Company no. 335344 Charity no. 227151
## **Newby Trust Limited**
# **Report and Audited Financial Statements 5 April 2024**
## **Newby Trust Limited**
## **Reference and administrative details**
## **For the year ended 5 April 2024**
|**Company number**|335344||
|---|---|---|
|**Charity number**|227151||
|**Registered office**|Hill Farm||
||Froxfield||
||Petersfield||
||Hampshire||
||GU32 1BQ||
|**Trustees**|Trustees, who are also directors under company law, who served during||
||the year and up to the date of this report were as follows:||
||Katharine Callaghan|Chair|
||Daniel Callaghan||
||K. Lisa Bartholomew||
||David Charlton||
||Anna Foxell||
||Antonia Gooder||
||R. Benham Gooder||
||Stephen Gooder||
||Annabelle Montgomery|(appointed 9 March 2024)|
||Evelyn Montgomery||
||Duncan Reed|(resigned 17 November 2023)|
|**Company secretary**|Annabel Grout||
|**Bankers**|Coutts & Co|CCLA Investment Management Limited|
||440 Strand|Senator House|
||London|85 Queen Victoria Street|
||WC2R 0QS|London|
|||EC4V 4ET|
|**Investment managers**|Rathbone Investment Management Limited||
||8 Finsbury Circus||
||London||
||EC2M 7AZ||
|**Auditors**|Godfrey Wilson Limited||
||Chartered accountants and statutory auditors||
||5th Floor Mariner House||
||62 Prince Street||
||Bristol||
||BS1 4QD||
1
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
The trustees present their report along with the financial statements of the charity for the year ended 5 April 2024.
Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **OBJECTIVES**
The charitable objects of the company as stated in the governing documents are: "to promote all or any purposes which now are or hereafter may be deemed by law to be charitable and in particular, the advancement of education, the furtherance of health and the relief of poverty, distress and sickness".
The principal focus of the company’s grant-giving has been on education, health and social welfare. In 2024 the directors added the environment as a focus for giving.
The directors review the objectives of the company annually. The objectives for the year were as follows:
## Strategic Aims
1 Education: To enable people to benefit from educational opportunities and to support excellence;
2 Health: To sustain good health and to increase medical knowledge through research; 3 Welfare: To improve the quality of life in disadvantaged communities; 4 The Trust: To strengthen family engagement in the Trust; and 5 Financial: To maintain and increase the endowment for the benefit of future beneficiaries.
## Objectives
1 Education:
- 1.1 to enhance educational opportunities for children and young people through the funding of extra-curricular activities;
- 1.2 to support the personal development of children who need extra help to enable them to benefit from education; and
- 1.3 to nurture ability and talent at all ages.
## 2 Health:
- 2.1 to maintain and improve the mental health of children and young people; 2.2 to strengthen the mental and physical health of older people; and 2.3 to fund medical research.
## 3 Welfare:
- 3.1 to provide small grants for short-term emergency relief;
- 3.2 to improve social support for disadvantaged groups; and
- 3.3 to support cultural and physical activities to improve wellbeing.
2
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
- 4 The Trust:
- 4.1 to identify areas of interest for family members; and 4.2 to encourage younger members to become involved in the company.
5 Financial:
- 5.1 to adopt investment strategies to maintain and increase the endowment and to achieve a sustainable return for expenditure on grants; and
- 5.2 to minimise administration and investment management costs by periodic review.
The directors reviewed the administrative and investment management costs and were satisfied that the company is meeting its financial objectives in these areas.
The company also has a special category for grants each year. This category is selected by the directors, usually under one of the main headings of education, health and welfare, and provides a focus for grant-giving in that year. In 2023/2024 the special category was the environment.
The directors will consider making grants to other good causes and charities which fall outside the three main categories if company members propose suitable organisations for support.
In March 2024 the directors reviewed the objectives and adopted revised objectives for the following financial year as described in Future Plans.
