OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-06-30-accounts

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021 - 1 -

CONTENTS

SECTION PAGE
REFERENCE & ADMINISTRATIVE DETAILS OF THE COMPANY & ITS ADVISORS 3
ANNUAL REPORT
OBJECTIVES & ACTIVITIES 4
ACHIEVEMENTS & PERFORMANCE 13
FINANCIAL REVIEW 15
PLANS FOR FUTURE PERIODS 19
STRUCTURE,GOVERNANCE & MANAGEMENT 22
DISCLOSURE OF INFORMATION TO AUDITORS 22
SMALL COMPANIES EXEMPTION 22
INDEPENDENT AUDITOR’S REPORT 23
FINANCIAL STATEMENTS
STATEMENT OF FINANCIAL ACTIVITIES 28
STATEMENT OF FINANCIAL POSITION 29
STATEMENT OF CASH FLOWS 30
PRINCIPAL ACCOUNTING POLICIES 31
NOTES TO THE FINANCIAL STATEMENTS 34

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

REFERENCE & ADMINISTRATIVE DETAILS OF THE CHARITABLE COMPANY & ITS ADVISORS

TRUSTEES
CHAIR David Emerson CBE
Anne Dokov
Elizabeth Morris
John Weguelin
Ronald Williamson
COMPANY SECRETARY Anne Harling
INDEPENDENT COMMITTEE MEMBER Jon Pearson
CHIEF EXECUTIVE OFFICER Andrew Peers
REGISTERED OFFICE Suite C, Lancaster House
Grange Business Park
Enderby Road
Whetstone
Leicester
LE8 6EP
REGISTERED COMPANY NUMBER 09923402(England and Wales)
REGISTERED CHARITY NUMBER 1169016
AUDITOR Buzzacott LLP
130 Wood Street
London
EC2V 6DL
BANKERS Unity Trust Bank plc
Four Brindley Place
Birmingham
B1 2JB
INVESTMENT FUND MANAGER Cazenove Capital
1 London Wall Place
London
EC2Y 5AU
INVESTMENT ADVISORS Yoke Financial Consultants Ltd
6 Normanhurst Rd
London
SW2 3TA

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

ANNUAL REPORT

The trustees of the Longleigh Foundation (‘the charity’), who are also directors of the charitable company for the purposes of the Companies Act, are pleased to present their annual report and financial statements for the period 1[st] April 2020 to 30[th] June 2021. Future reports will run to the year ended 30[th] June. This report has been prepared in accordance with Part 8 of the Charities Act 2011 and constitutes a directors’ report for the purpose of company legislation.

OBJECTIVES AND ACTIVITIES

The objects of the charity, as set out in our Articles of Association, are: the relief of persons in need through poverty, age, chronic sickness or disability (either mental or physical) and, in particular, the relief of such persons by the provision of housing and associated facilities, amenities or services.

During this period, a new strategic plan was developed, entitled Longleigh 2025: Progress and Partnership.

As a result of the new plan, the objects of the charity have been translated into an updated social mission statement, as follows: to support transformation in the lives of residents and communities, becoming the charity partner to the social housing sector.

The new plan has also led to the following vision statement being defined: to enable more lives to be transformed across more communities by continuously improving the difference we make and the value we bring to our partnerships with the social housing sector.

The new plan includes an updated set of values. In pursuit of the charity’s mission and vision all trustees, staff, associates and partners are expected to uphold and champion these values as representatives of the Longleigh Foundation. These values are:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

The main activities undertaken in relation to the pursuit of our charitable objects, social mission and vision are in the form of grant-making. Longleigh is in the minority of charitable foundations in that we provide three types of grants that, when linked together, support how we bring value, learning and insight to our social housing partners. These three types of grants that we provide are as follows:

These are three distinct grant-making disciplines and we have processes in place to manage the grant-making cycle across the different stakeholder groups that engage with each.

GRANTS TO INDIVIDUALS

Our individual grants were, for the period, exclusively for residents in the properties or housing-schemes of our sole, major donor (Stonewater Ltd). The eligibility criteria is carefully developed to ensure that we seek to reach the residents who are in greatest financial distress and vulnerability. For this period, we updated the eligibility document to take into account the impact that Government measures to manage the COVID-19 pandemic had on residents.

Alongside this, our eligibility criteria is designed to also ensure that we do not award grants that may be financially advantageous to the operations of our donor – the balance of advantage via these grants must always be, overwhelmingly, to the individual beneficiary.

At the beginning of this period, we introduced a number of ‘pathways’ into our eligibility document. To be eligible for a grant, a social housing resident (or member of their household) needed to meet at least one of the pathways and this is to support our aim of ensuring the available funding reaches those in greatest need. Applications for these grants must be submitted by a staff member of the social housing provider that is our major donor on behalf of their residents. We commonly saw multiple pathways being selected in applications to help us better understand the seriousness of the residents’ situations. Across the applications we received, the following shows how many times each pathway was selected:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Alongside our sector knowledge and insight, we will continue to work closely with the staff of our major donor and other partners to ensure the pathways remain relevant to meet the needs of the most financially vulnerable residents and families.

The financial value of the funding that we distributed via our individual grants during the period was £555,139 for 704 approved applications. This was an increase from £268,760 in the previous reporting period.

This has been another period of substantial increase, reflecting the increased budget we allocated to these grants as the impact of the COVID-19 pandemic started to be evident. The increase also reflects the continuing work that we did to raise awareness of these grants to the frontline housing officers of our donor and the continuing hardship that people in precarious employment, on low incomes and in a range of vulnerable situations (such as homelessness and violent relationships) face in their everyday lives.

The grants we make to individuals are short-term and very practical interventions. The most recurring items that the grants were used for included:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Our average grant value in this period was approximately £750 (an increase from £700 in the previous period) and these grants demonstrate how a relatively small amount of money can provide a basis for which people can build or rebuild their lives. They are a direct example of how we pursue our charitable objects and social mission.

During the course of this period, our main challenges in the provision of grants to individuals and families were caused by the impact of the COVID-19 pandemic. In particular, as the staff of our major donor moved to working remotely and having their own COVID-19-related personal and professional challenges to contend with, continuity in the progressing of applications was paramount in our minds. The ongoing communication with frontline and management level housing staff ensured that we could work as well as possible together to cope with disruption in working practices and this, in no small way, helped us rise to the challenges residents were facing and distribute such a big increase in funding.

