AUTHORS’ AWARDS AND ADVANCEMENT
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE
YEAR ENDED 31 DECEMBER 2022
CHARITY No. 1182586
AUTHORS’ AWARDS AND ADVANCEMENT
Charity Information
Trustees The Management Committee of The Society of Authors Naresh Shah (Chair) Sarah Molloy James Marsh (resigned 1/12/2022) Zoey Forbes (appointed 10/05/2022) Owen Atkinson (appointed 1/12/2022) Charity Number 1182586 Charity Offices c/o The Society of Authors 24 Bedford Row London WC1R 4EH Independent Examiner Simon Goodridge FCA Knox Cropper LLP Chartered Accountants 65 Leadenhall Street London EC3A 2AD Bankers HSBC The Peak 333 Vauxhall Bridge Road Victoria London SW1V 1EJ Investment Managers abrdn 280 Bishopsgate London EC2M 4AG
AUTHORS’ AWARDS AND ADVANCEMENT
Contents
| Page | |
|---|---|
| Trustees' Report | 1 - 2 |
| Independent Examiner’s Report | 3 |
| Statement of Financial Activities | 4 |
| Balance Sheet | 5 |
| Notes to the Financial Statements | 6 – 11 |
REPORT OF THE TRUSTEES OF THE AUTHORS’ AWARDS AND ADVANCEMENT
YEAR ENDED 31 DECEMBER 2022
The Trustees present their report and financial statements for the year ended 31[st] December 2022. The Trustees have adopted the provisions of the 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) (second edition effective 1 January 2019).
Trustees
The Trustees of the charity throughout the year and up to the date of approval of these financial statements were:
The Management Committee of The Society of Authors Naresh Shah Sarah Molloy James Marsh (resigned 1/12/2022) Zoey Forbes (appointed 10/05/2022) Owen Atkinson (appointed 1/12/2022)
Constitution, objects and policies
The charity is a charitable incorporated organisation (CIO) that was registered as a charity on 21 March 2019. The charity’s objects are restricted specifically to promote the art of literature for the benefit of the public by:
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the establishment, support, maintenance and award of prizes;
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the provision of advice, training, coaching and mentoring to new authors, unpublished authors, literary executors and beneficiaries and by engaging in or supporting relevant research and ensuring that the useful results of such research are disseminated to the public; and
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the relief of authors suffering financial hardship.
Public Benefit
In reviewing the charity’s aims and objectives and in planning future activities, the Trustees refer to the Charity Commission’s general guidance on public benefit.
Reserves Policy
The Trustees policy is to operate on the basis of being able to continue to generate sufficient incoming resources to use toward meeting their charitable objectives and to accord with their principal terms. The Trustees are of the opinion that the funds remain sufficient to enable them to continue this ongoing objective. The charity has sufficient but not excessive funds to service its objective of making future charitable distributions.
Financial Review
The results for the year ended 31[st] December 2022 are attached and show a Net increase in funds of £340,407 (2021: £103,371 increase). The grants and awards paid during the year were £5,750 (2021: £2,000) and other expenditure amounted to £62,084 (2021: £16,316). The capital movements on Unrestricted investments consisted of unrealised losses in market value was £56,441 (2021: £12,247 increase).
Total Funds carried forward at the year-end stand at £817,778 (2021: £477,371) including Restricted funds amounting to £269,104 (2021: £2,473) and Designated funds amounting to £356,159 (2021: £393,238). The Trustees consider that the charity has sufficient income and capital to meet its obligations in the foreseeable future.
1
REPORT OF THE TRUSTEES OF THE AUTHORS’ AWARDS AND ADVANCEMENT
YEAR ENDED 31 DECEMBER 2022
Statement of Trustees' Responsibilities
The Trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’.
The law applicable to charities in England and Wales, the Charities Act 2011, 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 its incoming resources and application of resources for that period. In preparing these financial statements, the Trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and the principles of the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue to operate.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the governing document of the CIO. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by the board of Trustees on 18 May 2023 and signed on their behalf by:
Naresh Shah – Chair of Trustees
2
AUTHORS’ AWARDS AND ADVANCEMENT
YEAR ENDED 31[st] DECEMBER 2022
Independent Examiner’s Report to the Trustees of Authors’ Awards and Advancement
I report to the trustees on my examination of the accounts of the CIO for the year ended 31[st] December 2022.
