THE NATIONAL BENEVOLENT SOCIETY OF WATCH AND CLOCK MAKERS Amalgamating in 1916 The Watch and Clockmakers, Benevolent Institution (1815) The Watchmakers, Pension Society (1817) The Watch and Clockmakers, Asylum (1854) Trustees, Report and Accounts Year ended 31st October 2021 Charity Registration No. 206750
THE NATION BENEV LENT SO IETY OF WATCH AND CLOCK MAKERS CONTENTS Page Report of the Trustees Report of the Independent Examiner Statement of Financial Activities Balance Sheet Notes fOnIng part of the accounts 9-13
THE NATIONAL BENEVOLENT SOCIETY OF WATCH AND CLOCK MAKERS REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31" OCTOBER 2021 DMINISTRATIVE INFORMATI Charlty Name The National Benevolent Society of Watch and Clock Makers Charities Commlsslon Registration Numb8r 206750 Prln¢lpal Offlce clo The Worshipful Company of Clockmakers 1. Throgmorton Avenue LONDON EC2N 2BY Trustees P.F.Cradock LVO FBHI (Chair) K.E.Angliss FCA R.A.Ball LVO FBHI M.W.Elliott FCA Mrs E Gill L.G.Gleave Mrs V.A.Leonard FBHI H.C.Newman FBHI B.E.Pestell P.Roberson FBHI P. Taylor {resigned 25121211 D.G.Williams Prosident The Master ofthe Worshipfvl Company of Clockmakers Honorary Treasurer K.E.Angliss FCA Sgcretary Mrs J.A.Baker Indopondent Examlner S Holmes ACA. DChA. Haysmacinlyre LLP 10, Queen Street Place LONDON EC4R 1AG Bankers CAF BANK Ltd. PO Box 289 Wesl Malling KENT ME19 4TA Investment Managars Investec Wealth & Investment 30 Gresham Street. LONDON EC2V 7QN
THE NATI NAL BENEVOLENT SOCIETY OF WATCH AND CLOCK MAKERS EPORT OF THE TRUSTEES FOR THE YEAR ENDED 31bl OCTOBER 2021 The trustees present their report along with the financial statements of the charity for the year ended 311t Odober 2021. The financial statemenls have been prepared in accordance wrth the accounting pjlicies set out in rtrote 1 on pages 9 & 10 and comply wjth the chanty's constitution. the Charities Act 2011 and the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) {Charities SORP (FRS1021 Second Edition)- Structure. Govomance and Management The charity was established by a charitable trust deed in 1916. which amalgamated The Watch and Clockmakers Benevolent Institution, The Watchmakers. Pension StKiety and The Walch and Clockmakers Asylum. and Is a registered charity No. 206750. The charity does not actively fijndraise and seeks to continue ils philanthropic work through the careful stewardship of existing resources. The charity is however mindful of the code issued by the Fundraising regulators. Trustees are appointed by the members of the Society and each of the followtng bodies is also entitled to apwint trustees, namely The Worshipful Company of Clockmakers, The British Horological Institute and The Brits'sh Watch and Clockmakers Guild. Trustees Trustees are trained by attendance at Injstee meetings, by attendance al Ihe meetings of their own bodies and by refence to appropriate documentation of the Charity Commission in particular the Charty Commission's guidance 'The Essential Trustee,. The trustees who meet regularly to consider grant applications, to deal with all administrative matters and to fix the next quartedy payment to beneficiaries, make all decisions regarding the charity as key management. There are no related charities or subsidiaries. Rlsk Managemont The trustees have considered the major risks to which the charity is exposed and have reviewed those rfsks and 8st8blished systems and procedures to manage those risks. The trustees consider the variability of inveslment relurns to constitute the charity's major risk and work with the Investment Managers to minimise such a risk. In the light of the current financial climale, the Iruslees have considered the specific risk involved with cash deposits with banks and other financial institutions. Having made their own enquiries of those financial institutions with which the charity has investments, the Iruslees have come lo the conclusion that, although no deposit can be totally secure, the risk that the charity's funds will not be recovered in the event of a catastrophic 8vent is as minimal as Ihey might expect in the current economic conditions. Objectlves and Actlvltlos The objects of the charity are to relieve old age, sickness, disability, infirtY, and financial needs of persons vtho have been engaged in any branch of the watch or clock trades and their wid¢)ws or widowers. Th8 activiti&s of the charity are the payment of grants lo existing beneficiaries of as much of the charity's total assets as is, in the opinion of the trustees. appropriate being mindfvl of the current number of benefici8ries and the likely call on future fvnds. Grants and Ellglblllty In accordance with the constitution. all potential beneficiaries must have been engaged in a branch of Ihe watch and clock trade. Each applicant is required to complete an application form that is then considered by the trustees (often one of the trustees will have kn(Iwledge of the applicant and can give further infom)ation} and a deasion is made on the application. Grants are generally awarded by the trustees rfthe annu81 income of the applicant is less than £20.000. although this is only a CAJmmittee guideline and decisions may be arrived at where olher information is available.
