OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2024-03-31-accounts

THE SALVATION ARMY UNITED KINGDOM AND IRELAND TERRITORY

THE SALVATION ARMY TRUST REPORT AND FINANCIAL STATEMENTS FOR THE UNITED KINGDOM IN THE YEAR ENDED 31 MARCH 2024

CHARITY REGISTRATION NO: 214779 SCOTTISH CHARITY REGISTRATION NO: SC009359

Principal Office Territorial Headquarters, 1 Champion Park, London, SE5 8FJ www.salvationarmy.org.uk

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

1

CONTENTS

Page
INTRODUCTION FROM THE TERRITORIAL LEADERS 4
OBJECTS OF THE SALVATION ARMY TRUST 5
OUR VISION, MISSION, AND VALUES 5
EXPLAINING OUR STRATEGY, STRUCTURE AND OPERATION 8
Realigning resource to enable a ‘flourishing’ and effective Salvation Army 11
ILLUSTRATING THE WORK AND ACHIEVEMENTS OF THE SALVATION ARMY TRUST 2023/2024 13
• OUR FOCUS - introduction 13
• OUR PEOPLE 13
o Under new leadership — at home and abroad 13
o Future leaders in waiting 14
o Renewal and empowering through learning and development 15
o Knowing ourselves — research into membership 16
o Learning to understand the trauma of others 17
• BELIEF IN ACTION — OUR CHURCHES AND COMMUNITY CENTRES 18
o Nationwide efforts to offer food and warmth 18
o Debt advice across the UK 19
o Sharing faith and friendship 19
o New experiences of church 20
o Spotlight on inclusion 22
o Reliable, experienced partner in a crisis 23
• REACHING OUT TO VULNERABLE PEOPLE 24
o Supporting children and young people 24
o Wellbeing support for all ages and stages 26
o Showing compassion for older people 28
o No home for domestic abuse 29
o Non-judgemental care for prisoners 30
o Here for survivors of modern slavery and refugees 31
o Understanding addiction 32
• SEEING THE BIGGER PICTURE 33
o International projects 33
o Caring for creation 34
• OUR COMMITMENT TO REDUCING, PREVENTING & ENDING HOMELESSNESS 36
• MISSION PARTNERS 38
LOOKING FORWARD AS A MOVEMENT: 39
MODERN SLAVERY AND ANTI HUMAN TRAFFICKING STATEMENT 42
OUR APPROACH TO FUNDRAISING 43
Streamlined Energy and Carbon Reporting (SECR) statement 49
REVIEWING FINANCES 52

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

2

RESERVES POLICY 55
INVESTING FOR THE FUTURE 55
STRUCTURE, GOVERNANCE AND MANAGEMENT 58
RISK MANAGEMENT 59
SUBSIDIARY AND ASSOCIATED COMPANIES 61
RECRUITMENT AND APPOINTMENT OF DIRECTORS 61
ADVISERS 65
INDEPENDENT AUDITORS REPORT 66
CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES 70
CONSOLIDATED BALANCE SHEETS 72
CONSOLIDATED STATEMENT OF CASHFLOWS 73
NOTES TO THE FINANCIAL STATEMENTS 74

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

3

INTRODUCTION FROM THE TERRITORIAL LEADERS Commissioner Paul Main and Commissioner Jenine Main

We are delighted to introduce our very first Annual Report and Accounts as Territorial Leaders of The Salvation Army in the United Kingdom and Ireland. With more than 38 years of service as Salvation Army officers, we can attest to God’s faithfulness in our own lives and in the life of our Movement. This year has been no exception. Since we took up our appointments on 1 January 2024, we have witnessed afresh God’s life-transforming grace in communities right across the United Kingdom, Ireland, the Channel Islands, and the Isle of Man.

We are hopeful that as you read this Annual Report, you will be inspired, as we are, by the remarkable stories of transformation. Our incredible officers, employees, members, and volunteers have yet again stepped up and demonstrated their love for God and neighbour through their generous acts of service to all, without discrimination. We are grateful for every one of them.

There have, of course, been challenges along the way. As the cost of living has continued to rise, it has placed enormous strain on many of those living in the communities in which we serve. Our 588 local corps (churches) have experienced even greater numbers of people seeking assistance and our residential centres have been required to support people with increasingly complex needs. As you will read in the report, our personnel have met the challenge with a sense of compassion, boldness, and respect. While not everyone who serves with us is a Christian, it is true to say that together we embody the example Jesus set for us in putting the needs of others before our own.

We would like to thank the many people who have financially supported our work. Even amidst such challenging economic times, our donors have shown extraordinary generosity. Their contribution has enabled us to reach out in new and effective ways, touching the lives of the most marginalised and offering a helping hand to many people who have needed our support for the first time. We value every donation and have been determined to put everything received to beneficial use.

One of our favourite Bible verses is in the Old Testament book of Micah:

‘And what does the Lord require of you? To act justly and to love mercy and to walk humbly with your God.’

(Micah 6:8 New International Version )

You will find the outworking of these words woven throughout this account of our work. We, therefore, commend this report to you. Be encouraged and inspired by the work The Salvation Army continues to do, wherever we are.

Thank you for your help and support, and may God bless you.

Commissioner Paul Main Territorial Commander of The Salvation Army in the United Kingdom and Ireland

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

4

OBJECTS OF THE SALVATION ARMY TRUST

The Salvation Army’s principal objectives are the advancement of the Christian religion and pursuant thereto the advancement of education, the relief of poverty and other charitable objects beneficial to society or the community of humankind as a whole.

The following groups benefit from the work of The Salvation Army Trust:

The Salvation Army takes a holistic approach, engaging with people’s physical, emotional, and spiritual needs, offering its services without discrimination.

OUR VISION, MISSION, AND VALUES

Our Vision, our Values and our five Mission Priorities inspire and guide all the work we do as a church and as a charity.

While The Salvation Army operates through two main charitable trust registrations (see below, page 8), we have one unifying Vision Statement, five Mission Priorities and six Values that guide us in all we do.

We have simplified and refreshed our Vision, Mission, and Values Statements to reaffirm our sense of purpose and direction for The Salvation Army in the United Kingdom, Ireland, the Channel Islands, and the Isle of Man. Since their creation and adoption and throughout the year under review, the new statements have been deployed extensively across the territory. The aim is that every expression of The Salvation Army, our corps (churches) and community centres and residential centres all seek to deliver the same five Mission Priorities to strive to deliver the one overall Vision Statement. Their simplicity and boldness mean that all areas of the diverse work of The Salvation Army can be both anchored and inspired by them.

Our Vision Statement:

This is ‘Our Vision’ for every part of The Salvation Army. It is inspired by the words of Jesus : ‘I have come that they may have life and have it to the full’ (John 10:10 NIV ).

No words can adequately capture the vision of boundless salvation that God intends for the world and everything in it. However, ‘Fullness of life for all with Jesus’ includes every aspect of Salvation Army life. We believe everyone can enjoy fullness of life with Jesus. It is aspirational — we are not there yet but this is what we strive towards.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

5

Our Five Mission Priorities:

Our Mission is built on five priorities which are the drivers for all we do, how we do it and why we do it, across the entire organisation.

These short phrases communicate immense challenge, ambition, and direction. When these priorities are present, The Salvation Army is working towards our vision of ‘Fullness of life for all with Jesus.’

Each of the five priorities of our Mission is rich in meaning and helps us explain to 21stcentury society why the Christian message and the work of The Salvation Army are relevant and desperately needed in our communities and nations.

They are not arranged hierarchically but overlap and mutually support each other.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

6

structures that enable injustice. Seeking reconciliation is also an essential part of The Salvation Army’s vision of the good life. Peace and fullness of life are possible when justice and reconciliation are priorities in the lives of individuals, communities, and nations. The Salvation Army is committed to work in partnership for these ends.

Our Values

Our Values are for everyone involved in The Salvation Army and should be reflected in our behaviour, result in good relationships and increased wellbeing and help us integrate what we do with how we do it.

The basic standard of Christian behaviour, derived from our understanding of the character and action of God, is love, so we need continually to be drawn back to understand how God is asking us to live and work together to help us be faithful to our calling to be God’s people.

Our Statement of Commitment:

We have one simple statement to explain why we are here, which frames all we are and all we do as a church and charity. Four words achieve this:

‘Love God, Love Others’

This is based on Jesus’ greatest commandment in Matthew 22:37–39 to ‘Love the Lord your God’ and to ‘Love your neighbour as yourself’. ‘Love God, Love Others’ underpins, inspires, and motivates everything we do, in every part of The Salvation Army.

Since its adoption a few years ago, this statement has been widely used across The Salvation Army in communications, on corporate publications, on our websites and on email footers as a powerfully simple ‘explainer’ of what we are here to do and how we strive to deliver our vision.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

7

EXPLAINING OUR STRATEGY, STRUCTURE AND OPERATION

The Salvation Army is a broad and diverse organisation. As a Christian denomination it puts its faith into action in many different ways across the UK and this section seeks to explain how our foundation as a church is the essential basis of how we work and what we do.

The UK Salvation Army is combined with the Republic of Ireland to form a ‘territory,’ comprising one of 135 territories across the world where The Salvation Army works. The Salvation Army in the Republic of Ireland is a separate company and therefore has its own report and accounts. This Report & Accounts is for the UK-registered Salvation Army Trust. (More below).

Our two principal charitable registrations:

The Salvation Army operates through two principal charitable trusts: The Salvation Army Trust and The Salvation Army Social Work Trust.

This Report & Accounts outlines the work of The Salvation Army Trust (Charity Registration number 214779) , which is the charity registration through which we manage our programmes of engagement and support which are delivered through our 588 local corps (churches). Much of the funding for the work of The Salvation Army Trust derives from public donations, legacies, trading activities and church members. The consolidated accounts also include SAGIC and SATCoL which are subsidiaries of the Salvation Army Trust.

However, the work of The Salvation Army Trust does not represent the entirety of The Salvation Army’s work in the UK. Alongside the locally driven, locally responsive corps (church)-based operations which are reported here in this Report & Accounts, The Salvation Army operates centrally co-ordinated and centrally managed ‘social services’. While this is still the ‘work’ of The Salvation Army, the finances of these operations are managed and reported on through a separate charity registration, The Salvation Army Social Work Trust (Charity Registration number 215174) which has its own Report & Accounts and form a ‘sister’ publication to this one.

The Salvation Army Social Work Trust accounts for residential programmes for homeless people, care homes for older people, residential detox centres, family centres, refuges for victims of domestic violence, safe houses and services for the victims and survivors of modern slavery and human trafficking, and our Employment Plus services. These services are managed in a top-down model due to the vulnerability of the people needing help and because of statutory regulations and contract requirements. Much of the funding for The Salvation Army Social Work Trust derives from Government and local authority contracts and additional supplementary funding comes from The Salvation Army Trust.

Summary of the purpose of The Salvation Army Trust

The Salvation Army Trust is the charity registration through which our corps (church)-based community programmes and our congregational life are managed and accounted for. Because each community is different, our community work and expression will be different in each location. This is illustrated later in this report.

Inspired by our Vision and Mission Priorities:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

8

The scale of the work of The Salvation Army Trust

The Salvation Army Trust works principally through 588 corps (churches) and community centres in the United Kingdom.

England: 480 corps (includes Isle of Man and Channel Islands) Wales: 34 corps Scotland: 58 corps Northern Ireland: 16 corps

A list of centres managed through The Salvation Army Social Work Trust is in the Report & Accounts for that trust.

The work and delivery of The Salvation Army Trust

To ‘make sense’ of The Salvation Army, it is important to remember that The Salvation Army is first and foremost a church, but a church that delivers a diverse range of charitable services. Everything The Salvation Army does should positively contribute to making the world a better place — as God intends it to be.

As a church, we have a network across the UK of 588 local corps (churches) and community centres. These are generally run by corps officers, who are trained and commissioned (ordained) Salvation Army ministers of religion. Each corps officer is accountable to his or her community but is operationally accountable to one of a team of 14 divisional commanders (leaders) who in turn report to Territorial Headquarters based in London.

This strong community presence is the way in which we ensure we respond to local needs in local ways. What we do is decided on, agreed upon and delivered locally. The costs and delivery of this network of corps, and the infrastructure and the centralised operations that support it, are the subject of this Annual Report & Accounts for The Salvation Army Trust.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

9

The Salvation Army is a church and charity that doesn’t just help people by providing immediate, practical support to overcome issues such as addiction, homelessness, social isolation or poverty; it also strives to address the reasons behind the suffering, with a view to effecting sustainable change in individuals and society at large.

Therefore, what sets The Salvation Army apart from other organisations is the combined strength of our centrally co-ordinated social work services and the local responsiveness of our corps (churches) and community centres which are all playing their part to bring lasting change at a local and national level.

Every officer, soldier, member of staff and volunteer brings their own unique insight into the lives of the service users and communities they serve, to inform the work that we do and help us prioritise which reforms we will campaign for on behalf of the marginalised and vulnerable.

Explaining our distinctive organisational approach to strategy

Our vision statement is ‘Fullness of life for all with Jesus.’ This is a scripturally inspired goal which now forms the heart of our delivery. The Salvation Army is a diverse, responsive, agile Christian church and charity. Because we live and work in the communities we serve, we fully recognise that each community is different and consequently the needs of each community are different.

Our approach is to encourage effective and flexible activities focused on helping people experience life in all its fullness across all the communities in the UK where we have a local presence.

The UK Salvation Army deliberately does not have a prescriptive approach to directing its delivery at corps or centres or a directive top-down strategy. Instead, we prioritise local responses to local needs as the way we choose to work across the UK.

This report highlights how this approach enables us to respond powerfully, quickly and in an agile, flexible — and, above all, locally relevant — way to emerging needs and changes in society and the economy, for example, the cost-of-living crisis that we still felt in the year under review.

Integrated locally

Together, the two Annual Reports & Accounts provide a comprehensive account of the work of The Salvation Army in the United Kingdom. At a local level, The Salvation Army across both trusts is encouraged to work together to bring lasting change at local as well as national level — we call this ‘integrated mission.’

Integrated internationally

In a wider context, the international network of The Salvation Army works in 135 territories, often in the forgotten corners of society. Our breadth of experience and strong relationships enable lessons learnt in one place to benefit people facing similar challenges thousands of miles away. The rapid expansion of our work with victims and survivors of modern slavery and human trafficking is a good example of this, with many local responses to a global challenge.

Resourcing, support, and oversight

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

10

The local diversity of The Salvation Army’s operations is supported through centrally coordinated services — such as HR, Finance, Property, IT, PR, and Fundraising, with some of these support functions also located in our divisional (regional) headquarters. This approach enables us to be efficient and effective in the use of resources.

In addition, there are staff whose role is to learn lessons from local programmes and pilot schemes, to share resources and successful outcomes from innovation and experience with other Salvation Army operations to help us achieve our mission priorities across The Salvation Army as effectively as possible. This approach helps to drive up the quality of our services to people who are often poor, marginalised, and vulnerable.

Realigning resource to enable a ‘flourishing’ and effective Salvation Army

Finalising the delivery of the Structure Co-ordination and Design Project 2023/2024

The Salvation Army has never been a static organisation and over its 159 years of life and work it has been constantly evolving to match efficiency and effectiveness with changing times and changing needs.

Ensuring appropriate oversight and support and operational freedoms to more than 600 diverse and locally responsive Salvation Army churches and community centres is challenging. Add to that more than 100 residential and non-residential social work centres and the challenge of ensuring the most effective allocation of resources is a critical task.

The challenge of the Vision Statement and the five Mission Priorities was the impetus for looking at what organisational structures and ways of working needed to change to enable our ‘local mission delivery units’ (corps and centres) to truly flourish in their individual settings. By ‘flourishing’ we mean that every expression of The Salvation Army should actively be engaging with the five Mission Priorities (our Mission Statement) in order to achieve our vision.

This significant task, termed The Structure Co-ordination and Design Project , has been focused on three desired outcomes:

Starting in 2021 and over a two-year period coming to fruition in the year covered by this Annual Report, the Structure Co-ordination and Design Project conducted probably one of the most extensive pieces of internal research we have ever executed to answer the simple question:

‘What (change) is needed to enable our local mission to flourish?’

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

11

The process was deliberately designed to be ‘bottom-up.’ Consultations were carried out within all the (at the time) 22 divisions and at all headquarters, both territorial and divisional.

The principal premise we worked to is this: a combination of effective oversight of the right things, combined with the allocation of adequate resources and support and the effective release of our local mission delivery expressions from unnecessary control should result in communities and people flourishing.

The strength of this simple model is that it is consistent with the way The Salvation Army has always worked. We respond locally and meaningfully to local need in local ways. Organisational structures and administrative and decision-making processes can become burdensome and inefficient over time. At its best, The Salvation Army is often more local organism than top-down organisation. Therefore, rooting and starting our thinking and planning for change in ‘local’ was the most sensible and potentially the most powerful way forward.

The outcome can be outlined as a series of significant changes to the way we work:

Release: We engaged and continue to engage in an extensive rethink of how resources need to be marshalled and how the local delivery points can be released to be as free as possible to decide on and deliver what they perceive is needed in terms of service and services. One outcome is, and will continue to be, a review of effectiveness, and how investment can be directed more freely to where increased investment will deliver significant change for people and communities.

Oversight: Effective oversight is vital for compliance and governance. Oversight ensures we are doing the right things in the right ways. However, the design process also looked at where supervision and some forms of oversight are unnecessary or could be released to be done locally, not centrally. We have a strong spirit of accountability in The Salvation Army and the releasing of some aspects of oversight will mean more local ownership.

Support: We need to continue to ensure that the support that is needed to enable local mission delivery to flourish is available, but in the right ways. This means adequate funding streams, support for raising awareness locally, support for training and innovation and local growth. We are developing more practitioner-based and peer-to-peer support. This is helping to reduce the cost of support and improve the quality by encouraging people to learn from fellow practitioners.

Streamlining was also one of the three goals of this process, and a significant branch of this project looked at our divisional structure and how best our 588 corps and community centres can be clustered and supported divisionally (regionally). Following extensive consultation, it was decided to systematically reduce the number of divisions from 22 to 14. This entailed a reshaping of the role of the divisional leadership team to ensure the effective application of the principle of support, oversight, and release. Critical to this thinking was also to ensure that divisional headquarters staff united with Territorial Headquarters to form one integrated system of support and oversight. During 2023 and 2024, The Salvation Army in the UK settled into working with its new divisional boundaries.

The Structure Coordination and Design Project concluded its work at the end of 2023, with the ongoing focus on transformation, streamlining and integration being taken forward by headquarters staff as an essential aspect of ‘business as usual’. The monitoring of actions is overseen within existing board structures.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

12

ILLUSTRATING THE WORK AND ACHIEVEMENTS OF THE SALVATION ARMY TRUST 2023/2024

OUR FOCUS - introduction

‘Do not conform to the pattern of this world but be transformed by the renewing of your mind. Then you will be able to test and approve what God’s will is — his good, pleasing, and perfect will’ (Romans 12:2 NIV).

In July 2023, The Salvation Army celebrated 158 years of work with people in our communities, reaching out to the people most in need. It may not be a landmark year in the traditional sense, yet it marks another year of our unrelenting and generous spirit of giving.

The work of every corps is to seek to follow our Mission Priorities to achieve our Vision in the communities we serve. Because each community is different, how we serve them also differs. It would be an almost impossible task to list here all the different programmes we run. What this overall section does is to illustrate our life and work during 2023/2024 with examples of our diverse delivery and the challenges we have met in different settings.

We are a church but not in the traditional sense. Our Founders, William, and Catherine Booth abandoned the conventional Victorian ways of doing church. Rather, they took God’s good news of salvation directly to the people. They particularly focused on the social and spiritual transformation of society’s most vulnerable and marginalised people.

— — Today as a church and a charity we continue this work through 588 Salvation Army corps (church and community centres), — as well as a network of social service centres funded — through the Salvation Army Social Work Trust, around the country. We are energised by Christian worship, teach Christian principles and put our faith into action by reaching out to people in need.

This year we have continued passionately to live out life as a church as well as serve the community. It is from our foundation and living presence as a church that our belief is put into action in the communities where we are present. We have illustrated this with examples of how we keep adapting, adjusting, and changing to meet the needs of the communities we serve. Just like our Founders William and Catherine Booth, we know that this is God’s will for our lives.

Our sister report, the Report & Accounts for the Salvation Army Social Work Trust illustrates the work we deliver — often in our residential programmes — through our contracted services.

OUR PEOPLE

The Salvation Army across the UK has more than 4,000 thousand staff and active officers in both Salvation Army Trust and Salvation Army Social Work Trust and thousands more volunteers. Ensuring we recruit and retain the best we can is critical. Essential to this is the preparation we provide for people training to be Salvation Army officers (ordained church leaders) and the investment we make in all our people through training and skills development. This section looks at some highlights from the last year, including the appointment of new territorial leaders for the UK and Ireland and for the worldwide Salvation Army.

Under new leadership — at home and abroad

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

13

WELCOMING NEW TERRITORIAL LEADERS

In January 2024, the territory’s leaders, soldiers, members, friends, and family came together for the installation and welcome of Territorial Leaders Commissioners Jenine and Paul Main.

Breaking with the expected traditional entry to a rousing march, the leaders solemnly entered the hall to the majestic tones of William Himes’s composition ‘Procession to Covenant.’ The congregation was invited to stand and acclaim as the piece came to its climactic conclusion.

The Salvation Army’s worldwide leader, General Lyndon Buckingham, commended Paul, and Jenine Main as people of God who have faithfully demonstrated their commitment over many years and in many settings. He highlighted the significance of the public acceptance of their new responsibilities.

Commissioners Paul and Jenine Main succeed Commissioners Anthony and Gillian Cotterill, who retired from active service in January 2024.

Watch the official welcome event online at salvationist.org.uk/TLwelcome

ELECTING A NEW GENERAL

The General is the worldwide leader of The Salvation Army and in May 2023 leaders of the worldwide Salvation Army gathered to form a High Council to elect the 22nd General of The Salvation Army. The High Council has 112 members from every corner of the globe, and they were welcomed with worship and prayer in a service at Central Hall, Westminster.

Commissioner Lyndon Buckingham was elected as the next General. He said: ‘I’m being afforded a wonderful and privileged opportunity to speak into the lives of Salvationists around the world about our mission and our purpose in the world. And that’s a huge privilege.’ He looks forward to sharing his ministry with his wife, Commissioner Bronwyn Buckingham.

Lyndon Buckingham was first commissioned (ordained) in his home territory of New Zealand, Fiji, and Tonga. Other early appointments with his wife Bronwyn included Territorial Youth and Candidates Secretaries, Divisional Leaders, and Territorial Programme Secretaries.

We also said thank you and farewell to General Brian Peddle and Commissioner Rosalie Peddle as they departed for Canada to begin their retirement. Lyndon Buckingham gave thanks for their 46 shared years of ‘faithful, dedicated, covenanted service’.

Future leaders in waiting

New cadets in training

We were delighted to welcome nine new cadets — who are training for full-time service as the next generation of Salvation Army officers. Each annual intake (termed a session) of cadets across the world is given a sessional name and the 2024 session was named the ‘Champions of the Mission’ which is intended to characterise their ministry.

In a service at William Booth College, Territorial Candidates Director Major Mark Sawyer — charged with getting the candidates for training to this point — officially commended them to Territorial Commander Commissioner Anthony Cotterill, who then handed them over to the college for their two-year period of training which will end in their commissioning (ordination) and their appointment. Most will lead a local corps (church).

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

14

Two of the cadets share their testimonies with us here:

‘From corps life to working with families in a Lifehouse, that’s been my journey so far. But through it all there has been a calling to officership. Like Moses, I heard God’s calling, but I made many excuses. However, just like with Moses, God kept breaking down my excuses. In 2020, I attended Design for Life and then did a gap year at Addlestone Corps.

