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2021-04-05-accounts

REGISTERED CHARITY NUMBER: 213849

REPORT OF THE TRUSTEES AND

UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 5TH APRIL 2021

FOR

THE PATRICK CHARITABLE TRUST

CUTTER & CO LTD CHARTERED ACCOUNTANTS

3 Lyttleton Court Birmingham Street Halesowen West Midlands B63 3HN

THE PATRICK CHARITABLE TRUST

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5TH APRIL 2021

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 3
Independent Examiner's Report 4
Statement of Financial Activities 5
Balance Sheet 6
Notes to the Financial Statements 7 to 12
Detailed Statement of Financial Activities 13

THE PATRICK CHARITABLE TRUST

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 5TH APRIL 2021

TRUSTEES J A Pritchard
Mrs M V Patrick (resigned 19.6.20)
Mrs H P Cole
W Bond-Williams
G Wem BSc
Mrs L L Pritchard
A J Pillinger
J A Patrick (deceased 18.4.20)
PRINCIPAL ADDRESS The Lakeside Centre
180 Lifford Lane
Kings Norton
Birmingham
West Midlands
B30 3NU
REGISTERED CHARITY 213849
NUMBER
INDEPENDENT EXAMINER CUTTER & CO LTD
CHARTERED ACCOUNTANTS
3 Lyttleton Court
Birmingham Street
Halesowen
West Midlands
B63 3HN
INVESTMENT ADVISERS Redmayne-Bentley LLP
9 Bond Court
Leeds
LS1 2JZ

Page 1

THE PATRICK CHARITABLE TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5TH APRIL 2021

The trustees present their report with the financial statements of the charity for the year ended 5th April 2021. The trustees have adopted the provisions of 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 2019).

OBJECTIVES AND ACTIVITIES

Objectives and activities

The trust's objects are the making of grants for charitable purposes or to charitable organisations, institutions or trusts to be applied for charitable purposes only as the trustees may from time to time in their uncontrolled discretion direct or approve. The grants are made in response to applications from other charitable organisations.

The objectives for the year were to continue to invest in the stock market in order to generate income to make grants to other charitable organisations.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the trust should undertake. The trustees confirm that hey have complied with the duty in section 4 of the Charities Act 2006 to have due regard to the Charity Commission's general guidance on public benefit, "Charities and Public Benefit".

FINANCIAL REVIEW

Financial review

During the year the trust had incoming resources amounting to £110,012. The trust does not fundraise but relies on the income and capital profits from the investments to provide resources out of which grants are made. The trustees made four grants in the year to various charities, details of which are attached to these accounts.

The funds of the trust have increased by growth from investments and in certain years the accumulation of income. The trust does not receive money from public donations and relies on the performance of its investments and the income generated. Therefore the trustees consider it necessary to retain listed investments to provide future funds out of which to make grants. The principal investment is in PMG Investments Limited where the trustees control 76% of the voting shares. These shares have been acquired from gifts, legacies, and purchases from the Patrick family over the years. The trustees intend these shares to be retained to produce the required income and capital protection for the trust. Having considered the trust objects and requirements the policy relating to these shares has been endorsed by the trustees.

The charity invests in the stock market in listed companies. The trust's brokers are Redmayne-Bentley LLP.

The trustees have assessed the major risks to which the trust is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

The charity will continue to support other charitable organisations by way of grants.

STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document

The charity is controlled by its governing document, a Deed of Trust, and constitutes an unincorporated charity.

The trust was established by a Charitable Trust Deed on 11 August 1962, by which it is governed.

The appointment of trustees is by deed approved at a trustees meeting.

The trustees are responsible for the management and control of the trust funds and grant making.

There are no specific restrictions imposed by the governing document concerning the way the charity can operate.

The investment powers are general. The trustees may lay out and invest trust money in such manner as they in their absolute discretion think fit, whether or not such investments be authorised by law for the investment of trust funds.

The Patrick Trust owns 76% of the Ordinary share capital and 100% of the A & B preference shares of PMG Investments Limited.

The trustees consider the assets of the trust sufficient to meet the charity's obligations by way of grants.