## **ACTIVITIES**
## **1 Education**
Education is widely defined to include academic, arts, craft or sporting activities. In 2023/2024 the company promoted education by providing grants to support:
- 1.1 children and young people through the funding of extra-curricular and personal development activities to enable them to obtain maximum benefit from their education; and
- 1.2 talented people of all ages to enable them to fulfil their potential.
In this category, the directors approved 13 grants totalling £122,600 to:
|Art History Link-Up
Edward Barnsley Educ.
Linacre Institute
Read for Good
Royal School of Needlework
The Talent Tap
Ballet Lorent
The Nucleo Project
The Aloud Charity
Future Talent
Arts for All
Turf Projects
Heritage Craft Association
**Total**|£5,000
£15,000 over 3 years
£10,000
£9,400
£10,000
£15,000
£10,000
£15,000
£10,000
£6,000
£3,000
£5,000
£9,200
**£122,600**|
|---|---|
3
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
## **2 Health**
- In 2023/2024 the company promoted health by providing grants:
- 2.1 to maintain and improve the mental health of children and young people;
- 2.2 to strengthen the mental and physical health of older people; and
- 2.3 to fund medical research.
In this category the directors approved 9 grants totalling £75,500 to:
|Penny Brohn Cancer Care
Ride High
Sport in Mind
Tor Support Services
RAW Workshop
Stormbreak
The IBS Network
Us
Freedom from Torture
**Total**|£20,000
£10,000
£10,500
£5,000
£5,000
£10,000
£5,000
£5,000
£5,000|
|---|---|
||**£75,500**|
## **3 Welfare**
In 2023/2024 the company made grants:
- 3.1 to provide small grants for short-term emergency relief;
- 3.2 to improve social support for disadvantaged groups; and
- 3.3 to support cultural and physical activities to improve wellbeing.
In relation to paragraph 3.1, the directors agreed that instead of awarding small grants to individuals directly the company would make a grant of £75,000 to R L Glasspool Charitable Trust to be distributed on behalf of the company as small grants for the benefit of individuals for essential home equipment, clothing, school uniforms, course fees and other items.
In relation to paragraphs 3.2 and 3.3, the directors approved 14 grants totalling £137,000 to:
|Alive Activities
Mentoring Plus
Hope in the Valley
Carlisle Youth Zone
St. Clement and St. James
Gifted Women
Become
JCWI
Jo Cox Foundation
LASSN
Lifeshare
MRSN
Mustard Tree
Refugee Action
**Total**|£20,000 over 2 years
£10,000
£1,000
£10,000
£10,000
£5,000
£10,000
£10,000
£8,000
£10,000
£8,000
£10,000
£15,000
£10,000
**£137,000**|
|---|---|
General fund welfare grants totalled £212,000.
4
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
**4 Annual Special Category** The directors have a policy of selecting one category for special support each year and in 2023/2024 the special category was the environment.
£127,000 was spent on the special category and 7 grants were made to:
|Blue Marine Foundation
Client Earth
Manchester FoE
FoodCycle
Global Witness
Beaver Trust
Fareshare Yorkshire
**Total**|£20,000
£35,000
£2,000
£15,000
£20,000
£15,000
£20,000|
|---|---|
||**£127,000**|
Following the review of the objectives in March 2024, the directors adopted the environment as a new category and will not be selecting a special category in the following year.
**5 Designated funds for expenditure in financial year 2024/2025** At the March 2024 meeting, the directors discussed support for suitable organisations in the following financial year and it was agreed that the amount for small grants to individuals would be reduced to £50,000.
## **GRANT PROCESSES**
## Grants to Charities
The company does not accept unsolicited applications in any of the categories and only charities that are invited to apply may submit applications. Full information is provided on the company’s website. The company makes grants across the United Kingdom although the majority of larger grants are made in England. Due to the difficulties of verifying overseas organisations and monitoring grant expenditure, the grant programme is normally limited to UK charities.
