**Charity Registration No. 219102** ## **BMA CHARITIES TRUST FUND** **ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023** ## **BMA CHARITIES TRUST FUND** ## **LEGAL AND ADMINISTRATIVE INFORMATION** |**Trustees**|Dr R Wijesuriya (Chair)|| |---|---|---| ||Dr R Barnett|(Appointed 14 November 2023)| ||Dr S Hull|| ||Ms N Major|| ||Dr K Mehta|| ||Dr L Patel|| ||Dr T Pickersgill|| ||Dr M J Platt|| ||Dr G Ralston|| ||Mr K Ward (Vice Chair)|| |**Director**|Ms M Flint|| |**Charity number**|219102|| |**Principal address**|BMA House|| ||Tavistock Square|| ||London|| ||WC1H 9JP|| |**Auditor**|Begbies|| ||9 Bonhill Street|| ||London|| ||EC2A 4DJ|| |**Bankers**|CAF Bank|| ||25 Kings Hill Avenue|| ||Kings Hill|| ||West Malling|| ||ME19 4TA|| |**Solicitors**|Wilsons|| ||Alexandra House|| ||St Johns Street|| ||Salisbury|| ||SP1 2SB|| |**Investment advisors**|Sarasin & Partners LLP|| ||Juxon House|| ||100 St Paul's Churchyard|| ||London|| ||EC4M 8BU|| ## **BMA CHARITIES TRUST FUND** ## **CONTENTS** ||**Page**| |---|---| |Trustees' report|1 - 5| |Statement of trustees' responsibilities|6| |Independent auditor's report|7 - 9| |Statement of financial activities|10 - 11| |Balance sheet|12| |Notes to the financial statements|13 - 28| ## **BMA CHARITIES TRUST FUND** ## **TRUSTEES' REPORT** ## _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **Registered Charity No. 219102** The Trustees have pleasure in presenting their Annual Report, together with audited Financial Statements for the year ended 31 December 2023. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's trust deed, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019). ## **STRUCTURE, GOVERNANCE AND MANAGEMENT** The BMA Charities Trust Fund was established by a Trust Deed in 1925. It is an unincorporated charity registered with the Charity Commission for England and Wales. The Fund is managed by a board of ten Trustees. Four of these are appointed ex officio: the Chair of the British Medical Association (“BMA”) Representative Body, Dr L Patel, the BMA Treasurer, Dr T Pickersgill, the Chairman of the Dain Fund (an autonomous charity), Dr G Ralston, and the Secretary/Chief Executive of the BMA, Ms N Major. Four other Trustees are nominated by the BMA’s membership at the Annual Representative Meeting (“ARM”) to serve a term of four years and appointed by the board, and two trustees have been co-opted to serve for two years so that the board has the wide range of skills necessary to enable it to carry out its duties effectively. A skills audit is undertaken every couple of years in order to monitor this. In 2009 the charities formerly known as the Hastings Benevolent Fund (no. 219103) and the BMA Medical Education Trust Fund (no. 1044720) were formally merged into the BMA Charities Trust Fund under a Charity Commission uniting direction. The assets, income and expenditure of each remain distinct, as do the objects of each of the Funds. The members of the Board of Trustees between 1 January 2023 and 31 December 2023 were as follows:- Dr A Mowat (retired November 2023), Dr L Patel, Dr T Pickersgill, Dr K Mehta, Dr M J Platt, Dr R Wijesuriya, Dr G Ralston, Ms N Major, Dr S Hull, Mr K Ward and Dr R Barnett (appointed November 2023). When appointed, Trustees are sent guidelines on the duties of Trustees, copies of the governing documents and a copy of the governance framework and code of conduct. New Trustees have a personal induction with the Chair and the Director. Trustees are given the opportunity to attend relevant training sessions through the year online and in person, when permitted. Most of the Trustees are medically trained and therefore well equipped to sit on the board of a medical benevolent fund. Several have previous experience of being a Trustee and/or business experience. The current composition of the Board of Trustees reflects a diversity of gender, age and medical specialty which ensures a good skills mix and works to the advantage of potential beneficiaries. All Trustees give their time voluntarily and receive no benefit from the Charity. Reasonable expenses for attending meetings are reimbursed. The Trustees meet at least four times a year to award grants, deal with administrative matters and set policy. The awarding of some grants to refugee and asylum-seeking doctors is delegated to the Director. In the autumn Trustees meeting each year, the Trustees authorise the negotiation of remuneration, terms and conditions, and pension arrangements for employed staff: this review is usually undertaken by the Chair but may be delegated to any Trustee. The Trustees normally consider firstly whether an employee’s job description has changed within the preceding year. They also look at national financial overview data, such as the consumer price index, inflation, evidence relating to pay change within the charities sector, if available, and levels of responsibility undertaken by the employee. The Fund is one of two charities administered as “BMA Charities” and, therefore, it benefits from shared staffing arrangements and office accommodation. It is independent of the BMA and has its own Trustee structure. - 1 - ## **BMA CHARITIES TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **OBJECTIVES** ## **Objects** The objects of the Charity as set out in the Trust Deed are to make grants to medical charities named in the Deed and other charities which help medical practitioners. The Hastings Fund’s objects are to make payments to members of the medical profession or their dependents who are in need of relief or assistance. The objects of the Medical Education Fund are to make payments to advance the medical education of students who are unable to receive a statutory grant and who are in need of assistance. ## **Aims** The Trustees confirm that they have complied with the duty in Section 4 of the Charities Act 2006 to have due regard to the Charity Commission’s general guidance on public benefit. The Trustees believe that there is no detriment or harm attaching to the Charity’s aims or activities. The Charity carries out its charitable purposes for the public benefit in the following ways: (i) The Charity awards grants to applicant charities once a year at the autumn Trustees’ meeting after consideration of their annual reports and accounts. (ii) The Hastings Fund is able to help all doctors and their dependents and medical students experiencing a financial crisis, not just members of the BMA. In March 2023 the GMC stated that there were 379,075 registered medical practitioners in the UK. Together with retired doctors, medical students and dependents, this forms a substantial group within the UK population. The Fund does not make general awards for “living costs” nor does it seek to maintain lifestyles. Assistance is given in the form of one-off grants for essential items. Most beneficiaries are not in full-time work and are living on state benefits, student loans or have a similar low income. Applicants