Throughout this, God has provided the experiences and destroyed my excuses, showing me that I can and will be a Salvation Army officer. God means everything to me. He has transformed my life and helped me through tough times, and I want to dedicate my whole life to serving him.’ Adam Silcock, Lurgan.

‘I came to the Army nine years ago as a single mum and an alcoholic. I didn’t need or want God in my life, but something about my corps officer made me want to explore more. I became an adherent but that wasn’t enough, so I became a soldier. Even that wasn’t enough — I had a bigger calling. I didn’t know what that was, so I went to Design for Life.

I felt a veil being lifted and I saw the real me for the first time — the way God sees me. He showed me I was being called to officership, which was scary. I started the process, but things got in the way. That was five years ago — thank God I’m here today.’

Emma Scott, Forest of Dean.

Newly commissioned lieutenants

The ‘Reflectors of Holiness’ session were a group of cadets who arrived at William Booth College in September 2021 — along with their 14 children — to start their two-year training for officership culminating in their commissioning as lieutenants. They were a diverse group of people with remarkable stories of faith and a deep passion for serving God and his people with love and commitment.

At our annual event ‘Together 2023’, we celebrated the commissioning and sending out of these new lieutenants. They have all received life in all its fullness through their relationships with Jesus and accepted his invitation to follow him in this way. Two of the lieutenants share their thoughts with us here:

‘I know and realise that I’m loved unconditionally and that God equips those who are called; and that ministry is all about his power at work in us and not what we can do for him.’

Jackie Littlewood, appointed to Worksop .

‘This journey was possible due to being willing to say “yes,” not knowing where it would lead. Would I go back and say “yes” to them it all again? Yes!’

Stuart Turnbull, appointed to Worcester .

Renewal and empowering through learning and development

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

15

Every year, we are delighted to welcome new Salvationists into the heart of The Salvation Army. At the same time, it is important that we do not overlook dedicated staff and volunteers who have been carrying out God’s excellent work for many years.

Here we share some of the ways in which we are equipping our people for the future so that they can continue to best serve our communities and support each other.

NEW FORMAT FOR EXPLORING LEADERSHIP DAY

This annual event gave Salvationists an opportunity to explore spiritual leadership, officership, vocation and ministry within The Salvation Army. It helped people to find out who and what God is calling them to be, and it can help attendees discern a vocation to ministry as officers in The Salvation Army.

Usually, the day revolves around worship and a whole host of seminars. Building on this year’s event, we had innovative ideas — – including a park run, prayer walk and quickfire testimonies to help people share their stories. We always aim to create a space for relaxed and creative exploration of leadership.

‘We are all followers of Jesus, first and foremost, but I am grateful for this space that is dedicated to growing godly leaders in The Salvation Army.’

Lauren Westwood, Bromley Temple

‘It’s a great day of learning and worship, spending time with others from around the territory who are also exploring spiritual leadership and how each of us can grow and develop as spiritual leaders.’ Cadet Georgia Marriott-Lodge

WILLIAM BOOTH COLLEGE — NOT JUST FOR CADETS

William Booth College (WBC), in London’s Denmark Hill, has been the site of The Salvation Army’s leadership and training programmes since 1929. It is known for cadet training but is also a centre for learning and development for the entire territory, our employees and lay spiritual leaders.

This year, WBC went through a significant restructuring, resulting in eight new units and a newly formed leadership team. The focus was on reimagining how we can provide mandatory and development-focused training to employees and volunteers.

The then College Principal Lieut-Colonel Judith Payne explains: ‘WBC exists to meet the learning and development needs of the territory, to be involved in mission and provide opportunities for growth that we might display the glory of Jesus.’

As a church and charity, with over 4,000 employees, officers, and thousands more volunteers, The Salvation Army has a real commitment to training, enabling, and facilitating people to be the best they can be in whatever area of work or ministry they serve.

Knowing ourselves — research into membership

During the year, the Membership Working Group researched into membership of The Salvation Army. They wanted to know what ‘belonging’ means to our own people and people who are not yet a member of our Movement. We encouraged people to be part of this Big Conversation around ‘Believing in Belonging.’

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

16

Each of our 14 divisions (dioceses) facilitated group conversations with children, young people, and adults. We also created an online questionnaire — to take the conversation to as wide an audience as possible.

Themes emerging from the analysed information emphasised the following as particularly important to a sense of belonging at The Salvation Army:

Looking after each other — The Salvation Army’s Counselling Service

As our Counselling Service turned 50 years old, we reflected on its significance. None of us is immune to the realities of life and it is important that we listen to our bodies and our minds.

All our counsellors are professionally trained to degree or postgraduate level, and all are members of a regulatory body. They are here for officers, cadets, senior managers, and staff who have experienced a critical incident — such as a death in a Lifehouse or Older People’s Services, or the stresses and strains of church leadership and management. They also provide help to children of officers and, where capacity allows, other Salvationists and members of the public.

Major Richard Gaudion, Deputy to the Head of the Counselling Service, is an experienced counsellor and psychotherapist. ‘When people are going through psychological or emotional distress, they’re unable to live life to the full. Wellbeing embraces all aspects of an individual’s life — spiritual, emotional, psychological, and physical — and is the fulfilment of Christ’s offer of “abundant life,” he says.

Learning to understand the trauma of others

Our ‘Valuing People’ framework is a new guide focusing on Jesus’ greatest commandment to love God and love others as ourselves.

TRAUMA-INFORMED CARE

Being trauma-informed is our engagement tool for creating healthy, flourishing, and enabled environments and this year we continued our commitment to facilitating this important mindset.

This is particularly important given the people who come to us for support or help. It is compassion with a trauma-informed response that best meets people’s needs and supports their recovery. If people can say, ‘I am safe,’ then they can love and can experience belonging. So, instead of judging behaviour, trauma-informed practice asks what’s going on. We don’t ask: ‘What’s wrong with you?’ We ask: ‘What’s happened to you?’

During the year, we looked at improving our centres to be more welcoming and supportive of people who are experiencing trauma, for example:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

17

TALKING ABOUT SUICIDE

Thousands of people in the communities we serve take their own lives every year. ‘Let’s Talk About Suicide’ is an ongoing, online course created by The Salvation Army’s Training and Development team based at the William Booth College. It is designed to improve knowledge of the subject, and the resources and links people can access.

This year, the course used an interactive film and activities to teach people how to respond to someone experiencing suicidal thoughts — what to say and what not to say. It also explained statistics, risk factors of suicide and how to reach out for help and advice.

Some possible signs we looked out for were:

‘While the causes of suicidal thoughts are complex and nuanced, suicides are preventable. Education is the most powerful way to combat these fears.’

David Grundy, learning and development officer.

BELIEF IN ACTION — OUR CHURCHES AND COMMUNITY CENTRES

‘See, I am doing a new thing!’ (Isaiah 43:19 NIV).

Our 588 corps (churches) and community centres seek to meet the needs of the community and are often serving and supporting the most marginalised, excluded, and underprivileged people. How we do this depends on the circumstances of each corps and the community, so there is immense diversity in our work. Here we illustrate some examples that stood out in 2023/24.

Across the year, prices continued to spiral upwards, and poverty deepened for millions of people in the UK. Every day, our Salvation Army officers saw the shocking impact of poverty and despair in the communities they served. The compassion and practical support of our corps were never needed more. As people’s lives grew more desperate, we evolved our services in response.

Nationwide efforts to offer food and warmth

DISCOUNTED FOOD CLUB IN NORFOLK

A Salvation Army food shop in Norfolk helped people struggling to afford food. It sold items at reduced prices, and some fruits and vegetables were free. Members paid a fee of just £5 every six months. The club was a gathering point and, in a way that is so characteristic of our community work, the shop was a place for building relationships and finding out about wider services that may help people too.

SOUP AND SANDWICHES IN SUNDERLAND

Every Thursday the Salvation Army corps ran a soup and sandwich lunch. As well as offering food and friendship, it was a place where diners learned about The Salvation Army’s cookery

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

18

school initiative, the Victory Programme. It helped people to cook, to budget and build new life skills.

BREAD AND BUTTER ENTERPRISE IN WEST SUSSEX

On Fridays, our Southwick Corps ran an affordable food club called the Bread-and-Butter Thing. In just six months, members purchased the equivalent of 47,400 meals-worth of food. The club served 4,500 bags of food to people struggling with the cost-of-living crisis, too.

WARM WELCOME IN LURGAN

The corps encouraged people to drop in and sit and talk with volunteers over a ‘cuppa.’ The team provided a listening ear and offered help with fuel and utility costs and food. The corps was the busiest referrer to the community food bank and became the food bank itself on drop-in days.

EVERY CHILD WARM INITIATIVE IN GATESHEAD

Our nationwide Every Child Warm campaign continued to invite families, facing rising costs, to take home donated items, such as winter coats and shoes, for free. In Gateshead alone more than 200 children benefited, often picking their own items. One mum said, ‘If you made a list of all the things needed for school, it would be more than £50. The things here are new and good quality.’

Debt advice across the UK

Being in debt is stressful and puts pressure on individuals, families, and relationships. We see the damage it can do, so we remain committed to supporting people and providing them with ways to manage their debt and become debt-free.

We continued to run debt advice programmes across the UK from our churches and community centres. We are authorised and regulated by the Financial Conduct Authority (FCA) and all our staff/volunteers are trained to regulatory requirements. In the year in review:

3,534 clients and families were supported; £6,867,103 was the value of debts managed at year-end; 41.5% of people supported were on low income and had a long-term illness; 41% of people supported had a negative budget before paying for essential goods.

In the last year we have found suitable debt solution in quicker timelines, taking away the worry and fear that being in debt brings. We have introduced on-line portals, allowing people to take control of their financial situation and providing the often much needed budgeting skills.

MH came to us with a total debt of £22.5K. We helped him negotiate a payment plan agreeable to his creditors and affordable to MH. He was conscientious in meeting his plan which projected he would be debt-free by the end of 2023.

Sharing faith and friendship

Our churches are open to anyone. They are often a spiritual home for many people who do not attend worship on a Sunday. For others, who do not know about Jesus Christ, we reach out and share our Christian values in the places they are.

Here we focus on some of the ways we reached out and shared our faith with people in communities around the country.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

19

Did you know? More than 31,000 people worship at 588 corps across the UKI Territory each week.

NEW ACTIVITIES AND SERVICES IN MOTHERWELL

The corps celebrated its 125th anniversary in February 2024. The once thriving corps had slowed down when the Covid-19 pandemic struck.

Majors James and June Rorie stepped up to lead the corps and appointed Bobby Roberts as Community Mission Development Worker.

The corps has established a new programme of activities. Now there are regular family fun days aimed at single parent families, a weekly after-school club and a walking group which combines mission and wellbeing. Beauty students from a local college provided pamper — sessions for unpaid carers at the hall offering hairdressing, massages, and manicures.

Bobby says, ‘This corps has a great foundation. It’s focused on God foremost. There’s a real warmth and we are bringing God to the community.’ The vision is to grow the corps through the mission outreach, and the team have made an excellent start.

FRESH EYES AND PERSPECTIVES IN ABERYSTWYTH

Newly appointed to Aberystwyth Corps, Lieutenants Jo and Thomas Morgan, arrived fresh from William Booth College in July 2023. It was an opportunity to offer a new perspective on the work here.

The lieutenants built on the good links with the probation service, social services and homelessness charities in the town and worked with other local churches, too.

The corps charity shop plays a significant role in their mission. Local churches know that they can signpost people in need to the shop and the corps will step in to help them Likewise, when people come into the charity shop, the corps can clothe them and signpost them to other churches or agencies for additional support, such as hot meals.

The lieutenants say, ‘We’re encouraging our fellowship to read Pete Greig’s God on Mute to get them thinking a little differently about why change happens and what we can do as a corps to develop our relationship with God.’

New experiences of church

GETTING MESSY…

We continued to run Messy Church at many corps around the UK. It is church for families who may not find other forms of church appealing and who do not yet belong to a church.

We ran 723 Messy Church activities per week across 97 settings. One example is Clowne Corps in Derbyshire, where families made crafts, shared food, and welcomed new families. Activities focused on the Bible seaside and following Jesus. Participants made and raced cork boats to illustrate Jonah’s story, created seaside collages, and made bead-decorated sandals.

…AND MUDDY

Muddy Church is a variation on Messy Church. At our annual event, Together 2023 it was championed by Captain Wendy Watkins from Hadleigh Farm. She talked about how people can take part in outdoor activities, such as puddle-jumping, barefoot walks or modelling with mud. Whether people are in the countryside or an inner-city park, Captain Wendy inspired everyone to take part. It is all part of The Salvation Army’s ethos of caring for creation.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

20

FELLOWSHIP THROUGH SPORT

We continued to raise the profile of sport as a mission that empowers people as they connect their passion for Jesus with their love of sport. It is a way of opening new doors and developing new relationships with all kinds of people in our communities — on sports fields and recreation grounds, in gyms and more.

This year, Salvationists who felt called to share their faith through sport gathered at Sport Faith Life — a two-day course held at the University of Nottingham in June.

The weekend demonstrated what the very best of sports mission looks like. Delegates came together to dive into God’s word, meet other sport mission practitioners, share and explore ideas and reflect on their role in God’s big plan.

Delegates played football, ran trim trails, played multisport and discovered new games like boccia and tchoukball. They also considered the need to reflect and widen their perspective and to build relationships, deepen friendships and encourage each other.

Before returning to their homes and sporting communities, delegates made ‘game plans’ based on what they had learned. Key take-aways included:

RECIPE FOR GOOD

Around the UK, our Victory Programme helps people strengthen their cooking, budgeting, and growing skills. At the same time, it helps foster deep relationships in the community.

During the year, many Victory Programmes were active across the territory, including Scarborough, where Lindsey Barker co-ordinates the programme.

Over six weeks, students learned recipes and abilities that will stay with them for life. The course was open to anyone, but those who found it especially helpful included struggling parents, people on the edges of homelessness, elderly people at risk of loneliness, exoffenders, and people on probation.

It proved an innovative way of taking a food bank to another level. As well as giving out food, people learned how to cook it, too. The one-pot nature of the meals meant that the only necessary appliance was a tabletop stove for each student.

After the six-week course, participants graduated. They received a certificate, a recipe book with everything they had cooked together and a gift from Lindsey and the team.

People made friendships they wanted to keep. And it was an informal way of introducing them to our church. Coming to Christmas carol service or other events, would not be as daunting, it broke down some of the barriers that stop people stepping through our doors.

‘The cooking is almost secondary,’ Lindsey explains. ‘It’s a non-threatening way of bringing people together and having conversations.’

See more from the Victory Programme at Scarborough at https://youtu.be/YTvUYQIOBKc.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

21

Spotlight on inclusion

We aim to be an inclusive church where everyone feels welcome and can develop their relationship with God.

New steps to advocate for racial inclusion

For the past two years, the Racial Inclusion Working Group has been taking steps to ensure that we see full racial inclusion within The Salvation Army.

Members of the group were pleased to have a voice to speak about their experience. Nonwhite members spoke of how challenging it is to try to make a difference in a setting that is still mainly white.

It has been very encouraging to see some significant changes, noticeably in Salvation Army publications and media, in events and programmes around the territory and in the official recognition of African Praise Fellowship Zimbabwe.

Though there has been a noticeable move towards more inclusive thinking, we recognised that there is still much more to be done.

Racial inclusion needs to be embedded in the culture of all we are and all we do. It was decided that this important work should go in a new direction:

As sad as we are to see the Racial Inclusion Working Group ending its work, we are encouraged that the new format will help us ensure ‘every nation, tribe, people and language’ are welcome (Revelation 7:9).

HERE FOR PEOPLE WITH DISABILITIES

The Music Man Project continued to offer a confidence-boosting music education service for people with learning disabilities and their carers.

It was not just about people coming together to play music. It was about creating opportunities for people to enjoy music and bringing them into contact with The Salvation Army and exploring faith and spirituality.

Music is a wonderful way to communicate and can speak to the very heart of who we are in a way that goes beyond words. We saw people who are non-verbal find a new way of expressing themselves. People who were socially isolated have gained confidence. People who, in the past, experienced all kinds of barriers have found opportunities to develop relationships through the power of music.

There are currently five active Music Man Projects within Salvation Army centres in the territory and the project is growing. It is a testament to the music ministry that this growth tends to happen organically.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

22

People who encountered the Music Man Project were inspired by its message — and by The Salvation Army’s mission to be inclusive and welcoming as it works to bring fullness of life with Jesus to all.

CELEBRATING WHO WE ARE

One highlight of the year was the Enabled Summer School which took place at The National Star College in Cheltenham. It was an event for people who have a disability, where diversity, individuality and difference were celebrated.

Two of the many attendees were Elaine and her son Sam, who reported that the Enabled Summer School is where they both got the strongest sense of belonging. Activities were accessible, the delivery appropriate, engaging, and exciting — and Sam could just be himself.

Over the week, people met friends and enjoyed fun, laughter, and fellowship. There were choices and challenges, the chance to learn new skills and improve on others. The ‘can do’ attitude, positivity and encouragement from others made enabled a unique and exceptional week.

Enabled groups run all year around locally and there is also an online Enabled community. The first online event last year was Enabled Easter. In total the sessions were watched by 2,850 people live or over the course of the weekend. People continued to enjoy the sessions long after the event, with views increasing to 3,060 by the following week.

STRAWBERRY FIELD GRADUATES

Funded through The Salvation Army Social Work Trust, but with essential support from The Salvation Army Trust (this report), our Strawberry Field training centre in Liverpool celebrated the graduation of 23 people in October. The centre is the home of Steps to Work — a specialist Salvation Army employability training programme for people who may have learning difficulties or face other barriers to employment. The ceremony recognised the success of the graduates in entering paid work, training, or meaningful volunteering. John Lennon’s sister, Julia Baird, who is honorary president of our Strawberry Field Centre, was present. Julia Baird was also present in February to unveil a commemorative stone to mark the 40 years since Yoko Ono and Sean Ono Lennon visited The Salvation Army’s Strawberry Field home.

Reliable, experienced partner in a crisis

Every year, as a matter of course, our corps renew their commitment to work with emergency services during and in the aftermath of major emergencies and incidents. It means they can rely on us, and so can the people affected when disaster strikes.

Did you know? 26 emergency response vehicles respond to at least 300 calls-outs per year.

‘It’s a privilege to offer our support and emergency crews always appreciate our response. Many say to us that we are the vehicle they look for first when on scene.’

Julie Judson, Salvation Army chaplain.

TO THE RESCUE

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

23

Amid the heatwave of summer 2023, The Salvation Army was on hand to support the emergency services and rough sleepers as temperatures soared. We provided water, sun cream, suitable clothing, and emotional support to rough sleepers.

At major fires , we provided refreshments and pastoral support to emergency workers attending major incidents. This included four incidents in London, a blaze at an office building in Leicestershire, a wildfire in southern Wales and a large fire at a farm near Ipswich.

During flash flooding , corps officer Lieutenant Debbie Anne Hogarth opened the Hastings corps hall as a warm space for emergency workers and local residents affected. The corps also fed and clothed residents and worked with the council to rehouse 15 families affected by the floods.

When storm Jocelyn hit, corps officers from Stornaway came to the aid of stranded travellers on the Isle of Lewis. They opened the hall to about 30 adults and children affected by a road accident, providing hot drinks, food, puzzle books, War Cry magazines, a charging point, and toilets.

PROVIDING RESOURCES AND EQUIPMENT

In Suffolk, volunteers celebrated 45 years of supporting emergency services in the county with a dedicated emergency vehicle . The Salvation Army put forward plans to redevelop Stowmarket Fire Station, including a dedicated bay for the new emergency vehicle.

At Rochester Fire Station, Captain Gary Robb was presented with a new Incident Response Unit (IRU) by Alun Cornish, FedEx Express Operations Managing Director. The IRU will strengthen he The Salvation Army’s support of the emergency services across Kent and Sussex.

On Lindisfarne, the North-East emergency response team took part in a challenging training operation as part of its work supporting emergency services. The multi-agency exercise was led by Northumberland Fire and Rescue Service alongside Mountain Rescue, the Coastguard and Natural England. The training helped to prepare for scenarios such as wildfires.

REACHING OUT TO VULNERABLE PEOPLE

In communities across the UK, people are struggling like never before. Poverty and despair can put pressure on mental health, relationships, hopes and ambitions. As the dire situation continued into another year, our corps renewed their determination to support all the people who need us. Our faith is based on a passionate belief that action is needed as well as words.

Supporting children and young people

Children and young people face so much in the world today — a constant battle with social media, war, the climate crisis and more. We understand that looking at the world through young eyes can be incredibly saddening.

Through our children and young people’s services , we offered a new abundance of relationships, possibilities and above all, hope. Last year, across the UK and Ireland, our projects engaged with over 7,000 children and young people.

NEW RESEARCH INTO CHILDCARE

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

24

New research carried out by The Salvation Army and PwC showed that schemes that offer free childcare can boost the economy and bring more people into work.

It focused on a 2017 scheme that extended state-funded childcare from 15 to 30 hours, for three- and four-year-olds in England. We found that the childcare added £22.3 billion to output and brought 286,000 people into work.

CELEBRATING EARLY YEARS

In addition to the many hundreds of weekly activities at corps aimed at young people, last year we also ran high-quality Ofsted-registered childcare programmes in seven corps around the UK, serving around 350 children.

Describing one of our settings, an Ofsted inspector reported, ‘Staff provide a warm, nurturing environment for children and show a genuine care for their well-being. Children are enthusiastic to come into nursery and show that they are happy and feel safe with staff. Staff work hard to support children in their personal, social, and emotional development and children’s behaviour is incredibly positive.’

In 2023, Smiley’s preschool, which is run by the corps in Leigh-on-Sea, celebrated its 50th birthday. Originally established by Margaret Parkhill as a corps playgroup in January 1973, it is now led by Lauren Clay. The group recently received a ‘Good’ rating from Ofsted.

Celebrations included a summer fair and a Sunday meeting led by Early Years Operations Manager Andrea Stevens and Territorial Community Engagement Lead Debbie Charles. A few former ‘aunties’ joined in the festivities. A time capsule was buried in the garden of the hall, containing details of the current preschool, including pictures, memories, and artwork.

LITTLE MIRACLES IN SOUTHPORT

The Little Miracles baby and toddler bank provided essentials to 120 families last year. It supplied bespoke emergency parcels based upon families’ individual needs. These included baby formula, nappies, toiletries, clothes, and baby food. The service grew at an alarming rate, with a steady increase of clients since opening in 2020. It was supported by local Christian charity Compassion Acts.

Community Programme and Engagement Manager Kathryn Casserley said, ‘We have seen so many families affected by the rise in the cost of living, families that are desperate and don’t know where else to turn or what else to do.’

SUMMER CAMPS — FUN AND INSPIRATION

Every year, The Salvation Army runs summer camps across the UK. In Devon and Somerset alone, we ran camps for around 60 children and young people from a range of backgrounds. The camps help give children a holiday their parents may otherwise have not been able to afford.

NORTH-WEST AND ISLE OF MAN CAMP

The camp took the theme Undignified based on John 4:23: ‘But the time is coming — indeed it’s here now — when true worshippers will worship the Father in spirit and in truth’ ( New Living Translation ).

More than 100 students and staff spent the week considering what it looks like to live an Undignified life of faith. Daily Bible studies were spent digging deeper into living ‘flipped’ lives for God in the here and now.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

25

The students had an inspiring visit from Channique Sterling-Brown, who plays Dee Dee in Coronation Street, who shared her story of faith and how she lives a ‘flipped’ life daily in her acting career.

There was also singing, sport, science and faith, dance, drama, media, and art. Themed activities featured a Saturday Night Takeaway Quiz, a wellbeing night and the penultimate evening was spent enjoying worship together on the beach.

SOUTH-WEST CAMP

The division (diocese) held its junior camp with 34 children and 8 adults gathered under the theme of Superheroes. They focused on Bible heroes Abraham, Esther, Elijah, Moses, and Jesus and explored what made them superheroes of faith and what we could learn from their stories.

