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2023-04-05-accounts

Registered Charity Number: 1173809

The Bransford Trust

TRUSTEES’ REPORT AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

The Bransford Trust

CONTENTS

Page
Report of the Trustees 2 - 7
Report of the Independent Auditors 8 - 11
Consolidated Statement of Financial Activities 12
Consolidated and Charity Balance Sheets 13
Consolidated Cashflow Statement 14
Consolidated Notes to the Cashflow Statement 15
Notes to the Financial Statements 16 - 26

1

The Bransford Trust

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2023

The trustees present their report and audited consolidated financial statements of the charity and its subsidiary for the year ended 5 April 2023.

References in these financial statements to “the charity” include The Bransford Trust (CIO charity number 1173809) or its predecessor The Bransford Trust (unincorporated entity charity number 1106554) depending on the context.

The trustees have adopted the provisions of 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).

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a constitution, and constitutes a Charitable Incorporated Organisation (CIO).

Recruitment and appointment of new trustees

New trustees are invited by existing trustees based on personal recommendations.

All new trustees on appointment receive training and an induction to the role of a charity trustee. They are subject to the usual credit and DBS checks if deemed necessary. Decisions are made by majority vote at trustees meetings.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Charity number

1173809

Principal address

C/O Royal Porcelain Works Severn Street Worcester Worcestershire, WR1 2NE

Trustees

Mr C A Kinnear OBE Mrs B Kinnear (resigned 22[nd] April 2022) Mr D Sutcliffe Mrs L Freeman Mr A Freeman Mr A Kinnear Mrs C Kinnear Mr J Yelland (resigned 22[nd] April 2022)

2

The Bransford Trust

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2023 (Continued)

Auditors

Richards Sandy Audit Services Limited Thorneloe House 25 Barbourne Road Worcester, WR1 1RU

Listed Investment Managers

Canaccord Genuity Wealth Management 41 Lothbury London, EC2R 7AE

Investment Property Managers (commercial property)

GJS Dillon 7 Roman Way Business Centre Berry Hill Industrial Estate Droitwich Worcestershire, WR9 9AJ

Investment Property Managers (residential property)

Morgan Aps The Estate Office Upper Court, Lulsley Worcestershire, WR6 5QW

Bankers Handelsbanken 2[nd] floor Brook Court Whittington Hall Worcester, WR5 2RX

Solicitors

Harrison Clark Rickerbys 5 Deansway Worcester, WR1 2JG

Trethowans LLP 1 London Road Salisbury Wiltshire, SP1 3HP

Accountants

PSG Bowdens LLP 100 High Street Evesham, WR11 4EU

3

The Bransford Trust

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2023 (Continued)

OBJECTIVES AND ACTIVITIES

Objectives and aims

The charitable objects of The Bransford Trust include relief of poverty, relief of sickness, advancement of education, promotion of the arts, culture and heritage, advancement in the lives of young people and other charitable purposes for the public benefit.

The main activities undertaken to achieve these purposes are providing support for charitable initiatives through grants and the use of facilities at Royal Porcelain Works, which is owned by the charity.

Public benefit

The trustees confirm that they have complied with the duty in section 17(5) of the 2011 Charities Act to have due regard to guidance issued by the Charity Commission on public benefit when deciding on the charity's activities.

Organisation

Royal Porcelain Works Limited (company registration number 08629931) is a wholly owned trading subsidiary of The Bransford Trust.

Fundraising activities

The Bransford Trust does not engage in any fundraising activities (as defined by section 162A of Charities Act 2011).

ACHIEVEMENT AND PERFORMANCE

Grants totalling £212,058 (2022 - £41,200) were awarded in the year and a further £12,500 (2022 - £25,000) was paid from previous year’s awards. A full schedule of grants is given in note 7 on page 21.