## Grants for Individuals
In the financial year 2023/2024, the directors delegated the assessment and administration of the grants for individuals to R L Glasspool.
Eligible organisations such as social or probation services, charities or housing associations may apply to R L Glasspool on behalf of individuals and payments will be made to the applicant organisation or to a supplier. No applications are accepted from individuals themselves and no payments are made direct to individuals.
The company is one of the few organisations that does not place restrictions on eligible applicants for small grants. On behalf of the company, R L Glasspool therefore makes grants for young people, families, single parents, older people, those with disabilities, ex-offenders and those in recovery from substance abuse. In most cases the person suffers from an added disadvantage over and above financial need.
5
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
## **ACHIEVEMENTS AND PERFORMANCE**
The directors aim to achieve a sustainable return for expenditure on grants. In 2023/2024, £566,024 of income was generated and a total of £537,100 was approved for grants in the year. £122,600 was awarded for education, £75,500 was awarded to health charities, £212,000 was awarded in the welfare category and £127,000 was awarded in the special category.
The directors aim to minimise administrative costs (governance and support costs). In 2023/2024, administrative costs amounted to £38,062 against £42,439 in the previous financial year.
The directors aim to minimise investment management costs. In 2023/24, investment management costs amounted to £100,295 against £98,811 in the previous financial year. The increased cost this year is a direct result of variations in the portfolio value at the quarterly charge dates compared with last year.
A grant of £80,000 awarded in the year ended 5 April 2019 to the Humber NHS Foundation Charitable Trust Impact Appeal, to contribute to a new mental health in-patient unit for children and young people was paid in March 2024 when the newly landscaped gardens were completed.
The company continues to be heavily oversubscribed for its funds.
## **FUTURE PLANS**
The directors reviewed the main categories in March 2024 and agreed to continue grant making activities in the three main categories of education, health and welfare and to add a new category of the environment, as well as encouraging company members to identify other areas of interest.
The revised objectives are as follows:
## **2024/2025 Strategic Aims**
1 Education: To enable people to benefit from educational opportunities and to support excellence;
2 Environment: To protect or restore climate-critical habitats and slow down climate change; 3 Health: To sustain good health and to increase medical knowledge through research; 4 Welfare: To improve the quality of life in disadvantaged communities;
- 5 The Trust: To strengthen family engagement in the Trust; and
- 6 Financial: To maintain and increase the endowment for the benefit of future beneficiaries.
## **2024/2025 Objectives**
1 Education:
- 1.1 to fund extra-curricular artistic and sporting activities for children; and
- 1.2 to nurture ability and talent at all ages.
## 2 Environment:
- 2.1 to support local initiatives that help biodiversity and the natural environment; and
- 2.2 to challenge and prevent environmentally damaging activities.
6
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
3 Health:
- 3.1 to maintain and improve the mental health of children and young people; and 3.2 to support people with dementia.
## 4 Welfare:
- 4.1 to support refugees and asylum seekers; and 4.2 to support people without secure homes and food.
- 5 The Trust:
- 5.1 to identify areas of interest for family members; and 5.2 to encourage younger members to become involved in the Trust.
6 Financial:
- 6.1 To adopt investment strategies to maintain and increase the endowment and to achieve a sustainable return for expenditure on grants; and
- 6.2 To minimise administration and investment management costs by periodic review.
## **FINANCIAL REVIEW**
Full details of the company’s financial position can be found in the financial statements. The sole funding source of the company is its investments and investment income. The company does not fund raise from the public, nor does it use volunteers.
In previous years the directors had agreed that the funds available for grants in each financial year would be the amount of the previous year’s surplus of unrestricted income over expenses as shown in the previous year’s accounts. In 2021, the directors agreed to increase the funds available for grants in accordance with the revised financial objectives and a transfer of £30,000 has been made from the expendable endowment fund to finance additional grant expenditure this year and next. In the year ending 5 April 2024, the directors approved unrestricted fund grants of £537,100.
