**Charity Registration No. 1173195** 

**Company Registration No. 09923116 (England and Wales)** 

## **ADF INTERNATIONAL (UK)** 

## **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS** 

**FOR THE YEAR ENDED 30 JUNE 2021** 



## **ADF INTERNATIONAL (UK)** 

## **LEGAL AND ADMINISTRATIVE INFORMATION** 

|**Trustees**|Mr P Coleman||
|---|---|---|
||Mr A Moore||
||Mr R Clarke||
||Mr L Wilkinson|(Appointed 14 July 2021)|
||Mr N Daley|(Appointed 14 July 2021)|
||Mr P Young|(Resigned 14 July 2021)|
|**Secretary**|Ms J Hensellek||
|**Charity number**|1173195||
|**Company number**|09923116||
|**Registered office**|ADF International (UK)||
||16 Old Queen Street||
||London||
||England||
||SW1H 9HP||
|**Independent examiner**|Jacob Farley ACA||
||Stewardship||
||1 Lamb's Passage||
||London||
||EC17 8AB||
|**Bankers**|Barclays Bank||
||1 Churchill Place||
||London||
||E14 5HP||
|**Accountants**|Critchleys Audit LLP||
||23- 38 Hythe Bridge Street||
||Oxford||
||OX1 2EP||





## **ADF INTERNATIONAL (UK)** 

## **CONTENTS** 

||**Page**|
|---|---|
|Trustees' report|1 - 4|
|Independent examiner's report|6|
|Statement of financial activities|7|
|Balance sheet|8|
|Statement of cash flows|9|
|Notes to the financial statements|10 - 18|





## **ADF INTERNATIONAL (UK)** 

## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

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

The financial statements have been prepared in accordance with the accounting policies set out in the note s to the financial statements and comply with the charity's  Memorandum & Articles of Association , the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". 

## **Objectives and activities** 

The charitable objects of the Charity are to advance Christianity for the public benefit both generally and in particular by promoting Christian principles and ethics by supporting and enabling Christians to live and worship  in accordance with Christian principles and ethics. In shaping the Charity's objectives and planning its activities,  the Trustees have considered and had regard to the Charity Commission's guidance on public benefit and have  complied with the duty in Section 17(5) of the Charities Act 2011. 

The trustees have  paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake. 

## **Achievements and performance** 

To further the above objects and vision, the Charity engaged in several different activities in the year. To these ends, ADF International (UK) engaged in public commentary and the production of resources, public speaking and training, as well as targeted assistance for those who may be prevented from living and worshipping in accordance with Christian principles and ethics whether by, for example, engaging at a local level or with significant decision-makers. 

ADF International (UK) continued to promote the resource ‘Christianity in the Workplace: An Employer’s Guide to Christian Beliefs’, launched two years ago. Staff have presented to various professional bodies including the cross-department ‘Christians in Government’ group that consists of government employees in Whitehall. In addition, given the popularity of the resource, a second edition is underway and nearly complete. 

ADF International (UK) has continued to support students and student groups across the United Kingdom who have been subject to censure. ADF International (UK) continues to draw the attention of universities and their student representative bodies to their legal obligations. The assistance given to a young midwife who suffered detriment due to her religious beliefs resulted in an apology from her university and in national media coverage that highlighted the more systemic problems regarding the practical recognition of expression rights on campus. Similarly, ADF International (UK) has assisted a Catholic Diocese in ensuring the appointment of a clergyman initially prevented from being appointed as Chaplain on account of his expressed religious and moral beliefs. 

The ‘Protect Free Speech’ Campaign has continued. The campaign website has attracted over 25,000 views and resources produced as part of the campaign have been cited by a government policy paper. In particular, the national poll commissioned by ADF International (UK) has also been cited widely in the media and referenced in the Houses of Parliament during debate. As part of the campaign, ADF International UK has provided input to parliamentarians working on the Higher Education (Freedom of Speech) Bill. 

ADF International (UK) has launched a ‘Freedom in the Public Square’ Campaign designed to educate Christians and others about their rights to free expression in public. The campaign is also calling for changes to public order law that would better ensure speech rights are properly protected. 

ADF International (UK) provided assistance to a Catholic priest in joining a legal challenge against the Scottish Government’s criminal ban on public worship in churches. In addition, ADF International (UK) launched a ‘Let Us Worship’ Campaign designed to draw attention to the implications for Christians, and society, of blanket bans on public worship. 

