Charity No. 1179639
## **Clark Foundation Report and Audited Financial Statements**
**31 March 2022**
## **Clark Foundation**
## **Reference and administrative details**
## **For the year ended 31 March 2022**
|**Status**|The organisation is a charitable incorporated organisation, registered|The organisation is a charitable incorporated organisation, registered|
|---|---|---|
||on 22 August 2018.||
|**Charity number**|1179639||
|**Registered office**|40 High Street||
||Street||
||Somerset||
||BA16 0EQ||
|**Trustees**|Gloria J Clark||
||Richard Clark||
||Judith E Derbyshire||
||Peter Drew||
||Martin Lovell||
|**Grants committee**|Gloria J Clark||
|**(in addition to trustees)**|Richard Clark||
||Judith E Derbyshire||
||Peter Drew||
||Julian Hargood||
||Martin Lovell||
||Paul Wakefield||
|**Key management**|Susie Mercer|Trust Manager|
|**personnel**|||
|**Principal bankers**|CAF Bank Ltd||
||25 Kings Hill Avenue||
||Kings Hill||
||West Malling||
||Kent||
||ME19 4JQ||
|**Auditors**|Godfrey Wilson Limited||
||Chartered accountants and statutory auditors||
||5th Floor Mariner House||
||62 Prince Street||
||Bristol||
||BS1 4QD||
|**Investment advisers**|Legal and General Investments||
||PO Box 6080||
||Wolverhampton||
||WV1 9RB||
1
## **Clark Foundation**
## **Reference and administrative details**
## **For the year ended 31 March 2022**
**Solicitors** Chubb Bulleid 10 Leigh Road Street Somerset BA16 0HA **Chartered surveyors** Cooper and Tanner LLP The Agricultural Centre Standerwick Frome Somerset BA11 2QB
2
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
The trustees present their annual report and the financial statements for the year ended 31 March 2022. The financial statements comply with the Constitution and Statement of Recommended Practice – Accounting and Reporting by Charities (effective from January 2019).
## **Structure, management and governance**
## **Objectives**
The Clark Foundation was originally established under a trust deed in 1959, to assist persons afflicted by old age, ill health, accident or infirmity and in the provision of facilities for education, recreation, leisure and social welfare. The persons to benefit must be in need of assistance and preference may be given to employees of C&J Clark Limited and its subsidiaries, ex-employees and their families. The Clark Foundation converted to a CIO (no. 1179639) in 2019 and is governed by a constitution dated 22 August 2018.
## **Trustees**
Trustees who served during the year were as follows:
▪Gloria J Clark
▪Richard Clark ▪Judith E Derbyshire ▪Peter Drew
- ▪Martin Lovell
The trustees are self-appointing. C&J Clark Limited has the right to appoint and remove one trustee should it so wish.
Newly appointed trustees are briefed on the objectives of the trust and details contained in the constitution. Trustees keep themselves up to date with current legislation through the use of information from the Charities Commission and that provided by their solicitors, auditors and accountants.
Trustees take advice from an investment manager, auditors and solicitors as required. Trustees' remuneration and expenses are detailed in note 6 to the accounts.
The trustees have the power to appoint the Grants Committee and may ask C&J Clark to recommend employees to be put forward for appointment to the Grants Committee. The trustees review the recommendations and make the appointments to the Grants Committee.
Members of the Grants Committee who served during the past year were:
▪Gloria J Clark ▪Richard Clark ▪Judith E Derbyshire ▪Peter Drew ▪Julian Hargood ▪Martin Lovell ▪Paul Wakefield
3
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Organisational structure**
Day to day management of the Clark Foundation is delivered by the Trust Manager, Susie Mercer, on behalf of the trustees.
Trustees have delegated the grant making process of the Foundation to the Grants Committee. The Grants Committee meets on a quarterly basis and makes decisions in accordance with a budget set by trustees within a three year plan. The Trust Manager provides the members of the Committee with applications submitted by third parties, supported by recommendations made by the Trust Manager in advance of each meeting.
## **Trustees Risk Register**
The risk assessment undertaken in March 2020 was reviewed and updated in 2022. Trustees consider that adequate controls are in place to remove, minimise or mitigate risks to the Foundation.
## **Objectives and activities**
## **Objectives and strategy**
The Foundation seeks to satisfy the objectives as stated in the constitution referred to above.