THE NATIONAL BENEV ENT SOCIE OF WATCH AND CLOCK MAKERS REPORT F THE TRUSTEES FOR THE YEAR ENDED 31bt CTOBER 2021 Achlevement$ and Perfomianca The Charity continues to pay grants to beneficiaries. At 31S1 October 2021 there were 94 recipients of the Society's grants12020- 102) In the year to 31%t October 2020 additional payments were made to those who, rther to a questionnaire to all beneficiaries. requested special assistance or who were receiving means tested benefits. In this year {to 31st October 20211 the trustees took account of those who had had such assistance and those receiving Pension or Universal Credit. We have therefore continued to pay increased grants each quarter lo th05e concerned. In September. a payment of the additional grft to cover the TV Licence of all beneficiaries was continued. Al the October meebng of trustees, il was decided that the concem regarding the likely rise in the cost of healing could be causing hardship lo many beneficiaries and it was agreed lo make an immediate exceptional payment of £100 to help alleviate such concems. The trustees are of the opinion that with the ever-reducing number of beneficiaries, despite considerable efft)rts to increase such numbers. it is reasonable to maintain and even increase paymonts whilst the overall funds remain in a healthy state. Should this situation change it is understood that adjustments may b8 required. During the year the following applicants were elected.. Mr G Antonelli. Mr J B Jones, Ms K S Lee, Mr S Thomas. Mr C Wilkes The following had grants transferred on the death of their spouses- Mrs D Pugsley The trustees recorded, with regret. the death of the following beneficiaries.. Mrs J Cullum. Mrs S Denton. Mrs C Garrett, Miss C S Holman, Mrs D Hutt, Mrs A Jackson, Mr D Leah. Mrs B Mann, Mrs S Miles. Mrs R Pein5. Mr L Puggley, Mr B Sandford, Mrs R Setterfield. The following grants were disconlinu8d'. Mr B Staight Iresigned} FinanGlal RovI6w The tharity is reliant on the income from its investments. which amounted to £74.65612020'. £80.342). In Ihe current year, the attached financial statements show a deficit. before other recognised gains and losses. of £199.772 {2020.' Deficit £203,187) Investment Pollcy and Pèrformance The trustees set the inv8slment glrategy, and the Honorary Treasurer attend$ regular meetings of the Investment Panel of the Worshipfvl Company of Clockmakers who consider the investment policy in assoc*ation with Inveslec Wealth & Invegtmanl Limited. The Panel considers the income requirements. the risk profile and the investment managers, views of Ihe market prospects ill the medium tem). This strategy is sel wrthin a current overall policy which stales that the fund is to be invested in low and medium risk investments primarily to attempt to provide suffici8nt income to continue with grants al the present level. Reserves Revlew including Pollcy The charrty is mainly reliant on its return from investments to fund its charitable aims. and therefore has a reserve$ policy. which aims to provide sustainable funds for tho fvture. The number of beneficiari8s shows a constant reduction and the trustees review the level of benefits each year. dependent on the income and the reserves in place. to ensure Ihe adequacy of suth reserves. It is the trustees. opinion thal the current level of unrestricted reserves. as shown in the Balance Sheet. of £2,698,881 {2020= £2,400,621) is adequalg to meet Ihe future objectives of the Society.