## **Investment Performance**
The company’s principal investments are in stocks, bonds and listed securities.
Rathbone Investment Management Limited act as the company’s investment managers. The directors have given them discretion to manage the portfolio within the agreed risk profile subject to an ethical investment restriction on tobacco companies, armaments manufacturers and fossil fuels. The investment objective is to achieve a balance of capital growth and income generation from a portfolio of investments with an overall medium risk profile and a spread of asset classes.
The benchmark for performance measurement is the MSCI PIMFA Balanced Index. Portfolio movement for the year was +5.91% (net of fees) against the benchmark of +12.20%.
7
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
## **Reserves**
The reserves policy is reviewed by the directors on an annual basis.
The expendable endowment fund is available for release into the unrestricted fund at any time. Periodic transfers will be made to the unrestricted fund for expenditure on grants, provided a sustainable return is maintained in accordance with the overall strategic aim of maintaining and increasing the endowment.
The company has free reserves of £594,494. It is the policy of the company to keep reserves sufficient to meet expenditure on charitable activities for at least twelve months and accordingly the directors aim to have unrestricted reserves of £700,000 held in cash and in easily realisable liquid assets. Each financial year the directors will review the financial objectives and reserves policy and will take advice from Rathbones to ensure that the grant-making policy is still reasonable in all the circumstances, taking into account inflation. They will then agree a prudent level of withdrawal for the year to ensure that the endowment fund will maintain its value in the longer term.
The company’s full reserves at 5 April 2024 were £25,093,112, comprising £644,494 held in the unrestricted fund and £24,448,618 in the expendable endowment fund.
The free reserves of £594,494 do not include the designated fund of £50,000 for the 2024/2025 grant that the company is not yet committed to make.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **CONSTITUTION**
The Newby Trust was established in December 1937 by Mr H N Smith, the industrialist who developed Smith & Nephew plc. Newby Trust Limited (“the company”) was registered as a company limited by guarantee in January 1938 and as a charity in May 1964. The company is governed by its Articles of Association.
## **DIRECTORS AND TRUSTEES**
The directors of the company are its trustees for the purpose of charity law. The current directors are all descendants or spouses of descendants of the founder and it is likely that new directors will be recruited from within the family for the foreseeable future. There are three branches of the family descended from the founder’s grandchildren and the directors aim to maintain a balance between experienced and new directors and between the family branches. The directors would be willing to recruit external directors if they considered that the company would benefit from specialist knowledge.
The more senior members of the board and the company secretary deliver induction training for new directors which includes providing information about the company and its objectives together with summaries of the responsibilities of company directors and trustees. The directors receive updates on current regulatory requirements from the company secretary and may attend external training courses as necessary.
8
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
As set out in the Articles of Association, the members of the company at the annual general meeting may increase or reduce the number of directors. The board may appoint a director to fill a casual vacancy and may also appoint an additional director who shall retire from office at the following annual general meeting but will be eligible for re-election. One third of the board retires by rotation each year and is eligible for re-election.
## **MANAGEMENT**
The directors meet twice each year to approve grants, review objectives and manage the business of the company. The day-to-day running of the company is delegated to the company secretary who is responsible for receiving and dealing with grant applications and with initiating all payments. The company secretary reports to the directors regularly between directors’ meetings.
The directors manage the company with minimal administrative expenditure and receive no salary. The company secretary is the only key member of management of the company. The directors review her salary on a yearly basis. The Association of Charitable Foundations gathers information each year to benchmark grant-making foundation staff salaries and the directors refer to this information to set the remuneration package for the company secretary.
## **RISK MANAGEMENT**
The directors have considered the major risks to which the company is exposed and have established systems and procedures to manage the risks.
The company’s grants are made from the expendable endowment fund. The directors aim to maximise the return on the company’s portfolio and believe the major risk facing the company remains a significant fall in global stock markets. To mitigate this risk, the directors keep the investment policy of the company under review and regularly monitor the performance of the portfolio.