During the year ending 31 March 2022, the principal aim of the Foundation was to continue to receive, review and approve quality grant applications in line with the objectives of the charity. The objectives of the charity, as stated in the constitution, have been interpreted by trustees, so as to generally make grants to organisations which are close to significant numbers of C&J Clark Limited employees or exemployees. This includes organisations overseas which are near to where there are employees in companies manufacturing shoes for C&J Clark Limited.
Trustees agree a three year plan which sets out the levels of grants based on projected investment return. This plan includes a budget that the Grants Committee works to when awarding grants. Some grants are dependent on beneficiaries meeting certain conditions. This means that some grants may not be paid in the financial year in which they are awarded and a small number of grants may be withdrawn altogether.
## **Grant making policy**
Grants are made on the following general bases:
▪to objects which are charitable;
- to organisations which are located in areas where there are significant numbers of employees or ex-employees of C&J Clark Limited and its subsidiaries;
- ▪preferably for one-off capital projects or for organisation start-up costs; and
- ▪local elements only of national appeals and not general national appeals.
The Clark Foundation advertises grant availability to C&J Clark Limited employees through the C&J Clark Limited internal communications network. This includes contributions to ‘Store IQ’ - a weekly digital newsletter sent to all retail stores – and other social media channels operated by the company. The Trust Manager liaises with local organisations who advise groups on grant availability. Periodically, the Trust Manager contacts organisations and councils who could benefit from a grant in areas where grants are awarded. The Trust Manager liaises with Somerset Community Foundation, Spark Somerset and Cumbria Community Foundation to ensure they are aware of support that the Clark Foundation can give.
4
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
The Trust Manager reviews the grant applications received and sifts out the applications that do not satisfy the geographical criteria and the charitable objects of the Foundation. The remaining accepted applications are split on a monetary basis. Accepted applications that are £1,000 or less are approved and paid by the Trust Manager and reported to the Grants Committee. Applications for grants over £1,000 are considered at the quarterly Grants Committee meeting. At this meeting, an application is either approved for payment or a grant is offered subject to certain conditions being met, or it is refused. Grants awarded are monitored against the annual budget.
## **Public benefit**
Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities and setting the grant making policy for the year.
The Clark Foundation provides public benefit through the provision of grants to a wide range of organisations with charitable status both in the UK and overseas. Trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2011 to have due regard to guidance published by the Charities Commission.
## **Achievements and performance**
During the year the Grants Committee paid 51 grants totalling £232,950 to a wide variety of community organisations including schools, hospitals, hospices, village halls, churches, heritage projects and arts centres. 11 of these were awarded in the previous financial year and have a cumulative value of £118,050. These grants support other fund-raising efforts by the organisations applying for the grants.
## **Land holdings**
During the year, further conversations have been held with Strode College in relation to them taking a lease for land at Coxmead to formalise their existing use of the land as a car park. Trustees have obtained a consent order from the Charity Commission in respect of this, as it is a disposal to a ‘connected person’ by dint of Richard Clark being a governor of Strode College as well as a trustee. A revision to the ‘Transfer of Assets Agreement’ undertaken when the trust converted to a CIO has also been undertaken, due to one parcel of land having been overlooked in the original agreement. Repairs to Stephen’s Folly, a monument within the Coxmead holding, have been undertaken.
## **Financial review**
The results for the year are shown on page 13.
The main objectives of the Foundation have been met through the year, by the Grants Committee awarding 89 grants totalling £487,490. This includes 49 grants that have not been paid within the year as at 31 March 2022, totalling £372,590 which is included in creditors.
The resources expended within the Statement of Financial Activities amounts to £532,867 (2021: £282,116). The principal funding sources of the Foundation are listed investment income of £182,319 (2021: £174,341). The unlisted investments – namely the shares in C&J Clark Limited – have returned no income.
5
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
In 2019 the Foundation moved to setting its grant availability based on a ‘total return’ model. In May 2021 trustees undertook an assessment of the impact this has had on the value of those assets managed by Legal & General. A ‘light touch’ repeat of this exercise in 2022 concluded that operating a ‘total return’ policy had, in the short-term, met trustees' objectives and that trustees could, for the time being, continue the total return policy subject to an annual assessment of the impact.
## **Investments**
Information relating to changes in investments is given in Note 10 to the accounts.
## **Investment policy**
There are no restrictions in the constitution placed on investment policy. Trustees make investments in accordance with Charity Law.
