**REGISTERED CHARITY NUMBER: 1195329**
**Audited Financial Statements for the Period 28 July 2021 to 30 November 2022**
**for**
**Garment and Textile Workers Trust**
The Rowleys Partnership Ltd Statutory Auditors Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP
**Garment and Textile Workers Trust**
## **Contents of the Financial Statements for the Period 28 July 2021 to 30 November 2022**
||**Page**|
|---|---|
|**Reference and Administrative Details**|1|
|**Report of the Trustees**|2 to 5|
|**Report of the Independent Auditors**|6 to 9|
|**Statement of Financial Activities**|10|
|**Balance Sheet**|11|
|**Cash Flow Statement**|12|
|**Notes to the Cash Flow Statement**|13|
|**Notes to the Financial Statements**|14 to 18|
|**Detailed Statement of Financial Activities**|19|
## **Garment and Textile Workers Trust**
## **Reference and Administrative Details for the Period 28 July 2021 to 30 November 2022**
**TRUSTEES** D J Lindley (appointed 8.9.21) K M J McKeever (appointed 8.9.21) C Chung (appointed 8.9.21) T R Nelson (appointed 8.9.21) L Fonseca (appointed 8.9.21) (resigned 22.6.22) A C Tripney (appointed 8.9.21) **PRINCIPAL ADDRESS** The Smithy Sutton Lane Dingley Market Harborough Leicestershire LE16 8HL **REGISTERED CHARITY NUMBER** 1195329 **AUDITORS** The Rowleys Partnership Ltd Statutory Auditors Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP **BANKERS** HSBC 2-4 St Ann's Square Greater Manchester M2 7HD
Page 1
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
The trustees present their report with the financial statements of the charity for the period 28 July 2021 to 30 November 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).
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing document, 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 published in October 2019.
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The charity's objectives are to provide grants, donations and support for textile and garment workers located in and around Leicester.
## **Significant activities**
During this its first year of operation the Trust commissioned the Nottingham University Rights Lab and De Montfort University to undertake a review of the factors underpinning labour exploitation in Leicester's garment and textile industry. Its report 'Fashioning a Beautiful Future' was published in June 2022 and its findings and recommendations have formed the basis for the decisions by trustees about future funding priorities to address the ills identified in the report.
## **Public benefit**
Trustees are aware of the Charity Commission's guidance on public benefit and have taken it into account when considering any decisions that they make on behalf of the charity, not least funding decisions.
## **Grantmaking**
The Trust has yet to develop a policy on grant making but as a result of the Rights Lab report identified its initial funding priorities including English language and IT skills training, advocacy support and support to food banks. Trustees also agreed that, in the short term at least, the Trust would seek to work with established local grassroots organisations with a positive track record of delivery and engagement in the communities where many garment workers are drawn from.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
This report covers the first period of the Trust's operation during which time trustees considered amongst other matters the organisational support needed for it to deliver its charitable objectives. In addition to the Rights Lab report individual trustees attended public events and met with local organisations and persons as they considered the most appropriate way forward. As a result, it would later feel confident to make significant grants to local organisations with an established reputation for delivery to meet identified needs to deliver on three key priorities for our initial funding. These are provision of English Language training and education for garment workers, advocacy support to promote workers accessing and enforcing their rights and support to establish food banks situated in the garment and textile district to help workers with the cost-of-living crisis. During this time, trustees considered how best they could both support these organisations whilst being assured that they were delivering against the objectives and timetables agreed in the grant they received from the Trust.
Page 2
**Garment and Textile Workers Trust**
## **Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **ACHIEVEMENT AND PERFORMANCE**
## **Fundraising activities**
Whilst endowed initially by a significant one-off grant from boohoo Group plc trustees are mindful of the need to secure further funding. Discussions about both organisational support and fundraising would lead later to the engagement of an Engagement Manager whose role would include fundraising.
## **FINANCIAL REVIEW**
## **Financial position**
boohoo Group plc made an initial grant of £1 million to fund the work of the trust and a further contribution of £100,000 to meet 'set up' costs. These remain the trust's only source of income at this time.
The Trust ends its first period of operation with substantial reserves but anticipates being in a position to make decisions about the first tranche of donations to local community organisations in line with trustees' initial priorities and objectives. The balance of the startup funding received from boohoo Group plc will be held to fund ongoing organisational costs.
The total funds carried forward amounts to £991,909 of which £85,419 is the balance of the startup funding.
## **Investment policy and objectives**
The trustees are mindful of the impact of inflation on the Trust's capital reserves and are exploring options for ensuring the best return on remaining capital.
Looking forward the trustees' aim is to hold sufficient reserves in easy access building society accounts to fund the balance of the grants made in the first tranche of donations. The remaining reserves will be held in a number of longer notice interest earning accounts.
## **Going concern**
At this time the Trust is in a healthy financial position. Trustees have adopted a measured approach to future grant making having identified three clear initial priorities and with the realisation that to achieve the objectives and outcomes trustees desire a programme of targeted donations will likely be required over a number of years. This in turn will mean that the Trust will have to secure ongoing funding from external funders.
Early discussions by trustees identified a number of risks to its successful operation and the Trust's ability to deliver public benefit. The risks identified fall under four main headings: External, Financial, Operations and Partnerships. It is the intention of the trustees to develop an understanding of risks, not least by effective governance and management including a formal Risk Management policy.
## **FUTURE PLANS**
The trustees aim to develop their own governance arrangements to reflect 'best practice' and to strengthen and broaden the composition of the board. They recognise the importance of ensuring that the Trust's initial tranche of grant funding achieves the objectives that will be agreed with grantees. To this end trustees aim to recruit a person to develop links with grantees and work with them to achieve the outcomes best described in the Right Labs report 'Fashioning a Beautiful Future'. Securing further funding will be essential to achieving the Trust's overall objectives and these outcomes. Trustees recognise that it will be a priority to develop a suite of employment-related policies to support them in their role as employer.
Page 3
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The charity is controlled by its governing document formally adopted on 23 March 2022 and constitutes a Charitable Incorporated Organisation as registered with the Charity Commission on 28 July 2021.
## **Recruitment and appointment of new trustees**
Trustees are mindful that the Trusts governing document allows for there to be up to twelve trustees. With the current trustees appointed on the same date the existing trustees are keen to minimise the risk of all being obliged by the Trust governing document to step down at the same time whilst also widening the personal, skills and experience profile of trustees.
## **Organisational structure**
The Trust has enjoyed the benefit of pro bono secretariat and administrative support from Lowick, but trustees recognised that going forward such services will need to be put on a clearer i.e., fee-based service to cover the Trust's core functions. During this time accounting services have been provided to the Trust by Thornby Associates and it is anticipated that this will continue going forward. Trustees are of the view that these arrangements represent value for money and are appropriate for a Trust of this size. Trustees gratefully acknowledge the support from these organisations and for their help and guidance during this the Trust's first period. Trustees want also to acknowledge the pro bono legal advice and assistance they have received form Jade Saunders.
Trustees each have a network of contacts and knowledge of local organisations operating in the area. It will be their intention to seek to employ a suitably experienced person to engage with grantees and other organisations.
## **Related parties**
Trustees give of their time freely and no trustee remuneration was paid in the year. Details of trustee expenses and related party transactions are disclosed in note 12 to the accounts.
Trustees are required to disclose all relevant interests and if necessary to withdraw from discussions and decisions where a conflict of interest might arise. Declaration of Interest is a standing item on the agenda for Trust meetings.
## **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) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
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
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
Page 4
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued**
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 14 September 2023 and signed on its behalf by:
K M J McKeever - Trustee
Page 5
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Opinion**
We have audited the financial statements of Garment and Textile Workers Trust (the 'charity') for the period ended 30 November 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 30 November 2022 and of its incoming resources and application of resources, for the period then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; 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 Auditors' 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**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **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 Report of the Independent Auditors 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.
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 this gives rise to a material misstatement in the financial statements themselves. 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.