The other main challenge was the disruption in the supply of products for which we had approved grants. Many of our main suppliers of flooring, white goods and essential household items all had to adapt to the impact of the COVID-19 pandemic on their staffing, operations and supply chains. Again, communication was the key to understanding how suppliers were managing their business continuity, trying to get products to people but in a safe and compliant way and in letting us know about particular stock availability problems.

During the period, we set up a small additional fund to support the employees of our major donor whose household finances had been affected by the pandemic and placed them into financial hardship or crisis. We made 26 grants to employees, totalling £23,618 and, in particular, supported with household shopping costs and access to IT devices for children’s educational purposes.

With such a big increase in activity came the need to increase capacity in our team. During the period we appointed an additional Individual Grants Officer, on a fixed-term, self-employed contract.

We are pleased that, for the year ahead, we have been able to allocate £450,000 to our grants for individuals’ activity. Even with this level of budget, we anticipate being oversubscribed and are very mindful of the impact that the end of the furlough scheme and the removal of the £20 weekly uplift in Universal Credit payments will have on the residents and communities we are here to serve. The ongoing management of our budget will be essential to ensure that there is a level of funding available right throughout the next financial year.

GRANTS TO ORGANISATIONS

As befits our origin of being formed by a social housing provider, our social mission and vision state that we are committed to supporting the individuals and communities served by the social housing sector. This means that we seek to fund ‘qualifying’ organisations that are addressing issues and themes that are more prominent and prevalent for these individuals and communities.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Our qualifying criteria for organisations to be eligible for our funding are:

During this period, the majority of our expenditure on grants to organisations was in making continuation and final year payments on funding agreements established in previous financial years. This accounted for £732,862 out of the £929,252 of funding for project and research grants.

We approved five new grants totalling £196,390.

CUPPA AND CHAT SESSIONS

Our commitment to being a relational funder was put to the test over this period due to the impact of the COVID-19 pandemic. Early into the period, we wrote to all organisations we had funded for projects and research to:

We also offered the opportunity to the community-based organisations we had funded, many of which are modest in scale, to attend Zoom-based ‘cuppa and chat’ sessions. These sessions were to provide a place for the leaders of projects and organisations to share their challenges, concerns and ideas as well as to provide peer-to-peer support to each other as this most unprecedented of times continued to present new issues to cope with.

We are proud of our response to support those we funded. The sessions enabled us to engage with multiple projects at the same time, in a way that we had not done before. There was an openness from those who joined the sessions and, from this, lots of sharing of similar concerns and hopes and of ideas to cope with the changing world. A community and network developed, resulting in many ongoing conversations in addition to the Zoom sessions. Wonderfully, several organisations went on to develop new service delivery and funded partnerships together, taking this initiative far beyond what we could have hoped for. And, we ran a series of five themed sessions, addressing topics that were being continually raised over the months. These themed sessions included:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

As we go into the next period, we are continuing to run these ‘cuppa and chat’ sessions and can see that there is much more we can do to build a supportive and learning community that delivers added-value from our funding far beyond just the giving of a grant.

ADDITIONAL SUPPORT TO RESIDENTS’ INITIATIVE

Early into the first of the national lockdowns, the impact on people’s economic and emotional wellbeing was becoming well documented. People in low-paid work, precarious employment, the gig-economy and the self-employed were being hit hard in their pockets. Family relationships were being severely tested and, for too many, home became more like a prison than a safe-haven.

In response to the impact being seen, we provided additional funding to some of the organisations we were already funding so that they could increase capacity to provide timely access, for the residents of our major donor, to bespoke and sustained support in relation to their economic and emotional wellbeing.

Over the course of this period, we saw many residents and their families access the support available. As we enter the next financial year, we will be reshaping and continuing this programme of support because we recognise that the immediate and lasting effects of the COVID-19 pandemic have not yet been fully realised. This programme, which we are calling ‘Circles of Support’ will include the additional topic of physical health and wellbeing. The programme is an attempt to show the difference that can be made by a modern approach to grant-making that sees us be an involved partner and collaborator with those we fund.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

The full list of organisations to which we awarded funding in the accounting period was:

PROJECT/ORGANISATION
NAME		 PRIMARY ACTIVITIES FUNDING
AWARDED
(£)
Southampton Women’s
Refuge – Stonewater		 Providing a tailored programme to support
women who have fled from domestic
violence to develop skills and confidence for
the future.		 83,128
Starting Point – The
Mustard Tree Foundation		 A longer-term support and mentoring
programme for young people aged 15-25
into education,employment and training.		 75,000
Alcohol Education Trust The scale of funding awarded reflects the
Year 1 and 2 funding for this project, due to
the extension of our financial year. This
project is delivering a programme of
support to young adults, residing in
Stonewater supported living schemes, about
making safe choices in the use of alcohol
and cannabis.		 74,500
We Are Digital –
Stonewater		 A programme of support across multiple
regions of England for people who are
digitally excluded due to geography,
education,skills or finances.		 52,500
Bringing it Back Home -
Leeds Music Trust		 Music and creative support interventions for
people experiencing homelessness, poor
mental health and substance abuse
problems.		 50,853
Safe Space – Stonewater Development of support at a bespoke
refuge for people from the LGBTQ+
community fleeing domestic violence and
abuse.		 50,600
Life, Loss, Learning &
Legacy - Lippy People
Charitable Trust		 Support for older men suffering from
bereavement through video storytelling and
peer-supportgroups.		 50,000
Veteran’s Self Build Project
- Community Self Build
Agency		 Funding a project lead to oversee the self-
build project and training and welfare costs
for the veterans.		 50,000
Impact North Qualified child psychotherapists providing
longer periods of counselling support for
vulnerable children and their families to
restore relationships.		 49,885
Clean Slate Financial inclusion training, products and 1-1
support for individuals in financial hardship
and difficulty.		 47,565
Supporting Inclusive and
assisted livingin		 Research project regarding maximising the
qualityof life andpotential forpeople to		 43,238