Responsibilities and basis of report
As the trustees of the CIO you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (the Act). The Trustees are satisfied that that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and have chosen instead to have an independent examination.
I report in respect of my examination of the CIO’s accounts as required under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent Examiner’s statement
Since the Trust’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I can confirm that I am qualified to undertake the examination because I am a registered member of the Institute of Chartered Accountants in England and Wales which is one of the listed bodies.
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination which give me cause to believe that in any material aspect:
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a) accounting records were not kept in respect of the CIO as required by section 130 of the Act; or
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b) the accounts do not accord with those records; or
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c) the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than the requirement that the accounts give a “true and fair view” which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Simon Goodridge FCA Knox Cropper LLP Chartered Accountants 65 Leadenhall Street London EC3A 2AD Date: . 14 August 2023
3
AUTHORS’ AWARDS AND ADVANCEMENT
STATEMENT OF FINANCIAL ACTIVITIES
YEAR ENDED 31[st] DECEMBER 2022
| Notes Income from Grants, donations and legacies 2 Investment income 3 Total incoming resources Expenditure on Cost of generating funds Investment Management Fees Charitable activities 4 Total resources expended Net income/(expenditure) before investment gains/(losses) Net gains/(losses) on Investments 7 Net income/(expenditure) Reconciliation of funds: Total funds brought forward Total funds carried forward |
Unrestricted Restricted Total General Funds Designated Funds Funds 2022 £ £ £ £ 123,000 27,150 302,651 452,801 3,819 8,062 - 11,881 126,819 35,212 302,651 464,682 909 2,068 - 2,977 1,145 27,692 36,020 64,857 2,054 29,760 36,020 67,834 124,765 5,452 266,631 396,848 (13,910) (42,531) - (56,441) 110,855 (37,079) 266,631 340,407 81,660 393,238 2,473 477,371 £192,515 £356,159 £269,104 £817,778 |
Total 2021 £ 106,008 3,432 |
|---|---|---|
| 109,440 1,161 17,155 |
||
| 18,316 | ||
| 91,124 12,247 |
||
| 103,371 374,000 |
||
| £477,371 |
The notes form part of these Financial Statements
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AUTHORS’ AWARDS AND ADVANCEMENT
BALANCE SHEET
31[st] DECEMBER 2022
| Notes FIXED ASSETS Quoted Investments at Market Value 5 CURRENT ASSETS Cash held by investment managers Cash at bank CURRENT LIABILITIES Amounts due within one year 8 Net Current Assets TOTAL NET ASSETS 11 Represented by: ACCUMULATED FUNDS Unrestricted Funds General 10 Designated funds 10 Restricted Funds 9 TOTAL FUNDS |
2022 £ £ 497,940 19,824 310,697 330,521 (10,683) 319,838 £817,778 192,515 356,159 548,674 269,104 £817,778 |
2021 £ £ 308,206 106,967 67,473 174,440 (5,275) 169,165 £477,371 81,660 393,238 474,898 2,473 £477,371 |
2021 £ £ 308,206 106,967 67,473 174,440 (5,275) 169,165 £477,371 81,660 393,238 474,898 2,473 £477,371 |
|---|---|---|---|
| £477,371 | |||
| 474,898 2,473 |
|||
| £477,371 |
Approved by the Trustees on 18 May 2023 and signed on their behalf by:
Naresh Shah Signed on 14/08/23 @ 13:30
Naresh Shah – Chair of Trustees
The notes form part of these Financial Statements
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AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
1. ACCOUNTING POLICIES
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a) These financial statements have been prepared in accordance with the Financial Reporting Standard 102 and the Charities SORP (FRS102 second edition) and in compliance with the Charities Act 2011. The charity is a public benefit entity under FRS102.
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b) Grants and donations are credited to incoming resources on the earlier date of when they are received or when they are receivable, unless they relate to a specific future period, in which case they are deferred. All other incoming resources are included in the Statement of Financial Activities when the charity is legally entitled to the income and the amount is quantified with reasonable accuracy.
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c) Awards paid include all amounts payable in the year in accordance with the terms of the CIO’s governing document.
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d)
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Other expenditure is included on the basis of amounts payable for the year.