who are in full employment may usually only apply for help with paying for their GMC retention fees and medical defence insurance as this enables them to maintain their posts as doctors. Applicants who ask for help with debt are referred to the Fund’s licensed money advisor whose services are retained on a case by case basis. A grant may be made subsequently to help with priority expenses. Grants for medical students in immediate need are usually made for rent or essential travel, a typical grant being £1,000. Much of the Fund’s work is with refugee and asylum-seeking doctors who wish to re-validate their qualifications so that they can practice in the NHS. The majority of these applicants are in receipt of meanstested state benefits and are eager to become independent and use their skills to benefit the country which has given them asylum. The grants the Fund makes to this group enable them pay for the courses and exams leading to GMC registration and the fees for GMC registration itself. The Fund only makes these grants to doctors who are members of programmes which support refugee healthcare professionals back into work. This ensures that the doctors’ expectations of achieving GMC registration and work are well managed. Society as a whole benefits from the work of the Fund as there is a shortage of doctors throughout the UK (https:// www.bma.org.uk/advice-and-support/nhs-delivery-and-workforce/workforce/nhs-medical-staffing-data-analysis, accessed 11.03.2024). England alone needs nearly 50,000 additional, full-time doctors. In 2023 the Fund paid GMC registration fees to 17 doctors (2022 - 17) which means that these additional doctors are now available for work in the NHS. The Trustees want to help doctors achieve or remain in work so that they are self-supporting and not dependent on the State, and to help medical students who are in danger of having to withdraw from their course because of lack of funds. The Fund does not help with legal fees, private medical treatment, conference attendance or career enhancement projects. All beneficiaries must be in receipt of their full state benefit or student loan entitlement. - 2 - **BMA CHARITIES TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ (iii) The Medical Education Fund gives financial assistance to students at medical schools situated in the UK who are taking medicine as a second degree, irrespective of whether they are student members of the BMA. Most applicants are taking the five-year medical degree and are eligible to apply for help with their third and fourth years of study. Applications are accepted from November to January in each academic year. Access to the Fund is limited to students who can demonstrate that they are over £25,000 in debt, thus ensuring that only the neediest students receive help, and are paying no more than £9,250 a year in fees. The maximum grant for this group is usually £3,000. The Trustees are particularly keen to support these students. They are often the most strongly committed to practising medicine but face enormous financial pressures because of the length of the course, debt from previous studies and the high course fees which are required to be paid up front each year. The students assisted by the Fund do not have access to the NHS Bursary Scheme nor to student loans to cover their tuition fees which are usually £9,250 a year. Frequently the students undertake paid work against the advice of their tutors. Money advice is offered to those students whose finances appear to be poorly managed or are particularly complex. ## **ACTIVITIES** During the year, the BMA Charities Trust Fund made no grants to external charities and grants totalling £50,000 to the Hastings Funds and Medical Education Fund (see notes 7 and 8). The Trustees authorised £70,687 in grants from the Hastings Fund to 54 beneficiaries, compared with £42,770 awarded to 40 beneficiaries in 2022. These 54 beneficiaries comprised 28 refugee doctors, 9 other doctors and 17 medical students in financial need. This Fund was able to make an award to every applicant who was able to demonstrate appropriate financial need. £32,100 of grants awarded in previous years were reversed due to changes in recipients’ circumstances. The Medical Education Fund distributed £107,300 to 51 beneficiaries, compared to £109,570 awarded to 47 beneficiaries in 2022. In 2023, of the 29 students who responded to our request for feedback, 80% said that they would or might have had to drop out of their course if they had not received a grant. As a result of receiving the grant, all of the beneficiaries experienced less stress and were spending more time studying. 93% were taking on less paid work and 76% attributed the receipt of the grant to an improvement in their grades. Of the 46 students with home addresses in England, nearly 40% were from areas with the highest levels of deprivation in the country. ## **FINANCIAL REVIEW** Under the requirements of the Guidelines on Accounting and Reporting by Charities, the Board of Trustees has assessed the format of financial statements and is satisfied that the appropriate systems are in place. These procedures will be reviewed annually to ensure that they still meet the needs of the charity. During the year the Charity’s income increased by £16,885 from £208,898 to £225,783. The total value of fixed asset investments held by the charity rose by £265,532 in the year from £5,018,878 to £5,284,410. ## **Reserves** Total funds held by the Charity at the end of the accounting period stood at £6,122,437, an increase of £295,760 from the previous year. Of these funds £1,975,291 represents the permanent endowment funds of the Hastings and Coleman Kenton Funds (see note 20), £976,677 is restricted for the purposes of the Medical Education Fund and £108,644 is restricted for purposes of the Hastings Fund, (see note 21), and £3,061,825 is unrestricted funds to be spent on the general charitable objects of the BMA Charities Trust Fund. £63,493 is committed to grants payable and accruals (see note 17). Investment portfolios provide the basis of the reserves of the Charity, with the intention of holding these assets for the longer term. Charitable expenditure is financed by the income generated from these investments and donations received. The Trustees receive forecasts of investment income from the investment manager which they consider when authorising grant expenditure. - 3 - ## **BMA CHARITIES TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ The Charity’s reserves policy states that should the investment income in any given year decline by more than 25%, then the amount given in grants should be reduced by such proportion until the Trustees shall determine, usually 2 years, taking into account the anticipated return on investments, planned expenditure on standing costs and any other relevant factors. The Charity currently has sufficient reserves. Whilst the Hastings Fund usually only