Page 6
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- 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, the trustees are responsible for the preparation of the financial statements which 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.
Page 7
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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 a Report of the Independent Auditors 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- We obtained an understanding of the legal and regulatory frameworks that are applicable to the charity and determined that the most significant which are directly relevant to specific assertions in the financial statements are those related to the financial reporting frameworks (UK Generally Accepted Accounting Practice, Charities Act) and the relevant tax compliance regulations in the jurisdiction in which the charity operates;
- We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or whether they had any knowledge of actual, suspected or alleged fraud;
-
- Our testing considered unusual or unexpected journal entries on a sample basis;
- We evaluated the assumptions and judgements used by management within significant accounting estimates and assessing if these indicate evidence of management bias;
- We tested significant transactions, in particular the evaluation of the business rationale for any which appear unusual or outside the charity's normal course of business;
- We assessed the appropriateness of the collective competence and capabilities of the engagement team by understanding the practical experience with audit engagements of a similar nature and complexity, plus ensuring the team had appropriate and relevant training of the financial reporting framework and the relevant tax compliance regulations specific to the entity.
- We reviewed the financial statements and tested the disclosures against supporting documentation;
- We communicated relevant matters to all members of the audit team to ensure they understood the risks specific to the entity and the audit procedures planned to mitigate these.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
Page 8
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them 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 the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
The Rowleys Partnership Ltd Statutory Auditors Eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 Chartered Accountants
Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP
Date: 15 September 2023
Page 9
## **Garment and Textile Workers Trust**
## **Statement of Financial Activities for the Period 28 July 2021 to 30 November 2022**
|||Unrestricted|
|---|---|---|
|||fund|
||Notes|£|
|**INCOME AND ENDOWMENTS FROM**|||
|Donations and legacies|3|1,100,000|
|**EXPENDITURE ON**|||
|**Charitable activities**|4||
|Research||79,170|
|Grant giving||28,921|
|**Total**||108,091|
|**NET INCOME**||991,909|
|**TOTAL FUNDS CARRIED FORWARD**||991,909|
The notes form part of these financial statements
Page 10
## **Garment and Textile Workers Trust**
## **Balance Sheet 30 November 2022**
|||Unrestricted|
|---|---|---|
|||fund|
||Notes|£|
|**CURRENT ASSETS**|||
|Cash at bank||1,011,330|
|**CREDITORS**|||
|Amounts falling due within one year|10|(19,421)|
|**NET CURRENT ASSETS**||991,909|
|**TOTAL ASSETS LESS CURRENT LIABILITIES**||991,909|
|**NET ASSETS**||991,909|
|**FUNDS**|11||
|Unrestricted funds||991,909|
|**TOTAL FUNDS**||991,909|
The financial statements were approved by the Board of Trustees and authorised for issue on 14 September 2023 and were signed on its behalf by:
K M J McKeever - Trustee
The notes form part of these financial statements
Page 11
## **Garment and Textile Workers Trust**
## **Cash Flow Statement for the Period 28 July 2021 to 30 November 2022**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash provided by operating activities
**Change in cash and cash equivalents**
**in the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end**
**of the reporting period**|£
1,011,330
1,011,330
1,011,330
-
1,011,330|
|---|---|
The notes form part of these financial statements
Page 12
**Garment and Textile Workers Trust**
## **Notes to the Cash Flow Statement for the Period 28 July 2021 to 30 November 2022**
|**1.**
**RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES**
**Net income for the reporting period (as per the Statement of**
**Financial Activities)**
**Adjustments for:**
Increase in creditors
**Net cash provided by operations**|
£
991,909
19,421
1,011,330|
|---|---|
**2. ANALYSIS OF CHANGES IN NET FUNDS**
|**Net cash**
Cash at bank
**Total**|At 28.7.21
£
-
-
-|Cash flow
£
1,011,330
1,011,330
1,011,330|At 30.11.22
£
1,011,330
1,011,330
1,011,330|
|---|---|---|---|
The notes form part of these financial statements
Page 13
**Garment and Textile Workers Trust**
**Notes to the Financial Statements for the Period 28 July 2021 to 30 November 2022**
## **1. CHARITY INFORMATION**
Garment and Textile Workers Trust is a Charitable Incorporated Organisation registered with the Charity Commission for England and Wales. The address of the registered office is The Smithy, Sutton Lane, Dingley, Market Harborough, Leicestershire LE16 8HL.
The charity was registered on 28 July 2021 and these financial statements represent the results of the first accounting period.
## **2. 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.
## **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.
## **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.
continued...
Page 14
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **2. ACCOUNTING POLICIES - continued**
## **Going concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from the date of approving these financial statements. The budgeted income and expenditure is sufficient with the level of reserves, for the charity to be able to continue as a going concern.
## **Financial instruments**
The charity only has financial assets and 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.
## **Cash at bank**
Cash at bank includes short term highly liquid investments with a short maturity of three months or less from the date of acquisition on opening of the deposit or similar account.
## **Debtors and creditors receivable/payable within one year**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
## **3. DONATIONS AND LEGACIES**
|Donations|£
1,100,000|
|---|---|
## **4. CHARITABLE ACTIVITIES COSTS**
|Research
Grant giving|Direct
Costs (see
note 5)
£
79,170
-
79,170|Grant
funding of
activities
(see note
6)
£
-
6,000
6,000|Support
costs (see
note 7)
£
-
22,921
22,921|Totals
£
79,170
28,921
108,091|
|---|---|---|---|---|
continued...
Page 15
**Garment and Textile Workers Trust**
## **Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
|**5.**
**DIRECT COSTS OF CHARITABLE ACTIVITIES**
Project expenses
**6.**
**GRANTS PAYABLE**
Grant giving
**7.**
**SUPPORT COSTS**
Governance
Management
costs
£
£
Grant giving
14,581
8,340
Support costs, included in the above, are as follows:
Travelling
Conference attendance
Internet charges
Computer and software
Insurance
Subscriptions
Marketing
Auditors' remuneration
**8.**
**AUDITORS' REMUNERATION**
Fees payable to the charity's auditors for the audit of the charity's
financial statements|£
79,170
£
6,000
Totals
£
22,921
Grant
giving
£
820
6,000
2,959
79
643
3,780
300
8,340
22,921
£
8,340|
|---|---|
|||
The amount payable to the auditor was £8,340, including £7,020 for audit services and £1,320 for other services.
continued...
Page 16
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **9. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the period ended 30 November 2022.
## **Trustees' expenses**
There were no trustees' expenses paid for the period ended 30 November 2022.
## **10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Accrued expenses
**MOVEMENT IN FUNDS**
**Unrestricted funds**
General fund
**TOTAL FUNDS**|Net
movement
in funds
£
991,909
991,909|£
19,421
At
30.11.22
£
991,909
991,909|
|---|---|---|
## **11. MOVEMENT IN FUNDS**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
1,100,000
1,100,000|Resources
expended
£
(108,091)
(108,091)|Movement
in funds
£
991,909
991,909|
|---|---|---|---|
continued...
Page 17
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **12. RELATED PARTY DISCLOSURES**
One of the trustees, K M J McKeever, is the managing director of Lowick Group Ltd. During the period, £16,675 of costs were paid by Lowick Group Ltd on behalf of the charity. These costs have now been reimbursed by the charity and there were no balances outstanding at the year end.