THE NATIONAL BENEVOLENT SOCIETY OF WATCH AND CLOCK MAKERS REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31st OCTOBER 2021 Plan8 for the Futuro The trustees are mindful of the continuing needs of the charitys beneficiaries and of their ever-increa8ing essential living expenses. They are also 8ware that thése increases may result in fvrther eligiblo benéficiariés bèing in noad of the charity's assiStsn. The trustees continued an active strategy to obtain information from many areas of the trade and indeed individua15, to seek out F)Otential new beneficiaries. However over recent years the number of benefici2rle$ has shown a steady dedine11998.. 228 - 2021.. 941. The trustees are considering continuing the payment of similar Grants and Gifts for 202112022 a5 made in 202012021 with the addition of some increased Grants to those noted as most needy. This may, depending on the investment income achieved and the on-going number of beneficiaries, result in the use of circa £200,000 of capital. The charty invites anyone to bring to the charity's attention any member or fomier member of the watch and clock trades whom they consider may be in need of the Society's assistance. All cases are sympathetically investigated and no deserving case is turned down. Publlc Bonellt The trustees confimi that they have refeed to Chaty Commission's general guldance on public benefit when reviewing the Society's aim and objects and in planning future activities for the year. The Soryety is tx)nstantly looking to increase the number of beneficiaries it supports. Going ConGom The Board of Trustees Is of the opinion that the chanty has adequate resources lo continue in operational existence for the foreseeable future and there are no material uncertainties regarding the Trust's abllty to do so. This opinion remains true after considering matters in the light of Covid 19. Trusts85 rosponsibilities in relation to the financial statements Law applicable to charities in England and Wales requires the trustees to ppa a¢¢ounts for each financlal year. which give a true and fair view of the Gharity's financial activitie5 during the year and of its financial position at the end of the year. In preparing those accounts the trustees are required lo: select surtable accounting policies and then apply them consistendy. observe the methods and principles in the Charities SORP., make judgements and estimates that are reasonable and prudent.. state whether applicable accounting standards and statements of recommended practice have been followed, subject to any departures explained and disclosed in the accounts., prepare accounts on a going cKJncem basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping sufficient accounting records that disclose wtth reasonable accuracy at any time the financial position of the charity and enable them to ensure thal the accounts comply with the Charities Acl 2011, the Charity (Accounts and Reports) Regulations 2008. United Kingdom Generally Accepted Accounting Practice and the provisions of the Charity's constitution. They are also responsible for safeguarding the assets of the charity and hence for laking reasonable steps for the prevention and detection of fraud and other irregularities. ststgment of dlsclosure to Independent examlngrs So far as the trustees are aware, there is no relevant information of which the charity'5 examiners, are unawa. Addrtionally. the trustees have taken all the necessary steps that the Iruslees ought to have taken as trustees in order tr) make themselves aware of all relevant infomiation and to estsblish that the charity's examiners are aware of that information.
