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2022-06-30-accounts

Charity number: 1185450

THE JAMES GRACE TRUST

UNAUDITED

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2022

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 - 17

THE JAMES GRACE TRUST

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 30 JUNE 2022

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
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 2022

The Trustees present their annual report together with the financial statements of the charity for the year ended 30 June 2022. 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 2019) 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:

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.

Page 2

THE JAMES GRACE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2022

Achievements and performance

a. Review of activities

In the financial year ended 30 June 2022 the trust distributed £123,000 (2021: £74,000) 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. During the year, the Trust started to draw down funds to finance its charitable objectives. At the same time the individual holdings were all liquidated and the proceeds were reinvested in Brown Shipley’s managed fund, SVS Brown Shipley Growth Fund.

During the year, the portfolio suffered an impairment of £101,320 (2021: £100,316 gain). Some of this decline reflected the widespread fall in the value of equities in the second half of the year. However, the overall decline of -12.84% compared unfavourably with the decline of the benchmark index of -7.53%.

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 2022 are set out in the Statement of Financial Activities and the Balance Sheet. The unrestricted fund balance at 30 June 2022 amounted to £655,112 (2021: £776,143).

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.

Page 3

THE JAMES GRACE TRUST

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2022

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 maintain the total grants paid to beneficiaries in the coming year at approximately the same level as awarded in 2022. In line with the Trustees’ policy, these grants are expected to be paid to organisations and individuals already known to the Trustees.

Page 4

ThE JAIIES TRUST TRUSTEES. REpoKf (CoP￿INUED) FOR THE YEAR ENDED 30 JUNE 2022 Stat¢m•nt of Trust••s' rnsponslbllltl•s The Trustees are responsble preparTrJ the Trustees. Re￿￿ aTyJts finarKial sl8tements in a￿rf￿ce with aFWi¢able Law and UINted lQngJcth AuxKJntiryJ Stsnd¥ts (Unrbj lfjngdom Gen8ralty A￿ptEd Aecounting Practice). law applicable to tharilies in ETrJlaMI 8 wa￿ requ￿5 the TDJste8S to prepare finanual 51atements for h financHI which gNe a tru8 and fab" ViV4¥ of the state of affaws of the charity arKI of its incoming resourr aThJ appli(¥Don of re$￿Ir￿s, indLKliTrJ ts in(xwne exkHidriU￿ for that In prwriry Ihes6 fin8rrial ststements. the Trustees are requir8d to.. obserye the meth(xls and pthCip￿ of the Charities SORP (FPS 1(r21.' make j¥Jdgments and accounlirKJ estimates that are reasonable aThJ prudent state whether applicab￿ UK A￿nting StsThJards IFRS 1021 have been follovthy. subject to any material departures disdosed and in the rna￿3aJ statements" Pr8￿re the finan¢￿￿ stalements C￿ the wirwJ c(ffl¢grft unkn it is iiapprowats to presumè that the chanty ￿11 continue in business. Twstees are resF¥wble for kewDg ad¢4￿te rBcc¥ds thal aro suffiCi￿t to sh(w and 8xp18fn thè transactions and discbsg With reasona￿ accjjracy at Èny time the financial po&tion of the charity and enable them to ensurg that the fnancial statemerrts oynpty wrth the Charrtses Aet 2011. the Charity IA¢wunts and RetxMtsI Regulations 21X% and the PfDwsior6 of Ihe CIO- AsxKiation. Tlw are also responsible for safeguarding the a￿ts ofthe (arity am herth fortaknng r8asonatAe steps fty Ihe Weventi￿ arml detectb)n offraud and other iTregularthes. AFproved byorder of Ihe Mem1￿ ofthe tKArd (* Trustees on lo q. 8vJr￿J on thwr behair ty. lan James Suth8rfand Trustee Page 5

THE JAMES GRACE TRUST

INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 30 JUNE 2022

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 2022.

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.

Page 6

THE JAMES GRACE TRUST INDEPENDENT EXAMINER'S REPORT ICONTINUEDI FOR THE YEAR ENDED 30 JUNE 2022 Signed". Dated.. Richard Rhodes Chartered Accountant Feltons 1 The Gieen Richmond 91PL Page 7

THE JAMES GRACE TRUST

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 JUNE 2022

Note
Income from:
Donations and legacies
Investments
3
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net (expenditure)/income before net (losses)/gains
on investments
Net (losses)/gains on investments
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward
Unrestricted
funds
2022
£
98,596
9,840
108,436
3,439
124,708
128,147
(19,711)
(101,320)
(121,031)
776,143
(121,031)
655,112
Total
funds
2022
£
98,596
9,840
108,436
3,439
124,708
128,147
(19,711)
(101,320)
(121,031)
776,143
(121,031)
655,112
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

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

The notes on pages 10 to 17 form part of these financial statements.

