Charity registration number: 1192765
Belpech Charitable Trust
Annual Report and Financial Statements
for the period from 14 December 2020 to 30 September 2021
MG AUDIT SERVICES LTD Registered Auditors 166 College Road Harrow Middlesex HA1 1BH
Belpech Charitable Trust
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Trustees' Report | 2 to 6 |
| Independent Auditors' Report | 7 to 9 |
| Statement of Financial Activities | 10 |
| Balance Sheet | 11 |
| Cash Flow Statement | 12 |
| Notes to the Financial Statements | 13 to 19 |
Belpech Charitable Trust
Reference and Administrative Details
Chairman C R Bland Trustees M K G Stevens C R Bland J K A Bruin Bland D P H Owen H C Bland Dr J L Bland Principal Office 17 Gauden Road London SW4 6LR Charity Registration Number 1192765 Bankers Cater Allen Private Bank Santander House 9 Nelson Street Bradford BD1 5AN Auditor MG AUDIT SERVICES LTD Registered Auditors 166 College Road Harrow Middlesex HA1 1BH Accountants Berwyn Associates Suite 11, Claremont Business Centre 6-10 Claremont Road, Surrey KT6 4QU Investment advisers Whitefoord LLP 2nd Floor The Clove Building 4 McGuire Street London SE1 2NQ
Page 1
Belpech Charitable Trust
Trustees' Report
The trustees present the annual report together with the financial statements of the charity for the period ended 30 September 2021.
Background
The Belpech Trust was established in 2013 as a donor advised fund managed by the Charities Aid Foundation. Between 2013 and 2020, the Trust supported a wide variety of causes including refugees, homelessness, international development, incarcerated people, youth employment, social inclusion. In 2020, the Trust in addition provided additional support to charities responding to the effects of the pandemic. The total value of grants made from the CAF trust in 2020 was £71,624 .
In 2020 the decision was taken to move the Trust out of CAF and register it with the Charity Commission as an independent charity. Registration was achieved on 14 December 2020 in the name of the Belpech Charitable Trust (BCT).
The Reference and Administrative Details in the financial statements form part of the trustees’ annual report.
Charitable activities for the public benefit
The Trustees confirm that they have complied with the duty in Section 17 of the Charities Act 2011 and have taken due regard of the Charity Commission's general guidance on public benefit. This is achieved by making financial grants to charities in the UK and overseas who are working for the public benefit.
Charitable objectives
The BCT has the following objectives:
-
The relief of those in need, by reason of youth, age, ill health, disability, financial hardship or other
-
disadvantage
-
The prevention or relief of poverty
-
The relief of sickness and the preservation of health
• The promotion of social inclusion for the public benefit by preventing people from becoming socially excluded, relieving the need of those people who are socially excluded and assisting them to integrate into society
General activities
The BCT fulfils its objectives by making financial grants to UK registered charities. Recognising that small charity finances are often precarious, the trustees where possible, commit to multiyear support in order to help planning in beneficiary organisations. In most cases the BCT makes unrestricted grants, recognising the importance of core support.
The Trust’s aim is to make an impact in its chosen cause areas, working particularly with small and innovative charities. These organisations are small and tend to have little resource to devote to monitoring, evaluation and reporting to donors. The BCT therefore does not require extensive reporting on the application of its grants but focusses instead on pre-investment research and establishing good personal relationships through which to learn about and evaluate the impact of its grants.
Page 2
Belpech Charitable Trust
Trustees' Report
Strategies for achieving objectives
Following registration, BCT trustees agreed that the charity should narrow its focus and concentrate on two areas: refugees and people on release from prison. In the view of the trustees, both these groups constitute a huge wastage of human resources: a national recidivist rate in excess of 50% and a large number of young and qualified but unemployed refugees both represent a major waste of human potential. Alongside this focus, trustees decided to continue to give support to a small number of international development charities.
The trustees decided to continue the policy of focusing on small charities, the aim being to look for innovation and best practice and, where possible, to support partnership working.
The UK has an extraordinary number of charities, the vast majority of them being small. Most areas of need are addressed by multiple charitable organisations, often with overlapping remits. Coordination happens and best practice is circulated but small charities, resource constrained as they are, tend to operate in silos which make it difficult to look for partnerships and more effective ways of working. The BCT aims to help small charities to build their effectiveness.
Strategic overview
2020-21 was the start-up year for the BCT. For the previous seven years the predecessor CAF trust had provided grants of varying sizes to a wide range of UK and international causes. With the foundation of BCT as an independent charity came the establishment of a board of trustees, a formal governance structure and associated policies and a primary strategic focus on two specific areas of need in the UK: refugees and people coming out of prison.