- 1 - 



## **ADF INTERNATIONAL (UK)** 

## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

ADF International (UK) staff have continued to carefully monitor cases coming before the courts of the United Kingdom and highlight cases which have a particular bearing on Christian principles and ethics. In particular, ADF International (UK) has prepared legal briefings on a number of cases – including Bell v The Tavistock Clinic, Reverend Dr William J U Philip and Others (Scotland), and Forstater v CGD Europe and Ors – highlighting the implications for Christians being able to live and worship in accordance with Christian principles and ethics. 

ADF International (UK) staff have made several radio and television appearances to analyse the stories that affect Christians from around the world. Topics covered during these segments have included the right to freedom of religion and belief, the right to freedom of expression, and the challenges facing religious minorities in countries such as Afghanistan. Staff have appeared on GB News, The Spectator Podcast, and Talk Radio among other outlets. 

ADF International (UK) staff have continued to contribute opinion pieces to a variety of media outlets on topics concerning the fundamental rights and freedoms guaranteed by the European Convention of Human Rights, and the ability of Christians to live and worship in accordance with Christian principles and ethics. These media outlets have included The Times, The Mail, and The Critic. 

ADF International (UK) has submitted responses to public consultations that assessed the status of fundamental rights in the United Kingdom. These included submissions to the Joint Committee on Human Rights inquiry regarding freedom of speech in the UK and The Education Select Committee regarding proposed registration and assessment criteria for home-educating families. 

ADF International (UK) remains an active member of the Freedom of Religion or Belief Working Group, that seeks to ensure the recommendations of the Truro report are implemented by the Foreign, Commonwealth, and Development Office. 

In measuring success, the Trustees reviewed the number of areas in which the Charity engaged and the outcome in each case. Where the objective was to inform and equip, the reach of the event or materials was evaluated. Where the objective was to promote and protect the practice of Christianity, the Trustees reviewed the type of assistance provided and the impact that had on the final resolution of the matter. 

## **Financial review** 

During the year income  increased  by  £198,381 , to £ 720,704  (20 20 : £5 22,323 ), and expenditure also increased  by  £ 161,971 , to £ 554,527  (20 20 : £ 392,556  ). As a result, surplus for the year  increased  by £ 36,410 , to £ 166,177  ( 2020 :  £ 129,767 ). 

The Trustees are endeavouring to ensure the financial sustainability and the continued success of the Charity with a combination of measures by focusing on the development of our donor base, financial management, as well as broadening the Charity's sources of income. The Trustees hope in the medium term to move into a position where they can retain cash reserves in the region of 3 to 6 months' running costs, which would be in the  region of  £138,500 to £ 277,000 . The Charity had £3 87,369 (2 020 : £ 317,262 ) of unrestricted cash reserves at the  year end, as increased donations have allowed us to continue to bolster our free reserves. 

During the year, the Charity has received financial support in the form of unrestricted donations from Alliance Defending Freedom, a linked Charity in the US which operates under the same principles as ADF International (UK). The companies are not related organisations for 'group' purposes due to a different control structure. The  donations do not require repayment and Alliance Defending Freedom has confirmed that it will continue to support ADF International (UK) to meet its day-to-day liabilities as they fall due. 

## **Investment policy** 

ADF International (UK) does not hold investments, maintaining its funds as cash balances. As such, there is no  policy which could be commonly understood as an “investment policy”, related objectives or assessment agains t  those objectives. 

## **Principle risks and uncertainties** 

The trustees has assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks. 

- 2 - 



## **ADF INTERNATIONAL (UK)** 

## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

Trustees are mindful of the key risks that may face the Charity, in particular in connection with reputational risk and adverse publicity arising out of the kinds of issues on which the Charity may choose to engage in advancing  Christian principles and ethics. The Trustees keep these key risks under review, and are in the process of  developing a risk management framework that will enable them to adopt mitigation strategies as appropriate.  The Charity already has in place a risk analysis policy specifically relating to decisions regarding whether or not  the Charity should engage (in any way) with litigation in furtherance of the Charity's charitable purposes. 

## **Next 12 months** 

ADF International (UK) plans to significantly develop the ‘Freedom in the Public Square’ Campaign, to include resources on the exercise of fundamental rights in public spaces. ADF International (UK) will also update resources designed to assist students to know their legal rights and duties regarding freedom of speech on campus. Further, ADF International (UK) will continue to monitor – and be prepared to respond to – restrictions on fundamental freedoms including the right to freedom of religion in the UK where not justified as required by law. Finally, ADF International (UK) intends to begin a new ‘tour’ of our ‘Christianity in the Workplace’ resource for employees and employers. 

