**Charity registration number 209852** # **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS** **FOR THE YEAR ENDED 31 DECEMBER 2022** ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|Mr M J Baunton, CBE|| |---|---|---| ||Mr M Hague-Morgan|(Appointed 1 January 2022)| ||Mr W Parfitt CBE|| ||Mr T C Bonner CBE|| ||Mr D N Reilly CBE|| ||Mr J Greenwell CBE|| ||Mr T Abbott|| ||Mr T Walker CBE|| ||Mr G Gillespie CBE|| ||Mr D Morris|| ||Mr R Shaw|| ||Mr M Flanagan|| ||Mr G Saint|| ||Mr L Drake|(Appointed 1 January 2022)| ||Mr T L Evans|| ||Mr J M Neill, CBE|| ||Mr G P Jones|| ||Baron George Simpson of Dunkeld|| ||Mr A Smith|(Appointed 1 January 2022)| |**Charity number**|209852|| |**Independent examiner**|Ensors Accountants LLP|| ||Connexions|| ||159 Princes Street|| ||Ipswich|| ||IP1 1QJ|| |**Bankers**|National Westminster Bank plc|| ||38 Strand|| ||London|| ||WC2N 5JB|| ||CCLA Investment Management Ltd|| ||Client Service Team|| ||COIF Charity Deposit Funds|| ||80 Cheapside|| ||London|| ||EC2V 6DZ|| |**Investment advisors**|HSBC Global Asset Management|| ||78 St James’ Street|| ||London|| ||SW1A 1HL|| **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|2 - 7| |Statement of Trustees' responsibilities|8| |Independent examiner's report|9| |Statement of financial activities|10| |Balance sheet|11| |Notes to the accounts|12 - 17| - 1 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT** ## _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ The Trustees have pleasure in presenting their report and accounts for the year ended 31 December 2022. The accounts have been prepared in accordance with the accounting policies set out in note 2 to the accounts and comply 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 (FRS 102) (effective 1 January 2015)” ## **Objectives and activities** The Charity's sole purpose was originally to make loans or gifts to any poor person or his dependents who were engaged in a position of responsibility in the motor trade, or who contributed to the encouragement, promotion or protection of the motor trade. In recent years the purpose of the fund has been expanded to offer assistance: - a) To persons associated with the motor trade who are able to demonstrate poverty or hardship; and - b) To young persons where such assistance would enable them to gain employment in the automotive sector. The Trust Deed additionally empowers the Trustees to make grants to BEN (BEN – Motor and Allied Trades Benevolent Fund) and the Trustees should ensure that Trust funds are used effectively and in accordance with the Trust objects. An amendment to the scope was agreed in 2010, permitting annual or periodic grants to any charitable fund, association, corporation or similar having as one of its objects the relief or benefit of any young person or persons of poor indigent or other circumstances, requiring assistance to establish meaningful employment within the motor trade. At the end of 2020, the SCTF was approached by BEN and asked for a grant to support the delivery of a 12 month fast-track project aiming to double the number of individuals supported through BEN’s digital platform, SilverCloud. This is a mental health support platform that has been able to reach and support individuals on a wide range of mental health issues that was needed even more due to the pandemic. This was very successful and the platform is outperforming, reaching more people than planned. A further grant was awarded to fund the SilverCloud platform for 2021 and again in 2022, and there were over 1,000 sign-ups for the platform through the year. In November 2021, due to its success in previous years, the Trustees agreed to continue to support the Working Assets programme through Toyota and the YMCA Derbyshire. The programme was unable to run during 2020-2022 due to the coronavirus pandemic and its continuing effects, but at the November 2022 meeting the Trustees agreed to carry over the funding from 2020 into 2023. During 2021, due to the pandemic, concerns were raised about the risk of apprentices losing their positions and the impact that would have on skills within the industry. In September 2020, the Trustees approved a fund to contribute towards the cost of apprentice salaries for struggling SMMT SME Members. Due to the extension of the furlough scheme, there weren’t sufficient applications (and none which were successful) and therefore it was decided to relaunch the initiative in 2021. The scheme was re-launched in October 2021 and one successful applicant was awarded a grant to cover salary costs. The sponsored apprentice completed their apprenticeship late in 2022 and their continued employment is now secure. The Trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Charity should undertake. - 2 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Achievements and performance** The fund's charitable expenditure for the year is £77,566 (2021: £140,625). The charity contributed £35,000 towards BEN’s digital and mental health wellbeing platform. BEN supports those connected to the automotive industry and the SCTF funding has helped to increase the number of people they are able to help. There were over 1,000 sign-ups to the SilverCloud platform during 2022, with around 80% of those activating a SilverCloud programme. The majority of those programmes related to anxiety, depression and body image. BEN achieved a 95% customer satisfaction rate from individuals who were supported through their chosen programme by a BEN Mental Health Supporter. The SMMT Charitable Trust Fund also contributed £40,000 (2021: £40,000) towards Mission Automotive, an armed forces engagement initiative for the automotive industry, in partnership with the Royal Foundation and the Prince and Princess of Wales. The initiative aims to assist ex-service personnel and their families to integrate into the Civilian world and to align transferable skills into the automotive industry. 