2021-06-30-accounts

Charity number: 1185450

THE JAMES GRACE TRUST

UNAUDITED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2021

THE JAMES GRACE TRUST

CONTENTS

	Page
Reference and Administrative Details of the Charity, its Trustees and Advisers	1
Trustees' Report	2 - 5
Independent Examiner's Report	6 - 7
Statement of Financial Activities	8
Balance Sheet	9
Notes to the Financial Statements	10 - 19

THE JAMES GRACE TRUST

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 30 JUNE 2021

Trustees	Ian James Sutherland
	Christopher David Winfield
	Janet Grace Sutherland
	Jyotir Moy Banerjee
Charity registered number 1185450 Principal office 23 Mill Lane Saffron Walden Essex CB10 2AS Accountants Feltons Chartered Accountants Chartered Accountants 1 The Green London TW9 1PL Bankers Lloyds Bank Plc 120 Lewisham High Street Lewisham London SE13 6JG Investment Managers Brown Shipley & Co Ltd Richmond House 16-20 Regent Street Cambridge CB2 1DB

Page 1

THE JAMES GRACE TRUST

TRUSTEES' REPORT FOR THE YEAR ENDED 30 JUNE 2021

The Trustees present their annual report together with the financial statements of the charity for the year ended 30 June 2021. The financial statements have been prepared in accordance with 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 2015) and the Charities Act 2011.

Objectives and activities

a. Policies and objectives

The Charity's primary objectives are the advancement of the Christian faith within the United Kingdom and the world as the Charity Trustees may from time to time think fit and the relief of poverty and those in need by the way of financial hardship, ill-health, disability, unemployment, poor educational or skills attainment, and/or victims of war, natural disaster or catastrophe.

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

b. Activities undertaken to achieve objectives

The Trustees meet a minimum of twice a year to consider the payment of grants. Almost all grants are made to organisations already known to the Trustees. The Trustees always respond to unsolicited request for grants, explaining the Trustees' policy.

c. Grant-making policies

The Trust has established its grant making policy to achieve its objects for the public benefit.

The amount of work or number of projects that can be supported by the Trustees is necessarily limited to the amount of funds that are available for distribution each year. The Trustees have determined that the current priorities for funding are:

• The advancement of the Christian faith within local communities and across the world, but particularly in

• UK, Middle East and North Africa (“MENA”) and the Indian subcontinent.

• The relief of poverty within local communities and among the world’s deprived and needy peoples, with particular focus on UK, the Indian subcontinent and MENA or as determined by the Trustees from time to time and in accordance with this policy.

• The provision of education among the world’s deprived and needy peoples, with particular focus on UK,

• MENA and the Indian subcontinent or as determined by the Trustees from time to time and in accordance with this policy.

d. Main activities undertaken to further the charity's purposes for the public benefit

The Trustees monitor the activities of the Trust's beneficiaries through meetings and conversations, periodic reports and photographs. Normally, the Trustees would expect to visit projects outside the UK but, following Foreign Office advice to avoid non-essential international travel, no visits have taken place during the year.

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THE JAMES GRACE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Achievements and performance

a. Review of activities

In the financial year ended 30 June 2021 the trust distributed £74,000 (2020: £74,999) in grants. The Trust's income derives principally from donations and dividends and interest on its investments.

b. Investment policy and performance

The Trustees have appointed Brown Shipley to invest the Trust’s funds with the mandate to produce income for the Trust to meet its charitable objectives. The funds are invested in a wide range of equities and bonds. After two years, the Trustees will start to draw down funds from the portfolio with the aim of fully distributing its assets by 2031.

During the period, the portfolio increased in value by £100,316 (2020: impairment of £15,455) increasing its value to £610,982. This recovery reflects greater confidence in the world's economies, following the initial negative impact of the coronavirus pandemic.

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they have adopted the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

The financial result for the year and the financial state of affairs at 30 June 2021 are set out in the Statement of Financial Activities and the Balance Sheet. The unrestricted fund balance at 30 June 2021 amounted to £776,143 (2020: £645,491).

The Trustees provide their services free of all costs and the Trust has no employees. Its only running costs are governance costs and investment management fees. Since the long term objective is to fully distribute its remaining assets to charitable causes, the Trustees do not consider it necessary to have a formal reserves policy.

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THE JAMES GRACE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

c. Principal risks and uncertainties

As the Trust has no employees, property or clients and does not provide advice or services, the Trustees do not foresee any risks other than the synchronous death of all Trustees or the possibility of fraud by any of the Trustees. Since Trustees may not indemnify themselves against damages for fraud or negligence they see no need to safeguard against this risk.

The Trustees are well aware that they are choosing to deploy certain funds in regions of the world characterised by social, economic and political instability. They accept that these factors bring to the Trust an inescapable element of risk of loss of resources which is managed through active relationships with those involved.