helps each applicant once, the award that refugee and asylum-seeking doctors receive may be in the form of a package of grants which take into account all of the stages leading to GMC registration. It may take the doctor three or four years from the start of the process to pass all the necessary exams and obtain registration, and grants awarded to these doctors are not written back until it is clear that they will not be used. Therefore, the amount written back varies from year to year. ## **Funding** The Charity’s main, consistent source of funding is investment income. For many years the Medical Education Fund has received substantial annual donations from the Worshipful Company of Barbers. An annual donation to this Fund is usually received from the BMA. The Charity raises some money from donors who have set up standing orders and card and direct debit donations can be made via the website in a secure online environment. There is no fundraising via cold-calling or mailshots, which protects the public from undue pressure. The Charity does not currently use professional fundraisers or commercial participators. Employees do not benefit from fundraising outcomes. No fundraising complaints have been received but a complaints policy is in place. ## **Investment Policy** The investment objective of the Charity is to achieve a consistently attractive level of income coupled with the potential for long term capital appreciation, whilst aiming to preserve the value of capital over the shorter term. The portfolio is fixed interest orientated with the remainder in a mix of global equities, convertible bonds and cash. The Trustees were content with the level of return in 2023 having taken into account ongoing fluctuations in market performance. The Charity continues to operate its ethical investment policy of not investing in companies which manufacture tobacco products or have greater than 10% of their turnover in alcohol manufacture, armaments, gambling or pornography and avoiding companies that generate significant revenues from thermal coal and oil from tar sands. All of the Charity’s investments are in the Sarasin & Partners Climate Active Endowment Fund which is a multi-asset portfolio managed to take into account companies’ commitment to managing their own climate risks with divestment available if necessary. The Trustees have taken the view that, if they were to choose a less ethical investment policy, future donors from the medical profession, and in particular from BMA members, would be discouraged from supporting the Charity. Social investment is not used by the Charity. ## **Pension Liability** The Charity has a contractual obligation to contribute to the Director’s personal pension plan. The Charity has a legal obligation to contribute to the part-time Caseworker’s pension via a workplace pension scheme. The Charity’s scheme is with Nest Pensions. ## **RISK MANAGEMENT** The Trustees have examined the major strategic business and operational risks which the Charity faces. The Charity does not engage in any high-risk activities and there is no face-to-face engagement with applicants and beneficiaries. The Trustees have identified four key areas of risk and have put in place the following risk management strategies: (1) Conflicts of interest – All Trustees are provided with the Charity Commission’s guide to the responsibilities of trustees. A conflicts of interest policy is in place and is available to Trustees at all times. Conflicts are declared when a Trustee is appointed and additional conflicts at the beginning of every Trustee meeting. (2) Loss of key staff – In the event of the Director being unavailable for work for a long period of time, the Trustees will approach an agency for a temporary replacement or consider staff/ex staff from other medical benevolent funds. The Chair can be given access to electronic records by IT support. A part-time member of staff has been employed to undertake grant processing for the Hastings Fund. - 4 - **BMA CHARITIES TRUST FUND** ## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ (3) Information technology – The Charity has two office laptops with automatic back-up to the cloud. Cyber security is in place on the office laptops and Director’s home laptop. GDPR, Data Security and Privacy policies are in place. Confidential electronic discussions with Trustees take place using MS Teams. IT support is provided by an external provider via their helpdesk. The provider also runs a monthly additional back-up. The website is maintained by an external agency. Cyber insurance is in place. (4) Dependence on income sources – The Charity is mainly dependent on investment income but the Medical Education Trust is vulnerable to changes in grant giving practices by external organisations. The levels of grants awarded by the Charity are commensurate with the liquid assets available and the need to preserve capital to enable continuity of grant giving. The board pursues a cautious investment policy via investment managers. The risk assessment is reviewed annually. ## **THE FUTURE** The Trustees are committed to continuing the current programmes of grant giving to refugee and asylum-seeking doctors and to medical students. A review of the governing documents and board structure of the Charity was begun during the year and will continue in 2024. ## **ACKNOWLEDGEMENTS** The Trustees would like to acknowledge the service received from Sarasin & Partners, our investment advisors, Wilsons, our solicitors, and Begbies, our accountants. ## **Disclosure of information to auditor** Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information. The trustees' report was approved by the Board of Trustees. .. **.........................** ... **Dr R Wijesuriya (Chair)** Trustee Dated: �������� .............................. **Mr K Ward (Vice Chair)** Trustee Dated:��������� - 5 - ## **BMA CHARITIES TRUST FUND** ## **STATEMENT OF TRUSTEES' RESPONSIBILITIES** ## _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ The trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year. In preparing these financial statements, the trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the Charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. - 6 - ## **BMA CHARITIES TRUST FUND** ## **INDEPENDENT AUDITOR'S REPORT** ## **TO THE TRUSTEES OF BMA CHARITIES TRUST FUND** ## **Opinion** We have audited the financial statements of BMA Charities Trust Fund (the ‘charity’) for the year ended 31 December 2023 which comprise the statement of financial activities, the balance sheet 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: - give a true and fair view of the state of the charity’s affairs as at 31 December 2023 and of its incoming resources and application of resources, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Charities Act 2011. ## **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 charity 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 