##
|Report of the Trustees|||||1-15|
|---|---|---|---|---|---|
|Independent
Auditors|Report to|the Members|of|the|16-19|
|Benevolent
Fund ofthe|Institution|of Mechanical||Engineers||
|Statement
of Financial|Activities||||20|
|Balance Sheet|||||21|
|Statement
of Cash Flows|||||22|
|Accounting
Policies|||||23-25|
|Notes to the accounts|||||26-30|
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
|VALUE|ASSET|INVESTMENT||BENCHMARK|
|---|---|---|---|---|
|29.8%|Equities|M&G Charifund||FTSE All Share Index|
|36.2%|Equities|M&G Global Dividend|Fund|FTSE All Share Index|
|14.4%|Equities|Fidelity Institutional|Funds|FTSE All Share Index|
|10.4%|Multi Asset|Cazenove
Charity
Multi Asset||FTSE All Share Index|
|||Fund|||
|6.5'yo|Property|Charities
Property
Fund||HSBC PUT Index|
|2.7%%uo|Equities|COIF Investment
Fund||FTSE All Share Index|
|0.5%|Cash|COIF Deposit Fund||London Interbank
Rate|
|0.0%|Bonds|COIF Fixed Interest|Fund|WM Co. UK Bonds|
##
##
##
##
##
##
##
##
##
##
##
##
##
|Trustees|Trustees||||Committees|Committees|TS Mtgs
Attended|Notes||
|---|---|---|---|---|---|---|---|---|---|
|Chair (part year)|||Brian Cooke||1,2,3,6||2|Retired as Trustee/Chair|17July 2020|
|Chair (part year)|||Bruce Dagley||1,3,7||4|Elected Chair 17Ju/y 2020||
|Deputy|Chair||Anne Woodbridge||1,2,6||4|||
|Deputy|Chair||Christian
Young||1,7||4|||
|Treasurer|||Andrew
Rowland||1,3||2|Elected Trustee/Treasurer|17Ju/y 2020|
|Trustee|||Tony Frater||1,7||4|||
|Trustee|||Nicole Rinaldi||1,4||4|||
|Trustee|||Sarah Templey||1,2,9||4|||
|Trustee|||Chris Taylor||1,2||4|||
|Trustee|||Christine
Clark||1,3,7||4|||
|Trustee|||John Cornforth||1,6,8||4|||
|Trustee|||Chirantan
Shukla||1,3||3|||
|Trustee|||Farah Baksh||1,5||2|Elected Trustee 17July|2020|
|Chief Executive||&|Anni Broadhead||1,2,3,4,5|||||
|Company
Secretary||||||||||
|Key to|Committees|||||||||
|1|Member|of the|Grants Committee|||||||
|2|Member|ofthe|Personnel
Committee|||||||
|3|Member|ofthe|Finance Committee|||||||
|4|Lead on|Communications||||||||
|5|Lead on|IMechE relations||||||||
|6|Member|ofthe|New Application||Panel|||||
|7|Member|ofthe|Student
ik Apprenticeship|||Panel||||
|8|Member|ofthe|Office Decision|Panel||||||
|9|Lead on|General
Data Protection|||Regulations|||||
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
|||||Total|Total|Total|Total|
|---|---|---|---|---|---|---|---|
|||||(Unnmtricted)|(Unrestricted)|(Unrestricted)|(Unnmtricted)|
|||||GeneralFunds|Designated|Funtls|Funds|
||||a
0Z|2020|Funds
2020|2020|2019|
|||||f|f.|||
|Income and Endowments|from:|||||||
|Denstions snd Legacies||||||||
|Donations,
bequests|||1|288,368||288,368|294,751|
|investments||||||||
|Interest 6dividends|||2|901,425||901,425|1,001,249|
|Total||||1,189,793||1,189,793|1,296,000|
|Expenditure
on:||||||||
|Raising funds||||7,242||7,242|7,274|
|Charitable
acliviTiss|||3|698,0a)||698,036|655,277|
|Total||||705,278||705,278|662,551|
|Net gains/(losses)
on investment||assets|9|(506,436)||(506,438)|3,741,555|
|Nef income /(expenditure)||||(21,921)||(21,921)|4,375,004|
|Transfers|||14|(8,000,000)|8,000,000|||
|Net movement
in funds||||(8,021,921)|8,000,000|(21,921)|4,375,004|
|Reconcigsgon
offunds:||||||||
|Total funds
brought forward|||14|31,169,920||||
|Total funds carried forward||||||||
##
##
||||Total|Total|
|---|---|---|---|---|
||||Funds|Funds|
||||2020|2019|
|||Notes|6|8|
|Fixed Assets|||||
|Tangible assets|||1,322|2,907|
|Investments:-|||||
|Stock Market Investments|||30,137,262|30,306,756|
|Total fixed assets|||30,138,584|30,309,663|
|Current Assets|||||
|Debtors||12|54,934|62,384|
|Cash at bank and in|hand|11|83,776|61,311|
