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2022-04-30-accounts

Tower Hill Trust

Annual Report and Financial Statements

30 April 2022

Charity Registration Number: 206225

Contents

Reports

Reports
Reference and administrative information 1
2
Independent auditor
s report		 14
Financial statements
Statement of financial activities 18
Balance sheet 19
Statement of cash flows 20
Principal accounting policies 21
Notes to the financial statements 23

Tower Hill Trust

Reference and administrative information

Trustees Susan M. Wood (Chairman)
Leslie A. Chapman
Kenneth E. Clunie
Col. Richard E. Harrold
Jonathan D. Solomon
Davina J. Walter
Edward W. Walter
Trust deed 7th February 1938 (subsequently varied by Schemes
approved by the Charity Commissioners on
23rd October 1973 and 23rd April 1987)
Registered address Marshall House
66 Newcomen Street
London
SE1 1YT
Charity registration number 206225
Bankers HSBC UK
28 Borough High Street
London
SE1 1YB
Solicitors Wedlake Bell LLP
71 Queen Victoria Street
London
EC4V 4AY
Investment managers (until 14th December 2021)
Newton Investment Management Limited
Mellon Financial Centre
160 Queen Victoria Street
LondonEC4V 4LA
(from 15th December 2021)
CCLA Investment Management
Senator House
85 Victoria Street
London EC4V 4ET
Auditors Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Principal officers Cherry Bushell (Secretary and Treasurer)
Elaine Crush (Grant Officer)

Tower Hill Trust 1

Year to 30 April 2022

Charity law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the Charity and of its financial activities for that period. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with relevant legislation. They are also responsible for safeguarding the assets of the Charity, and hence for taking reasonable steps for the prevention and detection of fraud or other irregularities. The Trustees confirm that the accounting policies adopted are in accordance with the Charities Act 2011, and with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The financial statements have been prepared on the going concern basis.

Structure, Governance and Management

The Trust was established as the Tower Hill Improvement Trust in 1938. The original Trust Deed of the Tower Hill Improvement Trust, dated 7[th] February 1938, was subsequently varied by Schemes approved by the Charity Commissioners on 23[rd] October 1973 and 23[rd] April 1987. On the 8[th] February 2005, the Charity Commissioners made an Order giving the Trustees general authority to amend the trusts of the charity, subject to certain limitations, including the need on some matters to obtain the prior written approval of the Charity Commissioners. This power has been used four times. On the 16[th] March 2005, the maximum number of Trustees was increased from five to eight. On the 21[st] June 2006, with the approval of the Charity Commission, the name of the Trust was changed from Tower Hill Improvement Trust to Tower Hill Trust. Again, with the approval of the Charity Commission, on the 14[th] and the whole of the London Borough of Tower Hamlets. Finally, on 17[th] September 2008, the period for which the Chairman is elected by the Trustees was increased from one to three years.

The Charity is governed by a Board of not more than eight Trustees; seven Trustees served during the year.

Tower Hill Trust 2

Year to 30 April 2022

Structure, Governance and Management (continued)

Marshall House, 66 Newcomen Street London SE1 1YT. The office is provided by the Wakefield and Tetley Trust and staffed by a part-time Secretary and Treasurer and a part-time Grant Officer (at present Ms Cherry Bushell and Ms Elaine Crush respectively). Both members of staff are employed and paid by the Wakefield and Tetley Trust, and a service charge is paid to this Trust for the provision of staff and services; a Memorandum of Understanding between the two Trusts provides for the oversight of this service. The Secretary and Treasurer is responsible for administration and book-keeping. The Grant Officer is charged with keeping up-to-date with local charitable activity and funding needs, the development and delivery of funding programmes, monitoring the expenditure of grants and providing advice and support to applicants and funded organisations. Staff are responsible for all day-to-day matters, and for making recommendations to the Trustees, but all significant decisions are taken by the Board of Trustees.

Objectives and Activities for the Public Benefit

resources for the promotion of charitable

the following ways:

These objects are listed in the order of priority determined by the Trustees. The Trust seeks to do these things not by giving money to individuals or by carrying out programmes of its own, but by making grants to registered charities and other bodies for activities and projects which help to advance the objects. In making grants, the Trust always looks at the question of who will be the ultimate beneficiaries, and what will be the benefit to them. The Trustees insist that all activities or projects must be open to anyone who qualifies as a potential beneficiary, and that people in poverty are not excluded.