trustees' 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 ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. ## **Other information** The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 require us to report to you if, in our opinion: - the information given in the accounts is inconsistent in any material respect with the trustees' report; or - sufficient accounting records have not been kept; or - the financial statements are not in agreement with the accounting records; or - we have not received all the information and explanations we require for our audit. - 7 - ## **BMA CHARITIES TRUST FUND** ## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF BMA CHARITIES TRUST FUND** ## **Responsibilities of trustees** As explained more fully in the statement of trustees' responsibilities, the trustees are 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 trustees 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 trustees are responsible for assessing the 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 trustees either intend 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 145 of the Charities Act 2011 and report in accordance with the Act 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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. ## **Extent to which the audit was capable of detecting irregularities, including fraud** Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: – Agreement of the financial statement disclosures to underlying supporting documentation to assess compliance with those laws and regulations having an impact on the financial statements and disclosure requirements. In particular, Accounting and Reporting by Charities: Statement of Recommended Practice; – Enquiries and confirmation of management and the trustees as to their identification of any non-compliance with laws or regulations, or any actual or potential claims; – Review of minutes of Board meetings throughout the period; – incorporating unpredictability into the nature, timing and/or extent of testing. – Evaluation of the selection and application of the accounting policies chosen by the charity; and – We assessed the susceptibility of the charity’s financial statements to material misstatement, including how fraud might occur by considering the key risks impacting the financial statements. Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it. A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. - 8 - ## **BMA CHARITIES TRUST FUND** ## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF BMA CHARITIES TRUST FUND** ## **Other matters** Your attention is drawn to the fact that the charity has prepared financial statements 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 (FRS 102)" (as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn. This has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice. ## **Use of our report** This report is made solely to the charity’s trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees 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 trustees as a body, for our audit work, for this report, or for the opinions we have formed. **Begbies** ..17/06/2024....................... **Chartered Accountants Statutory Auditor** 9 Bonhill Street London EC2A 4DJ Begbies 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. - 9 - ## **BMA CHARITIES TRUST FUND** ## **STATEMENT OF FINANCIAL ACTIVITIES** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **Current financial year** |**Unrestricted**
**Restricted Endowment**
**funds**
**funds**
**funds**
**2023**
**2023**
**2023**
**Notes**
**£**
**£**
**£**
**Income from:**
Donations and legacies
**3**
21,868
59,178
-
Investment income
**4**
72,356
72,381
-
**Total income**
94,224
131,559
-
**Expenditure on:**
Raising funds
**5**
1,336
-
(2,272)
Charitable activities
Grants to medical charities
**7**
45,404
-
-
Grants to second degree medical
students
**7**
-
124,767
-
Grants to provide financial assistance
**7**
-
58,869
-
**Total charitable expenditure**
45,404
183,636
-
**Total resources expended**
46,740
183,636
(2,272)
Net gains/(losses) on investments
148,609
51,814
97,659
**Net incoming/(outgoing) resources**
**before transfers**
196,093
(263)
99,931
Gross transfers between funds
(50,000)
50,000
-
**Net movement in funds**
146,093
49,737
99,931
Fund balances at 1 January 2023
2,915,732
1,035,584
1,875,360
**Fund balances at 31 December**
**2023**
3,061,825
1,085,321
1,975,291|**Total**
**2023**
**£**
81,046
144,737
225,783
(936)
45,404
124,767
58,869
229,040
228,104
298,082
295,761
-
295,761
5,826,676
6,122,437|Total
2022
**£**
65,477
143,421
208,898
(1,538)
49,029
125,947
49,510
224,486
222,948
(754,342)
(768,392)
-
(768,392)
6,595,069
5,826,677| |---|---|---| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 10 - ## **BMA CHARITIES TRUST FUND** ## **STATEMENT OF FINANCIAL ACTIVITIES (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **Prior financial year** |**Unrestricted**
**Restricted Endowment**
**funds**
**funds**
**funds**
**2022**
**2022**
**2022**
**Notes**
**£**
**£**
**£**
**Income from:**
Donations and legacies
**3**
16,790
48,687
-
Investment income
**4**
71,828
71,593
-
**Total income**
88,618
120,280
-
**Expenditure on:**
Raising funds
**5**
875
-
(2,413)
Charitable activities
Grants to medical charities
**7**
49,029
-
-
Grants to second degree medical students
**7**
-
125,947
-
Grants to provide financial assistance
**7**
-
49,510
-
**Total charitable expenditure**
49,029
175,457
-
**Total resources expended**
49,904
175,457
(2,413)
Net gains/(losses) on investments
(371,422)
(97,127)
(285,793)
**Net incoming/(outgoing) resources before**
**transfers**
(332,708)
(152,304)
(283,380)
Gross transfers between funds
(42,000)
42,000
-
**Net movement in funds**
(374,708)
(110,304)
(283,380)
Fund balances at 1 January 2022
3,290,440
1,145,888
2,158,741
**Fund balances at 31 December 2022**
2,915,732
1,035,584
1,875,361|**Total**
**2022**
**£**
65,477
143,421
208,898
(1,538)
49,029
125,947
49,510
224,486
222,948
(754,342)
(768,392)
-
(768,392)
6,595,069
5,826,677| |---|---| The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. - 11 - ## **BMA CHARITIES TRUST FUND** ## **BALANCE SHEET** ## _**AS AT 31 DECEMBER 2023**_ |**2023**
**Notes**
**£**
**£**
**Fixed assets**
Tangible assets
**13**
1,008
Investments
**14**
5,284,410
5,285,418
**Current assets**
Debtors
**15**
965
Investments
**16**
759,502
Cash at bank and in hand
140,045
900,512
**Creditors: amounts falling due within**
**one year**
**17**
(63,493)
Net current assets
837,019
**Total assets less current liabilities**
6,122,437
**Capital funds**
Endowment funds - permanent
**20**
1,975,291
**Restricted Income funds**
Medical Education Fund
976,677
Hastings Fund
108,644
**21**
1,085,321
**Unrestricted funds**
3,061,825
6,122,437
The accounts were approved by the Trustees on����������
**..............................**
..............................