2022 saw a significant rise in the level of interest for Armed Forces engagement from within the automotive industry, largely driven by the industry’s recruitment needs. James Cameron from Mission Motorsport attended the November 2022 meeting to update Trustees on the programme’s progress. The SMMT Charitable Trust Fund actioned the grant of £37,140 provided in 2021 to fund a publication – A Guide to Careers in the Automotive Industry in collaboration with the Worshipful Company of Coachmakers. The publication was officially launched on 7 November 2022 and will be used to inform students about the careers possible within the automotive industry, to attract a more diverse pool of candidates and address the skills gap within the industry. The charitable trust fund also continued funding IET engineering horizon bursaries for six students at a total cost of £6,600 (2021: £6,600). From the 2019 cohort, two have now graduated and one is in their final year. Note that an underspent amount of £4,034 was returned to the fund relating to the 2021 Apprentice Support Programme. ## **Financial review** At the year end, the total reserves available are £1,318,401 (2021: £1,505,190). The Statement of Financial Activities shows that the charity has made a deficit of £186,789 (2021: £11,945 surplus) including a loss on investments of £100,845 (2021: £161,101 gain). - 3 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Reserves policy** SCTF will always retain a minimum of £1,000,000 in reserves, subject to annual CPI inflationary rises from 2021 onwards. The Charitable Trust follows a base policy whereby dividend income and profit on sale of assets is made available for suitable charitable activities on an ongoing basis, subject to the reserves policy. In addition, if an appropriate funding activity presents itself, spend level may be increased on a discretionary basis with the approval and agreement of the Chairman and majority of trustees. It is the policy of the Charity to maintain the unrestricted charitable funds at a level appropriate to generating investment income to cover the direct charitable expenditure in each year. The Charity only has unrestricted reserves for use in line with the policies of the Charity at the discretion of the Trustees for the furtherance of the Charity's objects. ## **Movement in reserves** The reserves and its policy are set out as follows: ||**2022**|**2021**| |---|---|---| ||**£**|**£**| |**Fund Balance as at beginning of the year**|1,505,190|1,493,245| |Restricted Designated Funds:|-|-| |Unrestricted Funds|1,505,190|1,493,245| |Profit/(Loss) from Investments|(100,845)|161,101| |Admin Expenses|(8,378)|(8,531)| |Donation to London collegiate team|-|(300)| |Funding Mission Motorsport|(40,000)|(40,000)| |Grants to BEN|(35,000)|(35,000)| |Funding Enthuse|-|-| |The Institution of Engineering and Technology Bursaries|(6,600)|(6,600)| |Immediate Network Limited|-|(37,140)| |Apprenticeship Grant|4,034|(21,585)| |Funding YMCA Derbyshire (Toyota Working Assets Programme)|-|-| |**Total Funds at the end of the year**|**1,318,401**|**1,505,190**| - 4 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Investment policy** Since April 2012 HSBC Global Asset Management have acted as custodian trustees of the fund with HSBC Private Bank acting as advisors since 2015. The Trustees see protection against inflation as important and have required capital growth to ensure that the future stipends expenditure is met. In consultation with HSBC, the Trustees reviewed their investment strategy against the HSBC ‘charity investment tree’ to assess the appropriate balance between risk and return over the short, medium and long term. The Trustees concluded that the HSBC UK Growth and Income Strategy would be the most appropriate strategy in the circumstances. This should achieve a balance between long term capital growth and income with some protection against inflation. The fund would be well diversified and offer exposure to fixed interest securities (28.8%), equities (58.9%% both UK and global) and alternative investments such as property, private equity and commodities (12.3%). The expected return from the asset classes within the fund would be 5.3% per annum over the long term, to which HSBC would aim to add an outperformance of 1.0% to make the long-term investment cycle (5-10 years) portfolio return of 6.3%. A quarterly investment