Page 18
**Garment and Textile Workers Trust**
## **Detailed Statement of Financial Activities for the Period 28 July 2021 to 30 November 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Project expenses
Grants to institutions
**Support costs**
**Management**
Travelling
Conference attendance
Internet charges
Computer and software
Insurance
Subscriptions
Marketing
**Governance costs**
Auditors' remuneration
Total resources expended
**Net income**|£
1,100,000
1,100,000
79,170
6,000
85,170
820
6,000
2,959
79
643
3,780
300
14,581
8,340
108,091
991,909|
|---|---|
This page does not form part of the statutory financial statements
Page 19
**REGISTERED CHARITY NUMBER: 1195329**
**Audited Financial Statements for the Period 28 July 2021 to 30 November 2022**
**for**
**Garment and Textile Workers Trust**
The Rowleys Partnership Ltd Statutory Auditors Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP
**Garment and Textile Workers Trust**
## **Contents of the Financial Statements for the Period 28 July 2021 to 30 November 2022**
||**Page**|
|---|---|
|**Reference and Administrative Details**|1|
|**Report of the Trustees**|2 to 5|
|**Report of the Independent Auditors**|6 to 9|
|**Statement of Financial Activities**|10|
|**Balance Sheet**|11|
|**Cash Flow Statement**|12|
|**Notes to the Cash Flow Statement**|13|
|**Notes to the Financial Statements**|14 to 18|
|**Detailed Statement of Financial Activities**|19|
## **Garment and Textile Workers Trust**
## **Reference and Administrative Details for the Period 28 July 2021 to 30 November 2022**
**TRUSTEES** D J Lindley (appointed 8.9.21) K M J McKeever (appointed 8.9.21) C Chung (appointed 8.9.21) T R Nelson (appointed 8.9.21) L Fonseca (appointed 8.9.21) (resigned 22.6.22) A C Tripney (appointed 8.9.21) **PRINCIPAL ADDRESS** The Smithy Sutton Lane Dingley Market Harborough Leicestershire LE16 8HL **REGISTERED CHARITY NUMBER** 1195329 **AUDITORS** The Rowleys Partnership Ltd Statutory Auditors Chartered Accountants Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP **BANKERS** HSBC 2-4 St Ann's Square Greater Manchester M2 7HD
Page 1
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
The trustees present their report with the financial statements of the charity for the period 28 July 2021 to 30 November 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).
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing document, 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 published in October 2019.
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The charity's objectives are to provide grants, donations and support for textile and garment workers located in and around Leicester.
## **Significant activities**
During this its first year of operation the Trust commissioned the Nottingham University Rights Lab and De Montfort University to undertake a review of the factors underpinning labour exploitation in Leicester's garment and textile industry. Its report 'Fashioning a Beautiful Future' was published in June 2022 and its findings and recommendations have formed the basis for the decisions by trustees about future funding priorities to address the ills identified in the report.
## **Public benefit**
Trustees are aware of the Charity Commission's guidance on public benefit and have taken it into account when considering any decisions that they make on behalf of the charity, not least funding decisions.
## **Grantmaking**
The Trust has yet to develop a policy on grant making but as a result of the Rights Lab report identified its initial funding priorities including English language and IT skills training, advocacy support and support to food banks. Trustees also agreed that, in the short term at least, the Trust would seek to work with established local grassroots organisations with a positive track record of delivery and engagement in the communities where many garment workers are drawn from.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
This report covers the first period of the Trust's operation during which time trustees considered amongst other matters the organisational support needed for it to deliver its charitable objectives. In addition to the Rights Lab report individual trustees attended public events and met with local organisations and persons as they considered the most appropriate way forward. As a result, it would later feel confident to make significant grants to local organisations with an established reputation for delivery to meet identified needs to deliver on three key priorities for our initial funding. These are provision of English Language training and education for garment workers, advocacy support to promote workers accessing and enforcing their rights and support to establish food banks situated in the garment and textile district to help workers with the cost-of-living crisis. During this time, trustees considered how best they could both support these organisations whilst being assured that they were delivering against the objectives and timetables agreed in the grant they received from the Trust.
Page 2
**Garment and Textile Workers Trust**
## **Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **ACHIEVEMENT AND PERFORMANCE**
## **Fundraising activities**
Whilst endowed initially by a significant one-off grant from boohoo Group plc trustees are mindful of the need to secure further funding. Discussions about both organisational support and fundraising would lead later to the engagement of an Engagement Manager whose role would include fundraising.
## **FINANCIAL REVIEW**
## **Financial position**
boohoo Group plc made an initial grant of £1 million to fund the work of the trust and a further contribution of £100,000 to meet 'set up' costs. These remain the trust's only source of income at this time.
The Trust ends its first period of operation with substantial reserves but anticipates being in a position to make decisions about the first tranche of donations to local community organisations in line with trustees' initial priorities and objectives. The balance of the startup funding received from boohoo Group plc will be held to fund ongoing organisational costs.
The total funds carried forward amounts to £991,909 of which £85,419 is the balance of the startup funding.
## **Investment policy and objectives**
The trustees are mindful of the impact of inflation on the Trust's capital reserves and are exploring options for ensuring the best return on remaining capital.
Looking forward the trustees' aim is to hold sufficient reserves in easy access building society accounts to fund the balance of the grants made in the first tranche of donations. The remaining reserves will be held in a number of longer notice interest earning accounts.
## **Going concern**
At this time the Trust is in a healthy financial position. Trustees have adopted a measured approach to future grant making having identified three clear initial priorities and with the realisation that to achieve the objectives and outcomes trustees desire a programme of targeted donations will likely be required over a number of years. This in turn will mean that the Trust will have to secure ongoing funding from external funders.
Early discussions by trustees identified a number of risks to its successful operation and the Trust's ability to deliver public benefit. The risks identified fall under four main headings: External, Financial, Operations and Partnerships. It is the intention of the trustees to develop an understanding of risks, not least by effective governance and management including a formal Risk Management policy.
## **FUTURE PLANS**
The trustees aim to develop their own governance arrangements to reflect 'best practice' and to strengthen and broaden the composition of the board. They recognise the importance of ensuring that the Trust's initial tranche of grant funding achieves the objectives that will be agreed with grantees. To this end trustees aim to recruit a person to develop links with grantees and work with them to achieve the outcomes best described in the Right Labs report 'Fashioning a Beautiful Future'. Securing further funding will be essential to achieving the Trust's overall objectives and these outcomes. Trustees recognise that it will be a priority to develop a suite of employment-related policies to support them in their role as employer.
Page 3
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The charity is controlled by its governing document formally adopted on 23 March 2022 and constitutes a Charitable Incorporated Organisation as registered with the Charity Commission on 28 July 2021.
## **Recruitment and appointment of new trustees**
Trustees are mindful that the Trusts governing document allows for there to be up to twelve trustees. With the current trustees appointed on the same date the existing trustees are keen to minimise the risk of all being obliged by the Trust governing document to step down at the same time whilst also widening the personal, skills and experience profile of trustees.
## **Organisational structure**
The Trust has enjoyed the benefit of pro bono secretariat and administrative support from Lowick, but trustees recognised that going forward such services will need to be put on a clearer i.e., fee-based service to cover the Trust's core functions. During this time accounting services have been provided to the Trust by Thornby Associates and it is anticipated that this will continue going forward. Trustees are of the view that these arrangements represent value for money and are appropriate for a Trust of this size. Trustees gratefully acknowledge the support from these organisations and for their help and guidance during this the Trust's first period. Trustees want also to acknowledge the pro bono legal advice and assistance they have received form Jade Saunders.
Trustees each have a network of contacts and knowledge of local organisations operating in the area. It will be their intention to seek to employ a suitably experienced person to engage with grantees and other organisations.
## **Related parties**
Trustees give of their time freely and no trustee remuneration was paid in the year. Details of trustee expenses and related party transactions are disclosed in note 12 to the accounts.
Trustees are required to disclose all relevant interests and if necessary to withdraw from discussions and decisions where a conflict of interest might arise. Declaration of Interest is a standing item on the agenda for Trust meetings.
## **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) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
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
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
Page 4
**Garment and Textile Workers Trust**
**Report of the Trustees for the Period 28 July 2021 to 30 November 2022**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued**
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 14 September 2023 and signed on its behalf by:
K M J McKeever - Trustee
Page 5
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Opinion**
We have audited the financial statements of Garment and Textile Workers Trust (the 'charity') for the period ended 30 November 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 30 November 2022 and of its incoming resources and application of resources, for the period then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; 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 Auditors' 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**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **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 Report of the Independent Auditors 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.