The directors are aware that having a sole member of staff in charge of payments does constitute a risk. However, all payments require two signatures and the directors and accountants monitor internal financial controls.
The company’s portfolio is invested in global markets which may see significant fluctuations from time to time as a result of a pandemic, war or other event. As the company is a long-term investor, the directors intend to maintain the company’s existing investment strategy but will keep the situation under close consideration in consultation with the company’s investment managers.
## **PUBLIC BENEFIT**
The directors have had regard to the Charity Commission’s guidance on public benefit and are satisfied that the company meets the public benefit requirement.
## **STATEMENT OF RESPONSIBILITIES OF THE TRUSTEES**
The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with 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).
9
## **Newby Trust Limited**
## **Report of the trustees**
## **For the year ended 5 April 2024**
Company law 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 income and expenditure of the charity for that period. In preparing those 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 accounting estimates that are reasonable and prudent;
- state whether applicable UK accounting standards and statements of recommended practice 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 proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees 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.
In so far as the trustees are aware:
- there is no relevant audit information of which the charitable company's auditors are unaware; and
- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
## **Auditors**
Godfrey Wilson Limited were appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 10 October 2024 and signed on their behalf by
## Kate Callaghan
K Callaghan - Trustee
10
## **Independent auditors' report**
## **To the members of**
## **Newby Trust Limited**
## **Opinion**
We have audited the financial statements of Newby Trust Limited (the 'charity') for the year ended 5 April 2024 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related notes to the financial statements, including a summary of 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 5 April 2024 and of its incoming resources and application of resources, including its income and expenditure, 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 Companies Act 2006.
## **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 the provisions available for small entities, in the circumstances set out in note 6 to the financial statements, 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, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
11
## **Independent auditors' report**
## **To the members of**
## **Newby Trust Limited**
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.
## **Opinion on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the trustees’ report, which includes the directors’ report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the directors’ report included within the trustees’ report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees’ remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemptions in preparing the trustees’ report and from the requirement to prepare a strategic report.
## **Responsibilities of the trustees**
As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees (who are also the directors of the charitable company for the purposes of company law) 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 liquidate the charity or to cease operations, or have no realistic alternative but to do so.
12
## **Independent auditors' report**
## **To the members of**
## **Newby Trust Limited**
## **Our responsibilities for the audit of the financial statements**
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.
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 procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:
(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.
(2) We reviewed the charity’s policies and procedures in relation to:
- Identifying, evaluating and complying with laws and regulations, and whether they were aware of any instances of non-compliance;
- Detecting and responding to the risk of fraud, and whether they were aware of any actual, suspected or alleged fraud; and
- Designing and implementing internal controls to mitigate the risk of non-compliance with laws and regulations, including fraud.
(3) We inspected the minutes of trustee meetings.
(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.
(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.
(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.
(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:
▪Testing the appropriateness of journal entries;
▪Assessing judgements and accounting estimates for potential bias;
▪Reviewing related party transactions; and
▪Testing transactions that are unusual or outside the normal course of business.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
13
## **Independent auditors' report**
## **To the members of**
## **Newby Trust Limited**
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.
## **Use of our report**
This report is made solely to the charityʼs members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charityʼs members those matters we are required to state to them in an auditorʼs 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 charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.
