Charity no. 1194995
River Action UK Report and Unaudited Financial Statements
31 March 2022
River Action UK
Reference and administrative details
| For the period 29 June 2021 to 31 March 2022 | For the period 29 June 2021 to 31 March 2022 | |
|---|---|---|
| Charity number | 1194995 | |
| Registered office and | Pine House | |
| operational address | Chandlers Way | |
| Southend-on-Sea | ||
| Essex | ||
| SS2 5SE | ||
| Trustees | The trustees who served during the year and up to the date of this report | |
| were as follows: | ||
| Marina Gibson | appointed 1 January 2022 | |
| James Macpherson | appointed 29 June 2021 | |
| James Wallace | appointed 29 June 2021, resigned 16 May | |
| 2022 | ||
| Charles Watson | appointed 29 June 2021 | |
| Bankers | Lloyds Bank Plc | |
| Lewisham | ||
| London | ||
| Independent examiners | Godfrey Wilson Limited | |
| Chartered accountants and statutory auditors | ||
| 5th Floor Mariner House | ||
| 62 Prince Street | ||
| Bristol | ||
| BS1 4QD |
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River Action UK
Report of the trustees
For the period 29 June 2021 to 31 March 2022
Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Constitution and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
Objectives and activities
The objectives of the Charity to advance the education of the public in the conservation, protection and improvement of the physical and natural environment, in particular in relation to rivers and other bodies of water.
Its activities in its first year of existence have included conducting extensive research into some of the major causes of river pollution, launching a number of public campaigns to expose polluters and to promote appropriate remedies and the raising of funds. Donations and gift aid of £278,080 were receivable in this period.
To fulfil these objectives the Trustees will continue to take the necessary steps to raise awareness on river pollution and apply pressure on industrial and agricultural producers to take greater responsibility for remedying the adverse environmental impact their supply chains are having on the health of our UK rivers.
The Trustees hold Unrestricted and Restricted Funds and all those Unrestricted Funds are available to meet the Charity's objectives.
The Trustees have complied with s17(5) of Charities Act 2011 and have had due regard to the guidance on public benefit by the Charity Commission when exercising relevant powers or duties.
Achievements and performance
Since its foundation in 2021, the Charity has had a productive and successful year. By combining world class private sector campaigning expertise (founder & chair Charles Watson was formerly CEO of some of the world’s leading strategic communications agencies) with deep environmental expertise and best-in-class outsourced resourcing, River Action has become recognised as a unique and highly effective campaigning body within the wider environmental community. To date, a number of highly impactful and successful campaigns have been conducted to execute its stated objectives.
Headline achievements include:
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gathering an experienced and influential advisory board and an alliance of key rivers stakeholders to support the development of our campaigns;
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earning the trust of communities, key stakeholders from industry, conservation and government and positioning our small and agile Charity as a leading catalyst for rapid change through collaborative action;
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launching our first catchment specific campaign on the River Wye in England and Wales to expose the contribution the intensive poultry industry has been making to the river’s severe environmental collapse and mobilise public demand for change;
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supporting communities wishing to protect their rivers by providing advice, funding, communications and advocating for change in how their rivers are protected and managed;
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▪ convening groups of community stakeholders in the River Wye catchment including farmers, anglers, rowers, conservationists, developers and local government to discuss challenges and agree plans for protecting and restoring rivers;
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providing funding to community groups and citizen scientists to gather data as evidence of river pollution caused by farm nutrient run-off and resulting algal blooms;
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River Action UK
Report of the trustees
For the period 29 June 2021 to 31 March 2022
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engaging positively with farming and food industry businesses to inform and influence change in industrial practices, an effort which led to a large producer admitting culpability for their part in polluting the River Wye;
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advocating major pollution mitigation measures with the launch of the “Plan to Save the Wye” which has been submitted to key stakeholders and government ministers with the widespread endorsement of local and national environmental and conservation NGOs;
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developing an increasing online presence and high quality and inspiring content with increasing followers and contributors to local catchment-based action and national public opinion. From a standing start, the number of followers for the charity’s various social media channels now number several thousand and total number of social media impressions for the charity’s posted content exceed 100,000; and
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conducting a nationwide campaign – “Give Us Back Our Rivers” - to restore the environmental protection budgets of the UK’s Environmental Protection Agencies, which received the public support of almost 60,000 petition signatures, as well as creating widespread awareness of the systematic budget cuts to environmental protection in recent years.
