Charity number: 1170596 THE RELAY TRUST FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2021 LUBBOCK FINE LLP Chartered Accountants Paternoster House 65 St Paul's Churchyard London EC4M 8AB
THE RELAY TRUST CONTENTS Page Reforencg and Administrativo Dotails of the Charity, its Trusteos and Advisgrs Trustees. Report Independent Auditors. Report on the Financial Statements 7-10 ststement of Flnanclal Actlvltles 11 Balance Sheet 12 Statement of Cash Flows 13 Notes to the Financial Statements 14-24
THE RELAY TRUST REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 MARCH 2021 Trustees Neil Smith Rogeria Mulrine Charty registered number 1170596 Principal office One St Aldates 04.02 Oxford Oxfordshire OX1 1DE Independent audltors Lubbock Fine LLP Chartered Accountants & Statutory Auditors Paternoster House 65 Sl Paul's Churchyard London EC4M 8AB Bankers Sanlander Bridle Road Boolle Merseyside L30 4GB Page 1
THE RELAY TRUST TRUSTEES. REPORT FOR THE YEAR ENDED 31 MARCH 2021 The Trustees present their report together with the financial statements of The Relay Trust (the Charity) for the year from 1 April 2020 10 31 March 2021. The Trustees confirm that the financial statements of the Charity comply with the current statutory requirements, the requirements of the charity's governing document and the provisions of the Ststement of Recommended Practi ISORPI, applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 leffective 1 January 20191. STRUCTURE. GOVERNANCE AND MANAGEMENT The Relay Trust is govemed by a Trust Deed dated 19 March 2016. The Deed names the initial Trustees and sets out the means by which further Trustees will be appointed Iclause 71. This sets out that the power of appointing new Iruslees is vested in the Selllor, and in the case of his death, in such person as is nominated in his will or by the remaining Trustees. Oryanisational structure The Trustees are responsible for making operational, funding and strategic decisions in line with charity objectives. The staff responsible for carrying out the day-lo-day activities of the Trust are supervised and supported by the Trustees. The training of Trustees is determined by the governance needs of the Trust lo meet its charitable objectives. On initial appointment, new Trustees are given access lo the governing document, financial information, meeting materials and essential trustee guidance from the Charity Commission. Public Benefit In setting the objectives and planning the activities of The Relay Trust, the Trustees have given careful consideration to the Charity Commission's general guidance on public benefit. Pay setting Trustees are not remunerated for their work. Trustee expenses are reimbursed in line with the Trust's policies. Key management remuneration is reviewed regularly and reflects market rates. TRUSTEES The Trustees who served during the year were.. Neil Smith Rogeria Mulrine OBJECTWES AND ACTIVITIES A revised Statement of Purpose was developed to guide the selection and monitoring of all projects.. 'The purpose of the Relay Trust is to facilitate leadership training for the Christian church through the provision of educational systems, training conlenl, professional advice, and financial support. The goal of this training will be lo enable leaders to leach Christians how to live as disciples of Jesus through the daily challenges of life- birth, sickness, marriage, family, work, Community, ageing and death. The core skill in which these leaders will be trained is to explain discipleship through reading the Bible narratives, discerning their central meaning, and communicating this lo those in their care. Page 2
THE RELAY TRUST TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 The Relay Trust will focus training al the 'grass-roots' level, delivered within the community, using language and concepts appropriate lo the conlexl. The geographic focus of the Relay Trust will be the regions covered by the 200 poorest Dioceses within the Anglican Church. The denominational focus of the Charity will be the Provinces of the Anglican Communion. The Charity will aim lo focus 700/0 of expenditure on these areas and this denomination over the medium term. To deliver on this Statement of Purpose the organisalion was re-structured around four divisions.. Systems, Content, Relay 200, and Administration. Systems, led by Alex Klausen, develops hardware and Soare solutions I"The Well.) which will enable the delivery of training courses directly lo mobile phones in geographies where the internel is unavailable, expensive, or slow. 