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

PROJECT/ORGANISATION
NAME		 PRIMARY ACTIVITIES FUNDING
AWARDED
(£)
Retirement living Schemes
– Universityof Stirling		 remain living well in their home with
dementia.
Zarach Working to overcome bed poverty by
supplying a new bed, within 48 hours, to
children with no bed of their own to sleepin.		 43,205
Digital Tables -
Stonewater		 Innovative interactive digital tables and staff
capacity to support older people with
dementia.		 41,250
Access Hospitality Work experience and training opportunities
within the hospitality sector for people with
disabilities and learningdifficulties.		 39,015
Revitalise Revitalise are a leading provider of respite
breaks for people with disabilities and
carers.		 33,000
Befriending Project -
Justlife Foundation		 Befriending support for people experiencing
homelessness and living in temporary
accommodation to help overcome isolation
and progress into sustainable living
situations.		 25,000
Huddersfield Live at Home
- MHA		 Intergenerational activities to support
independent living, overcoming isolation and
improvingwellbeingfor olderpeople.		 22,287
3 projects under £10,000 We provided continuation funding for
projects we have funded to support them in
how they implement methods to help them
demonstrate their social value. We also
provided final year funding to the Diversity
Trust on a project supporting the LBGTQ
community.		 9,336
ADDITIONAL SUPPORT TO RESIDENTS INITIATIVE
Clean Slate As previously described in the ‘additional
support to residents initiative’ section, we
funded three organisations to increase their
capacity to provide support to Stonewater
residents due to the impact on people’s
economic and emotional wellbeing during
the COVID-19pandemic.		 39,480
Kaleidoscope 25,000
Impact North 24,410
Total Project Grant Expenditure 929,252

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

THE YEAR AHEAD: WORKING TO ACHIEVE OUR AIMS

Our new strategic plan, ‘Longleigh 2025: Progress and Partnership’, includes four key aims that we are striving to achieve and these are:

As we head into the next financial year, we have already started to implement actions and initiatives that progress how we achieve our aims:

The above three developments, combined with the forthcoming appointment of a parttime Communications Officer, all support how we strive to fulfil our first key aim, of being a valued and integral long-term partner to our donors. The world has changed as a result of the COVID-19 pandemic, and the impact of this on the structure and operations of the social housing sector is no exception. Our commitment to the social housing sector demands that we are sensitive to the challenges the sector faces if we are to remain a relevant and increasingly value-adding partner.

PUBLIC BENEFIT

The trustees confirm that they have complied with their duty to have due regard to the Charity Commission’s guidance on public benefit when reviewing the charity’s aims, objectives and activities for the period. To satisfy the ‘benefit’ aspect of the guidance and in pursuit of the our objects, the trustees ensure, through the setting and oversight of grant-making strategies that the Foundation’s funding is reaching the most vulnerable individuals and focusing on communities served by the social housing sector.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

For example, during the accounting period we have funded organisations that are delivering work and projects to:

To satisfy the ‘public’ aspect of the guidance the trustees place due consideration on the number of people that will have the opportunity to engage with services, facilities and support provided by the projects that are approved for Project Grants. Applicants are asked to state whether their work is ‘high intensity’ (e.g. in-depth engagement with lower numbers of people) or ‘low intensity’ (e.g. potential to engage with larger numbers of people). Applicants for grants need to be able to communicate the need for their work within the communities they intend to focus on.

The trustees take the issue of consistency in decision-making regarding public benefit seriously. The regularly updated eligibility criteria for Individual Grants and application process for Project and Research Grants are designed to ensure transparent and consistent approaches.

SUMMARISING KEY ACHIEVEMENTS AND PERFORMANCE

Many of the key achievements have been shared throughout this report but can be summarised as follows:

GRANTS TO INDIVIDUALS

During the period, a key achievement has been the year-on-year increase of 106% in the amount of funding distributed on our individual grants. These short-term, practical interventions support people at particularly distressing and transitional times in their lives and the COVID-19 pandemic has increased the breadth and depth of the challenges people have been facing.

These grants are a time-intensive form of grant-making but the impact they can have on helping people re-build and transform their lives should not be understated. The Individual Grants enable people to have some space to breathe: society cannot expect people to progress if they are always under threat. These grants can play a small part in removing that pressure and threat so individuals and families can start looking to the future.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

“I have received a fridge freezer and double bed from you and have an electric oven arriving on Saturday. I just wanted to say a big thank you from the bottom of my heart. My life changed dramatically when I was diagnosed with paranoid schizophrenia shortly after the tragic death of my younger brother. I hope that finally having a place to call home will help me start to rebuild my life and I am so grateful for your help.”

~Individual Grant Recipient, 2020~

“Thank you so much. Your team is really understanding and supportive to people who truly need it. Without the help you have provided I would be struggling to have food and things for my kids when financial problems at the minute have been back. Topping up my gas and electric means I haven’t got to stress for a little bit. I’m really grateful for the help and support and it will not be forgotten about.”

~Individual Grant Recipient, 2021~

GRANTS TO ORGANISATIONS

During the period a key achievement has been the distribution of £929,252, for project and research grants, which was an increase of 10% over the previous period.

From the amount distributed, £821,752 was to organisations with which we had existing multiple-year funding agreements in place. The resilience and ability to adapt, in the face of the pandemic, that we have seen from organisations we fund has been truly remarkable. Their commitment to being able to continue serving their communities, at such an unprecedented time meant that the overwhelming majority of organisations did not need to ‘pause’ their funding period with us as they continued to deliver and engage.

As previously mentioned, another key achievement has been in the awarding of £88,890 to a small number of organisations that we were already funding to enable them to increase capacity to directly provide support to social housing residents whose

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

economic and/or emotional wellbeing had been impacted on as a result of the COVID19 pandemic. Hundreds of residents and families were able to access the support available and we are already looking at the re-shaping and continuation of this initiative into the next year.

We remain proud of our ability to be a supportive and relational funder. We were able to rise to the challenge presented by the pandemic and offer the ‘cuppa & chat’ Zoom sessions, as mentioned earlier in this report. The feedback received from organisations about the value of these sessions, the support from the leaders of other organisations and projects and the new partnerships created, has all meant that these sessions are continuing into the next period.

CHALLENGES IN THE PERIOD

The most significant challenges in the period have all centred on the impact of the COVID-19 pandemic, many of which have already been covered in this report.

As a home-based and geographically-dispersed trustee and staff team, we were already well-equipped to cope with remote working but the prolonged absence of meeting up together, in person, was felt. We know that how we travel and what we meet up for will be different in the future but we remain keen to meet up as lockdown restrictions ease. We foresee the main reasons for travelling in the future will be for specific team and operational development activities, to visit projects we have funded and to engage with external partners and stakeholders.

