COMPANY NUMBER: 0654676 REGISTERED CHARITY NUMBER: 209367 ATD FOURTH WORLD LIMITED A company limited by guarantee and not having a share capital DIRECTORS’ REPORT AND UNAUDITED FINANCIAL STATEMENTS YEAR ENDED 3158’ DECEMBER 2020 RPG CROUCH CHAPMAN LLP Chartered Accountants 5" Floor 14-16 Dowgate Hill London EC4R 2SU ## ATD FOURTH WORLD LIMITED ## FINANCIAL STATEMENTS YEAR ENDED 318’ DECEMBER 2020 |CONTENTS|PAGE| |---|---| |Reference and administrative information|1| |Report ofthe directors|2-11| |Independent examiner's report|12| |Statement offinancial activities|13| |Balance sheet|14| |Notestothefinancialstatements|15-27| ## ATD FOURTH WORLD LIMITED REFERENCE AND ADMINISTRATIVE INFORMATION AS AT 318' DECEMBER 2020 ## DIRECTORS: ## C. Davies N. Edwards A. Gupta M. Guy M. Muthalaly T. Mason (Chair) T. Mayes |, Pypaert-Perrin E. Kyung Young Suh |. Whitefoot ## SECRETARY: ## T. Croft REGISTERED OFFICE AND PRINCIPAL ADDRESS: 48 Addington Square London SE5 7LB ## REGISTERED NUMBER: 0654676 REGISTERED CHARITY NUMBER: 209367 ## INDEPENDENT EXAMINER: Jeremy Tyrrell RPG Crouch Chapman LLP 5" Floor 14-16 Dowgate Hill London EC4R 2SU BANKERS: CAF Bank Limited PO Box 289 West Malling Kent ME19 4TA National Westminster Bank Pic Camberwell Branch 70 Denmark Hill London SE5 8TT 2 4. ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS The directors present their annual report together with the financial statements of the company for the year 1 January 2020 to 31 December 2020. The Annual report serves the purposes of both a Trustees' report and a directors’ report under company law. The directors confirm that the Annual report and financial statements of the company comply with the current statutory requirements, the requirements of the company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019). Since the company qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted. The directors confirm that the Charity Commission's general guidance on public benefit has been considered in relation to the aims of the Charity. The report sets out these aims and objectives and describes how they have been met in the current year. ## PRINCIPAL ACTIVITY The company’s main objective is the relief of families in need of recuperation and rehabilitation by reason of their poverty or from social/economic circumstances by means of residential and nonresidential centres and the promotion/provision of other activities deemed necessary to advance the well-being of such families. The company's activity is concentrated on the relief of poverty in the United Kingdom, operating mainly from two centres, 48 Addington Square in London and Frimhurst Family House in Surrey, both of which are provided rent free by ATD Fourth World Trust, an independent charity. The company does not provide financial support to individuals but works alongside people experiencing persistent poverty to undertake family support projects and to give thema voice to change and influence the work of policy makers and practitioners in the Social Services and Government. The company's approach is to facilitate the participation of people from a background of poverty in the planning, carrying out and evaluation of these projects. ## STRUCTURE, GOVERNANCE AND MANAGEMENT The company was incorporated on 30th March 1960 and is governed by the Memorandum and Articles of Association. It is a registered charity, number 209367, and a registered company, number 0654676. ## Directors The directors are the charity trustees. Those who have held office during the period were as follows: C. Davies N. Edwards A. Gupta M. Guy M. Muthalaly T. Mason (Chair) T. Mayes |. Pypaert-Perrin E. Kyung Young Suh (appointed 01.12.2020) |. Whitefoot (appointed 01.12.2020) The directors are elected by the members at the annual general meeting and by fellow directors during the year. ay ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS - continued ## Risk Assessment The charity's main financial risk is the possibility of being unable to obtain sufficient funding to enable it to continue to fulfil its objectives. The risk is being addressed by ensuring that good relations are maintained with actual and potential grantors and by continually seeking new sources of funding. Progress in minimising this risk is detailed in the Reserves Policy Statement on page 10. Other financial risks are addressed by insurance and by procedures such as dual cheque signatories. Other risks are covered by having effective policies and procedures in place for COVID-19, safeguarding children and vulnerable adults, health and safety, etc. and by having a board of directors with experience and competence which meets regularly to supervise all aspects of the charity's work. ## REVIEW OF ACTIVITIES AND FINANCIAL RESULTS 2020 During the 12 months the company has actively pursued its charitable activities and there was a surplus of £55,180 (2019: £11,430) as shown in the Statement of Financial Activities on page 13 of these financial statements. Projects that involve providing support to families living in persistent poverty have continued to be carried out from both the London headquarters and Frimhurst Family House. ATD Fourth World actions and projects in 2020 continued to develop and evolve in order to remain relevant to the most vulnerable and excluded families. ATD FOURTH WORLD is a human rights based anti-poverty organisation, with over 60 years’ experience of tackling inequality and promoting social justice in the UK. OUR VISION is of a world without persistent poverty, where everyone is valued, can participate fully in society and fulfil their potential. OUR MISSION is to build a network of people, groups and organisations committed to overcoming persistent poverty. OUR AIMS are to support families and individuals living in persistent poverty: - e to get through times of crisis - e to strengthen their networks of support - e to develop their skills, confidence and knowledge and bring them together with