THE SIR HARRY PILKINGTON FUND ANNUAL REPORT FOR THE YEAR ENDED 30[TH] JUNE 2021
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THE SIR HARRY PILKINGTON FUND
TRUSTEE’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2021
The Trustees present their annual report and financial statements of the charity for the year ended 30[th] June 2021. The financial statements have been prepared in accordance with the charity’s trust deed, 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 (FRS102) (effective 1[st] January 2015).
The accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
OBJECTIVES AND ACTIVITIES
The trust has been established to make grants for charitable purposes.
Public Benefit:
Funds are distributed giving benefit to a wide range of charitable organisations in Merseyside and St Helens. Particular preference is given to those organisations operating in the following fields: arts and culture, youth work and health and general social welfare.
The Trustee has given consideration to the public benefit guidance published by the Charity Commission.
ACHIEVEMENTS AND PERFORMANCE
Investments have been managed throughout the year by the Investment Managers, with performance being monitored by the trustee. This has enabled the trust to maintain its grantmaking capacity.
Covid-19:
The Covid-19 pandemic has resulted in a reduction in investment income, despite this the Trustees have used reserves to maintain their level of grant-making in order to support local charities fulfilling vital community support work during the uncertain, challenging times.
FINANCIAL REVIEW
Investment income of £159,850 (2020: £174,906) was received during the year. This, combined with reserves, funded grants of £202,060 (2020: £189,165) to charitable organisations. Capital investments were valued at £8,841,060 (2020: £7,356,656) at the year end.
Reserves Policy:
The trust deed permits the spending of capital; the trustee has, however, agreed to retain the capital for the time being and to invest it to produce income to make grants. The trustee is managing the reserves to balance the needs of current and future beneficiaries. It is not anticipated that the needs of beneficiaries will diminish over time.
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THE SIR HARRY PILKINGTON FUND
TRUSTEE’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2021
Investment Policy and Powers:
The trustee has the same full and unrestricted powers of investment in all respects as if it were the beneficial owner. The investment strategy is set by the trustee and takes account of recent demands for funds and an assessment of expected future needs (see Reserves Policy). The investment policy and strategy are reviewed with the investment managers at regular intervals. The investment objective is to maintain, overall, the real value of capital and income.
PLANS FOR THE FUTURE
The objectives remain unchanged for the future; the intention is for continued investment management on a consistent basis and distribution of income to charitable organisations
STRUCTURE, GOVERNANCE AND MANAGEMENT
The trust was established by a Trust Deed dated 14[th] March 1962 and is administered by its corporate trustee, Liverpool Charity and Voluntary Services. LCVS administers and records all donations made. Awards are made in accordance with the Charity’s objectives. The whole operation is therefore covered by LCVS’s own internal processes and controls.
Risk Management:
The main risks to which the charity is exposed as identified by the trustee have been considered and systems have been established to mitigate those risks.
Appointment of Trustees:
The corporate trustee, LCVS, has a trustee recruitment policy that maintains a diverse mix of skills and experience that supports the governance and management of the charity. There is a balance between representation from ‘communities of interest’ and individuals with business acumen. The induction procedure for new trustees includes distribution of background information, access to all records and attendance at an organisational induction session. Following this, new trustees formally sign a declaration of willingness to serve.
Related Parties :
These are fully detailed in note 6 (page 14) of the accounts.
REFERENCE AND ADMINISTRATIVE DETAILS
The Sir Harry Pilkington Fund is a registered charity, number 206740.
Principal Office:
151 Dale Street, Liverpool L2 2AH
Trustee:
The charity has one Trustee, a corporate entity being Liverpool Charity and Voluntary Services (LCVS), which is incorporated under the Companies Act as a company limited by guarantee without share capital as company number 181759, a registered charity, number 223485, and a charitable Trust Corporation. LCVS trustees, who are also its Directors, were as follows during the year:
Chairman
Honorary Treasurer
Heather Akehurst (resigned 25[th] November 2021) Sonia Bassey MBE (appointed 25[th ] November 2021)
Mike Thomas
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THE SIR HARRY PILKINGTON FUND
TRUSTEE’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2021
Heather Akehurst (resigned 25[th] November 2021) Dorcas Akeju Sonia Bassey MBE Maxine Ennis Jonathan Hesketh (resigned 16[th] November 2021) Ken Perry John Price Michael Salla Louise Scholes Gemma Shone (appointed 20[th] September 2022) James Sloan Mike Thomas Sue Williams (resigned 23[rd] June 2022) Neil John Sturmey Henry Terefenko (resigned 27[th] July 2022)
Professional Advisers: Independent Examiner Anna Spencer-Gray RSM UK Tax and Accounting Limited 20 Chapel Street, Liverpool, L3 9AG Investment Managers Rathbone Investment Management Limited Port of Liverpool Building Pier Head Liverpool L3 1NW
TRUSTEE’S RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS
The charity trustee is responsible for preparing a trustee’s annual report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the charity trustee to prepare financial statements for each 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, of the charity for that period. In preparing the financial statements, the trustee is required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the applicable Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material
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departures that must be disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustee is responsible for keeping proper accounting records that 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 applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed.