report on past performance and long-term outlook is issued to the Trustees who meet to review the performance on an annual basis. An annual management fee of 0.45% applies; payable quarterly in arrears (plus VAT) and HSBC do not charge for transaction commissions. There are no restrictions on the Charity’s power to invest. ## **Risk management** An analysis of the risks faced by the Charity in areas of operations, administration and finance was carried out in collaboration with the investment portfolio management. In preparation of both a hard and a soft Brexit, the risks the Charity may face and the need to diversify the portfolio was discussed, and appropriate measures were implemented to mitigate these risks. ## **Structure, governance and management** The Charity is constituted under a Trust Deed dated 3 August 1932 as amended 25 May 2010 and is a registered charity under number 209852. - 5 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** ## _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ |The Trustees who served during the year and up to the date of signature of the financial statements were:|The Trustees who served during the year and up to the date of signature of the financial statements were:| |---|---| |Mr M J Baunton, CBE|| |Mr M Hague-Morgan|(Appointed 1 January 2022)| |Mr W Parfitt CBE|| |Mr T C Bonner CBE|| |Mr D N Reilly CBE|| |Mr J Greenwell CBE|| |Mr T Abbott|| |Mr T Walker CBE|| |Mr G Gillespie CBE|| |Mr D Morris|| |Mr R Shaw|| |Mr M Flanagan|| |Mr G Saint|| |Mr L Drake|(Appointed 1 January 2022)| |Sir I G McAllister CBE|(Resigned 29 November 2022)| |Mr R G Smith OBE|(Resigned 29 November 2022)| |Mr T L Evans|| |Mr J M Neill, CBE|| |Mr G P Jones|| |Baron George Simpson of Dunkeld|| |Mr A Smith|(Appointed 1 January 2022)| The number of Trustees shall not be less than seven and shall consist of the current and past presidents, the current vice-president and honorary treasurer of The Society of Motor Manufacturers and Traders (SMMT) and at least three other persons decided by the Council of the Society. The current SMMT president and vice-presidents of SMMT or honorary treasurer and all past presidents of SMMT are automatically Trustees of the Charity; this has been the case since 1932. In addition, anyone chosen to be a Trustee by the other Trustees (collectively referred to as Management Trustees) may be appointed. The Trusteeship must maintain a figure of at least seven and a quorum of at least five at all decision making meetings. On appointment, all Management Trustees are provided with a comprehensive pack of information setting out the history of the fund, the duties, responsibilities and powers of the Trustees, criteria for assessing applications to the fund, the specific roles of the Chairman of the Trustees and the honorary treasurer, the role of the Charity Commission, detail of the Charity's current Auditors, the Charity's Fund Managers and details of all current Trustees. The Charity's current policy concerning the payment of trade creditors is to: - settle the terms of payment with suppliers when agreeing the terms of each transaction; - ensure that suppliers are made aware of the terms of payment by inclusion of the relevant terms in contracts; and - pay in accordance with the company's contractual and other legal obligations. - 6 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **Coronavirus impact on 2022 activities** There has been a substantial impact on the SCTF programme of activities since the first lockdown in March 2020, on account of the associated social distancing restrictions and general concern and measures to mitigate the risks of infection. Many of the planned projects would ordinarily involve social mixing, and so had to be deferred. This disruption continued into the early part of 2022, though projects began to operate more effectively once we headed into the Spring and Summer months. St Andrew’s, the Youth Club that benefitted from working with the Trust on the Greenpower project was closed for several months during 2021 and early 2022, but the project was able to begin in June this year and will carry on into 2023. The Toyota Working Assets programme was impeded as the customary format of working with a group of young people to assist them to develop skills required in the workplace could not run as intended. The programme had been planned to commence in May 2022, but was unable to run due to staff absences and resource issues. The Trustees agreed to carry over funding for the programme to 2023. The Trustees' report was approved by the Board of Trustees. ## Gareth P Jones Gareth P Jones (Jun 28, 2023 22:25 GMT+1) .............................. Mr G P Jones **Chairman of the Trustees** Date: ............................................. Jun 28, 2023 - 7 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** ## _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ The Trustees are responsible for preparing the Trustees' Report and the 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 Trustees to prepare financial statements for each financial 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 year. In preparing these financial statements, the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and - prepare the financial statements on the going concern 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 with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. - 8 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** I report to the Trustees on my examination of the financial statements of The Society of Motor Manufacturers and Traders Charitable Trust Fund (the Charity) for the year ended 31 December 2022. ## **Responsibilities and basis of report** As the Trustees of the Charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act). I report in respect of my examination of the Charity’s financial statements carried out under section 145 of the 2011 Act. 