The combined impact of these achievements has been to establish the charity as one of the leading independent campaigning organisations focussed on combating the existential environmental threats to the UK’s rivers. They have also given a voice to our beneficiaries and helped them engage with the perpetrators of pollution in their communities and the statutory regulatory bodies responsible for enforcing policy. There is a long way to go before Britain’s rivers are fully protected and restored, however, River Action’s first year has built a platform from which we can build a highly agile organisation skilled and resourced to both lead (top down) the national debate on saving our rivers and to support (bottom up) increasing numbers of river catchments and their communities. Together we will help them to build resilience to climate change, reverse localised wildlife extinctions and clean the water that feeds and fuels the local economy.
The Charity has successfully raised funds both from individual donors to cover its core costs and through crowdfunding campaigns, to finance specific projects such as funding citizen science initiatives and the creation of communications content.
Financial review
During the period ended 31 March 2022 the Charity had incoming resources of £278,080, expenditure of £211,411 and reserves of £66,669, all of which were unrestricted.
Reserves
The Trustees will continue to monitor the level of reserves. As the Charity enters its second year of existence, the Trustees will be working with its accountants to develop a Reserves Policy, which will be presented in its next annual accounts after considering any long-term commitments, of which there are none at present.
Risk management
The major risks to which the Charity is exposed, as identified by the Trustees, have been and continue to be reviewed and procedures established to mitigate those risks, which will be monitored on a regular basis by the Trustees.
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River Action UK
Report of the trustees
For the period 29 June 2021 to 31 March 2022
At present the single major risk the Charity is exposed to will be a failure to raise adequate funds to cover the costs of the Charity’s planned expansion. An interim CEO has been engaged to oversee this process and the risk is being monitored closely. The Trustees will not authorise any commitment to these expansion plans without having firm visibility of the successful raising of these funds.
The Charity’s Chairman has also made a personal commitment to provide further funding of up to £100,000 in the event of any immediate funding shortfall.
Plans for future periods
Following this successful first year the Trustees have agreed to embark upon an ambition to expand significantly the Charity’s scope of operations. These plans include the appointment of a CEO and small but talented team whose efforts will be leveraged through close partners; and a major fundraising drive and major expansion of campaigning activities.
A five-year strategy is being developed to guide our capacity-building and effectiveness of our work as a team and with collaborators to achieve our mission to protect and save rivers and wildlife in Britain. Three goals with associated objectives are being drafted at the time of writing (this is in draft form and may change further following Trustee approval):
Goal 1: Support local communities to restore and protect their rivers
Objectives:
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1.1 Equip: Support local communities by providing a toolkit - that includes mentoring, guidance, funding, communication and advocacy - to mobilise catchment activism and river restoration, building on the success of and lessons learnt from our first campaign relating to the River Wye Catchment; and
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1.2 Evidence: Working closely with citizen science groups and academic bodies, coordinating the collation and presentation of data to provide scientifically validated evidence of pollution levels in local rivers and their sources of origin.
Goal 2: Mobilise public demand to change policy and enforce protection of our rivers
Objectives:
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2.1 Inform: Raise public awareness of river pollution and habitat loss via all communication channels and high quality and inspiring content; and
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2.2 Pressure: Leverage public pressure on government and damaging industries through petitions and influencing consumer and voter behaviour.
Goal 3: Influence urgent Government policy and industry practice change
Objectives:
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3.1 Advocate: Lead Government policy change to adopt more ambitious environmental targets for river quality and restoration and to increase resources to ensure effective regulation enforcement to protect rivers; and
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3.2 Engage: Change the behaviour of the agricultural, water and other industries that cause river pollution to adopt nature and river-friendly practices that support the health of rivers and wildlife.
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River Action UK
Report of the trustees
For the period 29 June 2021 to 31 March 2022
We will build on this year’s successful River Wye campaign which has targeted pollution caused by the poultry farming, food processing and food retailing industries and the national failure of Government regulation. To achieve our strategy, we will replicate and scale our approach to locallyled conservation combined with national advocacy and communications by launching new campaigns, both catchment specific and national, across the nation. We will target other agricultural practices such as dairy production and intensive pig farming, biomass production for anaerobic digester consumption and non-environmentally compliant crop cultivation - as well as other industries such as the water industry and the devastating impact of sewage pollution in our rivers. In time we will consider targeting other industries that cause systemic damage to rivers.