-making is geographical. The guidance on public geographical area, such Great Tower Hill, Tower Hill and the London Borough of Tower Hamlets. Trustees particularly welcome proposals for capital costs, and p borough of Tower Hamlets.

Tower Hill Trust 3

Year to 30 April 2022

Objectives and Activities for the Public Benefit (continued)

The public benefit of funding by the Trust is measured against the achievements of the organisations and projects that are funded. Grant recipients are required to provide regular or one-off progress reports, depending on the nature of the project and the size of grant awarded.

are no formal monitoring or evaluation forms to complete, since organisations and projects can struggle under the burden of monitoring requirements. Grant recipients can devise their own reports and may submit grants are contributions to projects also supported by other donors). Recipients are asked to reflect on the progress that they have made in relation to the aims, objectives and outcomes which they identified at the beginning of a project, and any learning that has taken place.

Friends of Arnold Circus, garden project, awarded 2020-21

Achievements and performance

Investment Management Limited until 14th December 2021 and thereafter by CCLA Investment Management, and partly from the head rent of the Tower Hill Wine Vaults, of which the Trust owns the freehold.

Tower Hill Trust 4

Year to 30 April 2022

Achievements and performance (continued)

The Trust aims to maintain a high level of grant-giving, while ensuring that funds are available when needed for high priority initiatives, that reserves are maintained to generate income for the future, and that adequate funds are available for the proper administration of the charity. During 2021-22, the Trust awarded 16 grants totalling £90,360 (£159,656, 2020-21) under its Main Grant Programme and a further five grants totalling £6,060 under its Biodiversity Grant Programme. A total of £134,714 was paid out during the year to grant recipients. A proportion of the amount paid out in grants during the year reflected the continuation of grants awarded in previous years. Similarly, a proportion of grants awarded in 2021-22 will be paid out in subsequent years. The Trustees have decided that grants payable should be charged in the year when they are awarded, irrespective of when they are paid, as Trustees regard them as financial obligations. For this reason, the amount shown in the Statement of Financial Activities under charitable activities does not represent the grants paid in 2021-22, but the grants awarded during the year. Details of both grants paid, and grants awarded during the year are contained in note 11.

The Trust is a member of Tower Hamlets Funder Forum, an initiative that brings key Tower Hamlets funders together to reduce duplication of work, consider possible joint initiatives and gather intelligence regarding issues in the borough. Staff also attend regular Funder Fairs to promote available grants to local community groups and charities.

At the year-end Trustees held a reception on-board HQS Wellington. Guests included recipients.

SPLASH, play project, awarded 2020-21

Tower Hill Trust 5

Year to 30 April 2022

Grant Programmes

Trustees differentiate the grants into three distinct categories with their own funding approach and financial treatment. Those categories are Main Grants, Biodiversity Grants and School Bursaries (ongoing projects).

The Trustees take care to provide for the diversity of the population of the area of benefit through the spectrum of grants available. They particularly seek to take into account the needs of an ethnically diverse community with higher-than-average numbers of older and disabled people and to ensure that people in poverty are not excluded from benefiting from grants.

Main Grant Programme

Two open grant rounds were held and one closed grant round at the year-end. A total of 16 applications were received, of these 12 were awarded grants (a success rate of 75%). Of the Main Grants awarded, 28% were to recipients whom the Trust had not previously assisted.

es. The main priority of the Trust is the of Tower Hamlets; 66% of the total funds awarded in the year were targeted at this priority. Of the remaining grants, 38% was awarde 19% focused , of all grants made, 38% benefited people on low incomes or disadvantaged due to homelessness, ill health and/or disability.

£15,890 (14% of the Main Grant budget) was awarded in response to the Covid-19 pandemic and other essentials, or to help alleviate isolation.

Main Grants that were awarded during the year included:

Butterfly Conservation £6,000 to support , working to inspire people to discover butterflies and moths, and connect with nature and their local green spaces.

CleanupUK £8,000 to support the work of the Beautiful Boroughs Project across Tower Hamlets.

E1 Community Gardeners £1,850 to support the purchase of equipment and resources and insurance costs for volunteers for this new community garden network.

Lower Regents Coalition £6,200 to re-start bi-monthly canal clean-up events over one year on the Lower Regents Canal, following a difficult period when clean-up events had to be suspended. The events would benefit up to 750 volunteers, including 4 events for schools and younger children.

Main Grant Programme (continued)

Tower Hill Trust 6

Year to 30 April 2022

Oxford House in Bethnal Green £3,590 was awarded to support 12 free creative community gardening and craft workshops throughout summer 2021, for people aged 55+ who had felt most isolated by the pandemic.