It has remained an aim to increase the overall scale of our work through attracting new partners and donors. The business challenges that the pandemic brought to the social housing sector and its supply chains meant that there had to be a great deal of sensitivity in any activity about progressing this aim. The last year has not been the time to seek funds from new partners who may have needed to place staff on furlough, make redundancies and have seen significant threats to their organisational existence.

We remain firm in our belief that Longleigh is a value-adding option to social housing providers in how they provide enhanced support and services to their residents and communities. We will continue to be in-tune with how the social housing sector is emerging from the pandemic to understand what the appropriate potential is for engaging in conversations about new partnerships.

FINANCIAL REVIEW

REVIEW OF THE PERIOD

The Financial Statements are for the 15-month period ending 30th June 2021. It was agreed by the trustees to change our financial year end from March to June. As with many social housing providers, who are a key stakeholder group for us, our founding and major donor’s financial year runs from April to March. This means that the exact amount of our donation is not known until around late March / early April each year. This presents challenges in the preparation of work plans and budgets if our financial year starts just as we are being notified of the exact donation amount. The change in

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

financial year dates will enable us to have a sensible three-month planning and budgeting period after the exact donation amount is known.

The total income for the period amounted to £3,980,079 (2020: £2,532,531). £3,800,000 was two restricted donations received from our founding donor, Stonewater Ltd (2020: £2,500,000). £175,606 was investment income received for the period from our new investment in Cazenove’s Charity Responsible Multi Asset Fund (2020: £nil). £4,153 was interest received from short term deposits (2020: £31,400) and £320 received from fundraising from Stonewater staff (2020: £1,131).

The total expenditure for the period amounted to £1,831,394 (2020: £1,439,121). £555,139 was towards our individual grant programme (2020: £268,760), £886,014 to our project grants (2020: £802,681) and £43,238 to our research grants programme (2020: £43,238).

£11,421 (2020:£10,241) was spent directly on raising funds, being Cazenove’s investment management fee for the period.

Total operating costs (direct overheads, support and governance costs) total £335,582 for the period (2020: £314,193 for the year).

INVESTMENT

Longleigh appointed Cazenove Capital as its Investment Manager in May 2020. £4.9m was originally invested in the Cazenove Charity Responsible Multi-Asset Fund (RMAF), with a further £800,000 in April 2021. Our investment was valued as £6,318,753 at year end.

As a foundation, we have a long-term investment strategy with the objective of receiving an income return of 3-5% return after inflation and fees. We also have a separate Treasury Management policy to ensure we have adequate liquidity and hold secure and accessible deposits.

It is our policy to ensure our investments are in line with our values and invested responsibly and ethically. The RMAF has a strong Environmental Social and Governance policy, including screening to exclude investing in areas of significant social or environmental harm and providing regular updates on its social impact.

The Finance and Investment Committee review the performance of the investment at their quarterly meeting and also meet the investment managers at least annually.

Our investment has performed ahead of our target this period, with a total return of 14.4%.

RESERVES

The total reserves at year end were £7,695,771 (2020: £4,928,222). This is made up of £7,153,223 (2020: £4,390,147) restricted funds and £542,548 (2019: £538,075) unrestricted funds.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Our short-term reserves policy is to hold a minimum of unrestricted cash reserves to meet the next six month’s forecast operating costs. This is to ensure there is enough liquidity for us to operate efficiently in a period of uncertainty or turbulence while the trustees review the strategy. This six-month forecast is currently a balance of £236,250, and our unrestricted reserve fund of £542,548 at year end meets this policy.

The amount above the required reserves policy level that is held in our unrestricted cash reserves gives us the scope to undertake developments, wholly in the pursuit of our charitable objects and social mission, that may sit outside the permitted use of the restricted donations we receive from our founding and major donor. The restriction on donations is that they must be used for the benefit of our donor’s social housing residents and the communities in which they have a housing presence. The unrestricted funds we hold would enable us, for example, to fund the expansion of a successful project into an area beyond that of our major donor as a way to support relationship developments with new potential social housing donors. Or, there might be some particular organisational development needs we have, where use of the unrestricted funds is more appropriate than using those that are restricted. Due to the limited amount of unrestricted reserves we have and the unlikely situation of having more of those in the future, we are very careful in how we prioritise the use of these funds and this reflects the current position of holding an amount above what is required in the reserves policy.

Our long-term reserves policy is to ensure the restricted fund does not fall below a value of 12 months operating costs, plus the maximum potential value of all multi-year grants, assuming they all meet their reporting requirements. At year end, this is a figure of £599k. The restricted fund meets the minimum reserves policy with a balance of £7,153,223 and is to be used in accordance with the donor’s specifications, as described in Note 9.

It is our aim to maintain restricted reserves at a minimum level of £7m so that the income this generates can meet a reasonable level of grant expenditure and operating costs. Reserves are being built up from the annual donations from Stonewater Ltd, as agreed with them. This is to ensure that Longleigh has the financial resilience to meet unexpected falls in income and periods of uncertainty.

RISKS

The trustees regularly review the major risks to which the Longleigh Foundation is exposed. Risks are assessed on the basis of their likelihood and potential impact, along with the mitigation strategies in place to manage them in line with the board’s risk appetite. They are recorded in a risk register which is reviewed by the trustees at each meeting and is updated and approved accordingly. Where appropriate, systems or procedures have been established to manage the risks the charity faces. The trustees, supported by and advised by the Chief Executive, continually monitor changes in risk levels or the emergence of new risks that may impact upon the organisation.