The trustees sought to increase the making of grants after being prudent about committing funds when the uncertainties brought about by the COVID pandemic and the outbreak of war in Ukraine existed. The level of grants was substantially greater than that made in 2022 and closer to the net income available to the trustees for distribution in line with the charitable objects of the charity. Whilst the charitable objects are no longer limited to the Worcester area a number of projects supported continued the tradition of the charity supporting projects in that community, including by way of example Worcester Cathedral, Elgar Festival, Worcester Theatres, Worcester Festival, Worcester Symphony Orchestra and Worcester Live.

FINANCIAL REVIEW

The results for the year and financial position of the charity are as shown in the annexed financial statements. The trustees consider the state of affairs of the Trust to be satisfactory.

Investment income is £687,908 (2022 - £659,514) and the costs of raising funds, including management of listed investments, are £168,644 (2022 - £176,250). Net income for the year amounted to £260,579 (2022 - £231,000), with donations and investment income being spent on charitable activities and investment management. Donations of £136,250 (2022 – nil) have been received into the Trust this year. Expenditure on charitable activities is £455,825 (2022 - £310,445), the increase being due to grants approved.

4

The Bransford Trust

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2023 (Continued)

Net revaluation losses on investments were £1,237,634 (2022 – net losses of £2,014,776).

Performance over the year struggled as both bond and equity markets sold off heavily on the back of the escalating and elongated war between Russia and the Ukraine and the consequential supply disruptions to global energy and food, resulting in rising inflation and increasing interest rates. A natural dynamic of recent market movements has been the increase in income generation, which has helped to boost the amount available for distribution by the Trustees.

The principal funding source is income from the charity’s investments, along with the trading activities of Royal Porcelain Works Limited and some periodic donations.

The net assets at 5 April 2023 were £19,632,002 (2022 - £20,609,057).

RESERVES POLICY

The charity holds investments totalling £15,573,883 (2022 - £16,914,870) for the purpose of generating investment income used to fund the activities of the charity. Because of the volatility in the value of investments the charity has not set formal limits on the amounts to be held in such investments. In addition, the charity holds freehold property and related assets totalling £3,187,904 (2022 - £3,259,732) which the charity rents to both local charities and other organisations undertaking activities in line with the aims of the charity.

Free reserves excluding amounts held in fixed assets was £870,215 (2022 - £434,455).

The trustees consider the reserves of the charity to be satisfactory.

FUTURE DEVELOPMENTS

The trustees regularly review the strategy and aims of the grant procedures and will continue making grants to causes with particular emphasis on education, music, the arts and the welfare and benefit of sick and young people.

INVESTMENT POLICY

The Bransford Trust has no restricted funds and a total return approach is used for the management of its investment portfolio.

The trustees are required to use income before they use capital and have appointed Canaccord Genuity Wealth Management as investment managers. They are tasked with preserving the Trust’s capital investments and producing an annual distributable income of at least 2% above inflation derived from investment income and gains excluding directly held property. They manage a mixed portfolio of equities, fixed interest and corporate bonds and cash.

Canaccord Genuity Wealth Management provide quarterly updates and an annual report for the trustees and attend the full trustees’ meetings to present details of the investment performance, including an overview of the general economic climate. The appointment as investment managers to the Trust is reconfirmed by the trustees annually.

The trustees engage local property experts Morgan Aps and GJS Dillon to manage the residential property portfolio and the commercial property portfolio on their behalf.

5

The Bransford Trust

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5 APRIL 2023 (Continued)

All income is generated from assets which are unrestricted. Sufficient assets are held in quickly realisable investments to cover any unexpected drop in income or cash requirement. The investment policy has been achieved in the year.

GRANT MAKING POLICY

The trustees meet twice a year to review the financial performance of the Trust and consider requests for grants. Additional "fast track" awards and grants up to £2,000 each may be approved by each trustee between trustee meetings. These awards must be ratified at a subsequent full trustee meeting. These awards and grants are limited so that no trustee may approve more than £6,000 per annum in aggregate by means of this "fast track" process.