Exploring themes such as thinking fast, facing fears, and trusting in God allowed the children to discover more about themselves and how God wants nothing but the best for them, while showing them how they can be superheroes wherever they are.

Other activities included a film evening, karaoke, disco, inflatables, a treasure hunt, a Nerf war, crafts, and team games as well as time for reflection and worship. Everyone felt blessed to have fun and to see God working in their lives.

EAST OF ENGLAND CAMP

The week-long summer camp theme was Storyline and focused on the importance of trusting God. Young people learned that God has a plan and purpose for everyone — their own story.

Options for the week included media and discussion, giving young people a space to share topics that others could relate to. Young people told us that this made them feel understood and part of something bigger.

In media, activities included editing, lighting, and filming. One young attendee, Connie Attwood, created a nightly live podcast, interviewing different staff members and students. The Youth Summer Camp made everyone feel welcome and accepted and young people reported that they learned a lot from being part of this supportive community.

Wellbeing support for all ages and stages

We have seen the impact of the pandemic and other pressures first hand, and we have been especially concerned over how these have affected young people in our communities. Here are a few examples of how we have responded.

STARFISH MENTORING PROGRAMME

Did you know that today five children in a classroom of 30 are likely to have a mental health problem? Starfish is The Salvation Army’s response to the mental health crisis facing children and young people today. It is offered in schools to 9- to 16-year-olds, free of charge.

The Starfish programme expanded significantly in the year under review. During the year 30 more new Starfish mentors joined 55 existing mentors. The programme is now active in 17 primary schools and 10 secondary schools, with 21 Salvation Army corps involved from Plymouth to York.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

26

School is a significant space, where lifelong friendships are made, where confidence and self-esteem are built or shattered and where life skills are refined. Starfish focused on boosting emotional health and wellbeing, including personal development and life skills.

The programme particularly benefited young people whose learning and motivation have suffered because of behavioural, social, or emotional issues, those at risk of exclusion and others struggling with the effects of the Covid-19 pandemic.

One teacher said, ‘After seeing the confidence these children have gained through the mentoring programme, I would confidently recommend this programme to any school.’

What did mentees say about Starfish ? 92% it helped boost their confidence 96% it helped them get on better at school

Watch an inspirational video about Starfish youtube.com/watch?v=eY6OWrV4ieo

BOUNCE WELLBEING RESOURCE

During the year, we created a new resource called Bounce to support young people’s wellbeing. It was designed to help children express themselves and start thinking on a spiritual level.

It involved bouncing a ball around the group of children. A letter on the ball related to a question card with sentence-openers such as ‘my favourite food is…’ and the child finished the sentence. Children who were reluctant to talk shared how they felt.

The game featured a special Salvation Army ‘U’ card for ‘Understand.’ The openers were things like: ‘If God is there, I wish he would…,’ helping children to discover their spiritual self.

Feedback from teachers was positive, including one who told us that they found children, who were not necessarily comfortable talking, had grown in confidence.

A NEW MINDSET

We introduced Mindset — a free online training course designed to equip leaders to help young people feel more resilient and able to cope with what life throws at them.

The training covered five topics: emotional regulation, adverse childhood experiences, attachment, trauma, and care giving and healthy care seeking. Toolkits offered practical ways to put this knowledge into action, with conversation starters and activities backed by evidence and research.

Over the last year, the demand for Mindset training has been high. To date, a total of 152 people have completed the training, with further sessions already in place for 2024 and 2025.

CHANGING LIVES – ELVIRE’S STORY

Elvire is 24 years old and has been part of The Salvation Army since the age of 12. Growing up in Barking, she found there was not much for young people to do. So, she and her sister Charlelie were thankful that The Salvation Army offered opportunities like a youth club.

To get more people coming through the doors, Charlelie and Elvire (then aged 14) started dance classes, called Konverse Dance Crews .

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

27

Konverse allows young people to converse and express themselves through dance. It promotes leadership skills by encouraging them to teach classes, produce annual showcases and take part in community events and competitions.

During the year, classes included Konverse Kidz (ages 5-9), Konverse Juniors (ages 10-13) Konverse Elite (ages 14-18) and Adults . They trained once a week at the Corps — doing their own choreography and mainly hip-hop and Afro.

Elvire said: ‘It’s a platform for people who are from under-represented groups to showcase their talent.’ They try to keep the costs low because a lot of families are struggling with the cost of living. It is more than just a place to go, Elvire believes that she can help young people to get into paid jobs within TV and film. ‘It is only through God that I have the strength to do this,’ Elvire explained.

Showing compassion for older people

Later life should be a rich and fulfilling time. It should not be a time when people give up their active lives. It should offer new activities, new experiences and, very importantly, new friendships.

Yet older age can be a time when people are at increased risk of isolation and loneliness. Older age is often portrayed negatively, and deprivation and ill health often go together.

In addition to our residential care homes, which are highlighted in our sister Report & Accounts for the Social Work Trust, we have a strong programme of corps-based support for older people, which are offers compassion and companionship. We have around 300 clubs and programmes for older people. Every year more than 180,000 older people attend some form of weekly club or programme, which is around 3,500 per week.

OLDER PEOPLE’S MINISTRY

Corps continued to offer fellowship, a listening ear, and a sense of belonging. Activities included CAMEO (Come and Meet Each Other) clubs, gardening and lunch clubs, intergenerational projects, day trips and wellbeing programmes.

For example, Penge Corps created a knit-and-natter club in May last year and membership quickly grew. People joined to learn a new skill or simply to enjoy knitting or crocheting together. It was an opportunity for fellowship, prayer and to share problems or joyful news.

NO AGE LIMIT

No Age Limit is the name of the Salvationist Radio show hosted by Andy Wileman, Assistant Director for Older People's Services, and Ali Thornton-Dean, Outreach Mission Partner. It is an hour of music, chat, testimony and devotions with the co-hosts and their guests.

During the year, they launched A Closer Look at Ageing, which looked at various aspects of ageing and what the Bible has to say. It covered topics including death and dying, dementia, retirement, social care, and befriending.

Ali explained: ‘Though there’s no real mention of retirement in Scripture, there was a change of duty for older priests in the Temple. They were still needed — you don’t get to a certain age and then God’s done with you. Anna and Simeon at the Temple waited and waited and they were the first ones to recognise the Messiah.’

Andy and Ali are on Salvationist Radio on the fourth Sunday of each month. Their devotions are also in Salvationist Radio’s new Silver Linings podcast.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

28

NEW HEALTH SUITE

At Mirfield Corps, West Yorkshire, we teamed up with social enterprise Legacy Active Communities to create a fitness and wellbeing area for people aged 55 and over.

The gym was designed to improve health and tackle loneliness and isolation. It was equipped with state-of-the-art machines and instructors were on hand to provide guidance and training.

Local MP Kim Leadbeater, who chairs the All-Party Parliamentary Group for Sport, gave it the stamp of approval. Ali Thornton-Dean (Older People’s Services) said: ‘We are an ageing society and, as we age and live longer, we need to live well and live better, so that means exercise, eating healthily and looking after ourselves.

SINGING BY HEART

The power of music, especially singing, to unlock memories is an increasingly key feature of dementia care. Around the UK, Singing By Heart sessions are established in 130 locations. They are designed to encourage communication, recollection of memories and be fun for those taking part. Recognising the importance of this, in the last year we have trained 54 new Singing By Heart Leaders.

This year, Liverpool Walton Corps launched a monthly group. Attendees sang classic songs and well-known hymns, encouraging a powerful form of music therapy. The sessions provided a safe place for participants to revisit long-lost memories and for carers to develop a support network of other people in similar situations.

‘Singing By Heart is a brilliant way to promote living well with dementia and we hope that, in every session, we can bring a boost to someone’s day,’ says Daniel Elson (Music and Creative Arts), who leads the sessions in Liverpool.

As well as supporting older people through our community centres locally, we run 12 residential care homes. You can read about this work in our associated annual report, The Salvation Army Social Work Trust 2023/2024.

No home for domestic abuse

In the UK, 1 in 4 women and 1 in 6 men will be victims and survivors of domestic abuse. It is defined as ‘any incident or pattern of incidents of controlling, coercive or threatening behaviour, violence, or abuse between those aged 16 or over who are or have been intimate partners or family members.

We know that domestic abuse is not part of God’s plan for us. It is an abuse of power and throughout Scripture, God is always on the side of the powerless. Here are some of the ways we tackled domestic abuse during the year.

NEW RESEARCH INTO DOMESTIC ABUSE

Research tells us that the prevalence of domestic abuse is of a similar level inside the Church as it is outside it. In March 2024, we asked Salvationists to complete a survey about domestic abuse. The answers will give us an evidence base, so that we can respond to it in an effective, safe, and Christ-centred way.

The survey took 10 to 20 minutes to complete, and answers were given anonymously. The research was led by Amy Quinn-Graham from our Research and Development Department, in partnership with the University of Leeds.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

29

SUPPORTING SURVIVORS OF ABUSE

The Salvation Army joined with Restored UK to work with survivors of domestic abuse. Restored UK has been working with survivors for 13 years. Last year we joined their newlylaunched Restored Beacon network, in which churches stand with them against domestic abuse in all its forms — physical, mental, emotional, financial, spiritual.

Restored UK offered three-level training:

At its core is the idea that people are no longer alone and that they have a community who will walk alongside them. In Northern Ireland, Lieutenant Amanda Sewell — who is herself a domestic abuse survivor — attended the training. She said: ‘Restored UK’s brilliant Survivor’s Manual covers all the practical stuff a survivor needs to know as well as the theology.’

A NEW REFUGE IN LISKEARD, CORNWALL

In her work, corps leader Captain Teresa Conway began to encounter lots of women who had experienced domestic abuse. She made it her corps’s mission to become a ‘Restored Beacon’ — a place where people no longer feel alone and have a community to walk alongside them.

The corps started a weekly group with about 10 women, talking about healthy relationships and the importance of self-care — with some pampering. They hold a regular Pasty and Picture Night, watching films like The Chosen and sharing some teaching around them. Conversations around faith began, and people started to know Jesus for themselves.

Changes at the hall itself made it a safe space with private areas where conversations can happen. The team is looking to reach out to others, reviving pub ministry. The charity shop on the local high street is also a place where connections are made.

Captain Teresa says, ‘We want to be that beacon of light in our community, empowering women to rebuild their lives and improve their self-confidence.’

Non-judgemental care for prisoners

Prison can be a volatile and difficult place to be. But we see a precious and unique opportunity to bring a message of hope to the hopeless and to show love to those deemed unlovable.

Salvation Army chaplains work as part of established chaplaincy teams and come alongside prisoners in Christ’s name in a ministry of practical, non-judgemental caring. Last year, The Salvation Army had 16 chaplains across 17 prisons in England and Wales.

CAMEO IN PRISON — A LIFE-CHANGING ROLE

The Salvation Army runs CAMEO (Come And Meet Each Other) groups in three prisons which are aimed at elderly prisoners. They are the fastest growing prison demographic, and particularly isolated and vulnerable. CAMEO is a place where people can feel welcome, valued, and included.

Around 80-100 prisoners attended across the three projects on weekdays. They enjoyed a busy weekly timetable of activities to cater for many interests — from creating art, playing

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

30

indoor bowls, engaging with education, learning new skills, or simply enjoying a cuppa and a chat.

One participant said: ‘CAMEO gives me the chance to take part in activities to distract myself from all the things that go through my head. Without CAMEO I would be stuck in my cell with negative thoughts.’

Last year we welcomed a group of visitors from the Norwegian Salvation Army to one of our CAMEO Centres. The group was so inspired by our work, that they went on to establish a CAMEO Centre in Bergen Prison, Norway, and one of our CAMEO managers was invited to its opening ceremony.

A BEACON OF HOPE

Since its inception in December 1879, the War Cry magazine has found a faithful readership in prisons. Maybe it is because people are feeling isolated because they spend a lot of time in their cell or are struggling with their mental health.

This year, War Cry continued to open a door to the world outside — current affairs, real-life stories, pop culture and documentaries, as well as sport. Chaplains are not permitted to evangelise, and War Cry remained a gentle way of introducing the idea of faith, especially to a prisoner who may not have a prior understanding of or interest in Christianity.

People in prison may have made bad decisions in life and many are looking to make amends and seek a new direction. They ask our chaplains about services available to them after leaving prison, or how they could get in touch with a corps. Others respond to articles they read or ask if they can be sent a Bible or learning materials.

‘The purpose of War Cry is to get the Christian message across in a way that is understandable to people with little or no church background. It does this in a nonconfrontational and non-judgemental way,’ War Cry Editor Major Andrew Stone explained.

Here for survivors of modern slavery and refugees

A VOICE FOR VICTIMS

The Salvation Army expressed concerns about the Illegal Migration Bill, urging the House of Lords to protect victims of modern slavery.

When the bill passed into law, in July 2023, we expressed our extreme disappointment. We shared the Government’s view that the use of small boats was inhumane but Major Kathy Betteridge, Director of Anti-Trafficking and Modern Slavery said: ‘We are punishing people who have been tricked, trapped and traded into modern slavery.’

In late 2023, we welcomed the appointment of Eleanor Lyons as the new Independent AntiSlavery Commissioner (IASC). We feel it is important for all stakeholders to come together to improve the modern slavery support structures within the UK. We stated our aim to work hard with the new commissioner to bring about positive change, particularly in the light of recent legislative changes.

VOLUNTEERS STEPPED UP TO SUPPORT VICTIMS

In October 2023 we reported that, in the previous year, 3,533 people were rescued and supported in safe houses and outreach services run by The Salvation Army with its partners. During the year, our Anti-Trafficking & Modern Slavery Team visited major cities around the UK to raise awareness of Modern Slavery & Human Trafficking. We also championed our amazing volunteers. Three volunteers told us about their role:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

31

Rich Johnson, Transport Volunteer, said: ‘We help victims by transferring them to safe places in the UK. It’s a very rewarding role as you are massively helping someone who is at a very low point in their life.’

Our transport team organised 977 journeys to move survivors to safety this year.

Andrea Latheron-Cassule, First Responder said: ‘We’re passed information — from a name to a 30-page solicitor statement — which I go through thoroughly. I find this helps people open up and creates a relaxed and thorough interview.’

Responders like Andrea referred 267 survivors into support this year.

Gwyn Rose-Hocknull, Volunteer Mentor said: ‘The person in front of you is a survivor and may have complex needs. I support people by acting as a positive influence and enabling them to be the best that they can be.’

This year 160 new volunteers like Gwyn have joined our team to support survivors.

WARM WELCOME FOR REFUGEES

Corps around the country continued to help refugees to resettle in the UK. Since the beginning of 2022, Blackpool, Fylde, and Wyre teams have helped source properties and furnish them in preparation for Afghan families to move out of hotels and into their own private accommodation.

Caseworkers from the team have been working with the families to integrate them fully into British life and culture, including employment workshops, applying for citizenship, and driving theory sessions, as well as providing fun community activities such as arts, crafts, and a sewing circle.

In Bromley Temple around 30 members of the local Ukrainian community met up twice a month to enjoy fellowship and to learn English. Salvationists Serhii and Mariia, who came to the town in July 2023 after being sponsored by the corps, hosted this growing community.

In New Malden , around one third of the town’s population are Korean. Corps officers Majors Jae Soo Cha and Jung Hwang, who came to the UK from Korea in 2019, welcomed local Korean families who had settled in the area too. ‘We realised that many of them felt lonely and were needing something,’ said the majors.

As well as working in communities, The Salvation Army has a specialist Anti-Trafficking and Modern Slavery Department (ATMSD) which works at a national level. Learn more in our associated annual report, The Salvation Army Social Work Trust 2023/2024.

Understanding addiction

Our addictions programmes align absolutely with the stated aims of our Movement — to help people, who face significant distress and hardship to find self-worth and love.

CORE RECOVERY

Core Recovery is a model of church that has grown out of our work supporting people with addictions and their associated issues. It is an effortless way of doing church that strips things right back to the basics, journeying together with people and Jesus towards personal transformation.

This approach became operational in more than 20 Salvation Army communities across the UK. Bath launched a Core Recovery meeting from its community work and quickly grew to more than 20 participants.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

32

Meetings were interactive, so people could speak and ask questions throughout. Feedback from participants mentioned the importance of feeling accepted.

PRACTICAL SUPPORT AND SOLUTIONS

While complete freedom from harmful addictions is desirable, it is not always possible. One element of The Salvation Army’s approach to helping people is to focus on harm reduction.

As an example of this, last year, there were nearly 5,000 drug-related deaths in England and Wales. In January 2024, we reported that The Salvation Army had called for all police officers to be equipped with Naloxone. This temporarily reverses an opioid overdose to allow time for emergency services to arrive. The Salvation Army also called for NHS emergency departments, mental health trusts and ambulance services to issue take-home Naloxone kits for those at risk of opioid overdose.

CAMPAIGNING TO END STIGMA OF ADDICTION

A Salvation Army-backed campaign aimed at reducing the stigma around deaths due to alcohol and drugs was supported by MSPs in the Scottish Parliament.

See Beyond – See the Lives – Scotland was launched by the University of Stirling, Scottish Families Affected by Alcohol and Drugs, Scottish Health Action on Alcohol Problems and The Salvation Army. We hoped that using stories and images of people who have been affected will shatter myths surrounding drug and alcohol abuse – and encourage people to show compassion for those experiencing problems with substance use and those left behind when a loved one dies.

Director of Addictions Lee Ball said: ‘The Salvation Army supports thousands of people through our addiction and harm reduction work, and we understand that people often use drugs and alcohol as a coping strategy to escape unbearable pain and trauma. To save lives, you must also address the root cause of the substance use, and that means investing in addiction and mental health support services.’

SEEING THE BIGGER PICTURE

Helping others is a way of sharing God’s love. It is also an opportunity to join with others in our own communities to care for the global community and our precious planet.

International projects

Over the past year, Salvationists and supporters in the UK have engaged with international projects through various campaigns and events such as the Helping-Hand Appeal, Shalom, Riverbank and Together 2023.

HELPING HANDS REACH OUT

Our Helping-Hand Appeal is run in partnership with the Family Ministries Department. During the year, Salvation Army church members raised over £60,000 for international clean water projects. For example:

Carlisle — Members of the Ladies Fellowship and friends took part in a walk around the city to highlight the need for clean water. The message was particularly strengthened due to the constant downpour of rain! The walkers returned to the hall, where corps members had gathered for a coffee morning to raise funds for the appeal. More than £1,200 was raised. Hadleigh Temple — Christine Horton, who has supported the appeal for 25 years, raised £500 by selling cards and books every week and holding occasional jewellery sales. She also runs the home league fellowship and has produced the home league newsletter for 23 years.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

33

STAYING STRONG FOR UKRAINE

As the Ukraine-Russia conflict continued, we used our long-term presence to respond and support people in need across the continent and some UK corps contributed to this effort.

For example, the Eastern European Territory (EET), Bulgaria, Georgia, Moldova, Romania, and Ukraine, ran around 76 projects which were delivered by The Salvation Army and our local partners with support from the UK Salvation Army.

Emergency support:

Help with re-settlement here in the UK:

Caring for creation

The Salvation Army is committed to helping change attitudes, resulting in a more responsible use of our planet. We believe that people will not experience fullness of life unless God’s creation is protected and cared for. That is why Caring for Creation is one of our 5 Mission Priorities.

CLIMATE EMERGENCY DECLARED

On World Environment Day (5 June 2023) we aligned ourselves with a growing number of citizens, churches, councils, businesses, and organisations in encouraging a coordinated effort to respond to the climate emergency.

By formally declaring a climate emergency, we showed our commitment to our global neighbours who had already done so, and the 1+ billion people who are already impacted by climate change.

We recognised that urgent action is required to reduce carbon emissions and to address the impact of climate change. We inspired people to play their part and encourage others to respond to the climate emergency too.

Major Heather Poxon, Territorial Environmental Officer, had a key role in drafting and developing the declaration. She said: ‘Before it’s always been a problem for somewhere else or future generations. But we’re a justice movement, and we cannot be responsible for this injustice anymore.’

SETTING AN EXAMPLE

The Salvation Army set bold targets to tackle its impact on the environment. By 2030, the Army plans to reduce the territory’s greenhouse gas emissions by half and by 90 per cent by 2040.

At the core of the strategy is the decarbonisation of buildings, car fleet and supply chains. We announced that the initial focus would be on the territory’s property portfolio. During the year, work was already underway, including:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

34

Other ways in which we demonstrated our care for creation:

ENVIRONMENTAL NETWORK OF CHAMPIONS

Over the past year alone, our network of champions — who are people passionate about caring for creation — grew by more than 400 per cent. There are 176 members today, with every UK and Ireland division represented.

This community of hope and enthusiasm is uniting and empowering people to spearhead local eco projects, which are blossoming.

Major Heather Poxon, Territorial Environmental Officer, said: ‘Each champion has their own passions and opportunities. I see the network as the environmental team on the ground.’

Major Matt Elsey, Corps Officer at Newark at the time, said: ‘I joined the network because tackling climate change is a significant issue we face and I believe that caring for God’s creation effectively is not something we can, or should, do in isolation.’

ECO CHURCHES

In their approach to sustainability, more Salvation Army corps have been switching to eco church models. Eco churches are marked on their approach to five areas:

Worship and teaching Buildings Land Community and global engagement Lifestyle

After completing a survey, churches are awarded Gold, Silver or Bronze awards depending on their eco-performance in each area. During the year, we set a goal of 30% of the territory being registered as eco-corps by the end of the year.

NO FAITH IN FOSSIL FUELS

In April, Salvationists joined 1,400 Christians from across denominations for a No Faith in Fossil Fuels service and march.

Speakers who addressed the congregation, included Patricia Pagulayan from the Philippines, who gave a moving account of the impact of climate change. Salvation Army Cadet Lizzy Kitchenside also spoke. She said: ‘We cannot claim to love God and love others and ignore this crisis. Climate change affects the very people that God tells us we are to serve.’

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

35

The congregation processed banners and placards to Parliament, led by a Salvation Army band. One bystander reflected; ‘This is your moment, Salvation Army. You are made for this. You’re organised, you’re mobile, you have the band, the songs, and the message for our times. Thank you for leading us.’

GROWING OPPORTUNITIES

Around the territory, Salvationists have been unearthing the potential for green spaces, reevaluating how their food is produced and transported to reduce their carbon-footprint.

Corps Officer Lieutenant Lesley Holland (Deptford) explained: ‘Our toddler group love being outside in the garden, and have benefited from growing sunflower seeds, some for taking home and some which are now growing in the garden.’

At Watford Corps, teaching younger generations about caring for creation has become a pillar of its ministry. Every week from spring to autumn, the corps community allotment — a recognised RHS Five Star School Garden — is visited by up to 120 pupils, who enjoy growing food and flowers.

While the idea of community allotments can sound quaint, food sustainability is a grave issue. Major Heather Poxon pointed to soaring temperatures and wildfires in Europe which have already affected crop production. High temperatures and a lack of rainfall impact seedling growth too. ‘There will come a time when communities in the UK will have no option but to be resilient to food scarcity,’ Major Heather warned.

OUR COMMITMENT TO REDUCING, PREVENTING & ENDING HOMELESSNESS

This Report & Accounts for The Salvation Army Trust covers the funding allocated to support our churches and community centres. Our sister publication, the Report & Accounts for The Salvation Army Social Work Trust, records the finances of the residential programmes for people experiencing homelessness. However, we are illustrating both areas of work in this report as a substantial grant is made each year from The Salvation Army Trust to The Salvation Army Social Work Trust to supplement and to help fund the real costs of providing additional support to residents in our Lifehouses over and above local authority funding.

Growing concern and challenging government

In the year under review, homelessness numbers were causing us concern. At the start of the year, Government snapshot figures estimated a 26% increase in people sleeping rough — to over 3,000 people a night — and almost 40,000 households were registered as homeless, including people in emergency and temporary accommodation.