'The Well" combines a portable WiFi device that links an internet*nabled regional ntre with the students, location through visiting facilitstors. Course work is downloaded, and students, work is uploaded through the regional cenlre. The student's participation and progress are then managed by a course supervisor organised by the Content division. The hardware for the device continues to be developed by Hope Tech Global, based in China. Travel reslriclions and supply chain disruptions resulting from the COVID-19 pandemic disrupted progress, particularly in regard in field testing in Africa. The software for the device continued lo be developed by Lars Gunnarsson in Swilzerland and a group of consullanls based in the United Slates and supervised by the Kolo Group. Content, led by Mette Klausen, develops the specific courses that facilitate leadership training courses. This process involved sourcing appropriate material, modifying the conlenl lo an e-learning formal, and translating courses into relevant languages. During the year three types of courses were developed and distributed.. In response to the COVID-19 pandemic. seven simple health messages were produced and distributed through WhalsApp and Facebook. Targeting the African audience, these were written in English and translated into French, Kriol, Mende, Hausa, Swahili, and Amharic. This process enabled the Trust to develop capabilities in course production and on-line distribution. These messages were then supported by four group courses, lo assist church groups lo discuss the effects of the pandemic and understand their response in a Christian conlexl. Discussion groups, based on the use of WhalsApp, were formed in Sierra Leone, Ghana, Nigeria, Cameroon, and Uganda. This proTrss enabled the Trust lo develop capabilities in the remote management of learning groups. As the first step in the rollout of The Well, small groups were established in Sierra Leone lo deliver leadership training. These groups were co-ordinated by a facilitator employed in Sierra Leone. Teaching material was distributed by WhatsApp and on-line. This process tested the teaching model that will undedie the use of The Well. This course distribution enabled the Trust to further define the training system under development, now described as DECIBEL-"Digilally enhanced, community based, learning.. Relay 200, led by Charles Raven, identifies, and supports t)olh operational and capitsl projects that support the delivery of leadership training by the partner churches. The objectivity of this process was enhanced by the development of the RIDE index (Relay Index of Diocesan Exigencyl. This index is based on the Oxford Poverty and Human Development Initiative IOPHII Multidimensional Povety Index IMPII, a measure of acute multidimensional poverty which aims lo go beyond simple monetsry poverty measures by capturing acute deprivations in health, education and living standards. The MPI can be disaggregated from the national lo the regional level. The MPI by region is then cross referenced with the Diocesan boundaries of the Anglican Church through geomapping.Through this process the RIDE index identifies the Dioceses in the poorest regions. An MPI of 0.270 and above has been chosen as the criteria for selection of the Dioceses the Trust will focus on. Page 3
THE RELAY TRUST TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 ACHIEVEMENTS AND PERFORMANCE The charity's grant making policy is to provide funds lo institutions focussed on supporting operational and capital projects that support the delivery of the leadership training by the partner churches in 6 key areas globally. The Relay 200 support for the year ended 31 March 2021 has been summarised below.. West Africa Financial support was provided to the Di0seS of Freetown, Bo, and Guinea to ensure their viability whilst longer term income-generaling projects were planned and implemented. In Freetown, additional financial support enabled the continued construction of the Centenary Project" a mulli-story office building in Freetown. Rent from this building will enable lo fund salaries and pensions of Diocesan staff. Financial support was provided to the Diocese of Freetown to continue construction of the Mount Zion Cenlre, a multipurpose ministry training centre on the outskirts of Freetown. This centre will be the base from which the DECIBEL training projects are implemented on behalf of churches in the whole region of West Africa. In the Diocese of Bo, the construction of a rectory in Moyamba facilitated the development of the church in this area. In Monrovia in Liberia, the Trust provided support for the establishing of the new Province of the Anglican Church I'The Continuing Province of Wesl Africa'l. This Province incorporates Gambia, Guinea, Sierra Leone, Liberia, and Cameroon. The new Province was separated from the more subslanlial church in Ghana and lacked the resources lo establish a functioning office. In Lomé in Togo, the Trust initiated support for"La Phare" Bible college, providing bursaries for the students. Democratic Republic of Congo The Trust funded the implementation of an internet link beeen Kinshasa and Kindu. The Trust funded a bursary for a leader from the Diocese of Kindu to participate in a 12-month program in the Community of Sl Anselm in London, an initiative of the Archbishop of Canterbury. In conjunction with Openwell, a consultancy was launched in the Diocese of Kindu to understand the needs of the Diocesan schools system and make recommendations for