The trustees regularly review the strategy and aims of the grant procedures and will continue making grants to causes with particular emphasis on education, music, the arts and the welfare and benefit of sick and young people.

RISK ASSESSMENT

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

The biggest risk to the charity is the risk of unfavourable movements in the market price of their holdings of listed investments which may cause a significant fall in the value listed investments as well as a reduction in the level of income generated by these investments. The trustees mitigate this risk by relying on advice from their investment managers in managing their holdings of listed investments.

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England & Wales 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 of the charity for that period.

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

6

The Bransford Trust REPORT OF THE TRUSTEES FOR THE YEAR ENDED5 APRIL 2023 IContinued} The trustees are responsible for keeping properaccounting records that disclose with reax)nable 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 Charities IAccounts and Reports) Regulations 2CK18 and the provisions of the trust deed. Theyare also responsible forsafeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. So far as the trustee5 are aware. there 15 no relevant audit information of which the charltrfs auditors are unaware, and they have taken all the steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit inforniation and to establish that the charity's auditors are aware of that information. ON BEHALF OF THE BOARDOF TRusfEES Trustee- C A Kinnear 08E Date: 2 Ortober 2023

The Bransford Trust

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE BRANSFORD TRUST

Opinion

We have audited the financial statements of The Bransford Trust and its subsidiary for the year ended 5 April 2023 which comprise the consolidated Statement of Financial Activities, the consolidated and charity Balance Sheets, the consolidated Statement of Cashflows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group and parent 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.

8

The Bransford Trust

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE BRANSFORD TRUST (Continued)

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Report of the Trustees, other than the financial statements and our Report of the Independent Auditors 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.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of the Trustees

As explained more fully in the Trustees’ Responsibilities Statement (set out on page 6), the trustees are responsible for the preparation of financial statements that give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

9

The Bransford Trust

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE BRANSFORD TRUST (Continued)

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in 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:

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are the Charities SORP (FRS 102) '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), Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', the Companies Act 2006 (and related legislation), the Charities Act 2011 (and related legislation), laws and regulation regarding VAT, including partial VAT exemptions and regulations relating to the employment and payment of staff including, but not limited to, the Employment Rights Act 1996, the National Minimum Wage Act 1998 and the Pensions Act 2008.

We performed audit procedures to detect non-compliances which may have a material impact on the financial statements, which included reviewing the financial statement disclosures, reviewing the calculations of VAT returns (including ensuring that only input VAT on qualifying expenditure has been claimed) and sample testing of monthly payroll records for the calculation of gross wages, payroll taxes and pension costs.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement 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 statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

10

The Bransford Trust REPORTOFTHE INDEPENDENT AUDITORSTOTHE MEMBERS OFTHE BRANSFORDTRUST{Continuedl 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/audrtorsresponsibilities. This description forms part of ourauditorfs report. Use of our report Thi5 report Is made solety to the charity's tru5tee5, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2LTh)8. Our audit work ha5 been undertaken so that we might state to the charivs trustees those matters we a￿ ￿quIred to state to them in an audttorfs report and for no other purpose. To the fullest extent pemiitted by law, we do not accept or assume responsibility to anyone other than the charitys trustees as a body. for our audit work, for this report, or for the opinions we have formed. frfv. Mr Robert lestyn Rlchards FCA FCCA Isenlor sts￿tOry Audltor) Richards Sandy Audit Services ￿rnited (Statutory Auditor) Thorneloe House 25 Barbourne Road Worcester WRI IRU Date: 2. Ortober 2023 li