THE NATIONAL BENEVOLENT SOCIE OF WATCH AND CLOCK MAKERS REPORT F THE TRUSTEES FOR THE YEAR ENDED 314t OCTOBER 2021 Thanks The trustees sincerely thank all who have supported the Society in the past year. and in parucular: _ All who have brought deserving cases to tho attention of the Soei8ty. The Investment Panel of the Worshipful Company of Clockmakers. The Secretary and Honorary Treasurer for Iheir work on behalf of the Scciety and its beneficiaries. Investec Wealth & Investment for providing a meeting room and hospitslity for the trustees, meets'ngs until the current (x)ronavirus restrictions were implemented, when meetings were held by Zoom. Approved by the trustees on 24th February 2022 and signed on their behalf by.. P.F.Cradock LVO FBHI (Chair of the trustees)
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE NATIONAL BENEVOLENT SOCIETY OF WATCH AND CLOCK MAKERS I report to the Trustees on my examination of the accounts of the National Benevolent Society of Watch and Clock Makers for the year ended 31 October 2021 which are set out on pages 7 to 13. RospeGtive rnsponsibilities of trustees and oxamlnor The trustees are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 1.the 2011 Act"). The Iruslees are satisfied that an audit is not required for this year under section 144121 of the Charities Act 2011 (the 2011 Act} and have chosen instead lo have an independent examination. I report in respect of my examination of the Trust's 8ccounts as Carried out under section 4411 } {¢} of the 2005 Act and section 145 of the 2011 Act. In carrying out my examination I have followed the requirements of the applicable Directions given by the Charity Commission under gection 14515)(bl of the 2011 A¢t. Independent examlner's statement I can confirm that l am qualified to undertake the examination because l am a registered member of Ingtltute of Charted Accounlants in England and Wales which is one of the listed bodies. I have completed my ex8mination. I confim) Ihal no matters have come to my attention giving me cause to believe that in any material Spect.. accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act- or 2. the accounts do not accord with those records,. or 3. the accounts do not comply with the applicable requirements concerning the form and LX)ntent of acLounts 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 concems 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 ached. LLF Siobhan Holmes ACA. DChA. Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG Date.. 22 March 2022
THE NATIONAL BENEVOLENT SOCIETY OF WAT H AND CLOCK M RS STATEMENT F FINANCIAL ACTIVITIES FOR THE YEAR ENDED 3111 OCTOBER 2021 nd Fun 2021 2020 Notes Incomo from: Don8tions Investsn&nt inc¥)me 2 (1) 2 (11) 1.226 74,656 80,342 Total Income 75.882 80,342 Expendlture on: Raising funds Charitable actwities 13.561 262,093 12,900 270.629 Total oxpendlture 275,654 283,529 Not Incornellexpendlturel befor• galns and lo$wJ on Investmonts {199,772) 1203,187) Other recognlsed galnsl(lossos) Net gainslllosses} on investments 498,032 183,796) Net movement In funds 298,260 1286,983) Reconclllatlon of funds: Totsl Funds Brought Forward 2.400.621 2.687.604 Total Funds Carrled Forward 12 2,698,881 2,400,621 The results for the year and the previous year as get out above have been derived entirely from continuing operations. There are no reu)gnised galns or losses other than those passing through the Statement of Financial Activities. The note5 on pages 9 to 13 fomi part of these accounts.
THE NATIONAL BENEVOLENT SOCIETY OF WATCH AND CK MAKERS BALAN HEET AS AT 31" OCTOBER 2021 All Funds are Unrestrfcted Funds 2021 2020 Notes Flxed AssatB Investments 2,679,490 2.385,920 Current Assets Cash at bank 24,041 18,801 Credltors: Amounts falling due within one year 14.650) (4,100) Not curr8nt assots 19.391 14,701 Total assets less curront Ilabilltles 2,698,881 2,400.621 Repr8$ontod by: Unrestri¢ted Funds 12 2,698,881 2,400,621 2,698,881 2.400.621 Approved by the trustees on 24th February 2022 and signed on their behalf by: P.F.Cradock (Chair) K.E. Angliss {Honorary Treasurer) The notes on pages 9 to 13 form part of these accounts.
