P and C Hickinbotham Charitable Trust
Trustees’ Report and Financial Statements for the year ended 5 April 2024
Registered Charity number 216432
Karen Hanlan Independent Examiner Limited
P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
| Index | |
|---|---|
| Page | |
| Report of the trustees | 3-6 |
| Statement of Trustees responsibilities | 7 |
| Report of the Independent Examiner | 8 |
| Statement of financial activities | 9 |
| Balance sheet | 10 |
| Notes to the financial statements | 11-19 |
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Report of the trustees
The trustees of the P & C Hickinbotham Charitable Trust (“the Trust”) have pleasure in presenting their report and financial statements for the year ended 5 April 2024. The financial statements comply with the Charities Act 2011, the Trust Deed, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (updated 1 January 2019).
OBJECTIVES AND ACTIVITIES
The objects of the Trust are to support charitable organisations through grants and donations.
It supports a wide range of projects - disability, social depravation, homelessness, substance and alcohol abuse, prisoner education and rehabilitation, asylum and immigration issues, rehabilitation of prostitutes, the arts, cultural projects, historical projects, youth, community development, environmental and more. The Trust is unable to support individuals or any group that does not have charitable status.
Grant making policy
Preference is given to applications from groups working in Leicestershire and Rutland along with a small number of applications from North Wales and Northern Ireland although Trustees will look at applications from outside these areas for Quaker applications or special applications. Grants tend to range from £500 to £2,000 although there is no upper set limit for very special applications.
The Trust does not normally support applications for every day running expenses and prefers to support specific projects such as the purchase of specialist equipment, contributions towards the purchase of new premises or the renovation of a building, contributions towards the startup costs of a new post and other one off costs. It does not make regular repeat grants & in general does not support the larger, high profile national charities unless they have a project specific to our area of interest.
The Trustees confirm they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities. When making charitable donations the trustees seek to support organisations whose objectives are in line with the public benefit.
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Report of the trustees (continued)
ACHIEVEMENTS AND PERFORMANCE
A list of the main organisations which have received charitable donations from the Trust can be found in note 2. 2022-2024 has been a difficult period for the P & C Hickinbotham CharitableTrust for a number of reasons. Applications have increased by an enormous amount and we can no longer continue to log and discuss every application we receive. At the same time our part time clerical assistant lost her husband and sadly decided she could no longer continue with the work. We have not been able to find a replacement for her. None of the trustees are in a position to step in to help at the present time.
As the administrator for the trust I have become overwhelmed by the workload and in January 2025 I plan to talk to organisations who could look at our system, help modernise them and manage the workload whilst enabling us to retain the style we have developed over the years. I have had two organisations recommended to me.
FINANCIAL REVIEW
The Trust fund generated income of £118,725 (2023: £90,634) and made donations to charitable institutions totalling £1,300 (2023: £650) in the year. After support and governance costs the Trust had net income of £81,607 (2023: £57,720), before gains on the investment portfolio.
The value of the investment portfolio has increased to £5,513,746 (2023: £5,117,956) during the year. Since the year end the value of the portfolio, including cash for reinvestment, has increased slightly to £5,586,995 as at 6 January 2025.
The investment property was renovated in 2019/20 following which an updated valuation of £275,000 was given by a qualified property surveyor. The market value of the property was uplifted accordingly and remains the same.
Investment policy
There are no restrictions on the Trust’s power to invest. The funds are invested in low and medium risk investments in order to provide a steady stream of income, whilst maintaining the real value of the expendable endowment fund. The performance of investments is reviewed periodically with the investment manager.
Reserves policy and risks
It is the intention of the trustees that the income generated from the investment portfolio shall be distributed for charitable purposes. The objective is to hold a balance of unrestricted income of around £50,000 which the Trustees consider is a level which will provide sufficient funds to
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Report of the trustees (continued)
respond to applications for donations and ensure there are sufficient funds available to cover support and governance costs for a period of approximately 12 months. The un-restricted fund at 5 April 2024 was £347,298 which is above the target set by the Trustees following receipt of a £100,000 legacy in 2022. Trustees will seek to reduce this over the next few years by ensuring charitable expenditure exceeds income until funds are more in line with policy.
Funds are held in an expendable endowment fund representing the investments held for the purpose of generating future investment income and to support the continuity of the Trust.
Amounts included within these funds have been generated through voluntary income (donations, bequest income) and net gains and losses on investments over the history of the Trust. The trustees have power at their discretion to distribute the expendable endowment.
FUTURE PLANS
The Trust, through careful management of its investments and resources, continues to generate investment income allowing it to carry on supporting charitable organisations into the future.
With the level of donations paid being at the discretion of the trustees, they are confident that they retain the ability to appropriately manage the distribution of their resources and safeguard the longevity of the Trust.