long-lerm support and development. Financial support was provided lo the Archbishop of Congo, lo enable him lo employ an assistant and meet the unfunded expenses of his national role. Sudan and South Sudan A key finding from the development of the RIDE Index was the challenges facing the Anglican church in Sudan and South Sudan. Initial contacts We developed in the region through Andy Wheeler, a consultant lo the Archbishop of the Episcopal Church of Sudan. Ethiopia The Trust has a long-term relationship with Mesfin Birhanu, the co-ordinator for theological education for the Full Gospel Church of Ethiopia. The Trust provided Mr Birhanu with financial support and assisted with his ongoing academic studies. The Trust continued lo finance of the Guji and Borana Training Centre, a major regional college for the Full Gospel Church. Completion is anticipated in 2021-2022. The Trust initiated discussions with the Anglican Diocese of Gambela, to facilitsle a survey of the Diocese to develop leadership training. Page 4
THE RELAY TRUST TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Mozambique The Trust developed a Memorandum of Understanding with the Bishop of Niassa, northern Mozambique. This MOU will guide the development of training and the construction of facilities In the Dioceses of Niassa, Tete and Zambesia. Europe The Trust supports several institutions in EuropelUK which in turn provide support for training in Africa, or which strengthen the Trust's capacity to translate material into languages other than English (French and Portuguese). The Belgian Bible Institute (Brussels) develops curricula in French and supports training in Togo. The Trust provides a limited number of bursaries. Oak Hill College in London trains church leaders for work in the UK and beyond. It has a focus on 'diaspora' churches in the UK and training BAME students. The Europe Collaboration SUPF)Orts new churches in European cities. Through the EC the Trust supports churches in Paris and Strasbourg, who in turn support the Trust with translation and curriculum development. Youlhscape based in Lulon UK conducts research and operates programs to link young people with the Anglican church in the UK. The Trust utilises their research and methodologies to inform the development of programs in Africa. Criteria used to measure success The Trustees meet annually to assess the progess of the Trust against ils objectives. Trustees agree goals and objectives for the following e1ve months. Administration In July 2020 the Trust rented office accommodation al One Sl Aldates, Oxford. This office enables the cenlralising of records and provides a single workplace for the Directors of Systems, Content and Relay 200 and their support staff. Melle and Alex Klausen moved to Oxford from Denmark and Charfes Raven from Leeds. All three were fomierly consullanls but are now UK employees. FINANCIAL REVIEW During the year, income tolalled £2,937,452, consisting of £2,937,449 of donations and gift aid and £3 of bank Interest. As at 31 March 2021 the Charity had £734,619 of unrestricted reserves and £181,772 of free reserves, calculated as net assets less funds tied up in Intangible assets. The Charity does not have a reserves policy as sufficient funding is received from Trustees and related parties to cover expenditure for each year. Primary funding source The charity's primary funding source Is that of donations received from Trustees during the current and prior year. Fundraising The charity does not carry out significant fundraising activities and no funds were received from the public during the current or prior year. KEY RISKS The Trustees are committed to a regular review of the major slralegic, business and operational risks which the Charity faces with a view lo ensuring that appropriate systems and procedures are in place to minimise these risks. Page 5
THE RELAY TRUST TRUSTEES. REPORT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 FUTURE PLANS It is anticipated that the current operations of the Trust will be incorporated into a newly set up charitable company limited by gaurantee during 2022, in order to facilitste the anticipated growth of the charity's operations. As part of this process, an expanded Board of Trustees will be established. As a result of this, these accounts have been prepared on a basis other than going concern. See Note 1.2 for further details. TRUSTEES. RESPONSIBILITY STATEMENT The Trustees are responsible for preparing the Trustees, Report and the financial statements in accordan with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable lo charities in England & Wales requires the Trustees lo prepare financial statements for each financial year which give a true and fair view of the slate of affairs of the charity and of its incoming resources and application of resources, including ils income and expenditure, for that period. In preparing these financial statements, the Trustees are required to.. select suitable accounting policies and then apply them con51Stently', observe the methods and principles of the Charities SORP IFRS 1021., make judgments and aecounting estimates that are reasonable and prudent", slate whether applicable UK Accounting Standards IFRS 1021 have been followed, subject to any material departures disclosed and explained in the financial stalemenls., prepare the financial statements on the going conrn basis unless it is inappropriate lo presume that the charity will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient lo show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. 