## **Investment performance**
The Foundation holds two kinds of investments: shares in C&J Clark Limited and an investment portfolio, managed by Legal & General.
## **C&J Clark Limited shares**
The charity made an unrealised gain of £1,333,036 on the unlisted investment in C&J Clark Limited shares following increase in the share value from 46p to £1.76. This valuation was carried out in July 2022 by BDO and is considered to be the fair value as it is closest to the balance sheet date.
## **Legal & General managed investment portfolio**
This portfolio returned investment income of £182,319 during the year and was valued at £11,419,497 at year end. Dividends are held/accumulated within the fund and give rise to additional growth.
The investments are held in a single multi-asset fund and have continued to show sustained growth.
## **Reserves policy**
All of the charity’s reserves are unrestricted. In general, it holds an amount of between £100,000 and £200,000 in its cash account. Reserves held in the Legal & General Multi Asset Fund can, in normal trading conditions, be sold quickly and converted to cash as needed to pay grants.
## **Impact of Covid 19 on the charity’s activities**
There appear to be no long-lasting impacts of the pandemic on the charity's operations, with community organisations once again able to progress the kind of capital projects that the Foundation typically supports. Grant applications in the new financial year are at an encouraging level, similar to that of this year.
Investments have held up well, allowing a grant-giving budget slightly larger than last year’s to have been agreed.
## **Going concern**
As the Clark Foundation is a grant making charity with relatively low running costs we are able to flex our expenditure in line with our income. Trustees therefore consider that the charity is a going concern for a period of at least 12 months from the date on which these financial statements are approved.
6
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Plans for the future**
The trustees agree a three-year plan on a rolling basis and aim to spend investment return generated by the Clark Foundation investments, less the costs associated with running the charity. Any underspend from previous years is carried forward. The planned grants budget for 2022/23 is £429,000. Trustees will continue to actively publicise grant availability to encourage grant applications.
## **Fundraising policy**
The Clark Foundation does not engage in any direct fundraising from members of the public and does not employ fundraisers. The trustees are, however, aware of the code of fundraising practice and will ensure that the charity will comply with the code should it undertake any fundraising activities.
## **Disclosure of information to auditors**
The trustees who held office at the date of approval of this trustees’ report confirm that, so far as they are each aware, there is no relevant audit information of which the Charity’s auditors are unaware; and each trustee has taken all the steps that he/she ought to have taken as a trustee to make himself/herself aware of any relevant audit information and to establish that the Charity’s auditors are aware of that information.
## **Statement of responsibilities of the trustees**
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with 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).
The law applicable to charities in England and 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 the incoming resources and application of resources, including the net income or expenditure, of the charity for the year. In preparing those financial statements the trustees are required to:
▪select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the applicable Charities SORP;
- ▪make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; 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 proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which 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 constitution. The trustees 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.
7
## **Clark Foundation**
## **Report of the trustees**
## **For the year ended 31 March 2022**
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website where applicable. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
## **Auditors**
Godfrey Wilson Limited were re-appointed as auditors to the charity during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 2 December 2022 and signed on their behalf by:
## Gloria J Clark
Gloria Clark - Chair
8
## **Independent auditors' report**
## **To the trustees of**
## **Clark Foundation**
## **Opinion**
We have audited the financial statements of Clark Foundation (the 'charity') for the year ended 31 March 2022 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related 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:
- give a true and fair view of the state of the charity's affairs as at 31 March 2022 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- ▪ have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of 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 charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
9
## **Independent auditors' report**
## **To the trustees of**
## **Clark Foundation**
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**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:
- sufficient accounting records have not been kept;
- the financial statements are not in agreement with the accounting records and returns; or
- we have not obtained all the information and explanations necessary for the purposes of our audit.
## **Responsibilities of the trustees**
As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they 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.
## **Our responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:
10
## **Independent auditors' report**
## **To the trustees of**
## **Clark Foundation**
(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.
(2) We reviewed the charity’s policies and procedures in relation to:
- Identifying, evaluating and complying with laws and regulations, and whether they were aware of any instances of non-compliance;
- Detecting and responding to the risk of fraud, and whether they were aware of any actual, suspected or alleged fraud; and
- Designing and implementing internal controls to mitigate the risk of non-compliance with laws and regulations, including fraud.
(3) We inspected the minutes of trustee meetings.
(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.
(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.
(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.