other members of the public, including professionals, academics, and policy makers; - e toraise awareness of persistent poverty - e to counter prejudice and discrimination - e to improve policy and practice ## OUR VALUES - » Reaching the hardest to reach: Many target-led services fail to reach the most disadvantaged people. We believe that families and individuals who have the most difficult lives hold the key to understanding and overcoming persistent poverty. They are at the heart of everything we do. aa ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS - continued - » Taking people seriously: When people are in difficulty, the focus is often on their problems or perceived shortcomings. Our approach is to recognise the strength, determination and resourcefulness it takes to just get by. We build on the important roles people play in their family and community and support them to realise their dreams and aspirations. - » A long-term commitment: Whereas persistent poverty is enduring, complex and deep-rooted, much of the support society offers is short-term, narrow and results driven. We are committed to accompanying people over the long run, moving forward with them at their own pace and building our projects around their hopes and ambitions. - » Giving people a voice: The socio-political debate on poverty rarely includes those who are the most affected, even though their knowledge and insight is vital. We believe that everyone's voice matters and that people living in persistent poverty should have the chance to speak out on issues that concern them. - » Working collaboratively: We are not a service provider. The ATD Fourth World community include full-time core workers, families living in persistent poverty, supporters and volunteers. All are encouraged to get involved in every aspect of what we do, from project planning to evaluation, from fund-raising to campaigning, from administration to governance. ## OUR MAIN ACTIONS AND PROJECTS CARRIED OUT IN 2020 The main projects undertaken in the year are shown in note 17 of these financial statements and further details of these activities are described in the company’s Annual Review, which is sent to supporters. All activities continue to be supervised by the Board of Directors at regular Board meetings held five times in the year, through the receipt of regular financial and activity reports and by discussion with management. The directors also hold an annual away day. ## Together in Dignity — Outreach, Respite and Peer Support Programme Today, families experiencing persistent poverty and social exclusion in the UK need more support than ever to ensure their well-being and provide a better future for their children. The challenges faced by these families are complex, including: poor health; inadequate housing with little access to recreation; a lack of regular or decent employment; financial emergencies often linked to debt or housing arrears; and a lack of opportunities for educational and cultural development. Our Together in Dignity programme promotes well-being, community and agency by offering individuals and families opportunities for rest and recuperation, the chance to contribute to voluntary action, as well as to benefit from solidarity and advocacy in times of crisis. It incorporates three projects grouping different actions. ## Project 1— Community Outreach & Peer Support ATD Fourth World believes that a key component towards overcoming poverty is to encourage families living in long-term poverty to engage in community life and to access services offering appropriate support. Central to achieving this goal is a commitment to reaching the hardest to reach families and recognising the roles they already play in their neighbourhoods and communities, accompanying them through crisis and strengthening their support networks. Using a family-led approach, we help professional agencies engage better with the concerns of parents and children and increase families’ access to local support services as well as social and cultural activities. At the same time, we introduce families to ATD Fourth World’s family network, which provides solidarity, advice and understanding from peers who have faced many of the same struggles. = ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS ## - continued Our Community Outreach and Peer Support project tackles the issues that surround persistent poverty and social exclusion, such as heavy-handed social service interventions, a punitive benefits system, limited employment opportunities, and isolation and loneliness. “When you get support from ATD Fourth World, you're in a relationship with a whole bunch of other people. It lasts because ATD believes that families have huge potential and that they might not have had the chances or the opportunities in the past but, given those, things can happen.” This year our focus was on staying in touch with members of ATD Fourth World's family network during the pandemic, where we assisted vulnerable families and individuals with getting on-line, shopping, getting vaccines, remote court hearings, home schooling, and well-being activities. Much of this support was provided on-line but we also conducted community visits and home visits when necessary and in accordance with Government social distancing guidance. ## Project 2 - Getting Away From It: holidays from poverty Our Getting Away From It project strives to offer families and adults time away from the day-today pressures and anxieties of a life in poverty as well as an opportunity to share experiences, strengthen relationships and form new friendships. The residential breaks at Frimhurst Family House in Surrey, hand-in-hand with celebratory events such as our Summer Family Fun Day and Christmas party, enable families to invest in activities and workshops together alongside others in similar situations and once again feel part of a wider community. Providing positive experiences for children, young people