The aim of the BCT in these areas is to support best practice and foster innovation. It also aims to ensure that its grant giving practices take account of the constrained circumstances in which small charities operate.
The BCT’s first year fell during the Covid-19 pandemic. Consequently, trustee meetings and contact with beneficiary charities were all carried out remotely.
Fundraising activities
There were no fundraising activities during the period since the reserve held by the BCT (which was mainly provided by one of the Trustees) was sufficient for the past and current requirements. This may be changed in the future.
Page 3
Belpech Charitable Trust
Trustees' Report
Grant making policy
All grants made by the trust are for charitable purposes and in accordance with the charitable objects set out in the Trust’s governing document. BCT trustees meet three times a year. At each meeting, individual trustees present candidates for future grants. These proposals must include:
-
indication of how the grant would meet the BCT’s charitable objects
-
specific purpose of a grant
-
track record of proposed receiving organisation
-
who would be responsible for managing spend of a grant
-
scale and duration of award
Decisions on awards: Grants can only be made if a minimum of two trustees are in support. Recipients of grants should normally be UK registered charities. Occasionally they can be charities registered in other countries. All grant recipients are subject to appropriate due diligence before award.
Each recipient organisation is required to sign a letter agreeing how the grant money will be spent and to produce an annual report outlining spend and impact. In order to minimise bureaucracy and process for small charities, the reporting and evaluation requirements are light and are supplemented by personal contact between receiving organisations and BCT trustees (visits, remote discussion, presentations)
Achievements and performance
During the period under review, the BCT made grants in accordance with the agreed priorities.
Support for people coming out of prison: The high rate of re-offending in the UK is largely because many people coming out of prison lack the qualifications to access employment. They also frequently have addiction, mental health, family disruption and other issues to deal with. They have few resources to draw on and limited access to state support. Early return to offending is a frequent consequence. The aim of BCT grants is to help charities with a proven record of effective support for people coming out of prison to enable them to build a life that avoids falling back into the criminal justice system. During the period unrestricted grants were provided to:
-
Prison Radio Association
-
StandOut
-
Margaret Carey Foundation
-
Prisoners Advice and Care Trust
Support for refugees: People arriving in the UK as refugees are employable and frequently have qualifications which are in demand in the UK employment market. They are keen to work and represent benefit to the UK as potential employees and taxpayers. But there are many barriers to employment, in particular housing, language skills, lack of familiarity with UK employment processes and lack of access to computer and communications technology. The BCT focus is on charities which provide support in these aspects to refugees who have achieved asylum status (and therefore have the right to work). During the period, unrestricted grants were provided to:
-
The Katherine Low Settlement
-
Young Roots
Page 4
Belpech Charitable Trust
Trustees' Report
Financial review
Income
Our income for the financial period in question was £2,316,427. The large majority of this was a transfer of funds originating as donations and legacies from the pre-existing CAF trust into the newly established charity. It can be categorised in this way:
Structure, governance and management
Constitution
The BCT is constituted under a Memorandum of Trust dated 10 December 2020 and is a registered charity (no 1192765).
Method of appointment of trustees
The management of the BCT is the responsibility of the trustees who are elected and appointed under the terms of the Governing document.
Organisational structure and decision-making
The BCT has no staff other than the trustees. The trustees are responsible for the management of the affairs of the BCT. They set the strategic direction, appoint the Chair (who is also a trustee) and provide financial and program oversight to the BCT. The trustees generally meet three times a year. (Covid-19 prevented meetings in person during 2020-2021. Meetings to discharge governance and strategic responsibilities were held virtually.)
Risk assessment
In line with requirements for trustees to undertake a risk assessment exercise and report on the same in their annual report, the trustees have looked at the risks that the Trust currently faces in Britain and have reviewed the measures already in place, or needing to be put in place, to deal with them. Having assessed the major risks to which the Trust is exposed, the trustees believe that by monitoring portfolio performance, by ensuring controls over key financial systems, and examining the operational and business risks faced by the Trust, they have established effective systems to mitigate those risks.
Page 5
Belpech Charitable Trust
Trustees' Report
Statement of Trustees' Responsibilities
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
The law applicable to charities requires the trustees to prepare financial statements for each financial period which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities 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
-
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 proper accounting records that 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 applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the Trust’s website (not yet created). Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Approved by the board of trustees of the charity on 28 July 2022 and signed on its behalf by:
......................................... C R Bland Chairman and Trustee
......................................... Dr J L Bland Trustee
Page 6
Belpech Charitable Trust
Independent Auditor's Report to the Members of Belpech Charitable Trust
Opinion
We have audited the financial statements of Belpech Charitable Trust (the 'charity') for the period from 14 December 2020 to 30 September 2021, which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
-
give a true and fair view of the state of the charity's affairs as at 30 September 2021 and of its results for the period then ended;
-
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-
have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:
-
the trustees use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or
-
the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
Page 7
Belpech Charitable Trust
Independent Auditor's Report to the Members of Belpech Charitable Trust
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.