Dr R Wijesuriya (Chair)
Mr K Ward (Vice Chair)
**Trustee**
**Trustee**|**2022**
**£**
**£**
823
5,018,878
5,019,701
5,197
847,212
24,214
876,623
(69,647)
806,976
5,826,677
1,875,361
944,298
91,286
1,035,584
2,915,732
5,826,677|**2022**
**£**
**£**
823
5,018,878
5,019,701
5,197
847,212
24,214
876,623
(69,647)
806,976
5,826,677
1,875,361
944,298
91,286
1,035,584
2,915,732
5,826,677| |---|---|---| |||5,019,701
806,976| |||5,826,677| |||1,875,361
1,035,584
2,915,732| |||5,826,677| |||| - 12 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **1 Accounting policies** ## **Charity information** BMA Charities Trust Fund is an unincorporated charity registered with the Charity Commission for England and Wales as established by a Trust Deed in 1925. ## **1.1 Accounting convention** The accounts have been prepared in accordance with the charity's governing documents, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102. The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows. The financial statements 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 for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn. The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £. The accounts have been prepared under the historical cost convention, modified to include investment assets at fair value. The principal accounting policies adopted are set out below. ## **1.2 Going concern** At the time of approving the accounts, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts. ## **1.3 Charitable funds** Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives. Restricted funds are subject to specific conditions by donors as to how they may be used. The Medical Education Fund derives from the uniting direction and represents the formerly unrestricted reserves of the BMA Medical Education Trust Fund and its ongoing income and expenditure. The purpose of this fund is to give assistance to students at UK medical schools who are studying medicine as a second degree The Hastings Fund derives from the uniting direction and represents the formerly unrestricted reserves of the Hastings Benevolent Fund and its ongoing income and expenditure. The purpose of this fund is to provide short-term financial assistance to members of the medical profession and/or their dependents. The Colman Kenton Endowment is a permanent endowment, the income from which can be spent in accordance with the objects of the Medical Education Fund. The Medical Education Fund also holds investments, however these are not held as endowment funds. The Hastings Endowment is a permanent endowment, the income from which can be spent in accordance with the objects of the former Hastings Benevolent Fund and so is allocated to the restricted Hastings Fund reserve. - 13 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **1 Accounting policies** **(Continued)** ## **1.4 Incoming resources** Income is recognised when the charity is legally entitled to it, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation and added to the fund to which the underlying donation was given. Legacies and similar incoming resources are included in the year in which they are receivable, which is when the fund becomes entitled to the resource. The Charity SORP requires that an estimate is included in the accounts for material gifts in kind of donated services and facilities except time donated by general volunteers and trustees. The gift is included at an estimate of what the charity would otherwise pay for the goods or services. An expense is recognised in the accounts to match the income received. Income from investments is included in the SOFA in the year in which it is receivable and is allocated to the relevant restricted and unrestricted funds. ## **1.5 Resources expended** All expenditure is included on an accruals basis and is recognised when there is a legal or constructive obligation to pay for expenditure. The cost of generating funds comprises the costs of promoting the charity to potential donors. In accordance with the SORP provision is made for all grants authorised by the Board of Trustees in the year. Where grants are subject to conditions only those grants where all the conditions have been met at the year end are recognised in the accounts. The expense for the period is reduced by the cancellation of grants authorised but not subsequently required. Governance costs are the costs associated with the governance arrangements of the charity. Costs are apportioned to the appropriate fund at an estimate of usage based on an estimate of staff time or fund size unless directly incurred. The expenditure incurred with shared employment costs are included in the relevant charity at the net amount incurred. The estimated current staff time percentages are Medical Education Fund second degree medical students 27%, Hastings Fund financial assistance 33% and grants to medical charities unrestricted funds 40%. Support costs are the general costs incurred in support of meeting the charity's objectives. There is a single charitable objective of giving grants, but costs are apportioned to the appropriate fund, and so type of grant, at an estimate of usage based on an estimate of staff time or fund size unless directly incurred. The estimated current usage percentages are Medical Education Fund second degree medical students 30%, Hastings Fund financial assistance 30% and grants to medical charities unrestricted funds 40%. The charity's long term investments are held in units in collective investment funds. In accordance with the SORP the charity does not estimate investment management fees which are charged to the collective investment fund to identify the notional cost attributable to its own holding in the scheme. - 14 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **1 Accounting policies** **(Continued)** Irrecoverable VAT is charged against the expenditure heading