and families can, in link with other aspects of our Family Support Programme, act as a foundation for the longer-term relationships necessary to tackle the more challenging issues faced by families. Set in its own woodland grounds, Frimhurst Family House is a modernised, Victorian manor house boasting facilities such as a library, an art studio, games room, nursery, computer suite and four purpose-built family apartments. “Once you get to Frimhurst and you see the open grounds and greenery, you're totally relaxed. You've left your problems behind fora little while. It's a chance to recharge the batteries; for the children to play and for the parents not to worry about them. It's an opportunity to spend quality time as a family.” In 2020, activities were severely curtailed by the COVID-19 pandemic. When restrictions permitted, a number of vulnerable families enjoyed well-being day trips to Frimhurst during the summer and one group of isolated adults to benefit from a well-being weekend in the autumn. Proj - Skill-Sharin | i At the heart of our Skill-Sharing Workshops and Access to Volunteering initiative is the aim of enabling people to overcome the constraints that the daily reality of poverty places on their opportunities for a brighter future. Bringing people together through volunteering, where new skills can be learned, shared and taken back into the wider community, is one way to counter the loneliness and separation of poverty and exclusion. nix ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS ## - continued Through supported volunteering placements and the opportunity to participate in community initiatives, the project seeks to build people's confidence and help them explore their potential by broadening their horizons, valuing their contribution and supporting them to prepare themselves for the world of work. Over the course of the project, a number of participants have received multiple Southwark Star awards and gained qualifications in various subjects. “| left school with only one GCSE, in Art, but | feel like I've got real qualifications now. This has shown me that working in an office means meeting people, it means job satisfaction, it means being able to use a computer and answering the telephone. But, more than anything, having a qualification means a lot to me... | wanted to seeif | could get that certificate and get something that | never got when | was at school.” This year our skill sharing activities were suspended due to the COVID-19 pandemic. ## Giving Poverty a Voice — Policy, Participation and Training Programme The Giving Poverty a Voice - Policy, Participation and Training Programme (GPAV) empowers people in poverty to build their knowledge and express their ideas on issues that affect them. By providing people with the confidence and skills with which to campaign and speak out publicly, the programme builds individual and collective activism. Together, our activists work with our allies in the anti-poverty, human rights and social work fields to influence research, policy and practice by engaging, through a participatory approach, with academics, policy-makers and practitioners in the public debate on finding solutions to poverty. The programme is comprised of three projects: Understanding Poverty, Poverty Experts and the Right to Family Life. ## the UK The Understanding Poverty project aims to create a peer network of community activists with lived experience of poverty and equip them with the knowledge, skills and confidence to share their individual and collective knowledge in the public debate on poverty. Using participatory methodologies, we help participants to explore the issues that affect them in their daily lives and to connect their knowledge and experience to current debates in policy, research and practice. The project provides participants with opportunities to meet, think and train with their peers, thus creating a peer support network which strengthens their individual and collective voice. The beginning of the year saw us hold a residential session for around 18 ATD Fourth World activists with lived experience of poverty. The session focused on what it meant to represent ATD Fourth World and on gaining a collective overview of the various national lived experience networks ATD Fourth World is forming. At the end of March, we quickly moved to ensure that a core group of GPAV participants were able to get on-line by providing support with data costs, devices and technical know-how. This enabled a group of GPAV participants to help develop the new campaigning priorities of the Poverty 2 Solutions network. Several GPAV participants also took part in regular on-line meetings to develop the Addressing Poverty with Lived Experience (APLE) Collective, where ATD Fourth World is a founding member. With their help APLE expanded from four to eight members and co-produced a governance strategy document. =(G= ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS - continued Several lived experience activists have continued to receive valuable media training as part of a Joseph Rowntree sponsored project called “Talking About Poverty” run by the charity On Road Media. Two ATD activists are members of a steering group for a project on promoting a rightsbased understanding of poverty run jointly with Just Fair, Amnesty International, and the University of Essex Human Rights Centre. ## Project 5 - Poverty Experts: Challenging Perceptions of Poverty The goal of our Poverty Experts project is to create and promote participatory opportunities and platforms for activists with lived experience of poverty to engage in the public debate around poverty. The twin aims are to increase public understanding of the issues, and to influence opinion. The project targets the general public, as well as specific audiences involved in the policy, practice and research fields who wish to deepen their understanding of poverty and participation. Poverty Experts enables