(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:
- ▪Testing the appropriateness of journal entries;
- ▪Assessing judgements and accounting estimates for potential bias;
- ▪Reviewing related party transactions; and
▪Testing transactions that are unusual or outside the normal course of business.
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. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
11
## **Independent auditors' report**
## **To the trustees of**
## **Clark Foundation**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with section 144 of the Charities Act 2011 and the regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditorʼs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charityʼs trustees as a body, for our audit work, for this report, or for the opinions we have formed.
## Godfrey Wilson Limited
Date: 5 December 2022
## **GODFREY WILSON LIMITED**
Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
12
## **Clark Foundation**
## **Statement of financial activities**
## **For the year ended 31 March 2022**
|Note
**Income from:**
Investments
2
Other income
3
**Total income**
**Expenditure on:**
Charitable activities
**Total expenditure**
4
**Net expenditure before gains**
Gains on investments
**Net movement in funds**
6
**Reconciliation of funds**
Total funds brought forward
**Total funds carried forward**|**2022**
**Total**
**£**
**183,677**
**23,567**
**207,244**
**532,867**
**532,867**
**(325,623)**
**1,893,302**
**1,567,679**
**11,593,327**
**13,161,006**|2021
Total
£
175,708
20,411|
|---|---|---|
|||196,119|
|||282,116|
|||282,116|
|||(85,997)
392,520|
|||306,523
11,286,804|
|||11,593,327|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. All income and expenditure are unrestricted in both years.
13
## **Clark Foundation**
## **Balance sheet**
## **As at 31 March 2022**
|Note
**Fixed assets**
Tangible fixed assets
9
Investments
10
**Current assets**
Debtors
11
Cash at bank and in hand
**Creditors: amounts falling due within 1 year**
12
**Net current assets**
**Net assets**
**Funds**
13
Unrestricted general funds
**Total funds**|**£**
**91,487**
**123,895**
**215,382**
**(378,310)**|**2022**
**£**
**99,712**
**13,224,222**
**13,323,934**
**(162,928)**
**13,161,006**
**13,161,006**
**13,161,006**|2021
£
99,804
11,407,091|
|---|---|---|---|
||||11,506,895
99,931
110,542|
||||210,473
(124,041)|
||||86,432|
||||11,593,327|
||||11,593,327|
||||11,593,327|
Approved by the trustees on 2 December 2022 and signed on their behalf by:
## Gloria J Clark
Gloria Clark - Chair
14
## **Clark Foundation**
## **Statement of cash flows**
## **For the year ended 31 March 2022**
|**Cash provided by / (used in) operating activities:**
**Net movement in funds**
Adjustments for:
Depreciation
(Gains) / losses on investments
Dividends, interest and rent from investments
Decrease / (increase) in debtors
Increase / (decrease) in creditors
**Net cash provided by / (used in) operating activities**
**Cash flows from investing activities:**
Dividends, interest and rent from investments
Proceeds from the sale of investments
Purchase of investments
Purchase of tangible fixed assets
**Net cash provided by investing activities**
**Increase in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**|**2022**
**£**
**1,567,679**
**92**
**(1,893,302)**
**(183,677)**
**8,444**
**254,269**
**(246,495)**
**183,677**
**250,000**
**(173,829)**
**-**
**259,848**
**13,353**
**110,542**
**123,895**|2021
£
306,523
69
(392,520)
(175,708)
22,414
26,000|
|---|---|---|
|||(213,222)|
|||175,708
250,000
(204,117)
(459)|
|||221,132|
|||7,910
102,632|
|||110,542|
The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.
15
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
**1. Accounting policies**
## **a) Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in 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).
Clark Foundation meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
## **b) Going concern basis of accounting**
The accounts have been prepared on the assumption that the charity is able to continue as a going concern. The trustees have considered the impact of this issue on the charity’s current and future financial position. The charity holds substantial unrestricted net assets of £13,161,006 and the trustees therefore consider that the charity is a going concern for a period of at least 12 months from the date on which these financial statements are approved.
## **c) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the items of income have been met, it is probable that the income will be received and the amount can be measured reliably.
## **d) Investment income**
Interest on funds held on deposit, dividends and other investment income are included when receivable and the amount can be measured reliably by the charity. This is normally upon notification of the amounts paid or payable by the bank or investment managers.
## **e) Funds accounting**
The charity holds unrestricted general funds only.