Date: 10 October 2024
## **Robert Wilson FCA (Senior Statutory Auditor)**
For and on behalf of:
## **GODFREY WILSON LIMITED**
Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
14
## **Newby Trust Limited**
**Statement of financial activities** _(incorporating an income and expenditure account)_
## **For the year ended 5 April 2024**
|Note
**Income from:**
Investments
3
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
_Education_
_Health_
_Welfare_
_Special category - environment_
_Miscellaneous_
**Total expenditure**
4
Net gains / (losses) on investments
10
6
**Reconciliation of funds:**
Total funds brought forward
**Total funds carried forward**
**Net income / (expenditure)**
**and movement in funds**|Unrestricted
£
566,024
566,024
-
131,288
80,850
227,023
136,001
-
575,162
-
(9,138)
653,632
644,494|Endowment
£
-
-
100,295
-
-
-
-
-
100,295
789,982
689,687
23,758,931
24,448,618|**2024**
**Total**
**£**
**566,024**
**566,024**
**100,295**
**131,288**
**80,850**
**227,023**
**136,001**
**-**
**675,457**
**789,982**
**680,549**
**24,412,563**
**25,093,112**|2023
Total
£
556,459|
|---|---|---|---|---|
|||||556,459|
|||||99,660
112,734
62,491
188,807
151,645
21,663|
|||||637,000|
|||||(1,837,759)|
|||||(1,918,300)
26,330,863|
|||||24,412,563|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 15 to the accounts.
15
## **Newby Trust Limited**
## **Balance sheet**
## **As at 5 April 2024**
|Note
**Fixed assets**
Tangible fixed assets
9
Investments
10
**Current assets**
Debtors
11
Cash at bank and in hand
**Liabilities**
Creditors: amounts falling due within 1 year
12
**Net current assets**
**Total assets less current liabilities**
Creditors: amounts falling due after more than 1 year
13
**Net assets**
14
**Funds**
15
Unrestricted funds
Endowment funds
**Total charity funds**|**£**
**105,318**
**342,750**
**448,068**
**(93,640)**|**2024**
**£**
**-**
**24,743,684**
**354,428**
**25,098,112**
**(5,000)**
**25,093,112**
**644,494**
**24,448,618**
**25,093,112**|2023
£
-
24,183,374|
|---|---|---|---|
||||140,448
352,160|
||||492,608
(255,419)|
||||237,189|
||||24,420,563
(8,000)|
||||24,412,563|
||||653,632
23,758,931|
||||24,412,563|
During the financial year ended 5 April 2024, unrealised gains on the investment portfolio were reclassified from the Revaluation Reserve to Endowment Funds to better reflect the nature of these assets. This change is presentational only and does not affect the charity’s total funds or financial performance.
These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.
Approved by the trustees on 10 October 2024 and signed on their behalf by
Kate Callaghan
K Callaghan - Trustee
16
## **Newby Trust Limited**
## **Statement of cash flows**
## **For the year ended 5 April 2024**
|**Cash used in operating activities:**
Net movement in funds
Adjustments for:
Depreciation
(Gains) / losses on investments
Dividends, interest and rents from investments
Decrease / (increase) in debtors
(Decrease) / increase in creditors
**Net cash used in operating activities**
**Cash flows from investing activities:**
Dividends, interest and rents from investments
Proceeds from the sale of investments (note 10)
Purchase of investments (note 10)
**Net cash provided by investing activities**
**Decrease in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
**Cash and cash equivalents comprise:**
Cash at bank and at hand
Cash held in investments (note 10)|**2024**
**£**
**680,549**
**-**
**(789,982)**
**(566,024)**
**35,130**
**(164,779)**
**(805,106)**
**566,024**
**8,171,444**
**(8,558,048)**
**179,420**
**(625,686)**
**1,001,038**
**375,352**
**342,750**
**32,602**
**375,352**|2023
£
(1,918,300)
533
1,837,759
(556,459)
(9,231)
96,837|
|---|---|---|
|||(548,861)|
|||556,459
2,647,260
(3,106,652)|
|||97,067|
|||(451,794)
1,452,832|
|||1,001,038|
|||352,160
648,878|
|||1,001,038|
The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.
17
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **1. Accounting policies**
## **a) Basis of preparation**
Newby Trust Ltd is a charitable company limited by guarantee registered in England and Wales. The registered office address is Hill Farm, Froxfield, Petersfield, Hampshire, GU32 1BQ.
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Newby Trust Limited 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.