THE NATI NAL BENEVOLENT OCIETY OF WATCH AND CLOCK MAKERS NOTES FORMING PART OF THE ACCOUNTS FOR THE YEAR ENDED 31st CTOBER 2021 Accountlng poliGle$ The principal accounting policies adopted. judgements and key sources of estimation uncertainty in the preparation of the finanaal statements are as follows.. (a) Basls of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. statement of Recommended Practice applicable lo charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102F {Charities SORP (FRS102 Second Edition). the Financial Reporting Stsndard applicable in the UK and Republic of Ireland {FRS 1021, The National Benevolent Society of Watch and Clock Makers meels the definition of a public entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless othernvise ststed in the relevant accounting policy notes. Ib) Golng concern The Trustees consider that there are no material uncertainties about the Charity's ability to continue as a going concem. The review of our financial position, reserves level and future plans give Tnjstees Confiden the charity remains a going concem for th8 foreseeable future. This view remains when considered alongside Covid 19. {c} Funds structurg The charity has a single unrestricted fund and under the charty's constitution both the capital and income may be used in furtherance of the aims and activities of the charity. No funds have been designated. (d) InGom• All income excepl dividend income is recognised once the charity has entitlement lo the r8sourc8S, it is probable that the resources will be received, and the monetary value of incoming resources can be mgasured with sufficient reliability. Dividend income is recognised on roceipt. {9) Expondlturè Liabilities are recognised as resources expended as soon as ther8 is a legal or constructive obligation comm'rtting the charity to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Costs of generatlng funds The costs of generatirsg funds consist of the investment managerfs fees. Charltsblo al¥ll1&S Costs of charitable activitie5 include grants made and an apportionmenl ofoverhead and support cos15 as shown in note 4. Grants payable are payments made to third parties in furtherance of the tharitable objectives of the charity- The grants are accounted for where the trustees have approved payment of the grant without conditson and the recipient has a reasonable expectation that they will receive a grant. Governance costs Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory examination of the accounts together with an apportionment of overhead and support costs.
THE NATIONAL BENEVOLENT SOCIETY OF WAT D CLOCK MAKERS TES FORMING PART FTHEA COUNTS FOR THE YEAR ENDED 31" OCTOBER 2021 (fj Fixed asset Investments Invègtmenls are a form of basic fin2nci81 instruments and are initially shown in the financial statements at market value. Movements in the market values of investments are shown as unrealised gains and losses in the Statement of Financial Activities. Profits and losses on the realisation of investments are shown as realised gains and losses in the Statement of Finaneial Activities. Realised gains and losses on investments are calculated befvleen s81es proceods and their opening carrying values or their purchase value if acquired subsequent lo the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year-end and their arying value. Realised and unrealised investment gain5 and losses are combined in the Slatemenl of Financial Activities. Ig) Cash and Gash equlvalents Cash and cash equivalents includes cash and short temi highly liquid investments with short term maturity of three months or less from the d8te of acquisition or opening of the deposit or similar account. {h} Credttors and provisions Creditors and provisions are recognised where the charty has a present obligation resulting from a past event that will probably resull in the transfer of funds to a third paty and the amount due to settle the obligation can be measured or estimated reliably. Credrtors and provisions are normally recognised at their settlement amount aft8r allowing for any trade discounts due. Estirnatss and Judgofflents Estimates and judgements are continually evaluated and are based on histical experience and other factors. induding exCtatIOnS of future events that are believed to be reasonable under the circumstances. Athou h these estimates are based on the Iruslees, best knowledge of the amunt. events or actions, actual results u diffgr from these estimates. The trustees do not consider there to b8 any estimates and judgements. timately U) FlnanGlal Instruments poliGy The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instrumenls. Basic financial instruments. including trade and other debtors and creditors are inits'ally regnISed at transaction value and subsequently measured at their 5ettlemBnt value. 10