In April 2023, The Salvation Army called for the then Government to increase support funding in line with inflation and a reversal of the freeze on the value of Local Housing Allowance rates. ‘The Government’s plan to end rough sleeping by 2024 risks being derailed if it does not take action’ said Nick Redmore, The Salvation Army’s Director of Homelessness Services.

In December 2023, The Salvation Army called for a change in the law so all those forced onto the streets are offered temporary and then longer-term accommodation, an increase in funding to facilitate this and an-in-line-with-inflation funding increase for local homelessness services. Captain John Clifton (Blackpool Salvation Army) commented: ‘Being homeless during the season of comfort and joy makes terrible and dangerous living conditions feel even worse. Thousands are facing an unhappy Christmas out on the streets without shelter, sanitation or privacy and are at risk of illness, injury, and early death because homelessness laws do not consider their situation to be desperate enough.’

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

36

With the numbers of people experiencing all forms of homelessness increasing again, The Salvation Army has remained as committed to supporting them as ever. There are many reasons why people can become homeless and there are not always quick solutions, but The Salvation Army has developed many different forms of support to meet immediate needs and in the longer term, to enable people wherever possible to get into some form of stable tenancy.

At a corps and community centre level, we do not offer formalised services but, where we can, we help people who come to us seeking help with refreshments, clothes and guidance or advice and signposting on how to access formalised support and residential accommodation. This form of response will differ from corps to corps.

— Our 10- year homelessness services development strategy ‘1,000 Voices’

BACKGROUND:

A significant outcome of the year in review was a 10-year development strategy for The Salvation Army’s Homelessness Services. The need for a fresh strategy was becoming clear for a while. The ‘1,000 Voices’ are the voices of the many service users and staff who access and work in our services and spoke into and are central to the 10-year approach. Our Homelessness Services operations acknowledge that the external factors determining the strategic approach to homelessness provision are ever changing.

Simply put, over the last 5-10 years, large hostel-type accommodation has been decommissioned in growing numbers with strategies from all five nations and their local authorities proposing alternative responses to homelessness and rough sleeping.

The pandemic demonstrated the potential to bring rough sleeping to an end, and the Government at the time made a commitment to do so within their term, but this was not met.

Therefore, a key focus within The Salvation Army’s strategy is to commit to the ending of rough sleeping and homelessness in general with a renewed focus on prevention. Within the wider Salvation Army, the Structure Coordination and Design Project (SCDG) (see page 11) has determined the future direction of travel for The Salvation Army in the territory to enable transformation, integration and streamlining and a more localised approach to decision-making and this is reflected in the development of the homelessness strategy.

THE EXTERNAL OPERATING ENVIRONMENT

The following trends within homelessness and local authority responses were highlighted, necessitating a fresh approach:

THE PROPOSED DELIVERY MODELS:

The strategy is proposing a focus on moving away from large hostel-type accommodation to more agile, flexible local responses.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

37

This strategy was set out early in 2024 and will shape the ongoing delivery of homelessness services for the next decade. It fully reflects The Salvation Army’s commitment to reacting positively, sensitively, and creatively to changing needs and forms of service delivery and the changing needs of the client groups we serve.

MISSION PARTNERS — HIGHLIGHTING OUR SUBSIDIARIES

Salvation Army Trading Company Limited (SATCoL) While SATCoL is a subsidiary company and publishes its own reports, it is a significant, expanding and very visible expression of The Salvation Army across the UK and is consolidated into the financial results of The Salvation Army Trust in this report.

SATCoL is the largest charity-owned textiles collector in the UK, working with partners to reuse and recycle donated items sustainably and ethically, and to raise vital funds to support the work of The Salvation Army.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

38

SATCoL continued its mission to generate income for The Salvation Army through 230 charity shops, clothing collection donation centres and other recycling initiatives. In the year ended 31 March 2024 SATCoL donated more than £1.3 million to the UKI Territory.

DARE TO CARE

Management, staff members, volunteers and guests gathered for the SATCol annual conference last summer. The focus was Dare to Care — for the Environment.

Managing Director Trevor Caffull outlined the strategic plan for 2022 to 2027, emphasising the triple bottom line: people, planet, and profit. He went on to detail the outstanding performance of the business in the past year:

WORLD-FIRST TECHNOLOGY

SATCoL unveiled plans for a world-first recycling system to reduce textile waste. Project Re: claim, a joint venture with leading corporate wear specialists Project Plan B, successfully recycled polyester textiles back into raw material.

It is based on plastic bottle recycling principles. The new plant will recycle around 2,500 tonnes in its first year, rising to 5,000 tonnes in year two. Polyester textile recycling is one of the biggest opportunities to reduce the harmful impact of producing garments.

The new technology, the first proven commercial-scale system, was featured on BBC One’s Songs of Praise .

Find out more — see how SATCoL helps people in need and the planet through innovative reuse and recycling schemes at www.satcol.org

Committed to community

The Salvation Army General Insurance Corporation Limited ( SAGIC) SAGIC is a leading insurance company in the UK — originally set up to insure The Salvation Army’s assets — continued its mission to provide insurance products to families and businesses across the country.

During the year, the company underwent a rebrand to better reflect the company’s values and commitment to its customers and the wider community. CEO Gordon Dewar said; ‘I am thrilled to be a part of this transformation, and I am confident that our customers and the businesses we interact with will be equally proud of what we accomplish together.’

LOOKING FORWARD AS A MOVEMENT:

As a church and a Movement, we live in the communities we serve. We understand the problems and the symptoms that affect everyday life. We understand the wider issues that impact our society, such as homelessness, addictions, slavery, and the importance of employment. We are committed to putting faith into action and doing something.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

39

That is why we are such an agile, responsive, and constantly evolving and adapting organisation. This report has illustrated how we responded afresh in 2023/2024.

Looking ahead, we will continue to adapt and innovate to meet current and new needs. A critical feature as we move forward is to do whatever we can to enable our front line, or local mission delivery as we call it, to flourish. With effective resourcing, support and oversight, our continuing intention is to enable this ‘flourishing’ of the mission of The Salvation Army locally.

We will continue to provide essential funding for our corps and community centres to enable them to innovate, develop and continue to meet needs that are not being met.

We will continue to support The Salvation Army Social Work Trust to enable it to provide the best possible support for people in our residential centres and those who engage with or are referred to us for support and, in the case of modern slavery and human trafficking, protection and a fresh, safe new start.

We will continue to ensure local mission is supported from our territorial and divisional headquarters in the ways it needs to ensure effective, efficient, and compliant ministry, including financial controls, safeguarding, safe mission (health and safety), staff development and training and effective procurement.

We will continue to build on the work of the Structural Co-ordination and Design Project by maintaining a culture of continual improvement across the territory with a real commitment to address any organisational issues that are obstacles to enabling local mission to flourish.

We will continue to invest in funds that allow innovation and will continue to invest in our fundraising to ensure we have a stable and sustainable future to serve our communities.

With changes in society, we will look at how we can ensure that we are encouraging different forms of church leadership and membership so we can move with the times but maintain our distinctive ethos.

Above all, we commit to ensuring a meaningful presence across the UK, to making a difference in people’s lives in practical and spiritual ways. Our commitment to 2024 and onwards is to continue to strive to deliver our vision: ‘Fullness of life for all with Jesus’. That is our driving force and our goal, and that vision sets the strategic direction for each of our corps and community centres and directs the support that our territorial and divisional headquarters will provide.

GOING CONCERN

Salvation Army Trust has felt the financial impact of global economic factors, particularly the high inflation rates on our cost base plus the related cost-of-living crisis. At the time of writing the Bank of England projections that inflation will rise to to 3.7% and expected to fall back to the 2% target after that, but this remains a watching brief with the current instability arising through the trade tariffs being imposed by the USA. With the current interest rates, reducing at a much slower pace, unemployment is expected to increase as the economic growth forecast is expected to decrease. The organisation anticipates that the economic environment will continually be challenging especially against the backdrop of the current socio-economic and socio-political climate.

Financial projections and other supporting financial models that detail potential financial impacts of this economic environment upon The Salvation Army Trust, as well as furthering

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

40

the scenario planning to assess the potential short-, medium- and long-term financial implications of other risks and opportunities. However, this is currently undertaken on a lower-level scale.

Looking ahead, we plan to better utilise the financial reserves to support the organisation and where necessary invest in strategic priorities. This financial year 2023-24 saw us continuing to spend on our strategic aims. The closing unrestricted reserves were £371m (2023: £340m) and the cash and bank balances were £89m (2023: £69m). The directors have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future, being at least 12 months from the date of approval of these financial statements and are not aware of any material uncertainties that may adversely affect the organisation. Accordingly, the financial statements will continue to be prepared on the going-concern basis.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

41

MODERN SLAVERY AND ANTI HUMAN TRAFFICKING STATEMENT

As The Salvation Army in the United Kingdom and Ireland Territory we hold a zero-tolerance stance on acts of modern slavery and human trafficking and on any breach of our Ethical Policy and will not condone any such action by our contractors, suppliers, or consultants. We take this issue very seriously and are committed to preventing acts of modern slavery and human trafficking from occurring within our supply chain. Our Procurement Ethical Policy is integral to all supplier contracts and sets out the overall standards surrounding human rights, child labour, discrimination, corruption, bribery or other financial impropriety, legal compliance, and ethical conduct with which our suppliers must comply.

A Supplier Ethical Declaration is referenced in the standard purchase terms and conditions of The Salvation Army and compliance is a contractual requirement for all suppliers operating under these standard terms and conditions. In addition, all suppliers and contractors submitting tender responses must confirm their agreement and acceptance of the terms and conditions and sign the ethical declaration and apply these standards to their own supply chains.

Our Procurement Unit continually reviews its supply base, examining suppliers in those areas that represent the highest risk of modern slavery, particularly in spend areas relating to temporary labour, cleaning, catering, linen, branded goods and building services. Where possible, trade and industry best practice standards are used as the benchmark and The Salvation Army has adopted the use of Constructionline for tendering and selecting building suppliers.

Due to the importance of training and education in the fight against modern slavery, the Procurement Unit has partnered with Stronger Together to deliver training to members of its team on identifying potential victims of modern slavery. All members of the Procurement Team complete the Chartered Institute of Purchasing and Supply ethical procurement assessment annually.

The Procurement Team holds regular Helping The Salvation Army Buy Better training seminars for stakeholders where ethical supply chain issues are covered. The Procurement Team has also hosted a supplier conference with a specific focus on providing education on combating supply chain labour abuses. The commitment to ensuring ethical supply chain standards is also embedded in the recently adopted Salvation Army Fiscal Stewardship Principles and the Procurement Unit will be asked to report on compliance with these standards regularly.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

42

OUR APPROACH TO FUNDRAISING

Context:

The Salvation Army Trust, which is the charity registration through which our church and community-based operations are run, relies very heavily on income generated by fundraising and the continued support of individuals through gifts in wills to keep our diverse services alive and operating across the UK.

We meet the constant challenge of raising these funds in diverse ways:

During the financial year 2023/2024 we continued to strengthen our fundraising, ensuring long-term stability for our voluntary income as we look to the future.

Relationship between The Salvation Army Trust and The Salvation Army Social Work Trust

Fundraising for The Salvation Army’s overall work across both its charitable trusts is carried out under the registration of The Salvation Army Trust and therefore fundraising activity, income and expenditure are accounted for in this Report.

The Salvation Army Social Work Trust funds our centrally managed residential services for homeless and older people, as well as other centrally coordinated programmes such as our modern slavery services, Employment Plus service and programmes for people with addictions and disabilities. Almost all Government funding is accounted for in The Salvation Army Social Work Trust, which has a separate charity registration and consequently a separate set of Report & Accounts which form a ‘sister’ publication to this. They are filed under charity registration number 215174 (England and Wales) and SCO37691 (Scotland).

A proportion of fundraised income in The Salvation Army Trust is granted to The Salvation Army Social Work Trust each year as part of the planned budgeting process, in line with our objects. This grant helps to meet the cost of the additional support we offer to our service users, on top of Government and local authority funding. Our fundraising appeals to the public feature the work of The Salvation Army across both trusts, so there is absolute transparency that the funds donated go to support the work we illustrate in public appeals.

Raising Funds

Corps-based (church) giving and local fundraising:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

43

The UK Salvation Army has 588 corps and community centres across the UK. Each corps or centre will develop programmes and services that are geared to meeting the needs of the people in the community, so there is huge diversity across the UK. Each local Salvation Army centre is expected to find ways to raise funds to support their local work — either for themselves, nearby centres, or specific Salvation Army programmes — as much as it can. This is achieved in several ways.

Church membership giving totalled £16.4 million in 2023/2024. It is a substantial offering and this income from church members helps to sustain the local life of The Salvation Army as a church and meet as much of the operating overhead as possible

In addition, local fundraising by our corps (churches) delivered approximately an additional £10.8 million from public donations given locally, which helps fund the practical support that is needed in the communities that The Salvation Army serves, examples of which are described in the narrative of this Report. Christmas carolling in town centres and street collecting are two of the familiar ways in which corps raise funds. Corps also frequently engage in digital forms of fundraising, using tools such as JustGiving.

Salvation Army church membership also actively engages in two main annual fundraising drives: the Self–Denial Appeal and the Big Collection (now known as the Big Connection).

The annual Self-Denial Appeal in February and March helps fund Salvation Army work in overseas territories. In 2024 the Appeal raised just over £1 million, an increase of £63k over 2022/2023, and is a testament to the generosity and determination of our officers and members. The name of the appeal explains the method of fundraising. Church members deny themselves something — confectionery for example — over four weeks and on the final Sunday, offer up their saved money. The appeal this year featured the work of Lieutenants Kayla and Jose in Uruguay, Captains Anthony and Makimi in India and Captain Nathanael in Greenland. It highlighted the common thread of compassion and practical help that runs throughout our missions worldwide.

The Salvation Army’s Big Collection is an annual public campaign in September, whereby church membership actively raise funds to support our Social Work Trust, supporting programmes for people experiencing homelessness, older people, and people needing help with addictions. Against a total of £503k raised in September 2023, in 2024 we increased that total to £513k, thus demonstrating the continued commitment and passion of our community. Tony from Preston Corps was an example on someone helped by the Army. When at rock bottom, he was befriended by an Army chaplain and supported at Bramwell House Lifehouse, before being helped back into work by the Employment Plus service at the corps. Three years ago, he was enrolled as a soldier.

We continued to rely on fundraising to make our missions possible. Last year, more than £605k was raised by corps, individuals, businesses, and others to help us reach out and support the most vulnerable people.

National Fundraising

Our centrally co-ordinated fundraising programme sensitively deploys many disciplines of fundraising to generate income for the work of The Salvation Army. Because the proportion of our donated income that derives from direct debits and regular giving schemes is small, at around 10 per cent of cash donations, the donations and legacies that are received during the financial year are the ongoing lifeblood of our organisation.

The funds raised from national fundraising programmes go directly in the form of grants and mission support funding to enable corps to work within their communities where there are

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

44

insufficient funds locally. Funds raised also help meet the cost of refurbishing our buildings and emergency repairs to ensure they are compliant and fit for the delivery of community programmes. Funds raised will also form the annual grant across to The Salvation Army Social Work Trust to provide additional services for our work with people who are homeless, older people and people with addictions.

This year’s accounts show an increased investment in fundraising and marketing, which is in line with the three-year plan (and a wider five-year view) to deliver increasing levels of net restricted and unrestricted income and to ensure that the various disciplines of fundraising all support each other and to make the whole greater than the sum of the parts.

Additional expenditure has been made in the following fundraising areas:

Individual efforts

Thousands of individuals put their time and energy into supporting us. Of course, we cannot mention everyone but here is a flavour of their determination and ingenuity.

University of Nottingham students - Ella-Mae, Emily, Cameron, and Kieran skydived from 14,000 feet to raise funds for their local corps and services.

Eighty-one-year-old Andy Peddle - completed the mammoth feat of walking 111 miles and then completing the Great North Run, raising £8,100 for the Army’s work with survivors of modern slavery and for youth projects in the North-East.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

45

Young people from Tiverton undertook a 7-mile sponsored walk along the Grand Western Canal, raising £922 towards 12 of them attending the divisional junior camp and summer school.

Appeals to the public

Despite the continuing difficult economic environment, we saw incredible generosity in 2023/2024 towards The Salvation Army. We received a total of £73.4 million in donations from the public, secured by national and centrally co-ordinated fundraising activities, about which we share a little more detail below. As noted above, in addition, approximately £17.6 million was raised locally by individual Salvation Army corps.

We are incredibly grateful that our supporters and the general public continued to give so generously. Total public and supporter donations in response to our national appeals programme came to £48.8 million. Although this was a slight drop from the previous year, we are still most sincerely thankful.

Our national Christmas Appeal remains a key moment in our fundraising activity, raising an incredible total of £22.2m and recruiting over 90,000 new supporters.

In a year where the cost-of-living crisis has continued to cause increased uncertainty and hardship for many, we are most mindful of sacrifices that individuals may have made in order to contribute to our work and we are especially thankful to all those who have donated towards our ongoing work to support people in desperate need.

Legacies

We remain extremely grateful to our supporters who remember us with a gift in their wills. This is a hugely important income stream which contributes a significant amount towards our work. We continue to invest in our Legacy Fundraising Unit to ensure we are in a strong position to make the most of the predicted growth in legacy giving over the next 25 years.

We received a total of £84.3m in legacies, an increase of £15m compared with legacies in 2022/2023.

Reaching and inspiring these supporters, as well as promoting our free will-writing services and explaining how people can leave The Salvation Army a gift in their wills, is an important part of our work. Further understanding has been gained about the reasons why people choose to leave a gift in their will, particularly about people who are not currently supporting us.

Following the launch of our new messaging, Your legacy, our promise campaign in 2023/2024, a wonderful estimated £24m in future legacy income is forecast. Inserts were placed in targeted magazines in February and a pilot digital marketing campaign ran from January to March, raising vital awareness of gifts in wills and their importance to our future, and gaining new legacy supporters. Our free will-writing services and Free Will Month campaign in October and March raised awareness of the value of leaving a gift in your will. We contacted many thousands of supporters during 2023/4 and are hugely grateful to everyone who has chosen to pledge to leave a gift in their will to support our work.

Grant-Making Trusts and Foundations

During 2023/2024, we received just over £2.7 million from charitable trusts and foundations in support of more than 200 local Salvation Army projects across the UK and internationally. We would like to express our sincere gratitude for their support. The grants have contributed to the running costs of frontline projects in England and Scotland. These include supporting lifeline community projects delivered by corps such as food banks, energy vouchers and

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

46

lunch clubs. For example, we received a grant of £12,500 from the Heathrow Community Trust in support of our Ealing baby bank.

An example of the work we deliver thanks to support from charitable trusts, Starfish is The Salvation Army’s response to the mental health crisis facing children and young people today. This is a mentoring programme working with children and young people in schools, aged 9 to 16 years, which offers help focused on emotional health and wellbeing, including personal development and life skills. Working within a school’s student wellbeing support structure, Starfish provides trained mentors who help young people to build confidence, resilience, and their self-esteem, encouraging them to realise their full potential.

Major Donors

We invested in our Major Donor team during the year, and they worked hard to engage generous supporters who can give donations of £5,000 or above to fund our work. We are grateful to the more than 228 people who gave in this way during 2023/2024 and for their combined donations of £1.4m.

Corporate Giving

In 2023/2024, the Corporate Partnership Unit received £15,000 from The Entertainer to kick off a Digital Arts Award programme, supporting disadvantaged children in Birmingham Aston. We also received a £75,000 donation from Kirstall Ltd and two donations totalling almost £37,000 from Ford Motor Company. Christmas 2023 saw a fantastic sixth year of partnership with The Entertainer for the Big Toy Appeal, which resulted in 12,000 toys being donated to vulnerable children. Finally, we are hugely grateful to both The Entertainer and Pickfords for their generous sponsorship of £10,000 each in support of our Christmas Carol Concert.

We wish to offer our sincere thanks for the fantastic support of all our corporate partners.

Our Fundraising Approach

The ethos of our approach is that fundraising activities must reflect our values and should be carried out in a manner that the public and our supporters and funders would expect of The Salvation Army — sensitive, courteous, sincere, and genuine.

We have an active fundraising presence in digital media and on our website and we regularly review our Privacy Notices and Privacy Statements to ensure we operate in compliance with GDPR.

We do not use professional fundraising agencies such as outbound telemarketing agencies or face-to-face/street fundraising agencies to fundraise on our behalf. Our public, street and house-to-house cash collection fundraising operations are normally carried out by members and volunteers drawn from and connected with our congregations.

We use an external agency to handle some in-bound telephone donations in peak periods and to call back supporters who have contacted us to donate when we cannot handle such calls in-house by our own staff. This is particularly important at Christmas when call volumes are particularly high. All calls are monitored, and we set high standards for the training and support given to agency staff.

Fundraising Standards

We subscribe by annual levy to the Fundraising Regulator and work to the standards of the Code of Fundraising Practice. We are not aware of any failures to comply with the standards set by other regulatory bodies. We are members of the Data and Marketing Association and, as members, we are expected to uphold the highest levels of compliance and standards. We are also corporate members of the Chartered Institute of Fundraising.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

47

Fundraising on our Behalf

Where people or organisations offer to fundraise on behalf of The Salvation Army, we aim to ensure that a contract or agreement is in place and that the relationship, performance, and delivery are overseen either locally or centrally.

Monitoring Fundraising

We continually update and strengthen our internal processes and policies to ensure we have the highest ethical standards in accepting donations.

Salvation Army officers and corps treasurers will monitor fundraising carried out locally by members of the local congregation and by volunteers. Any donation in excess of £5,000 from a single source or related sources is reviewed and assessed by headquarters in line with our donations acceptance policy. Centrally we have a briefing and monitoring programme to assess the performance of our telephone bureau handling inbound donation calls and to ensure the quality of the calls meets our standards for sensitivity and kindness.

Directors are briefed on the requirements of CC20 and how these requirements are being met as part of their duties in relation to fundraising.

Complaints

The Salvation Army received 121 complaints about our fundraising in 2023/2024, compared with a total of 110 complaints in 2022/2023. We strive to fundraise respectfully and believe the relatively low number of complaints we receive each year reflects our sincere and sensitive approach to fundraising and how we communicate with our supporters and members of the public.

Any complaints we receive are handled in accordance with our Complaints Policy, which is based on the recommended standards set by the Fundraising Regulator. Our Policy is accessible on our website:

Protecting People in Vulnerable Circumstances

Within our fundraising ethos, we take the protection of people in vulnerable circumstances very seriously. As a church and charity working locally and nationally with some of the most vulnerable and marginalised people in communities across the UK, and with a brand that is synonymous with kindness, sensitivity, sympathy, deep understanding and tolerance, we aim to fundraise in the most considerate ways we can and take appropriate action briskly when we are made aware of vulnerabilities.

We have a specific policy created in collaboration with our fundraising, supporter care and compliance teams to ensure we treat all our donors fairly, sensitively, and respectfully. We provide dedicated training for our fundraising staff to ensure this policy is understood and put into practice. Because we do not use external bodies or ‘professional fundraisers’ to fundraise on our behalf, we are very much in control of how fundraising appeals are carried out.

Our supporters make an essential contribution to the life and work of The Salvation Army; thanks to their support we can bring our mission to life. The relationship we have with our supporters is precious to us. Therefore, the intentional spirit of our fundraising is based on what we feel is fair, ethical, and appropriate to ask for. Our behavioural values of integrity, accountability, compassion, and respect are not only at the heart of our mission as a church and charity but are also the driving forces for the way in which we fundraise.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

48

Streamlined Energy and Carbon Reporting (SECR) statement

At the Salvation Army Trust (SAT) we recognise that climate change represents a significant global threat.

We recognise that we need to reduce our operational energy use and carbon emissions, and we have set ourselves some challenging targets to achieve this. We are pleased to report our progress in this area over the last year.

Targets

Our carbon reduction targets for the operational emissions included in this report are:

What do we mean by net zero? We will reduce our emissions by at least 90%, in line with the criteria of the Science Based Targets Initiative’s Net Zero Standard.