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e) General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objects of the charity.
Designated funds are unrestricted funds set aside by Trustees for particular purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors which have been raised by the charity for particular purpose.
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f) The quoted investments are included in the Financial Statements at market value to comply with the Statement of Recommended Practice.
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g) The Trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events and conditions that might cast significant doubt on the ability of the charity to continue as a going concern for a period of at least twelve months from the date of approval of these financial statements.
The Trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
| 2. GRANTS AND DONATIONS 2022 General £ TA First Translation - Gift aid for TA First Translation - Hawthornden Literary Retreat - Arts Council - Amazon - Drusilla Hervey 123,000 £123,000 |
2022 Designated £ - - - - - 27,150 £27,150 |
2022 Restricted £ 2,500 625 259,821 24,705 15,000 - £302,651 |
Total 2022 £ 2,500 625 259,821 24,705 15,000 150,150 £452,801 |
Total 2021 £ 3,500 2,508 - - - 100,000 |
|---|---|---|---|---|
| £106,008 |
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AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
3. INVESTMENT INCOME
| 2022 Unrestricted 2022 Designated £ £ NON GOVERNMENT BOND FUNDS ASC (Offshore) Global Fixed Interest Fund Z Income 599 1,062 ASC (Offshore) Sterling Fixed Interest Fund Z Income 366 742 MULTI ASSET CHARITY INVESTMENT FUNDS ASC Income Fund Z 2,849 6,238 Bank interest 5 20 £3,819 £8,062 4. CHARITABLE ACTIVITIES Unrestricted Designated £ £ Direct Awards paid - 2,750 Indirect Administration costs - 18,030 Accessibility Costs - - Project fees (including judges, freelancers) - 3,000 Awards ceremony - 2,400 Other Expenses 257 - Governance Independent examination fee 888 1,512 £1,145 £27,692 Unrestricted Designated £ £ Direct Awards paid - Indirect Administration costs 340 11,660 Other Expenses - - Governance Independent examination fee - 1,620 £340 £13,280 |
2022 Unrestricted 2022 Designated £ £ NON GOVERNMENT BOND FUNDS ASC (Offshore) Global Fixed Interest Fund Z Income 599 1,062 ASC (Offshore) Sterling Fixed Interest Fund Z Income 366 742 MULTI ASSET CHARITY INVESTMENT FUNDS ASC Income Fund Z 2,849 6,238 Bank interest 5 20 £3,819 £8,062 4. CHARITABLE ACTIVITIES Unrestricted Designated £ £ Direct Awards paid - 2,750 Indirect Administration costs - 18,030 Accessibility Costs - - Project fees (including judges, freelancers) - 3,000 Awards ceremony - 2,400 Other Expenses 257 - Governance Independent examination fee 888 1,512 £1,145 £27,692 Unrestricted Designated £ £ Direct Awards paid - Indirect Administration costs 340 11,660 Other Expenses - - Governance Independent examination fee - 1,620 £340 £13,280 |
2022 Restricted £ - - - - £- Restricted £ 3,000 17,700 970 11,950 2,400 - - |
Total 2022 Total 2021 £ £ 1,661 523 1,108 290 9,087 2,619 25 - £11,881 £3,432 Total 2022 Total 2021 £ £ 5,750 2,000 35,730 13,500 970 - 14,950 - 4,800 - 257 35 2,400 1,620 £64,857 £17,155 Total 2021 £ 2,000 13,500 35 1,620 £17,155 |
Total 2021 £ 523 290 2,619 - |
|---|---|---|---|---|
| £3,432 | ||||
| £1,145 £27,692 |
£36,020 | |||
| Unrestricted Designated £ £ - 340 11,660 - - - 1,620 |
Restricted £ 2,000 1,500 35 - |
|||
| £340 £13,280 |
£3,535 |
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AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
5. INVESTMENTS