This strategy is intended to result in systemic change across the country with local benefits to communities as Government agencies (e.g. Environment Agency, Natural Resources Wales, SEPA and DAERA) become sufficiently funded and start to enforce regulations and provide incentives to producers, processors, retailers and utilities that bring about urgent operational changes that help clean up our rivers and restore habitats.
Structure, governance and management
The Charity is a charitable incorporated organisation, registered charity number 1194995. The Charity was established by initial gifts from Founder & Chair Charles Watson. The Charity actively fundraises and seeks to carry out the work desired through the careful stewardship of its existing resources and ad hoc contributions.
There must be at least 2 Trustees and new Trustees shall be appointed by a Trustees' Resolution passed at a special meeting called under Clause 9.3.1 of the original Foundation Constitution. New Trustees shall be selected with regard to the skills, knowledge and experience needed for the effective administration of the Charity. If a vacancy occurs this shall be noted in the Trustees' Minutes at their next meeting.
Procedures have not been adopted for the induction and training of Trustees but all ensure they continue to operate within current guidelines by discussing all issues arising as advised by the Charity Commission.
The Trustees hold at least two ordinary meetings each year.
The Trustees who served during the period are as set out on page 1.
Statement of responsibilities of the trustees
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
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River Action UK
Report of the trustees
For the period 29 June 2021 to 31 March 2022
The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and the incoming resources and application of resources, including the net income or expenditure, of the charity for the year. In preparing those 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 accounting estimates that are reasonable and prudent;
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▪ state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which 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 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 charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The members of the charity have no liability to contribute to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
Independent examiners
Godfrey Wilson Limited were appointed as independent examiners to the charity during the period and have expressed their willingness to continue in that capacity.
Approved by the trustees on 15 July 2022 and signed on their behalf by
Charles Watson Chair
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Independent examiner's report
To the trustees of
River Action UK
I report to the trustees on my examination of the accounts of River Action UK (the CIO) for the period ended 31 March 2022, which are set out on pages 8 to 16.
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
Since the CIO’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the Institute of Chartered Accountants in England and Wales (ICAEW), which is one of the listed bodies.
Godfrey Wilson Limited also provides bookkeeping services to the CIO. I confirm that as a member of the ICAEW I am subject to the FRC’s Revised Ethical Standard 2016, which I have applied with respect to this engagement.
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:
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(1) 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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(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.
Date: 15 July 2022 Rob Wilson FCA Member of the ICAEW For and on behalf of: Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
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River Action UK
Statement of financial activities
For the period 29 June 2021 to 31 March 2022
| Restricted Unrestricted Note £ £ Income(and endowments) from: Donations and legacies 2 32,144 245,936 Total income(and endowments) 32,144 245,936 Expenditure on: Raising funds - 9,549 Charitable activities 32,144 169,718 Total expenditure 4 32,144 179,267 Net gains / (losses) on investments - - Net income / (expenditure) - 66,669 Transfers between funds - - Net movement in funds 5 - 66,669 Reconciliation of funds: Total funds brought forward - - Total funds carried forward - 66,669 |
2022 Total £ 278,080 |
|---|---|
| 278,080 | |
| 9,549 201,862 |
|
| 211,411 | |
| - | |
| 66,669 - |
|
| 66,669 - |
|
| 66,669 |
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 12 to the accounts.
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River Action UK
Balance sheet
As at 31 March 2022
| Note Current assets Debtors 9 Cash at bank and in hand Liabilities Creditors: amounts falling due within 1 year 10 Net current assets / (liabilities) Net assets / (liabilities) 11 Funds 12 Restricted funds Unrestricted funds General funds Total charity funds |
£ 32,811 48,202 81,013 (14,344) |
2022 £ 66,669 |
|---|---|---|
| 66,669 | ||
| - 66,669 |
||
| 66,669 |
Approved by the trustees on 15 July 2022 and signed on their behalf by
Charles Watson
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
1. Accounting policies
a) Basis of preparation
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
River Action UK 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 note.
b) Going concern basis of accounting
The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern.
c) Income
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.