participants to demonstrate directly the value and effectiveness of lived experience in the search for solutions to poverty. The Poverty Experts project builds on the success of The Roles We Play, which spanned ten years. Participants worked hand in hand with team members to design, coordinate, conduct, and evaluate a project to challenge stereotypes about people in poverty. Involvement in The Roles We Play allowed many ATD Fourth World activists with lived experience of poverty to build core skills in public speaking, and workshop facilitation, culminating in roles such as panellists, mediators, and facilitators at some of our largest public events. “| was struck by how strongly people in poverty spoke about the importance of owning their image, the impact of having limited input into how they are written about [in the media] and how disempowering an experience this is. This workshop made me think much more about participation and the difference it makes allowing the space and time for people to have full ownership and to shine so brightly through doing so.” In the first quarter of the year, we focused on disseminating the findings of our national participatory study on multi-dimensional poverty launched in 2019. To this end activist led workshops were delivered at the Universities of York and Sheffield. Presentations were also given at the Tomorrow's Company conference on in-work poverty at the London Guildhall. At the end of March, when the COVID-19 restrictions came into force, we moved quickly to get GPAV participants on-line. Co-researchers from the study with lived experience of poverty presented the findings at several universities. A group of activists have been very active in the campaigning group Poverty2Solutions of which ATD Fourth World is a founding member. The group has been campaigning to end legacy debt deductions in the Universal Credit roll out. GPAV participants contributed to the publication of a number of blog posts and on-line articles about the impact on COVID-19 on people in poverty, particularly the importance of understanding and bridging the digital divide. ## Project 6 - Right to Family Life: reforming the child protection system ATD Fourth World's Right to Family Life project seeks to bring families living in poverty, together with academics and social work practitioners through a series of platforms for dialogue that reflect the needs and concerns of service users while exploring innovative new ideas and proposals for change coming from those working in the child protection system. With the voices and thinking of families with experience of social service intervention at the fore, the project is based on three distinct but complimentary actions. = ge ## ATD FOURTH WORLD LIMITED ## REPORT OF THE DIRECTORS - continued A half-day poverty-aware-practice workshop, delivered with the active participation of parents with experience of social service intervention, examines how poverty affects families and social work practice and is aimed at newly-qualified social workers or final year social work students. The workshop interactively explores the multi-dimensional nature of poverty and encourages reflective practice as part of a positive dialogue with practitioners and students. Social work study groups bring together academics, social workers, parents and professionals in the social care and legal fields to discuss and debate key issues faced by social work. In covering topics such as the relationship between poverty and shame, the impact of material deprivation upon social work practice and the politics of recognition and respect, the format serves to broaden perspectives and deepen thinking using ATD Fourth World's Merging of Knowledge approach. We also engage with the wider social work and legal fields through presentations at conferences, contributing to ongoing research and having articles based on our work published by respected academic journals. “It’s been an eye opener about how our position as social workers is viewed by service users. The power we possess can make or break them. What I'll take with me from today’s session is not to necessarily go by a service user's past experience to decide whether a child should be removed from home but rather try and see if | can work with that family to meet an achievable goal.” In 2020 we ran poverty aware practice workshops for social workers students at Royal Holloway, University of London and at Birmingham University. ATD Fourth World co-organised a conference with the Social Work Teaching Partnership of West Midlands on "Reforming the Child Protection System: Parents and Their Allies Together" in February. At the event three parent activists presented ATD Fourth World's parent-led advocacy and peer support approach to an audience of parents, social workers and local authority leaders. This collaboration led to ATD Fourth World becoming an organisational member of the Parents Families and Allies Network (PFAN). As COVID-19 restrictions took hold, parent activists also began presenting at a number of on-line events and webinars, such as the Social Work Student Connect webinar on “Poverty Aware and Anti-Poverty Social Work” attended by 485 people. In the autumn, ATD parent activists were co-researchers on a PFAN led research project commissioned by the Nuffield Family Justice Observatory on the impact of remote family court hearings during the pandemic. ## Volunteers Our volunteering programme was severely restricted in 2020 due to the COVID-19 pandemic and associated restrictions and the closure of our properties. We recorded 1,875 hours of volunteering principally through a residential volunteering placement in the autumn and the regular weekly presence of our volunteer handyman at Frimhurst Family House. 48London Addington Square aoe< OF THE BOARD