We have also calculated our wider indirect carbon footprint and set a target to reduce those emissions to net zero by 2040. Further details are included in our Net Zero Strategy 2040.

Reporting Methodology

This report has been prepared in accordance with the Streamlined Energy and Carbon Reporting Guidelines (SECR) 2019, the Greenhouse Gas Reporting Protocol Corporate Standard and ISO 14064-1. To convert activity data into carbon we have used the 2024 UK Government's Conversion Factors for Company Reporting.

Greenhouse gas emissions and energy use data

----- Start of picture text -----
Tonnes CO2e KWH
Baseline
(2019/2 Baseline
Scope 1 (Gas, Petrol, Heating Fuel) 0) 2020/21 2021/222022/23 2023/24 (2019/20) 2020/21 2021/22 2022/23 2023/24
Property 6,692 5,150 5,963 5,533 5,302 36,397,018 28,009,598 32,553,522 30,367,641 29,044,689
Fleet 1,280 543 726 957 773 4,927,587 2,150,180 2,859,190 3,818,221 4,021,299
Total Scope 1 7,972 5,693 6,689 6,489 6,075 41,324,605 30,159,778 35,412,712 34,185,862 33,065,988
Scope 2 (electricity, grid average)
Property 3,017 1,619 1,715 2,132 2,103 11,803,321 6,942,481 8,077,789 11,025,751 10,157,787
Total Scope 2 3,017 1,619 1,715 2,132 2,103 11,803,321 6,942,481 8,077,789 11,025,751 10,157,787
Scope 3
N/A
Total Scope 3 0 0 0 0 0
Total (Grid Average) 10,989 7,312 8,404 8,622 8,178
Intensity Ratio
(Tonnes CO2e per employee) 5 3 4 4 4
Total energy Consumption 53,127,926 37,102,259 43,490,501 45,211,613 43,223,775
----- End of picture text -----

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

49

----- Start of picture text -----
GHG Emissions (TCO2e) Energy Consumption (KWh)
12000 60,000,000
10000 50,000,000
8000 40,000,000
6000 30,000,000
4000 20,000,000
2000 10,000,000
0
0
Property Fleet Property Fleet
----- End of picture text -----

Our total energy consumption has decreased by 18.6% compared to our 2019/20 baseline. Total carbon emissions have reduced by 25.6% and our intensity of Tonnes CO2e per employee by 21%.

We have made satisfactory progress in reducing carbon emissions from our properties and from business travel.

Progress by area

Property

Actions:

Fleet

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

50

Actions:

Colleague Engagement

Engaging our staff and volunteers on this agenda is important to us. We actively encourage our corps to sign up to the Eco Church Scheme. This is a Sustainability scheme for religious buildings in the UK that supports and certifies against good practice around buildings, green spaces, and lifestyle. Currently about 11% of our corps are members and we have target of 80% of corps to sign up by 2028.

We are currently developing a Care for Creation training module that will be rolled out early next year for both current and new staff and officers.

We provide updates throughout the year through our intranet, weekly internal newsletters, and articles in our Salvationist magazine.

Wider Strategy

This report covers a small part of our sustainability and carbon reduction programmes. Read more about the work we are doing in our Net Zero Strategy 2040 and Carbon Management Plan 2024-27. Both reports are available upon request.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

51

REVIEWING FINANCES

The Accounts have been prepared in accordance with the Charities SORP and Financial Reporting Standard 102 (FRS 102).

Our main sources of income are as follows:

Legacies
Donations from the public
Donations from members
Grants
Trading income
Investment income
Other income		 2024
2023
£m
£m
84.3
69.3
73.4
71.6
17.7
17.7
4.2
3.4
112.7
101.7
12.5
8.9
22.5
15.1
327.3
**287.7 **

Voluntary Income

Voluntary income (including legacies, donations and grants from trusts and foundations) represents 55% of our total income and we continue to be deeply and sincerely grateful to the individuals who have remembered us in their wills, which is a crucially important, sustaining income stream. Donations from members represent the weekly or planned giving by soldiers and other members of The Salvation Army to their local Salvation Army corps (church).

Trading Income

Trading income comprises:

Other Income

The significant increase between 20223 and 2024 primarily relates to gains on properties disposed in year 2024 £18.3m (2023 £12.7m)

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

52

Expenditure has increased from £273.7 million to £308.9 million.

Cost of trading activities has increased in part due to supporting the increased income generation channels and primarily the increase is due to inflationary pressures. Church and evangelism programme costs have increased because of increased direct costs as well inflationary pressures.

Cost of raising donations and legacies
Cost of trading activities
Total cost of raising funds
Charitable activities:
Church and evangelism programmes
Community programmes
International programmes
Training programmes
Youth and young people’s programmes
Grant to Social Work Trust
Total charitable activities
Financing Activities
Total expenditure		 2024
2023
£m
£m
19.7
15.6
111.0
95.1
130.7
110.7
64.4
53.5
64.3
70.2
8.9
7.2
7.7
7.1
3.1
2.6
29.7
22.3
178.1
162.9
0.1
0.1
308.9
273.7

Costs of Raising Donations and Legacies

This represents the costs of our central Fundraising Department and the cost of our appeals and other costs associated with raising funds.

Church and Evangelism Programmes

This represents Christian worship and the teaching and promotion of the Christian message at our corps, regionally and nationally.

Community Programmes

Programmes organised by our corps to meet the needs of their local community are increasing in scale and diversity and are described elsewhere in this report.

International Programmes

This represents grants to The Salvation Army International Trust, overseas projects funded by the UK Territory and the costs of the International Development Unit.

Training Programmes

This represents the costs of William Booth College which trains people to become Salvation Army officers and runs education and learning programmes for employees and officers.

Youth and Young People’s Programmes

This represents national programmes including The Salvation Army’s work with young people and young adults.

Grant to The Salvation Army Social Work Trust

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

53

This represents the financial support provided to our social programmes for those in need. This includes work with the homeless, older people, unemployed people, and victims of human trafficking.

Net income, which includes gain on investments of £30.5 million (2023: £1.0 million deficit), was £47.6 million (2023: £12.9 million income).

Total funds as at the year-end were as follows:

Endowment funds
Restricted funds:
Property fund
Corps funds
Legacy reserves
Trust funds
Specific donations
Unrestricted funds:
Non-charitable trading funds
Designated funds
General reserve
Total funds		 2024
2023
£m
£m
17.3
15.2
352.2
343.8
55.4
53.7
89.7
84.5
2.5
2.3
13.1
14.1
512.9
**498.4 **
22.3
22.8
246.1
213.9
102.2
103.1
370.6
339.8
900.8
853.4

Endowment Funds (see Note 21 to the accounts)

The endowment funds are represented by investments in William Leech (Investments) Limited and in the Common Investment Funds and the movement is due to the overall increase in market value of those investments. The capital value of the funds is retained but the income is applied to fund our work.

Restricted Funds (see Notes 22 & 23 to the accounts)

The property fund represents property assets owned by The Salvation Army for operational purposes and hence is not available for expenditure.

Corps funds represent funds generated by corps. These are restricted for use in their local area.

Other restricted reserves represent funds given by donors for specific purposes.

Unrestricted Funds (see Note 24 to the accounts)

Non-charitable trading funds are profits retained in the subsidiary companies to provide working capital for their trading operations.

Designated funds are set aside by the directors for specific purposes, principally the acquisition of officers’ quarters and major maintenance work on the property portfolio. Salvation Army officers (active and retired) are provided with accommodation. Funds have been set aside to enable the purchase of suitable properties as they are required. Funds have also been set aside to fund the work required on corps properties as part of our continuing

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

54

planned maintenance rolling five-year programme. Funds are also designated to finance new mission initiatives, fund Field Service

Training and various approved standalone programmes. All designated reserves are reviewed annually for obsolescence with surpluses being transferred back to general reserves.

Unrealised gains

These are gains and losses because of market value fluctuations which have not yet been realised.

General reserve

This represents funds which are freely available for the general purposes of the charity.

RESERVES POLICY

We rely on donations, legacies, and grants to fund our activities. These can be uncertain and fluctuate from year to year. They represented 54 per cent of our total income for the year ended 31 March 2024. We need reserves to ensure that the operation of our church and community programmes can continue in the event of fluctuations in voluntary income and unexpected expenditure. We also want to be able to provide for the new and innovative opportunities that may appear to further the mission of The Salvation Army Trust.

The total value of funds held as at 31 March 2024 was £901m (2023: £853m). There are restricted reserves of £513m (2023: £498m), unrestricted reserves of £371m (2023: £340m), and endowment reserves of £17m (2023: £15m).

The unrestricted funds include general reserves, designated funds, and non-charitable trading funds. General reserves are utilised to fund the day-to-day needs of The Salvation Army. These were £102m as at 31 March 2024 (2023: £103m). The designated funds are unrestricted but set aside by the directors for specific purposes, £246m (2023: £214m). The non-charitable trading funds totalled £22.3m (2023: £22.8m).

General reserves at the year-end were £102m, which is above the target range of £34.6m to £57.5m. The target range is modelled looking at income and expenditure with an associated risk factor (correlated with a higher likelihood of an adverse outcome) considered annually and duly reflected in the annual Reserve Policy. Like other charitable organisations, we are facing increased costs in delivering our missional activities and supporting vulnerable people within our society from high inflation as well as a challenging fundraising environment as the cost-of-living crisis continues to bite. A deficit budget has been approved for 2025/26 which will result in a significantly lower general reserve towards the lower end of the target range. The Trustee review the reserves policy on an annual basis taking account the changing internal and external risk factors.

INVESTING FOR THE FUTURE

The charity holds its investments in The Salvation Army Common Investment Funds. These funds were set up under Schedule 2 of The Salvation Army Act 1980 to act as common investment schemes for certain Salvation Army Trusts.

The Salvation Army Common Investment Fund (No 1) consists of permanent endowments which are restricted by the wishes of the donor. In most cases the income is to be used for restricted purposes. The Salvation Army Common Investment Fund (No 2) is operated for

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

55

those Salvation Army Trusts without permanent endowments. Both funds are managed by The Salvation Army Trustee Company. Cazenove Capital Management manages CIF1 and 50 per cent of CIF2, while Sarasin & Partners LLP manage 50 per cent of CIF2.

The funds are subject to The Salvation Army Act 1980 and the following guidelines:

The Funds’ benchmark and ranges of distribution are as follows:

Asset Class Benchmark Range
% %
Equities:
Global 100 +/-10
Bonds 0 +10
Cash 0 +10
100

The aims and objectives of the Common Investment Funds are as follows:

CIF1

Fund strategy is:

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

56

The performance objective of the Fund is to achieve an annual total return which exceeds the composite benchmark below by at least 1.25 per cent per annum, gross of fees, measured over rolling three-year periods, commencing 1 January 2011.

Asset Class Performance Benchmark
UK Equities FTSE All-Share
Europe (ex UK) Equities FTSE All World Developed Europe (ex UK)
Emerging Markets Equities FTSE All World Emerging Markets
AsiaPacificEquities FTSE All WorldDevelopedAsiaPacific
United StatesEquities S&P500
Property AREF/IPDUKQuarterlyAllBalancedPropertyFund

CIF2

The Fund strategy is to aim for capital growth rather than income. The performance objective of the Fund, excluding cash and gilts under lien, is to achieve an annual total return which exceeds the composite benchmark below by at least 1.25 per cent per annum, gross of fees, measured over rolling three-year periods commencing 1 January 2011.

Asset Class Performance Benchmark
UK Equities FTSE All-Share
Europe (ex UK) Equities FTSE All World Developed Europe (ex UK)
Emerging MarketsEquities FTSE All WorldEmerging Markets
Asia Pacific Equities FTSE All World Developed Asia Pacific
United StatesEquities S&P500
Property IPD UK Property
Cash and gilts under lien FTSE Gilts under 5 years

Performance for the year compared to the benchmark was as follows:

CIF1 CIF1 CIF1 CIF2 CIF2 CIF2
% % % % % %
Annual total return (gross of fees) 16.9 4.0 5.3 14.4 1.1 6.1
Benchmark return 20.6 (2.6) 13.6 20.6 (2.6) 13.6

The performance is being monitored on a regular basis through discussions with the respective investment fund managers.

In absolute terms the performance of the Common Investment Funds for the year was as follows:

CIF1 CIF1 CIF1 CIF2 CIF2 CIF2
2024 2023 2022 2024 2023 2022
% % % % % %

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

57

(Decrease)/Increase in capital
value of fund		 18.6 2.9 6.8 12.8 -0.1 17.1
Averagenetincomereturn 1.37 0.5 0.4 0.8 0.7 0.7

STRUCTURE, GOVERNANCE AND MANAGEMENT

The United Kingdom and Ireland Territory is under the command of a Territorial Commander, appointed by the General and responsible to him/her for the day-to-day administration of Salvation Army work throughout the British Isles, including the Channel Islands, the Isle of Man, and the Republic of Ireland.

The Salvation Army’s assets in the United Kingdom are held by The Salvation Army Trustee Company (SATCo), a company limited by guarantee, registered in England (No 00259322) with its registered office at 1 Champion Park, London SE5 8FJ. The governing document of The Salvation Army Trust is The Salvation Army Act 1980, as amended. Under Section 12(1)(a) SATCo is appointed as the sole ordinary trustee of the trusts listed in Schedule 5 to that Act.

The two main trusts under which The Salvation Army operates in the United Kingdom are:

Connected Trusts

SATCo is the trustee of a number of connected charitable trusts which are concerned with specific aspects of the Army’s work.

The Salvation Army Social Work Trust

Governing instrument: Deed Poll dated 30 January 1891, and a supplementary deed dated 26 March 1969. Charity registration No 215174 in England and SC037691 in Scotland.

The objects of The Salvation Army Social Work Trust are to promote the charitable work of The Salvation Army, as SATCo shall think fit, in one or more of the following ways:

William Booth Memorial Trust

Governing instrument: Trust Deed dated 19 September 1921. Charity registration No 312882.

The purpose of this Trust is the establishment, maintenance, and operation of a college for the instruction and training of men and women for service as officers of The Salvation Army and others involved with or interested in the mission of The Salvation Army.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

58

RISK MANAGEMENT

The Salvation Army identifies, assesses, and manages risks that could impact its activities so it can better achieve its objectives, comply with relevant laws and regulations, and safeguard its funds and assets.

The Board (SATCo) has ultimate responsibility for overseeing risk management, in accordance with Charity Commission guidance (CC26). The Risk Management Committee (RMC) directs an enterprise-wide risk management programme to inform decision-making and ensure effective procedures to identify and evaluate risks and implement effective controls.

The RMC considers the most recent developments in the most significant risks, while also prioritising broader developments to The Salvation Army’s approach to risk management. Current plans include promoting a deepening appreciation of the complexities of risk management within a wide-ranging structure, the importance of metrics to inform risk management and the implications of macro and global risks that may have consequences for the organisation.

Risk management operates through a top-down review by the RMC and bottom-up review by individual functions, enabling the identification and prioritisation of key and emerging risks. This enables site and service-specific concerns to be identified and managed, while retaining high-level oversight and assurance of the most significant risks facing the organisation. The RMC reports to the Board at least once yearly on key risks. Through this risk management process the directors have considered the major risks facing the organisation and satisfied themselves that controls are established to manage them. Unfortunately, the nature of our work means that despite the steps we take, serious incidents can still arise, and we continue to place the utmost importance on reporting these to our regulators.

Principal Risks

The Salvation Army’s work is diverse, geographically spread across a broad range of settings and has a variety of beneficiaries. The risk landscape is therefore varied, and controls are deployed appropriately at different levels of the organisation. The following outline indicates the most significant risks to The Salvation Army in the reporting period and some of the strategic level mitigations we have in place.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

59

Principal Risks **Mitigation **
Business Continuity — There is a risk of an
occurrence of a significant incident where,
during and after the incident, The
Salvation Army will not be able to continue
to be viable and meet stakeholder
expectations.		 Business continuity policies and
procedures, including the application of
ISO27001 for some parts of the
organisation, prepare us for management
of interruptions.
Cyber — The risk is that we fail to protect
our information systems and the
information they hold.		 We deploy multiple measures to protect
our systems and the information they hold.
We work within an information security
international standard (ISO27001) and
build on lessons from our internal and
external audits in this area.
Data Protection — The risk that we fail to
protect sensitive and personal data.		 As well as our data protection / GDPR
policies and training, we take steps to
ensure that personal data are treated
properly through appropriate security
measures, staff training, the use of data
protection impact assessments and
contractual requirements with
organisations we work with who process
our personal data.
Financial Sustainability — The risk that
there is insufficient revenue income from
legacies, donations, trading activities and
reserves to support our operating model
resulting in the failure of The Salvation
Army to thrive in a rapidly changing
environment.		 We continue to monitor the funding
situation and adjust our financial planning
and commitments accordingly to ensure we
are financially resilient.
Healthy Corps and Centres — There is a risk
that a variety of factors prohibit
flourishing of our churches and centres.		 We seek to understand how our corps
(churches) and centres can thrive in a
wider environment of falling church
attendance. We are taking steps to
establish and measure factors that
contribute to healthy mission and provide
close support to our corps officers in their
daily work.
Safeguarding — The risk is that we fail to
provide a safe environment, free from
abuse, for everyone, including vulnerable
beneficiaries.		 We continue to maintain clear policies and
procedures in relation to safeguarding and
ensure the appropriate screening, training,
and supervision of personnel. A
subcommittee of RMC — the Territorial
Safeguarding Committee — oversees
management of the risk.
Safe Mission — The risk is that we are not
able to ensure the health, safety and
welfare of personnel, service users and
members of the public who are affected by
our activities.		 Comprehensive policies, procedures, and
guidance are in place, alongside a
supervisory control framework.
Two RMC subcommittees — the Safe
Mission Council and the Sudden Deaths
Review Group — inform the management
of this risk.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

60

RISK AND GOVERNANCE

The charity has a dedicated internal audit function that undertakes audits as agreed with the Audit Committee and maintains a detailed risk register that addresses the major risks that face the organisation and may impact its ability to achieve its objectives. The key risk register is subject to regular review by the Risk Management Committee in order to take account of emerging risks and changes in the risk profile. They meet quarterly. The risk register is discussed annually at the SATCo Board for information and review.

The Internal Audit Department periodically reviews SATCo’s performance against the Charity Governance Code. The Internal audit department carried out a review in the period to 31 March 2024 and identified a number of minor improvements in line with best practise which SATCO acknowledge and will implement in the forthcoming Internal Audit review period.

SUBSIDIARY AND ASSOCIATED COMPANIES

The following companies are beneficially owned by The Salvation Army Trust and donate all or part of their profits to The Salvation Army Trust:

  1. Salvation Army Trading Company Limited (SATCoL) (100% shareholding) Registered company number: 02605817

  2. The Salvation Army General Insurance Corporation Limited (SAGIC) (100% shareholding) Registered company number: 101071

  3. SATCoL is a wholly owned subsidiary of The Salvation Army Trust. Its main activity is the collection and sale of second-hand clothes donated by the public through both wholesale and retail activities in its 230 charity shops and donation centres, recycling and the supply of Salvation Army publications, uniforms, and other related materials.

  4. SAGIC is a wholly owned subsidiary of The Salvation Army Trust and was formed in 1909. Its principal activity is transacting property insurance in the United Kingdom. SAGIC also provides home and contents insurance to officers, members and supporters of The Salvation Army as well as to the general public, either directly or through its broker network.

Connected Company

The Salvation Army Trust holds 20 per cent of the shares in William Leech (Investments) Limited. It is not considered to be an associated company and is valued in both the Trust and Consolidated Balance Sheets at share of underlying net assets which equates to its fair value.

RECRUITMENT AND APPOINTMENT OF DIRECTORS

There are 14 directors of Salvation Army Trustee Company (SATCo, the sole trustee of The Salvation Army Trust), 8 by virtue of their appointments within The Salvation Army. One director is a divisional leader responsible for one of The Salvation Army’s 14 divisions.

The other 5 directors are non-executive directors, and each brings expertise in a relevant field, as approved by the General — including property, finance, investments, or social services. The appointment of non-executive directors is made by SATCo on the recommendation of the Nominations Committee.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

61

Training and Induction of Directors

The Company Secretary briefs new directors on their legal responsibilities and familiarises them with the Company’s governance folder (and previous Board minutes). This includes the articles of association of SATCo, the Charity Commission’s essential trustee guidance, and other key documents and policies (including the Conflicts of Interest Policy). The Company Secretary regularly delivers a written governance update on relevant issues at board meetings. Directors are also informed of and provided with the opportunity to attend several training sessions throughout the year.

Organisational Structure and Decision Making

SATCo’s board (‘the Board’) is assisted by an Audit Committee, a Nominations Committee, an Investment Advisory Committee, and a Risk Management Committee. The Audit Committee comprises a non-executive director chair and up to three independent members with a remit to review The Salvation Army’s internal and external audit arrangements and consider reports issued by internal and external auditors, including the annual financial statements. The role of the Nominations Committee is to recommend new non-executive Board members. The Investment Advisory Committee includes three external advisers in its membership and advises on appropriate investment strategy and investments. The Risk Management Committee’s role is outlined above under Risk Management.

The Board met bimonthly, with some additional meetings scheduled as required in this reporting year. In addition to its oversight and governance role, the following matters require consideration and approval by the Board:

The Board has delegated day-to-day operational matters to the Territorial Operations Board, under the leadership of the Chief Secretary.

Public Benefit

The Trustee confirm that they have considered the Charity Commission’s published guidance on the public benefit requirement under the Charities Act 2011.

We believe that in delivering public benefit we are effective because we bring the breadth of our capabilities to bear on the complex challenges being faced by our local corps (churches), which have experienced even greater numbers of people seeking assistance, and our residential, which have been required to support people with increasingly complex needs. The organisation’s Vision and Mission Priorities set out how we meet those challenges to make a difference over the current decade and beyond. Find out more in the sections ‘Belief in action — our churches and community centres,’ ‘Reaching out to vulnerable people,’ ‘Seeing the bigger picture,’ ‘Our 10-year homelessness services development strategy – “1,000 voices”’, and ‘Looking Forward as a Movement’.

Trustee’s Responsibilities

The Trustee is responsible for preparing the Trustee's Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

62

The law applicable to charities in England and Wales/Scotland/Northern Ireland requires the Trustee to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the group and of the incoming resources and application of resources of the group for that period. In preparing these financial statements, the Trustee is required to:

The Trustee is responsible for keeping adequate accounting records that are sufficient to show and explain the charity’s transactions, 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 Charities (Accounts and Reports) Regulations 2008, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The financial statements are published on The Salvation Army website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements, which may vary from legislation in other jurisdictions. The maintenance and integrity of The Salvation Army’s website is the responsibility of the Trustee. The Trustee's responsibility also extends to the ongoing integrity of the financial statements contained therein.

Remuneration of Key Management

Key management personnel of The Salvation Army comprise Salvation Army officers and employees. Salvation Army officers do not receive a salary; they receive an allowance based on length of service and seniority of position and, as ministers of religion, are provided with furnished accommodation and a motor vehicle. The allowances received by officers in positions of key management range from £19,306.17 to £24,949.79 per annum.

Further information is disclosed in Notes 11 and 12 to the Accounts.

For employees, we are committed to ensuring a proper balance between paying salaries which will enable us to attract and retain staff of the appropriate calibre and careful stewardship of charitable funds. All senior salaries are benchmarked against senior staff salaries of comparable organisations in the not-for-profit sector.