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. ## **Independent examiner's statement** Your attention is drawn to the fact that the charity has prepared financial statements in accordance with 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) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn. I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015. I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: - 1 accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or - 2 the financial statements do not accord with those records; or - 3 the financial statements 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 financial statements to be reached. ## **Ensors Accountants LLP** Connexions 159 Princes Street Ipswich IP1 1QJ Jul 3, 2023 Dated: ......................... - 9 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ |||**Unrestricted Unrestricted**|**Unrestricted Unrestricted**| |---|---|---|---| |||**funds**|**funds**| |||**2022**|**2021**| ||**Notes**|**£**|**£**| |**Income from:**|||| |Investments|**3**|28,500|34,812| |**Expenditure on:**|||| |Raising funds|**4**|6,585|6,659| |Charitable activities|**5**|79,570|142,545| |**Total resources expended**||86,155|149,204| |Net gains/(losses) on investments|**11**|(129,134)|126,337| |**Net movement in funds**||(186,789)|11,945| |Fund balances at 1 January 2022||1,505,190|1,493,245| |**Fund balances at 31 December 2022**||1,318,401|1,505,190| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 10 - ## **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **BALANCE SHEET** ## _**AS AT 31 DECEMBER 2022**_ |**2022**
**Notes**
**£**
**£**
**Fixed assets**
Investments
**12**
1,427,730
**Current assets**
Cash at bank and in hand
21,793
**Creditors: amounts falling due within**
**one year**
**14**
(131,122)
Net current liabilities
(109,329)
**Total assets less current liabilities**
1,318,401
**Income funds**
Unrestricted funds
1,318,401
1,318,401
Jun 28, 2023|**2021**
**£**
**£**
1,535,159
21,583
(51,552)
(29,969)
1,505,190
1,505,190
1,505,190| |---|---| The accounts were approved by the Trustees on ......................... ## Gareth P Jones Gareth P Jones (Jun 28, 2023 22:25 GMT+1) .............................. Mr G P Jones **Chairman of the Trustees** - 11 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **BALANCE SHEET (CONTINUED)** ## _**AS AT 31 DECEMBER 2022**_ ## **1 Critical accounting estimates and judgements** In the application of the Charity’s accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. ## **2 Accounting policies** ## **Charity information** The Society of Motor Manufacturers and Traders Charitable Trust Fund is constituted under a Trust Deed dated 3 August 1932 as amended 25 May 2010 and is a registered charity under number 209852. ## **2.1 Accounting convention** 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 (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The Charity is a Public Benefit Entity as defined by FRS 102. 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. The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £. The accounts have been prepared under the historical cost convention, modified to include the revaluation of certain fixed assets. The principal accounting policies adopted are set out below. ## **2.2 Going concern** At the time of approving the financial statements, the Trustees have 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 financial statements. ## **2.3 Charitable funds** Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives. ## **2.4 Incoming resources** Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. ## **2.5 Resources expended** Expenditure is included on an accruals basis and allocated to the appropriate heading in the accounts. - 12 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **2 Accounting policies** ## **(Continued)** ## Charitable activities Expenditure to meet the charity's aims and objectives. This includes grants to BEN during the year and expenditure of an indirect nature necessary to support the activity. ## Governance costs Those costs associated with meeting the constitutional and statutory requirements of the charity and include the audit fees and costs linked to the strategic management of the charity. ## **2.6 Fixed asset investments** Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred. Realised and unrealised gains and losses on investments are added to or deducted from the general unrestricted funds. Realised gains and losses in the year represent the difference between disposal proceeds and the market value at the point of disposal. ## **2.7 Cash and cash equivalents** Cash and cash equivalents include cash in hand, cash in transit, deposits held at call with banks, other shortterm liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. ## _**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 and bank loans 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 payments 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. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled. - 13 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ |**3**