Page 2

THE PATRICK CHARITABLE TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 5TH APRIL 2021

Approved by order of the board of trustees on 7th September 2021 and signed on its behalf by:

J A Pritchard

J A Pritchard (Sep 14, 2021 18:27 GMT+1)

J A Pritchard - Trustee

Page 3

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE PATRICK CHARITABLE TRUST

Independent examiner's report to the trustees of The Patrick Charitable Trust

I report to the charity trustees on my examination of the accounts of The Patrick Charitable Trust (the Trust) for the year ended 5th April 2021.

Responsibilities and basis of report

As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Trust's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner's statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

  1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

PAUL CUTTER FCA CUTTER & CO LTD CHARTERED ACCOUNTANTS 3 Lyttleton Court Birmingham Street Halesowen West Midlands B63 3HN

7th September 2021

Page 4

THE PATRICK CHARITABLE TRUST

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5TH APRIL 2021

Notes
INCOME AND ENDOWMENTS FROM
Investment income
2
EXPENDITURE ON
Charitable activities
Other
Net gains/(losses) on investments
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
2021
Unrestricted
fund
£
110,012
86,630
724,820
748,202
7,518,690
8,266,892
2020
Total
funds
£
228,560
277,740
(571,019)
(620,199)
8,138,889
7,518,690

The notes form part of these financial statements

Page 5

THE PATRICK CHARITABLE TRUST

BALANCE SHEET 5TH APRIL 2021

Notes
FIXED ASSETS
Investments
6
CURRENT ASSETS
Cash at bank
CREDITORS
Amounts falling due within one year
7
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
NET ASSETS
FUNDS
8
Unrestricted funds
TOTAL FUNDS
2021
Unrestricted
fund
£
8,182,439
85,803
(1,350)
84,453
8,266,892
8,266,892
8,266,892
8,266,892
2020
Total
funds
£
7,477,354
42,836
(1,500)
41,336
7,518,690
7,518,690
7,518,690
7,518,690

The financial statements were approved by the Board of Trustees and authorised for issue on 7th September 2021 and were signed on its behalf by:

J A Pritchard

J A Pritchard (Sep 14, 2021 18:27 GMT+1)

J A Pritchard - Trustee

The notes form part of these financial statements

Page 6

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 5TH APRIL 2021

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.

The financial statements are prepared in sterling, which is the functional currency of the trust. Monetary amounts in these financial statements are rounded to the nearest £.

PMG Investments Limited has not been consolidated because it is not involved in the charitable purposes of the trust. Details relating the the subsidiary company are included in the notes to these accounts.

Financial reporting standard 102 - reduced disclosure exemptions

The charity has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

Critical accounting estimates and judgements

In the application of the trust'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.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.

Grants payable are recognised when paid.

Taxation

The charity is exempt from tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

continued...

Page 7

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 5TH APRIL 2021

1. ACCOUNTING POLICIES - continued

Fund accounting

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2. INVESTMENT INCOME

Deposit account interest
Income from listed investments
Income from unlisted investments
2021
£
11,162
98,850
-
110,012
2020
£
16,557
136,003
76,000
228,560

3. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 5th April 2021 nor for the year ended 5th April 2020.

None of the trustees (or any persons connected with them) received any remuneration, benefits or expenses from the trust during the year.

J A Pritchard, M V Patrick (resigned 19/06/20) and HP Cole are directors of PMG Investments Limited (M V Patrick also resigned as director of PMG Investments Limited as of 19/06/20) and are remunerated by that company. Collectively they were paid emoluments by the company for services rendered in the year ended 5th April 2021 totalling £72,402 (2020: £111,224). J. A. Patrick CBE D.L was paid consultancy fees of £nil (2020: £9,300) by PMG Investments Limited in the year.

Trustees' expenses

There were no trustees' expenses paid fo the year ended 5th April 2021 nor for the year ended 5th April 2020.

4. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

INCOME AND ENDOWMENTS FROM
Investment income
EXPENDITURE ON
Charitable activities
Other
Net gains/(losses) on investments
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD
Unrestricted
fund
£
228,560
277,740
(571,019)
(620,199)
8,138,889
7,518,690

continued...