The trustees consider the following to be the key risks that the Longleigh Foundation face:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Risk Mitigatingactions
The impact of the COVID-19 pandemic
on the continuity of our grant-making
and supporting operations.		 • Implement the developed business
continuity plan as required.
• Hold regular meetings with suppliers to be
updated on their continuity, stock
availabilityand supplychain statuses.
Poor relationship with our founding
and major donor.		 • Fulfil agreed Memorandum Of
Understanding and reporting
requirements.
• Hold regular meetings between CEOs and
Chairs of both organisations.
• Deliver the communications and
engagementplan.
The inability/unwillingness of donors
to fulfil their funding commitments to
us.		 • Understand any financial concerns during
CEO’s and Chair’s meetings.
• Monitor wider social housing
developments that may affect financial
positions.
Inability to demonstrate our social
value and impact in respect of the
donations received.		 • Complete and implement the process of
identifying our social impact measures
and methodology.
• Produce impact update reports for our
major donor.
• Fund projects and research that carry
strategic significance to our major donor
and the social housingsector.
Poor performance of long-term
investments, resulting in lower than
planned income to spend on future
grant-making and supporting
operations.		 • Implement board-approved Treasury and
Investment Management policies.
• Work in line with the Terms of Reference
document for the Finance & Investment
(F&I) Committee.
• Investment Fund Managers to attend the
F&I Committee meetings twice per year.
• Retain the services of specialist charity
investment advisors.
Cyber-attacks and breaches in
security and integrity of data.		 • Maintain cyber-attack monitoring
software across all computers.
• Maintain the ongoing programme of
cyber-attack awareness training.
• Maintain Cyber Essentials certification
through compliance with required
standards and practices.
• Implement Data Protection compliance as
advised by our independent Data
Protection Officer.
Instability/loss of key staff within the
small team.		 • Embed our social mission and values at
the heart of our team culture, connecting
and engagingeveryone in what we do.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

• Provide regular 1-1 and team interactions, across virtual and in-person formats to keep the home-based team connected. This includes supervisions, annual appraisals, team meetings and project visits. • Maintain a range of HR policies and procedures that helps Longleigh be the best employer that we can be.

FUNDRAISING

The Longleigh Foundation does not actively seek donations from individuals or, therefore, use a third-party fundraiser. Donations received are from ad hoc fundraising events, mainly organised by our donor's staff. There have been no complaints regarding fundraising in the period.

PLANS FOR FUTURE PERIODS

Many of our main priorities for the year ahead have already been outlined in the above statements. In summary, these priorities are:

STRUCTURE, GOVERNANCE AND MANAGEMENT

GOVERNING DOCUMENT

Longleigh Foundation is a company limited by guarantee governed by its Memorandum and Articles of Association. It is registered at Companies House (no 09923402) and with the Charity Commission in England and Wales (no 1169016).

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

TRUSTEES

The trustees have been appointed based on their relevant experiences, skills and knowledge as it pertains to governance, the work of the charity and the social housing sector. As set out in the articles, Stonewater Limited can appoint one person as a trustee. Trustees are appointed for three-year terms of office and may seek re-appointment for further terms, up to a maximum of nine consecutive years.

New trustees are given full inductions. This includes spending time with the Chair and the Chief Executive, engaging with frontline and senior staff of our major donor and with projects that we have funded.

The board undertakes an annual skills and experience audit to inform succession planning and ensure that the trustees collectively continue to have the expertise needed to lead the charity effectively. Longleigh is a member of the Association of Charitable Foundations (ACF) and the Association of Charitable Organisations (ACO) and trustees are encouraged to attend relevant training opportunities. Individual trustees are expected to comply with, and uphold, Longleigh’s values and objectives and share responsibility for decisions taken.

In the coming year, we will be bringing a new trustee on board. The recruitment process that was undertaken focused on how Longleigh embraces greater diversity in the makeup of the board.

FINANCE & INVESTMENT COMMITTEE

The Finance & Investment Committee has delegated responsibilities and fulfils these in line with a Terms of Reference document that is reviewed and approved by the board of trustees. The purpose of the committee is to monitor the charity’s finances and investments, ensure the trustees fulfil their financial responsibilities and make recommendations to the full board. The committee meet quarterly and currently consists of two trustees and an Independent Member, who has relevant charity financial expertise.

DECISION MAKING

The board of trustees is collectively responsible for ensuring that Longleigh adopts good governance practices, complying with all legal and regulatory responsibilities, and safeguarding Longleigh’s resources. Meetings are held quarterly at which the board sets strategy and policies, oversees the Foundation’s finances, grant funding and monitors overall performance. The board review and set the remuneration of key management personnel annually.

Longleigh has adopted the Charity Governance Code and monitors compliance with this code.

The trustees delegate the day-to-day management of the Longleigh Foundation to the Chief Executive. The Chief Executive and staff team oversee the work of the charity, by adhering to the grant making policies and procedures and implementing all of the operational procedures to enable the charity to fulfil its mission.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

The Longleigh Foundation has received Company Secretarial services from Stonewater Limited in the period.

RELATED PARTIES

The Longleigh Foundation is primarily funded through donations from Stonewater Limited. The trustees recognise their charitable responsibilities and state formally that the charity’s activities will always be consistent with pursuing the achievement of its social objects. Any benefit which may accrue to Stonewater Limited from the Longleigh Foundation’s activities will be incidental and outweighed by the contribution to the Foundation’s charitable objectives. Please see note 12 for further Related Party transaction details.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees (who are also directors of Longleigh Foundation for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

Company law requires the trustees to prepare financial statements for each financial year. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

DISCLOSURE OF INFORMATION TO AUDITORS

Insofar as each of the trustees of the charitable company at the date of approval of this report is aware there is no relevant audit information (information needed by the charity’s auditor in connection with preparing the audit report) of which the charitable company’s auditor is unaware. Each trustee has taken all of the steps that s/he should have taken as a trustee in order to make her/himself aware of any relevant audit

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

information and to establish that the charitable company’s auditor is aware of that information.

SMALL COMPANIES EXEMPTION

In preparing this report the trustees have taken advantage of the small companies’ exemptions provided by section 415A of the Companies Act 2006.

Approved by the trustees on 3[rd] November 2021 and signed on their behalf by:

David Emerson CBE Chair

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

INDEPENDENT AUDITOR’S REPORT TO MEMBERS OF LONGLEIGH FOUNDATION – PERIOD TO 30[TH] JUNE 2021

OPINION

We have audited the financial statements of Longleigh Foundation (the ‘charitable company’) for the period ended 30 June 2021, which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the financial statements. 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 Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members 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 anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

In our opinion, the financial statements:

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 the financial statements section of our report. We are independent of the charitable company 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.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

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 Trustees are responsible for the other information. The other information comprises the information included in the Annual Report and Financial Statements, other than the financial statements and our auditor’s report thereon. 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.

OPINION ON OTHER MATTERS PRESCRIBED BY THE COMPANIES ACT 2006

In our opinion, based on the work undertaken in the course of the audit:

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

TRUSTEES’ RESPONSIBILITIES

As explained more fully in the Trustees’ responsibilities statement, the Trustees (who are also the directors for the purposes of company law) 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 charitable company’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 charitable company or to cease operations, or has no realistic alternative but to do so.

AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

We assessed the susceptibility of the charitable company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

USE OF THIS REPORT

This report is made solely to the charitable company’s Trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s Trustees those matters that 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 anyone other than the charitable company’s and the company’s Trustees as a body, for our audit work, or the opinions we have formed.

Shachi Blakemore (Senior Statutory Auditor) For and on behalf of Buzzacott LLP 130 Wood Street London EC2V 6DL

Dated: 25 November 2021

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

STATEMENT OF FINANCIAL ACTIVITIES

(Including income and expenditure accounts) PERIOD TO 30[TH ] JUNE 2021

Notes Unrestricted
funds
£		 Restricted
funds
£		 Period
ended
30thJune
2021
£		 Unrestricted
funds
£
1,131
31,400
32,531
-
2,865
2,865
-
29,666
508,409
538,075		 Restricted
funds
£		 Year to
31stMarch
2020
Total
funds
£
Income and endowments
from:
Donations
1
Investments
2
Total income
Expenditure on:
Raising funds
3
Charitable activities
4
Total expenditure

Net gains on investments
8
Net income /
Net movement in Funds
Reconciliation of funds
Fund balances brought
forward
Fund balances carried
forward
11
320

4,153		 3,800,000
175,606		 3,800,320
179,759		 2,500,000
-		 2,501,131
31,400
4,473 3,975,606 3,980,079 2,500,000 2,532,531

-

-		 19,973
1,811,421		 19,770
1,811,624		 21,033
1,415,223		 21,033
1,418,088
- 1,831,394 1,831,394 1,436,256 1,439,121

-		 618,864 618,864 - -
4,473
538,075		 2,763,076
4,390,147		 2,767,549
4,928,222		 1,063,744
3,326,403		 1,093,410
3,834,812
542,548 7,153,223 7,695,771 4,390,147 4,928,222

The notes on pages 31 to 39 form part of these financial statements.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

STATEMENT OF FINANCIAL POSITION: PERIOD TO 30[TH] JUNE 2021

Notes
30th June
2021
£
Fixed assets
Computer equipment
7
Investments
8
Total fixed assets
Current assets
Debtors
9
76,020
Investments - cash
1,215,137
Cash at bank and in hand
220,247
Total current assets
1,511,404
Creditors: amounts falling due within one
year
10
(138,082)
Net current assets
Total assets less current liabilities
Represented by:
Unrestricted funds
Restricted funds
Total funds
11		 30th June
2021
£		 30th June
2021
£		 31stMarch
2020
£		 31stMarch
2020
£
76,020
1,215,137
220,247		 3,696
6,318,753		 26,367
-
5,210,499		 5,895
-
6,322,449
1,373,322		 5,895
4,922,327
1,511,404
(138,082)		 5,236,866
(314,539)
7,695,771 4,928,222
542,548
7,153,223		 538,075
4,390,147
7,695,771 4,928,222

The notes on pages 31 to 39 form part of these financial statements.

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 3[rd] November 2021.

----- Start of picture text -----
Trustee
----- End of picture text -----

Longleigh Foundation

A Company Limited by Guarantee Registered Number: 09923402

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

STATEMENT OF CASH FLOWS: PERIOD TO 30[th] JUNE 2021

Notes
Period
ended
30th June
2021
£		 Year to
31stMarch
2020
£
Cash flows from operating activities:
Net cash provided by operating activities
A
Cash flows from investing activities:
Dividends and interest from investments
Proceeds from the sale of fixed assets
Purchase of tangible fixed assets
Purchase of investments

Net cash (used in)/provided by investing activities

Analysis of changes in net debt
Change in cash and cash equivalents in the period

Cash and cash equivalents at the beginning of the period
B
Cash and cash equivalents at the end of theperiod
B		 1,746,964 1,077,392
179,759
400
(2,348)
(5,298,116)		 31,400
-
(3,640)
-
(5,120,305) 27,760
(3,373,341)
5,210,499		 1,105,152
4,105,347
1,837,158 5,210,499
A: RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM
OPERATING ACTIVITIES
Period
ended
30th June
2021
£
Year to
31stMarch
2020
£
Net income for the reporting period (as per the statement of financial
activities)
2,767,549
1,093,410
Adjustments for:
Depreciation charges
4,059
2,865
(Gains) on investments
(618,864)
-
Dividends and interest from investments
(179,759)
(31,400)
Loss on the sale of fixed assets
89
-
(Increase)/decrease in debtors
(49,653)
13,246
(Decrease in creditors
(176,457)
(729)
Net cashprovided by operating activities
1,746,964
1,077,392
B: ANALYSIS OF CASH AND CASH EQUIVALENTS
Net income for the reporting period (as per the statement of financial
activities)
Adjustments for:
Depreciation charges
(Gains) on investments
Dividends and interest from investments
Loss on the sale of fixed assets
(Increase)/decrease in debtors
(Decrease in creditors
Net cashprovided by operating activities		 2,767,549
4,059
(618,864)
(179,759)
89
(49,653)
(176,457)		 1,093,410
2,865
-
(31,400)
-
13,246
(729)
1,746,964 1,077,392
B: ANALYSIS OF CASH AND CASH EQUIVALENTS
B: ANALYSIS OF CASH AND CASH EQUIVALENTS
Period
ended
30th June
2021
£		 Year to
31stMarch
2020
£
Cash at bank
Short term deposits
Cash held by investment manager
Total cash and cash equivalents		 220,247
1,215,137
401,774		 5,210,499
-
-
1,837,158 5,210,499

The notes on pages 31 to 39 form part of these financial statements.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

PRINCIPAL ACCOUNTING POLICIES: PERIOD TO 30[th] JUNE 2021

CHARITY INFORMATION

The charity is a company limited by guarantee (registered number 09923402, charity number 1169016), which is incorporated in the UK. The address of the registered office is Suite C, Lancaster House, Grange Business Park, Enderby Road, Whetstone, Leicester, LE8 6EP.

BASIS OF PREPARATION

The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP 2015), applicable UK accounting standards including the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Companies Act 2006.

Longleigh Foundation meets the definition of a public benefit entity under FRS 102.

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

The principal accounting policies adopted in the preparation of the financial statements are as follows:

SIGNIFICANT JUDGEMENTS AND ESTIMATES

The area in the financial statements where these judgements and estimates have been made is in relation to the allocation of indirect operating costs.