## **Structure, governance and management** 

The charity is a company limited by limited by guarantee and is incorporated in the United Kingdom.  The company's registered number and registered office address can be found on the reference and administrative details page. 

The trustees, who are also the directors for the purpose of company law, and who served during the year  and up to the date of signature of the financial statements  were: 

Mr P Coleman Mr A Moore Mr R Clarke Mr L Wilkinson (Appointed 14 July 2021) Mr N Daley (Appointed 14 July 2021) Mr P Young (Resigned 14 July 2021) 

Any new Trustees are appointed by the existing Trustees in accordance with the Memorandum and Articles. The current Trustees decide upon the procedures necessary for the induction and training of new Trustees. This will be tailored according to the experience of the new Trustee. 

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up. 

- 3 - 



## **ADF INTERNATIONAL (UK)** 

## **TRUSTEES' REPORT (INCLUDING DIRECTORS' REPORT) (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **Organisational structure and decision making** 

Responsibility for setting policy and for making operating decisions rests with the Trustees who meet regularly to monitor the activities of the Charity. The Trustees are in the process of considering a scheme of delegation in relation to the operational management of the Company. 

New Trustees are recruited by recommendations from existing Trustees, through the Charity’s networks and the wider community of Christians working in the field of religious freedom, or through advertising. When appointing new Trustees, the existing Trustees take into account the requirement of specialist skills needed. New Trustees are appointed at Board meetings following recommendation of the existing Trustees, and provided no objection has been raised by Alliance Defending Freedom (a registered s501(c)(3) non-profit entity in the US). Every new Trustee must affirm their acceptance of the Charity’s statement of faith. Apart from the initial Trustees, whose terms of office are staged as set out in the Articles, each Trustee is appointed for a term of three years. A Trustee whose term of office has expired may, if willing and eligible to act, be reappointed. 

All new Trustees are presented with a copy of the Articles, The Charity Commission guidance “The Essential Trustee”, recent financial statements, key strategy, and business planning documents as well as the Charity’s policies and previous minutes of recent Trustees’ meetings. The Trustees have reviewed and adopted pay scales for staff common to other ADF International entities. These are based on the skills required, experience obtained, market conditions and cost of living. 

ADF International (UK) is governed by its Trustees who are bound to act in its best interest. Where it provides for greater effectiveness, cost savings, or for other reasons, ADF International (UK) will co-operate with other ADF International entities around the world. For example, in the course of organising an event with Premier Christian Radio which was attended by more than 900 people, ADF International (UK) was able to draw on additional speaking expertise from ADF International in France. 

The trustees'  r eport was approved by the Board of  Trustees. 

Paul Coleman 

.............................. 

## **Mr P Coleman** 

Trustee Dated: ......................... 25 February 2022 

- 4 - 



## **ADF INTERNATIONAL (UK)** 

## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** 

## _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

The trustees, who are also the directors of ADF International (UK) for the purpose of company law,  are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

Company Law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. 

In preparing these financial statements, the trustees are required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles in the Charities SORP; 

- make judgements and estimates that are reasonable and prudent;  and 

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. 

The trustees are responsible for keeping adequate accounting records that 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 Companies Act 2006. 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. 

- 5 - 



## **ADF INTERNATIONAL (UK)** 

## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF ADF INTERNATIONAL (UK)** 

I report to the trustees on my examination of the financial statements of ADF International (UK) (the charity) for the year ended 30 June 2021. 

## **Responsibilities and basis of report** 

As the trustees of the charity (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (the 2006 Act). 

Having satisfied myself that the financial statements of the charity are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination,  I report in respect of my examination of the charity’s financial statements carried out under section 145 of the Charities Act 2011 (the 2011 Act) . In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. 

## **Independent examiner's statement** 

Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of Institute of Chartered Accountants in England and Wales, which is one of the listed bodies. 

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 

- 1 accounting records were not kept in respect of the charity as required by section 386 of the 2006 Act; or 

- 2 the financial statements do not accord with those records; or 

- 3 the  financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or 

- 4 the financial statements have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). 

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the  financial statements to be reached. 