Page 8

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 5TH APRIL 2021

5. NET GAINS / LOSSES ON INVESTMENTS

The net gain / (loss) on investments consists of unrealised revaluation gains of £775,604 (2020: loss of £518,757) and realised losses on investment disposals of £50,783 (2020: loss of £52,262), resulting in a net overall gain for the year of £724,820 (2020: net loss of £571,019).

6. FIXED ASSET INVESTMENTS

FIXED ASSET INVESTMENTS
Shares
Other
2021
£
7,882,177
300,262
8,182,439
2020
£
7,206,533
270,821
7,477,354

Additional information as follows:

MARKET VALUE
At 6th April 2020
Additions
Disposals
Revaluations
At 5th April 2021
NET BOOK VALUE
At 5th April 2021
At 5th April 2020
Shares in
group
undertakings
£
5,064,979
-
-
98,564
5,163,543
5,163,543
5,064,979
Listed
investments
£
2,057,746
67,805
(682,746)
1,173,648
2,616,453
2,616,453
2,057,746
Cash and
settlements
pending
£
83,808
18,373
-
-
102,181
102,181
83,808
Totals
£
7,206,533
86,178
(682,746
1,272,212
7,882,177
7,882,177
7,206,533

There were no investment assets outside the UK.

Cost or valuation at 5th April 2021 is represented by:

Valuation in 2021
Cost
Shares in
group
undertakings
£
98,564
5,064,979
5,163,543
Listed
investments
£
666,469
1,949,984
2,616,453
Cash and
settlements
pending
£
-
102,181
102,181
Totals
£
765,033
7,117,144
7,882,177

If fixed asset investments had not been revalued they would have been included at the following historical cost:

Cost

2021 2020
£ £
2,199,041 2,287,933

Fixed asset investments were valued on an open market basis on 5th April 2021 by Redmayne-Bentley LLP.

continued...

Page 9

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 5TH APRIL 2021

6. FIXED ASSET INVESTMENTS - continued

Shares in group undertakings consists of an investment in the subsidiary company PMG Investments Limited. The principal activity of PMG Investments Limited is the letting of office and commercial property. The company is a 76% subsidiary of the Trust and pays dividends from time to time on the issued ordinary shares. The company has not been consolidated because, in the opinion of the Trustees, to do so would be misleading. A summary of the results and balance sheet are included in the further notes to these accounts.

Investments (neither listed nor unlisted) were as follows:

Government stocks
Building societies and fixed
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Other creditors
2021
£
692
299,570
300,262
2021
£
1,350
2020
£
769
270,052
270,821
2020
£
1,500

7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

8. MOVEMENT IN FUNDS

Unrestricted funds
General fund
TOTAL FUNDS
Net movement in funds, included in the above are as
Unrestricted funds
General fund
TOTAL FUNDS
follows:
Incoming
resources
£
110,012
110,012
At 6.4.20
£
7,518,690
7,518,690
Resources
expended
£
(86,630)
(86,630)
Net
movement
in funds
£
748,202
748,202
Gains and
losses
£
724,820
724,820
At
5.4.21
£
8,266,892
At
5.4.21
£
8,266,892
8,266,892
Movement
in funds
£
748,202
748,202
748,202

continued...

Page 10

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 5TH APRIL 2021

8. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
TOTAL FUNDS
At 6.4.19
£
8,138,889
8,138,889
Net
movement
in funds
£
(620,199)
(620,199)
At
5.4.20
£
7,518,690
7,518,690

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
TOTAL FUNDS
Incoming
resources
£
228,560
228,560
Resources
expended
£
(277,740)
(277,740)
Gains and
Movement
losses
in funds
£
£
(571,019)
(620,199)
(571,019)
(620,199)
Gains and
Movement
losses
in funds
£
£
(571,019)
(620,199)
(571,019)
(620,199)
(620,199)

A current year 12 months and prior year 12 months combined position is as follows:

Unrestricted funds
General fund
TOTAL FUNDS
At 6.4.19
£
8,138,889
8,138,889
Net
movement
in funds
£
128,003
128,003
At
5.4.21
£
8,266,892
8,266,892

A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
TOTAL FUNDS
Incoming
resources
£
338,572
338,572
Resources
expended
£
(364,370)
(364,370)
Gains and
Movement
losses
in funds
£
£
153,801
128,003
153,801
128,003
Gains and
Movement
losses
in funds
£
£
153,801
128,003
153,801
128,003
128,003

continued...