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 this gives rise to a material misstatement in the financial statements themselves. 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.
Page 6
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records and returns; or
- 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, the trustees are responsible for the preparation of the financial statements which 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.
Page 7
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
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 a Report of the Independent Auditors 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- We obtained an understanding of the legal and regulatory frameworks that are applicable to the charity and determined that the most significant which are directly relevant to specific assertions in the financial statements are those related to the financial reporting frameworks (UK Generally Accepted Accounting Practice, Charities Act) and the relevant tax compliance regulations in the jurisdiction in which the charity operates;
- We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or whether they had any knowledge of actual, suspected or alleged fraud;
-
- Our testing considered unusual or unexpected journal entries on a sample basis;
- We evaluated the assumptions and judgements used by management within significant accounting estimates and assessing if these indicate evidence of management bias;
- We tested significant transactions, in particular the evaluation of the business rationale for any which appear unusual or outside the charity's normal course of business;
- We assessed the appropriateness of the collective competence and capabilities of the engagement team by understanding the practical experience with audit engagements of a similar nature and complexity, plus ensuring the team had appropriate and relevant training of the financial reporting framework and the relevant tax compliance regulations specific to the entity.
- We reviewed the financial statements and tested the disclosures against supporting documentation;
- We communicated relevant matters to all members of the audit team to ensure they understood the risks specific to the entity and the audit procedures planned to mitigate these.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
Page 8
**Report of the Independent Auditors to the Trustees of Garment and Textile Workers Trust**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them 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 the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
The Rowleys Partnership Ltd Statutory Auditors Eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 Chartered Accountants
Charnwood House Harcourt Way Meridian Business Park Leicester Leicestershire LE19 1WP
Date: 15 September 2023
Page 9
## **Garment and Textile Workers Trust**
## **Statement of Financial Activities for the Period 28 July 2021 to 30 November 2022**
|||Unrestricted|
|---|---|---|
|||fund|
||Notes|£|
|**INCOME AND ENDOWMENTS FROM**|||
|Donations and legacies|3|1,100,000|
|**EXPENDITURE ON**|||
|**Charitable activities**|4||
|Research||79,170|
|Grant giving||28,921|
|**Total**||108,091|
|**NET INCOME**||991,909|
|**TOTAL FUNDS CARRIED FORWARD**||991,909|
The notes form part of these financial statements
Page 10
## **Garment and Textile Workers Trust**
## **Balance Sheet 30 November 2022**
|||Unrestricted|
|---|---|---|
|||fund|
||Notes|£|
|**CURRENT ASSETS**|||
|Cash at bank||1,011,330|
|**CREDITORS**|||
|Amounts falling due within one year|10|(19,421)|
|**NET CURRENT ASSETS**||991,909|
|**TOTAL ASSETS LESS CURRENT LIABILITIES**||991,909|
|**NET ASSETS**||991,909|
|**FUNDS**|11||
|Unrestricted funds||991,909|
|**TOTAL FUNDS**||991,909|
The financial statements were approved by the Board of Trustees and authorised for issue on 14 September 2023 and were signed on its behalf by:
K M J McKeever - Trustee
The notes form part of these financial statements
Page 11
## **Garment and Textile Workers Trust**
## **Cash Flow Statement for the Period 28 July 2021 to 30 November 2022**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash provided by operating activities
**Change in cash and cash equivalents**
**in the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end**
**of the reporting period**|£
1,011,330
1,011,330
1,011,330
-
1,011,330|
|---|---|
The notes form part of these financial statements
Page 12
**Garment and Textile Workers Trust**
## **Notes to the Cash Flow Statement for the Period 28 July 2021 to 30 November 2022**
|**1.**
**RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES**
**Net income for the reporting period (as per the Statement of**
**Financial Activities)**
**Adjustments for:**
Increase in creditors
**Net cash provided by operations**|
£
991,909
19,421
1,011,330|
|---|---|
**2. ANALYSIS OF CHANGES IN NET FUNDS**
|**Net cash**
Cash at bank
**Total**|At 28.7.21
£
-
-
-|Cash flow
£
1,011,330
1,011,330
1,011,330|At 30.11.22
£
1,011,330
1,011,330
1,011,330|
|---|---|---|---|
The notes form part of these financial statements
Page 13
**Garment and Textile Workers Trust**
**Notes to the Financial Statements for the Period 28 July 2021 to 30 November 2022**
## **1. CHARITY INFORMATION**
Garment and Textile Workers Trust is a Charitable Incorporated Organisation registered with the Charity Commission for England and Wales. The address of the registered office is The Smithy, Sutton Lane, Dingley, Market Harborough, Leicestershire LE16 8HL.
The charity was registered on 28 July 2021 and these financial statements represent the results of the first accounting period.
## **2. 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.
## **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.
## **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.
continued...
Page 14
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **2. ACCOUNTING POLICIES - continued**
## **Going concern**
The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from the date of approving these financial statements. The budgeted income and expenditure is sufficient with the level of reserves, for the charity to be able to continue as a going concern.
## **Financial instruments**
The charity only has financial assets and 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.
## **Cash at bank**
Cash at bank includes short term highly liquid investments with a short maturity of three months or less from the date of acquisition on opening of the deposit or similar account.
## **Debtors and creditors receivable/payable within one year**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.
## **3. DONATIONS AND LEGACIES**
|Donations|£
1,100,000|
|---|---|
## **4. CHARITABLE ACTIVITIES COSTS**
|Research
Grant giving|Direct
Costs (see
note 5)
£
79,170
-
79,170|Grant
funding of
activities
(see note
6)
£
-
6,000
6,000|Support
costs (see
note 7)
£
-
22,921
22,921|Totals
£
79,170
28,921
108,091|
|---|---|---|---|---|
continued...
Page 15
**Garment and Textile Workers Trust**
## **Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
|**5.**
**DIRECT COSTS OF CHARITABLE ACTIVITIES**
Project expenses
**6.**
**GRANTS PAYABLE**
Grant giving
**7.**
**SUPPORT COSTS**
Governance
Management
costs
£
£
Grant giving
14,581
8,340
Support costs, included in the above, are as follows:
Travelling
Conference attendance
Internet charges
Computer and software
Insurance
Subscriptions
Marketing
Auditors' remuneration
**8.**
**AUDITORS' REMUNERATION**
Fees payable to the charity's auditors for the audit of the charity's
financial statements|£
79,170
£
6,000
Totals
£
22,921
Grant
giving
£
820
6,000
2,959
79
643
3,780
300
8,340
22,921
£
8,340|
|---|---|
|||
The amount payable to the auditor was £8,340, including £7,020 for audit services and £1,320 for other services.
continued...
Page 16
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **9. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the period ended 30 November 2022.
## **Trustees' expenses**
There were no trustees' expenses paid for the period ended 30 November 2022.
## **10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|Accrued expenses
**MOVEMENT IN FUNDS**
**Unrestricted funds**
General fund
**TOTAL FUNDS**|Net
movement
in funds
£
991,909
991,909|£
19,421
At
30.11.22
£
991,909
991,909|
|---|---|---|
## **11. MOVEMENT IN FUNDS**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Incoming
resources
£
1,100,000
1,100,000|Resources
expended
£
(108,091)
(108,091)|Movement
in funds
£
991,909
991,909|
|---|---|---|---|
continued...
Page 17
**Garment and Textile Workers Trust**
**Notes to the Financial Statements - continued for the Period 28 July 2021 to 30 November 2022**
## **12. RELATED PARTY DISCLOSURES**
One of the trustees, K M J McKeever, is the managing director of Lowick Group Ltd. During the period, £16,675 of costs were paid by Lowick Group Ltd on behalf of the charity. These costs have now been reimbursed by the charity and there were no balances outstanding at the year end.