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42 ## INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF ATD FOURTH WORLD LIMITED (the 'company’) | report to the charity Trustees on my examination of the accounts of the company for the year ended 31 December 2020. This report is made solely to the company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that | might state to the company's Trustees those matters | am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, | do not accept or assume responsibility to anyone other than the company and the company's Trustees as a body, for my work or for this report. ## RESPONSIBILITIES AND BASIS OF REPORT As the Trustees of the company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’). Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, | report in respect of my examination of the company's accounts carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination | have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act. ## INDEPENDENT EXAMINER'S STATEMENT Since the charity's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. | confirm that | am qualified to undertake the examination because | am a member of the Institute of Chartered Accountants in England and Wales, which is one of the listed bodies. | have completed my examination. | can confirm that no matters have come to my attention in connection with the examination giving me cause to believe: 1. accounting records were not kept in respect of the company as required by section 386 of the 2006 Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or 4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)]. | 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. **----- Start of picture text -----**
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~412- ATD FOURTH WORLD LIMITED COMPANY NUMBER: 654676 ## STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 315’ DECEMBER 2020 **----- Start of picture text -----**
||||||||| |---|---|---|---|---|---|---|---| |INCOME AND|EXPENDITURE|Unrestricted|Restricted|Total|Total| |Funds|Funds|2020|2019| |Notes|£|£|£|£| |Income|and|endowments|from| |Donations|and|legacies|3|315,042|26,720|341,762|414,064| |Charitable|activities|4|33,999|24,262|58,261|45,753| |Investments|5|919|-|919|990| |Total|349,960|50,982|400,942|460,807| |Expenditure|on| |Raising|funds|2,415|-|2,415|4,933| |Charitable|activities|6|295,537|47,810|343,347|444,444| |Total|297|,952|47,810|345,762|449,377| |Net income/(expenditure)|52,008|3,172|55,180|11,430| |Transfers|between|funds|-|-|-|.| |Net movement|in funds|52,008|3,172|55,180|11,430| |Reconciliation|of Funds| |Total funds|brought forward|17,18|107,784|6,629|114,413|102,983| |Total funds|carried forward|159,792|9,801|169,593|114,413| **----- End of picture text -----**
The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 15 to 27 form part of these financial statements. = 13- ATD FOURTH WORLD LIMITED COMPANY NUMBER: 654676 ## BALANCE SHEET ## AS AT 318™ DECEMBER 2020 **----- Start of picture text -----**
|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |Unrestricted|Restricted|Total|Total| |Funds|Funds|2020|2019| |Notes|£|§|£|£| |Fixed|Assets| |Tangible|Assets|11|3,515|-|3,515|1,200| |Current Assets| |Debtors|12|32,826|32,826|35,851| |Cash|at bank|and|in|hand|14.|161,723|9,801|171,524|127,088| |194,549|9,801|204,350|162,939| |Creditors:| |Amounts|falling|due|within|one|year|13|38,272|-|38,272|49,726| |38,272|-|38,272|49,726| |Net Current Assets|156,277|9,801|166,078|113,213| |NET ASSETS|159,792|9,801|169,593|114,413| |Funds|of the|Charity| |Unrestricted|funds|18|159,792|159,792|107,784| |Restricted funds|17|9,801|9,8016-629 6/624| |TOTAL CHARITY FUNDS|159,792|9,801|169,593|114,413| **----- End of picture text -----**
The charity's financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies' regime. The directors consider that the company is entitled to exemption from the requirement to have an audit under the provisions of section 477 of the Companies Act 2006 ("the Act") and members have not required the company to obtain an audit for the year in question in accordance with section 476 of the Act. The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements. The financial statements were approved and authorised for issue by the directors and signed on their behalf by: LX? Uncon Phat Benny DIRECTOR DIRECTOR Date 25| 6 | Z\ Date 2s77749 The notes on pages 15 to 27 form part of these financial statements. of ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 318" DECEMBER 2020 1. GENERAL INFORMATION ATD Fourth World Limited is a company limited by guarantee incorporated and registered in England & Wales, company number 654676. Its registered office address is 48 Addington Square, London SES 7LB. The principal activity of the company continued to be that of tackling inequality and promoting social justice. 2. ACCOUNTING POLICIES These 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 accounts 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 (FRS 102) issued on 16 July 2014 and with the Charities Act 2011. The charity has opted to early adopt Update Bulletin 1 of the Charities SORP (FRS102). The charity constitutes a public benefit entity as defined by FRS 102. ## Reporting currency The reporting currency is GBP and all amounts in the financial statements are rounded to the nearest £. The Charity only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. ## Incomeand Expenditure All the information required to be disclosed is shown in the Statement of Financial Activities of the company. ## Income Income consist of grants, donations, fees and contributions receivable during the year together with interest received. Grants covering specific projects are attributed to the accounting period to which they relate unless required otherwise by the SORP (FRS102). ## Expenditure Resources expended are accounted for on an accruals basis. Certain expenditure has been apportioned where necessary between categories in accordance with the best estimates of the directors. =—15— ATD FOURTH WORLD LIMITED NOTES TO THE FINANCIAL STATEMENTS - continued ## Cash Flow Statement The financial statements do not include a cash flow statement because the charity, as a small reporting entity, is exempt from the requirements to prepare such a statement under the Charities SORP (FRS102). ## Depreciation All Motor Vehicles and other assets costing over £2,000 for any one item are capitalised. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life: Motor vehicles - 25% on cost Fixtures and equipment - 20% on cost No depreciation is charged in the year of acquisition. Judgment in applying accounting policies and key sources of estimation uncertainty In the application of the Charity's accounting policies, the Directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periodsif the revision affects both current and future periods. Estimated useful lives and residual values of fixed assets: Deprecation of tangible and intangible fixed assets has been based on estimated useful lives and residual values deemed appropriate by the Directors. Estimated useful lives and residual values are reviewed annually and will be revised as appropriate. ## Accruals Accrued expenditure is based on invoices received after the year end or, in the absence thereof, experience and best estimates. The directors are of the opinion that neither of the above areas of judgment and sources of estimation uncertainty has a significant impact on the financial statements. ## Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Directors in furtherance of the general objectives of the company and which have not been designated for other purposes. Designated funds comprise unrestricted funds that have been set aside by the Directors for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements. =4G— ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the company for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Investment income, gains and losses are allocated to the appropriate fund. ## Interest receivable Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the company; this is normally upon notification of the interest paid or payable by the Bank. ## Debtors Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid. ## Cash and cash equivalents Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. ## Liabilit | proviel Liabilities are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. ## Foreign currencies Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. Exchange gains and losses are recognised in the Statement of financial activities incorporating income and expenditure account. i ae ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued |3.|INCOME FROMDONATIONSAND LEGACIES|Unrestricted|Restricted|Total| |---|---|---|---|---| |||Funds|Funds|Funds| |||2020|2020|2020| ||Current Year|£|£|£| ||Grants
Donations|285,000
30,042|21,587
5,133|306,587
35,175| |||315,042|26,720|341,762| |||Unrestricted|Restricted|Total| |||Funds|Funds|Funds| |||2019|2019|2019| ||PriorYear|£|£|£| ||Grants
Donations|284,000
22,070|95,419
12,575|379,419
34,645| |||306,070|107,994|414,064| = 18-— ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued |4.|INCOME FROMCHARITABLE ACTIVITIES|Unrestricted|Unrestricted|Restricted|Total| |---|---|---|---|---|---| ||||Funds|Funds|Funds| ||||2020|2020|2020| ||Current Year||£|3|£| ||Consultation fees||660|9,000|9,660| ||Room hire||8,406|.|8,406| ||Sponsored activities and fundraising events||3,351|719|4,070| ||Contributions family support||.|8,210|8,210| ||Contributions policy, participation and training||-|6,333|6,333| ||Other sales||324|-|324| ||Reimbursements|21,258||-|21,258| |||33,999||24,262|58,261| |||Unrestricted||Restricted|Total| ||||Funds|Funds|Funds| ||||2019|2019|2019| ||PriorYear||£|£:|£| ||Consultation fees||750|-|750| ||Room hire|21,642||-|21,642| ||Sponsored activities and fundraising events||-|1,617|1,617| ||Contributions family support||-|6,835|6,835| ||Contributions policy, participation and training||-|3,546|3,546| ||Other sales||186|-|186| ||Reimbursements|5|fs We5.078|-|14.977| |||33,709||11,998|45,753| |5.|INVESTMENT INCOME|Unrestricted||Restricted|Total| ||||Funds|Funds|Funds| ||||2020|2020|2020| ||CurrentYear||£|£|£| ||Interest||919|.|919| |||Unrestricted||Restricted|Total| ||||Funds|Funds|Funds| ||||2019|2019|2019| ||PriorYear||£|£|£| ||Interest||990|-|990| =o ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued |6.|EXPENDITUREONCHARITABLEACTIVITIES|Unrestricted|Restricted|Total| |---|---|---|---|---| |||Funds|Funds|Funds| |||2020|2020|2020| ||Current Year|£|£|£| ||Direct salaries|60,780|10,021|70,801| ||Service costs
Utilities and rent
Maintenance of buildings|81,460
30,068
28,012|5,446
11,355
5,953|86,906
41,423
33,965| ||Communications|4,670|979|5,649| ||Printing and stationery|3,702|179|3,881| ||Maintenance ofequipment|473|-|473| ||Travel|8,535|3,309|11,844| ||Motor costs
Project materials|6,563
7,169|1,938
3,187|8,501
10,326| ||Fees
Support costs|13,677
50,428|5,444
29|19,121
50,457| |||295,537|47,810|343,347| ||EXPENDITURE ON CHARITABLE ACTIVITIES|Unrestricted|Restricted|Total| |||Funds|Funds|Funds| |||2019|2019|2019| ||PriorYear|£|£|£| ||Direct salaries|53,051|24,150|77,201| ||Service costs
Utilities and rent|85,632
44,363|59,434
847|145,066
45,210| ||Maintenance ofbuildings|41,713|416|42,129| ||Communications|2,250|3,609|5,859| ||Printing and stationery|1,815|6,231|8,046| ||Maintenance ofequipment|155|25|180| ||Travel|6,893|25,511|32,404| ||Motor costs|3,617|8,709|12,326| ||Project materials|3,238|17,682|20,920| ||Fees|4,880|4,513|9,393| ||Support costs|45,420|290|45,710| |||293,027|151,417|444,444| =} = ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS |NOTES TO THETO THETHE FINANCIAL STATEMENTS|NOTES TO THETO THETHE FINANCIAL STATEMENTS|||| |---|---|---|---|---| |- continued||||| |7.|SUPPORTCOSTS|Unrestricted
Funds|Restricted
Funds|Total
Funds| ||CurrentYear|2020
£|2020
£|2020
£| ||Independent Examiner'sfees
Bankcharges
Depreciation
Accounts staffcosts
Officeequipment
Insurance|3,180
658
300
26,881
3,218
16,191|.