The Trust’s portfolio of investments is exposed to a variety of commercial risks. These risks are managed by the Trust’s investment managers by maintaining a broad spread of investments.

Structure, governance and management

a. Constitution

The James Grace Trust was registered on the 23 September 2019, number 1185450, and is constituted under a Charitable Incorporated Organisation (CIO).

b. Methods of appointment or election of Trustees

There must be at least three Charity Trustees. Charity Trustees must be appointed by a resolution passed at a properly convened meeting of the Charity Trustees. In selecting individuals for appointment as Charity Trustees, the Charity Trustees must have regard to the skills, knowledge and experience needed for the effective administration of the CIO. All Charity Trustees must subscribe and adhere to, in belief and lifestyle, the Statement of Faith.

c. Financial risk management

The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks.

Plans for future periods

The Trustees plan to increase the total grants paid to beneficiaries in the coming year by starting to draw down funds from the Trust's investment portfolio. In line with the Trustees’ policy, these grants are expected to be awarded to organisations already known to the Trustees.

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THE JAMES GRACE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Statement of Trustees' responsibilities

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

The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles of the Charities SORP (FRS 102);

• make judgments and accounting estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements;

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the CIO - Association. 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 order of the members of the board of Trustees on 12 January 2022 and signed on their behalf by:

................................................ Ian James Sutherland Trustee

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THE JAMES GRACE TRUST

INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 30 JUNE 2021

Independent Examiner's Report to the Trustees of The James Grace Trust ('the charity')

I report to the charity Trustees on my examination of the accounts of the charity for the year ended 30 June 2021.

Responsibilities and Basis of Report

As the Trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').

I report in respect of my examination of the charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent Examiner's Statement

Your attention is drawn to the fact that the charity has prepared the accounts 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) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

I understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

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

1. accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or

2. the accounts do not accord with those records; or

3. 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 any 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.

This report is made solely to the charity's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the charity's Trustees those matters I am required to state to them in an Independent Examiner's Report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's Trustees as a body, for my work or for this report.

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THE JAMES GRACE TRUST

INDEPENDENT EXAMINER'S REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2021

Signed:

Richard Rhodes

Dated: 14 January 2022 Chartered Accountant

Feltons 1 The Green Richmond TW9 1PL

Page 7

THE JAMES GRACE TRUST

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 JUNE 2021

Note Income from: Donations and legacies 3 Investments 4 Total income Expenditure on: Raising funds Charitable activities 7 Total expenditure Net income before net gains/(losses) on investments Net gains/(losses) on investments Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward	Unrestricted funds 2021 £ 100,000 11,223 111,223 3,048 75,450 78,498 32,725 97,927 130,652 645,491 130,652 776,143	Total funds 2021 £ 100,000 11,223 111,223 3,048 75,450 78,498 32,725 97,927 130,652 645,491 130,652 776,143	Total funds 2020 £ 728,976 7,784 736,760 586 77,452 78,038 658,722 (13,231) 645,491 - 645,491 645,491

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 10 to 19 form part of these financial statements.

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THE JAMES GRACE TRUST

BALANCE SHEET AS AT 30 JUNE 2021

Note Fixed assets Investments 11 Current assets Debtors 12 Investments 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total assets less current liabilities Net assets excluding pension asset Total net assets Charity funds Restricted funds Unrestricted funds Total funds	1,026 44,669 120,666 166,361 (1,200)	2021 £ 610,982 610,982 165,161 776,143 776,143 776,143 - 776,143 776,143	1,326 133,500 36,763 171,589 (1,200)	2020 £ 475,102
				475,102 170,389
				645,491
				645,491
				645,491
				- 645,491
				645,491

The financial statements were approved and authorised for issue by the Trustees on 12 January 2022 and signed on their behalf by:

Ian James Sutherland

Trustee

The notes on pages 10 to 19 form part of these financial statements.

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

1. General information

The James Grace Trust is an organisation incorporated in the United Kingdom under the Charities Act 2011. The organisation is a Charity Incorporated Organisation, registered in England and Wales and in Scotland. The address of the registered office is 23 Mill Lane, Saffron Walden, Essex CB10 2AS.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with 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 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

The James Grace Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Income

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

2.3 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

2. Accounting policies (continued)

2.3 Expenditure (continued)

Expenditure on raising funds includes all expenditure incurred by the charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the charity's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

2.4 Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.

2.5 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of Financial Activities.

2.6 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.7 Cash at bank and in hand

Cash at bank and 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.

2.8 Liabilities and provisions

Liabilities are recognised when there is an obligation at the Balance Sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.

Liabilities are recognised at the amount that the charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

2. Accounting policies (continued)

2.9 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 with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.10 Fund accounting

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.