General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
## **f) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure includes attributable VAT which cannot be recovered.
Expenditure on raising funds are those costs incurred in managing the investments to raise investment income.
Charitable activities include expenditure associated with grant making and include both the direct costs and support costs related to these activities.
16
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **1. Accounting policies (continued)**
## **g) Allocation of support and governance costs**
Governance costs include those incurred in the governance of the charity and its assets and are primarily associated with constitutional and statutory requirements.
Support costs include overheads and have been allocated to activity cost categories on a basis consistent with the use of resources by allocating on the basis of time spent and other costs by their usage.
Support and governance costs have been allocated in full to charitable activities on the basis that the majority of staff time is spent managing grant making activities.
## **h) Grants payable**
Grants authorised by the grants committee are included in the Statement of Financial Activities. Grants which have been authorised by the grants committee but not yet paid, are accrued in the balance sheet and included within creditors falling due within one year or after one year (as appropriate).
## **i) Fixed assets**
Eight plots of land are included in the balance sheet at a nominal value of £1 each, as long leases have been granted on the land and buildings at a peppercorn rent. The trustees do not believe that it is appropriate to include these assets at cost. One plot of land has been included at deemed cost as it is rented out as part of the charity's activities.
The land held has not been depreciated.
Computer equipment has been depreciated on a 5 year straight line basis.
## **j) Listed and unlisted investments**
Investments listed or traded on a recognised stock exchange are stated at fair value at the reporting date, which is deemed to be their market value. Any gain or loss, whether realised or unrealised, is taken to the Statement of Financial Activities.
Unlisted investments have been revalued to reflect valuations carried out by BDO at a date closest to the balance sheet date, which is deemed to be their fair value. Any gain or loss, whether realised or unrealised, is taken to the Statement of Financial Activities.
## **k) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **l) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term 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.
17
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **1. Accounting policies (continued)**
## **m) Creditors**
Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any trade discounts due.
## **n) Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
## **o) Pension costs**
The charity operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.
The charity previously participated in a defined benefit pension scheme. The scheme was a multi-employer pension scheme. During the prior period, the remaining pension liability was paid off and the scheme was closed. The charity is no longer making contributions into the scheme, and all outstanding debt has been paid off.
## **p) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below:
## **Valuation of unlisted investments**
The charity holds unlisted investments in the shares of C&J Clark Limited, a private limited company. Valuations are currently carried out by the company on an annual basis under a process set out in the company's Articles. As at 1 July 2022, the shares were valued at £1.76 per share. As there were no other share valuations carried out closer to the balance sheet date, the July 2022 price has been used to value the shareholding at 31 March 2022.
18
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **2. Investment income**
|**Investment income**|||
|---|---|---|
|Rental and other income
Investments listed on a recognised stock exchange|**2022**
**£**
**182,319**
**1,358**
**183,677**|2021
£
174,341
1,367|
|||175,708|
**3. Other income**
|**Other income**|||
|---|---|---|
|Salary recoveries
Other income|**2022**
**£**
**23,558**
**9**
**23,567**|2021
£
20,411
-|
|||20,411|
19
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **4. Total expenditure**
|Grants payable to institutions (note 5)
Staff costs (note 7)
Payroll costs
Miscellaneous expenses
Insurance
Coxmead expenses
Legal and professional fees
Auditors' remuneration
Depreciation
**Subtotal**
Reallocation of support and governance costs
**Total**
Total governance costs in the year were £6,287.
**Prior period comparative**
Grants payable to institutions (note 5)
Staff costs (note 7)
Payroll costs
Miscellaneous expenses
Insurance
Coxmead expenses
Legal and professional fees
Auditors' remuneration
Recruitment fees
Depreciation
**Subtotal**
Reallocation of support and governance costs
**Total**|£
487,490
34,528
335
3,164
-
207
-
-
-
525,724
7,143
532,867
£
240,941
29,822
258
1,156
-
214
-
-
-
-
272,391
9,725
282,116
Charitable
activities
Charitable
activities|£
-
-
-
106
2,131
-
44
4,770
92
7,143
(7,143)
-
£
-
-
-
250
2,089
-
77
6,210
1,030
69
9,725
(9,725)
-
Support and
governance
costs
Support and
governance
costs|**2022 Total**
**£**
**487,490**
**34,528**
**335**
**3,270**
**2,131**
**207**
**44**
**4,770**
**92**|
|---|---|---|---|
||||**532,867**
**-**|
||||**532,867**|
||||2021 Total
£
240,941
29,822
258
1,406
2,089
214
77
6,210
1,030
69|
||||282,116
-|
||||282,116|
20
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **5. Grants payable**
Grants payable to institutions:
|Creditor brought forward
Total of 51 grants paid during the year (2021: 48)
Creditor carried forward
Debtor carried forward (returnable grant)|**2022**
**£**
**(118,050)**
**232,950**
**372,590**
**-**
**487,490**|2021
£
(92,550)
235,441
118,050
(20,000)|
|---|---|---|
|||240,941|
A detailed list of grants payable to institutions can be found in note 16.