The Bransford Trust

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2023

Notes
INCOME FROM:
Donations
2
Other trading activities
3
Investments
4
Total
EXPENDITURE ON:
Raising funds
5
Charitable activities
6
Total
NET INCOME
Net gains/(losses) on investment assets
Listed investments
12
Investment property
12
Net movement in funds
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 2023
Total
unrestricted
funds
£
136,250
60,890
687,908
885,048
168,644
455,825
624,469
260,579
(1,237,634)
-
(977,055)
20,609,057
19,632,002		 2022
Total
unrestricted
funds
£
-
58,181
659,514
717,695
176,250
310,445
486,695
231,000
53,052
(2,067,828)
(1,783,776)
22,392,833
20,609,057

12

The Bransford Trust BALANCE SHEEfs AS AT 5 APRIL 2023 The Group 2023 The Charlty Z023 Notes 2022 2022 FIXED ASSErs Tangible asset5 Investments li 3,187,904 3,259,732 3,187,904 3,259,732 15,573.883 16.914,870 15,636W 16,977.871 18,761,787 20,174.602 18,824,788 20,237,603 12 CURRENT ASSET5 Stock Debtors Cash at bank and in hand 15 16 55,978 ICKJ,609 816,288 972875 56.977 71.557 958.459 1,086,993 126,277 790,424 916,701 99,648 909,607 1.009,255 CREDITORS: amounts falling due wlthln one year NET CURRENT ASSEfsi(UABILmESI NET ASSETS 17 ￿102,6601 1652,5381 (90,4491 1634.053 870215 434,455 826,252 375,202 19.632,lJll 20,609,057 19,651,040 20,612,805 FUNDS Unrestrlcted income funds 19,632,002 20,609,057 19,651,040 20,612,805 19,632,002 20,609,057 19,651,040 20,612,805 TOTAL FUNDS The financlal statements We￿ approved by the Board of Trustees on 2 October 2023 Slgned on behalf of the Boa of Trustees Trustee- C A Klftnear OBE 13

The Bransford Trust

CASHFLOW STATEMENT FOR THE YEAR ENDED 5 APRIL 2023

Notes to the
cash flow
statement
Cashflows from operating activities:
Net cash provided by/(used in) operating activities
1
Cashflows from investing activities:
Income from listed investments
Proceeds from sales of investments
Purchase of investments
Net cash provided by/(used in) investing activities
Cashflows from financing activities:
Concessionary loans repaid in year
Net cash provided by/(used in) financing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
2
Cash and cash equivalents at the end of the year
2		 2023
£
(320,709)
520,185
748,007
(731,882)
536,310
(445,000)
(445,000)
(229,399)
1,194,366
964,967		 2022
£
(190,279)
503,131
3,304,934
(2,922,731)
885,334
(525,000)
(525,000)
170,055
1,024,311
1,194,366

14

The Bransford Trust

NOTES TO THE CASHFLOW STATEMENT FOR THE YEAR ENDED 5 APRIL 2023

1 RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net income/(expenditure) for the year
(as per the statement of financial activities)
Adjustments for:
Depreciation charge
Listed investment income
Non-cash donations received
(Increase)/decrease in stock
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operating activities
2
ANALYSIS OF CASH AND CASH EQUIVALENTS
Cash at bank and in hand
Cash investments
Total cash and cash equivalents
3
ANALYSIS OF CHANGES IN NET DEBT
As at 5
April 2022
£
Cash at bank and in hand
958,459
Cash investments
235,907
1,194,366
Concessionary loans
(550,000)
644,366		 2023
£
260,579
71,828
(520,185)
(105,000)
999
(29,052)
122
(320,709)
2023
£
816,288
148,679
964,967
Cash flows
Non-cash
in year
transactions
£
£
(142,171)
-
(87,228)
-
(229,399)
-
445,000
105,000
215,601
105,000		 2022
£
231,000
71,828
(503,131)
-
-
10,069
(45)
(190,279)
2022
£
958,459
235,907
1,194,366
As at 5
April 2023
£
816,288
148,679
964,967
-
964,967

3 MAJOR NON-CASH TRANSACTIONS

During the year the concessionary loans totalling £105,000 (2022 - £nil) were converted into a donation to the charity.