On behalf of the Directors of The Salvation Army Trustee Company 19 May 2025

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

63

DIRECTORS

The current directors of The Salvation Army Trustee Company and those who held office during the financial year are as follows:

Commissioner Anthony Cotterill (until 31.12.23) Commissioner Paul Main Chair Commissioner Jenine Main (until 31.12.23) Colonel Peter Forrest Deputy Chair (appointed 19.01.24) Lieut-Colonel Nicholas Coke (appointed 05.07.24) Lieut-Colonel Mark Herbert Lieut-Colonel Paul Kingscott (appointed 10.05.24) Lieut-Colonel Andrew McCombe Lieut-Colonel Beverley McCombe Lieut-Colonel Dean Pallant (until 30.06.24) Lieut-Colonel Judith Payne (until 24.07.24) Lieut-Colonel Alan Read (until 01.05.24) Major Judith Hilditch (until 30.04.23) Major Amanda White (appointed 26.09.24) Philip Edwards Peter Gale Aidan Grills (appointed 10.05.24) Jennifer Laurent-Smart (appointed 26.09.24) Helen O’Brien Mark Puller (until 12.05.23) Andrew Stickland

The Chief Secretary, Colonel Peter Forrest, is responsible for the day-to-day management of the charity.

Committee Members (current)

Territorial Operations Board

Colonel Peter Forrest (Chair), Commissioner Jenine Main, Lieut-Colonel Paul Kingscott (until 17.03.24), Major Jane Cowell, Lieut-Colonel David Shakespeare, Major Mike Lloyd-Jones, Major Julian Watchorn, Major Richard Waters, Tony Daniels (until 04.09.24), Miguel Fiallos, Peter Grant, Mitch Menagh (until 04.09.24), Alex O’Hara, Nick Redmore, Major Pam Pitt (appointed 01.07.24), Major Kerry Coke (appointed 18.09.24), Major Kathy Betteridge (appointed 18.09.24), Polly Hughes (appointed 18.09.24), Julius Wolff-Ingham

Audit Committee

Andrew Stickland (Chair), Mike Grills, Stephen Bright, Hannah Greenfield (until 21.11.24)

Investment Advisory Committee

Peter Gale (Chair), Lieut-Colonel Alan Read (retired 01.05.24), Marcel Schuster, Mary Haly, Daniel Wills, Mark Chaloner, Philip Rotheram (until 30.11.23), Lieut-Colonel Paul Kingscott (appointed 18.04.24)

Nominations Committee

Commissioner Paul Main, Colonel Peter Forrest, Lieut-Colonel Alan Read (until 01.05.24), Elliot Thomas, Lieut-Colonel Paul Kingscott (appointed 18.04.24)

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

64

Risk Management Committee

Helen O'Brien (Chair), Lieut-Colonel Drew McCombe (ex-officio), Lieut-Colonel Beverley McCombe (ex-officio), Lieut-Colonel Dean Pallant (until 30.06.24), LieutColonel Alan Read (retired 01.05.24), Lieut-Colonel David Shakespeare, Major Kerry Coke, Major Sarah Price, Major Howard Russell (until 23.10.24) , Daniel Wills, Elliot Thomas, Julius Wolff-Ingham, Lynette Sturgeon, Matthew Saxon, Lieut-Colonel Nick Coke (ex-officio) (appointed 01.07.24) , Lieut-Colonel Paul Kingscott (ex-officio) (appointed 18.04.24), Lieut-Colonel Jonathan Roberts (appointed 01.09.24)

Company Secretary

Elliot Thomas is Company Secretary of The Salvation Army Trustee Company.

ADVISERS

Bankers

Reliance Bank Limited, Faith House, 23/24 Lovat Lane, London EC3R 8EB

Auditors

Crowe U.K. LLP, Statutory Auditor, Chartered Accountants, 55 Ludgate Hill, London EC4M 7JW

Solicitors

England and Wales: Slaughter and May, 1 Bunhill Row, London EC1Y 8YY Scotland: Blackadders, 5 Rutland Square, Edinburgh EH1 2AX

Investment Advisers

BWCI Consulting Limited, PO Box 68, Albert House, South Esplanade, St Peter Port, Guernsey GY1 3BY

Investment Managers

Cazenove Capital Management, 12 Moorgate, London EC2R 6DA Sarasin & Partners LLP, Juxon House, 100 St Paul’s Churchyard, London EC4M 8BU Legal & General Investment Ltd, One Coleman Street, London, EC2R 5AA

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

65

INDEPENDENT AUDITORS REPORT TO THE TRUSTEE OF THE SALVATION ARMY TRUST

Opinion

We have audited the financial statements of The Salvation Army Trust (‘the charity’) and its subsidiary (‘the group’) for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Parent Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustee's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's or the group’s ability to continue as a going concern for a period of at least 12 months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustee with respect to going concern are described in the relevant sections of this report.

Other information

The trustee is responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

66

statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:

Responsibilities of trustee

As explained more fully in the trustee's responsibilities statement set out on page 61, the trustee is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustee determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustee is responsible for assessing the group and the parent charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustee either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 151 of the Charities Act 2011, and section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Acts and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

67

Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and non-compliance with laws and regulations are set out below.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members including internal specialists and significant component audit teams. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.

We obtained an understanding of the legal and regulatory frameworks within which the charity and group operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities Act 2011 and The Charities and Trustee Investment (Scotland) Act 2005, together with the Charities SORP (FRS102) 2019. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.

In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the charity’s and the group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the charity and the group for fraud. The laws and regulations we considered in this context for the UK operations were The Salvation Army Act 1980, General Data Protection Regulation (GDPR), Taxation legislation and Employment legislation.

Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the trustee and other management and inspection of regulatory and legal correspondence, if any.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be within the timing of recognition of legacy income and the override of controls by management. Our audit procedures to respond to these risks included enquiries of management, internal audit, legal counsel and the Audit Committee about their own identification and assessment of the risks of irregularities, designing audit procedures over legacy income, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission, OSCR and reading minutes of meetings of those charged with governance.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

68

internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

Use of our report

This report is made solely to the charity’s trustee, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008 and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity’s trustee those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustee as a body, for our audit work, for this report, or for the opinions we have formed.

Crowe U.K. LLP Statutory Auditor

London

Date: 22 May 2025

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

Crowe U.K. LLP is eligible for appointment as auditor of the charity under regulation 10(2) of the Charities Accounts (Scotland) Regulations by virtue of its eligibility under section 1212 of the Companies Act 2006.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

69

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

FOR THE YEAR ENDED 31 MARCH 2024

Notes
INCOME AND
ENDOWMENTS FROM
Donations, Legacies
and Grants
Legacies
Donations — Public
Donations — Members
3
Grants
4
Trading Activities
5
Investments
6
Other
Gain on property
disposal
Other income
Total Income
EXPENDITURE
Raising Funds
Costs of raising
donations,
legacies and grants
Costs of trading
activities
5
Charitable Activities
8
Church and
Evangelism
Programmes
Community
Programmes
International
Programmes
Training Programmes
Youth and Young
People’s Programmes
Grant to the Salvation Army
Social Work Trust
Financing Costs
18
Total Expenditure
Gains/(Losses) on
Investments
17(a)
Net Income/
(Expenditure)
Transfer between
funds
23/24
NET MOVEMENT IN
FUNDS		 2024
2023
Restated
Endowment
Restricted
Unrestricted
Total
Total
£000
£000
£000
£000
£000
-
12,189
72,139
84,328
69,304
-
10,807
62,614
73,421
71,562
-
17,521
161
17,682
17,728
271
3,825
108
4,204
3,384
-
13,448
99,239
112,687
101,718
-
652
11,877
12,529
8,874
-
3,832
14,506
18,338
12,681
-
4,129
-
4,129
2,448
271
66,403
260,644
327,318
287,699
-
62
19,685
19,747
15,581
-
7,511
103,467
110,978
95,080
-
7,573
123,152
130,725
110,661
-
24,348
40,068
64,416
53,521
-
35,287
29,055
64,342
70,181
-
5,206
3,700
8,906
7,186
-
18
7,673
7,691
7,109
-
-
3,103
3,103
2,585
-
-
29,652
29,652
22,373
-
64,859
113,251
178,110
162,955
-
-
48
48
48
-
-
48
48
48
-
72,432
236,451
308,883
**273,664 **
1,779
471
26,725
28,975
(964)
2,050
(5,558)
50,918
47,410
13,071
-
20,090
(20,090)
-
-
2,050
14,532
30,828
47,410
13,071

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

70

Fund
balances
brought
forward
Fund balances
carried forward at 31
March 2024		 15,238
498,333
339,804
853,375
840,304
17,288
512,865
370,632
900,785
853,375

All activities reported above, in both the current and preceding years, reflect ongoing activities. Detailed comparative information is provided in note 32. Notes 1 to 32 form an integral part of these accounts.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

71

CONSOLIDATED BALANCE SHEETS AS AT 31 MARCH 2024

Consolidated Consolidated Trust Trust
Notes 2024 2023 2024 2023
Restated Restated
£000 £000 £000 £000
FIXED ASSETS
Intangible Fixed Assets 14 148 152 - -
Tangible Fixed Assets
Properties 15 379,900 305,979 371,801 300,505
Property Schemes in Progress 15 10,455 66,067 10,455 66,067
Motor Vehicles and Equipment 16 26,488 16,642 8,261 4,151
Investments 17 334,020 303,079 337,442 306,363
751,011 691,919 727,959 677,086
CURRENT ASSETS
Short-Term Deposits 51,272 61,552 51,272 61,552
Stock 1,827 1,938 202 209
Debtors 18 99,052 76,341 91,208 68,165
Bank Balances and Cash 89,249 69,276 78,381 51,711
241,400 209,107 221,063 181,637
CREDITORS: amounts falling due within one year 19 (84,705) (40,147) (69,900) (27,758)
NET CURRENT ASSETS 156,695 168,960 151,163 153,879
TOTAL ASSETS LESS CURRENT LIABILITIES 907,706 860,879 879,122 830,965
CREDITORS: amounts falling due after one year 20 (309) (389) (309) (389)
Provision for liabilities (6,612) (7,115) - -
TOTAL NET ASSETS 900,785 853,375 878,813 830,576
FUNDS
Endowment Funds 21 17,288 15,238 17,288 15,238
Restricted Funds
Property Fund 22 352,212 343,786 352,212 343,786
Other Restricted Funds 160,653 154,547 160,653 154,547
23
Unrestricted Funds 24 370,632 339,804 348,660 317,005
TOTAL FUNDS 25 900,785 853,375 878,813 830,576

Approved on behalf of The Salvation Army Trustee Company on 19 May 2025.

Notes 1 to 32 form an integral part of these accounts.

Lieut-Colonel Paul Kingscott Director

Commissioner Paul Main Director

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

72

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 MARCH 2024

NET CASH PROVIDED BY OPERATING
ACTIVITIES
Additions to intangible assets
Additions to Properties
Additions
from Property Schemes in
Progress
Proceeds on Disposal of Properties
Additions to Motor Vehicles and Equipment
Proceeds on Disposal of Motor Vehicles and
Equipment
Additions to Investments
Proceeds from Disposal of Investments
Investment Income
NET CASH (USED IN) INVESTING ACTIVITIES
NET
CASH
(USED
IN)
FINANCING
ACTIVITIES
Loan Repayments
Change in Cash and Cash Equivalents
Cash and Cash Equivalents at beginning of
year
Cash and Cash Equivalents at end of year
ANALYSIS OF CHANGES IN NET DEBT
Cash at Bank
Short term deposits
Total of cash and cash equivalents
Loans falling due within one year
Loans falling due after more than one year		 Notes
30
Balance
1 April 2023
Cash-Flows
£000
£000
69,276
19,973
61,552
(10,280)
130,828
9,693
(28)
-
(389)
-		 2024
2023
Restated
£000
£000
34,994
20,720
(144)
-
(24,941)
(17,811)
(22,766)
(38,341)
26,678
18,336
(14,607)
(9,671)
-
84
(3,493)
(789)
1,527
359
12,529
8,873
(25,217)
(38,960)
(84)
(90)
9,693
(18,330)
130,828
148,741
140,521
130,411
Loan Repayments
Balance
31 March
2024
£000
£000
-
89,249
-
51,272
-
140,521
5
(23)
80
(309)
130,411
9,693		 85
140,189

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

73

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2024

1. CHARITY INFORMATION

The Salvation Army in the UK is an integrated, yet diverse, organisation that contributes to the betterment of society in the service of God and people. Legally we are structured under two main trusts. These are:

• The Salvation Army Social Work Trust (Charity Registration No. 215174 in England and Wales, and SC037691 in Scotland)

These financial statements are for The Salvation Army Trust (Salvation Army Trust, the Trust). The address of the registered office is 1 Champion Park, London, SE5 8FJ.

2. ACCOUNTING POLICIES

The principal accounting policies adopted in the preparation of the financial statements and which have been consistently applied are set out as follows:

(a) Basis of Accounting

The accounts (financial statements) have been prepared in accordance with Financial Reporting Standard 102, the Financial Reporting Standards applicable in the UK and the Republic of Ireland and Charity SORP (FRS102) applicable to charities preparing their accounts in accordance with FRS102, , The Salvation Army Action 1980, the Charities Act 2011 and the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 and UK Generally Accepted Practice as it applies from 1 January 2015.

The accounts (financial statements) have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following the 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) issued on 16 July 2014 rather than the previous Statement of Recommended Practice: Accounting and Reporting by Charities which was effective from 1 April 2005 but which has since been withdrawn. Salvation Army Trust meets the definition of a public benefit entity under FRS 102.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

(b) Prior year restatement

A number of prior year adjustments have been identified due to error or incorrect application of our accounting policies. The impact of the prior year adjustments has increased prior year reserves from £786m to £853m. More detailed descriptions of each adjustment are included within Note 31.

(c) Going Concern

Salvation Army Trust has felt the financial impact of global economic factors, particularly the high inflation rates on our cost base plus the related cost-of-living crisis. At the time of writing the Bank of England projections indicate that inflation will rise to 3.7% and expected to fall back to the 2% target, but this remains a watching brief with the current instability arising through the trade tariffs being imposed by the USA. With the current interest rates, reducing at a much slower pace, unemployment is expected to increase as the economic growth forecast is expected to decrease. The organisation anticipates that the trading environment will continually be challenging especially against the backdrop of the current socio-economic and socio-political climate.

Financial projections and other supporting financial models that detail potential financial impacts of this economic environment on the Salvation Army Trust are reviewed on a regular basis by the operational boards, as well as further scenario planning to assess the potential short, medium and long-term financial implications of other risks and opportunities, although this is currently undertaken on a lower-level scale.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

74

Looking ahead, we plan to better utilise the financial reserves to support the organisation and where necessary invest in strategic priorities. This financial year, 2023-24 saw us continuing to spend on our strategic aims. The closing unrestricted reserves were £371m (2023: £340m) and the cash and bank balances were £89m (2023: £69m). The Directors have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future, being at least 12 months from the date of approval of these financial statements and are not aware of any material uncertainties that may adversely affect the organisation. Accordingly, the financial statements will continue to be prepared on the going-concern basis.

(d) Consolidation

The financial statements aggregate the results of the corps which, for the purposes of compliance with the Statement of Recommended Practice, are considered to be branches, the results of the subsidiary companies and of the subsidiary trust (William Booth Memorial Trust).

The Statement of Financial Activities (SOFA) and balance sheet consolidate, on a line-by-line basis, the financial statements of the Trust and its subsidiary undertakings. The Trust has taken advantage of the exemption in FRS102 from the requirement to prepare a charity-only cash flow statement and certain disclosures about the Trust’s financial statements.

(e) Critical accounting judgements and key sources of estimation uncertainty

In the application of the Trust’s accounting policies, Directors of the sole trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going 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 periods if the revision affects the current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described in the accounting policies and are summarised below:

(ii) Pension obligations

The Salvation Army Trust contributes to the underlisted defined benefit pension or similar schemes in respect of its staff:

(iii) Identification and valuation of investment properties

Salvation Army Trust’s property portfolio is reviewed annually to identify investment properties, which are those properties held to earn income or for capital appreciation rather than to be used for its charitable purposes. Properties no longer used for charitable purposes but retained until market conditions allow their disposal are not treated as investment properties, provided disposal is intended within a three-year window. If disposal does not

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

75

occur within this period and the property is not re-engaged for charitable purposes, it is reclassified to investment property.

After initial recognition, investment property is measured at its fair value which is determined by members of staff with relevant experience and qualifications, and the valuation is performed using open market data for comparable properties. The property will be valued at each subsequent reporting date.

(iv) Provisions in the insurance subsidiary company

Judgments and estimates are made in calculating the insurance technical provisions which are based on claims and premium trends from the previous year, in compliance with FRS 103.

(f) Income

All income is included in the SOFA when the Trust is entitled to the income, receipt is probable, and the amount can be measured reliably. Income includes:

Legacies income is recognised when it satisfies the following criteria:

The estimated value of legacies notified, but neither received nor included in income, is £5.1m (2023: £4.6m).

(g) Expenditure

Expenditure is recognised on the accruals basis when a legal or constructive obligation arises and when the amount can be measured or estimated reliably. Irrecoverable Value Added Tax is charged to the related heads of expenditure. The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

76

(ii) Expenditure

Support costs, including governance, have been apportioned to each category of expenditure: number of Full Time Equivalent, equipment per headcount, transactions, and buildings per cost centre.

(iv) The Salvation Army Officers’ Pension Fund

The Salvation Army Officers’ Pension Fund was established by The Salvation Army Act 1963 under the legal name, The Salvation Army Officers Pension Fund. It is a registered charity and retirement benefits are not guaranteed and are paid at the discretion of the Board of the Fund. It is non-contributory and has historically been funded by Salvation Army trusts (including The Salvation Army Trust and The Salvation Army Social Work Trust); however, there have been no payments made to the Fund during the current year. Officers that serve in the principal Trusts (The Salvation Army Trust and The Salvation Army Social Work Trust) may receive a retirement allowance from the Fund in the future, although, it is not possible to allocate the assets and constructive liabilities of the Fund between the Trusts. Therefore, the Fund is accounted for in a comparable way as a multi-employer pension fund.

(v) The Salvation Army Employees’ Pension Fund

The Salvation Army Employees’ Pension Fund is a defined benefit pension scheme which was closed to new members on 31 December 2011; accrual ceased on 30 April 2023. The Trust is the lead employer and not the only participating employer in the Fund. However, the Trust is unable to determine its share of the underlying assets and liabilities on a consistent and reasonable basis. This is because contributions paid into the Fund have not been invested separately from those paid by other employers participating in the Fund. As such, as the Lead employer, the full scheme is accounted for in the Trusts accounts. Since 1 January 2012, employees joined The Salvation Army Employees’ Defined Contribution Scheme.

The defined benefit scheme assets are measured at fair value at the balance sheet date. Scheme liabilities are measured on an actuarial basis at the balance sheet date using the projected unit method and discounted at a rate equivalent to the current rate of return on AA rated corporate bond yields. When scheme assets are in excess of scheme liabilities and the assets are not recoverable, in accordance with FRS102 it is not recognised.

(h) Fixed Assets

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

77

components in order to write off the cost of the components to their residual values, over their estimated useful lives, using the straight-line method, as follows

Freehold Land Not depreciated
Property Schemes in Progress Not depreciated
Building—Main Fabric (structure) 50 years
Major Components
Roof structure and covering 50 years
Bathrooms and WCs 20 years
Lifts 25 years
Mechanical and Electrical Systems 25 years
Windows and External Doors 25 years
Kitchens 20 years
Short leasehold properties are depreciated over the term of the lease.

(iv) Depreciation is provided on other tangible fixed assets at the following rates:

Motor Vehicles 4 years Office Equipment 4 years

(vi) Other intangible assets consist of patents and trademarks and are being amortised over their estimated useful life of 5 years.

(i) Investments & Investment Properties

To comply with the Charities SORP, investments are included at fair value (their market value bid price). Realised gains on investments are calculated as the difference between sales proceeds and the market value of those investments at the beginning of the financial year.

The Salvation Army Trust holds some investment properties and are recorded at fair value with changes in the market value reported annually in the statement of financial activities. The fair value of the investment property is determined by members of staff with relevant experience and qualifications. For residential properties, the desktop valuation is based on comparable properties in the local area. The data is collected from property portal sites like Rightmove and Zoopla and supported by data of sold and completed properties from HM Land Registry. A valuation by an independent valuer was not performed.

(j) Financial instrument classification

Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost using the effective interest method.

Financial assets held at amortised cost comprise cash at bank and in hand, together with trade debtors, other debtors, and accrued income. Financial assets held at fair value include investments, including investment properties, excluding cash held as part of the investment portfolio.

Financial liabilities held at amortised cost comprise trade creditors, other creditors, and accruals.

(k) Stocks

(l) Cash and short-term deposits

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

78

Cash include cash in hand, deposits with banks and funds that are readily convertible into cash at, or close to, their carrying values, but not held for investment purposes. Short-term deposits are amounts that have a maturity at date of acquisition of up to 3 months.

(m) Funds

3. MEMBERS’ DONATIONS

This represents Salvationists’ personal giving to support their local corps (church) and the work of The Salvation Army.

4. GRANTS RECEIVABLE

Government Grants Covid-19
Other Government grants
Trusts		 2024
2023
Endowments
Restricted
Unrestricted
Total
Total
£000
£000
£000
£000
£000
-
-
16
16
12
-
1,517
8
1,525
1,507
271
2,308
84
2,663
1,865
271
3,825
108
4,204
3,384

Other Government grants are made up of local authority restricted grants to support corps activities of £825k (2023: £452k) other local council grants of £587k (2023: £844k) and other grants of £113k (2023: £211K) The other local council grants have been paid to the corps during the year.

The grants have been recognised in income and have no contingencies attached to these funds. The breakdown of other local council grants is as follows: £557k relates to local councils supporting pre-school activities; the remaining £30k is split across food bank and warm space support.

5. TRADING INCOME AND EXPENDITURE

Analysis of Trading Income and Expenditure is restated, refer to note 31 Prior year adjustment.

Local corps charity shops and other trading activities
Income
Expenditure		 2024
2023
£000
£000
13,448
12,644
(7,511)
(7,023)
5,937
5,621

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

79

Funds generated by corps are retained by the corps for use in the local area and are regarded as restricted for that geographical region.

Trading Subsidiaries
Income (Note 7)
Expenditure (Note 7)		 103,811
93,659
(103,035)
(88,057)
776
5,602

The above turnover figures are as stated in the Statutory accounts of SAGIC and SATCol. On consolidation the turnover has been reduced by £4,515K (£103,811K compared to SOFA of £99,239K) to eliminate inter-group trading.

6. INVESTMENT INCOME

Dividends receivable
Interest receivable
Rental income from investment properties
Income from connected company
Investment income of subsidiary companies (Note 7)		 2024
2023
£000
£000
1,762
1,464
2,999
1,105
7,211
5,722
410
512
147
71
12,529
8,874

7. NET INCOME FROM TRADING ACTIVITIES OF SUBSIDIARIES

The Salvation Army Trust has two wholly owned trading subsidiaries which are incorporated in the UK. The Salvation Army General Insurance Corporation Limited (SAGIC) transacts insurance business, mainly property insurance. The Salvation Army Trading Company Limited (SATCoL) deals with the collection and recycling of second-hand clothing donated by the general public and is engaged in publishing and the supply of Salvationist materials. Both companies make a qualifying donation of part of their profits to The Salvation Army Trust. Where profits are retained, it is for working capital needs and capital for the long-term development of the business. A summary of the trading results of the subsidiary companies for the year ended 31 March 2024 is shown below. Audited accounts of the companies have been filed with the Registrar of Companies.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

80

Profit and Loss Account
Trading Income
Cost of Trading Activities:
Cost of Sales
Distribution Costs
Operating Costs
Other Income/(Costs) including Taxation
Total cost of Trading Activities
Covid-19 Grant Income
Investment Income
Net Profit
Realised Losses on Investments
Unrealised Gains on Investments
Net Income for the year
Donation to The Salvation Army Trust
Retained in Subsidiary
Assets, liabilities, and funds
Assets
Liabilities
Total Funds		 2024
2023
SAGIC
SATCoL
Total
Total
£000
£000
£000
£000
20,897
82,914
103,811
93,659
(21,083)
(45,821)
(66,904)
(57,929)
-
(3,299)
(3,299)
(3,403)
(380)
(32,590)
(32,970)
(26,896)
239
(101)
138
171
(21,224)
(81,811)
(103,035)
(88,057)
-
147
16
288
16
435
12
247
(180)
1,407
1,227
5,861
(56)
-
(56)
(30)
101
-
101
(26)
(135)
1,407
1,272
5,805
-
(1,266)
(1,266)
(4,788)
(135)
141
6
1,017
2024
2023
SAGIC
SATCoL
Total
Total
£000
£000
£000
£000
19,823
38,191
58,014
54,242
(19,823)
(18,274)
(38,097)
(34,319)
-
19,917
19,917
19,923

The comparative reduction of £4,200K is detailed in prior year adjustment note 31.