Jacob Farley ACA 

Stewardship 1 Lamb's Passage London EC17 8AB 

11 March 2022 Dated: ......................... 

- 6 - 



## **ADF INTERNATIONAL (UK)** 

## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

|||**Unrestricted**|Unrestricted|
|---|---|---|---|
|||**funds**|funds|
|||**2021**|2020|
||**Notes**|<br>**£**|**£**|
|**Income from:**||||
|Donations and legacies|**3**|667,922|488,760|
|Other trading activities|**4**|52,782|33,563|
|**Total income**||720,704|522,323|
|**Expenditure on:**||||
|Raising funds|**5**|14,277|22,305|
|Charitable activities|**6**|540,250|370,251|
|**Total expenditure**||554,527|392,556|
|**Net income for the year/**||||
|**Net movement in funds**||166,177|129,767|
|Fund balances at 1 July 2020||351,365|221,598|
|**Fund balances at 30 June 2021**||517,542|351,365|



The statement of financial activities includes all gains and losses recognised in the year. 

All income and expenditure derive from continuing activities. 

The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. 

- 7 - 



## **ADF INTERNATIONAL (UK)** 

## **BALANCE SHEET** 

## _**AS AT 30 JUNE 2021**_ 

|**Notes**<br>**Fixed assets**<br>Tangible assets<br>**11**<br>**Current assets**<br>Debtors<br>**12**<br>Cash at bank and in hand<br>**Creditors: amounts falling due within**<br>**one year**<br>**13**<br>Net current assets<br>**Total assets less current liabilities**<br>**Income funds**<br>Unrestricted funds|**2021**<br>**£**<br>75,803<br>387,369<br>463,172<br>(58,943)|**£**<br>113,313<br>404,229<br>517,542<br>517,542<br>517,542|**2020**<br>**£**<br>40,351<br>317,262<br>357,613<br>(6,248)|**£**<br>-<br>351,365<br>351,365<br>351,365<br>351,365|
|---|---|---|---|---|



The company is entitled to the exemption from the audit requirement contained in section 477 of the Companies Act 2006, for the year ended 30 June 2021. 

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. 

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476. 

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. 

25 February 2022 

The financial statements were approved by the Trustees on ......................... 

Paul Coleman .............................. Mr P Coleman 

**Trustee** 

## **Company Registration No. 09923116** 

- 8 - 



## **ADF INTERNATIONAL (UK)** 

## **STATEMENT OF CASH FLOWS** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

|**2021**<br>**Notes**<br>**£**<br>**£**<br>**Cash flows from operating activities**<br>Cash generated from operations<br>**17**<br>199,917<br>**Investing activities**<br>Purchase of tangible fixed assets<br>(129,810)<br>**Net cash used in investing activities**<br>(129,810)<br>**Net cash used in financing activities**<br>-<br>**Net increase in cash and cash equivalents**<br>70,107<br>Cash and cash equivalents at beginning of year<br>317,262<br>**Cash and cash equivalents at end of year**<br>387,369|**2020**<br>**£**<br>-|**£**<br>80,402<br>-<br>-<br>80,402<br>236,860<br>317,262|
|---|---|---|



- 9 - 



## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **1 Accounting policies** 

## **Charity information** 

ADF International (UK) is a private company limited by guarantee incorporated in England and Wales. The registered office is ADF International (UK), 16 Old Queen Street, London, SW1H 9HP, England. 

## **1.1 Accounting convention** 

The financial statements have been prepared in accordance with the charity's Memorandum & Articles of Association,  the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102. 

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

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. 

## **1.2 Going concern** 

At the time of approving the financial statements, the  trustees have  a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees  continue  to adopt the going concern basis of accounting in preparing the financial statements. 

## **1.3 Charitable funds** 

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. 

Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. 

Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity. 

All funds for the year ending 30  June 202 1 and 2020 are unrestricted. It has not been deemed necessary to prepare a full funds note because  of this . 

## **1.4 Income** 

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. 

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. 

- 10 - 



## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **1 Accounting policies** 

**(Continued)** 

Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset. 

Income from other trading activities represents income receivable from activities undertaken to generate funds for the charity.  It includes income from the rental of property. 

Investment income represents income generated by the charity's assets and includes income from bank interest. 

The charity has taken the view that it has only one charitable activity, namely the advancement of the Christian faith, and all income from donations, legacies and charitable activities is in respect of this one activity. 

## **1.5 Expenditure** 

Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably. 

Expenditure on raising funds comprises the costs predominantly incurred on fundraising activities. 

The Charities SORP requires charities with income over £500,000 to allocate costs to the various activities undertaken by the charity.  The nature of the work of the charity is considered to be so integrated that the core charitable activity costs are considered to be for the one activity. 

Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity. 

## **1.6 Tangible fixed assets** 

Tangible fixed assets  are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. 

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: 

Leasehold improvements Straight line over 8 years Computers Straight line over 3 years 

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in  net income/(expenditure) for the year. 

## **1.7 Cash and cash equivalents** 

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 

- 11 - 



## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **1 Accounting policies** 

**(Continued)** 

## **1.8 Financial instruments** 

The  charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. 

Financial instruments are recognised in the  charity 's  balance sheet  when the  charity becomes party to the contractual provisions of the instrument. 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. 

## _**Basic financial assets**_ 

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. 

## _**Basic financial liabilities**_ 

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future p aymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of  operations  from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. 

## _**Derecognition of financial liabilities**_ 

Financial liabilities are derecognised when the  charity ’s contractual obligations expire or are discharged or cancelled. 

## **1.9 Leases** 

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases. 

Assets held under finance leases are recognised as assets at the lower of the assets fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to net income/(expenditure) for the year so as to produce a constant periodic rate of interest on the remaining balance of the liability. 

- 12 - 



## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **2 Critical accounting estimates and judgements** 

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. 

## **3 Donations and legacies** 

|||**Unrestricted**|Unrestricted|
|---|---|---|---|
|||**funds**|funds|
|||**2021**|2020|
|||**£**|£|
||Donations and gifts|667,922|488,760|
||**Donations and gifts**|||
||Donations of cash and similar|174,034|158,839|
||ADF support|490,852|324,000|
||Income tax recoverable|3,036|5,921|
|||667,922|488,760|
|**4**|**Other trading activities**|||
|||**Unrestricted**|Unrestricted|
|||**funds**|funds|
|||**2021**|2020|
|||**£**|£|
||Office sublet and deposits|52,782|33,563|
|**5**|**Raising funds**|||
|||**Unrestricted**|Unrestricted|
|||**funds**|funds|
|||**2021**|2020|
|||**£**|£|
||Mailing costs and other support liaison|14,277|22,305|
|||14,277|22,305|



- 13 - 



## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **6 Charitable activities** 

|Staff costs<br>Depreciation and impairment<br>Rent, rates and office utilities<br>Communications<br>Events and training<br>Advertising<br>Direct costs<br>Travel<br>Share of support costs (see note 7)<br>Share of governance costs (see note 7)<br>**7**<br>**Support costs**<br>**Support**<br>**costs**<br>**Governance**<br>**costs**<br>**£**<br>**£**<br>Office equipment and<br>website<br>7,842<br>-<br>Sundry expenses<br>3,199<br>-<br>Legal Fees<br>14,728<br>-<br>Accounting costs<br>5,668<br>-<br>Insurance<br>1,511<br>-<br>Independent examiner's<br>fee<br>-<br>1,800<br>Other<br>-<br>208<br>32,948<br>2,008<br>Analysed between<br>Charitable activities<br>32,948<br>2,008|**2021**<br>**£**<br>7,842<br>3,199<br>14,728<br>5,668<br>1,511<br>1,800<br>208<br>34,956<br>34,956|**2021**<br>**£**<br>281,027<br>16,497<br>67,058<br>31,782<br>500<br>103,777<br>4,524<br>129<br>505,294<br>32,948<br>2,008<br>540,250<br>Support<br>costs<br>Governance<br>costs<br>£<br>£<br>390<br>-<br>573<br>-<br>7,297<br>-<br>2,373<br>-<br>346<br>-<br>-<br>1,800<br>-<br>525<br>10,979<br>2,325<br>10,979<br>2,325|**2020**<br>**£**<br>161,524<br>-<br>123,983<br>14,671<br>336<br>51,054<br>5,352<br>27<br>356,947<br>10,979<br>2,325<br>370,251<br>2020<br>£<br>390<br>573<br>7,297<br>2,373<br>346<br>1,800<br>525<br>13,304<br>13,304|
|---|---|---|---|



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## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **8 Trustees** 

During the year the charity paid expenses totalling £nil (2020: £nil)  to no trustees (2020: no trustees) for travel whilst carrying out duties associated with being trustees; reimbursements for expenses incurred when acting as agent for the charity or incurred when undertaking employment duties not connected with serving as a trustee are not included in this disclosure. 