Page 18
**Garment and Textile Workers Trust**
## **Detailed Statement of Financial Activities for the Period 28 July 2021 to 30 November 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Project expenses
Grants to institutions
**Support costs**
**Management**
Travelling
Conference attendance
Internet charges
Computer and software
Insurance
Subscriptions
Marketing
**Governance costs**
Auditors' remuneration
Total resources expended
**Net income**|£
1,100,000
1,100,000
79,170
6,000
85,170
820
6,000
2,959
79
643
3,780
300
14,581
8,340
108,091
991,909|
|---|---|
This page does not form part of the statutory financial statements
Page 19
REGISTERED CHARITY NUMMEIL. 1195329
Audlte¢l Flnanclal Statements
for the Perlod
28 July 2021 to 30 November 2022
for
Garment and T•xtlle Workers Trust
The Rowieys Partnershlp Ltd
Statutory Audltors
Chartered Accountants
Chamwood House
Harcourt Way
h*rfdian Business Park
Leicester
Leicestershire
LE19 1WP
Garnient and Textlle Workers Trust
Contents of the Flnandal Statements
for the Perlod 28 July 2021 to 30 November 2022
Pa8è
Reference and Admlnlstratlve D•talls
Report of the Trustees
2 to 5
Rep¢*t of the Independent Audltors
Statement of FlTrandal Actlvftl•s
Balancp Sheèt
10
11
Cash Flow statennt
12
Notes to the Cash Flow Statement
Not•s to th• Flnanclal Stat•ments
Detalled Statement of Flnandal Actlvltl
13
14 to 18
19
Garment and Textlle Workers Trurt
Reference and Admlnlstratlve Detalls
for the Perlod 28 July 2021 to 30 November 2022
TRUSTEES
D J Lindley lapyK)Inted 8.9,21}
K M J McKeever lappotnted 8.9.211
C Chun8 lappolnted 8.9.211
T R Nelson lappolnted 8.9.211
L FcYb5Ka lappolnted 8.9.21 I Ire51gned 22.6.221
A C Tripney lappolnted 8.9.211
PRINCIPAL ADDRESS
The Smlthy
Sutton Lane
D6n8ley
Market Harborough
Lelcegtershire
LE16 8HL
REGISTERED CHARifi NUMBER 1195329
AUDITORS
The Rowleys Partnerrthlp Ltd
Statutory Auditor5
Chartered Accountants
charnwld House
Harcourt Way
Merldlan Buslness Park
Lelcester
Lelcestershlre
LE19 1WP
BANKERS
HSBC
2-4 St Ann's Square
Greater Manchester
M2 7HD
Page 1
Garnient and Text51e Workers Trust
Report of the Trustees
for the Perlod 28 July 2021 to 30 November 2022
The trustees present their report with the flnancial statements of the charlty for the period 28 July 2021
to 30 November 2022. The Irustees have adopted the prowsions of Accounting and Reporting by Charitie5:
Statement of Recommended Practice applicable to charitle5 preparing thelr accounts in accordance wlth
the Financlal Reporting Standard applicable in the UK and Republlc of Ire(and IFRS 1021 leffectlve 1
January 20191.
The financial statements have been prepared In accordance with the accountlnq pollcles *t out In the
notes to the accounts and comply wlth the charity's governlng document, the Charitie5 Act 2011 and
Accounting and Reporting by Chadties.. Statement of Recommended Practice appllcable to charlties
preparing ihelr accounts In accordance wlth the Financial Reportlng Standard applicable in the UK and
Republic of Ireland published in October 2019,
OBJECTIVES AND ACTIVITIES
Objectives and aims
The charlty's oblectlves are to provlde grants, donatlon5 and support for textlle and qarment workers
Iated in and around Leicester.
Sllniflcant actlvltles
Durlng th15 Its flr5t year of operatlon the Trust commlssioned the Nottlngham University Rlghts Lab and De
Montfort Unlversity to undertake a reeW of the faclors underpinnlng labour exploltation In Lelceslerfs
garment and iextlle Industry. Its report 'Fashionln8 a Beautiful Future, was published ?n June 2022 and Its
findlng5 and recommendations have formed the bas15 for the declslons by trustees about future fundin4
prforitles to address the Ills Identlfled In the report.
Publlc beneflt
Trustees are aware of the Charity C¢Jffjmlsslon's guldance on public beneflt and have taken it into account
when consldering any deci51ons that they make on behalf of the charityi not least fundlng declslons.
Grantmakln8
The Trust ha5 yet to develop a pollcy on 8rant maklng but as a result of the Rlshts Lab report Identlfled its
initlal fundin8 prioritles including English langua8e and IT sk1115 training, advocacy support and support to
food banks. Trustee5 also agreed that, in the short term at least, the Trust would seek to work with
established local grassroots or8an15atlcffls with a posltlve track record of delivery and engagement In the
communltle5 where many garment workers are drawn from.
ACHIEVEMENT AND PERFORAANCE
Charltable actlvltles
Th15 reporl covers the fSrst pedod of the Trust's operation durln8 which time trustee5 considered amongst
other rnatters the orqanisational support needed for It to deliver Its charitable obSeclives. In addition to
the Rights Lab report individual trustees attended public events and met Mth local organisations and
persons as they considered the most appropriate way forward. As a result, it would later feel confldent to
make signlficant grants to Ial organisations th an e5tab115hed reputation for delivery to meet
Identlfied needs to dellver on three key prior5ties for our inltlal funding. These are provislon of English
LangL*age training and educatlon for garment workers, advocacy support to promote workers actesslng and
enforcing thelr rights and support to establish food banks situated in the garrnent and textile di5tr5ct to
help workers with the cost-of-living crisls. During th?S lime, trustees considered how best they could both
support these organi5atlon5 whilst being assured that they were del?vering agalnst the objeclives and
limetables agreed in the grant they received from the Trnst.
Pa8e 2
Garment and Textlle Workers Trust
Report of the Trustees
for the Period 28 July 2021 to 30 November 2022
ACHIEVEMENT AND PERFOMKE
Fundralslng actlvltles
Whilsl endowed initially by a significant one-off grant from ttrjohoo Group plc trustees are mlndful of the
need to secure further fundlng. Discussions about both or8ani5atlonal Support and fundraising would lead
later to the engagement of an Engagement hlanager whose role would Include fundraising.
FINANCIAL REVIEW
Flnandal posltlon
boohoo Group plc made an Inltlal grant of £1 rnllllon to fund the work of the trust and a further
ontrlbutlon of £11J).OCQ to meet '5et up. costs. These remaln the tru5t'5 only source of income at thls
tlme.
The Trust ends Its flrst peric*J of operatlon wlth substantial re5erve5 but antlclpate5 being In a posltlon to
make declslon5 about the first tranche of donatlons to local community organlsatlons In Ilne wlth trustees,
Inltlal prforltles and objectlves. The balance of the startup funding recelved from booh¢JO Group plc will
be held to fund ongolng organlsdtlonal costs.
The total funds carrbed fonyard amounts to £991,909 of whlch £85,419 Is the balance of the startup
fundlng.
Investmgnt pollcy and oblectlves
The trustee5 are mlndful of the impact of Inflatlon on the Trust's capltal reserves and a explodn8
option5 for en5urlng the best return on remalnlng capltal.
Looklng forward the trustees, alm Is to hold sufflclent SerVeS In easy acce55 bulldln8 soclety accounts to
fund the balance of the grants fflade In the first tranche of donatlons. The remalnlng reserye5 VAII be held
In a number of longer notice interest eamlng accounts.
Golng concern
At thls tlme the Trust Is In a healthy flnancial p051tlon. Trustees have adopted a measured approach to
future grant making havlng identified three clear initial priorltles and with the reallsatlon that to achleve
the objectives and outcomes trustees deslre a pro8ramme of targeted donatlons wlll Ilkely be required
over a number ol years. Thls In turn wlll mean that the Tnjst wlll have to secure ongolng funding from
external funders.