for which it was incurred. Due to the collective nature of the investments held, the investment charges are levied directly to the investment by the investment provider, rather than as a charge to the charity portfolio directly. Due to the size of the portfolio some management charges may be refunded directly to the charity. Where this is the case the refund is reported within the investment income heading unless it is an addition to an endowment fund. ## **1.6 Tangible fixed assets** Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: Computers & equipment Over four years The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities. ## **1.7 Cash and cash equivalents** Cash and cash equivalents include cash in hand, deposits held at call with banks and other short-term liquid investments with original maturities of three months or less. ## **1.8 Financial instruments** The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. ## _**Basic financial assets**_ Basic financial assets, which include debtors and cash and bank balances, are measured at transaction price including transaction costs. ## _**Other financial assets**_ The charity holds current assets in the form of listed investments. Those investments that are categorised as current assets are held in an investment fund containing short term money market instruments. Current asset investments are initially recorded at cost and are subsequently revalued to market value as at the balance sheet date. ## _**Basic financial liabilities**_ Basic financial liabilities, including creditors are initially recognised at transaction. Financial liabilities classified as payable within one year are not amortised. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. - 15 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **1 Accounting policies** **(Continued)** ## _**Derecognition of financial liabilities**_ Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled. ## **1.9 Employee benefits** The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. The Dain Fund and the BMA Charities Trust Fund share the cost of employees whose salaries are apportioned across the two charities at an agreed percentage based on the percentage of time spent on each charity's affairs. ## **1.10 Retirement benefits** Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. ## **2 Critical accounting estimates and judgements** In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. ## **Critical judgements** ## **Grant liabilities** Grants include awards which are formed of a series of individual payments for specific items, such as a series of exams. The time taken by individuals to draw on the funds varies and some recipients may not draw all of their allocation. Due to the timing of the drawdown being outside of the control of the trustees once the grant has been awarded all unpaid grants are shown as creditors due within one year. Outstanding grants are reviewed annually and if no further payment is considered likely the grant is written back. - 16 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **3 Donations and legacies** |**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2023**
**£**
**£**
Donations and gifts
4,368
54,178
Legacies receivable
10,000
5,000
Donated goods and
services
7,500
-
21,868
59,178
**Donations and gifts**
BMA
-
20,000
Worshipful Company of
Barbers
-
31,000
Dain Fund
-
-
LMC's
-
3,030
Other
4,368
148
4,368
54,178|**Total**
Unrestricted
Restricted
funds
funds
**2023**
2022
2022
**£**
£
£
58,546
8,290
48,687
15,000
1,000
-
7,500
7,500
-
81,046
16,790
48,687
20,000
2,075
12,500
31,000
-
30,000
-
-
2,500
3,030
-
1,927
4,516
6,215
1,760
58,546
8,290
48,687|Total
2022
£
56,977
1,000
7,500| |---|---|---| |||65,477| |||14,575
30,000
2,500
1,927
7,975| |||56,977| ## **4 Investment income** |**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2023**
**£**
**£**
Income from listed
investments
71,368
71,040
Interest receivable
988
1,341
72,356
72,381|**Total**
Unrestricted
Restricted
funds
funds
**2023**
2022
2022
**£**
£
£
142,408
71,418
71,020
2,329
410
573
144,737
71,828
71,593|Total
2022
£
142,438
983| |---|---|---| |||143,421| - 17 - **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **5 Raising funds** ||**Unrestricted **|**Endowment**|**Total**|**Total**| |---|---|---|---|---| ||**funds**|**funds**|**2023**|**2022**| |||**general**||| ||**£**|**£**|**£**|**£**| |Seeking donations, grants and legacies|1,336|-|1,336|875| |Investment management fee rebates|-|(2,272)|(2,272)|(2,413)| ||1,336|(2,272)|(936)|(1,538)| |**For the year ended 31 December 2022**||||| |Seeking donations, grants and legacies|875|-||875| |Investment management fee rebates|-|(2,413)||(2,413)| ||875|(2,413)||(1,538)| ## **6 Description of charitable activities** ## Grants to medical charities Grants between Hastings, Medical Education and Charities Trust Funds are shown as transfers between funds. In the current year the Charities Trust Fund gave £25,000 (2022 - £67,070) to the Medical Education Fund to support the grants given to students at UK medical schools. The Charities Trust Fund gave £25,000 (2022 - £25,000) to the Hastings Fund to support doctors, medical students and their dependents who are experiencing financial difficulties. Due to the structure of the charity, the support costs incurred by the Charities Trust Fund are shown below whilst the grants given to the Hastings Fund and the Medical Education Fund are shown as transfers between funds. ## Grants to second degree medical students The Medical Education Fund gives financial assistance to students at medical schools situated in the UK who are taking medicine as a second degree, irrespective of whether they are student members of the BMA. ## Grants to provide financial assistance The Hastings Fund makes grants to doctors, medical students and their dependents experiencing financial difficulties, not just