Setpoint London East £5,000 to subsidise hands-on science workshops for primary schools in the west of Tower Hamlets.

Society Links £3,000 to support part-year running costs of the Girls Group youth project in Wapping.

Spitalfields Crypt Trust £8,000 to support a gardening and horticulture training project in Shoreditch, for people who have experienced homelessness and in recovery from addictions.

SSAFA £8,000 to support the emergency fund for veterans in Tower Hamlets, specifically, veterans at the Queen Victoria Seamans Rest Hostel.

Projects £6,300 to support Project, providing a safe and secure environment where at least 40 vulnerable local women aged 50+ could take part in gardening activities and access other support.

Vallance Community Sports Association £5,000 to support youth worker salaries for weekly youth clubs for young people from the Weavers Fields area.

Weavers Adventure Playground £6,000 towards the running costs of an open-access Adventure Playground in Weavers Fields.

The Covid-19 pandemic and impact on grant making

The Trust remains committed statement pledging support to the sector and committing to be responsive and flexible to the needs of grant holding charities. At the outset of the pandemic, the Trust recognised that this was an exceptional period of crisis for our grantees and their beneficiaries as the demand for support and services rose dramatically; it was a time when charities had to postpone or cancel projects, close face to face services, furlough staff and volunteers. Trustees agreed to requests to defer and adapt a number of activities during the year.

Completed projects

Main Grant projects that were completed during the year included:

ELMV Shadwell Basin Project £8,000 to support the purchase of a fleet of Stand Up Paddle Boards (SUPs)and associated equipment for use by young people attending Shadwell Basin Outdoor Activity Centre. The SUPs have benefitted young people that attend the Shadwell Basin youth project on Wednesday and Thursday evenings, and all day on Sundays. They have been used for holiday projects, including a summer residential on Lake Windermere in 2021, where 24 young people experienced the sport for the first time. By the year-end, 25 SUP sessions had been held with a total of 250 attendances, including 10 young people from an inclusions programme.

Tower Hill Trust 7

Year to 30 April 2022

Completed projects (continued)

Future plans include a residential in 2022 at Coniston in the Lake District and a weekend on the River Medway. The charity is planning to work with the young people to introduce a Certification scheme for Stand Up Paddle Boarding next year.

Limehouse Town Hall Consortium Trust £8,682 was awarded to expand access to the gardens at Limehouse Townhall for residents and users of the building. The project faced challenges due to Covid-19 and the project plan had to be adapted. Eventually, the Greening Spaces project succeeded in transforming the yard space at the old Town Hall from an underutilised and derelict area into a multi-purpose space for growing, meeting, and workshops/classes. Access was also improved for those with mobility needs. During June and July 2021, they ran two volunteer community planting days with very limited numbers to ensure social distancing and mitigate against Covid-19 transmission. The whole area has been transformed, opening more community space for local people and regular users of Limehouse Town Hall. During the pandemic, the yard has been particularly useful for groups and regular users of the building to meet and organise.

£11,500 was awarded to support the initiative across Tower Hamlets, which included support to set up a new community food growing hub on Limborough Estate. The grant was used to purchase of 5 tonnes of soil to support food growing in the borough, with up to 700 families accessing advice and support to grow plants from seed during a time where many were isolated at home. Other support included a nline resources and videos with step-by-step instructions on how to grow popular vegetables. A monthly newsletter, focused on growing tips and links to new online resources, was sent to a food growing network of nearly 1,000 people. The project supported the development of new growing spaces, including projects at Gateway Housing, Jubilee Street GP practice and a and food growing spaces in Tower Hamlets were encouraged to donate surplus produce to local food banks supporting people during the pandemic.

Biodiversity Grant Programme

The Trust established this as a new small grant programme in 2016 to encourage matched funding from Tower Hamlets Council, working in partne Officer. The programme awards grants from £100 to £2,000 to fund biodiversity enhancements by schools and community groups in school grounds, around housing estates or in community gardens. Projects must directly contribute to objectives and targets in the Tower Hamlets Local Biodiversity Action Plan. Once again, opportunities during the year to promote the grants were limited and it was difficult for schools and community groups to prioritise these types of initiatives because of the pandemic, so fewer awards were made compared to previous years.

Five Biodiversity grants were awarded totaling £6,060, and were as follows:

ACME Studios: £160 to support the creation of a new rooftop wild garden. This was a new grant in addition to £1,573 awarded in February 2020 for the same project. Work on the garden was delayed due to the pandemic and will be completed in the summer of 2022.