Early dlscu55ion5 by trustees identlfle¢i a number of ri5k5 to It5 successful operation and the Trust's abillty
to dellver publlc benefit. The r15k5 Identlfled fall under four maln headlngs.. External, Flnanclal,
Operations and Partnerships. It is the Intentlon of the trustees to develop an understanding of risk5, not
least by effectlye governance and management Including a formal Risk Management policy.
FLrruRE PLANS
The tru5tee5 aim to (Jevelop thelr own govemance arrangements to reflect 'best practice, an(i to
strengthen and broaden the cornp05ition of the board. They recogni5e the Imwrtance of ensuring that the
Trust'5 initial tranche of grant funding achieves the )eCtIveS that will be agreed with grantees. To this
end trustees aim to recrult a person to develop links with granlees and work with them to aehieve the
outcome5 best dexribed in the Right Labs report 'Fashionin£ a Beautiful Future,. Securing further fundln8
will be essential to achievlng the Trust'5 overall obJectlve5 and these outcomes. Trustees recognise that It
will be a prlorfty to develop a suite of employment-related policie5 to support thern in their role as
employer.
Page 3
Garment and Textlle Workers Trust
Report of the Tr4JStees
for Perlod 28 Jufy 2021 to 30 November 2022
STRUCTURE. GOVERNANCE AND MANAGEMEKr
Governlng document
The charity is controlled by Its govemlng document formally adopted on 23 March 2022 and constitutes a
Charltable Incorporated Organlsation as reglstered wtth the Charlty Commisslon on 28 July 2021.
Recrultment and appointment of new trustees
Trustees are mlndful that the Trusts governing document allows for the to be up to twelve trustee5.
With the current trustees appointed on the same date the existlng trustees are keen to mlnimlse the risk
of all belng obliged by the Trust governlng document to step down at the same tlme whllst a150 widenlng
the personal, 5k1115 and experience profile of trustees.
Or8an15atlonal structure
The Trust has enloyed the beneflt of pro bono secretarlat and adminlstrative suptK*rt from Lowtck but
trustees recogni5ed that golng forward such services wlll need to be put on a Clea r l.e., fee-based
servlce to cover the Trust'5 core lunctlons. Durlng thi5 tlme accountpn8 service5 have been provided to the
Trust by Thornby A550ciates and It Is anticipated that this wlll conllnue golng forward. Trustee5 are of the
vlew Lhat these arrangements repsent value for money and are approprtate for a Trust of thi5 size.
Trustees gratefully acknowledge the support from these organi5atlC¥ls and for their help and guidance
durln8 this the Trust's first pedod. Trustees want also to acknowledge the pro bono legal advice and
asslstance they have received form Jade Saunders.
Trustees each have a network of contacts and knowledge of local or8anlsatlons operatln8 In the area. It
will be their intentlon to seek to employ a sultably experlenced person to en8age wlth 8rantees and other
organlsa¢ions.
Related partles
Trustee5 give of thelr tlme freely and no trustee remuneratlon was pald In the year. Detai15 of trustee
expenses and related party transactlon5 are disclosed in note 12 to the accounts.
Trustees are required to disclose all relevant Interests and If nece55ary to ¥thdraW from dlscus5ions and
dec151ons where a tonfllct of Interest might ar15e. Declaratlon of Interest Is a standin8 Item on the agenda
for Trust meetings.
STATEMENT OF TRUSTEES, RESPONSIBILMES
The trustees are responslble for preparlng the Report of the Trustees and the flnanclal statements In
accordance with appllcable law and United Klnqdom Accountin8 Standards Iunlted Kingdom Generally
Accepted Accounting Practicel includlng Financlal Reportin8 Standard 102 'The Financial Reportlng
Standard appllcable In the UK and Republlc of Ireland"
The law appllcable to charftles In En8land and Wales. the Charlties Act 2011, Charlty IAccount5 and
Reportsl Regula¢lons 2¢J)8 and the provisions of the trust deed reqLtires the trustees to Ppare financial
statements for each flnanclal year w17ich give a true and fair view of the state of affair5 of the charity and
of the incoming resources and appllcatlon of resources, includlng the Income and expenditure, of the
charity for that perlod. In preparing those flnanclal statements, the trustee5 are required to
select suitable accounting policies and ihen apply them consistently.
¢)b5erve the method5 and principle5 in the Charity SORP.
make judgements and estimates that are reasonable and prudent.
State whether applicable accounting Standards have been followed, Subject to any material departure5
disclosed and explained in the flnancial statements;
prÈpare the financlal statements on the going concern basls unless It Is inappropriate to presume that
the charity will continue in buslness.
Page 4
Garment and Textllè Workers Trust
Report of the Tnte•S
for the Perlod Z8 July 20Z1 to 30 November 2022
srATEMENT OF TRUSTEES. RESPONSIBIUTIES- contlnued
The trustees are responsible for keeplng proper acccuntfng records whlch dlsclr th reasonable
accuracy at any time the flnanclal position of the chartty and to enable them to ensure that the flnanclal
statements comply wtth the Charitie5 Act 2011. the Charfty (Accounts and Reports) Regulatlons 2(U and
the pmwsions of the trust deed. They are also responsible for safe8uardinR the assets of the charity and
hence for tskln8 reasonable steps for the prevention and detecon of fraLhJ and other Irreqularftles.
Approved by order of the board of trustees on
behalf by:
.It....Sii.tw.&e/ £ozs:
slqned on Its
J McKeever . Trust
Pa4e 5
Report of the Independent Audltors to the Trustees of
Garment and Textlle Worker5 Trust
Op?nlon
We have atjdited the financial statements of Garment and Textile Workers Trust Ithe 'chartty'l for the
period ended 30 November 2022 which comprise the Statement of Financial Activities, the Balance Sheet,
the Cash Flow Statement and notes to the financial statements, includlng a summary of significant
accounting policies. The flnancial reporting framework ihat has LEen applied in theif preparation is
applicable law and Unlted Kingdom Accounting Standard5 Iunlted Klngdorn Generally Accepted Accountlng
Practice). 5ncludlng Financlal ReportTng Standard 102 The Flnanclal Reporting Standard applicable in the
UK and Republic of Ireland..
In our oplnlon the flnanclal statements..
give a true and fair vlew of the state of the charity's affalrs as at 30 November 2022 and of Its Incomln8
resource5 and applicalion of re%yJrces, for the period then ended.
have been properly prepared sn accordance with United Kingdom Generally Accepted kcounting
Practoce, Sncluding Financial Reportlng Standard 102 The Flnanclal Reportlng Standard applicable In the
UK and RepublSc of Ireland,; and
have been prepared In accordance with the requlrernents of the Charfjtles Art 2011.
Basls for oplnion
We conducted our audlt In accordance with Internatlonal Standards on Audltlng IUKI IISAS IUKII and
appllcable law. Our re5ponsibi15tles under those standards are further descrfbed in the Auditors,
re5ponslbilitles for the audit of the flnancial staternents Section of our report. We are independent of the
charity In accordance with the ethical requlrements that are relevant to our audit of the f5nanclal
statements Sn the UK, includlng the FRC'S Ethical Standard, and we have fulfilled our other ethlcal
re5ponslbillties in accordance wlth these requlrement5. We belleve that the aLKIIt edence we have
obtalned Is sufficient and approprlate to provlde a basi5 for our oplnion.
Concluslon5 relatln8 to lo1 concom
In auditing the financlal statements, we have concluded that the trustees, use of the 8oln8 concem ba515
of accountlng In the preparation of the flnancial statements Is approprlate.
Based on the work we have perforrned, we have not Identified any materlal uncertalntles relatlng to
events or condltions that. Individually or collectivdy. may cast signlflcant doubt on the charlty's ablllty to
continue as a goinB concern for a period of ai least twelve months frNn when the financlal Statements are
authorised for issue.
Our responslbilitles and the re5ponslbllltles of the trustees wlth respect to golng concern are descrlbed In
the relevant sectlons of this report.
Other Inforniatlon
The trustees are respon51ble for the other Informatlon. The other Informatlon comprises the information
Included In the Annual Report, other than flnanclal statements and our Report of the Independent
Auditors thereon.