We have nothing to report in respect of the following matters where the Charities Act 2011 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities (set out on page 6), the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditor’s responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
- Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Page 8
Belpech Charitable Trust
Independent Auditor's Report to the Members of Belpech Charitable Trust
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Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the charity’s internal control.
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Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.
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Conclude on the appropriateness of the trustees use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.
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Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
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Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the charity to express an opinion on the financial statements. We are responsible for the direction, supervision and performance of the charity audit. We remain solely responsible for our audit opinion.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
Use of our report
This report is made solely to the charity trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might state to the trustees those matters we are required to state to trustees in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
......................................
Gavin Fernandes FCA, CTA (Senior Statutory Auditor) For and on behalf of MG AUDIT SERVICES LTD, Statutory Auditor
166 College Road Harrow Middlesex HA1 1BH
28 July 2022
Page 9
Belpech Charitable Trust
Statement of Financial Activities for the Period from 14 December 2020 to 30 September 2021
| Note Income and Endowments from: Donations and legacies 2 Investment income 3 Total income Expenditure on: Raising funds 4 Charitable grants 5 Governance costs 6 Total expenditure Gains/losses on investment assets Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 11 |
Unrestricted funds £ 2,279,958 36,469 2,316,427 (7,099) (25,000) (10,625) (42,724) 124,594 2,398,297 - 2,398,297 |
Total 2021 £ 2,279,958 36,469 |
|---|---|---|
| 2,316,427 | ||
| (7,099) (25,000) (10,625) |
||
| (42,724) | ||
| 124,594 | ||
| 2,398,297 - |
||
| 2,398,297 |
All of the charity's activities derive from continuing operations during the above period.
Page 10
Belpech Charitable Trust
(Registration number: 1192765) Balance Sheet as at 30 September 2021
| Note Fixed assets Investments 9 Current assets Cash at bank and in hand Creditors: Amounts falling due within one year 10 Net current assets Net assets Funds of the charity: Unrestricted income funds Unrestricted funds Total funds 11 |
2021 £ 2,212,710 199,763 (14,176) |
|---|---|
| 185,587 | |
| 2,398,297 | |
| 2,398,297 | |
| 2,398,297 |
The financial statements on pages 10 to 19 were approved by the trustees, and authorised for issue on 28 July 2022 and signed on their behalf by:
| ......................................... | ......................................... |
|---|---|
| C R Bland | Dr J L Bland |
| Chairman and Trustee | Trustee |
Page 11
Belpech Charitable Trust
Cash Flow Statement for the Period from 14 December 2020 to 30 September 2021
| Note Cash flows from operating activities Net movement in funds Adjustments to cash flows from non-cash items Investment income 3 Revaluation of investments Working capital adjustments Increase in creditors 10 Net cash flows from operating activities Cash flows from investing activities Purchase of investments 9 Sale of investments Income from dividends 3 Net cash flows from investing activities Net increase in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period Reconciliation of net cash flow to movement in net funds Increase in cash Net funds/(debt) at 14 December 2020 Net funds at 30 September 2021 |
30 September 2021 £ 2,398,297 (36,469) (33,237) |
|---|---|
| 2,328,591 14,176 |
|
| 2,342,767 | |
| (3,830,028) 1,650,555 36,469 |
|
| (2,143,004) | |
| 199,763 - |
|
| 199,763 | |
| 199,763 - |
|
| 199,763 |
All of the cash flows are derived from acquisitions in the current financial period.
Page 12
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
1 Accounting policies
Company status
Belpech Charitable Trust is an unincorporated charity registered with the Charity Commission for England and Wales. Registered on 14th December 2020 and the Charity number:1192765.
The registered office address is 17 Gauden Road, London SW4 6LR.
Statement of compliance
The financial statements have been prepared 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) (effective 1 January 2015) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
Basis of preparation
Belpech Charitable 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 notes.
Going concern
The Trustees assess whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements. In forming their assessment, the Trustees have also given consideration to financial forecasts and business plans.