15

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

1 ACCOUNTING POLICIES

Basis of preparation

The Bransford Trust meets the definition of a public benefit entity under FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements are prepared on a going concern basis under the historical cost convention, except for listed investments and investment properties which are measured at fair value. The financial statements are presented in sterling which is the functional currency of the charity rounded to the nearest pound.

Consolidation

The consolidated financial statements incorporate those of The Bransford Trust and its sole subsidiary Royal Porcelain Works Limited. All intra-group transactions, balances and unrealised gains on transactions between the Bransford Trust and Royal Porcelain Works Limited have been eliminated on consolidation. Any unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the relating asset transferred. The accounting policies of Royal Porcelain Works Limited are not considered different from those of the consolidated financial statements. Royal Porcelain Works Limited has a financial year end of 31 March 2023 and the financial results of Royal Porcelain Works Limited are adjusted for the effects of any significant transactions or events that occur between 31 March 2023 and 5 April 2023.

Exemption from preparing individual charity cash flow statement

As permitted by the exemptions within FRS 102 and Charities SORP (FRS 102), a separate cash flow statement for the charity’s individual results has not been prepared.

Income

Income, including grants receivable and donations, is recognised in the period in which the charity is entitled to receipt and the amount can be measured with reasonable certainty. Income is deferred only when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.

Rents receivable are recognised on a straight-line basis over the term of the lease.

Interest income (including interest receivable on fixed interest listed investment bonds) is recognised for all interest-bearing instruments on the effective interest rate basis. Dividends are recognised in the income statement when they are declared.

Donated goods

If at receipt it is practical to assess the fair value of donated goods, then donated goods are recognised in income at fair value at time of receipt. Where it is impractical to assess the fair value of donated goods, they are not recognised in the financial statements until they are sold.

16

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

Expenditure

Expenditure is included on an accruals basis. Liabilities are included in the accounts as soon as recognised.

The cost of raising funds includes investment management costs.

Charitable activities costs include grant funding and support costs which are all allocated to charitable activities as this is the predominant activity. Grants payable are charged in the year when the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

Governance costs comprise the costs of internal and external audit, any legal advice for the trustees, and all the costs of complying with constitutional and statutory requirements, such as the costs of Board and Committee meetings and of preparing statutory accounts and satisfying public accountability.

Grants payable

Grants payable are recognised as a liability only when the criteria for a constructive obligation are met, payment is probable, it can be measured reliably, and there are no conditions attaching to its payment that limit its recognition.

Where a grant commitment is payable over a period of more than one year, a liability is recognised for the full amount of the constructive obligation unless conditions apply to payments falling due after the reporting date. Where payments for later years are subject to performance-related conditions, the donor charity may be able to legitimately withdraw from its commitment if a particular condition attaching to the grant is not met. Where a condition remains within the control of the charity, then the charity retains the discretion to avoid the expenditure and therefore a liability is be recognised.

Tangible fixed assets

Tangible fixed assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost less estimated residual value of each asset over its expected useful life, as follows:

Freehold buildings 2% on cost Freehold land not depreciated Fixtures, fittings & equipment 10% on cost

In the individual accounts of The Bransford Trust, freehold land and buildings rented to its subsidiary Royal Porcelain Works Limited, which Royal Porcelain Works Limited uses for trading purposes (rather than renting out to third parties under operating leases), are classified as tangible fixed assets.

Investments

Quoted investments are stated at market value and investment property is revalued annually. Increases/(decreases) on revaluations are transferred to/(from) the Statement of Financial Activities.

Investment property is valued annually either by an independent professional valuer or by the trustees on an open market basis.

17

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

Stock

Stock is measured at the lower of cost (or valuation for donated stock) and net realisable value.

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 when the charity becomes party to contractual provisions of the instrument. Financial assets are offset, with the net amounts presented in the accounts where 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, which include trade and other receivables 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.