Tower Hill Trust 8

Year to 30 April 2022

Biodiversity Grant Programme (continued)

Mile End Old Town Residents Association: £2,000 to support the creation of wildflower meadow and woodland area including bird and bat boxes, native hedging and bulbs, within the churchyard of Holy Trinity Church, Lichfield Road.

Tarling West Residents Association: £900 to support the creation of improved biodiversity on Tarling West Estate.

£2,000 to support the repair and restoration of the school

pond and the area around it.

Wilder Communities: £1,000 to support planting on two areas of lawn adjacent to Alfred Street.

Trees for Cities, Large Biodiversity grant, awarded 2019-2020

Ongoing projects

During the year, the Trust funded

Borough of Tower Hamlets to attend the City of London School for Girls. Trustees receive progress reports from the School and have been impressed with the impact that these bursary places have had, and the opportunities taken up by the bursars, despite the impact of pandemic restrictions. This included the opportunity to study Mandarin and Latin and to benefit from a significant range of extraEnterprise Team. In 2021-22 a total of £20,664 was spent on these bursaries, with the same amount provided in matched funding from the City of London Corporation. At the year end, Trustees agreed that there were compelling reasons to support two new bursary places for a 7-year period from September 2022 to July 2029. The usual practice has been for the Trust to fund a maximum of three bursary places at any one time; Trustees agreed that the first of the two new bursaries would replace an existing bursary due to expire in 2022-23 and that the second of those two new bursaries would form a fourth additional commitment, to be treated as an exceptional commitment in years 2022-2025 and creating an additional cost in those years and thereafter to replace another expiring bursary. Trustees agreed that the additional cost during 2022-2025 would be funded from the predicted budget surplus in this financial year to 30 April 2022.

Tower Hill Trust 9

Year to 30 April 2022

Investment policy

rrent purposes of the Trust, and to enhance income and capital growth over the longer term, thereby enabling the Trust the Tower Hill Vaults, and investments managed by Newton Investment Management Limited until 14 December 2021 and thereafter by CCLA Investment Management.

Investment performance

The Tower Hill Vaults were originally acquired Tower Hill area, but are now a commercial investment, let on a lease of 150 years (from 1991). The investment in the property is justified both by the return which it provides and by the contribution which it In April 2021 the Tower Hill Vaults had been valued at £1,450,000 which reflected a fall in capital value compared to the last formal valuation of £2,070,000 in 2016. In 2022, the valuer Lambert Smith Hampton reaffirmed the 2021 valuation of £1,450,000. values and rental income was reflected in this fall in value of the Tower Hill Vaults, however the valuation had a negligible impact in the short term as the Trust has no need or intention to realise the capital value of the Tower Hill Vaults.

Companies of the City of London, with whom the Trust has established a good co-operative relationship.

Income from the Tower Hill Vaults continued to be reduced due to the impact of the reduced numbers of visitors, mostly tourists, to Tower Hill as an ongoing effect of the pandemic. The Trustees have accepted that income may continue to reduce during 2022-23 due to both reduced visitors and property related costs.

In respect of the investment portfolio, the income in recent years had been sufficient to fund annual grant programmes. Trustees have also drawn on capital for high priority projects. The annual grants budget is based on a sustainable withdrawal, considering current market conditions and advice from the investment manager. The Trustees recognise that inflation is a key risk to the long-term sustainability of the Trust, and accordingly the investment assets need to be invested to mitigate this risk over the longer term. The Trustees understand that this is likely to mean that investment will be concentrated in real assets and that the capital value will fluctuate.

The Trustees can tolerate volatility of the capital value of the investment portfolio, if the Trust is able to meet its short-term grant-making commitments through either income or liquid capital assets. who were selected to replace Newton Investment Management Limited following a review and a beauty parade of potential investment managers, during the year. The Trustees would like to thank Newton Investment Management for its work for the Trust over many years. Review meetings are to be held with CCLA Investment Management once a year.

Tower Hill Trust 10

Year to 30 April 2022

Investment performance (continued)

Growth and Income Fund for Charities, which is a pooled managed fund for charities. The portfolio produced income totalling £118,697 during period it was invested in this Fund. In December 2021, all investments held at Newton Investment Management Limited were COIF Charities Investment Fund which is a pooled managed fund for charities. The fund has a exclude investments in indiscriminate weaponry and tobacco producers and apply revenue screens to avoid exposure to other controversial areas, including coal and oil sands extraction, pornography and excludes less than 2% of the MSCI World Index. The portfolio produced income totalling £45,684 during the period it was invested in the Fund. At the end of the year its value stood at £6,428,406, which was a significant decline from the transfer value noted above on 14 December 2021. This fall in value reflects very challenging conditions for financial markets as investors came to terms with first a sharp uptick in the rate of inflation and subsequently with Russia's unexpected invasion of Ukraine in late February. Apart from the significant humanitarian impact of the war, it has also exacerbated inflationary pressures, affecting energy and food prices in particular.