GOING CONCERN

The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The trustees have made this assessment in respect to a period of one year from the date of approval of these financial statements.

The trustees of the charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The trustees are of the opinion that the charity will have sufficient resources to meet its liabilities as they fall due. Despite the global uncertainty in relation to coronavirus pandemic, there are no concerns regarding the Foundation’s ability to continue as a going concern.

INCOME

All incoming resources are recognised once the charity has entitlement to the resources, it is probable that the resources will be received and the monetary value of incoming resources can be measured with sufficient reliability.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Donations are recognised on a receivable basis where there is certainty of receipt and the amount can be reliably measured. Donations are accounted for as unrestricted, unless there are restrictions under the terms on which they are received or solicited.

EXPENDITURE

Expenditure is recognised on an accrual basis as a liability is incurred. Expenditure includes VAT which cannot be recovered.

Expenditure on raising funds comprises those costs directly attributable to our new investment strategy and the opening of the investment fund in April 2020 and fundraising costs which are incurred in seeking voluntary contributions for the charity.

Expenditure on charitable activities comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. These include project and research grants to third party institutions and hardship grants to individuals.

All multi-year project grants are subject to satisfactory annual review and reporting as set out in the funding agreement and are therefore only accounted for when this condition has been met. Estimated future costs of existing projects grants are shown in note 13 to the financial statements.

Governance costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include audit fees and costs linked to strategic management of the charity. These are allocated in line with the policy below.

ALLOCATION OF OPERATING COSTS

Operating costs, including direct staff costs, are allocated directly to the activity that they relate to where possible.

Indirect operating costs have been apportioned to the activity based on the estimated support staff time spent on each activity. This is 5% to raising funds, 75% individual grants, 18% project grants and 2% research grants (2020: 5% to raising funds, 60% individual grants, 33% project grants and 2% research grants). This split is reflective of the fact that even though the value of individual grants is lower than project grants, the individual grant activity is more time intensive and has increased 106% in the last period.

FINANCIAL INSTRUMENTS

The company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. All basic financial instruments are held at amortised cost. Financial assets comprise cash at bank, together with trade and other debtors. Financial liabilities comprise all creditors except social security and other taxes.

FIXED ASSETS AND DEPRECIATION

All assets costing more than £1,000 are capitalised and valued at historical cost.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Depreciation on assets is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. The estimated useful life for computer equipment is three years.

INVESTMENTS

Investments are initially measured at cost and subsequently at market value. Investment gains and losses, whether realised or unrealised, are recognised in the statement of financial activities in the period in which they arise.

DEBTORS

Debtors are initially recognised at their settlement amount and subsequently at amortised cost of their recoverable amount. Prepayments are valued at the amount prepaid.

CASH

Cash at bank includes cash in short term highly liquid investments and cash in deposit accounts that are available on demand or have a maturity of 100 days or less.

Investment cash included within current assets is deposits held by our investment managers for use over the next 12 months.

CREDITORS

Creditors are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of funds to a third party will be required in settlement and the amount due to settle can be measured or estimated reliably.

Creditors are initially recognised at fair value, being the amount the charity anticipates it will pay to settle the debt, and subsequently at amortised cost.

FUND ACCOUNTING

The charity’s unrestricted general fund consists of funds which the charity are free to use for any purpose in furtherance of its charitable objects.

Restricted funds are funds that can only be used for specific restricted purposes within the objects of the charity as laid down by the donor. Expenditure which meets this criteria is charged to the fund. Further explanation of the nature and purpose of each fund is included in note 9 to the financial statements.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

NOTES TO THE FINANCIAL STATEMENTS: PERIOD TO 30[TH ] JUNE 2021

1. DONATIONS

1. DONATIONS
Unrestricted
funds
£		 Restricted
funds
£		 Period
ended
30th June
2021
Total
funds
£
Stonewater Limited
Other donations
Total		 -
320		 3,800,000
-		 3,800,000
320
320 3,800,000 3,800,320
Unrestricted
funds
£		 Restricted
funds
£		 Year to
31stMarch
2020
Total
funds
£
Stonewater Limited
Other donations
Total		 -
1,131		 2,500,000
-		 2,500,000
1,131
1,131 2,500,000 2,501,131

2. INCOME FROM INVESTMENTS

Unrestricted
funds
£		 Restricted
funds
£		 Period
ended
30th June
2021
Total
funds
£
Investments
Bank interest
Total		 -
4,153		 175,606
-		 175,606
4,153
4,153 175,606 179,759
Unrestricted
funds
£		 Restricted
funds
£		 Year to
31stMarch
2020
Total
funds
£
Bank interest
Total		 31,400 - 31,400
31,400 - 31,400

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

3. EXPENDITURE ON RAISING FUNDS

Professional Investment advice

Other fundraising costs

Investment Manager fees

Allocation of support costs

Allocation of governance costs (note 5)

Total
 Period
ended
30th June
2021
£
-
-
11,421
5,897
2,655
19,973		 Year to
31stMarch
2020
£
10,000
249
-
8,111
2,673
21,033

4. EXPENDITURE ON CHARITABLE ACTIVITIES – RESTRICTED

Restricted Grants
undertaken by
Longleigh
£

555,139
-

-
555,139
Grants
undertaken by
Longleigh
£

268,760
-

-
268,760		 Grants to other
organisations
£
-
886,014
43,238
929,252
Grants to other
organisations
£
-
802,681
43,238
845,919		 Direct
overhead costs
£
133,435
31,110
-
164,545
Direct overhead
costs
£
70,867
24,789
-
95,656		 Support costs
£		 Governance
costs (note
5)
£		 Period
ended
30th June
2021
Total
£
Individual grants
Project grants
Research grants
Total		 88,453
21,229
2,359		 39,824
9,558
1,062		 816,851
947,911
46,659
112,041 50,444 1,811,421
Restricted Support costs
£		 Governance
costs (note
5)
£		 Year to
31stMarch
2020
Total
£
Individual grants
Project grants
Research grants
Total		 97,332
53,533
3,244		 32,071
17,639
1,069		 469,030
898,642
47,551
154,109 50,779 1,415,223

5. GOVERNANCE EXPENDITURE

5. GOVERNANCE EXPENDITURE
Period
ended
30th June
2021
£		 Year to
31stMarch
2020
£
Auditors remuneration – audit
Auditors remuneration – tax
Company Secretarial fee
Chair’s remuneration
Direct staff costs allocation
Trustee and staff training, travel and subsistence
Trustee meeting costs
Trustee recruitment
Other costs
Total		 8,820
-
11,250
5,625
22,247
825
1,000
3,000
332		 7,500
1,500
9,000
3,000
25,346
3,852
3,189
-
65
53,099 53,452

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

6. EMPLOYEES

6. EMPLOYEES
Period
ended
30th June
2021
£		 Year to
31stMarch
2020
£
Wages and salaries
Social security costs
Other pension costs
Total		 198,090
13,565
6,590		 155,978
13,860
4,323
218,245 174,161

The Charity employed four staff members during 2021 (2020: four).