Basic financial liabilities, including trade and other payables, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of the operations from suppliers. Accounts 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 payables are recognised initially at transaction.

Concessionary loans

Concessionary loans made to or received from third parties on which no interest is to be charged are measured at historical cost.

Government grants

Government grants are recognised under the performance model. Grants that does not impose specified future performance-related conditions are recognised in income when the grant proceeds are received or receivable. Grants that imposes specified future performance-related conditions are recognised in income only when the performance-related conditions are met. Grants received before the revenue recognition criteria are satisfied are recognised as a liability.

Defined contribution pension schemes

The Bransford Trust operates a defined contribution pension scheme. Contributions payable to The Bransford Trust's pension scheme are charged in the period to which they relate.

Accumulated funds

Unrestricted general funds are funds which can be used in accordance with the charitable objects at the discretion of the trustees.

18

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

Significant judgements and key sources of estimation uncertainty

The areas where accounting policies of The Bransford Trust cause significant estimates or judgements in their application are:

Estimates and judgements are continually evaluated. They are based on historical experience and other factors, including expectations of future events that may have a financial impact on the entity and that are believed to be reasonable under the circumstances.

2 DONATIONS INCOME

Donations from C A & B Kinnear
Gift Aid
Other
3
OTHER TRADING ACTIVITIES INCOME
Hall and room hire
Grants
Other trading income
4
INVESTMENT INCOME
Rent and service charges from investment properties
Income from listed investments		 2023
£
105,000
26,250
5,000
136,250
2023
£
49,988
-
10,902
60,890
2023
£
167,723
520,185
687,908		 2022
£
-
-
-
-
2022
£
42,960
10,731
4,490
58,181
2022
£
156,383
503,131
659,514

19

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

5
RAISING FUNDS EXPENDITURE
Direct costs of trading subsidiary
Investment management costs
Property management costs
Property repairs
6
CHARITABLE ACTIVITIES EXPENDITURE
Royal Porcelain Works:
Professional fees
Wages and salaries
Marketing
Site management
Depreciation
Grants approved in year (note 7)
Support costs relating to Royal Porcelain Works:
Legal & professional fees
Administration costs
Bank charges
Governance costs:
Auditors' remuneration re external scrutiny
Accounts preparation		 2023
£
41,365
92,965
25,550
8,764
168,644
2023
£
40,537
41,795
398
52,340
71,828
206,898
212,058
14,840
14,453
406
4,380
2,790
455,825		 2022
£
37,447
105,850
25,475
7,478
176,250
2022
£
36,895
62,245
1,694
56,040
71,828
228,702
41,200
20,143
13,256
486
4,000
2,658
310,445

20

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

7 GRANTS

The Leys School (re the Leysian Bursary Fund)
Worcester Cathedral
Elgar Festival
Mass in Blue
The Myriad Centre
Worcester Theatres Charitable Trust
Worcestershire Community Foundation
Link Nurseries
Midland Migrant Support Centre
Worcester Festival
AGE UK Worcester & Malvern Hills
Worcester Symphony Orchestra
Cultivating Change
Acorns Children’s Hospice
Royal National College for the Blind
Worcester Street Kitchen		 Commitm
ents at
5/4/22
Approved
in the year
Paid in the
year
Commitments
at 5/4/23
-
105,000
(105,000)
-
12,500
37,500
(50,000)
-
-
15,104
(9,104)
6,000
-
15,000
-
15,000
-
10,000
(10,000)
-
-
6,825
(6,825)
-
-
5,000
(5,000)
-
-
5,000
(5,000)
-
-
2,550
(2,550)
-
-
2,500
(2,500)
-
-
2,000
(2,000)
-
-
2,000
(2,000)
-
-
2,000
-
2,000
-
1,000
(1,000)
-
-
300
(300)
-
-
279
(279)
-
12,500
212,058
(201,558)
23,000

8 NET INCOME/(EXPENDITURE)

This is stated after charging/(crediting);

2023 2022
£ £
Depreciation 71,828 71,828
Auditors remuneration 4,380 4,000

9 TRUSTEES REMUNERATION, BENEFITS AND EXPENSES

No trustees received any remuneration or other benefits or expenses for the year ended 5 April 2023 or the year ended 5 April 2022.