| 2022 Cost Market value NON GOVERNMENT BOND FUNDS £ £ ASC (Offshore) Global Fixed Interest Fund Z Income ASC (Offshore) Sterling Fixed Interest Fund Z Income 56,262 47,992 55,295 45,442 MULTI ASSET CHARITY INVESTMENT FUNDS ASC Income Fund Z 430,577 404,506 Totals at – 31 December 2022 £542,134 £497,940 31 December 2021 £295,959 £308,206 6. MOVEMENT ON COST OF INVESTMENTS 2022 2021 £ £ £ £ Cost at 1 January 2022 295,959 - Additions ASC Income Fund Z 191,389 239,189 ASC (Offshore) Global Fixed Interest Fund Z Income 27,875 28,387 ASC (Offshore) Sterling Fixed Interest Fund Z Income 26,911 28,383 246,175 295,959 Cost at 31 December 2022 £542,134 £295,959 7. MOVEMENT IN MARKET VALUES OF INVESTMENTS 2022 2021 £ £ Market Value at the beginning of the year 308,206 - Additions 246,175 295,959 Investment Gains/(losses) (56,441) 12,247 189,734 308,206 Market Value at End of Year £497,940 £308,206 Unrealised gains/(losses) (56,441) 12,247 £(56,441) £12,247 |
2022 Cost Market value NON GOVERNMENT BOND FUNDS £ £ ASC (Offshore) Global Fixed Interest Fund Z Income ASC (Offshore) Sterling Fixed Interest Fund Z Income 56,262 47,992 55,295 45,442 MULTI ASSET CHARITY INVESTMENT FUNDS ASC Income Fund Z 430,577 404,506 Totals at – 31 December 2022 £542,134 £497,940 31 December 2021 £295,959 £308,206 6. MOVEMENT ON COST OF INVESTMENTS 2022 2021 £ £ £ £ Cost at 1 January 2022 295,959 - Additions ASC Income Fund Z 191,389 239,189 ASC (Offshore) Global Fixed Interest Fund Z Income 27,875 28,387 ASC (Offshore) Sterling Fixed Interest Fund Z Income 26,911 28,383 246,175 295,959 Cost at 31 December 2022 £542,134 £295,959 7. MOVEMENT IN MARKET VALUES OF INVESTMENTS 2022 2021 £ £ Market Value at the beginning of the year 308,206 - Additions 246,175 295,959 Investment Gains/(losses) (56,441) 12,247 189,734 308,206 Market Value at End of Year £497,940 £308,206 Unrealised gains/(losses) (56,441) 12,247 £(56,441) £12,247 |
2022 Cost Market value NON GOVERNMENT BOND FUNDS £ £ ASC (Offshore) Global Fixed Interest Fund Z Income ASC (Offshore) Sterling Fixed Interest Fund Z Income 56,262 47,992 55,295 45,442 MULTI ASSET CHARITY INVESTMENT FUNDS ASC Income Fund Z 430,577 404,506 Totals at – 31 December 2022 £542,134 £497,940 31 December 2021 £295,959 £308,206 6. MOVEMENT ON COST OF INVESTMENTS 2022 2021 £ £ £ £ Cost at 1 January 2022 295,959 - Additions ASC Income Fund Z 191,389 239,189 ASC (Offshore) Global Fixed Interest Fund Z Income 27,875 28,387 ASC (Offshore) Sterling Fixed Interest Fund Z Income 26,911 28,383 246,175 295,959 Cost at 31 December 2022 £542,134 £295,959 7. MOVEMENT IN MARKET VALUES OF INVESTMENTS 2022 2021 £ £ Market Value at the beginning of the year 308,206 - Additions 246,175 295,959 Investment Gains/(losses) (56,441) 12,247 189,734 308,206 Market Value at End of Year £497,940 £308,206 Unrealised gains/(losses) (56,441) 12,247 £(56,441) £12,247 |
|---|---|---|
| £308,206 | ||
| 12,247 | ||
| £12,247 |
6. MOVEMENT ON COST OF INVESTMENTS
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AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
8. CREDITORS AND ACCRUALS
| Investment Management Fees Professional Fees Accruals |
2022 £ 783 2,400 7,500 £10,683 |
2021 £ 655 1,620 3,000 |
|---|---|---|
| £5,275 |
9. RESTRICTED FUNDS
| TA Translation Prize The Hawthornden Literary Retreat Arts Council (ADCI Prize) Amazon (Translation Prize) Total |
Balance at 1 January 2022 Income Expenditure Balance at 31 December 2022 £ £ £ £ 2,473 3,125 (3,500) 2,098 - 259,821 (31,550) 228,271 - 24,705 (970) 23,735 - 15,000 - 15,000 |
|---|---|
| £2,473 £302,651 £(36,020) £269,104 |
The Hawthornden Literary Retreat restricted funds are to support the Paul Torday Memorial Prize, the Translation Prizes and the Imison Award for the next three years as well as a number of other projects. Expenditure commenced on the Paul Torday Memorial Prize and the Mental Health and Resilience Comic in the current year and expenditure will commence on the other Prizes and projects in 2023.