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THE SIR HARRY PILKINGTON FUND TRUSTEE’S REPORT FOR THE YEAR ENDED 30[TH] JUNE 2021
They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.
Signed on behalf of the Trustee, Liverpool Charity and Voluntary Services.
Mike Thomas Trustee Dated: 6 February 2023
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Independent Examiner’s Report to the Trustee of The Sir Harry Pilkington Fund
I report to the trustees on my examination of the accounts of The Sir Harry Pilkington Fund (‘the charity’) for the year ended 30 June 2021, which are set out on pages 7 to 14.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145 (5)(b) of the 2011 Act.
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I express no opinion as to whether the accounts present a ‘true and fair view’ and my report is limited to those specific matters set out in the independent examiner’s statement.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me reasonable cause to believe that in any material respect:
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accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Anna Spencer-Gray
Name: Anna Spencer-Gray
Name of applicable listed body: The Institute of Chartered Accountants in England and Wales
Relevant professional qualification or body: Chartered Accountant
ON BEHALF OF RSM UK TAX AND ACCOUNTING LIMITED
Chartered Accountants 14[th] Floor 20 Chapel Street Liverpool L3 9AG Date: 10/02/23
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THE SIR HARRY PILKINGTON FUND
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30[TH] JUNE 2021
---------------------UNRESTRICTED FUNDS--------------------
Notes Income from: Investments Total income Expenditure on: Charitable activities 2 Total expenditure Net expenditure / Net movement in funds before gains and losses on investments Net gains/(losses) on investment 3 Net (expenditure) / income Total funds brought forward Total funds carried forward |
Year to 30th June 2021 Year to Income Capital 30th June 2020 Funds Funds Total Total £ £ £ £ 159,850 - 159,850 174,906 ------------ -------------- -------------- -------------- 159,850 - 159,850 174,906 ------------ -------------- -------------- -------------- 211,732 - 211,732 199,590 ------------ -------------- -------------- -------------- 211,732 - 211,732 199,590 ------------ -------------- -------------- -------------- (51,882) - (51,882) (24,684) - 1,484,404 1,484,404 (1,859) ------------ -------------- -------------- -------------- (51,882) 1,484,404 1,432,522 (26,543) 233,660 7,356,656 7,590,316 7,616,859 ------------ -------------- -------------- -------------- 181,778 8,841,060 9,022,838 7,590,316 ======= ======== ======== ======== |
|---|---|
All of the charity's expenditure is derived from continuing activities.
The notes on pages 9 to 14 form part of these accounts.
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THE SIR HARRY PILKINGTON FUND
BALANCE SHEET AS AT 30[TH] JUNE 2021
| ------------------UNRESTRICTED FUNDS--------------- | ------------------UNRESTRICTED FUNDS--------------- | ------------------UNRESTRICTED FUNDS--------------- | ------------------UNRESTRICTED FUNDS--------------- | ------------------UNRESTRICTED FUNDS--------------- | ||
|---|---|---|---|---|---|---|
| At | At | |||||
| Notes | 30th June | 2021 | 30th June | 2020 | ||
| £ | £ | £ | £ | |||
| Fixed Assets | ||||||
| Investments | 3 | 8,841,060 | 7,356,656 | |||
| Current Assets | ||||||
| Cash Balance | 191,450 | 244,085 | ||||
| Current Liabilities | ||||||
| Creditors | 4 | (9,672) | (10,425) | |||
| ----------- | ----------- | |||||
| Net Current Assets | 181,778 | 233,660 | ||||
| -------------- | -------------- | |||||
| Net Assets | 9,022,838 | 7,590,316 | ||||
| ======== | ======== | |||||
| The funds of the charity: | ||||||
| Unrestricted funds: | 5 | £ | £ | |||
| Capital funds | 8,841,060 | 7,356,656 | ||||
| Income funds | 181,778 | 233,660 | ||||
| -------------- | -------------- | |||||
| 9,022,838 | 7,590,316 | |||||
| ======== | ======== |
Approved and authorised for issue by the Trustee and signed on its behalf by
Mike Thomas Trustee Dated: 6 February 2023
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
1 . ACCOUNTING POLICIES
The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (SORP 2015) and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) (effective 1[st] January 2015) and Charities Act 2011.
The trust constitutes a public benefit entity as defined by FRS 102.