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 Each of the persons who are Trustees at the lime when this Trustees. report is approved confirmed Ihal.. so far as that Trustee is aware, there is no relevant audit information of whch the Charity's auditors are unaware and", that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the charity's auditors are aware of that information. This report was approved by the Trustees and signed on their behalf. SMIL Neil Smith Trustee Dale.. 04 March 2022 Page 6
THE RELAY TRUST INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE RELAY TRUST FOR THE YEAR ENDED 31 MARCH 2021 OPINION We have audited the financial slalements of The Relay Trust (the 'charity'l for the year ended 31 March 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related notes, 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally Accepted Accounting Praclicel. In our opinion the financial statements. give a true and fair view of the stale of the charity's affairs as al 31 March 2021 and of its incoming resources and application of resources for the year then ended., have been propedy prepared in accordance with United Kingdom Generally Accepted Accounting Practice," and have been prepared in accordance with the requirements of the Charities Act 2011. 8ASIS FOR OPINION We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical quirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and the provisions available for small entities, in the circumstances sel out in note 1.1 to the financial ststemenls, and we have fulfi'lled our other ethical sponsibilities in accordance with these requirements. We believe that the audit eviden we have obtained is sufficient and appropriate lo provide a basis for our opinion. EMPHASIS OF MATTER We draw attention lo Note 1.2 to the financial stslements which explains that the Trustees intend lo transfer the trade, assets and liabilities of the charity to a newly set up charitable company limited by guarantee and therefore do not consider it to be appropriate to adopt the going concern basis of accounting in preparing the financial statements. Accordingly the financial statements have been prepared on a basis other than going concern as described in Note 1.2. Our opinion is not modified in respect of this matter. OTHER INFORMATION The other information comprises the information included in the Annual Report other than the financial statements and our Auditors, Report thereon. The Trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except lo the extent otherwise explicitly slated in our report, we do not express any form of assurance conclusion Ihereon. Our responsibility is lo read the other information and, in doing so, consider whether the other information is materially inconsislenl with the financial stslemenls or our knowledge obtained in the course of the audit, or otherwise appears lo be materially misststed. If we identify such material inconsistencies or apparent material misslalements, we are required lo determine whether this gives rise lo a material misstatement in the financial statements themselves. 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 lo report in this regard. Page 7
THE RELAY TRUST INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE RELAY TRUST (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 MAThERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION We have nothing to report in respect of the following matters where the Charities (Accounts and Reportsl Regulations 2008 requires us to report to you if, in our opinion.. the information given in the Trustees, Report is inconsistent in any material respect with the financial stslements., or sufficient accounting records have not been kept,. or the financial statements are not in agreement with the accounting records and relums., tsr we have not received all the information and explanations we require for our audit. RESPONSIBILITIES OF TRUSTEES As explained more fully in the Trustees, Responsibilities Statement, the Trustees are responsible for the prepaotion of the financial statements which give a true and fair view, and for such internal control as the Trustees determine is necessary lo 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 lo 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 lo liquidate the charity or lo cease opeotions, or have no alislic alternative but to do so. AUDITORS. 