Our opinion on the flnanclal statements does not cover the other Information and, except to the extent
otherwise explicitly stated in our report, we do not expre55 any form of assurance conclusion thereon.
In connection wlth our aydlt of the financlal Statements. our re5ponsibllity Is to read the other
Information and, in dolng so, conslder whether the other ir*formation 15 materially incons?5tent Mth the
flnanclal 5tatefflents or our knowledge obtaTned in the audlt or otheThrfse appear5 to be matedally
misstated. If we identify such matedal incons?5tencie5 or apparent material misstatements, we are
required to detemiine whether this glves rise to a material misstatement in the financial statements
themselves. If, based on the work we have perfomied. we conclude that there is a material misstatement
of thFS other informati¢Jn. we a required to report that fatt. We have nothTng to rert In this regard.
Page 6
Report of the Independent Audltor5 to the Trustees of
Gament and Textile Workers Trust
Matters on which we are requlred to report by exceptlon
We have nothing to report In respect of the following matters where the Charities (Accounts and Repts
Regulations 2c¥)8 requires us to report to you if, In our oplnlon..
the Informatlon given in the RetM)rt of the Tru5tee5 is inconsistent in any material respect with the
flnatKial statement5; or
sufficient accountirbg records have not been kept. or
the flnanclal statement5 are not In agreement wlth the accountlng records and retums. or
we have not recelved all the Informatlon and explanatiorbs we require for our audit.
Responslbllitles of trustees
As explalned more fully in the Statement of Trustee5' RespsIbIlItIeS. the trustee5 are re5pon51ble for the
preparation of the flnanclal statement5 whlch glve a true and fair vlew, and for such internal control as
the trustees determlne Is necessary to enable the preparatlon of financial statements th4t are free from
material mls5tatement, whether due to fraud or errol.
In preparing the flnanclal statements, the trustees are responslble for asse551ng the charlt¥s ablllty to
ondnue as a 8oln8 concern, dlsc1051ng, as appllcable, matter5 related to golng c1Cern and uslng the
801n8 cwcem bas15 of accountlng unless the trustees elther Intend to liquidate the char(ty or to cease
operatiM5, or have no reallstk alternative but to do so.
Page 7
Report of the Independent Audltor5 to the Trustees of
Garment and Textlle Workers Trust
Our responsibilitles for the audlt of the financial statements
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance
wlth the Act and levant regulations made or having effect thereLtnder.
Our objectives are to obtaln reasonable assurance abgut whether the financial statement5 as a whole are
free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent
Auditors that include5 our opinion. Reasonable assurance is a hlgh level of assurance, but is not a
guarantee that an audlt conducted in accordance wtth ISA5 IUKI S11 always detecl a material
misstatement when it exists. Misstaternents can arise from fraud or error and are considered materlal Tf.
Individually or in the a888ate, they could reasonably be expected to Irifluence the economic decisions of
user5 taken on the basis of these flnanclal 5talements.
The extent to whlch our procedu are capable of detectln8 irregularStles. Includlnq fraud Is detailed
below:
We obtalned an understanding of the legal and regulatory frameworks that are appllcable to the
charity and determlned that the most 5ignlflcant whlch are dlrectly relevant to speclfic a55erLlons
in the financial statements are those related to the flnanclal reporting frameworks (UK Generally
Accepted Accounting Practice. Charities Act) and the relevant tax compllance wulatlon5 in the
JLtrisd5ction in which the charity operates.
We enqu5re(l of management whether they were aware of any 5nstance5 of non-compllano wlth
law5 and regulotlon5 or whèther they had any knowledge of aclual, suspected or alleged fraud;
Our testing consldered unusual or unexpected Journal entrle5 on a sample ba5?5:
We evaluated the a55umptlon5 and Judgements Used by management wlthin $18niflcant accountlng
estlmates and as5e5s1ng Sf these Indlcate evidente of fflanagement bias,.
We tested 5ignlficant transactlon5, in particular the evaluation of the buslr*ss ratlonale for any
whlch appear unusual or outside the charlty's normal course of buslne5S;
We assessed the appropriateness of the collectlve competence and capabllltles of the engagement
team by under5tandln8 the practical experience with audi¢ engagements of a slmilar nature and
complexilyi plus en5urlnq the team had approprlate and relevant trainlng of the flnancial
reportlng framework and the relevant tax compliance regulatlons specific to the entlty.
We reviewed the financial Statements and teste(I the dlsclosure5 against supportln8
documentation.
We communicated relevant matters to all members of the audlt team to ensure they understood
the rlsks specific to the entity and the audit procedures planned to mitlgate these,
Because of the Inherent Ilmltatlons of an audlt, there 15 a risk that we wlll not detect all Irregularltle5
Ir5cluding those leading to a materlal mlsstatement in the financlal statements or non-compliance with
regulatlon. Th15 risk Increases the more that compliance wth a law or regulation is removed from the
even¢5 and transaction5 reflected In the financial statements, as we will be less likely to become aware of
Instances of non-compllance. The risk is a150 greater regarding Irregularltles occurrlng due to frautj rather
than error, as fraud involves intentional concealment, forgeryp collusic, omi55ion or mFsrepresentation.
A further descriptlon of our responsibilltles for the audlt of the financial 5tatement5 Is located on the
Financial Rep)rtin8 Council's website at www.frc.org.uk/audltorsresponsibilities. This de5CriPtion forrns
part of our Report of the Independent Audltor5.
Page 8
Report of the Independent Auditors to the Trustee5 of
Garment and Textlle Workers Trust
Use of our report
Thi5 report is made solely to the charity's trustees, as a bthjy, In accordance Part 4 of the Chhrltles
(Accounts and RerKJrtsl Regulations 2008. Our audit work has t*en undertaken so that we might state to
the charity'5 trustees those rnatter5 we are required to state to them In an auditors, rewrt and for no
other purpose. To the fullest extent pern)Itted by law, we do not accept or assume responsibility to
anyone other than the charity and the charltys trustees as a trt)dy, for our audlt wod(. for thi5 report. or
for the opinions we have formed.
The Rowieys Partnership Ltd
Statutory Auditors
Ellglble to act as an audltor In terms of 5ertlon 1212 of the Companles Act 2(K16
Chartered Accountants
Charnwood Fk)u5e
Harcourt Way
Meridian Buslness Park
Lelcester
Lelcestershlre
LE19 1WP
Date:
Page 9
Garment and TextTle Workers Trust
Statement of Flnanclal Activltles
for the Perlod 28 July 2021 to 30 November 2022
Unrestricted
fund
INCOME AND ENDOWMENTS FROM
DatIOnS and legacles
Notes
EXPENDITURE ON
Charltable actlvltles
Research
Grant givlnq
79,170
Total
NET INCOME
991,909
TOTAL FUND5 CARRIED FORWARD
991 909
The notes form part of these flnancial statements
Page 10
Garnient and Textlle Worker5 Trust
Balance Sheét
30 November 2022
Unrestrlrted
fur
CURRENT ASSET5
Ca$h at bank
CREDITORS
AlTrts falllng due wlthln one year
1,011.330
10
(19,421)
NET CURRENT ASSETS
TOTAL ASSEfs LESS CURRENT LIA81LmES
991,909
NEf ASSETS
FUNDS
Unrestrtcted funds
991 909
11
TOTAL FUNDS
The flnandal statements were approved by the 8oard of Trustees and authoN5ed for Issue on
and were slgned on Its behalf by..