|Loans (due after more than one year)||10|1,003,277|861,708|
|Total current assets|||1,141,987|985,403|
|Liabilities|||||
|Creditors: - amounts|falling due within one year|13|132,572|125,146|
||||132,572|125,146|
|Afet cunent assets|||1,009,415|860,257|
|Totai assets less current liabilities|||31,147,999|31,169,920|
|The funds ofthe charity:|||||
|Unrestricted
funds|||23,147,999|31,169,920|
|Designated
funds|||8,000,000||
||||31 147999|31 169923|
##
|||Notes|2020|2019|
|---|---|---|---|---|
||||F||
|Cash flows from operating
Net cash used in operating|activities:
activities||~842,018|~236.120|
|Cash flows from investing|activities:||||
|Dividends
and interest from investments|||569,223|282,527|
|Bank interest received|||77|122|
|Purchase oftangible fixed|assets||||
|Purchase of Investments||||(265,000)|
|Proceeds from sale ofinvestments|||5,284|215,000|
|Change
in cash held by investment
manager|||(10,101)|(50,360)|
|Net cash provided
by investing
activities|||664483|182280|
|Changein
cash and cash equivalents
in the reporting|||22,465|(53,831)|
|Cash and cash equivalents|at the beginning ofthe reporting|period|61,311|115,142|
|Cash and cash equivalents|at the end ofthe reporting||83,776|61,311|
##
|||||5|
|---|---|---|---|---|
|Net (expenditure)/income|forthe reporting|period|(21,921)|4,375,004|
|Adjustments
for:|||||
|Dividends,
interest from|investments||(901,425)|(1,001,249)|
|Depreciation
charges|||1,585|1,585|
|Decrease
/ (increase)
in|debtors||(134,119)|51,449|
|Increase
/ (decrease)
in|creditors||7,426|78,646|
|Gains
/ (losses) on investments|||506,436|(3,741,555)|
|Net Cash used in operating
activities|||(542,018)|(236,120)|
|Net Debt Note||||
|---|---|---|---|
||31/12/2019|Cashflows|31/12/2020|
|Cash|61,311|22,465|83,776|
||61,311|22,465|83,776|
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
##
|1|Incoming Resources||||||2020|2019|
|---|---|---|---|---|---|---|---|---|
||Donations
&Gift Aid Reclaim||||||285,453|292,848|
||JP Dudin Bequest||||||2,915|1,903|
||||||||288368|294751|
|2|Investment
Income||||||2020|2019|
||||||||E||
||Dividends
&loan stock interest-||||UK|investments|901,348|1,001,127|
||Bank Interest||||||77|122|
||||||||901425|1001249|
|3|Charitable
Activities||||||2020|2019|
||||||||6|r.|
||Grants for the relief of poverty||||||346,514|297,354|
||Allocation
from support costs|||(note 4)|||351522|357923|
||||||||698036|655277|
||All grants were made to|individuals.||||During the year there|were 417beneficiaries (2019:500).||
|4|Support Cost||||||2020|2019|
||Training
Volunteers||||||2,188|5,837|
||Staff Costs||||||238,746|200,194|
||Grants committee expenses||||||23|1,506|
||Visiting beneficiaries||||||915|4,358|
||Publications||||||1,044|985|
||Printing
&Stationery||||||1,734|1,578|
||Postage &telephone||||||2,663|2,298|
||Communications
&database||||||29,261|35,168|
||Depreciation||||||1,585|1,585|
||Extranet for use by Volunteers||||||204|2,153|
||Accommodation
charges||||||25,806|25,806|
||Accounting
&Computer|Services|||||25,524|25,524|
||Travel &subsistence||||||362|530|
||Bank charges||||||1,375|1,679|
||Subscriptions
to professional|||bodies|||2,020|2,732|
||Sundry||||||1,899|417|
||Loan write off|||||||22,694|
||Allocation
from governance||costs (note 5)||||16,173|22 870|
||||||||351 522|357 923|
##
##
|Other: governance|Other: governance|costs|2020f|2019|
|---|---|---|---|---|
|Audit fee (current year inc VAT)|||9,920|9,540|
|Legal Fees|||1,776|1,933|
|Committee|expenses||2,502|9,518|
|Compliance|costs &|insurance|1,975|1,888|
||||16173|22 879|
|Audit fee (current year inc VAT)
