REGISTERED CHARITY NUMBER: 1195126
THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
(CHARITABLE INCORPORATED ORGANISATION)
REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
Hopper Williams & Bell Limited Chartered Accountants Highland House Mayflower Close Chandler's Ford Eastleigh Hampshire SO53 4AR
THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
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Report of the Trustees 1 to 4
Independent Examiner's Report 5
Statement of Financial Activities 6
Balance Sheet 7
Notes to the Financial Statements 8 to 10
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
REPORT OF THE TRUSTEES FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
The trustees present their report with the financial statements of the charity for the period 9 July 2021 to 30 April 2022. The trustees have adopted the provisions of 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).
OBJECTIVES AND ACTIVITIES
The Organisation's Objects are for the public benefit:
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a) To promote equality and diversity (within the legal profession) by advancing equality of opportunity for the study of the law at undergraduate level at any university, college or institute of higher or further education in such ways as the charity trustees think fit, in particular but not limited to the provision of grants, scholarships or maintenance allowances; to those in need by reason of youth, age, ill-health, hardship, disability, financial hardship or other disadvantage;
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b) To prevent or relieve poverty by promoting education to undergraduate level and by supporting existing charities and initiatives working to encourage social mobility and equality of opportunity within the legal profession, including but not limited to the provision of grants to such other charities and initiatives; and
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c) Such other charitable purposes as the Board in its absolute discretion from time to time thinks fit.
The charity provides grants to individuals who would otherwise be unable to afford to undertake higher or further education to undergraduate degree level. The charity will also promote undergraduate education in general to secondary school pupils in conjunction with existing charities. The charity's aim is to encourage more young people to consider an undergraduate degree as a realistic option and to provide the financial support for young people who would otherwise dismiss an undergraduate degree in law to be able to undertake a course of undergraduate study with a view to pursuing a career in law.
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
REPORT OF THE TRUSTEES FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
ACHIEVEMENT AND PERFORMANCE
Since the charity has been established, it has provided grants to nine scholars (three in the first year and six in the second). Each grant provides £15,000 per year to scholars in order to pay for university fees and other living expenses for three years of university. As the eligibility criteria for the grant is that students are from lower socio-economic backgrounds, the difference that the money has made to the beneficiaries is significant. Many of the beneficiaries would not have been able to afford to attend university if they had not received the grants or would have taken time out of their studies to work in order to afford student fees and materials for university. The grants have enabled the beneficiaries to be able to concentrate on their university degree and explore the benefits of university life. As well as this, the grant has enabled the beneficiaries to learn work-based skills and network with individuals within the profession. In terms of wider society benefits, the grants allow further access to the profession, increasing diversity in the legal profession.
Public benefit
The Trustees believe that the legal profession can be most effective when it reflects the diversity of the people it serves. They believe that justice is an equal human right and that those skilled to advise on the law and administer it should represent the multitude of different experiences and backgrounds found throughout England and Wales.
In setting our objectives and planning our activities the Trustees have carefully considered the Charity Commission's general guidance on public benefit.
The Trustees believe that:
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encouraging diversity and equality in the legal profession encourages a fairer society.
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the public as a whole, benefits when its professions are comprised of talented individuals from all social backgrounds. In particular, as the legal profession comes to represent diversity of experience and background more accurately, they anticipate that more people who have felt marginalised by the law will feel able to access legal professionals.
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all talented young people should have the opportunity to study and obtain an undergraduate degree and that a disadvantaged start in life should be no barrier to future success. They anticipate that there will be wider social benefits of talented young people from disadvantaged backgrounds being encouraged to study to fulfil their potential.
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higher or further education will start to become the norm for students from lower socio-economic backgrounds, so that all young people will feel that they have an equal right to study law, regardless of their circumstances.
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widening access to the law will result in a legal profession that better represents everyone.
FINANCIAL REVIEW
During its first period of operation, the charity recorded income of £407,000 in respect of donations from Stephenson Harwood LLP. Expenditure totalled £407,460, which was comprised of scholarship grants of £405,000 and support costs of £2,460.
Reserves policy
The charity has no operating running costs as the administration support, selection process and implementation are actioned by the Stephenson Harwood LLP future talent team free of charge under a service level agreement. Donations to the charity are made up to the funds gifted by the deed of gift and allocations of grants are always equal to the amount of money received. The LLP also commits to paying for additional running costs of the charity, such as insurance. Therefore, the charity does not need reserves.
Funds in deficit
At 30 April 2022, unrestricted general funds totalled a deficit of £460. This deficit was returned to a surplus after the end of the accounting period through further donations from Stephenson Harwood LLP.
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
REPORT OF THE TRUSTEES FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
FUTURE PLANS
The charity will continue on the same basis. There are no plans for material changes to the objectives or activities of the charity or the scale of the work that we do. We will likely offer scholarships to 5-6 scholars in 2023.
STRUCTURE, GOVERNANCE AND MANAGEMENT
The charity is a charitable incorporated organisation, governed by a constitution, and registered on 9 July 2021, with the charity having legal responsibility, rather than the trustees.