K hi J McKeever- Trust
The note5 form part of these financlal statements
Page 11
Garment and Textile Workers Trust
Cash Flow Statement
for the Perlod 28 July 2021 to 30 November 2022
Notes
Cash Ilows from oporatlnR actlyltles
Cash oenerated froffl operations
1011 330
Net cash proylded by operatlng actfvltles
1 011 330
Chan8e In cash and cash equfvalents
In the reportlng perlod
Cash and cash equlvalents at the
b•ilnnlni of the reportlnq pwlod
Cash and cash equlvalents at the end
of th• reportlno p•dod
1,011,330
1 011 330
The notes form part of these financlal statements
Page 12
G)rment and Textlle Workers Trust
Notes to the Cash Flow Statement
for the Period 28 July 2021 to 30 November Z022
RECONCILIATION OF NET INCOME TO CASH FLOW FROM OPERATING ACnvlEs
Net Income for the reportin8 perlod las per the Statsment of
Flnandal Actlvltlesl
Adjustments for:
Increase In credltor5
991,909
Net cash wovlded by operatlons
1 011 330
ANALYSIS OF CHANGES IN NET FUNDS
At 28.7.21
Cash flow
At 30.11.22
Net cash
Cash at bank
1011 330
1 011 330
1 011 330
1011 330
Total
1011 330
1 011 330
The note5 form part of these financial statements
Page 13
Gamient and Textile Workers Trust
Notes to the Flnanclal Statements
for the Perfod 28 July 2021 to 30 November 2022
CHARITY INFORIAATION
Garment and Textlle Workers Trust is a Charitable Incorporated Organlsatl¢Jn reg1sted wlth the
Charity Commission for England and Wales. The address of the reglstered office is The Smlthy,
Sutton Lane, Dingleyp Market HaTborou8h, Leicestershi LE16 8HL.
The charlty was regTStered on 28 July 2021 and these financial statements represent the results of
the first accountlng period.
ACCOUNTING POLICIES
Ba515 of preparln8 the flnanclal statements
The financial statemenls of the charily, whlch Is a publlc beneflt entity under FRS 102, have been
prepared in accordance wlth the Charities SORP IFRS 1021 'Accountlnq and Reporting by Char*lles.'
Siatement of Recommended Pracllce appllcable io charllies preparfng their accounts In accordance
th the F5nanc5al Reporting Standard appllcable In the UK and Republlc of Ireland IFRS 1021
(effective l January 2019)., Financial Reportlng Standard 102 The Financlal Reporting Standard
applicable In ihe UK and Republic of Ireland, and the Charitles Act 2011. The financial statements
have been prepared under the hlstorfcal c05t conventlon.
Income
All Income Is recognlsed In the Statement of Flnancial Actlvltles once the charlty has entitlement to
the funds, It Is probable that the Income wlll be recelved and the amount can be measured
rellabiy.
Expen¢Jlture
Llabilitles are recognlsed as expendlture as 500n as there is a legal or constructlve obligatlon
committlng the charily to that expenditure, It is probable ihat a transfer of Konomic beneflts wlll
be requlred In settlement and the amount of the ob15satlon can be measured reliably. Expendlture
Is accounted for on an accruals basis and has been cla5sifled under headings that aggregate all cost
related to the category. Where costs cannot be dlrectly attributed to partlcular headln85 they have
been allocated to actlv6tie5 on J basls conslstent wtth 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 expenditu.
Taxatlon
The charlty Is exempt from tax on Its charltable actlvltles.
Fund acCIntIng
Unrestrlcted funds can be used In accordance with the charitable ob)ectlve5 at the discretion of the
trustees.
Restricted funds can only be used for partlcular StrICted purposes within the objects of the
charity. Restrictions arise when specified by the donor or when funds are raised for partlcular
re5trtcted purp95es.
Page 14
continued...
Garnient and Textile Workers Trust
Notes to the Flnandal Statements- continued
for the Perlod 28 July 2021 to 30 November 2022
ACCOUNTING POUCIES - contlnued
Goln8 concern
The financial statements have been prepared on a golng concern ba515 as the trustee5 believe that
no matedal uncertaintles exlst. The tru5tee5 have considered the level of funds held and the
expected level of income and expenditure for 12 months from the date of approvlng these financlal
statewnents. The budgeted income and expenditure 1$ sufficient the level of reseNes, for the
charity to be able to continue as a going concern.
FIDJnclal Instruments
The chadty only ha5 flnanclal assets and liabilities of a kind that qualify as ba51c flnarKlal
Instruments. Baslc financial Instruments are inltlally recogn15ed at transactlon value and
subsequently rmasured at their settlement value.
Cash at bank
Cash at bank Includes short term highly Ilquld Investments wlth a Short matudty of three months or
less frorn the date of acquisition on opening of the deposlt or simllar account.
Debtors and credftors recelvablelpayable wlthln one year
Debtors and credltors wlth no stated Interest rate and receivable or payable wlthln one year are
recorded at transactlon prtce. Any losses arlslng from impalrment are reco8nlsed In expendlture.
DONATIONS AND LEGACIES
Donatlons
CHARITABLE AcfiviTIES COSTS
Grant
fundlng of
actlvfjtle5
Isee note
Dlrect
Costslsee
note 51
Support
costs (see
rte 71
61
Totals
Research
Grant givlng
79,170
79,170
Page 15
continued..
Garment and Textile Workers Trust
Note5 to the Flnanclal Statements - continued
for the Perlod 28 July 2021 to 30 November 2022
DIRECT COSTS OF CHARrrABLE ACnVITIES
Project expen*5
GRANTS PAYABLE
Grant givlnq
SUPPORT COSTS
Governance
osts
Managemffit
Totals
Grant glvlng
Support cost5, Included In the above, are as follows..
Grant
81v5n8
Travelllng
Conference attendance
Internet charge5
Computer and softwa
Insurance
Subscrlptlons
Marketing
Audltor5' remuneratlon
820
2,959
79
643
3,780
3CQ
AUDITORS. REMUNERATION
Fees payable to the Charft$ audltors for the audlt of the charfty5
flnancial statements
The amount payable to the audltor was £8,340, Includlnq £7,020 for audlt services and £1,320 for
other seryices.
Page 16
c(Ybtinued...
Garnient and Textile Workers Trust
Notes to the FlnancTal Statements - continued
for the Perlod 28 July 2021 to 30 November 2022
TRUSTEES. REMUNERATION AND BENEFrrs
There were no trustees, remunerati¢)n or other teneflts for the perlod ended 30 November 2022.
Trustees. expen5e5
There were no tru5tees' expense5 pald for the perfod ended 30 November 2022.
10. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Accrued expenses
IAOVEMENT IN FUNDS
Net
movement
In funds
At
30,11.22
Unre5trlcted funds
General fund
991,909
991,909
TOTAL FUNDS
991 909
Net rnovement In funds, InclLKled In the atr*)ve are as follows:
Incornlng
resource5
Resources Movement
expended
In fund5
Unwtrlct•d funds
General fund
1,1C(I,000
1108,0911
991,909
TOTAL FUNDS
Page 17
continued.
Garment and Textlle Workers Trust
Notes to th¢ Flnanclal Statements- contlnued
for the Perlod 28 July 2021 to 30 November 2022
12. RELATED PARff DISCLOSURES
(kne of the trustee5, K M J McKeever, is the managing director of Lowick GrP Ltd. During the
period, £16,675 of costs were paid by Lowick Group Ltd on behalf of the chartty. These costs have
rthi been relmbLbrsed by the char(ty and there were no balances cyJtstanding at the year end.
Pdge 18
&irnient and Textlle Workers Trust
Detalled Statement of Flnanclal Actiyltles
for the Perlod 28 July 2021 to 30 November 2022
INCOME AND ENDOWMENTS
Oonations and Iwcles
Donations
1 100 000
Total Incomln¥ resource5
1,1(10,000
EXPENDITURE
Charltable actlvltle5
Project expenses
Grants to Instltutlons
79,170
85,170
Suppvrt C05ls
l+lanaiement
Travellln8
Conference attendance
Internet charge5
Computer and software
Insurance
Subscrlptlons
Marketln4
820
2,959
79
643
3,780
14,581
Gt>v•rnance costs
Audltors. remuneratl
Total resources expended
Net Income
This page doe5 not fomi part of the statutory flnancial statements
Page 19