Page 11

THE PATRICK CHARITABLE TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 5TH APRIL 2021

9. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 5th April 2021.

10. SUBSIDIARIES

These financial statements are separate Trust financial statements for the Patrick Charitable Trust.

Details of the Trust's subsidiaries as at 5th April 2021 are as follows:

Nature of % held
Name of undertaking Registered office business Class of shares held (direct)
Property
PMG Investments Limited United Kingdom investment A&B Preference 100
Property
PMG Investments Limited United Kingdom investment Ordinary 76

The aggregate capital and reserves of PMG Investments as at 5th April 2021 was £6,778,346 (2020: £6,648,656) and the retained profit for the year was £129,690 (2020: £119,888).

Page 12

THE PATRICK CHARITABLE TRUST

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5TH APRIL 2021

INCOME AND ENDOWMENTS
Investment income
Deposit account interest
Income from listed investments
Income from unlisted investments
Total incoming resources
EXPENDITURE
Charitable activities
Grants to institutions
Support costs
Management
Sundries
Accountancy
Legal fees
Management fees
Total resources expended
Net income/(expenditure) before gains and
losses
Realised recognised gains and losses
Realised gains/(losses) on fixed asset investments
Net income/(expenditure)
2021
£
11,162
98,850
-
110,012
110,012
65,500
11
(150)
660
20,609
21,130
86,630
23,382
724,820
748,202
2020
£
16,557
136,003
76,000
228,560
228,560
262,429
720
1,500
1,200
11,891
15,311
277,740
(49,180)
(571,019)
(620,199)

This page does not form part of the statutory financial statements

Page 13

Charity No.
1053937
1053028
205395
1112680
The Patrick Trust
Donations paid between 6th April 2020 and 5th April 2021
Charity
PERFORMANCES BIRMINGHAM LIMITED
Town Hall, Symphony Hall, Birmingham. Donation
towards "Making an Entrance" campaign. Donation
match funded via The Big Give Christmas Campaign
2020.
THE HALL FOR CORNWALL TRUST
Grant of £100,000 staged over 4 years for the
refurbishment of foyer and interior of the theatre. 4th
and final payment of £25,000 match funded by The Big
Give Christmas Campaign 2020.
MUSCULAR DYSTROPHY GROUP OF GREAT BRITAIN
AND NORTHERN IRELAND
Pledge of £150,000 paid over 4 years at £37,500 p.a. 4th
and final payment. Grant is to be placed towards
matched funding for the DD McPail Charitable
Settlement
HOME START WALSALL
Donation towards provision of vital support services to
disadvantaged families in the Walsall area during the
difficult Covid-19 pandemic period
Amount
£
2,500.00
25,000.00
37,500.00
500.00
65,500.00

The Patrick Charitable Trust Accounts Approval Final Audit Report 2021-09-14

Created: 2021-09-14 By: Paul Cutter (p.cutter@cutterandco.co.uk) Status: Signed Transaction ID: CBJCHBCAABAAIinQy9dwf1BuK22sVBjAIVvAtI-RFYt-

"The Patrick Charitable Trust Accounts Approval" History

Document created by Paul Cutter (p.cutter@cutterandco.co.uk)

2021-09-14 - 4:49:09 PM GMT

Document emailed to J A Pritchard (jp@pmg-i.com) for signature

2021-09-14 - 4:49:42 PM GMT

Email viewed by J A Pritchard (jp@pmg-i.com)

2021-09-14 - 5:26:41 PM GMT

Document e-signed by J A Pritchard (jp@pmg-i.com)

Signature Date: 2021-09-14 - 5:27:12 PM GMT - Time Source: server

Agreement completed.

2021-09-14 - 5:27:12 PM GMT