21

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

10 STAFF COSTS

Gross wages
Social security costs
Employer’s pension costs (defined contribution schemes)		 2023
£
40,598
-
1,197
41,795		 2022
£
58,640
1,855
1,750
62,245

The average number of employees for the year was 1 (2022 – 2).

No employee received remuneration of £60,000 or above for the year ended 5 April 2023 or the year ended 5 April 2022.

11 TANGIBLE FIXED ASSETS

The group and the charity

Cost:
At 6 April 2022
Additions
At 5 April 2023
Depreciation:
At 6 April 2022
Charge
At 5 April 2023
Net book value
At 5 April 2023
At 5 April 2022		 Freehold land &
buildings
Fixtures, fittings
and equipment
Total
£
£
£
3,433,795
88,319
3,522,114
-
-
-
3,433,795
88,319
3,522,114
236,235
26,147
262,382
62,996
8,832
71,828
299,231
34,979
334,210
3,134,564
53,340
3,187,904
3,197,560
62,172
3,259,732

Included in freehold land and buildings of the charity is property rented to Royal Porcelain Works Limited, the charity’s subsidiary, with net book value of £3,134,564 (2022 - £3,197,560).

22

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

12 INVESTMENTS

The Group

MARKET VALUE
At 6 April 2022
Additions
Disposals
Revaluations
At 5 April 2023
The investments are held:
Fixed Interest
Equities
Alternative Investments
Portfolio Cash
Investment Property
The Charity
MARKET VALUE
At 6 April 2022
Additions
Disposals
Revaluations
At 5 April 2023
The investments are
held:
Fixed Interest
Equities
Alternative Investments
Portfolio Cash
Investment Property
Subsidiary undertakings		 Listed
Investments
£
12,968,963
731,882
(748,007)
(1,237,634)		 Listed
Investments
£
12,968,963
731,882
(748,007)
(1,237,634)		 Listed
Investments
£
12,968,963
731,882
(748,007)
(1,237,634)		 Cash
£
235,907
-
(87,228)
-		 Cash
£
235,907
-
(87,228)
-		 Cash Freehold
Property
£
3,710,000
-
-
3,710,000		 Freehold
Property
£
3,710,000
-
-
3,710,000		 Total
£
16,914,870
731,882
(835,235)
(1,237,634)
15,573,883		 Total
£
16,914,870
731,882
(835,235)
(1,237,634)
15,573,883
11,715,204 148,679
Quoted
Investments
£
4,027,412
5,599,639
2,088,153
148,679
-		 Investment
Property
£
-
-
-
-
3,710,000		 2023 Total
£
4,027,412
5,599,639
2,088,153
148,679
3,710,000
15,573,883		 2022 Total
£
4,534,999
5,708,559
2,725,405
235,907
3,710,000
16,914,870
11,863,883 3,710,000
Cash
£
235,907
-
(87,228)
-		 Freehold
Property
£
3,710,000
-
-		 Subsidiary
Undertakings
£
63,001
-
-
-		 Total
£
16,977,871
731,882
(835,235)
(1,237,634)
11,715,204 148,679 3,710,000 63,001 15,636,884
Quoted
Investments
£
4,027,412
5,599,639
2,088,153
148,679
-
-		 Investment
Property
£
-
-
-
-
3,710,000
-		 Subsidiary
Undertakings
£
-
-
-
-
-
63,001		 2023 Total
£
4,027,412
5,599,639
2,088,153
148,679
3,710,000
63,001
15,636,884		 2022 Total
£
4,534,999
5,708,559
2,725,405
235,907
3,710,000
63,001
16,977,871
11,863,883 3,710,000 63,001

23

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

INVESTMENT PROPERTY VALUATION

The trustees have undertaken the year end valuation of both the residential and commercial investment properties.