## **6. Net movement in funds** This is stated after charging:
|Depreciation
Auditor's remuneration (inc. VAT)
Audit services
Under accrual in respect of prior year
Trustees' reimbursed expenses
Trustees' remuneration|**2022**
**£**
**92**
**Nil**
**Nil**
**5,100**
**-**|2021
£
69
Nil
Nil
4,770
1,440|
|---|---|---|
No remuneration or expenses were paid to the trustees for their services as trustees in either year.
**7. Staff costs and numbers** Staff costs were as follows:
|Salaries and wages
Pension costs|**2022**
**£**
**31,817**
**2,711**
**34,528**|2021
**£**
28,166
1,656|
|---|---|---|
|||29,822|
No employee earned more than £60,000 during the year.
21
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **7. Staff costs and numbers (continued)**
The key management personnel of the charity comprise the trustees and the Trust manager. The total employee benefits paid to the key management personnel during the year were £19,744 (2021: £15,600). Employees receive a discount at C&J Clark of 33.33% for up to 20 pairs of shoes per year. As this is a percentage discount the amount relating to this is difficult to quantify and is not disclosed within total employee benefits.
|Average head count|**2022**
**No.**
**2.0**|2021
No.
2.0|
|---|---|---|
## **8. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
## **9. Tangible fixed assets**
|**Cost**
At 1 April 2021 and at 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
At 31 March 2022
**Net book value**
**At 31 March 2022**
At 31 March 2021|£
459
Computer
equipment|£
99,414
-
-
**-**
**99,414**
99,414
Freehold land
and property|**Total**
**£**
**99,873**|
|---|---|---|---|
||69
92||**69**
**92**|
||**161**||**161**|
||**298**||**99,712**|
||390||99,804|
22
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **10. Investments**
|Market value at 1 April 2021
Additions at cost
Disposal proceeds
Realised gains
Unrealised gains
Market value at 31 March 2022
**Investments comprise:**
**Market value**
C&J Clark Limited ordinary shares
Investments via Legal and General
**Historical cost**
C&J Clark Limited ordinary shares
Investments via Legal and General|**2022**
**£**
**11,407,091**
**173,829**
**(250,000)**
**13,931**
**1,879,371**
**13,224,222**
**2022**
**£**
**1,804,725**
**11,419,497**
**13,224,222**
**2022**
**£**
**485,468**
**8,736,332**
**9,221,800**|2021
£
11,060,454
204,117
(250,000)
18,604
373,916|
|---|---|---|
|||11,407,091|
|||2021
£
471,689
10,935,402|
|||11,407,091|
|||2021
£
485,168
8,748,805|
|||9,233,973|
The unlisted investments in C&J Clark Limited are revalued based on annual valuations of the shares by BDO, Chartered Accountants. The valuation incorporated in the accounts relates to the valuation as of 1 July 2022, the valuation closest to the balance sheet date.
At 1 July 2022, the value of unlisted investments was £1,804,725 at £1.76 per share (2021: £0.46 per share.)
Listed investments held by Legal and General are shown at the market value at the balance sheet date.
23
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **11. Debtors**
|Accrued income
Prepayments
Other debtors
**12. Creditors: amounts due within 1 year**
Accruals
Grants payable
**13. Movements in funds**
At 1 April 2021
Net expenditure
Gains on investments
At 31 March 2022
**14. Financial instruments at fair value**
Financial assets measured at fair value|**2022**
**£**
**70,994**
**352**
**20,141**
**91,487**
**2022**
**£**
**5,720**
**372,590**
**378,310**
**2022**
**£**
**11,593,327**
**(325,623)**
**1,893,302**
**13,161,006**
**2022**
**£**
**13,224,222**|2021
£
62,504
349
37,078|
|---|---|---|
|||99,931|
|||2021
£
5,991
118,050|
|||124,041|
|||2021
£
11,286,804
(85,997)
392,520|
|||11,593,327|
|||2021
£
11,407,091|
Financial assets measured at fair value comprise listed and unlisted investments.