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 the Act and relevant regulations made or having effect thereunder. Our objectives are lo obtain reasonable assuonce about whether the financial statements as a whole are free from Material misstatement, whether due to fraud or error, and to issue an Auditors, 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 IUKI will aayS detect a material misslalement when il exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected lo 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, lo delecl material misstatements in respect of irregularities, including fraud. In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following.. The nature of the sector and the impact of Covid 19 on financial and operating performance and policies,. Enquiries of management, including obtaining and reviewing supporting documentation, concerning the charity's policies and procedures relating to.. identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance., detecting and responding lo the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud., and the inlemal controls established to mitigate risks related lo fraud or non-compliance of laws and regulations., and Discussions among the engagement team regarding how and where fraud might occur in the financial statements and any F)olenlial indicators of fraud. The engagement team includes audit partners and staff who have extensive experience of working with charities in similar sectors and this experience was relevant to the discussion about where fraud risks might arise. Page 8
THE RELAY TRUST INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE RELAY TRUST (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 We also obtsined an understanding of the legal and regulatory framework that the charity operates in, focusing on provisions of those laws and regulations that had direct effe¢l on the determination of material amounts an disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Charities Act, Charities SORP 2019 and FRS 102. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements bul compliance with which may be fundamental lo the charity's ability to operate or to avoid a material penalty. As a result of these procedures, we considered the particular areas that were susceptible to misstalemenl due to Irregularities including fraud were In respect of unre¢orded grant commilmenls. validity of grant expenditure an preparing the accounts on a basis other than going concern Whe this is not appropriate. In common with all audit5 under ISAS IUKI, we are also required to perform specifi'c procedures lo respond to the risk of management override. Our procedures to respond lo risks identified included the following". Reviewing the financial statement disclosures and lesling to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial slalemenls., Enquiring of management concerning actual and potential liligalion and claims., Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud", Reviewing recognition of income to supporting documentab'on to verify appropriate recognition and classification", In addressing the risk of fraud through management override of controls,. assessing whether the judgements made in making accounting eslimales are indicative of a potential bias., and evaluating the rationale of any significant transactions that are unusual or outside the normal course of the charity's operations., Reviewing grant documentation on a sample basis and evidence supporting stage of completion in respect of grant milestones lo verify ¢ompleleness of grant commitments., Vouching, on a sample basis, grant documentation including agreements and pre$S reports to cheek validity of grant expenditure. reviewing the Trustees assessment of going concem, including future plans and post year end information regarding status of newly set up charity as well as disclosures on the basis of preparation of the accounts. Because of the inherent limitations of an audit, there is a risk that we will not delect all irregularities, including those leading to a material misslatemenl in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial slalements, as we will be less likely lo become aware of instan$ of non-complian. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentstion. A further description of our responsibilities for the audit of the financial ststemenls is located on the Financial Reporting Council's website al.. www.frc.or .uklaudilorsres onsibilities. This description forms part of our Auditors, Report. OTHER MATTERS We draw your attention to the fact that the comparative information in respect of the year ended 31 March 2020 has not been audited. Page 9
THE RELAY TRUST INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF THE RELAY TRUST (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021 USE OF OUR REPORT This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might slate to the charity's trustees those mallers we are required lo slate lo them in an Auditors. Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility lo anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have fomied. David Chandra (Senior Statutory Auditor) for and on behalf of Lubbock Fine LLP Chartered Accountants & Statutory Auditors Palernosler House 65 St Paul's Churchyard London EC4M 8AB Dale.. 04 March 2022 Lubbock Fine LLP are eligible lo act as auditors in terms of section 1212 of the Companies Act 2006. Page 10