members of the BMA. - 18 - ## |**Total**|**2022**|||||**£**|147,975|64,111|12,400|224,486||49,029|175,457|224,486| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |**Grants to**|**provide**|**financial**|**assistance**||**2022**|**£**|30,405|16,632|2,473|49,510||-|49,510|49,510| |**Grants to**|**second**|**degree**|**medical**|**students**|**2022**|**£**|109,570|13,362|3,015|125,947||-|125,947|125,947| |**Grants to**|**medical**|**charities**|||**2022**|**£**|8,000|34,117|6,912|49,029||49,029|-|49,029| |**Total**|**2023**|||||**£**|145,872|67,309|15,859|229,040||45,404|183,636|229,040| |**Grants to**|**provide**|**financial**|**assistance**||**2023**|**£**|38,572|17,824|2,473|58,869||-|58,869|58,869| |**Grants to**|**second**|**degree**|**medical**|**students**|**2023**|**£**|107,300|14,610|2,857|124,767||-|124,767|124,767| |**Grants to**|**medical**|**charities**|||**2023**|**£**|-|34,875|10,529|45,404||45,404|-|45,404| ## |||Total|2022|||||£||8,000|139,975|147,975||| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |||Grants to|provide|financial|assistance||2022|£||-|30,405|30,405||| |**Grants payable**||**Grants to**
**Grants to**
**Total**
Grants to
Grants to|**second**
**provide**
**2023**
medical
second|**degree**
**financial**
charities
degree|**medical**
**assistance**
medical|**students**
students|**2023**
**2023**
2022
2022|**£**
**£**
**£**
£
£|Grants to institutions:|The Cameron Fund
-
-
-
8,000
-|Grants to individuals
107,300
38,572
145,872
-
109,570|107,300
38,572
145,872
8,000
109,570||In 2023 no institutional grants were made and 108 grants to individuals. In 2022 1 institutional grant was made and 92 grants to individuals| |**8**||||||||||||||| ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **9 Trustees** There were no trustees in receipt of any remuneration during the year. Three trustees received travel and subsistence payments totalling £972 during the year (2022 - two - £942). ## **10 Support costs** |**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Staff costs
48,167
-
Depreciation
445
-
Office accommodation
7,500
-
Website and IT costs
8,213
-
Postage, telephone &
stationery
389
-
Bank charges
240
-
Staff & trustee training
575
-
HR costs
1,370
-
Other costs
410
-
Audit fees
-
3,600
Accountancy
-
4,644
Legal and professional
-
5,663
Trustee meeting
expenses
-
906
Insurance
-
1,046
67,309
15,859
Analysed between
Charitable activities
67,309
15,859|**2023**
**£**
48,167
445
7,500
8,213
389
240
575
1,370
410
3,600
4,644
5,663
906
1,046
83,168
83,168|**2022 Basis of allocation**
**£**
45,229 Estimated staff time
370 Charities Trust Fund
7,500 Charities Trust Fund
9,137 Charities Trust Fund
289 Estimated usage
450 Direct allocation
199 Estimated usage
570
367 Direct allocation
3,600 Governance
4,644 Governance
1,800 Governance
942
Governance
1,414 Governance
76,511
76,511| |---|---|---| Governance costs includes payments to the auditors of £3,600 (2022- £3,600) for audit fees, £4,320 (2022£4,320) for management accounts and £324 (2022- £324) for payroll services. All amounts include VAT. The charity purchases Trustee Insurance at a cost of £392 (2022- £416). - 21 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **11 Employees** ## **Number of employees** The average monthly number of employees during the year was: ||**2023**|**2022**| |---|---|---| ||**Number**|**Number**| |Grant administration|1.25|1| |**Employment costs**|**2023**|**2022**| ||**£**|**£**| |Wages and salaries|43,194|40,443| |Social security costs|1,273|1,146| |Other pension costs|3,700|3,640| ||48,167|45,229| There were no employees whose annual remuneration was £60,000 or more before the costs were shared with The Dain Fund. The share of total key management remuneration for the year incurred by the BMA Charities Trust Fund, including employer national insurance and pension, totalled £46,000 (£45,229). ## **12 Taxation** The charity is exempt from tax on income and gains falling within section 505 of the Taxes Act 1988 or section 252 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. ## **13 Tangible fixed assets** |**Tangible fixed assets**|| |---|---| ||**Computers & equipment**| ||**£**| |**Cost**|| |At 1 January 2023|1,827| |Additions|630| |At 31 December 2023|2,457| |**Depreciation and impairment**|| |At 1 January 2023|1,004| |Depreciation charged in the year|445| |At 31 December 2023|1,449| |**Carrying amount**|| |At 31 December 2023|1,008| |At 31 December 2022|823| - 22 - |**Fixed asset investments**|**Charities**
**Medical**
**Colman**
**Hastings**
**Cash in**
**Total**|**Trust Fund**
**Education**
**Kenton Fund**
**Funds**
**portfolio**|**Fund**|**Market valuation**
**£**
**£**
**£**
**£**
**£**
**£**|At 31 December 2022
2,477,953
665,565
265,118
1,610,242
-
5,018,878|Additions
1,492
401
-
970
1,302
4,165|Valuation changes
129,047
34,661
13,801
83,858
-
261,367|At 31 December 2023
2,608,492
700,627
278,919
1,695,070
1,302
5,284,410|**Historic cost**|At 31 December 2023
2,333,790
627,090
249,669
1,516,879
-
4,727,428|At 31 December 2022
2,332,298
626,689
249,669
1,515,909
-
4,724,565|As at 31st December 2023 and 2022 the above portfolio was invested in Climate Active Endowment Class A Income units by Sarasin and Partners LLP.|The charity seeks to minimise the risks of holding investments, which comprise mainly market, yield and liquidity risks, through the appointment of an independent|Investment Manager, who invests via common investment funds specifically tailored for charities of this nature. The trustees report contains further details of the charity's|investment policy.|The holding of common investment units allows the charity to access increased diversification at a lower cost than would otherwise be available, and so decreases the|risks of holding investments. At the balance sheet date the units held by the charity where invested in the following areas:|**All funds**|Fixed Income