Legal Fees
Committee expenses
Compliance
costs &insurance|9,920
1,776
2,502
1,975
16173|9,540
1,933
9,518
1,888
22 879|
|---|---|---|
|No payments
have been made to the auditor ortheir associates|in respect ofnon-audit|work during the|
|year.|||
|Staff
Staffcosts comprise:-|2020f|2019f|
|Salaries and other emoluments|194,180|164,712|
|Social security costs|18,845|15,947|
|Other pension costs|24,666|16,612|
|Training|1,055|2,923|
||238 746|259 164|
|Those earning
over f60,000 in the year are:|||
||2020|2019|
|f60,001tof70,000|||
|f70,001tof80,000|||
|Trustee Board|||||||2020f|2019f|
|---|---|---|---|---|---|---|---|---|
|Travel and subsistence||expenses|||paid||2 5D2|9518|
||||||||No.|No.|
|Number ofmembers|who||claimed||||8|12|
|No member ofthe Committee||||received any remuneration||in respect ofservices to the Fund||for the year.|
|Fixed Assets - Furniture|||and|Office Equipment|||2020|2019|
|Cost|||||||||
|At 1 January|||||||43,052|43,052|
|Additions|||||||||
|At 31 December|||||||43,052|43,052|
|Depreciation|||||||||
|A(1 January|||||||40,145|38,560|
|Amount
provided|||||||1,585|1,585|
|At 31 December|||||||41,730|40,145|
|Net BookValue at 31||December 2020 and 31 December||||2019|1 322|2 967|
##
##
||Investments
(at market value)|||2020|2019|
|---|---|---|---|---|---|
||||||6|
||J P Dudin income account||||1,283|
||M&G Chari Fund Accumulation|Units||8,930,862|10,711,979|
||M&G Global Dividend
Fund Accumulation||Units|10,864,626|9,842,408|
||Fidelity Fund Shares|||4,314,304|3,812,607|
||Cazanove
Charity
Multi Asset Fund Income Units|||3,117,705|3,032,214|
||Charity Property
Fund Income Units|||1,952,738|2,004,412|
||CCLA COIF Charities
Investment|Fund Income Units||814,483|765,523|
||CCLA COIF Fixed Interest Fund|Units|||3,887|
||Total|||29994718|DD 174313|
||All investments
are listed UK securities.|||||
|||||2020|2019|
|||||Capital|Capital|
||Movements
of investments|||6|5|
||Market value at 1 January|||30,174,313|25,664,159|
||Purchases
and accumulations|||332,125|1,502,051|
||Disposal proceeds
Net investment
gain/(loss)|||(5,284)
~506.436|(733,452)
3,741,555|
|||||29,994,718|30,174,313|
||Cash with investment
manager|||142,544|132,443|
||Market value at 31 December|||30,137,262|30,306,756|
||Historic costs at 31 December|||19,400,980|19,074,139|
||Unrealised
investment
gains at 31 December|||10736282|11 232 617|
|10|Loans|||2020|2019|
|||||6|6|
||Brought forward 1stJanuary|||861,708|792,523|
||Additions|||165,465|96,449|
||Repayments
Written off|||(23,896)|(4,570)
~22.594|
||Gamed forward 31stDecember|||1 DD3 277|861 7DD|
||Repayments
Written off
Gamed forward 31stDecember|Repayments
Written off
Gamed forward 31stDecember||||1|(23,896)
DD3 277
~2|(4,570)
2.594
861 7DD|
|---|---|---|---|---|---|---|---|---|
||These loans are interest free and||are repayable|to the Benevolent||Fund|from the estate ofthe||
||beneficiaries
in more|than one year. The amount||ofprovided|unsecured||loans
in 2020 was 5126,020||
||(2019:E110,020).||||||||
||Analysis ofChanges|in Cash|2020|||Cash flow||2019|
||||5||||6||
||Cash at bank and in hand||83,776||||22,465|61,311|
||Cash with investment
see note 9|manager-|142,544||||10,101|132,443|
||||226320||||32 666|193754|
|12|Other Debtors||||||2020|2019|
||||||||6||
||Amounts
due from the Institution||of Mechanical|Engineers|||7,651|1,286|
||Other debtors||||||47,283|61,098|
||||||||54,934|62,384|
##
##
##
##
##
##
##
##
##
##
##
|||||||2020|2019|
|---|---|---|---|---|---|---|---|
|Land|and|Buildings||||||
|||Payments|in|less|than one year|22,712||
|||Payments|in|one|to five years|10,410||
|||||||22,122||
##