8. CHARITABLE ACTIVITIES

Church and Evangelism Programmes
Community Programmes
International Programmes
Training Programmes
Youth and Young People Programmes
Grant to Salvation Army Social Work Trust		 Direct
Costs
Grants
Support
Costs
(Note 9)
2024
Total
£000
£000
£000
£000
51,411
-
13,005
64,416
47,448
-
16,894
64,342
2,115
6,583
208
8,906
5,767
-
1,924
7,691
461
-
2,642
3,103
-
29,652
-
29,652
107,202
36,235
34,673
178,110

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

81

The total cost is net of £4,515 reflecting inter-group trading (SATCol £900K and SAGIC £3,615K). Trading activity has correspondingly been reduced by £4,515K (see note 5).

31 March 2023 Charitable Activities

Analysis of Charitable Activities is restated, refer to note 31 Prior year adjustment.

Church and Evangelism Programmes
Community Programmes
International Programmes
Training Programmes
Youth and Young People Programmes
Grant to Salvation Army Social Work Trust		 Direct
Costs
Grants
Support
Costs
(Note 9)
2023
Total
£000
£000
£000
£000
39,781
-
13,740
53,521
53,737
-
16,444
70,181
2,204
4,783
199
7,186
5,435
-
1,674
7,109
849
-
1,736
2,585
-
22,373
-
22,373
102,006
27,156
33,793
162,955

Church and Evangelism Programmes comprise Christian worship, teaching, and promotion of the Christian message at corps, regional and national events.

Community Programmes are organised by our corps to meet the needs of their local communities. The programmes offered are available to all and include activities for children, young people, families, and older people as well as assistance for those in need.

International Programmes comprise support for the work of The Salvation Army worldwide. This includes grants paid to The Salvation Army International Trust and to overseas Salvation Army territories for projects to alleviate poverty in local communities.

Training Programmes represent the cost of William Booth College which trains people to become Salvation Army officers and provides learning and development opportunities for employees and officers.

Youth and Young People Programmes represent the cost of work within The Salvation Army for young people and adults aged 12-25 and other nationally organised programmes.

Grant to The Salvation Army Social Work Trust comprises grants payable to support the running of Salvation Army Life houses, care homes and other programmes and other costs incurred in supporting social programmes.

Support Costs represent centrally supplied services.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

82

9. SUPPORT COSTS

Fundraising
Church and Evangelism
Programmes
Community Programmes
International Programmes
Training Programmes
Youth and Young People
Programmes
Total
2023		 Finance
HR
IT
Property
Communication
Other
Legal &
Secretarial
2024
Total
2023
Total
£000
£000
£000
£000
£000
£000
£000 £000
£000
89
45
141
72
90
48
19
504
451
2,231
1,440
3,551
1,806
2,306
1,198
473
13,005
13,740
2,903
1,844
4,621
2,350
3,001
1,558
617
16,894
16,444
36
18
58
29
39
20
8
208
200
338
171
538
274
350
181
72
1,924
1,674
465
234
740
376
481
247
98
2,642
1,735
6,062
3,752
9,649
4,907
6,267
3,252
1,287
35,177
34,244
5,064
4,380
6,731
6,476
7,748
3,106
739
-
34,244

An analysis of governance costs included above is set out in Note 10 below.

Fundraising support costs of £504k (2023: £451k) are included within this note but not within the support costs column presented in Note 8, as these costs are not included within Charitable Activities.

The Salvation Army Trust Report and Financial Statements for the year ended 31 March 2024

83

10. GOVERNANCE COSTS

a) Absorbed within support costs were the following governance costs:

External audit
Internal audit
Trustee indemnity insurance
Apportionment of directors’ time
b) Group Auditor’s Remuneration
Audit of Charity
Audit of Subsidiaries
Total Audit
Audit Related Assurance Services
Non-Audit Services
Total Fees*		 2024
£000
155
602
35
173
965
2024
£000
155
63		 2023
£000
119
489
32
125
765
2023
£000
95
35
218 130
21
179		 9
8
418 147

11. PERSONNEL

The average number of officer and employees was:

Trust
Number of Officers
Number of Employees
Subsidiaries
Total
Personnel Costs
Allowances and Salaries
Social Security Costs
Pension Fund Contributions (Current Service)
Retired Officers Allowance Fund Contributions
Service)
Temporary agency staff costs		 2024
2023
Headcount
Number
Headcount
Number
928
832
1,515
1,482
2,443
2,314
1,155
1,012
3,598
3,326
2024
2023
Trust
Subsidiaries
Total
Total
£000
£000
£000
£000
62,618
31,684
94,302
84,466
5,638
3,682
9,320
7,532
5,331
2,131
7,462
15,977
(Past
-
-
-
4,690
73,587
37,497
111,084
112,665
2,778
-
2,778
3,169		 2024
2023
Headcount
Number
Headcount
Number
928
832
1,515
1,482
2,443
2,314
1,155
1,012
3,598
3,326
2024
2023
Trust
Subsidiaries
Total
Total
£000
£000
£000
£000
62,618
31,684
94,302
84,466
5,638
3,682
9,320
7,532
5,331
2,131
7,462
15,977
(Past
-
-
-
4,690
73,587
37,497
111,084
112,665
2,778
-
2,778
3,169
(Past
73,587
37,497
111,084
112,665
2,778
-
2,778
3,169

84

Redundancy Costs

Redundancy costs relating to employees amounted to £300,486 (2023: £263,701). These costs are the result of staff restructuring. Redundancy costs are recognised once a decision to make a post redundant has been communicated to an individual or the workforce.

There are redundancy and termination payment liabilities of £nil for 2024 (2023: £75k)

Higher Paid Employees

The number of employees whose emoluments amounted to over £60,000 in the year was as follows:

£60,001 - £70,000
£70,001 - £80,000
£80,001 - £90,000
£90,001 - £100,000
£100,001 - £110,000
£110,001 - £120,000
£120,001 - £130,000
£130,001 - £140,000
£140,001 - £150,000
£150,001 - £160,000
£170,001 - £180,000
£220,001 - £230,000		 2024
2023
Trust
Subsidiaries
Total
Total
No.
No.
No.
No.
33
6
39
40
15
9
24
16
7
4
11
6
2
4
6
6
3
1
4
4
5
1
6
4
-
2
2
2
-
2
2
1
-
-
-
2
-
-
-
1
-
2
2
1
-
1
1
-
65
32
97
83

Key Management Personnel

The key management personnel of the Trust are those persons having authority and responsibility for planning, directing, and controlling the activities of the Trust, directly or indirectly, including the directors of The Salvation Army Trustee Company as the Corporate Trustee of the Trust. The Trustee considers the key management personnel of the Trust to be the executive directors (officers and employees) of the Board. The total aggregate emoluments, including pension contributions and national insurance contributions, paid to key management personnel during the year was £1,445,473 (£152,730 was paid by Social Work Trust and £1,292,743 was paid by Salvation Army Trust).

12. TRUSTEES

(a) Emoluments:

The directors of The Salvation Army Trustee Company comprise Salvation Army officers and other external directors with specialist expertise. All active Salvation Army officers receive an allowance based on length of service and, as ministers of religion, are provided with furnished accommodation and a motor vehicle. The allowances received by the officers serving as directors ranged from £19,377.96 to £25,471.57 per annum and they did not receive any additional remuneration for their duties as directors.

Salvation Army officers who are members of SATCO have 8 family members who are officers and are paid an allowance in accordance with The Salvation Army Act. The allowances received by these family members ranged from £4,538.84 - £18,531.47 per annum in 2023/24 (2023: £13,221.89 – £18,112.94)

The following members of SATCO and TOB have family members who are employed by The Salvation Army Trust in support roles, and their total remuneration is £177,693.04 (2023: £163,235,82). The amounts paid are in accordance with the normal scale rates for the roles they perform.

Trustee Close Family Position
Commissioner Anthony Cotterill Pioneer Development Worker
Commissioner Paul Main Financial Accountant
Lieut-Colonel Paul Kingscott Secretarial Team Leader

85

Lieut-Colonel Paul Kingscott Divisional Children's Officer • East of England Division
Lieut-Colonel David Shakespeare Tutor in Retirement
MajorJane Cowell Support worker
MajorJudith Hilditch Higher Education Degree CourseLeader
Major Mike Lloyd-Jones Divisional Leader
MajorMikeLloyd-Jones Resource Coordinator
Mitch Menagh Business and Facilities Manager

(b) Expenses

No (2023: none) directors of The Salvation Army Trustee Company were reimbursed for travelling, accommodation or subsistence expenses, amounting to £0 (2023: £0).

13. PENSION AND SIMILAR COSTS

The Salvation Army Trust may make contributions to three pension or similar schemes in respect of its officers or staff:

Amounts charged in respect of pension fund contributions for the year are disclosed in Note 12 above.

(a) SALVATION ARMY OFFICERS PENSION FUND

The Salvation Army Officers Pension Fund (“the Fund”) was established by The Salvation Army Act 1963 under the legal name, The Salvation Army Officers Pension Fund. It is a registered charity and retirement benefits are not guaranteed and are paid at the discretion of the Board of the Fund. It is non-contributory and is funded by Salvation Army trusts (including The Salvation Army Trust and The Salvation Army Social Work Trust); however, there have been no payments made to the Fund during the current year. Officers that serve in the principal Trusts (The Salvation Army Trust and The Salvation Army Social Work Trust) may receive a retirement allowance from the Fund in the future, although, it is not possible to allocate the assets and constructive liabilities of the Fund between the Trusts. Therefore, as both Salvation Army Trust and Social Work Trust may contribute to the Fund, it is, for accounting purposes, disclosed and accounted for in a similar way to a multiemployer pension fund.

The Salvation Army Officers Pension Fund was subject to a triennial actuarial review on 31 March 2022. This actuarial valuation indicated that the Fund was in surplus on the funding basis. As such, no additional contributions are currently required to fund a deficit in the Fund. Following this valuation, it was also agreed that regular contributions into the Fund would cease until the next valuation as at 31 March 2025.

The calculations for the FRS102 disclosures have been carried out by running full actuarial calculations as at 31 March 2024 and the disclosures are shown below.

The Fund is ordinarily funded by means of regular contributions to cover current retirement benefit accrual, with the rate of contributions determined at each triennial valuation. The funding method currently employed is the Attained Age Method which measures the increase in the funding target relating to future benefits expected to accrue to active Officers over the period to retirement or earlier leaving service. Additional contributions are made to cover any shortfalls that arise following each valuation. The Board of the Fund determine the level of contributions payable to it following agreement with the principal trusts of the Army and the advice of the fund actuary

There have been no amendments to the Fund during the year, and no special events have occurred.

86

Obligations for the Salvation Army in respect of the Salvation Army Officers Pension Fund

31/03/2024(£) 31/03/2023(£)
FairValue of FundAssets 258,768,460 268,528,652
Present value of funded obligations (174,685,265) (175,282,771)
Net overfundingin Fund 84,083,195 93,245,881
Unrecognised assets - -
NetDefinedBenefitAsset 84,083,195 93,245,881

The amounts recognised in the Expenditure section of the Statement of Financial Activities are as follows:

31/03/2024(£) 31/03/2023(£)
Service cost 3,705,289 6,878,234
NetInterest onNetDefinedBenefit liability (4,382,556) (625,095)
Expense recognised in expenditure section of
statement of financial activities		 (677,267) 6,253,139
The Net Interest on Net Defined Benefit Liability item is
Interest on obligation
Interest on assets
Net Interest on Net Defined Benefit Liability
Returnonassets (notincludedin interest)		 broken down as follows:
31/03/2024 (£)
31/03/2023(£)
8,029,346
6,839,381
(12,411,902)
(7,464,476)
(4,382,556)
(625,095)
31/03/2024 (£)
31/03/2023(£)
(13,011,008)
(13,024,722)
Actuarial Gains onobligation 3,440,884 87,126,788
TotalAmountrecognizedin Actuarial Gains/(Losses) (9,570,124) 74,102,066
Cumulative amount of Actuarial Gains
recognised		 64,531,942 74,102,066
Actual return on Fund assets
Administration expenses paid from Fund
Other Items		 (599,106)
(5,560,426)
31/03/2024 (£)
31/03/2023(£)
269,829
329,842
269,829
329,842

No contributions to the Fund were paid by the Army over the year from 1 April 2023 to 31 March 2024.

No contributions to the Fund are expected from the Army over the next year from 1 April 2024 to 31 March 2025.

Changes in the present value of the Fund's Defined Benefit liability are as follows:

31/03/2024(£) 31/03/2023(£)
OpeningDefinedBenefitLiability 175,282,771 257,928,853
Service cost 3,705,289 6,878,234
Benefits paid (8,891,257) (9,236,909)
Interest onobligation 8,029,346 6,839,381
Experience losses/(gains) 1,322,368 (6,026,198)
Lossesfromchangesinassumptions (4,763,252) (81,100,590)
ClosingDefinedBenefitLiability 174,685,265 175,282,771

87

The weighted average duration of the liabilities of the Fund was 12 years as at 31 March 2024.

Changes in the fair value of Fund assets are as follows:

Opening fair value of Fund assets
Interest on assets
Return on assets (not included in interest)
Contributions by employer
Benefits paid
Administration expenses		 31/03/2024 (£)
31/03/2023(£)
268,528,652
278,505,420
12,411,902
7,464,476
(13,011,008)
(13,024,722)
0
5,150,229
(8,891,257)
(9,236,909)
(269,829)
(329,842)
258,768,460
268,528,652

The major categories of Fund assets as a percentage of the total are as follows:

31/03/2024 (%) 31/03/2023(%)
Equities 30.5 0.1
Index Linked Bonds 68.0 93.2
Property 0.0 5.9
Cash 1.5 0.8

All of the Fund's assets have a quoted market price in an active market. The Fund does not hold any property or other assets used by the Army

Principal actuarial assumptions used for the FRS 102 disclosures:

31/03/2024 (%) 31/03/2023(%)
Discount rate at end of year 4.9 4.7
Discount rate at start of year 4.7 2.7
Inflation 3.5 3.5
Rate of increase in allowances 4.0 4.0

Mortality Assumptions

The mortality assumptions are based on standard mortality tables which allow for future mortality improvements.

The assumptions are that an officer aged 65 will live on average until age 88 if they are male and until age 89 if female.

For an officer currently aged 55 the assumptions are that if they attain age 65, they will live on average until age 88 if they are male and until age 90 if female.

(b) SALVATION ARMY EMPLOYEES PENSION FUND

The Trust is a participating employer of the Salvation Army Employees' Pension Fund ("the Fund"), a defined benefit scheme.

A valuation of the Fund for the purposes of these disclosures was carried out at 31 March 2024 by an independent actuary. The major assumptions used by the actuary, together with those used in the previous year, were: -

Employee benefit obligations for the Salvation Army in respect of the Salvation Army Employees' Pension Fund

31/03/2024 (£) 31/03/2023(£)
Fair Value of Fund Assets 199,546,616 213,862,544
Present value of funded obligations (148,776,538) (147,530,409)
Net overfunding in Fund 50,770,078 66,332,135
Unrecognised assets (50,770,078) (66,332,135)
Net Defined Benefit Asset - -

88

The amounts recognised in the Expenditure section of the Statement of Financial Activities are as follows:

31/03/2024 (£) 31/03/2023(£)
Service cost 88,945 2,526,218
Net Interest on Net Defined Benefit liability (8,886) (63,704)
Expense recognised in expenditure section of 80,059 2,462,514
statement of financial activities

The Net Interest on Net Defined Benefit Liability item is broken down as follows:

Interest on obligation
Interest on assets
Interest on unrecognised assets
Net Interest on Net Defined Benefit Liability		 31/03/2024 (£)
31/03/2023(£)
6,788,557
5,310,757
(9,915,053)
3,117,610
(5,993,565)
619,104
(8,886)
(63,704)

The amounts recognised as Actuarial Gains/(Losses) of the pension fund are as follows:

Return on assets (not included in interest)
Actuarial Gains on obligation
Change in unrecognised assets (other than interest)
Total Amount recognized in Actuarial Gains/(Losses)
Cumulative amount of Actuarial Gains
recognised
Actual return on Fund assets
Administration expenses paid from Fund
Other Items		 31/03/2024 (£)
31/03/2023(£)
(17,742,684)
(13,118,523)
(464,307)
55,399,289
18,679,667
(42,783,237)
472,676
-502,471
(29,795)
(502,471)
(7,827,631)
(7,124,958)
31/03/2024 (£)
31/03/2023(£)
680,350
657,799
680,350
657,799

The Army and the participating employers contributed £287,733 to the Fund over the year from 1 April 2023 to 31 March 2024. Members of the Fund contributed £90,369 to the Fund over the same period.

No contributions to the Fund are expected from the Army, the other participating employers or from members over the next year from 1 April 2024 to 31 March 2025.

Changes in the present value of the Fund's Defined Benefit Obligation are as follows:

31/03/2024 (£) 31/03/2023(£)
Opening Defined Benefit Obligation 147,530,409 199,392,654
Service cost 88,945 2,526,218
Contributions by members (90,369) (1,095,948)
Benefits paid (6,186,049) (5,395,879)
Interest on obligation 6,788,557 5,310,757
Experience losses 7,761,127 276,633
(Gains) from changes in assumptions (7,296,820) (55,675,922)
Closing Defined Benefit Obligation 148,776,538 147,530,409

89

The weighted average duration of the liabilities of the Fund was 14 years as at 31 March 2024.

Changes in the fair value of Fund assets are as follows:

Opening fair value of Fund assets
Interest on assets
Return on assets (not included in interest)
Contributions by employer
Contributions by members
Benefits paid
Administration expenses
Closing fair value of Fund assets		 31/03/2024 (£)
31/03/2023(£)
213,862,544
222,322,448
9,915,053
5,993,565
(17,742,684)
(13,118,523)
287,733
3,622,784
90,369
1,095,948
(6,186,049)
(5,395,879)
(680,350)
(657,799)
199,546,616
213,862,544

The major categories of Fund assets as a percentage of the total are as follows:

31/03/2024 (%) 31/03/2023(%)
Equities Gilts 46.8 47.8
Index Linked Bonds 43.6 45.1
Cash 2.2 0.8
AVC’s 7.4 6.3

All of the Fund's assets have a quoted market price in an active market. The Fund holds no financial instruments issued by the Employers, nor holds any property or other assets used by the Army.

Principal actuarial assumptions used for the FRS 102 disclosures:

31/03/2024 (%) 31/03/2023(%)
Discount rate at end of year 4.9 4.7
Discount rate at start of year 4.7 2.7
Inflation 3.5 3.5
Rate of increase in pensionable salaries 3.9 4.0
Rate of increase in deferred pensions – pre-2009 3.2 3.2
Rate of increase in deferred pensions – post 2009 2.5 2.5
Rate of increase in pensions in payment – LPI 5% 3.30 3.40
Rate of increase in pensions in payment – LPI 2.5% 2.30 2.30

Mortality Assumptions

The mortality assumptions are based on standard mortality tables which allow for future mortality improvements.

The assumptions are that a member aged 65 will live on average until age 86 if they are male and until age 89 if female.

For a member currently aged 50 the assumptions are that if they attain age 65, they will live on average until age 87 if they are male and until age 90 if female.

90

14. INTANGIBLE FIXED ASSETS

Goodwill
Cost
Balance at 1 April 2023
Additions
Disposals
Balance at 31 March 2024
Accumulated Depreciation
Balance at 1 April 2023
Charge for the year
Eliminated on disposal
Balance at 31 March 2024
Net Book Value at 31 March 2024
Net Book Value at 31 March 2023		 Goodwill
Other
Total
£000
£000
£000
11,275
625
11,900
-
144
144
(10,840)
-
(10,840)
435
769
1,204
11,275
473
11,748
-
148
148
(10,840)
-
(10,840)
435
621
1,056
-
148
148
-
152
152

Intangible fixed assets represent the goodwill arising on acquisition, by the Trust’s subsidiary company SATCoL, of the business operations and net assets of Kettering Textiles Limited. The goodwill is being amortised over 10 years.

Other intangible assets in the Trust’s subsidiary SATCoL are represented by:

2024 2023
£000 £000
Patents and Licences 625 625
Development Costs 144 -
769 625

15. PROPERTIES

Cost
Balance at 1 April 2023
Additions during the year
Transfers to investment
properties
Schemes completed during the
year
Less: Disposals
Balance at 31 March 2024		 Freehold
Long
Leasehold
Short
Leasehold
Total
£000
£000
£000
£000
420,783
40,453
229
461,465
21,992
2,949
-
24,941
(710)
(323)
-
(1,033)
65,884
-
-
65,884
507,949
43,079
229
551,257
(9,511)
(1,345)
-
(10,856)
498,438
41,734
229
540,401		 Property
Schemes
In Progress
£000
66,067
22,766
-
(65,884)
22,949
(12,494)
10,455

91

Accumulated Depreciation
Balance at 1 April 2023
Charge for the year
Less: Disposals
Transfers to investment
properties
Balance at 31 March 2023
Net Book Value at 31 March
2024
Net Book Value at 31 March
2023
(b) Trust
Cost
Balance at 1 April 2023
Additions during the year
Transfers to investment
properties
Schemes completed during the
year
Less: Disposals
Balance at 31 March 2024
Accumulated Depreciation
Balance at 1 April 2023
Charge for the year
Less: Disposals
Transfers to investment
properties
Balance at 31 March 2024
Net Book Value at 31 March
2024
Net Book Value at 31 March
2023		 143,158
12,101
227
155,486
7,410
1,155
-
8,565
(2,672)
(516)
-
(3,188)
(255)
(107)
-
(362)
147,641
12,633
227
160,501
350,797
29,101
2
379,900
277,625
28,352
2
305,979
Freehold
Long
Leasehold
Short
Leasehold
Total
£000
£000
£000
£000
418,926
35,767
229
454,922
18,838
2,949
-
21,787
(710)
(323)
-
(1,033)
65,884
-
-
65,884
502,938
38,393
229
541,560
(9,511)
(1,229)
-
(10,740)
493,427
37,164
229
530,820
142,844
11,346
227
154,417
7,279
850
-
8,129
(2,672)
(493)
-
(3,165)
(255)
(107)
-
(362)		 -
-
-
-
10,455
66,067
Property
Schemes
In Progress
£000
66,067
22,766
(65,884)
22,949
(12,494)
10,455
-
-
-
-
147,196
11,596
227
159,019
346,231
25,568
2
371,801
276,082
24,421
2
300,505		 -
10,455
**66,067 **

Trust properties comprise primarily corps halls, divisional and Territorial Headquarters buildings and residential properties for active and retired officers.

Analysis of Tangible Fixed Asset Properties is restated, refer to note 31 Prior year adjustment.

92

Property Schemes are projects consisting of major repairs, refurbishment work, extensions which have been approved by Board together with an agreed funding package. They are predominantly of a capital nature and typically take over a year to complete. The schemes in progress consist of schemes that the relevant property project manager has confirmed as being incomplete at the financial yearend.