-
.
-
29
-|3,180
658
300
26,881
3,247
16,191| |||50,428|29|50,457| |||Unrestricted|Restricted|Total| |||Funds|Funds|Funds| ||PriorYear|2019
£|2019
£|2019
£| ||Independent Examiner'sfees
Bank charges
Depreciation
Accounts staffcosts
Officeequipment
Insurance|3,000
458
498
25,641
824
14,999|-
-
.
-
5
285|3,000
458
498
25,641
829
15,284| |||45,420|290|45,710| -~21- ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued **----- Start of picture text -----**
|||||||||||| |---|---|---|---|---|---|---|---|---|---|---| |8.|NET INCOME/(EXPENDITURE)|2020|2019| |£|£| |Net|income/(expenditure)|is|stated|after|charging:| |Depreciation|of tangible fixed|assets owned|by the|charity|300|498| |During|the year,|no|director|received|any remuneration|(2019:|Nil).| |During|the year,|no|director|received|any|benefits|in|kind|(2019:|Nil).| |During|the year,|no|directors|received|any|reimbursements|of expenses|(2019:|Nil).| |9.|INDEPENDENT|EXAMINERS’ REMUNERATION|2020|2019| |£|£| |Fees|payable|to the|charity's|independent examiner|3,090|3,090| |10.|STAFF COSTS|2020|2019| |Number|Number| |The average number|of persons employed|by the|charity|during| |the year was as follows|6|8| **----- End of picture text -----**
A further ten people worked for the charity on an outsourced basis. Their cost is shown under Service Costs in Note 6. There were no employees with remuneration exceeding £60,000 per annum. Apart from the directors, key management personnel comprise the national coordinator. The aggregate remuneration of key management amounted to £21,070 (2019: £37,049). The variance arose due to a change in the staffing structure. **----- Start of picture text -----**
||||| |---|---|---|---| |2020|2019| |£|£| |Wages and|salaries|95,139|97,331| |National|insurance|1,161|4,311| |Pension|1,382|1,200| |97,682|102,842| **----- End of picture text -----**
Boe Ew ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued |11.|TANGIBLE FIXEDASSETS||Motor Vehicles| |---|---|---|---| ||||and Equipment| ||||£| ||COST||| ||At 1% January2020||15,942| ||Additions||2,615| ||Disposals||(1,990)| ||At 31% December2020||16,567| ||DEPRECIATION||| ||At 1* January2020||| ||On Disposals||14,742| ||Charge for the year||(1,990)| ||||300| ||At 31% December 2020||13,052| ||NET BOOKVALUE||| ||At 31% December2020||315| ||At 31% December2019||1,200| |12.|DEBTORS|2020|2019| |||£|£| ||Trade debtors|15,676|19,654| ||Other debtors|1,750|1,827| ||Accrued income|4,743|-| ||Prepayments|10,657|14,370| |||32,826|35,851| |13.|CREDITORS|2020|2019| |||£|£| ||Amounts falling due within one year:||| ||Accruals|7,981|3,000| ||Deferred income|782|.| ||Other creditors|25,200|40,023| ||Trade creditors|4,309|6,703| |||38,272|49,726| _ 33.— ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS - continued |14.|CASH ANDCASH EQUIVALENT|2020|2019| |---|---|---|---| |||£|£| ||Short term deposits|75,000|75,000| ||Cash at bank|96,524|52,088| |||171,524|127,088| ## 15. TAXATION The charity's activities fall within the exemptions afforded by the provisions of the Taxes Act 1988. Accordingly, there is no taxation charge in these accounts. ## 16. PENSION During the year, the company paid pension contributions into a defined contribution pension scheme amounting to £19,022 (2019: £22,118). Pension contributions are initially made by ATD Fourth World Trust, an entity which the company shares its staff with, and are re-charged on a time-spent basis. Pension contributions are charged to the SOFA according to the period to which they relate. mal Ye ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS ## - continued 17. RESTRICTED FUNDS - Projects Funded by Grants and Specific Donations ||Funding||||| |---|---|---|---|---|---| |CurrentYear|b/fwd|Incoming|Outgoing|Transfers|c/fwd| ||£|£|£|£|£| |Grantor/Donor|||||| |Outreach, Respite and Peer Support|||||| |Family Respite|||||| |St Paul’s Church Camberley|.|1,500|1,500|-|-| |Frimhurst Enterprises CIC|-|3,378|763|-|2,615| |Justice au Coeur|-|3,500|3,500|-|-| |All Projects|||||| |Other Donations|.|255|255|-|-| |Fundraising Frimhurst|-|475|475|-|-| |Association Volontariat Intnl|||||| |ATD Quart Monde
