
-
2,000
-
100,000
-
11,500
-
28,256
-
74,280
-
5,000
-
40,000
60,000
-
20,015
-
-
10,000
20,313
-
-
5,000
89,143
-
100,000
7,000
20,000
-
10,000
-
-
1,000
8,150
-
-
40,000
-
5,000
20,560
25,000
10,680
10,680
10,000
-
-
45,000
-
13,667
10,300
-
3,000
-|
|||397,161
438,383|
|||51,892
13,088|
|||449,053
6,831,471|
||||
Page: 15
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
|**4**
**Support costs**
Audit fees
Legal and professional fees
Bank charges and other interest
Other support costs|**2023**
**2022**
**£**
**£**
33,988
12,719
33,069
348
6
21
2,934
-
69,997
13,088
**Group**|**2023**
**2022**
**£**
**£**
15,883
12,719
33,069
348
6
21
2,934
-
**Charity**|
|---|---|---|
|||51,892
13,088|
## **5 Transactions with Trustees**
No trustee received any remuneration for services as a trustee (2022: £Nil), nor any reimbursement of expenditure (2022: £Nil).
See note 12. for related party transactions in the period under review.
Donations from Trustees in the period totalled £12,500,000 (2022: £nil). The Trust has claimed gift aid on these donations of £3,125,000. (2022: £nil).
Trustees gifted £nil (2022: £21,000,000) of investments during the year. This is included within investment additions as shown in note 8. of the financial statements.
## **6 Employees**
The Charitable Trust has no employees.
The trading subsidiary Summer Isles Enterprises Ltd employed staff for the period under review. The average number of employees during the period to 30 June 2023 was 66 (2022:72).
Staff costs of the subsidiary were as follows:-
|Wages
Social security costs
Pension costs|**2023**
**2022**
**£**
**£**
2,242,216
2,723,759
237,867
281,839
148,718
46,811
2,628,801
3,052,409
**Group**|**2023**
**2022**
**£**
**£**
-
-
-
-
-
-
**Charity**|
|---|---|---|
|||-
-|
Page: 16
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
## **7 Tangible fixed assets - Group and charity**
|**Cost**
At 1 July 2022
Additions in the period
Disposals
At 30 June 2023
**Depreciation**
At 1 July 2022
Charge for period
At 30 June 2023
**Net Book Value**
At 30 June 2023
At 30 June 2022
**Cost**
At 1 July 2022
Additions in the period
Disposals
At 30 June 2023
**Depreciation**
At 1 July 2022
Charge for period
Eliminated on disposal
At 30 June 2023
**Net Book Value**
At 30 June 2023
At 30 June 2022|Freehold
Assets under Improvements
Plant &
Property
Construction
to property
Machinery
5,721,092
6,157,418
27,342,647
18,500,748
2,834
3,726,131
5,635,107
541,697|
|---|---|
||5,723,926
9,883,549
32,977,754
19,042,445|
||66,919
-
1,090,555
3,681,388
40,372
-
603,424
1,654,942|
||107,291
1,693,979
5,336,330|
|||
||5,616,635
9,883,549
31,283,775
13,706,115|
|||
||5,654,173
6,157,418
26,252,092
14,819,360|
||Fixtures &
Motor
Computer
fittings
Vehicles
equipment
Total
284,353
588,362
51,869
58,646,489
-
259,710
65,987
10,231,466
-
(156,869)
-
(156,869)|
||284,353
691,203
117,856
68,721,086|
||132,789
184,384
23,113
5,179,148
34,630
132,791
23,724
2,489,883
-
(9,771)
-
(9,771)|
||167,419
307,404
46,837
7,659,260|
|||
||116,934
383,799
71,019
61,061,826|
|||
||151,564
403,978
28,756
53,467,341|
Included in cost of land and buildings is freehold land of £3,870,711 (2022: £3,870,711) which is not depreciated.
