RADSTOCK TRUST CIO
Trustees' Annual Report and Financial Statements For the Year Ended 31 December 2022
Charity Registration Nº 1190744
LEGAL AND ADMINISTRATIVE INFORMATION
| Trustees | Rosemary J Brown |
|---|---|
| Geoffrey T Coyne | |
| Eduardo J Harris | |
| Doris Humphrey | |
| Martin J Lacey | |
| Geoffrey R Norris | |
| Barrie Prebble (Chair) | |
| Peter R Rawson | |
| Secretary | John Harris |
| Charity Number | 1190744 |
| Principal Address | 9 Beechfield |
| Banstead | |
| Surrey | |
| SM7 3RG | |
| Independent Examiner | J Foxwell FCCA FCIE |
| 39 Enfield Road | |
| Poole | |
| BH15 3LJ | |
| Bankers | NatWest Bank plc |
| Wallington Branch | |
| 27 Woodcote Road | |
| Wallington | |
| SM6 0LN | |
| Investment Managers | BNY Mellon Fund Managers Ltd |
| Client Service Centre | |
| PO Box 366 | |
| Darlington | |
| DL1 9RF |
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CONTENTS
| Page | |
|---|---|
| Trustees' report | 1 - 2 |
| Independent examiner's report | 3 |
| Statement of financial activities | 4 |
| Balance sheet | 5 |
| Notes to the accounts | 6 - 9 |
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TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2022
The Trustees present their report and accounts for the year ended 31 December 2022.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the CIO’s constitution, the Charities Act 2011, and “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)”.
Structure, Governance and Management
The Radstock Trust CIO was registered on 6 August 2020 and is governed by its Constitution dated 6 August 2020. The assets of the Radstock (Eccleston Hall) Trust, an unincorporated charity (number 219013), were transferred to the Radstock Trust CIO on 31 December 2020. This transfer was approved by the Charity Commission for England and Wales and the two charities have been merged.
The Radstock (Eccleston Hall) Trust was set up by a Scheme Deed dated 11 January 1962 for the regulation of the Eccleston Hall charity which was set up on 30 June 1884. The Charity Commission issued an amendment Scheme dated 2 May 2007 and a Direction under clause 4(2) on 7 July 2015.
Trustees are appointed in accordance with the CIO’s constitution for a period of five years by a majority of Trustees voting at the time of appointment. All matters are decided by the majority of votes of the Trustees present and voting on the question. A minimum of at least three Trustees is required for a quorum dependent on the number of Trustees at the time.
The Trustees who served during the year were:
Rosemary J Brown Geoffrey T Coyne Eduardo J Harris Doris Humphrey Martin J Lacey Geoffrey R Norris Barrie Prebble (Chair) Peter R Rawson
Mr E J Harris is an employee of the charity Lifewords which benefits from the CIO’s grant funding. Mr Harris absents himself from the decision-making process when grants to the connected charity are discussed.
Objectives and Activities
The objects of the CIO are “furthering the study and dissemination of the Holy Scriptures and Protestant Evangelical doctrines”. The original Eccleston Hall charity was set up in 1884 to manage the endowment of a leasehold property known as Eccleston Hall. Following a fire in 1956 which destroyed Eccleston Hall, the Charity Commission issued a Scheme in 1962 to manage the property known as Radstock House which was erected on the site of the old Eccleston Hall. In 2007 the Trustees surrendered the lease on the property, an amendment to the Scheme Deed being first approved by the Charity Commission. This amendment allowed the sale proceeds from the property to be retained and invested as an Endowment in accordance with the original Scheme Deed. Following the Direction issued by the Charity Commission on 7 July 2015, the endowment designation was confirmed as being expendable. The dividends received from the investments are distributed as grants to Christian charities as set out in Note 2.
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TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
In 2016, following the Direction issued by the Charity Commission confirming that both the capital and income of the charity may be expended by the Trustees for the objects of the charity, the trustees carried out a strategy review and agreed to increase the level of annual grants to a sum representing approximately 5% of the value of the investments at the date of the review. Following the incorporation of the charity into a CIO the trustees reviewed this strategy and have continued making grants at this level, using income and releasing some capital as needed.
Achievements and Performance
During the prior period the Charity incorporated and the net assets totalling £8,023,517 were transferred on 31 December 2020 by way of a gift from the Radstock (Eccleston Hall) Trust, an unincorporated charity (number 219013). The Trustees have invested the Endowment Fund in the Newton Growth & Income Fund for Charities as a long-term investment. At the end of the year this investment showed cumulative unrealised gains of £563,391 (2021: £1,239,421). During the year there was a net expenditure of £962,149 (being income less expenditure plus recognised gains and losses) (2021: net income of £988,737). At the balance sheet date the Endowment Fund stood at £8,047,108 (2021: £9,009,593) and the General Fund stood at £2,997 (2021: £2,661). The position is considered satisfactory with the CIO being able to continue its objects in the forthcoming year from expected investment income and capital. The Trustees paid out grants totalling £497,000 (2021: £453,400).