THE RELAY TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2021 As reststed Total funds 2020 Unrestricted funds 2021 Total funds 2021 Note Income from: Donations and gift aid Investment Income 2,937,449 2,937,449 67S,1 $9 Total Income 2,937,452 2,937,452 676,173 Expenditure on: Charitable activities 1,633,220 1,633,220 1,338,270 Total expenditure 1,633,220 1,633,220 1,338,270 Net movement in funds 1,304,232 1,304,232 1662,0971 Reconclllatlon of funds: Total funds brought forward Nel movement in funds 1569,6131 1,304,232 1569,6131 1,304,232 92,484 1662,0971 Total funds carrled forward 734,619 734,619 1569,6131 The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on p2ges 14 to 24 form part of these financial st21emenls. Page11
THE RELAY TRUST BALANCE SHEET AS AT 31 MARCH 2021 As reststed 2020 2021 Note Fixed assets Intangible assets Current assets 224,767 Intsngible assets Debtors Cash at bank and In hand 552,847 1,521,379 56,638 110,617 1,272 2, 130,864 111,889 Creditors.. amounts falling due within one year (1,396,245) 1906,2691 Net current assets I liabilites 734,619 1794,3801 Total net assets 734,619 1569,6131 Charity funds Unrestricted funds 734,619 1569,6131 Total funds 734,619 1569,6131 The financial statements were approved and aulhorised for issue by the Trustees and signed on their behalf by.. Neil Smith Trustee Dale.. 04 March 2022 The notes on pages 14 to 24 fomi part of these financial stalemenls. Page 12
THE RELAY TRUST STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 MARCH 2021 As reststed 2020 2021 Note Cash flows from operating activities Nel cash provided by operating activities 13 383,442 21 $,447 Cash flows from investing activities Interest income App development costs 1328,0791 1224,7641 Net cash used in investing activities 1328,0761 1224,7601 Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year 55,366 18,3131 9,585 1,272 Cash and cash equivalents at the end of the year 14 56,638 1,272 The notes on pages 14 to 24 fomi part of these financial statements Page 13
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Accounting policies 1.1 Basis of preparation of financial statements The financial statements have been prepared in accordance with the Charities SORP IFRS 1021 Accounting and Reporting by Charities." Statement of Recommended Practice applicable to charities pparIng their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Iland IFRS 1021 (effective 1 January 20191, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Charities Act 2011. The Relay Trust 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 stsled in the relevant accounting policy. The audit has been undertaken in accordance with the requirements of the FRC'S Ethical Standard, including the provisions available for the audit of small entities. The charity uses the auditor, Lubbock Fine LLP Chartered Accounlanls, lo assist with the preparation of the financial statements from cashbook and other source documents. 1.2 Going concern The Trustees intend lo transfer the trade, assets and liabilities of the charity to a newly set up charitable company limited by guarantee (company registration number.. 137805001 in 2022. As required by UK accounting standards, the Trustees have prepared the financial statements on the basis that the Charity is no longer a going concern. Other than the reclassification of intangible assets from fixed assets lo current assets, no other material adjustments arose as a result of ceasing to apply the going concern basis. 1.3 Fund accounting General funds are unrestricted funds which are available for use al the discretion of the Trustees in furtheran of the general objectives of the charity and which have not been designated for other purposes. Investment income, gains and losses are allocated to the appropriate fund. 1.4 Income All income is recognised once the charity has entitlement to the income, il is probable that the income will be received and the amount of income re1vable can be measured reliably. Donation income is generally recognised when reiVed or al point of pledge. 1.5 Interest receivable Interest on funds held on deposit is included when re1vable and the amount can be measured reliably by the charity,. this is normally upon notification of the interest paid or payable by the Bank. Page 14