**Investments**
Income from listed investments
Interest receivable
**4**
**Raising funds**
Investment management costs
All costs above are allocated to the unrestricted fund.||**2022**
**£**
28,289
211
28,500
**2022**
**£**
6,585
6,585|**2021**
**£**
34,764
48| |---|---|---|---| ||||34,812| ||||**2021**
**£**
6,659| ||||6,659| ||||| ||||| ## **5 Charitable activities** |Grant funding of activities (see note 6)
Share of governance costs (see note 8)|**2022**
**£**
77,566
2,004
79,570|**2021**
**£**
140,625
1,920| |---|---|---| |||142,545| - 14 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **6 Grants payable** |Grants to institutions:
Mission Motorsport
The Institution of Engineering and Technology
Immediate Network Limited
BEN
Apprenticeship Grant
North London Collegiate School|**Grants**
**payable**|**Grants**
**payable**| |---|---|---| ||**2022**
**£**
40,000
6,600
-
35,000
(4,034)
-
77,566|**2021**
**£**
40,000
6,600
37,140
35,000
21,585
300| |||140,625| ## **7 Trustees** None of the Trustees (or any persons connected with them) received any remuneration or benefits from the Charity during the year. Any expenses incurred by the Trustees were reimbursed by The Society of Motor Manufacturers and Traders Limited. ## **8 Support costs** |**Support costs**||| |---|---|---| |Audit fees
Analysed between
Charitable activities|**2022**
**£**
2,004
2,004
2,004|**2021**
**£**
1,920| |||1,920| |||1,920| ## **9 Employees** There were no employees during the year. ## **10 Taxation** The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxationof Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. - 15 - **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **11 Net gains/(losses) on investments** |Revaluation of investments
Gain on sale of investments
**Fixed asset investments**
**Listed**
**investments**
**£**
**Cost or valuation**
At 1 January 2022 & 31 December 2022
1,466,387
**Carrying amount**
At 31 December 2022
1,466,387
At 31 December 2021
1,466,387||**2022**
**£**
(111,546)
(17,588)
(129,134)
**Cash in**
**portfolio**
68,772
68,772
68,772|**2021**
**£**
2,204
124,133| |---|---|---|---| ||||126,337| ||||**Total**
**£**
1,535,159| ||||1,535,159| ||||1,535,159| ## **12 Fixed asset investments** ## **Fixed asset investments revalued** Listed investments are included at their respective market values at each reporting date, these market values are based on the quoted mid point price of each investment held. The historical cost of the investments held at the balance sheet date is £1,401,172 (2021: £1,328,802). |**13**
**Financial instruments**
**Carrying amount of financial assets**
Equity instruments measured at cost less impairment
**Carrying amount of financial liabilities**
Measured at amortised cost
**14**
**Creditors: amounts falling due within one year**
Other creditors
Accruals and deferred income|**2022**
**£**
1,427,730
131,122
**2022**
**£**
84,717
46,405
131,122|**2021**
**£**
1,535,159| |---|---|---| |||51,552| |||**2021**
**£**
40,016
11,536| |||51,552| - 16 - # **THE SOCIETY OF MOTOR MANUFACTURERS AND TRADERS CHARITABLE TRUST FUND** # **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_ ## **15 Related party transactions** There were no related party transactions during the current or previous financial years that require disclosure. - 17 - ## 3.2 Draft Accounts 2022 for signing (002) Final Audit Report 2023-07-03 Created: 2023-06-28 By: rhea bavaria (rbavaria@smmt.co.uk) Status: Signed Transaction ID: CBJCHBCAABAAMlL1kG8iQ5cDYzVgwdEOcrA5VGQsfqHF ## "3.2 Draft Accounts 2022 for signing (002)" History - Document created by rhea bavaria (rbavaria@smmt.co.uk) 2023-06-28 - 3:52:57 PM GMT Document emailed to gareth.jones@pritex.co.uk for signature 2023-06-28 - 4:03:32 PM GMT - Email viewed by gareth.jones@pritex.co.uk 2023-06-28 - 9:17:27 PM GMT - Signer gareth.jones@pritex.co.uk entered name at signing as Gareth P Jones 2023-06-28 - 9:25:26 PM GMT - Document e-signed by Gareth P Jones (gareth.jones@pritex.co.uk) Signature Date: 2023-06-28 - 9:25:28 PM GMT - Time Source: server Document emailed to Malcolm McGready (malcolm.mcgready@ensors.co.uk) for signature 2023-06-28 - 9:25:29 PM GMT - Email viewed by Malcolm McGready (malcolm.mcgready@ensors.co.uk) 2023-07-03 - 7:46:28 AM GMT - Document e-signed by Malcolm McGready (malcolm.mcgready@ensors.co.uk) Signature Date: 2023-07-03 - 7:47:03 AM GMT - Time Source: server Agreement completed. 2023-07-03 - 7:47:03 AM GMT