24
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **15. Related party transactions**
|||||**Receivable**||
|---|---|---|---|---|---|
|||||**during the**|**Outstanding**|
|||||**year**|**at year end**|
|**Organisation**|**Connection to Clark Foundation**|||**£**|**£**|
|WSC 1908 Trust|Gloria
Clark,
Richard|Clark,|Judith|**14,201**|**14,201**|
||Derbyshire, Peter Drew and Martin||Lovell|||
||(trustees) are trustees.|||||
|C&J Clark Limited|Gloria
Clark,
Richard|Clark,|Judith|**2,702**|**2,702**|
|Employees 1922 Trust|Derbyshire, Peter Drew and Martin||Lovell|||
||(trustees) are trustees.|||||
|Roger and Sarah|Martin Lovell (trustee) is a trustee.|||**6,919**|**3,238**|
|Bancroft Clark||||||
|Charitable Trust||||||
25
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **16. Grants payable to institutions**
|**Arts:**
Avalon Stitchers
Bridgwater Photographic Society
Chard Museum
Coniston Institute & Ruskin Museum
Curzon Cinema Clevedon
Glastonbury Antiquarians Ltd
International Music Exchange
Llanelli Community Wind Band
Mendip District Council
Midsomer Norton & Radstock Silver Band
Octagon Theatre
Phoenix Voices
Quaker Tapestry Museum
Regal Film Society
Royal West of England Academy
Soms Film & Video
Glastonbury Tribunal - One Enchanted Evening
Hestercombe Garden Trust
Minehead Museum
Radstock Museum
Wassail Theatre Company
Weston Zoyland Engine Trust
**Countryside:**
Carymoor Environmental Trust
Secret World Wildlife
Shepton Beauchamp Cowleaze Meadow Project
Somerset Wildlife Trust
West Somerset Railway Association|**2022**
**£**
**300**
**650**
**5,000**
**5,000**
**10,000**
**10,000**
**500**
**100**
**5,000**
**500**
**100,000**
**100**
**20,000**
**1,000**
**25,000**
**15,000**
**-**
**-**
**-**
**-**
**-**
**-**
**198,150**
**2,000**
**2,000**
**500**
**-**
**-**
**4,500**|2021
£
-
-
-
-
-
-
-
100
-
-
-
-
-
-
-
-
900
500
500
3,000
1,000
2,000|
|---|---|---|
|||8,000|
|||-
-
-
13,000
5,000|
|||18,000|
26
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **16. Grants payable to institutions (continued)**
|**Education:**
Beckers Green Primary School
Cartmel Priory C of E School
Chilthorne Domer PTFA
Fosse Way School
Great Bradfords Infant & Nursery School
Kingsbury Episcopi Primary School
Somerset Multicultural Association
Stoke St Gregory School
The Mendip School
Polden Bower School
Wookey Primary School PTA
**Medicine:**
Growing Well, Cumbria
iCan Health & Fitness
Info Somewhere House, Somerset
Little Hero
North Devon Hospice
RICE, RUH Bath
Somerset Arts Therapies Centre
Southmead Hospital
St Mary’s Hospice, Ulverston
Weston Hospicecare
Asthma Relief
Caudwell Children
Clowns in the Sky
Disabled Workers Co-operative
Great Western Air Ambulance
Health Connections Mendip
St. John's Hospice, North Lancs
Yeovil Hospital Charity
Above and Beyond
Children's Hospice South West|**2022**
**£**
**150**
**10,000**
**500**
**500**
**300**
**4,000**
**250**
**1,000**
**35,000**
**-**
**-**
**51,700**
**2,000**
**100**
**1,000**
**1,000**
**750**
**5,000**
**1,000**
**15,000**
**2,000**
**20,000**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**47,850**|2021
£
-
-
-
-
-
-
-
-
-
5,000
792|
|---|---|---|
|||5,792|
|||-
-
-
-
-
-
-
-
-
-
500
900
400
300
3,550
20,573
5,594
60,000
(20,000)
(10,000)|
|||61,817|
27
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **16. Grants payable to institutions (continued)**
|**Religious buildings:**
Bridgwater Baptist Church
Muchelney PCC
St. George's Parish Centre
St. Mary's Church, Glastonbury
St. Mary's, Bridgwater
St. Peter & St. Paul, Bishops Hull
St. Michael's, Othery