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Accounting policies ICONTINUEDI 1.6 Expenditure Expenditure Is recognised once there is a legal or constructive obligation to make payment to a third party, Il is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis. All expenses including support costs are allocated to the applic8ble expenditure headings and activities of the charity. Expenditure on eharilable activities is incurred on directly undertaking the activities which further the eharity's objectives, as well as any associated SUPFlOrt costs. Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject lo conditions which have not been mel at the year end are noted as a eommitmenl, but not accrued as expenditure. Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include governance costs. 1.7 Foreign currencies Monetary assets and liabilities denominated in f()reign currencies 8re translated into sterling al rates of exchange tuling al the reporting date. Transaelions in foreign currencies are tr8nslaled into sterling 8t the rate ruling on the date of the transaction. Exchange gains and losses ao reeognised in the Statement of Finanei81 Acb'vities. 1.8 Intanglble assets and amortlsatlon Intangible assets are initially recognised al cost. After recnition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. All intangible assets are considered to have a finite useful life, which musl be reviewed at each reporting date. If a reliable estimate of the useful life cannot be made, il is presumed lo be no More than ten years. Amortisalion is provided on intangible assets at rates calculated lo write off the cost of each asset on a straight-line basis over its expected useful life. 1.9 Debtors Trade and other debtors are recognised at the selllemenl amount after any trade discount offered. Prepayments are valued at the amount prepaid nel of any trade discounts due. 1.10 Cash at bank and In hand Cash at bank and in hand includes cash and short-lerm highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Page 15
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 Accounting policies ICONTINUEDI 1.11 Liabilities and provisions Liabilities are recognised when there Is an obligab.on at the Balance Sheet dale as a result of a past event. it Is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised al the amount that the charity anticipates il wll pay to settle the debt or the amount il has received as advanced payments for the goods or services it must provide. Provisions are measured al the best estimate of the amounts reqLJired to settle the obligation. 1.12 Financial instruments The charity only has financial assets and financial liabilities of a kind that qualify as basie financial instruments. Basic financial instruments are initially recognised al transaction value and subsequenlly measLJred al their settlement value with the exception of bank loans which a subsequently measLJred at amortised cost using the effective interest method. 1.13 Taxation The Relay Trust is a registered charity and based on the aelivilies undertaken is not liable for UK eorporalion tax. The charity was not VAT registered during the year 8nd therefore all expenses a inclusive of any VAT which cannot be recovered. Income from donations and gift aid Unrestrleted funds 2021 Total funds 2021 Total funds 2020 Donations and gift aid 2,937,449 2,937,449 676,169 Total 2020 676,169 676,169 Page 16
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 INVESTMENT INCOME Unrestricted funds 2021 Total funds 2021 Total funds 2020 Investment income Total 2020 ANALYSIS OF EXPENDITURE BY ACTIVITIES Activities undertaken directly 2021 Grant funding of activities 2021 As restated Total funds 2020 Support costs 2021 Total funds 2021 Charitable activity costs 2,835 1,592,127 38,258 1,633,220 1,338,270 Total 2020 las restated) 14,474 1,276,887 46,909 1,338,270 Page 17
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 ANALYSIS OF EXPENDITURE BY ACTIVITIES (CONTINUED) ANALYSIS OF DIRECT COSTS Total funds 2021 Total funds 2020 Wages and Salaries staff travel expenses Other staff expenses 2,835 13,293 1,181 2,835 14,474 ANALYSIS OF SUPPORT COSTS Total funds 2021 Total funds 2020 Wages and Salaries Bank charges Audit Feesllndependent examiner fees Igovernancel Legal and professional fees Administrative fees FOign exchange gain 15,903 3,703 13,680 5,196 43,051 143,2751 29,698 2,237 4,920 894 9,160 38,258 46,909 Support costs a allocated to the grant making activity of the charity. Page 18
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 ANALYSIS OF GRANTS As reststed Total funds 2020 Grants to Grants to Institutions Individuals 2021 2021 Total funds 2021 Grants spllt by locatlon Alexandria Congo UK & Europe East Africa West Africa South Africa 106,570 105,574 254,985 106,570 110,746 254,985 44,364 5,172 318,745 181,808 731,970 1,001,125 118,701 1,001,125 118,701 Total 2021 1,586,955 5,172 1,592,127 1,276,887 Total 2020 las restated) 1,276,887 1,276,887 The charity has made the following material grants to institutions during the year.. As restated 2020 2021 Guji and Borena Full Gospel Church Bible College Englise Anglicsn du Congo Europe Collaboration Youthscape Bishops Training Institute IGAFCONI Mount Zion Training and Retreat Cenler Anglican Diocese de Guinea Anglican Di0Se of Freetown Anglican Di0Se of Bo Anglican Diocese of Niassa 91,687 71,896 250,160 44,363 42.000 250,000 145,197 466,461 52.326 155,385 31,072 680,899 29,140 231,239 37,661 118,701 1,511,383 1, 186.804 The grants were made lo institutions in respect of both operational and capital projects that support the delivery of leadership training by partner churches. Page 19