Notwithstanding turbulent market conditions, Trustees still expect that investment income will rise from 2022-23, reflecting CCLA's total return approach to distributions from the COIF Charities Investment Fund and the Fund's broader sources of income, particularly from alternative asset classes, including property, renewable energy and infrastructure. Trustees have the flexibility to draw upon capital reserves for high priority initiatives if required.

Financial review

During the year the total income was £211,086 compared to £178,425 in the previous year. Expenditure totalled £339,113 (2021 - £250,229). The increase in expenditure is predominately due to two new long-term school bursary commitments of £178,282 being recognised in this year. Total grants awarded was £294,346. Further details of the grants awarded in the year can be found in note 11 of the financial statements. Net expenditure for the year, therefore, amounted to £128,027 (2021 - net expenditure £71,804) before net investment gains. The net investment gains of £112 (2021 - net gains of £339,887) give rise to a net decrease in funds of £127,915 (2021 - net increase in funds of £268,083).

Reserves policy

The Trust holds net assets, in the form of cash and investments, to produce income which can be used, after payment of management expenses, for grant-giving. The Trust aims to sustain and increase its grant-making capability over the long term.

At the year end, the free reserves of the Trust amounted to £6,293,252 equating to the net assets less the investment property.

The financial position of the Trust is such that all current and future commitments can be carried out, and the Trust will be able to fulfil its charitable objectives.

Tower Hill Trust 11

Year to 30 April 2022

Key management

The Trustees consider that they comprise the key management of the charity in charge of directing, controlling, running and operating the charity on a day-to-day basis.

Fundraising statement

The Trust does not work with any commercial or professional fundraisers and does not solicit donations from the general public.

Risks and uncertainties

The Trustees have assessed the major risks to which the Trust is exposed, particularly those relating to the operations and finances of the Trust and are satisfied in general that systems are in place to protect its grant-making activities and to guard against the possibility of fraud. The Trustees review the risk assessment annually. The financial risks to the Trust are assessed as low, since the Trust has investments which produce income, while most of the at any time there is a reduction in income. However, like any grant-giving charity, the Trust must face the possible risk of fraud, and the risk that grants might be used for purposes outside and there have been no actual cases in recent years of fraud or of inappropriate use of the T

Having only two staff, both employed by the Wakefield and Tetley Trust, the Trust is inevitably always at risk of losing key skills and experience when staff leave. The Trust consults closely with the Wakefield and Tetley Trust on staff matters. The Trustees also insist that good records are kept, particularly in relation to the awarding of grants, so that new staff can easily familiarise themselves with all matters.

might be lost. To reduce this risk, cloud-based storage is used for all information, and the Trust has ensured electronic storage of all the information in its archives.

Since the outset of the Covid-19 pandemic in 2020, the staff continue to ensure that business continuity measures are actionable at any time and that Trust operations can be effected remotely, particularly in the event of future government-issued lockdowns and restrictions.

Plans for future periods

The Trust aims in the future to maintain the level of its grant-giving; to rebalance the level of its reserves in real terms; and to continue to engage with charities, schools, community groups and other organisations working in its area of benefit, to ensure that its grants are as welldirected as possible.

Tower Hill Trust 12

Year to 30 April 2022

Plans for future periods (continued)

To deal sensibly and coherently with grant applications, the Trust has developed focused grant priorities and criteria for funding. These priorities and criteria will be kept under review to the Covid-19 pandemic crisis has been a determination to maintain grant-making at the same levels as recent years and, whenever necessary, to draw down on investments to top up cash reserves in order to award grants during the year.

Approved by the Trustees on and signed on their behalf by: Aug 16, 2022

Chairman

Trustee

Tower Hill Trust 13

Year to 30 April 2022

the trustees of Tower Hill Trust

Opinion

ended 30 April 2022 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, the principal accounting policies and the notes to the financial statements. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 10 (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

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 ounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our 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 concern basis of accounting in the preparation of the accounts 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 when the accounts 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.