They have also given due consideration to the impact of the COVID-19 pandemic on its operations. The Trustees acknowledge the disruption caused by the pandemic to the charity's day-to-day operations and confirm that they do not consider this to be cause for material uncertainty in respect of the charity's ability to continue as a going concern.The trustees have considered that the charity has sufficient cash resources to continue for the foreseeable future, despite the current crisis.
The charity balance sheet as at 30 September 2021 reports net assets of £2,398,297. The Trustees also highlight that the investments carried within fixed assets of £2,212,710 are available to the Charitiy in order to meet working capital needs if required, and only invested in order to provide a better return on surplus funds which are not immediately needed.
The Trustees have therefore concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and to meet liabilities as they fall due for a period of at least 12 months following the Trustees' approval of these financial statements. Further commentary on the Trustees' assessment of going concern may be found within the Trustees' report accompanying the financial statements.
Income and endowments
Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.
Page 13
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
Donations and legacies
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be reliably measured.
Investment income
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield in the investment portfolio.
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 bank.
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Charitable grants
Charitable grants comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.
Irrecoverable VAT
Irrecoverable VAT is charged against the category of resources expended for which it was incurred.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Page 14
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
Fixed asset investments
Fixed asset investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Any change in fair value will be recognised in the statement of financial activities. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading “Gains/(losses) on investments” in the statement of financial activities. The charity does not acquire put options, derivatives or other complex financial instruments
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Creditors and provisions
Creditors and provisions are recognised where the Trust has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. Long term liabilities are discounted where the effect of discounting would be material to the accounts.
Foreign exchange
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date. Exchange gains and losses are recognised in the Statement of Financial Activities.
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 Trust and which have not been designated for other purposes. Designated funds comprise of unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
The investments revaluation reserve is an unrestricted fund and reflects the balance included within fixed asset investments which has arisen as a consequence of the cumulative impact of market value changes to the Trust's investment assets.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Trust for particular purposes. The costs of raising and administering such funds are charged against the specific fund. the aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
Page 15
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
Financial instruments
The Trust 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 Income from donations and legacies
| Donations and legacies; Donation through CAF Other donations |
2021 £ 2,063,259 216,699 |
|---|---|
| 2,279,958 |
3 Investment income
2021 £ Income from dividends; Dividend income from listed investments 36,469
4 Expenditure on raising funds
2021 £ Investment management costs 7,078
5 Charitable grants
The charitable grants were paid to different inititutations, to be used in carrying out supporting activities for people coming out of prison and supporting activities for refugees. Listed below are amounts paid to different inititutations.
| Prison Radio Association Katherine Low Settlement StandOut Margaret Carey Foundation Young Roots Prison Advice and Care Trust |
2021 £ 5,000 2,500 5,000 2,500 5,000 5,000 |
|---|---|
| 25,000 |
Page 16
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
6 Governance costs
| 6 Governance costs |
|
|---|---|
| Financial statements audit fees Legal and professional fees Other governance costs |
2021 £ 9,600 1,000 25 |
| 10,625 |
7 Trustees remuneration and expenses
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
8 Staff costs
There was no employee during the period. The charity incurred no costs in respect of travel, subsistence or meeting costs.
9 Fixed asset investments
Other investments
2021 £ 2,212,710
Page 17
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
Other investments
| Cost or Valuation Revaluation Additions Disposals At 30 September 2021 Net book value At 30 September 2021 |
Listed investments £ 33,237 3,830,028 (1,650,555) 2,212,710 2,212,710 |
Total £ 33,237 3,830,028 (1,650,555) |
|---|---|---|
| 2,212,710 | ||
| 2,212,710 |
10 Creditors: amounts falling due within one year
| Accruals 11 Funds Unrestricted funds General |
Balance at 14 December 2020 £ - |
Incoming resources £ (2,316,427) |
Resources expended £ Other recognised gains/(losses) £ 42,724 (124,594) |
2021 £ 14,176 |
|
|---|---|---|---|---|---|
| Balance at 30 September 2021 £ (2,398,297) |
12 Analysis of net assets between funds
| Fixed asset investments Current assets Current liabilities Total net assets |
Unrestricted funds General £ 2,212,710 199,763 (14,176) 2,398,297 |
Total funds £ 2,212,710 199,763 (14,176) |
|---|---|---|
| 2,398,297 |
Page 18
Belpech Charitable Trust
Notes to the Financial Statements for the Period from 14 December 2020 to 30 September 2021
13 Analysis of net funds
| 13 Analysis of net funds | |||
|---|---|---|---|
| Cash at bank and in hand Net debt |
At 14 December 2020 £ - - |
Cash flow £ 199,763 199,763 |
At 30 September 2021 £ 199,763 |
| 199,763 |
Page 19