Vacancies arising on the retirement of Charity Trustees by rotation may be filled by a decision on the Voting Members present in person or by proxy at the annual general meeting.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
1195126
Principal address
Stephenson Harwood LLP 1 Finsbury Circus London EC2M 7SH
Trustees
G A Awosika (appointed 9.7.21) L M Childerley (appointed 9.7.21) N L K Chu (appointed 9.7.21) D S Hagen (appointed 9.7.21) D E J McDonald (appointed 9.7.21) R J Newman (appointed 9.7.21) M A Russell (appointed 9.7.21)
Independent Examiner
Hopper Williams & Bell Limited Chartered Accountants Highland House Mayflower Close Chandler's Ford Eastleigh Hampshire SO53 4AR
COMMENCEMENT OF ACTIVITIES
The Charitable Incorporated Organisation was registered on 9 July 2021 and awarded its first scholarships in respect of the academic year commencing on 1 September 2021.
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
REPORT OF THE TRUSTEES FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed 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 of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. 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 Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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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 business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to 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 trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the board of trustees on 27 February 2023 and signed on its behalf by:
L M Childerley - Trustee
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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
Independent examiner's report to the trustees of The Stephenson Harwood Charitable Foundation
I report to the charity trustees on my examination of the accounts of The Stephenson Harwood Charitable Foundation (the Trust) for the period 9 July 2021 to 30 April 2022.
Responsibilities and basis of report
As the charity trustees of the Trust 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 Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
Independent examiner's statement
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of Association of Chartered Certified Accountants which is one of the listed bodies.
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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accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
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the accounts do not accord with those records; or
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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.
Michaela Johns FCCA Association of Chartered Certified Accountants Hopper Williams & Bell Limited Chartered Accountants Highland House Mayflower Close Chandler's Ford Eastleigh Hampshire SO53 4AR
27 February 2023
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
STATEMENT OF FINANCIAL ACTIVITIES FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
| Unrestricted fund Notes £ INCOME AND ENDOWMENTS FROM Donations and legacies 2,000 EXPENDITURE ON Charitable activities Scholarships 2,460 NET INCOME/(EXPENDITURE) (460) TOTAL FUNDS CARRIED FORWARD (460) |
Restricted fund £ 405,000 405,000 - - |
Total funds £ 407,000 407,460 (460) (460) |
|---|---|---|
The notes form part of these financial statements
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
BALANCE SHEET 30 APRIL 2022
| Unrestricted fund Notes £ CURRENT ASSETS Debtors 6 - Cash at bank 1,940 1,940 CREDITORS Amounts falling due within one year 7 (2,400) NET CURRENT ASSETS/(LIABILITIES) (460) TOTAL ASSETS LESS CURRENT LIABILITIES (460) NET LIABILITIES (460) FUNDS 8 Unrestricted funds TOTAL FUNDS |
Restricted fund £ 360,000 - 360,000 (360,000) - - - |
Total funds £ 360,000 1,940 361,940 (362,400) (460) (460) (460) (460) (460) |
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The financial statements were approved by the Board of Trustees and authorised for issue on 27 February 2023 and were signed on its behalf by:
L M Childerley - Trustee
The notes form part of these financial statements
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Donations from Stephenson Harwood LLP in respect of scholarship payments are recognised at the point when the scholarship is awarded. Donations are receivable in three annual instalments per scholar.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Scholarship payments are recognised in full at the point when the scholarship is awarded, and are payable in three annual instalments.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
continued...
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
2. GRANTS PAYABLE
£ Scholarships 405,000
All scholarship grants are paid to individuals.
3. TRUSTEES' REMUNERATION AND BENEFITS
There were no trustees' remuneration or other benefits for the period ended 30 April 2022.
Trustees' expenses
There were no trustees' expenses paid for the period ended 30 April 2022.
4. STAFF COSTS
The charity had no employees during the period.
5. INDEPENDENT EXAMINATION FEES
The fee paid to the independent examiner for the examination of the accounts was £2,400, inclusive of VAT.
6. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Prepayments and accrued income CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors |
£ 360,000 |
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| £ 362,400 |
7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
continued...
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THE STEPHENSON HARWOOD CHARITABLE FOUNDATION
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE PERIOD 9 JULY 2021 TO 30 APRIL 2022
8. MOVEMENT IN FUNDS
| Unrestricted funds General fund TOTAL FUNDS Net movement in funds, included in the above are as follows: Unrestricted funds General fund Restricted funds Restricted funds TOTAL FUNDS |
Incoming resources £ 2,000 405,000 407,000 |
Net movement At in funds 30.4.22 £ £ (460) (460) (460) (460) Resources Movement expended in funds £ £ (2,460) (460) (405,000) - (407,460) (460) |
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Restricted funds represent donations from Stephenson Harwood LLP for the purpose of the award of scholarship grants.
9. RELATED PARTY DISCLOSURES
A trustee, L M Childerley, née Marks, is a member of Stephenson Harwood LLP. During the period, the charity recognised income of £407,000, of which £360,000 is included within debtors, in respect of donations receivable from Stephenson Harwood LLP under a deed of gift.
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