14%|Equities
70%|Property
4%|Alternative Assets
10%|Liquid Assets
3%|Total
100%| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |**14**||||||||||||||||||||||||| ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **15 Debtors** |**Amounts falling due within one year:**
Amounts due from The Dain Fund
Other debtors
Prepayments
**16**
**Current asset investments**
Listed investments|**2023**
**£**
10
77
878
965
**2023**
**£**
759,502|**2022**
**£**
4,387
236
574| |---|---|---| |||5,197| |||**2022**
**£**
847,212| Current asset investments are comprised of Blackrock Institutional Sterling Liquidity Heritage Accumulator units and are stated at market value. These investments are held to reduce liquidity risk whilst generating a higher interest return than cash holdings. ## **17 Creditors: amounts falling due within one year** |**Creditors: amounts falling due within one year**||| |---|---|---| |Grants payable
Accruals|**2023**
**£**
58,419
5,074
63,493|**2022**
**£**
64,579
5,068| |||69,647| ## **18 Defined contribution scheme** The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund. The charge in respect of defined contribution schemes was £3,700 (2022- £3,640) - 24 - ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ |**19**
**Analysis of net assets between funds**
**Unrestricted**
**Funds**
**Restricted**
**Funds**
**Endowment**
**Funds**
**2023**
**2023**
**2023**
**£**
**£**
**£**
Fund balances at 31 December 2023 are
represented by:
Tangible assets
1,008
-
-
Investments
2,608,492
700,627
1,975,291
Current assets/(liabilities)
452,325
384,694
-
3,061,825
1,085,321
1,975,291
**Unrestricted**
**Funds**
**Restricted**
**Funds**
**Endowment**
**Funds**
**2022**
**2022**
**2022**
**£**
**£**
**£**
Fund balances at 31 December 2022 are
represented by:
Tangible assets
823
-
-
Investments
2,477,952
665,565
1,875,361
Current assets/(liabilities)
436,957
370,019
-
2,915,732
1,035,584
1,875,361|**Total**
**2023**
**£**
1,008
5,284,410
837,019| |---|---| ||6,122,437| ||**Total**
**2022**
**£**
823
5,018,878
806,976| ||5,826,677| - 25 - |||**Balance at**|**31 December**|**2023**|**£**||279,240|1,696,051|1,975,291| |---|---|---|---|---|---|---|---|---|---| ||**Movement in funds**|**Incoming**
**Revaluations**|**resources**
**gains and**|**losses**|**£**
**£**||321
13,801|1,952
83,857|2,273
97,658| ||**Movement in funds**|**Incoming**
**Revaluations**
**Balance at**|**resources**
**gains and**
**1 January 2023**|**losses**|**£**
**£**
**£**||341
(40,403)
265,118|2,072
(245,390)
1,610,242|2,413
(285,793)
1,875,360| |||**Balance at**|**1 January 2022**||**£**||305,180|1,853,561|2,158,741| |**Endowment funds**||||||**Permanent endowments**|Colman Kenton|Hastings|| |**20**|||||||||| ## |**Restricted funds**|The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:|Movement in funds
Movement in funds|**Balance at**
**Income**
**Grants and**
**Transfers**
**Investment**
**Balance at**
**Income**
**Grants and**
**Transfers**
**Investment**
**Balance at**|**1 January 2022**
**other costs**
**between**
**movements**
**1 January**
**other costs**
**between funds**
**movements**
**31 December**|**funds**
**2023**
**2023**|£
£
£
£
£
£
£
£
£
£
£|Medical Education Fund
1,027,117
74,816
(125,947)
67,070
(98,758)
944,298
86,368
(124,767)
25,000
45,778
976,677|Hastings Fund
83,701
45,464
(49,510)
10,000
1,631
91,286
45,191
(58,869)
25,000
6,036
108,644|Fairley Legacy
35,070
-
-
(35,070)
-
-
-
-
-
-
-|1,145,888
120,280
(175,457)
42,000
(97,127) 1,035,584
131,559
(183,636)
50,000
51,814
1,085,321||The Medical Education Fund reserves derive from the uniting direction and represent the formerly unrestricted reserves of the BMA Medical Education Trust Fund|and its ongoing income and expenditure. The purpose of this fund is to give assistance to students at UK medical schools who are studying medicine as a second|degree. The fund includes amounts received from BMA Giving for distribution in the following academic year.|The Hastings Fund reserves derive from the uniting direction and represent the former unrestricted reserves of the Hastings Benevolent Fund and its ongoing income|and expenditure. The purpose of this fund is to provide short-term financial assistance to members of the medical profession and/or their dependents.|The Fairley Legacy has been donated to provided assistance to Scottish students. The funds have been transferred to the Medical Education Fund and fully used for|the restricted purpose.| |---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---| |21||||||||||||||||||| ## **BMA CHARITIES TRUST FUND** ## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2023**_ ## **22 Related party transactions** The BMA Charities Trust Fund receives free use of office accommodation from the BMA. A gift in kind value has been placed on this donation of £7,500 as were the accommodation not provided the Charity would rent equivalent accommodation of this cost elsewhere. The BMA has also donated £20,000 (2022- £12,500) to the Medical Education Fund. The Dain Fund and the Charities Trust Fund share the cost of two employees whose salaries are apportioned across the two charities at an agreed percentage based on a fixed estimate of time spent on each charity's affairs. During the year the Charities Trust Fund had five trustees who are also trustees of the Dain Fund (2022:5). No donations were made by the Dain Fund during the year (2022 - £2,500) The charity is required to disclose key management salaries. There are two shared employees of the charity, as outlined above, and their remuneration is detailed in note 1� and in the Dain Fund accounts. During the year the trustees collectively donated £120 (2022 - £120). None of these funds were given for activities outside of the usual BMA Charities' undertakings. There were no further transactions with trustees aside from reimbursed expenses disclosed in note �. - 28 -