## **b) Going concern basis of accounting**
The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of the expendable endowment fund. There are no material uncertainties about the charity's ability to continue as a going concern.
## **c) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
## **d) Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.
## **e) Funds accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. The restricted capital fund comprises an expendable endowment fund. The income generated by the funds held on this endowment are unrestricted and are, therefore, included as part of the unrestricted income funds for the year.
## **f) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
18
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **1. Accounting policies (continued)**
## **g) Grants payable**
Grants which have been authorised and paid are included as expenditure in the Statement of Financial Activities. Grants which have been authorised but not yet paid are accrued in the balance sheet and are included within creditors falling due within one year or after one year (as appropriate).
## **h) Allocation of support and governance costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities based on staff time. The allocation of costs to charitable activities is apportioned based on the value of individual grants made:
|e value of individual grants made:|||
|---|---|---|
||**2024**|2023|
|Raising funds|0%|2%|
|Charitable activities|||
|_Education_|23%|21%|
|_Health_|14%|12%|
|_Welfare_|39%|34%|
|_Special category - environment_|24%|27%|
|_Miscellaneous_|0%|4%|
## **i) Tangible fixed assets**
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
Computer equipment 3 years
Items of equipment are capitalised where the purchase price exceeds £500.
## **j) Listed investments**
Listed investments traded on a recognised stock exchange are stated at fair value at the reporting date, which is deemed to be their market value. Any gain or loss, whether realised or unrealised, is taken to the Statement of Financial Activities. Listed investments also includes cash and cash equivalents held for re-investment purposes.
## **k) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **l) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Cash held by the investment managers for the purposes of re-investment is included within listed investments on the balance sheet.
19
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
**1. Accounting policies (continued)**
## **m) Creditors**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **n) Financial instruments**
- The trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.
## **o) Foreign currency transactions**
Transactions in foreign currencies are translated at rates prevailing at the date of the transaction. Balances denominated in foreign currencies are translated at the rate of exchange prevailing at the year end.
## **p) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the 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 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
There are no key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements.
20
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **2. Prior period comparatives: statement of financial activities**
|**Income from:**
Investments
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
Education
Health
Welfare
Special category - environment
Miscellaneous
**Total expenditure**
Net losses on investments
**Net income / (expenditure)**
Transfers between funds
**Net movement in funds**
**3.**
**Income from investments**
Dividends
Interest
**Total income from investments**|Unrestricted
£
556,459
556,459
849
112,734
62,491
188,807
151,645
21,663
538,189
-
18,270
(19,762)
(1,492)|£
-
-
98,811
-
-
-
-
-
98,811
(1,837,759)
(1,936,570)
19,762
(1,916,808)
**2024**
**Total**
**£**
**491,247**
**74,777**
**566,024**
Endowment|2023
Total
£
556,459|
|---|---|---|---|
||||556,459|
||||99,660
112,734
62,491
188,807
151,645
21,663|
||||637,000|
||||(1,837,759)|
||||(1,918,300)
-|
||||(1,918,300)|
||||2023
Total
£
535,328
21,131|
||||556,459|
All income from investments was unrestricted in the current and prior year.
21
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **4. Total expenditure**
|**Total expenditure**||||||||
|---|---|---|---|---|---|---|---|
|Grants payable (note 17)
Staff costs (note 7)
Professional fees
Other operating costs
Investment manager fees
**Sub-total**
Allocation of support and governance costs
**Total expenditure**|Raising
funds
£
-
-
-
-
100,295
100,295
-
**100,295**|_Education_
122,600
-
-
-
-
122,600
8,688
**131,288**|£
75,500
-
-
-
-
75,500
5,350
**80,850**
_Health_
Charitable|_Welfare_
£
212,000
-
-
-
-
212,000
15,023
**227,023**
activities|£
127,000
-
-
-
-
127,000
9,001
**136,001**
_Special_
_category -_
_environment_|£
-
23,334
11,940
2,788
-
38,062
(38,062)
**-**
Support and
governance
costs|**2024 Total**
**£**
**537,100**
**23,334**
**11,940**
**2,788**
**100,295**|
||||||||**675,457**
-|
||||||||**675,457**|
Total governance costs were £11,940.