Page: 17
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
|||**Group**|**Group**|**Charity**|**Charity**|
|---|---|---|---|---|---|
|**8**|**Investments**|**2023**|**2022**|**2023**|**2022**|
|||**£**|**£**|**£**|**£**|
||**_Hedge Funds_**|||||
||Market value as at 1st July 2022|17,943,617|24,409,779|17,943,617|24,409,779|
||Additions in the period|4,255|41,877,084|4,255|41,877,084|
||Disposal proceeds|(14,827,185)|(50,126,198)|(14,827,185)|(50,126,198)|
||Gain/Loss on investments|568,072|1,782,952|568,072|1,782,952|
||**Market Value at 30th June 2023**|3,688,759|17,943,617|3,688,759|17,943,617|
||Historical Cost|2,150,982|16,149,160|2,150,982|16,149,160|
||Significant investment holdings based on market value at||30 June 2023 were:|||
|||||**Original**|**Market**|
||**Investment funds**|||**cost at 30**|**Value at 30**|
|||||**June 2023**|**June 2023**|
|||||**£**|**£**|
||Global Opportunities Fund Class C1 GBP|||1,472,723|2,876,325|
||MW Market Neutral Tops|||678,259|812,434|
|||||2,150,982|3,688,759|
|||**Group**||**Charity**||
|**9**|**Debtors**|**2023**|**2022**|**2023**|**2022**|
|||**£**|**£**|**£**|**£**|
||Amounts owed by group undertaking|-|-|70,127,918|51,705,168|
||Other debtors|3,712,528|1,209,479|3,125,000|-|
|||3,712,528|1,209,479|73,252,918|51,705,168|
|||**Group**||**Charity**||
|**10**|**Creditors :**|**2023**|**2022**|**2023**|**2022**|
||**Amounts falling due within one year**|**£**|**£**|**£**|**£**|
||Grant Creditors|2,355,000|4,660,000|2,355,000|4,660,000|
||Accruals|424,516|347,877|13,350|11,125|
||Trade creditors|378,238|490,724|-|-|
||Other creditors|29,449|23,564|-|-|
||Social security & other taxes|86,238|79,585|-|-|
|||3,273,441|5,601,750|2,368,350|4,671,125|
|||||||
Page: 18
## **The Jagclif Charitable Trust Notes to the Accounts For the year ended 30th June 2023**
- **11 Statement of Funds - Group and Charity Year ended 30 June 2023**
|General funds
**Restricted funds**
Redevelopment of Isle of
Tanera Mor
Total funds|**Brought**
**forward**
**Incoming**
**resources**
**Resources**
**expended**
**Gains/**
**(losses)**
**Carried**
**forward**
£
£
£
£
£
69,926,455
519,826
(9,583,802)
555,152
61,417,631
-
15,625,000
-
-
15,625,000|
|---|---|
||69,926,455
16,144,826
(9,583,802)
555,152
77,042,631|
- **11 Statement of Funds - Charity only Year ended 30 June 2023**
|General funds
**Restricted funds**
Redevelopment of Isle of
Tanera Mor
Total funds|**Brought**
**forward**
**Incoming**
**resources**
**Resources**
**expended**
**Gains/**
**(losses)**
**Carried**
**forward**
£
£
£
£
£
66,785,683
2,756,117
(449,053)
555,152
69,647,899
-
15,625,000
-
-
15,625,000|
|---|---|
||66,785,683
18,381,117
(449,053)
555,152
85,272,899|
## **Purpose of restricted funds - Group and Charity**
All restricted funds relate to amounts received to be used ot support the Charity's work regarding the redevelopment and operations of the Isle of Tanera Mor.
## **12 Related Party Transactions**
During the period the Trust made donations and grants totalling £15,000 (2022: £2,815,000) to ARK, a UK charity of which I. G. P. Wace is a Trustee.
Included in debtors is a balance of £1,200,000 (2022: £nil), representing a loan to EdCity Office , a charity of which I.G.P. Wace is a Trustee.
The Trust received a donation of £12,500,000 from one trustee during the year.
Fees of £2,400 (2022: £nil) were paid to Summer Isles Enterprise Ltd for accomodation for five trustees to attend the November 2022 trustee meeting.
## **13 Ultimate Controlling Party**
Summer Isles Enterprises Ltd is a wholly owned subsidiary of The Jagclif Charitable Trust, which is the ultimate controlling party.
The ultimate controlling party of The Jagclif Charitable Trust are the Trustees.
## **14 Financial and Capital commitments**
The Trust has no outstanding financial or capital commitments not provided for in the financial statements (2022 None).
## **15 Post Balance Sheet Events**
On 6th February 2024, The Jagclif Charitable Trust agreed to extend the loan facility to its subsidiary Summer Isles Enterprises Ltd to £100m.
Page: 19