THE NATIONAL BENEVOLENT OCIETY OF WAT AND CLOCK KERS TE PART O HE ACCO NTS FOR THE YEAR ENDED 31" OCTOBER 2021 2 (1) Donatlons 2021 2020 Family ofthe late Mrs Helen Bennett A Guild Member Mr Paul Jordan 1,000 26 200 1.226 2 (111 Investment Incom& 2021 2020 UK Interest UK Unit Trust Interest UK Equities UK Unit Trust Dlvidends Global On deposits with brokers 1,975 10.590 37,609 9,917 14.565 1.469 13,650 33,427 15,921 15,873 74.656 80,342 Ralslng funds 2021 2020 Investment management fees and charges Sundry Creditor Blfwd. Charge in year Sundry Creditor cd. {1.1001 13,511 1,150 (1.2001 13.000 1.100 13.561 12,900 Allocatlon of support costs and overheads The breakdown of support costs and how these were allocated betsveen Govemance and Charitable Activrties is shown in the table below.. 2021 Cost typo Total Allocated Govemanco Charftsblg Actlvltl8s Ba$ls of Apportlonmont Secretarial Office Costs Bank Charges 22.500 1.768 90 3,375 299 19.125 1.469 90 Staff Time Co Charged 24,358 3,674 20,684 2020 Co$t type Total Allocated Governance Charltablo Actlvltles Basls of Apportlonm8nt Secretarial Office Cost9 21,500 1,755 60 3,225 505 18,275 1,250 60 Staff Time Cost Charged
Bank tharges 23,315 3,730 19,585 . Office costs include Postage, Stationery, Telephone and Computer consumables. 11
THE NATIONAL BENEVOLENT SOCIE OF WATCH AND CLOCK MAKERS NOTES FORMING PART OF THE NT YEAR ENDED 311t OCTOBER 2021 Charitablo actlvltles 2021 2020 Grants in Aid Heating & Seasonal Gifts Television Licenc& fee Support Costs (note 4) Governance costs (note 6) 110.800 108.450 15,105 20.684 7,054 107,100 120.607 16,371 19,585 6.966 262,093 270,629 Reconclllallon of grants payable: Commitments al 181 November 2020 Commitments made in the year Grants paid in year {all to individuals) 234,355 (234,3551 244.078 1244.0781 Commltmontg at 31 O¢tob•r 2021 Gov8manco costs Secretarial fees Inote 4) offi costs {note 41 Independent Examiners, remunerotion 3.375 299 3,380 3.225 505 3,236 7,054 6.966 Flxad assot Inv•stments Opening market value Proceeds on disposals Add.. Acquisitions at cost Gains on Investments12020- Loss) 2,371,039 1521,173) 331,592 498.032 2.630,369 (470,1401 294.606 (83,796} Closlng market valuo Cash Deposit with stockbroker 2.679.490 3,951 2.371.039 14.881 2,683,441 2,385,920 Hlslorlcal cost 1,692,294 1,633,474 Curront asset Investments, short terni deposlts and cash at bank These comprise income ¢ash held at the Stockbroker and cash at the Bank. Crgdltors: amounts falllng due wlthln one year 2021 2020 Examination Fee Provision Investment Management Fee Provision 3.500 1,150 3,000 1,100 4,650 4,100 12
THE NATIONAL BENEVOLENT CIETY OF WATCH AND CL K MAKERS NOTES FORMING PART OF THE ACCOUNTS FOR THE YEAR ENDED 31" OCTOBER 2021 10 Related party transactions None of the trustees or other person related to the charity had any personal interest in 8ny conlracl or transaction entered into by the charity during the year. 11 Trustees, remunoratlon and expenses No remuneration was paid or is payable either directly or indirectly forlhe yearto any trustee orlo any person or persons known lo be connected wilh any of them12019'. £nil). No reimbursement of expenses has been made or is due to be made lo any of the trustees in respect of the year other than to the Honorary Treasurerfor expenses relating to the accounting requirements of the Society of £4912020.. £130). 12 Analysls of movernont in funds Balance at November2019 Net movement in funds 2,687,604 (286.9831 Balance at 1st November 2020 2,400,621 Net movement in funds 298,260 Balanc6 at 315t October 2021 2,698,881 13