16. MOTOR VEHICLES AND EQUIPMENT

(a) Consolidated

Cost
Balance at 1 April 2023
Additions
Disposals
Balance at 31 March 2024
Accumulated Depreciation
Balance at 1 April 2023
Charge for the year
Disposals
Balance at 31 March 2024
Net Book Value at 31 March 2024
Net Book Value at 31 March 2023
b) Trust
Cost
Balance at 1 April 2023
Additions
Disposals
Balance at 31 March 2024
Accumulated Depreciation
Balance at 1 April 2023
Charge for the year
Disposals
Balance at 31 March 2024
Net Book Value at 31 March 2024
Net Book Value at 31 March 2023		 Motor
Vehicles
Office
Equipment
Total
£000
£000
£000
2,776
37,473
40,249
3,291
11,316
14,607
-
(2)
(2)
6,067
48,787
54,854
509
23,099
23,608
908
3,852
4,760
-
(2)
(2)
1,417
26,949
28,366
4,650
21,838
26,488
2,267
14,375
16,642
Motor
Vehicles
Office
Equipment
Total
£000
£000
£000
942
6,762
7,704
59
5,478
5,537
-
-
-
1,001
12,240
13,241
403
3,150
3,553
156
1,271
1,427
-
-
-
559
4,421
4,980
442
7,819
8,261
539
3,612
4,151

(b) Trust

93

17. FIXED ASSET INVESTMENTS

(a) Consolidated

Market Value as at 1
April 2023 (Restated)
Acquisitions
Gain/(Loss)
Disposals
Market Value at
31 March 2024
Historical Cost at
31 March 2024
(b)
Trust
Market Value as at 1
April 2023 (Restated)
Acquisitions
Gain/(Loss)
Disposals
Market Value at
31 March 2024
Historical Cost at
31 March 2024		 Investment
Properties
Salvation Army
Common Investment
Funds
Fund 1
Fund 2
£000
£000
£000
69,705
5,794
216,430
2,794
-
-
(589)
919
27,684
(860)
-
-		 Investment
Properties
Salvation Army
Common Investment
Funds
Fund 1
Fund 2
£000
£000
£000
69,705
5,794
216,430
2,794
-
-
(589)
919
27,684
(860)
-
-		 Unlisted
Investments
Subsidiaries
Listed
Investments
Total
£000
£000
£000
9,467
1,683
303,079
271
428
3,493
860
101
28,975
-
(667)
(1,527)
71,050
6,713		 244,114 10,598
1,545
334,020
18,953
2,963		 126,700 10,237
3,263
162,116
Investment
Properties
Salvation Army
Common Investment
Funds
Fund 1
Fund 2
£000
£000
£000
69,705
5,794
216,430
2,794
-
-
(589)
919
27,684
(860)
-		 Unlisted
Investments
Subsidiaries
Listed
Investments
Total
£000
£000
£000
9,467
4,967
306,363
271
-
3,065
860
-
28,874
-
-
(860)
71,050
6,713		 244,114 10,598
4,967
337,442
18,953
2,963		 126,700 10,237
4,967
163,820

The Group’s property portfolio is reviewed annually to identify investment properties, which are those properties held to earn income or for capital appreciation rather than to be used for its charitable purposes. Properties no longer used for charitable purposes but retained until market conditions allow their disposal are not treated as investment properties, provided disposal is intended within a three-year window.

After initial recognition, investment property is measured at its fair value. The fair value of the investment property is determined by members of staff with relevant experience and qualifications. For residential properties, the desktop valuation is based on comparable properties in the local area. The data is collected from property portal sites like Rightmove and Zoopla and supported by data of sold and completed properties from HM Land Registry. A valuation by an independent valuer was not performed

Unlisted Investments represent a 20% holding in William Leech (Investments) Limited. It is not considered to be an associated company and is valued in both the Trust and Consolidated Balance Sheets at share of underlying net assets which equates to its fair value.

94

William Leech (Investments) Limited
Other		 2024
2023
£000
£000
10,596
9,465
2
2
10,598
9,467

Subsidiaries are accounted for at cost in the Trust Balance Sheet. The Consolidated Balance Sheet includes the subsidiaries’ own listed investments.

Common Investment Funds

The Salvation Army Common Investment Funds hold a wide range of investments. The principal categories of investment and the relevant percentages held at the year-end were as follows:

Fund 1 Fund 2
Cash 3% 2%
UK Equities 15% 13%
UK Property Funds 0% 0%
Overseas Investments 82% 85%

Prior year Investment Properties are restated, refer to note 31 Prior year adjustment.

18. DEBTORS

Amounts due within one year
Connected Salvation Army Trusts and Companies
Amounts owed by group undertakings
Taxation recoverable
Trade Debtors
Prepayments and accrued income
Other Debtors
Amounts due over one year
Sale of Reliance Bank valued at NPV		 Consolidated
Trust
2024
2023
2024
2023
£000
£000
£000
£000
799
3,096
663
3,096
-
-
8,301
6,018
1,223
1,024
202
603
1,879
846
832
359
80,633
58,313
76,077
54,007
11,940
10,170
2,555
1,190
96,474
73,449
88,630
65,273
2,578
2,892
2,578
2,892
99,052
76,341
91,208
68,165

Included in accrued income above is an amount of £2,578k (2023: £2,892k) which is the deferred consideration due in connection with the sale of shares in Reliance Bank in 2018/19 and which is receivable after more than one year. As the proceeds will be received over an extended period of time, the deferred consideration has been discounted to the net present value, and the reduction in the debtor of £66k (2023: £48K) is the financing cost recognised in the SOFA for the current year.

Analysis of prior year Debtors is restated, refer to note 31 Prior year adjustment.

95

19. CREDITORS: amounts falling due within one year

Amounts due within one year
Bank Loans
Amounts owed to Connected Salvation Army Trusts
Amounts owed to group undertakings
Companies
Accruals and deferred income
Trade Creditors
Other Creditors		 Consolidated
Trust
2024
2023
2024
2023
£000
£000
£000
£000
23
28
23
28
57,740
14,194
57,740
14,194
-
-
-
-
17,615
18,987
6,461
9,506
8,674
5,088
5,392
2,963
653
1,850
284
1,067
84,705
40,147
69,900
27,758

Included in amounts owed to connected Salvation Army Trusts is £35m bank deposit held on behalf of Social Work Trust.

20. CREDITORS: amounts falling due after one year

Bank Loans (secured) Consolidated
Trust
2024
2023
2024
2023
£000
£000
£000
£000
309
389
309
389

There are 6 loans in total placed with Reliance Bank, the length of loans range from 15 years to 25 years, the secured loans to the trust incur interest at 1.5% above the Reliance Bank base rate.

Bank Loans

Repayable by instalments
Within one year
More than one year, less than five years
More than five years
laims Provision
Balance brought forward
Provision utilised
Provision released
Additional provision		 Consolidated
Trust
2024
2023
2024
2023
£000
£000
£000
£000
23
28
23
28
93
107
93
107
217
282
217
282
333
417
333
417
Consolidated
Trust
2024
2023
2024
2023
£000
£000
£000
£000
7,115
9,332
-
-
(5,910)
(8,981)
-
-
742
(197)
-
-
4,665
6,961
-
-
6,612
7,115
-
-

Claims Provision

The above provisions wholly relate to activity from SAGIC, a wholly owned subsidiary of The Salvation Army Trust whose principal activity is transacting property insurance in the United Kingdom. SAGIC also provides home and contents insurance to officers, members and supporters of The Salvation Army as well as to the general public. As part of its insuring activity insurance claims are received and accounted for along claims handling expenses and settled throughout the year.

96

Balance at 1 April 2023
Additions during the year
Released during the year
Balance at 31 March 2024		 Consolidated
2024
£'000
4,754
557
5,311
(49)
5,262		 Parent
2024
£'000
37
-
37
(37)
-

£5.26m deferred income relates to SAGIC provision for unearned premiums.

21. ENDOWMENTS (Consolidated and Trust)

Permanent Endowments
E.S. Brant
Sir James Reckitt Trust
W.J. Davis Trust
Other
Expendable
Endowments
William Leech Fund
Total		 Balance
1 April 2023
Income
Expenditure
Transfers
Gains /
(losses)
Balance
31 March
2024
£000
£000
£000
£000
£000
£000
2,183
-
-
-
443
2,626
841
-
-
-
104
945
1,265
-
-
-
235
1,500
1,464
-
-
-
137
1,601
5,753
-
-
-
919
6,672
9,485
271
-
-
860
10,616
15,238
271
-
-
1,779
17,288

The E.S. Brant Fund was formerly a separate Salvation Army Trust. Its purpose is evangelical work.

The Sir James Reckitt Trust was set up in 1916 for the benefit of the work of The Salvation Army in Hull. By administrative decision, the income is allocated as to 7/8ths for corps purposes and 1/8th for Men’s Social Work.

The W.J. Davis Trust was set up in 1991 to support the work of the Midnight Patrol and the annual income is transferred to the Social Trust to fund this work.

The William Leech Fund was initially set up in 1955 with annual donations thereafter. It is represented by a 20% holding of shares in William Leech (Investments) Limited, with the other shares held equally by four other Christian charities.

Comparative
Permanent Endowments
E.S. Brant
Sir James Reckitt Trust
W.J. Davis Trust
Other
Expendable Endowments
William Leech Fund
Total		 Balance
1 April
2022
Income
Expenditure
Transfers
Gains /
(losses)
Balance
31 March
2023
£000
£000
£000
£000
£000
£000
2,105
-
-
-
78
2,183
822
-
-
-
19
841
1,224
-
-
-
41
1,265
1,440
-
-
-
24
1,464
5,591
-
-
-
162
5,753
10,754
251
-
-
(1,520)
9,485
16,345
251
-
-
(1,358)
15,238

97

22. RESTRICTED PROPERTY FUND (Consolidated and Trust)

Funding of properties for charitable purposes

Consolidated and Trust
Comparative
Consolidated and Trust		 Balance
1 April
2023
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2024
£000
£000
£000
£000
£000
£000
343,786
12,696
(25,411)
21,141
-
352,212
Balance
1 April
2022
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2023
£000
£000
£000
£000
£000
£000
334,450
3,860
(25,641)
31,117
-
343,786

Analysis of Restricted Property Fund restated, refer to note 31 Prior year adjustment.

23. OTHER RESTRICTED FUNDS (Consolidated and Trust)

Corps funds
Legacy reserves
Trust funds
Specific donations
Consolidated and Trust
Comparative
Corps funds
Legacy reserves
Trust funds
Specific donations
Consolidated and Trust		 Balance
1 April
2023
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2024
£000
£000
£000
£000
£000
£000
53,660
44,831
(40,241)
(2,882)
-
55,368
84,466
5,920
(728)
-
-
89,658
2,335
27
(355)
-
471
2,478
14,086
2,929
(5,697)
1,831
-
13,149
154,547
53,707
(47,021)
(1,051)
471
160,653
Balance
1 April
2022
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2023
£000
£000
£000
£000
£000
£000
52,206
44,150
(43,819)
1,123
-
53,660
80,076
11,742
(5,200)
(2,152)
-
84,466
2,430
64
(191)
36
(4)
2,335
15,358
3,436
(4,394)
(314)
-
14,086
150,070
59,392
(53,604)
(1,307)
(4)
154,547

Prior Legacy reserves are restated, refer to note 31 Prior year adjustment.

98

24. UNRESTRICTED FUNDS (Consolidated and Trust)

Designated Funds (i)
General Reserve (ii)
Consolidated		 2024
2023
£000
£000
268,414
236,728
102,218
103,076
370,632
339,804
Property Purposes
Investment Property
Unrealised Gains
Other Investments
Unrealised Gains
Pension Reserve
Divisional Headquarters
Reserves
Other
Designated Funds (i)
General Reserve (ii)
Consolidated		 Balance
1 April
2023
Restated
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2024
£000
£000
£000
£000
£000
£000
58,342
1,517
(1,414)
2,977
-
61,422
70,297
-
-
-
(589)
69,708
81,322
-
-
(1)
27,213
108,534
-
-
-
-
-
-
5,879
228
(225)
206
-
6,088
20,888
102
(2,048)
3,720
-
22,662
236,728
1,847
(3,687)
6,902
26,624
268,414
103,076
258,797
(232,764)
(26,992)
101
102,218
339,804
260,644
(236,451)
(20,090)
26,725
370,632

£21m transfers from unrestricted to restricted relates to property projects. Whist some projects are funded by restricted sources such as legacies, most come from the designated property reserves. With several hundred projects ongoing, the 21m represents a net inflow of funding into projects compared to an outflow (sales projects) during the year.

(i) Designated Funds

The Unrestricted Funds of The Salvation Army include the following designated reserves which have been set aside by the directors for specific purposes. Designated funds are kept under review by SATCO to ensure their purpose remains in the medium term.

99

(ii) General Reserve

This is required to fund the day-to-day needs of The Salvation Army.

Comparative
Designated Funds (i)
General Reserve (ii)
Consolidated
Property Purposes
Investment Property
Unrealised Gains
Other Investments
Unrealised Gains
Pension Reserve
Divisional Headquarters
Reserves
Other
Designated Funds (i)
General Reserve (ii)
Consolidated		 2023
2022
£000
£000
236,728
248,796
103,076
90,643
339,804
339,439
Balance
1 April
2022
Income
Expenditure
Transfers
Gains /
(Losses)
Balance
31 March
2023
£000
£000
£000
£000
£000
£000
69,345
-
(711)
(10,292)
-
58,342
69,089
-
-
539
669
70,297
82,955
-
-
-
(1,633)
81,322
4,647
-
(4,647)
-
-
-
6,564
443
(649)
(479)
-
5,879
16,196
(1,391)
6,083
-
20,888		 2023
2022
£000
£000
236,728
248,796
103,076
90,643
339,804
339,439
248,796
443
(7,398)
(4,149)
(964)
236,728
90,643
223,753
(187,021)
(25,661)
1,362
103,076
339,439
224,196
(194,419)
(29,810)
398
339,804

Prior year General and Designated Funds are restated, refer to note 31 Prior year adjustment.

25. ANALYSIS OF GROUP NET ASSETS BETWEEN FUNDS

Fund Balances at 31 March 2024 are represented by:

Intangible assets
Fixed assets
Investments
Current assets
Current liabilities
Long-term liabilities
Total Net Assets		 Endowment
Funds
Restricted Funds
Unrestricted
Funds
Total
Funds
Property
Other
£000
£000
£000
£000
£000
-
-
-
148
148
-
352,212
-
64,631
416,843
17,288
-
102,346
214,386
334,020
-
-
58,307
183,093
241,400
-
-
-
(84,705)
(84,705)
-
-
-
(6,921)
(6,921)
17,288
352,212
160,653
370,632
900,785

100

Fund Balances at 31 March 2023 are represented by:

Intangible assets
Fixed assets
Investments
Current assets
Current liabilities
Long-term liabilities
Total Net Assets		 Endowment
Funds
Restricted Funds
Unrestricted
Funds
Total
Funds
Property
Other
£000
£000
£000
£000
£000
-
-
-
152
152
-
343,786
-
31,899
375,685
15,238
-
99,628
188,213
303,079
-
-
54,919
167,191
222,110
-
-
-
(40,147)
(40,147)
-
-
-
(7,504)
(7,504)
15,238
343,786
154,547
339,804
853,375

26. CAPITAL COMMITMENTS

The directors are continuing the process of refurbishing and developing Salvation Army properties. At the Balance Sheet date capital commitments both contracted for, and board approved not yet contracted for entered by The Salvation Army Trust in respect of property capital schemes amounted to £7.3m (2023: £38.6m).

27. OPERATING LEASE COMMITMENTS

As at 31 March 2024 the total commitments under non-cancellable operating leases on vehicles, equipment, land, and buildings, are as follows:

Expiring within 1 year
Expiring between 2 and 5 years
Expiring in over 5 years		 2024
2023
Land and
Buildings
Vehicles and
Equipment
Land and
Buildings
Vehicles and
Equipment
£000
£000
£000
£000
6,776
274
6,722
335
12,455
4,794
13,136
2,901
5,401
-
5,457
-
24,632
5,068
25,315
3,236

Lease payments of £9,917k (2023: £9,816k) were charged to the Consolidated Statement of Financial Activities during the year.

28. OPERATING LEASE- CONTRACTED INCOME

As at 31 March 2024 the total contracted income under non-cancellable operating leases are as follows:

Expiring within 1 year
Expiring between 2 and 5 years
Expiring in over 5 years		 2024 2023
£000
£000
496
553
394
850
13
53
903
1,456

29. RELATED PARTY TRANSACTIONS

The Salvation Army Social Work Trust (registration number 215174) is a linked charity of the Salvation Army Trust, both trusts together representing the work of The Salvation Army across the UK.

The Salvation Army Trust supports the work of other connected Salvation Army trusts through the payment of grants and these are set out in Note 7. Grants of £2.4 million were paid to The Salvation Army International Trust and

101

overseas Salvation Army territories (2023: £0.8 million) and a grant of £29.7 million was paid to The Salvation Army Social Work Trust (2023: £22.4 million).There was no balance of grants payable/receivable between the Trusts at the year-end (2023:£0)

An overhead recharge of £10.8m (2023: £10.2m) was charged to The Salvation Army Social Work Trust during the year, representing that Trust’s share of central overhead costs, specific to The Salvation Army Social Work Trust which were incurred by The Salvation Army Trust. The full amount of the overhead recharge of, £10.8m was outstanding at year end. In addition, recharges of £105k (2023: £85k) were charged to The Salvation Army Social Work Trust for hire of rooms at corps premises. Included in amounts owed to connected Salvation Army Trusts in Note 19 is £35m bank deposit held on behalf of Social Work Trust.

The Salvation Army General Insurance Corporation Ltd (registered no 101071) provided insurance to the value of £3.6m (2023: £3.4m)

The Salvation Army Trading Company Ltd (registered no 02605817) exits as the trading arm of the Salvation Army Trust. It is 100% owned subsidiary. Its primary purpose is to undertake retail sales of second-hand goods i.e., the reuse and recycling of donated clothing and other household items through 240 charity shops and donation centres nationwide. It also supports the SP&S Division which accommodates two areas in turn - SP&S Services and SP&S Music. These work-streams focus on supplying The Salvation Army in the UK and internationally, as well as market-leading publications, recordings, and streaming services. During the year, The Salvation Army Trust received £1.3m in Gift Aid (2023: £4.8m), other receipts included £390k relating to donations and other income. The Salvation Army Trusts made £1.4m (2023: £1.1m) relating to a suite of payments including a management charge. SAT purchased literature (periodicals) £702k (2023: £597k) and Uniforms £126k (2023: £128k) of which £345k was outstanding at year end. Included in amounts owed by group undertakings in Note 18 is £8.3m due from SATCoL at year end.

The Salvation Army International Trust (registration number 1000566) exists to further the work of The Salvation Army and of its International Headquarters (IHQ). The operation of IHQ is therefore an integral part of the work of the Trust. IHQ is responsible for coordinating the international work and overseeing strategy. The Salvation Army is, for administrative purposes, divided into autonomous territories (generally by region or country). Each territory is governed, through local registration(s), in accordance with the applicable local laws, and the Trust works with and through these separate legal entities. However, The Salvation Army remains under the oversight, direction, and control of the General of The Salvation Army, as set out in greater detail in The Salvation Army Act 1980. The work of The Salvation Army in the United Kingdom and the Republic of Ireland is directed by the United Kingdom and Ireland Territory, with resources provided through trusts administered by The Salvation Army Trustee Company. The two principal trusts of this territory are The Salvation Army Trust and The Salvation Army Social Work Trust.

The Salvation Army Trust uses the banking services of Reliance Bank Limited, which is a subsidiary of The Salvation Army International Trust. At the year-end, The Salvation Army Trust held balances of £95.0 million with Reliance Bank (2023: £99.5 million). Interest was earned on deposit balances on a normal commercial basis. Included in accrued income (Note 18) is an amount of £2,578k (2023: £2,892k) which is the deferred consideration due in connection with the sale of shares in Reliance Bank in 2018/19 and which is receivable after more than one year.

Trustee Expenses - £nil for both 2023 and 2024. (see note 10)

Details of the remuneration and expenses paid to the Key Management Personnel and their close families are included in note 11.

102

30. RECONCILIATION OF NET MOVEMENT OF FUNDS TO NET CASH INFLOW FROM OPERATING ACTIVITIES

Net Movement in Funds
(Gains)/Losses on Investments
Depreciation: Properties
Property schemes in progress write-off
Depreciation: Motor Vehicles and Equipment
Amortisation of Goodwill
Gain on Disposal of Properties
Investment Income
Decrease in Stocks
(Increase)/Decrease in Debtors
Increase/(Decrease) in Creditors
Increase/(Decrease) in Provisions
Net Cash Inflow from Operating Activities
**31. PRIOR YEAR ADJUSTMENT **		 2024
2023
£000
£000
47,410
13,071
(28,975)
964
8,565
8,665
12,494
8,333
4,760
2,952
148
160
(18,338)
(12,681)
(12,529)
(8,873)
111
196
(22,711)
8,817
44,478
1,333
419
2,217
(12,416)
7,649
34,994
20,720
Reconciliation of funds
Funds as previously stated
Revaluation of Investment Properties (a)
Add back depreciation (a)
Legacies accruals (b)
Property schemes in progress (c)
Reconciliation of 2023 SOFA
2023 as previously stated
(Loss) on revaluation (a)
Legacy accruals (b)
Property schemes in progress (c)
2023 total as restated		 01-Apr-22 31-Mar-23
£000
775,676
43,561
324
20,743
-
840,304		 £000
785,804
43,075
324
27,294
(3,122)
853,375
10,128
(486)
6,551
(3,122)
13,071

The 2023 results have been restated as follows adjustments: -

103

2023, resulting in an increase of £43.6m. The final restated value of investment properties at the opening position for 2023 is now £68.6m, an increase of £53.7m from the opening balance position previously reported. These changes are reflected in notes 8, 15, 17 and 22.

i. Event income Grossed up £1,236k ii. Rental portfolio income grossed up £5,319k iii. Transfer to Investment Property (£1,847)k (f) below

The income was grossed up on the face of the SOFA and costs increased by £4,708K in Note 8 with no overall change in the reported result.

104

32. COMPARATIVE STATEMENT OF FINANCIAL ACTIVITY

As required by FRS 102 the SOFA set out below is the full analysis for the 2023 comparative.

INCOME AND
ENDOWMENTS FROM
Donations, Legacies and
Grants
Legacies
Donations—Public
Donations—Members
Grants
Trading Activities
Investments
Other
Gain on disposal of
property
Other income
Total Income
EXPENDITURE
Raising Funds
Costs of raising donations,
legacies, and grants
Costs of trading
activities
Charitable Activities
Church and Evangelism
Programmes
Community
Programmes
International
Programmes
Training Programmes
Youth and Young
People Programmes
Grant to the Salvation
Army Social Work
Trust
Financing Costs
-
Total Expenditure
Gains/(Losses) on
Investments
Net Income/(Expenditure)		 Endowment
Restricted
Unrestricted
2023
£000
£000
£000
£000
-
11,742
57,562
69,304
-
11,383
60,179
71,562
-
17,586
142
17,728
251
3,047
86
3,384
-
12,644
89,074
101,718
-
1,121
7,753
8,874
-
3,281
9,400
12,681
-
2,448
-
2,448
251
63,252
224,196
287,699
-
53
15,528
15,581
-
7,023
88,057
95,080
-
7,076
103,585
110,661
-
27,351
26,171
53,522
-
40,732
29,448
70,180
-
4,067
3,119
7,186
-
19
7,090
7,109
-
-
2,585
2,585
-
-
22,373
22,373
-
72,169
90,786
162,955
-
-
48
48
-
-
48
48
-
79,245
194,419
273,664
(1,358)
(4)
398
(964)
(1,107)
(15,997)
30,175
13,071

105

Transfer between funds
NET MOVEMENT IN FUNDS
Fund balances brought
forward
Fund balances carried forward
at
31 March 2023		 -
29,810
(29,810)
-
(1,107)
13,813
365
13,071

16,345
484,520
339,439
840,304
15,238
498,333
339,804
853,375

106