STRUCTURE, GOVERNANCE AND MANAGEMENT
The P and C Hickinbotham Charitable Trust is a registered charity (number 216432) and is constituted under a Deed of Settlement dated 5 May 1947.
The Trust was founded through a donation in 1947 from Mr Paul S Cadbury. Over subsequent years further sums have been added to the Trust in order for it to carry on its work in supporting charitable organisations. The Trust does not actively fundraise and seeks to continue its charitable operations through careful stewardship of its existing resources.
The provisions of the Trust Deed require the Trustees to pay or apply the income of the fund and such parts of the capital thereof (which the Trustees shall raise by the sale of the requisite part of the fund) to or for such charitable purposes as the Trustees shall approve.
The accumulated fund is categorised as between an expendable endowment fund, which may at the determination of the trustees become unrestricted income, and an unrestricted income fund representing income received but not yet paid out for charitable purposes.
The purpose of the expendable endowment fund is to provide a relatively secure and predictable stream of income to fund charitable expenditure.
The Trust is managed by its Trustees who communicate at least once per quarter to consider applications for grants and donations. Trustees, typically family members, are invited to join the Trust given they have the necessary skills required.
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Report of the trustees (continued)
REFERENCE AND ADMINISTRATIVE INFORMATION
Trustees: Roger Paul Hickinbotham Rachel Elizabeth Hickinbotham Anna Claire Steiger Charlotte Mary Palmer Frances Kate Hickinbotham Alice Amelia Hickinbotham
Charity name: P & C Hickinbotham Charitable Trust
Charity Number: 216432
Registered Address:
9 Windmill Way Lyddington Oakham LE15 9LY
Independent Examiner: Karen Hanlan, ACA, ACIE Karen Hanlan Independent Examiner Limited 1 Saracen Close Ettington CV37 7SZ
Bankers: Barclays Bank plc Haymarket Towers 1-3 Humberstone Gate Leicester LE1 1WL
Investment managers: JM Finn & Co 25 Copthall Avenue London EC2R 7AH Approved by the trustees and signed on their behalf by:
RP Hickinbotham Trustee
Date: 8 January 2025
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Statement of trustees’ responsibilities
Under charity law, the trustees are responsible for preparing the Trustees’ Annual Report and financial statements for each financial year which give a true and fair view of the state of the affairs of the charity and of the surplus or deficit incurred by the charity for that year. In preparing those financial statements the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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make judgments and estimates that are reasonable and prudent;
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state whether the recommendations of the Statement of Recommended Practice have been followed, subject to any material departures disclosed and explained in the financial statements;
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state whether the financial statements comply with the trust deed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue its activities.
The trustees are required to act in accordance with the trust deed of the charity, within the framework of trust law. They are responsible for keeping proper accounting records, sufficient to disclose, with reasonable accuracy, at any time, the financial position of the charity and to enable them to ensure that, where any statements of accounts are prepared by them under section 130 of the Charities Act 2011, those statements of accounts comply with the requirements of regulations under that provision. They have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the charity and to prevent and detect fraud and other irregularities.
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Independent Examiner’s Report to the Trustees of the P and C Hickinbotham Charitable Trust
I report to the trustees on my examination of the accounts of the P and C Hickinbotham Charitable Trust (‘the Trust’) for the year ended 5 April 2024 which are set out on pages 9 to 19.
Responsibilities and basis of report
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (the Act).
I report in respect of my examination of the Trust’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the Trust as required by section 130 of the Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Karen Hanlan, ACA
Date: 8 January 2025
Karen Hanlan Independent Examiner Limited
1 Saracen Close, Ettington, CV37 7SZ
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Statement of financial activities
| tatement of financial activities | |
|---|---|
| Notes Income: Investment income 1 Other income – returned grant Total income Expenditure: Costs of raising funds: Investment management costs Investment property costs Charitable activities: Grants payable 2 Support & governance costs 3 Total expenditure Net income before gains/(losses) on investments Net gains/(losses) on investments 6 Net income/(expenditure) and net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 9 |
Un- restricted funds 2024 Expendable Endowment fund 2024 Total funds 2024 Total funds 2023 £ £ £ £ 105,342 - 105,342 90,634 13,383 - 13,383 - |
| 118,725 - 118,725 90,634 |
|
| - 27,268 27,268 26,993 5,674 - 5,674 2,848 1,300 - 1,300 150 2,876 - 2,876 2,923 |
|
| 9,850 27,268 37,118 32,914 |
|
| 108,875 (27,268) 81,607 57,720 - 413,030 413,030 (321,873) |
|
| 108,875 385,762 494,637 (264,153) 238,423 5,431,210 5,669,633 5,933,786 |
|
| 347,298 5,816,972 6,164,270 5,669,633 |
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
| Balance sheet Notes Fixed Assets Tangible assets 5 Investments: Listed investments 6 Cash held for re-investment Investment property 7 Current Assets Cash held by investment managers Cash at bank and in hand Current Liabilities Creditors: amounts falling due within one year 8 Net current assets Total net assets Funds of the charity 9 Un-restricted income fund Expendable endowment Total Charity Funds |
2024 £ - 5,513,746 78,036 275,000 |
2023 £ 675 5,117,956 87,682 275,000 |
|---|---|---|
| 5,866,782 | 5,481,313 | |
14,605 284,383 |
12,987 176,833 |
|
| 298,988 | 189,820 | |
| (1,500) | (1,500) | |
| 297,488 | 188,320 | |
| 6,164,270 | 5,669,633 | |
| 347,298 5,816,972 |
238,423 5,431,210 |
|
| 6,164,270 | 5,669,633 |
The accompanying accounting policies and notes form part of these financial statements.