Tower Hill Trust 14

Year to 30 April 2022

Other information

The Trustees are responsible for the other information. The other information comprises the information included in the annual report and financial statements other than the financial cover the other information and 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 accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the accounts or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the T Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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.

Tower Hill Trust 15

Year to 30 April 2022

Our objectives are to obtain reasonable assurance about whether the accounts as a whole report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these accounts.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

Tower Hill Trust 16

Year to 30 April 2022

(continued)

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

review of the minutes of meetings of those charged with governance; and

enquiring of principal officers as to actual and potential litigation and claims.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and principal officers the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Fina

Use of our report

Trustees, as a body, in accordance with section 144 of the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit are required to state to them in an auditor's 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 opinions we have formed.

Buzzacott LLP Statutory Auditor 130 Wood Street London EC2V 6DL Date: 22 August 2022 Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Tower Hill Trust 17

Statement of financial activities Year to 30 April 2022

Notes Total
Unrestricted funds		 Total
Unrestricted funds
2022
£		 2021
£
Income:
Investment income
1
Total income
Expenditure on:
Charitable activities
2
Total expenditure
Net (expenditure) before investment gains (losses)
Net gains on investments
4
Net (expenditure) income and net movement in funds
Fund balances brought forward at 1 May
Fund balances carried forward at 30 April		 211,086 178,425
211,086 178,425
339,113 250,229
339,113 250,229
(128,027)
112		 (71,804)
339,887
(127,915)
7,871,167		 268,083
7,603,084
7,743,252 7,871,167

All movements derive from continuing activities during the above two financial periods.

The charity has no recognised gains and losses other than those shown above and therefore no separate statement of total recognised gains and losses has been presented.

Tower Hill Trust 18

Balance sheet 30 April 2022

Notes 2022
£		 2022
£		 2021
£		 2021
£
Fixed assets
Investment property
6
Listed investments
7
Current assets
Short term deposits
Cash at bank and in hand
Creditors: amounts falling due
within one year
8
Net current assets
Total assets less current liabilities
Creditors: amounts falling due
more than one year
9
Total net assets
The funds of the charity
Designated funds
12
Unrestricted income funds		 66,161
156,566		 1,450,000
6,428,406		 66,000
118,148		 1,450,000
6,429,061
7,878,406
88,037		 7,879,061
72,106
222,727
(134,690)		 184,149
(112,043)
7,966,443
(223,191)		 7,951,167
(80,000)
7,743,252 7,871,167
1,450,000
6,293,252		 1,450,000
6,421,167
7,743,252 7,871,167

The financial statements were approved by the Trustees on and signed on their Aug 16, 2022 behalf by

Susan Wood

Chair Trustee

The notes on pages 23 to 27 form part of these financial statements.

Tower Hill Trust 19

Statement of cash flows 30 April 2022

Notes 2022
£		 2021
£
Cash used in operating activities:
Net cash used in operating activities
A
Cash inflow from investing activities:
Investment income receivable
Proceeds from disposal of investments
Cost of purchase of investments
Net cash provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at 1 May
B
Cash and cash equivalents at 30 April
B		 (173,275) (203,773)
(173,275)
211,086
7,025,767
(7,025,000)		 178,425
36,000
211,853 214,425
38,578
184,149		 10,652
173,497
222,727 184,149

Notes to the statement of cash flows for the year to 30 April:

A Adjustment of net income to net cash used in operating activities

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2022 2021
£ £
Net income as per the statement of financial activities (127,915) 268,083
Adjustments for:
(Gains) on investments (112) (339,887)
Investment income receivable (224,542) (178,425)
Increase in creditors 165,838 46,456
Net cash used in operating activities (173,275) (203,773)
----- End of picture text -----

B Analysis of changes in cash and cash equivalents

2022
£		 2021
£
Cash held at bank
Short term deposits
Total cash and cash equivalents		 156,566
66,161		 118,149
66,000
222,727 184,149

No separate reconciliation of net debt has been prepared as there is no difference between the net cash (debt) of the charity and the above cash and cash equivalents.

Tower Hill Trust 20

Principal accounting policies 30 April 2022

Background Information

Tower Hill Trust is an unincorporated charity registered under number 206225 with the Charities Commission in England and Wales. It is a public benefit entity, it is domiciled in England and Wales and its principal office is at Marshall House, 66 Newcomen Street, London, SE1 1YT.

The object of the charity is the benefit of people in the area of Great Tower Hill, Tower Hill and the London Borough of Tower Hamlets, through the provision of gardens and open spaces, support of education, recreation and leisure facilities, and the relief of the aged handicapped and poor.