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 STAFF COSTS As restated 2020 2021 Wages and sa18ries 18,738 29,698 The average number of persons employed by the charity during the year was as follows.. As restated 2020 No. 2021 No. Average number of employees No employee reiVed remuneration amounting to more than £60,000 in either year. During the current and prior year none of the Trustees, who are also considered to be the charity's key management personnel, received remuneration, benefits in kind or reimbursed expenses. Total remuneration paid to key management personnel was £107,638 12020 £124,758). This amount exceeds the wage costs noted above as salary and contractor costs tolalling £328,07912020 - £203,983) have been capilalised as intangible assets during the current and prior year. INTANGIBLE ASSETS App under develop ment At 1 April 2020 las restaledl Additions Transfer to current assets 224,768 328,079 1552,8471 At 31 March 2021 Net book value At 31 March 2021 At 31 March 2020 las reslatedl 224,768 The additions in the year late lo the development of an online learning application which was not operational by 31 March 2021 and therefore has not been amortised. Details of the transfer of Intangible assets to current assets are included in Note 1.2. Page 20
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 DEBTORS 2021 2020 Due within one year Other debtors Prepayments and accrued income 345,966 1,175,413 110,617 1,521,379 110,617 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR As reststed 2020 2021 other taxation and social security Accruals and deferred income Grants payable 3,454 17,379 1,375,412 3,360 902,909 1,396,245 906,269 10. PRIOR YEAR ADJUSTMENTS The following prior year adjustments have been made lo the comparative figures in these financial statements.. al An amount of £203,983 previously included as staff costs have been capilalised as an intangible asset as these costs related lo the development of the App. This has resulted in a decrease in expenditure, decrease in defi'cit and an increase in intangible asset additions by £203,983. bl An amount of £200,000 previously excluded from prior year figures has been included as a grant payable as al 31 March 2020. This has resulted in an increase in expenditure, increase in deficit and an increase in creditors by £200,000. The overall impact of the above prior year adjustments has been to increase intangible assets by £203,983, increase creditors by £200,000, decrease the deficit by £3,983 and increase unreslricled reserves by £3,983. Page 21
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 11. STATEMENT OF FUNDS STATEMENT OF FUNDS- CURRENT YEAR As re$tsted Balance at 1 April 2020 Balance at 31 March 2021 Income Expenditure Unrestrlcted funds 1569,6131 2,937,452 11,633,220) 734,619 General Funds STATEMENT OF FUNDS - PRIOR YEAR As restated Balance at 31 March 2020 Balance at 1 April 2019 As restated Income Expenditure Unrestricted funds General Funds 92,484 676,173 11,338,270) 1569,6131 12. ANALYSIS OF NET ASSETS BETWEEN FUNDS ANALYSIS OF NET ASSETS BEnNEEN FUNDS - CURRENT YEAR Unrestrieted funds 2021 Total funds 2021 Current assets 2,130,864 2,130,864 11,396,245) 11,396,245) Creditors due within one year Total 734,619 734,619 Page 22
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 12. ANALYSIS OF NET ASSETS BETWEEN FUNDS ICONTINUEDI ANALYSIS OF NET ASSETS BETWEEN FUNDS- PRIOR YEAR As restated Unrestricted funds 2020 Total funds 2020 Intangible fixed assets Current assets Creditors due within one year 224,767 111,889 1906,2691 224,767 111,889 1906,2691 Total 1569,6131 1569,6131 RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING 13. ACTIVITIES As restated 2020 2021 Nel incomelexpenditure for the year las per Slalement of Financial Acliviliesl 1,304,232 1662,0971 Adjustments for: Interest income Increase in debtors 131 11,410,763) 489,976 141 125,9171 904,465 Increase in creditors Net eash provided by operating activities 383,442 21 S,447 14. ANALYSIS OF CASH AND CASH EQUIVALENTS 2021 2020 Cash in hand 56,638 1,272 Total cash and cash equivalent$ 56,838 1,272 Page 23
THE RELAY TRUST NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021 15. ANALYSIS OF CHANGES IN NET DEBT At 1 April 2020 Cash flows At 31 March 2021 Cash at bank and in hand 1,272 55,366 SS,638 1,272 55,366 56,638 16. OPERATING LEASE COMMITMENTS At 31 March 2021 the charity had commitments to make future minimum lease payments under non- cancellable operating leases as follows.. 2021 2020 Not later than 1 year 8,040 Operating lease rental payments lolalling £23,23312020 - £nill have been recognised in the Slalement of Financial Aclivilies. 17. RELATED PARTY TRANSACTIONS During the year, unrestricted donations tolalling £2,594,698 12020 £565,429) were received from Trustees and other related parties. Page 24