Approved by the Trustees and signed on their behalf by:
RP Hickinbotham, Trustee
Date: 8 January 2025
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Principal accounting policies
Basis of preparation
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) updated 1 January 2019) - (Charities SORP (FRS102)) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).
The P & C Hickinbotham Trust meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historic cost or transaction value unless otherwise stated in the relevant accounting policy note.
Going Concern statement
The financial statements have been prepared on a going concern basis which assumes that the Trust will continue to operate. The validity of this assumption is dependent upon investment returns being adequate to cover the costs of grants made. However, it is the aim of the Trust to only make grants where income or capital is sufficient. Based on this understanding the trustees believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments, which would result from the basis of preparation being inappropriate.
Investment income
Investment income is accounted for in the period in which the charity is entitled to receipt.
Expenditure
Expenditure is included on an accruals basis.
Costs of raising funds comprise those costs directly attributable to managing the investment portfolio and raising investment income.
Grants payable are charged in the year when the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled.
Support and governance costs comprise costs for the running of the charity itself as an organisation.
Tangible fixed assets
Capital items costing over £450 are capitalised and included in fixed assets. Deprecation is provided to write the cost of the asset off over its estimated useful economic life by equal annual instalments as follows:
- IT equipment – 4 years
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Fixed asset investments
Fixed asset investments comprise investment properties and listed investments and are included at market value. Listed investments are included at closing mid-market value at the balance sheet date. Any gain or loss on revaluation is taken to the Statement of Financial Activities.
Investment property comprises freehold property that is used to generate rentals and for capital appreciation. It is not depreciated but held at market value, with any gains or losses arising being recognised in the statement of financial activities.
Irrecoverable VAT
Irrecoverable VAT is allocated to the expense heading to which it relates in accordance with standard accounting practice.
Cash and cash equivalents
Cash and cash equivalents include cash at bank and in hand and short term deposits repayable on or within a three month notice period. Cash held by Investment managers for reinvestment is treated as a fixed asset investment.
Funds
All funds of the charity are un-restricted funds available for distribution at the discretion of Trustees.
The Expendable Endowment fund has been set aside and is invested for the long term to provide income for distribution to Charitable organisations. However, the fund is available for distribution at the discretion of Trustees.
Notes to the financial statements
1. Investment income
| Dividends on listed investments Interest on fixed interest securities Rent receivable Bank interest receivable |
2024 2023 £ £ 79,517 72,410 6,278 4,496 13,200 10,640 6,347 3,088 |
|---|---|
| 105,342 90,634 |
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Notes to the financial statements (continued)
2. Grants payable
| Grants payable | |
|---|---|
| Grants were payable to the following institutions in the year: Other donations less than £1,500 each Total Grants were payable to the following institutions in the year: Other donations less than £1,500 each Total |
2024 £ 1,300 |
| 1,300 | |
| 2023 £ 150 |
|
| 150 |
3. Support & governance costs
| Support costs: - Postage, printing and stationary - IT costs - Depreciation Governance costs - Independent Examiners' fee (including accountancy fees of £520) |
2024 2023 £ £ - 302 701 446 675 675 1,500 1,500 |
|---|---|
| 2,876 2,923 |
4. Trustees remuneration and expenses
The Trustees received no remuneration for their services during the year and no expenses were reimbursed (2023: £nil).