Various Contributions|-
-|894
8,210|894
8,210|-
-|-
.| ||-|18,212|15,597|.|2,615| |Policy, Participation and Training|||||| |PAEN|-|9,000|5,203|-|3,797| |Nuffield Family Justice Observatory|||||| |Fundraising|-|244|244|-|-| |Addington
Square Premises
Various donors|6,629|-|3,240|.|3,389| |Understanding Poverty in All its Forms|||||| |International MovementATD|||||| |Fourth World|-|11,810|11,810|-|-| |All Projects|||||| |Association Volontariat Intl|||||| |ATDQuartMonde
Various contributions|-
-|894
6,333|894
6,333|-
-|-
-| ||6,629|28,281|27,724|-|7,186| |Other restricted funding|||||| |Furlough Grant|.|4,489|4,489|2|,| ||6,629|50,982|47,810|-|9,801| —~25- ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS ## - continued 17. RESTRICTED FUNDS -— Projects Funded by Grants and Specific Donations - continued ||Funding||||| |---|---|---|---|---|---| |Prior Year|b/fwd|Incoming|Outgoing|Transfers|c/fwd| ||£|£|£|£|£| |Grantor/Donor|||||| |Outreach, Respite and Peer Support|||||| |Family Respite|||||| |St Paul’s Church Camberley|-|3,000|3,000|-|-| |Frimhurst Enterprises CIC|.|3,314|3,314|-|.| |Justice au Coeur|-|6,300|6,300|-|.| |All Projects|||||| |Other Donations|.|1,927|1,927|.|-| |Fundraising Frimhurst Festival|5|1,617|1,617|:|-| |Association Volontariat Intnl|||||| |ATD Quart Monde|-|1,259|1,259|-|-| |Various Contributions|-|6,835|6,835|-|.| ||-|24,252|24,252|-|-| |Policy, Participation and Training|||||| |Roles We Play Evaluation
Joseph Rowntree Foundation|.|965|965|-|-| |General Policy, Participation and Training|||||| |The Northmoor Trust|-|25,000|28,295|3,295|-| |October 17"|||||| |Amnesty International|-|2,308|2,308|-|-| |Addington Square Premises|||||| |Various donors|6,629|-|:|-|-| |Understanding
Povertyin AllitsForms
International MovementATD|||||| |Fourth World|-|60,636|88,766|28,130|-| |Various donors|-|2,026|2,026|-|-| |All
Projects
Various contributions|-|3,546|3,546|-|-| |Association Volontariat Intl|||||| |ATD Quart Monde|-|1,259|1,259|-|.| ||6,629|95,140|127,165|31,425|6,629| ||6,629|119,992|151,417|31,425|6,629| a 26 = ## ATD FOURTH WORLD LIMITED ## NOTES TO THE FINANCIAL STATEMENTS ## - continued |18.|UNRESTRICTED FUNDS|Balance|Incoming
Outgoing|Incoming
Outgoing||Balance| |---|---|---|---|---|---|---| |||b/fwd|Resources Resources||Transfers|c/fwd| |||3|£|£|£|£| ||Current year|107,784|349,960|297,952|-|159,792| ||Prioryear|96,354|329,638|286,783|(31,425)|107,784| |19.ANALYSIS|ANALYSIS OF NET ASSETS BETWEEN FUNDS__||Unrestricted|Restricted||Total| ||||Funds|Funds||Funds| ||Current Year||£||£|£| ||Fund balances at 31* December 2020 are|||||| ||represented by:|||||| ||Tangible fixed assets||3,515|||3,515| ||Current assets
Current liabilities||194,549
(38,272)||9,801
-|204,350
(38,272)| ||||159,792||9,801|169,593| ||||Unrestricted|Restricted||Total| ||||Funds|Funds||Funds| ||Prior Year||£||£|e| ||Fund balances at 31 December 2019 are|||||| ||represented by:|||||| ||Tangible fixed assets||1,200||-|1,200| ||Current assets||156,310||6,629|162,939| ||Current liabilities||(49,726)||.|(49,726)| ||||107,784||6,629|114,413| ## 20. LIABILITY OF MEMBERS The charity is a company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability of the members who are the directors is limited to £10. ## 21. RELATED PARTY TRANSACTIONS During the year there were no related party transactions (2019: None). A director of the company, |. Pypaert-Perrin, is also Director General of the International Movement ATD Fourth World, which provided funding to the company in 2020. She did not participate in any Board discussions or decisions where a potential conflict of interest could exist. = 97 -