The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The Charity has taken advantage of the provisions in the SORP for Charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
Going concern
At the time of approving the accounts the trustee has a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, the trustees continue to adopt the going concern basis of accounting in preparing the accounts.
Investments
In accordance with Statement of Recommended Practice: Accounting and Reporting by Charities (SORP 2015), investments held as fixed assets are stated at fair value. Realised and unrealised gains and losses are dealt with as movements on the Capital Fund. Investments are valued at the mid-market price on the valuation date.
Income recognition
Investment income is stated on a received basis.
Expenditure recognition
Charitable activities include grant funding, along with associated support and governance costs, to charitable organisations. These are dealt with in the Statement of Financial Activities when payment has been agreed. Governance costs relate to compliance with constitutional and statutory requirements and specifically include all costs incurred by the Trust in producing the Annual Report.
Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the Charity to the expenditure.
Cash and cash equivalents
Cash and cash equivalents include cash in hand.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
1. Accounting policies continued…..
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
Taxation
The income and gains of the fund are exempt from taxation as they are applied for charitable purposes only.
2. CHARITABLE ACTIVITIES – GRANT FUNDING
| 2021 | 2020 | |
|---|---|---|
| Direct charitable expenditure: | £ | £ |
| Grant funding | 202,060 | 189,165 |
| Grant making administration – LCVS | 5,328 | 5,830 |
| ------------- | ------------- | |
| 207,388 | 194,995 | |
| ------------- | ------------- | |
| Support & governance: | ||
| Administration - LCVS | 2,664 | 2,915 |
| Examination fee | 1,680 | 1,680 |
| ------------ | ------------ | |
| 4,344 | 4,595 | |
| ------------ | ------------ | |
| 211,732 | 199,590 | |
| ======= | ======= |
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
| 2. | Charitable activities continued… | |
|---|---|---|
| The following grants were made during the year: | ||
| Grants of £1,000 and over | £ | |
| Africa Oye | 2,000 | |
| AP Coaching & Mentoring Academy | 1,000 | |
| Apex Charitable Trust | 2,000 | |
| Autism Together | 1,500 | |
| Autism Ventures | 1,500 | |
| Beechley Stables Riding for the Disabled | 2,000 | |
| Blackfest | 3,000 | |
| Bluecoat | 2,000 | |
| Breckfield and North Everton Neighbourhood Council | 3,000 | |
| Bradbury Fields | 2,940 | |
| Bridge 2 CIC | 1,500 | |
| Business For Youth Newton Le Willows | 2,000 | |
| Byrne Avenue Trust | 1,500 | |
| Charlotte Brightside | 1,000 | |
| Collective Encounters | 1,950 | |
| Come Alive At 55 | 2,000 | |
| Company Of Friends | 1,500 | |
| Crawford House Community Partnership | 2,000 | |
| Creative Spaces | 1,000 | |
| Croxteth Gems Community Association | 2,000 | |
| Croxteth Gilmoss Community Association | 2,000 | |
| Deysbrook Village Centre | 3,000 | |
| Dingle Multi Agency Centre | 5,000 | |
| Dovecot & Princess Drive Community | 1,500 | |
| East Liverpool RDA | 2,000 | |
| Equality & Employment Law | 2,000 | |
| Fazackerley Community Association | 2,000 | |
| Ferries Family Group | 1,000 | |
| First Step Ltd | 1,500 | |
| Granby Somali Womens Organisation | 1,500 | |
| Greenbank Project | 2,000 | |
| Henshaws Society For Blind People | 3,000 | |
| Ibijoke Children Foundation | 3,000 | |
| Igbo Community Association | 1,500 | |
| Independence Initiative | 2,000 | |
| Irish Community Care | 4,500 | |
| Journeymen CIC Wirral | 1,500 | |
| Kensington Vision CIC | 2,600 | |
| Kind Mentors Liverpool | 2,000 | |
| Kindfulness Coffee | 1,000 | |
| Lancaster Pride Foundation | 3,000 | |
| Liberty Church Wirral | 1,500 | |
| Lister Residents Association | 1,000 | |
| ------------ | ||
| 87,490 |
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
| Grants continued…. | 87,490 |
|---|---|
| Liverpool Arabic Centre | 3,875 |
| Liverpool Cancer Centre | 1,800 |
| Liverpool Empowerment & Tenant | 2,000 |
| Liverpool Homeless Football | 2,000 |
| Liverpool Six Community Association | 1,500 |
| Liverpool Veterans Headquarters | 2,000 |
| Mandela8 | 2,000 |
| Marybone Youth Community Association | 1,500 |