These valuations are based on independent professional valuation of the residential investment properties done by Morgan Aps Sales & Lettings LLP in January 2022 and independent professional valuation of the commercial investment properties done by GJS Dillion in April 2022.

13 SUBSIDIARY UNDERTAKING

The Bransford Trust has a wholly owned subsidiary, Royal Porcelain Works Limited. Available profits are gift aided to the charity. The summary financial performance of the subsidiary is:

Turnover
Cost of sales
Gross profit
Administrative expenses
(Loss)/profit for the financial year
The aggregate of the assets and liabilities was:
Assets
Liabilities
Net assets		 2023
£
118,919
(54,601)
64,318
(79,605)
(15,287)
131,325
(87,362)
43,963		 2022
£
116,655
(56,964)
59,691
(63,434)
(3,743)
158,014
(98,764)
59,250

14 PARENT CHARITY

The consolidated statement of financial activities includes the results of the charity’s wholly owned subsidiary. The summary financial performance of the charity alone is:

Gross income
Expenditure
Net income/(expenditure)
Net gains/(losses) on investments
Total funds brought forward
Total funds carried forward		 2023
£
813,459
(537,590)
275,869
(1,237,634)
20,612,805
19,651,040		 2022
£
634,634
(399,890)
234,744
(2,014,776)
22,392,837
20,612,805

15 STOCK

15
STOCK
Group Charity
2023 2022 2022 2021
£ £ £ £
Goods held for resale 55,978 56,977 - -

24

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

16 DEBTORS

Group
2023
2022
£
£
Trade debtors
52,278
59,817
Other debtors
22,081
11,740
Amounts owed by Royal Porcelain
Works Ltd
-
-
Gift Aid
26,250
-
100,609
71,557
7
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Group
2023
2022
£
£
Concessionary loans – see note 19
-
550,000
Trade creditors
9,208
14,920
Grants payable – see note 7
23,000
12,500
Other creditors
944
930
VAT
3,950
3,062
Accruals
44,500
41,267
Deferred income
21,058
29,859
102,660
652,538		 Charity
2023
2022
£
£
23,725
30,074
9,485
1,000
66,817
68,574
26,250
-
126,277
99,648
Charity
2023
2022
£
£
-
550,000
8,354
5,333
23,000
12,500
944
929
4,980
7,458
43,522
39,627
9,649
18,206
90,449
634,053

17 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Deferred income

Deferred income relates to investment property rental income received that relates to the next financial year.

18 OPERATING LEASE COMMITMENTS

At the year end The Bransford Trust had minimum lease income under non-cancellable operating leases fall due as follows:

Within one year
Between one and five years
After five years		 Group
2023
2022
£
£
98,538
81,658
143,889
83,381
-
-
142,427
165,039		 Charity
2023
2022
£
£
40,358
34,075
65,556
36,631
-
-
106,094
70,706		 Charity
2023
2022
£
£
40,358
34,075
65,556
36,631
-
-
106,094
70,706
70,706

25

The Bransford Trust

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

19 RELATED PARTY TRANSACTIONS

During the year The Bransford Trust purchased insurance under normal market conditions totalling £14,877 (2022 - £13,739) from Sutcliffe Insurance Brokers Limited, a company in which D Sutcliffe is a director and shareholder of its parent company.

During the year Mr C A Kinnear OBE and Mrs B Kinnear donated £105,000 (2022 - £nil) to the charity, on which gift aid of £26,250 (2022 - £nil) has been claimed.

At the year end, trustees Mr C A Kinnear OBE and Mrs B Kinnear were owed interest free concessionary loans amounting to £nil (2022 - £550,000).

26