One employee received emoluments between £80,000 - £90,000 for the 15-month period (year ended 31 March 2020: one £60,000 - £70,000). If we pro rate the period down to 12-months, the banding would be consistent with last year, with one employee receiving emoluments between £60,000 – £70,000.

Pension costs are payable in respect of defined contribution pension schemes and are accounted as part of the Charity’s restricted funds. Contributions are recognised in the statement of financial activities in the period which they are payable to the scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund.

David Emerson has been paid £5,625 in respect of his role as Chairman, as approved by the Charity Commission for England and Wales (2020: David Emerson, Chairman paid £3,000). £nil has been reimbursed to trustees in respect of travel and expenses incurred on the charity’s activities (2020: £1,521 to four trustees).

Key management personnel comprise the trustees and Chief Executive. The total remuneration of the charity’s key management personnel (including employer’s national insurance and pension contributions) for the period was £103,495 (2020: £79,035).

7. TANGIBLE FIXED ASSETS

7. TANGIBLE FIXED ASSETS
Computer
equipment
£
Cost
At 1stApril 2020
Additions
Disposals
At 30thJune 2021
Depreciation
At 1stApril 2020
Charge for period
Disposals
At 30thJune 2021
Net book values
At 30thJune 2021
At 31stMarch 2020		 9,204
2,348
(1,869)
9,683
3,309
4,058
(1,380)
5,987
3,696
5,895

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

8. INVESTMENTS

30th June
2021
£		 31st
March
2020
£
-
-
-
-
-
-
-
Market value at 1stApril 2020
Additions at cost
Net unrealised gain
Market value at 30thJune 2021
Cash held by investment managers
Total carrying value at 30th June 2021
Historic cost at 30th June 2021		 -
5,298,116
618,863
5,916,979
401,774
6,318,753
5,298,116

The following holdings are considered material to the overall value of investments, representing over 5% of the overall market value:

30th June
2021
£		 31stMarch
2020
£
Schroder Global Sustainable Growth 1,569,544 -

9. DEBTORS

30th June
2021
£		 31stMarch
2020
£
Prepayments
Accrued income
Other debtors
Total		 22,948
53,072
-		 4,602
10,607
11,158
76,020 26,367

10.CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

30th June
2021
£		 31stMarch
2020
£
Trade creditors
Accruals for grants payable
Taxation and social security
Other creditors – Amounts owed to Stonewater Limited
Other accruals
Total		 14,776
101,066
1,698
-
20,542		 8,412
288,017
4,884
282
12,944
138,082 314,539

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

11. MOVEMENT IN FUNDS

Unrestricted funds
Restricted funds		 Balance at
Year to
1st April 2020
£
538,075
4,390,147
4,928,222		 Incoming
resources
£

4,473
3,975,606
3,980,079		 Resources
expended
£
-
(1,831,394)
(1,831,394)		 Net gain on
investments
£
-
618,864
618,864		 Balance at
period ended
30th June
2021
£
542,548
7,153,223
7,695,771
Balance at
1stApril 2019
£		 Incoming
resources
£		 Resources
expended
£
(2,865)
(1,436,256)
(1,439,121)		 Balance at
Year to
31stMarch
2020
£
538,075
4,390,147
4,928,222
Unrestricted funds
Restricted funds		 508,409
3,326,403		 32,531
2,500,000
3,834,812 2,532,531

The donations received from Stonewater Ltd are restricted, in that the grants are to be used for the benefit of Stonewater residents, members of residents’ families living in Stonewater properties and the communities within which Stonewater operates. The donation can also be used towards general overheads required to support the above work.

12. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted
funds
£		 Restricted
funds
£
6,318,753
972,552
(138,082)
7,153,223
Restricted
funds
£
-
4,704,686
(314,539)
4,390,147		 Period
ended
30th June
2021 Total
funds
£
Fixed assets
Current assets
Current liabilities
Total		 3,696
538,852
-		 6,322,449
1,511,404
(138,082)
542,548 7,695,771
Unrestricted
funds
£		 Year to
31stMarch
2020 Total
funds
£
Fixed assets
Current assets
Current liabilities
Total		 5,895
532,180
-		 5,895
5,236,866
(314,539)
538,075 4,928,222

13. ISSUED SHARE CAPITAL

The company is limited by guarantee and does not have share capital.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

14. RELATED PARTY TRANSACTIONS

Stonewater Limited is Longleigh Foundation’s founding donor. Stonewater Limited donated £3,800,000 (2020: £2,500,000) to Longleigh Foundation during the period ending 30[th] June 2021.

Activity Period
ended Year to
30th June 31stMarch
2021 2020
£ £
Management fee for Finance and Administrative support - 20,587
Company Secretarial services for the period/year 11,250 9,000
Project grants 227,478 220,872
Amount owed to Stonewater at year end - 282

As set out in the articles, Stonewater Limited can appoint one person as a trustee. Anne Dokov was selected as trustee and is also a Stonewater board member.

15.GRANT COMMITMENTS

Multi-year grants are subject to additional annual reporting requirements being met by the recipients before they are due. They are therefore not included as a liability until the reporting requirement is met. The value of estimated future grants is £126,516 and all fall due in 21-22 (2020: £823,494; £755,256 in 20-21 and £68,238 in 21-22).

16. TAX

The company is a charity within the meaning of Para 1 Schedule 6 Finance Act 2010. Accordingly, the company is potentially exempt from taxation in respect of income or capital gains within categories covered by Chapter 3 of Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

No tax charges arose in the period.

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021

Longleigh Foundation, Annual Report & Financial Statements 30[th] June 2021 - 40 -