Total funds of £8,050,105 are held at 31 December 2022, as on the balance sheet (2021: £9,012,254).
Reserves Policy
The Trustees’ Reserves Policy is to retain sufficient funds as a reserve to cover normal expenditure of the management of the CIO and to even out charitable donations as necessary. The balance of the General Fund at 31 December 2022 was £2,997, all of which is regarded as free reserves (2021: £2,661). Grants given each year are allocated to represent approximately 5% of the value of the investments.
Investment Policy
The Trustees wish to pursue on behalf of the charity an investment policy which provides a balance between income and capital growth with a medium level of risk over the longer term, thereby enabling the Trustees to meet their objectives in respect of the requirements of the charity. The Trustees are satisfied with the current return on capital.
Risk Policy
During the year the Trustees considered the major risks to which the charity is exposed and have reviewed those risks and established systems and procedures to manage those risks. The Trustees policy is to carry out a review of the risks at least once a year.
Public Benefit
The Trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2011 to have due regard to the Charity Commission’s general guidance on Public Benefit. The object of the CIO is to apply the income of the charity in furthering the study and dissemination of the Holy Scriptures and Protestant Evangelical doctrines. This is carried out by making grants to charitable organisations to fulfil the aims of the Trust.
On behalf of the Trustees
Barrie Prebble Chair of Trustees Date: 19 May 2023
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INDEPENDENT EXAMINER’S REPORT
TO THE TRUSTEES OF RADSTOCK TRUST CIO
I report on the accounts of the Radstock Trust CIO for the year ended 31 December 2022, which are set out on pages 4 to 9.
Responsibilities and basis of report
As the charity 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’).
I report in respect of my examination of the CIO’s accounts carried out 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
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
-
Accounting records were not kept in respect of the CIO as required by section 130 of the Act; or 2. The accounts do not accord with those records; or
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The accounts do not comply with the applicable requirement 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.
J Foxwell FCCA FCIE
39 Enfield Road Poole BH15 3LJ
Date: 29 June 2023
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STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 31 DECEMBER 2022
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Notes General Endowment Total Total
Fund Fund 2022 2021
£ £ £ £
Income and endowments from:
Investments
Dividends 184,103 184,103 189,190
TOTAL INCOME 184,103 - 184,103 189,190
Expenditure on:
Charitable activities 2 497,767 - 497,767 457,462
TOTAL EXPENDITURE 497,767 - 497,767 457,462
-
Net expenditure before transfers (313,664) (313,664) (268,272)
Gift on incorporation 10 - - - 8,023,517
-
Net (expenditure)/income (313,664) (313,664) 7,755,245
Other recognised gains and losses
-
Net (losses)/gains on investments (648,485) (648,485) 1,257,009
Net (expenditure)/income (313,664) (648,485) (962,149) 9,012,254
Transfers between funds 314,000 (314,000) - -
Net movement in funds 336 (962,485) (962,149) 9,012,254
Reconciliation of funds:
-
Total funds brought forward 2,661 9,009,593 9,012,254
Total funds carried forward 2,997 8,047,108 8,050,105 9,012,254
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BALANCE SHEET
AS AT 31 DECEMBER 2022
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Notes 2022 2021
Fixed Assets £ £
Investments 5 8,047,108 9,009,593
Total Fixed Assets 8,047,108 9,009,593
Current Assets
Cash at bank and in hand 3,497 3,136
Total Current Assets 3,497 3,136
Liabilities
Creditors: amounts falling due within one year 6 500 475
Net Current Assets 2,997 2,661
Total Assets less Current Liabilities 8,050,105 9,012,254
The funds of the charity:
Capital funds
Endowment fund 7 8,047,108 9,009,593
Income funds
General fund 7 2,997 2,661
Total Funds 8,050,105 9,012,254
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The notes on pages 6 to 9 form part of these accounts.
The accounts were approved by the Trustees on 15 May 2023 and signed on their behalf by:
Barrie Prebble Chair of Trustees
Date: 19 May 2023
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NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2022
1 Accounting policies
1.1 Basis of preparation
The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Charities Act 2011 and “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)”.
The CIO constitutes a public benefit entity as defined by FRS 102.
The Trustees consider that there are no material uncertainties about the CIO’s ability to continue as a going concern.
1.2 Incoming resources
Investment income is shown in these accounts on the accruals basis.
1.3 Resources expended
Grants payable are accounted for on the date of the payment and are paid to Christian charities in accordance with the terms of the CIO’s Constitution.