Basis of preparation

These financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

The preparation of financial statements in conformity with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise its judgement in the process of applying the accounting policies selected for use by the Charity. Use of available information and application of judgement are inherent in the formation of estimates. Actual outcomes in the future could differ from such estimates.

The charity meets the definition of a public benefit entity as defined by FRS 102.

Critical judgements and estimates

Preparation of the financial statements requires the trustees and management to make judgements and estimates. The item in the financial statements where judgement and estimate has been made relates to the investment property. The investment property is carried at the last formal valuation conducted in April 2021, with a desktop valuation carried out in May 2022.

Going concern

The Trustees have considered the financial position and resources of the charity for the d that grants are awarded at obligations as they fall due. Therefore, the Trustees have concluded that the going concern basis of accounting continues to be appropriate.

Investment property and investments

Listed investments are included in the financial statements at market value at the balance sheet date. The freehold investment property is included in the financial statements at the formal valuation conducted in April 2021. A desktop valuation was carried out in May 2022 which confirmed no material change to the valuation. The realised and unrealised gains (losses) on investments are credited (debited) to the statement of financial activities.

Tower Hill Trust 21

Principal accounting policies 30 April 2022

Interest and dividends on investments

Interest and dividends, including associated tax credits where recoverable, are included in the financial statements when they are due.

Rent receivable

Rent receivable is included in the financial statements on the basis of the amounts

Grants payable

Grants to beneficiaries are charged on the date approved by the Trustees or on the date of the requirements of the grant being met, if later.

Other expenditure

Other expenditure, including support costs are included in the financial statements on an accruals basis, including any irrecoverable VAT.

Financial instruments

The financial instruments held by the charity are investments, debtors and creditors. These a recognised at transaction price. Investments are subsequently measured at fair value, based upon market price, and changes in fair value recognised in the Statement of Financial Activities. Other financial instruments are subsequently measured at their transaction price less any impairment.

Fund accounting

The general fund comprises those monies which may be used towards meeting the charitable objectives of the charity and which may be applied at the discretion of the Trustees.

The designated funds are monies set aside out of general funds and designated for specific purposes by the trustees.

Tower Hill Trust 22

Notes to the financial statements 30 April 2022

1 Investment income

Investment income
Total
Unrestricted funds
2022
£		 2021
£
Rent receivable from investment property
Dividends from listed investments
Interest receivable
Total		 46,544
164,381
161		 55,310
123,080
35
211,086 178,425

2 Expenditure on charitable activities

Expenditure on charitable activities
Total
Unrestricted funds
2022
£		 2021
£
Grants payable
Direct costs of charitable activities
Support costs (note 3)
Total		 297,586
21,846
19,681		 207,617
20,242
22,370
339,113 250,229

The total office expenditure amounted to £32,606 (2021 - £30,212). This balance was activities (67%) - £21,846 (2021 - £20,242) and 33% as support costs - £10,760 (2021 - £9,970). Further details of these costs can be found in note 10.

3 Support costs

2022
£		 2021
£
Office expenditure
Other
Sub-total
Governance
Audit and accountancy fees
Legal and professional
Meeting and event costs
Total		 10,760
677		 9,970
1,509
11,437
7,074
1,170		 11,479
6,900
3,600
391
19,681 22,370

4 Net gains on revaluation of investments

Net gains on revaluation of investments
2022
£		 2021
£
Net gains on revaluation of listed investments (note 7)
Loss on revaluation of investment property (note 6)
Netgains on revaluation of investments		 112 959,887
(620,000)
112 339,887

5 Taxation

Tower Hill Trust is a registered charity and, therefore, is not liable to income tax or corporate tax on income derived from its charitable activities, as it falls within the various exemptions available to registered charities.

Tower Hill Trust 23

Notes to the financial statements 30 April 2022

6 Freehold investment property

Freehold investment property
2022
£		 2021
£
Market value at 1 May
Loss on revaluation
Market value at 30 April		 1,450,000
1,450,000		 2,070,000
(620,000)
1,450,000

-valued in April 2021 by Lambert

Smith Hampton, external valuers, in accordance with the Royal Institution of Chartered Surveyors Valuation Guidance Standards Red Book Global. A desktop valuation was carried out by Lambert Smith Hampton in May 2022 confirming there was no change expected to the valuation of the investment property. The historical cost of the freehold UK investment property is £257,608.