Investment income, gains and losses are allocated to the appropriate fund.

3. Income from donations and legacies

Unrestricted funds 2021 £ Donations 100,000 Unrestricted funds 2020 £ Donations 728,976	Total funds 2021 £ 100,000
	Total funds 2020 £ 728,976

4. Investment income

Unrestricted funds 2021 £ Income from investments 9,907 Investment income - interest receivable 1,316 11,223	Total funds 2021 £ 9,907 1,316
	11,223

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

4. Investment income (continued)

Income from investments Investment income - interest receivable	Unrestricted funds 2020 £ 7,143 641 7,784	Total funds 2020 £ 7,143 641
		7,784

5. Analysis of grants

Grants paid out Grants paid out	Grants to Institutions 2021 £ 74,000 Grants to Institutions 2020 £ 74,999	Total funds 2021 £ 74,000
		Total funds 2020 £ 74,999

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

6. Donations granted

Stichting Nijlvallei (formerly Vogelaar Donaties) Fountain of Life Oxford Centre for Mission Studies Interserve GB Caring for Life Life Association Stort Valley Schools Trust Saltmine Trust Ibex Capital Trust inHope Arab Vision Lighthouse Prayer Ministry Leavers Coulson Trust African Hope Learning Centre Zephaniah Music Trust Church Army Grant to individual Anglican International Development Maydwell Trust Anglican Consultative Council	2021 £ 12,000 10,000 - 4,000 8,000 10,000 4,000 4,000 3,000 2,000 2,000 2,000 - 2,000 2,000 1,000 1,000 3,000 3,000 1,000 74,000	2020 £ 15,999 13,000 10,000 7,000 6,000 5,000 4,000 3,000 3,000 2,000 2,000 2,000 1,000 1,000 - - - - - -
		74,999

7. Analysis of expenditure on charitable activities Summary by fund type

	Unrestricted	Total
	funds	funds
	2021	2021
	£	£
Grant making activities	75,450	75,450

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

8. Analysis of expenditure by activities

Grant making activities Grant making activities	Grant funding of activities 2021 £ 74,000 Grant funding of activities 2020 £ 74,999	Support costs 2021 £ 1,450 Support costs 2020 £ 2,453	Total funds 2021 £ 75,450
			Total funds 2020 £ 77,452

Analysis of support costs

Governance costs Bank charges Independent Examiner's remuneration	Grant making activities 2021 £ 78 172 1,200 1,450	Total funds 2021 £ 78 172 1,200
		1,450

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

8. Analysis of expenditure by activities (continued)

Analysis of support costs (continued)

Governance costs Bank charges Independent Examiner's remuneration	Grant making activities 2020 £ 1,128 125 1,200 2,453	Total funds 2020 £ 1,128 125 1,200
		2,453

9.

Independent examiner's remuneration

	2021	2020
	£	£
Fees payable to the charity's independent examiner for the independent
examination of the charity's annual accounts	1,200	1,200

10. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2020 - £NIL) .

During the year ended 30 June 2021, no Trustee expenses have been incurred (2020 - £NIL) .

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

11. Fixed asset investments

Cost or valuation At 1 July 2020 Additions Disposals Revaluations At 30 June 2021 At 1 July 2020 Reversal of impairments Net book value At 30 June 2021 At 30 June 2020 12. Debtors Due within one year Other debtors 13. Current asset investments Unlisted investments	2021 £ 1,026 1,026 2021 £ 44,669	Listed investments £ 490,556 165,057 (129,492) 84,861 610,982 15,455 (15,455) 610,982 475,101 2020 £ 1,326 1,326 2020 £ 133,500

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

14. Creditors: Amounts falling due within one year

	2021	2020
	£	£
Accruals and deferred income	1,200	1,200

15. Summary of funds

Summary of funds - current year

					Balance at
	Balance at 1			Gains/	30 June
	July 2020	Income	Expenditure	(Losses)	2021
	£	£	£	£	£
General funds	645,491	111,223	(78,498)	97,927	776,143

Summary of funds - prior year

				Balance at
			Gains/	30 June
	Income	Expenditure	(Losses)	2020
	£	£	£	£
General funds	736,760	(78,038)	(13,231)	645,491

16. Analysis of net assets between funds

Analysis of net assets between funds - current year

Unrestricted funds 2021 £ Fixed asset investments 610,982 Current assets 166,361 Creditors due within one year (1,200) Total 776,143	Total funds 2021 £ 610,982 166,361 (1,200)
	776,143

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THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2021

16. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior year

Fixed asset investments Current assets Creditors due within one year Total	Unrestricted funds 2020 £ 475,102 171,589 (1,200) 645,491	Total funds 2020 £ 475,102 171,589 (1,200) 645,491

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