Investment management costs associated with the Endowment are charged to the fund or included in the price value of the unit trusts held.
1.4 Investments
Fixed asset investments are stated at market value at the accounting date. All unrealised gains and losses representing the change in value from the previous accounting date are charged against the appropriate fund.
1.5 Accumulated funds
The Endowment Fund of the Radstock (Eccleston Hall) Trust had been subject to a specific condition that the capital should not be distributed without prior written approval of the Charity Commission. However, in a Direction issued by the Charity Commission on 7 July 2015, the endowment designation was confirmed as being expendable.
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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
2 Expenditure
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2022 2021
£ £
Grants:
Lifewords 350,000 350,000
Naval & Military Bible Society 87,000 72,000
-
African Pastors Fellowship 10,000
Al Massira 10,000 5,000
Proclamation Zambia 10,000 5,000
-
Through the Roof 10,000
Wycliffe Bible Translators 10,000 10,000
Misc gifts not exceeding £9,999: 2 grants (2021: 5 grants) 10,000 11,400
Grants paid 497,000 453,400
Governance costs 500 3,840
Other costs - sundry expenses 267 222
Total expenditure on charitable activities 497,767 457,462
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Governance costs includes payments of £500 for independent examiner's fees (2021: £475) and £nil on legal costs (2021: £3,365).
3 Trustees
None of the Trustees (or any persons connected with them) received any remuneration during the year (2021: £nil). There were also no reimbursements for travelling and office expenses.
4 Employees
There were no employees during the reporting period or prior period.
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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
5 Fixed asset investments
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Listed
Investments
£
At 31 December 2021 9,009,593
Disposals (314,000)
Realised losses during the period (18,148)
Unrealised losses during the period (630,337)
Market value at 31 December 2022 8,047,108
Historical cost:
At 31 December 2021 7,770,172
Disposals (286,455)
Historical cost at 31 December 2022 7,483,717
Unrealised gains at 31 December 2022 563,391
Investment disposals
Disposals at historical cost 286,455
Unrealised gains at 31 December 2021 45,693
Disposals at opening book value 332,148
Realised losses in year (18,148)
Disposals during year 314,000
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Listed investments are represented by 5,149,819 units in Newton Growth & Income Fund for Charities at book value of £7,483,717 (2021: £7,770,172). The cumulative unrealised gains on these investments are £563,391 (2021: £1,239,421).
6 Creditors: amounts falling due within one year
| 2022 | 2021 | |
|---|---|---|
| £ | £ | |
| Accruals | 500 | 475 |
| Total Creditors | 500 | 475 |
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NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2022
7 Movement in funds
| Balance at | Incoming | Resources | Transfers | Realised | Unrealised | Balance at | |
|---|---|---|---|---|---|---|---|
| 31 December | resources | expended | losses | losses | 31 December | ||
| 2021 | in year | in year | 2022 | ||||
| £ | £ | £ | £ | £ | £ | ||
| Endowment | 9,009,593 | - | - | (314,000) | (18,148) | (630,337) | 8,047,108 |
| General | 2,661 | 184,103 | (497,767) | 314,000 | - | - | 2,997 |
| Total Funds | 9,012,254 | 184,103 | (497,767) | - | (18,148) | (630,337) | 8,050,105 |
The Endowment Fund represents capital funds held to earn income for the CIO and to be expended at the trustees’ discretion when appropriate. It is invested in long-term unit trusts.
The General Fund of the charity is held in short-term bank deposits.
8 Analysis of net assets between funds
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General Endowment Total
Fund Fund
£ £ £
Fund balances at 31 December 2022 are represented by:
Investments - 8,047,108 8,047,108
Current assets 3,497 - 3,497
-
Creditors: amounts falling due within one year (500) (500)
2,997 8,047,108 8,050,105
Unrealised gains included above:
On investments - 563,391 563,391
-
563,391 563,391
Reconciliation of movements in unrealised gains/losses
-
Unrealised gains at 31 December 2021 1,239,421 1,239,421
-
In respect of disposals in year (45,693) (45,693)
-
Losses on revaluations in year (630,337) (630,337)
-
Unrealised gains at 31 December 2022 563,391 563,391
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9 Related parties
Mr E J Harris is an employee of the charity Lifewords which benefits from the CIO’s grant funding. Mr Harris absents himself from the decision-making process when grants to the connected charity are discussed. During the year Lifewords received grants from the CIO of £350,000 (2021: £350,000).
10 Gift on incorporation
During the prior period the Charity incorporated and the net assets totalling £8,023,517 were transferred on 31 December 2020 by way of a gift from the Radstock (Eccleston Hall) Trust, an unincorporated charity (number 219013).
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