The Parish of Three Saints, East Brent
West Huntspill PCC
All Saints Church, Halcon
All Saints, Nynehead
St. Andrew's Church, Whitestaunton
St. Edward's Church, Chilton Polden
St. Michael & All Angels, Bawdrip
St. Peter & St. Paul, Bleadon
St. Peter's, Williton
St. Mary's Church, The Charltons
St. Philip & St. James, Odd Down|**2022**
**£**
**15,000**
**7,500**
**5,000**
**10,000**
**2,000**
**10,000**
**5,000**
**1,000**
**10,000**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**65,500**|2021
£
-
-
-
-
-
-
-
-
-
250
500
1,000
1,000
(312)
25
500
2,000
5,000|
|---|---|---|
|||9,963|
28
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **16. Grants payable to institutions (continued)**
|**Welfare:**
ARK at Egwood
Brewham Village Hall
Butleigh Playing Fields
Cary Rangers Netball Club
Caryford Comm Hall
Cheddar Village Hall
Evercreech Parish Council
Horsington Parish Council
Horton Playing Fields
Kendal County Football Club
Long Sutton Cricket Club
M & A Netball Club
Mendip Citizens Advice Bureau
Merriott Village Hall
North Cadbury Village Hall
Over & Nether Compton Memorial Hall
Plotgate Community Farm
Popham Hall, West Bagborough
RNLI Minehead
South Lakes CAB
Stogumber Parish Council
Street Bowling Club
Street Parish Council
Stricklandgate House, Kendal
The Minehead Shed
Ulverston Inshore Rescue
Victoria Field Charity
Wattsfield Youth Football Club
Wedmore Playing Fields
Wells Vineyard Christian Fellowship
Wembdon Village Hall
Westfield Community Association
Windermere Rowing Club
Wiveliscombe Pool
Wookey Village Hall
7 Starlings, Shepton Mallet Library
Bowls Club, Barnstaple
Burnbridge Wanderers
Chilton Polden Playing Fields
Crispin Hall
Cumbria Community Foundation
Ellens Almshouses, Burnham
Locks Heath Lions Football Club
Sub-total carried forward to next page|**2022**
**£**
**4,000**
**4,000**
**500**
**580**
**25,000**
**5,000**
**2,000**
**250**
**5,000**
**750**
**4,000**
**500**
**1,860**
**500**
**1,300**
**3,000**
**400**
**500**
**15,000**
**800**
**750**
**1,000**
**1,000**
**4,250**
**5,000**
**250**
**1,000**
**400**
**10,000**
**2,500**
**7,000**
**4,000**
**800**
**3,000**
**500**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**116,390**|2021
£
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
5,000
10,000
600
10,000
4,800
5,000
6,500
150|
|---|---|---|
|||42,050|
29
## **Clark Foundation**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
|**16. Grants payable to institutions (continued)**
**Welfare:**
Sub-total brought forward from prior page
Mudford Village Hall
Sandgate Hydrotherapy Pool
Selwood Tennis Club
Shapwick & Polden Cricket Club
Somerset Community Foundation
South Petherton Tennis Club
Watchet Bowls Club
Wells City Football Club
**Aged:**
The Lawrence Centre
**Youth / Children:**
1st Hinton St George Scouts
1st Polden Scouts
2nd South Petherton Scouts
Burnham & Highbridge ATC
Life Education Bristol
Wells U13 Football Club
1st Kendal Scouts
1st Watchet Sea Scouts
Bridgwater Sea Cadets
Childrens' World
Glastonbury & St. Sea Cadets
Hinton St. George PFA
Newbridge Town Football Club
Project Charltons
Somerton Scout Group
**Total grants payable to institutions**|**2022**
**£**
**116,390**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**116,390**
**500**
**650**
**800**
**500**
**150**
**500**
**300**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**2,900**
**487,490**|2021
£
42,050
1,000
2,000
8,000
1,300
30,000
5,000
10,000
1,000|
|---|---|---|
|||100,350|
|||-|
|||-
-
-
-
-
-
4,000
750
10,000
1,000
2,000
8,000
268
10,000
1,000|
|||37,018|
|||240,941|
30