Page 8

THE JAMES GRACE TRUST BALANCE SHEET AS AT 30 JUNE 2022 21122 2021 Flxèd 0s8ets Investmer)ts 633.081 610,982 633.081 610.982 Curr•nt a$3ets Debtors Investments Cash at bank a￿1 In hand 10 11 1.026 44,669 120,666 25.281 25,281 166,361 credit￿$. aft￿nts falling due WIt￿n (Th year 12 . 13.2501 (1.2￿) Ntt current ass•ts 21031 165.761 Total assets less currtnl liabilitl•s 655.112 776, 143 N•t assèts oxcluding ￿nsIOn asset 651112 776, 143 T¢ylal net ass•ts 6SS.112 776, 143 Charlty funils Restricted funds Unrestricted fijnds 654112 T16, 143 Total funds 655.112 776, 143 The financ5al statements apwov&l and aulhortsed kn iS￿e by thè Trustees on arKI signed on their beholf lan James Suthorland Thg notes pages 10 to 17 f￿M part cllhese fi￿81￿#al Staten￿ts. Page 9

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

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 October 2019), 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.

Page 10

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

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.

Page 11

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

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. Investment income

Unrestricted
funds
2022
£
Income from investments
9,691
Investment income - interest receivable
149
9,840
Total 2021
11,223
Total
funds
2022
£
9,691
149
9,840
11,223
Total
funds
2021
£
9,907
1,316
11,223

Page 12

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

4. Analysis of grants

Grants paid out
Grants paid out
Total 2021
Grants to
Institutions
2022
£
113,000
-
113,000
73,000
Grants to
Individuals
2022
£
-
10,000
10,000
1,000
Total
funds
2022
£
113,000
10,000
123,000
74,000
Total
funds
2021
£
73,000
1,000
74,000

5. Donations granted

Anglican International Development
Stichting Nijlvallei (formerly Vogelaar Donaties)
Fountain of Life
Life Association
Caring for Life
Anglican Consultative Council
African Hope Learning Centre
Interserve GB
Saltmine Trust
Ibex Capital Trust
inHope
Arab Vision
Lighthouse Prayer Ministry
Church Army
Stort Valley Schools Trust
Church Mission Society
Maydwell Trust
Zephaniah Music Trust
Grants to individuals
2022
£
28,000
15,000
13,000
11,000
9,000
8,000
6,000
4,000
4,000
3,000
2,000
2,000
2,000
2,000
2,000
2,000
-
-
10,000
123,000
2021
£
3,000
12,000
10,000
10,000
8,000
1,000
2,000
4,000
4,000
3,000
2,000
2,000
2,000
1,000
4,000
-
3,000
2,000
1,000
74,000

Page 13

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

6. Analysis of expenditure by activities

Grant making to institutions
Grants to individuals
Total 2021
Grant
funding of
activities
2022
£
113,000
10,000
123,000
74,000
Support
costs
2022
£
1,708
-
1,708
1,450
Total
funds
2022
£
114,708
10,000
124,708
75,450
Total
funds
2021
£
74,450
1,000
75,450

Analysis of support costs

Grant
making
activities
2022
£
Governance costs
78
Bank charges
344
Independent Examiner's remuneration
1,286
1,708
Total 2021
1,450
7.
Independent examiner's remuneration
Fees payable to the charity's independent examiner for the independent
examination of the charity's annual accounts
Total
funds
2022
£
78
344
1,286
1,708
1,450
2022
£
1,286
Total
funds
2021
£
78
172
1,200
1,450
2021
£
1,200

Page 14

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

8. Trustees' remuneration and expenses Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits_(2021 - £NIL)_.
During the year ended 30 June 2022, no Trustee expenses have been incurred_(2021 - £NIL)_.
9. Fixed asset investments
Listed
investments
£
Cost or valuation
At 1 July 2021 610,982
Additions 890,671
Disposals (741,508)
Revaluations (127,064)
At 30 June 2022 633,081
Net book value
At 30 June 2022 633,081
At 30 June 2021 610,982
10. Debtors
2022 2021
£ £
Due within one year
Other debtors - 1,026
- 1,026
11. Current asset investments
2022 2021
£ £
Unlisted investments - 44,669

Page 15

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

12. Creditors: Amounts falling due within one year

2022 2021
£ £
Accruals and deferred income 3,250 1,200

13. Summary of funds

Summary of funds - current year

General funds Balance at 1
July 2021
£
776,143
Balance at
1 July 2020
£
645,491
Income
£
108,436
Income
£
111,223
Expenditure
£
(128,147)
Expenditure
£
(78,498)
Gains/
(Losses)
£
(101,320)
Gains/
(Losses)
£
97,927
Balance at
30 June
2022
£
655,112
Balance at
30 June
2021
£
776,143
Summary of funds - prior year
General funds

14. Analysis of net assets between funds Analysis of net assets between funds - current year

Unrestricted
funds
2022
£
Fixed asset investments
633,081
Current assets
25,281
Creditors due within one year
(3,250)
Total
655,112
Total
funds
2022
£
633,081
25,281
(3,250)
655,112

Page 16

THE JAMES GRACE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 JUNE 2022

14. 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
2021
£
610,982
166,361
(1,200)
776,143
Total
funds
2021
£
610,982
166,361
(1,200)
776,143

Page 17