7 Listed investments

Movements in investments during the year were as follows:

Listed investments
Movements in investments during the year were as follows:
2022
£		 2021
£
Market value at 1 May
Additions at cost
Disposals at book value (proceeds: £7,025,768; gain of £596,707)
(Loss) gain on revaluation
Market value at 30 April
Historic cost of investments		 6,429,061
7,025,000
(6,429,061)
(596,595)		 5,505,174
(33,490)
957,377
6,428,406 6,429,061
7,025,000 3,867,211

The charity holds all of its investments in CCLA COIF Charities Deposit Fund.

The total unrealised (losses) gains as at 30 April constitute movements on revaluation and are as follows:

2022
£		 2021
£
Reconciliation of movements in unrealised gains
Unrealised gains at 1 May
Less: net gains arising on disposals
Add: net (losses) gains arising on revaluation arising in the year
Total unrealised (losses) gains at 30 April		 2,561,850
(2,561,850)
(596,594)
(596,594)		 1,614,293
(9,820)
957,377
2,561,850

8 Creditors: amounts falling due within one year

Creditors: amounts falling due within one year
2022
£		 2021
£
Grants Payable (note 11)
Accruals
Wine Vaults rental overpayment		 114,154
7,080
13,456		 94,473
6,900
10,670
134,690 112,043

Tower Hill Trust 24

Notes to the financial statements 30 April 2022

9 Creditors: amounts falling due after more than one year

Creditors: amounts falling due after more than one year
2022
£		 2021
£
Grants Payable(note 11) 223,191 80,000

10 Related party transactions

Expenses were reimbursed to the Trustees in the year amounted to £nil (2021: £356). The Trustees received £nil remuneration for the year (2021 - £nil).

The principal officers of the Trust are employed by the Wakefield and Tetley Trust. During the year, the Trust paid office expenditure recharges to Wakefield and Tetley Trust of £32,606 (2021 - £30,212).

11 Grants payable

Grants payable
2022
Total
funds
£		 2021
Total
funds
£
At 1 May
Grants awarded in the year
Grants revised in the year
Paid during the year
At 30 April
Grants at 30 April are payable as follows:
Within one year (see note 8)
After more than one year (see note 9)		 174,473
294,346
3,240
(134,714)		 132,854
203,538
4,079
(165,998)
337,345 174,473
114,154
223,191
337,345		 94,473
80,000
174,473

Tower Hill Trust 25

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Notes to the financial statements 30 April 2022

12 Designated fund

The funds of the charity include the following designated fund which has been set aside out of unrestricted funds by the trustees for a specific purpose:

At
1 May
2021
£		 New
designations
£		 New
designations
£		 Gains
(losses)
£		 At
30 April
2022
£
Freehold investment property 1,450,000
1,450,000		 1,450,000
1,450,000

This designated fund represents the value of the freehold investment property (note 6). It is the intention of the trustees that the investment property should continue to contribute as such its value should not be regarded as realisable with ease in order to meet future contingencies and/or obligations.

Tower Hill Trust 27

THT001 Accounts for signing Final Audit Report 2022-08-16 Created.. 2022-08-16 By.. Chdsea D￿S Idiasc@buzz8coll.co.ukl Sl8lus'. SigrEd Tr8nsaclion ID.. cBJCHBCNAB￿-EqFU2eBwI2gnGNZesZaajNe7lDyZOIr "THT001 Accounts for signing" History Document created by Chelsea Dias Idias¢@buzzacotl.co.ukl 2022-08-16- 2..36..09 PM GMT . Document emailed to Davina Walter ldavinawaller@blinternel.coml for signature 20L-0&16- 2..40..08 PM GMT Email viewed by Davina Waller ldavinawaller@blinlemel.coml 2022-08-16- 2."42."47 PM GMT DocLJment e-signed by Davina Waller 1davinawaller@btinlemet.wml Signature Dale.. 2022-08-16- 2..47..24 PM GMT. Time Sourtr.. setver . Document emailed to susanwooduk@yahoo.co.uk for signature 2022-08-16- 2..47..26 PM GMT Email viewed by susanwooduk@yahoo.co.uk 2022-08-16- 2.'56.'59 PM GMT Signer susanwooduk@yahoo.co.uk entered name al signing as Susan Wood 2022-0&16- 2..57..56 PM GMT Document e-signed by Susan Wood 1susanwooduk@yahoo.co.ukl Signature Dale.. 2022-08-16- 2."57'.58 PM GMT- Time Source". 88rv&r Agreement completed. 2022-08-16- 2..57.'58 PM GMT IJ Adobe Acrobat Slgn