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Notes to the financial statements (continued)
5. Tangible fixed assets
| Cost At beginning of year Additions Disposals At end of year Depreciation At beginning of year Disposals Charge for year At end of year Net Book Value At 5 April 2024 At 5 April 2023 |
Computer equipment £ 2,700 - - |
|---|---|
| 2,700 2,025 - 675 |
|
| 2,700 - |
|
| 675 |
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Notes to the financial statements (continued)
6. Fixed asset Investments
| Fixed asset Investments | |||
|---|---|---|---|
| Listed Investments Market value at beginning of year Acquisitions at cost Sales proceeds from disposals Net gains/(losses) in year Market value at end of year Historic cost at end of year Listed Investments comprise: Fixed interest securities - UK Equity shares/funds - UK - Offshore Alternative Investments Investments in individual entities over 5% of portfolio value: Egerton Capital Equity Fund A Rep Acc Nav Invesco Markets III PLC EQQQ NASDAQ Wisdomtree Metal Securities ETFS Physical Gold UK Government Treasury Stock 1.25% 2027 |
2024 £ 5,117,956 382,178 (399,418) 413,030 |
2023 £ 5,299,595 655,100 (514,866) (321,873) |
|
| 5,513,746 | 5,117,956 | ||
| 3,687,648 | 3,666,528 | ||
| £ 771,744 1,616,656 2,925,767 199,579 |
£ 649,425 1,637,334 2,624,330 206,867 |
||
| 5,513,746 | 5,117,956 | ||
| 2024 £ - 287,275 331,134 326,179 |
2023 £ 281,265 - 292,840 320,786 |
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Notes to the financial statements (continued)
7. Investment property
| 2024 | 2023 | |
|---|---|---|
| Freehold property | £ | £ |
| Market value | ||
| At beginning and end of year | 275,000 | 275,000 |
28 Laureston Drive, Stoneygate, Leicester was bequeathed during 2007/8 from the estate of Paul Frederick John Hickinbotham deceased at a probate valuation of £175,000 at 25 January 2007. The property was renovated in March 2020 and valued, on an informal basis, by a qualified surveyor at a market value of £275,000, subject to Assured Shorthold Tenancy. The Trustees are confident that the valuation is in line with current market value.
8. Creditors: Amounts falling due within one year
| Accruals | 2024 2023 £ £ 1,500 1,500 |
|---|---|
| 1,500 1,500 |
9. Un-restricted funds
| 2024 Balance at beginning of year Income Expenditure Realised/unrealised investment gains Balance at end of year |
Un- restricted Income Expendable endowment Total £ £ £ 238,423 5,431,210 5,669,633 118,725 - 118,725 (9,850) (27,268) (37,118) - 413,030 413,030 |
|---|---|
| 347,298 5,816,972 6,164,270 |
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P & C Hickinbotham Charitable Trust Financial Statements
for the year ended 5 April 2024
Notes to the financial statements (continued)
| 2023 Balance at beginning of year Income Expenditure Realised/unrealised investment gains Balance at end of year |
Un- restricted Income Expendable endowment Total £ £ £ 153,710 5,780,076 5,933,786 90,634 - 90,634 (5,921) (26,993) (32,914) - (321,873) (321,873) |
|---|---|
| 238,423 5,431,210 5,669,633 |
10. Analysis of net assets between funds
Fund balances at 5 April 2024 are represented by:
| Tangible Fixed Assets Investment Assets Current assets Liabilities Total |
Income fund Expendable endowment Total Funds £ £ £ - - - 49,810 5,816,972 5,866,782 298,988 - 298,988 (1,500) - (1,500) |
|---|---|
| 347,298 5,816,972 6,164,270 |
Fund balances at 5 April 2023 are represented by:
| Tangible Fixed Assets Investment Assets Current assets Liabilities Total |
Income fund Expendable endowment Total Funds £ £ £ 675 - 675 49,428 5,431,210 5,480,638 189,820 - 189,820 (1,500) - (1,500) |
|---|---|
| 238,423 5,431,210 5,669,633 |
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Notes to the financial statements (continued)
11. Controlling Interests
The charity is controlled by the trustees.
12. Related party transactions
There have been no transactions with related parties in the year (2023: None)
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P & C Hickinbotham Charitable Trust Financial Statements for the year ended 5 April 2024
Notes to the financial statements (continued)
13. Prior Year Comparative Statement of Financial Activities for 2023
| Income: Investment income Total income Expenditure: Costs of raising funds: Investment management costs Investment property costs Charitable activities: Grants payable Support & governance costs Total expenditure Net income/(expenditure) before gains on investments Net losses on investments Net income/(expenditure) and net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward |
Un- restricted funds 2023 Expendable Endowment fund 2023 Total funds 2023 £ £ £ 90,634 - 90,634 |
|---|---|
| 90,634 - 90,634 |
|
| - 26,993 26,993 2,848 - 2,848 150 - 150 2,923 - 2,923 |
|
| 5,921 26,993 32,914 |
|
| 84,713 (26,993) 57,720 - (321,873) (321,873) |
|
| 84,713 (348,866) (264,153) 153,710 5,780,076 5,933,786 |
|
| 238,423 5,431,210 5,669,633 |
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