| Men Behaving Dadly | 1,500 |
| Mersey Youth Support Trust | 3,000 |
| Merseyside Dance Initiative | 1,800 |
| Merseyside Play Action Council | 1,500 |
| Metal Culture | 1,500 |
| Moulana Community CIC | 1,500 |
| Movema | 1,680 |
| Musicplace North West | 1,500 |
| Natural Breaks | 1,500 |
| New Beginnings Improving Lives | 3,000 |
| Opening Doors Project | 4,968 |
| Our House Walton Community Hub | 1,500 |
| PCC Christ Church & Holy Trinity | 1,000 |
| PCC St Marys Wavertree | 1,000 |
| Personal Success | 1,500 |
| Pollyport CIC | 1,000 |
| Porchfield Community Association | 1,500 |
| Positive Impact Merseyside | 1,500 |
| Positivity Inc. | 1,050 |
| Ready Generations | 1,000 |
| Sanctuary Family Support | 2,000 |
| Shadow Wind CIC | 1,500 |
| Shrewsbury House | 3,500 |
| Signawareness | 2,000 |
| South Central Community Transport | 2,000 |
| Southport FC Community Foundation | 1,000 |
| Speke Community Centre | 2,639 |
| St Cyril’s Community & Young People’s Project | 2,000 |
| St George’s Church | 1,500 |
| St Oswald’s Church | 1,000 |
| Steve Biko Housing | 1,500 |
| Team Oasis | 1,000 |
| The Big Help Project | 2,000 |
| The Bridge House Project | 2,000 |
| The Inclusion Network CIC | 2,000 |
| The New Belve Youth & Community Centre | 4,500 |
| The Power Foundation for Young People | 1,000 |
| The Vibe Liverpool | 1,250 |
| -------------- | |
| 173,052 |
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
| Grants continued……. | 173,052 | ||
|---|---|---|---|
| The Windows Project | 2,760 | ||
| Triple C | 1,500 | ||
| Unity Community Association | 3,000 | ||
| Walton Youth & Community Project | 2,000 | ||
| Well on Wirral | 1,500 | ||
| West Everton Community Council | 2,750 | ||
| Wirral Wellbeing | 1,500 | ||
| Woodlands Hospice | 1,500 | ||
| Writing on The Wall | 4,496 | ||
| Yellow House | 2,072 | ||
| Yoga Nation Wellbeing Hub CIC | 1,500 | ||
| Your Edge North West | 1,600 | ||
| ------------ | |||
| 199,230 | |||
| Other Grants | 2,830 | ||
| ------------ | |||
| 202,060 | |||
| ======= | |||
| 3. | FIXED ASSET INVESTMENTS | ||
| 2021 | 2020 | ||
| £ | £ | ||
| Quoted Investments: | |||
| Market value at 1stJuly 2020 | 7,356,656 | 7,358,515 | |
| Gains/(losses) on investments | 1,484,404 | (1,859) | |
| -------------- | -------------- | ||
| Market value at 30th June 2021 | 8,841,060 | 7,356,656 | |
| ======== | ======== | ||
| Book value at 30th June 2021 | 4,847,197 | 4,847,197 | |
| ======== | ======== |
The trust holds 100% of its fixed asset investments in a Charity Commission approved pooling scheme, the Settlors’ Trust Fund (STF), administered by Liverpool Charity and Voluntary Services and managed by Rathbone Investment Management Ltd. At 30[th] June 2021, the assets of the STF fund had a total market value of £33,037,531 (2020: £28,526,494) of which £8,841,060 (2020: £7,356,656) is an asset of the trust. Due to the pooling scheme it is not possible to disclose the fair value of the investment held in the Sir Harry Pilkington Fund by category (i.e. cash, property, equity).
All investments are held primarily to provide an investment return.
4. CREDITORS
| REDITORS | ||
|---|---|---|
| 2021 | 2020 | |
| £ | £ | |
| Administration – LCVS | 7,992 | 8,745 |
| Examination fee | 1,680 | 1,680 |
| ---------- | ---------- | |
| 9,672 | 10,425 | |
| ====== | ====== |
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THE SIR HARRY PILKINGTON FUND
NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30[TH] JUNE 2021
5. UNRESTRICTED FUNDS
Income Fund: Investment income and donations received for distribution as grants to charitable voluntary organisations.
Capital Fund: Funds held provide income for the ongoing activities of the trust.
6. RELATED PARTY TRANSACTIONS
Charitable Activities: these include £5,328 (2020: £5,830) grant making administration costs and also £2,664 (2020: £2,915) governance costs in respect of accountancy and trust administration. In the year a grant of £2,000 was made to Mandela 8 of which Sonia Bassey is Trustee and also Trustee of LCVS. In 2020 £2,000 was made to Imagine If Trust of which James Sloan is Trustee and also Trustee of LCVS.
Creditors: these include £7,992 (2020: £8,745) owing to LCVS at the year end.
LCVS is related to the Trust by virtue of being the corporate trustee. No trustee received remuneration or expenses as part of their role as Trustee of the charity
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