## **9 Employees** 

The average monthly number of employees during the year was: 

|**Employment costs**<br>Wages and salaries<br>Social security costs<br>Other pension costs|**2021**<br>**Number**<br>4<br>**2021**<br>**£**<br>250,119<br>28,574<br>2,334<br>281,027|**2020**<br>**Number**<br>3<br>**2020**<br>**£**<br>146,492<br>15,032<br>-<br>161,524|
|---|---|---|



|The number of employees whose annual remuneration was £60,000 or|||
|---|---|---|
|more were:|||
||**2021**|**2020**|
||**Number**|**Number**|
|£60,000 - £70,000|1|1|
|£70,000 - £80,000|-|1|
|£80,000 - £90,000|1|1|



## **10 Key management personnel** 

In aggregate key management received employment benefits totalling £169,688 (2020: £161,524) 

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## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

|**11**<br>**Tangible fixed assets**<br>**Leasehold**<br>**improvements**<br>**Computers**<br>**£**<br>**£**<br>**Cost**<br>Additions<br>126,504<br>3,306<br>At 30 June 2021<br>126,504<br>3,306<br>**Depreciation and impairment**<br>Depreciation charged in the year<br>15,625<br>872<br>At 30 June 2021<br>15,625<br>872<br>**Carrying amount**<br>At 30 June 2021<br>110,879<br>2,434<br>**12**<br>**Debtors**<br>**2021**<br>**£**<br>42,616<br>3,050<br>**Amounts falling due within one year:**<br>Security deposit<br>Other debtors<br>Prepayments and accrued income<br>30,137<br>75,803<br>**13**<br>**Creditors: amounts falling due within one year**<br>**2021**<br>**£**<br>9,384<br>8,938<br>514<br>40,107<br>58,943<br>Other taxation and social security<br>Trade creditors<br>Other creditors<br>Accruals and deferred income|**Total**<br>**£**<br>129,810<br>129,810<br>16,497<br>16,497<br>113,313<br>**2020**<br>**£**<br>13,000<br>5,505<br>21,846<br>40,351<br>**2020**<br>**£**<br>-<br>4,024<br>-<br>2,224<br>6,248|
|---|---|



Of the above, £35,065 (2020: £Nil) relates to deferred income in respect of noncancellable subleases. 

## **14 Operating lease commitments** 

At the reporting end date the charity (until the next break clause and ignoring the potential effect of future rent reviews) had outstanding commitments for future minimum lease payments under a non-cancellable operating lease for rental buildings, which fall due as follows: 

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## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **14 Operating lease commitments** 

## **(Continued)** 

|Within one year<br>Between two and five years|**As**<br>**restated**<br>**2021**<br>**2020**<br>**£**<br>**£**<br>58,245<br>58,245<br>-<br>58,245<br>58,245<br>116,490|
|---|---|



During the year the charity was charged £38,830 (2020: £63,351) for its operating lease. This reflects a reduced charge due to a rent free period given. 

## **15 Lease receivables** 

At the reporting end date the total future minimum sublease payments expected to be received under noncancellable subleases was £81,633. 

## **1 6 Pension Contributions** 

During the year the charity paid pension contributions of £2,114 (2020: £Nil) for defined contribution personal pension schemes. At the balance sheet date pension contributions were owing totalling £220 (2020: £Nil) 

## **1 7 Related party transactions** 

There were no disclosable related party transactions other than stated in the note concerning Trustees during the year (2020  - none) . 

|**18**<br>**Cash generated from operations**<br>Surplus for the year<br>Adjustments for:<br>Depreciation and impairment of tangible fixed assets<br>Movements in working capital:<br>(Increase) in debtors<br>Increase/(decrease) in creditors<br>**Cash generated from operations**|**2021**<br>**£**<br>166,177<br>16,497<br>(35,452)<br>52,695<br>199,917|**2020**<br>**£**<br>129,767<br>-<br>(25,713)<br>(23,652)<br>80,402|
|---|---|---|



1 **9 Analysis of changes in net funds** 

The charity had no debt during the year. 

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## **ADF INTERNATIONAL (UK)** 

## **NOTES TO THE  FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 30 JUNE 2021**_ 

## **20 Funds** 

During the year the charity received and spent no amounts on restricted funds (2020: £Nil). The opening and closing balance of restricted funds was £nil and therefore at year end all assets and liabilities of the charity were in respect of the general funds. In 2020 the opening and closing balance of restricted funds was £Nil and therefore at 2020 year end all assets and liabilities of the charity were in respect of the general funds. 

## **21 Members** 

Each member of the company commits to contribute if the charity is wound up an amount of £1. 

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