Income received in advance of provision of a specified service is deferred until criteria for income recognition are met.
d) Donated services and facilities
Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item, is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), general volunteer time is not recognised.
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.
e) 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 bank.
f) Funds accounting
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.
g) Expenditure and irrecoverable VAT
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
h) Allocation of support and governance costs
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on as follows:
| ities based on as follows: | |
|---|---|
| 2022 | |
| Raising funds | 0.0% |
| Charitable activities | 100.0% |
i) Debtors
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
j) Cash at bank and in hand
Cash at bank and cash 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.
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
k) Creditors
Creditors and provisions are recognised where the charity 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.
l) 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 recognised at amortised cost using the effective interest method.
m) Foreign currency transactions
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.
n) Accounting estimates and key judgements
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
2. Income from donations and legacies
| Donations Gift aid Total income from donations and legacies |
Restricted £ £ 26,299 218,970 5,845 26,966 32,144 245,936 Unrestricted |
2022 Total £ 245,269 32,811 |
|---|---|---|
| 278,080 |
3. Government grants
The charity received no government grants during the period.
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
4. Total expenditure
| Total expenditure | ||||
|---|---|---|---|---|
| Administrators Fundraising platform fees Fundraisers Raising awareness and campaigning Computer and website Legal Accountancy Travel Grants payable (note 7) Sub-total Allocation of support and governance costs Total expenditure Total governance costs were £5,075 |
Raising funds £ - 799 8,750 - - - - - - 9,549 - 9,549 |
Charitable activities £ - - - 141,696 - - - - 32,144 173,840 28,022 201,862 |
Support and governance costs £ 13,953 - - - 2,839 6,000 5,075 155 - 28,022 (28,022) - |
2022 Total £ 13,953 799 8,750 141,696 2,839 6,000 5,075 155 32,144 |
| 211,411 - |
||||
| 211,411 | ||||
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
5. Net movement in funds
This is stated after charging:
| 2022 | |
|---|---|
| £ | |
| Trustees' remuneration | Nil |
| Trustees' reimbursed expenses | Nil |
| Independent examiner's fee: | |
| ▪Statutory audit (including VAT) | 1,800 |
| ▪Other services | - |
6. Staff costs and numbers
The key management personnel of the charity comprise the Trustees. The total employee benefits of the key management personnel were £nil.
2022 No. - Average head count
7. Grants payable Grants payable were made to the following institutions:
| Radnorshire Wildlife Trust | 2022 £ 32,144 |
|---|---|
| 32,144 |
8. Taxation
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
9. Debtors
| Gift aid | 2022 £ 32,811 |
|---|---|
| 32,811 |
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
10. Creditors : amounts due within 1 year
| Creditors : amounts due within 1 year | |
|---|---|
| Trade creditors Accruals |
2022 £ 3,400 10,944 |
| 14,344 |
Included within accruals are grant commitments of £5,845 to Radnorshire Wildlife Trust.
11. Analysis of net assets between funds
| Analysis of net assets between funds | |||
|---|---|---|---|
| Current assets Current liabilities Net assets at 31 March 2022 |
£ - - - Restricted funds |
£ 81,013 (14,344) 66,669 Unrestricted funds |
£ 81,013 (14,344) Total |
| 66,669 |
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River Action UK
Notes to the financial statements
For the period 29 June 2021 to 31 March 2022
12. Movements in funds
| Restricted funds Wye Valley Citizen Scientists Total restricted funds General funds Total unrestricted funds Total funds Unrestricted funds |
At 29 June 2021 £ - - - - - |
Income £ 32,144 32,144 245,936 245,936 278,080 |
£ (32,144) (32,144) (179,267) (179,267) (211,411) Expenditure |
£ - - - - - Transfers between funds |
£ - At 31 March 2022 |
|---|---|---|---|---|---|
| - | |||||
| 66,669 | |||||
| 66,669 | |||||
| 66,669 |
Purposes of restricted funds
Wye Valley Citizen Scientists
Campaign to secure funding for citizen science groups across the Wye catchment. The funds secured the procurement of vital river pollution testing equipment and to hire an analyst to administer the initiative and to assist in the collation and analysis of the data complied by the citizen scientist groups across the catchment.
13. Related party transactions
Charles Watson, a trustee and the founder of River Action UK, made donations to the charity of £138,889 during the period.
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