| Prior year TA Translation Prize Total |
Balance at 1 January 2021 Income Expenditure Balance at 31 December 2021 £ £ £ £ - 6,008 (3,535) 2,473 |
|---|---|
| £- £6,008 £(3,535) £2,473 |
9
AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
10. UNRESTRICTED FUNDS
| Designated Funds Volcano Prize ADCI Prize Drusilla Hervey General Fund Prior year Designated Funds Volcano Prize ADCI Prize General Fund |
Balance at 1 January 2022 Income £ £ 375,238 8,062 18,000 - - 27,150 |
Expenditure £ (24,930) (4,830) - |
Investment Gains/ (Losses) Transfers Balance at 31 December 2022 £ £ £ (42,531) - 315,839 - 13,170 - - 27,150 |
|---|---|---|---|
| 393,238 35,212 81,660 126,819 |
(29,760) (2,054) |
(42,531) - 356,159 (13,910) - 192,515 |
|
| £474,898 £162,031 |
£(31,814) | £(56,441) £- £548,675 |
|
| Balance at 1 January 2021 Income £ £ - 3,432 - 18,000 |
Expenditure £ (14,441) - |
Investment Gains/ (Losses) Transfers Balance at 31 December 2021 £ 12,247 374,000 375,238 - - 18,000 |
|
| 21,432 374,000 82,000 |
(14,441) (340) |
12,247 374,000 393,238 - (374,000) 81,660 |
|
| £374,000 £103,432 |
£(14,781) | £12,247 £- £474,898 |
11. NET ASSETS
| Fixed investments Net current assets Prior year Fixed investments Net current assets |
Unrestricted General Designated Restricted £ £ £ 183,533 314,407 - 8,982 41,752 269,104 £192,515 £356,159 £269,104 Unrestricted General Designated Restricted £ £ £ - 308,206 - 81,660 85,032 2,473 £81,660 £393,238 £2,473 |
2022 Total £ 497,940 319,838 |
|---|---|---|
| £817,778 | ||
| 2021 Total £ 308,206 169,165 |
||
| £477,371 |
12. TRUSTEES REMUNERATION
No Trustee received any remuneration in respect of their services as trustees during the year (2021: £0). No Trustees were reimbursed for our of pocket travelling expenses in the year (2021: none).
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AUTHORS’ AWARDS AND ADVANCEMENT
NOTES TO THE FINANCIAL STATEMENTS
YEAR ENDED 31[st] DECEMBER 2022
13. RELATED PARTY DISCLOSURES
The Society of Authors, which is a corporate Trustee of the charity, carried out management services for the charity and charged a management fee for the year amounting to £35,730 (2021: £13,500). There were no other related party transactions in the year.
The Hawthornden Literary Retreat grants totalling £259,821 were received by The Society of Authors from CAF America and regranted to the charity.
14. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| Income from: Grants and donations Investment income Total Income Expenditure on: Cost of generating funds Charitable activities Total Expenditure Net Income before investment gains/(losses) Net gains/(losses) on investments Net income/(expenditure) Transfers between funds Net Movement in Funds Total funds brought forward Total Funds Carried Forward |
Unrestricted General Unrestricted Designated Restricted Total Funds Funds Funds 2021 £ £ £ £ 82,000 18,000 6,008 106,008 - 3,432 - 3,432 |
|---|---|
| 82,000 21,432 6,008 109,440 |
|
| - 1,161 - 1,161 340 13,280 3,535 17,155 |
|
| 340 14,441 3,535 18,316 |
|
| 81,660 6,991 2,473 91,124 - 12,247 - 12,247 |
|
| 81,660 19,238 2,473 103,371 (374,000) 374,000 - - |
|
| (292,340) 393,238 2,473 103,371 374,000 - - 374,000 |
|
| £81,660 £393,238 £2,473 £477,371 |
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