22
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
**4. Total expenditure (continued) Prior year comparative**
|**Prior year comparative**
Grants payable (note 17)
Staff costs (note 7)
Professional fees
Other operating costs
Depreciation
Investment manager fees
**Sub-total**
Allocation of support and
governance costs
**Total expenditure**|Raising
funds
£
-
-
-
-
-
98,811
98,811
849
99,660|_Education_
104,000
-
-
-
-
-
104,000
8,734
112,734|_Welfare_
£
£
£
57,500
174,250
140,000
20,000
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
57,500
174,250
140,000
20,000
4,991
14,557
11,645
1,663
62,491
188,807
151,645
21,663
Charitable activities
_Health_
_Special_
_category -_
_environment Miscellaneous_|£
-
20,176
19,518
2,212
533
-
42,439
(42,439)
-
Support and
governance
costs|2023 Total
£
495,750
20,176
19,518
2,212
533
98,811|
|---|---|---|---|---|---|
||||||637,000
-|
||||||637,000|
Total governance costs were £19,518.
23
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **5. Grant commitments**
|Grant commitments brought forward
Grants committed during the period
Grants paid during the period
Total grant commitments|**2024**
**£**
**219,000**
**537,100**
**(693,100)**
**63,000**|2023
£
121,000
495,750
(397,750)|
|---|---|---|
|||219,000|
## **6. Net movement in funds**
This is stated after charging:
|Depreciation
Trustees' remuneration
Trustees' reimbursed expenses
Auditors' remuneration (excluding VAT):
Statutory audit|**2024**
**£**
-
**Nil**
**Nil**
**7,450**|2023
£
533
Nil
Nil
3,150|
|---|---|---|
In common with other charities of our size and nature we use our auditors to assist with the preparation of the financial statements.
## **7. Staff costs and numbers**
Staff costs were as follows:
|Salaries and wages|**2024**
**£**
**23,334**|2023
£
20,176|
|---|---|---|
No employee earned more than £60,000 during the current or prior year. There we no social security or pension costs in the current or prior year.
The key management personnel of the charity comprise the Trustees and the Company Secretary. The total employee benefits of the key management personnel were £23,334 (2023: £20,176).
The average headcount was 1 (2023: 1).
## **8. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
24
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **9. Tangible fixed assets**
|**Cost**
Cost at 6 April 2023 and 5 April 2024
**Depreciation**
Depreciation at 6 April 2023 and 5 April 2024
**Net book value**
**At 5 April 2024**
At 5 April 2023
**10. Investments**
Market value at 6 April
Additions
Disposal proceeds
Gains / (losses)
Market value at 5 April
Cash held pending reinvestment
**Total investments**
**11. Debtors**
Prepayments
Accrued income
**12. Creditors: amounts falling due within 1 year**
Accruals
Grants payable|£
1,599
1,599
**-**
-
**2024**
**£**
**23,534,496**
**8,558,048**
**(8,171,444)**
**789,982**
**24,711,082**
**32,602**
**24,743,684**
**2024**
**£**
**809**
**104,509**
**105,318**
**2024**
**£**
**35,640**
**58,000**
**93,640**
Computer
equipment|**Total**
**£**
**1,599**|
|---|---|---|
|||**1,599**|
|||**-**|
|||-|
|||2023
£
24,912,863
3,106,652
(2,647,260)
(1,837,759)|
|||23,534,496
648,878|
|||24,183,374|
|||2023
£
778
139,670|
|||140,448|
|||2023
£
44,419
211,000|
|||255,419|
25
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **13. Creditors: amounts falling due after more than 1 year**
|Grants payable
**14. Analysis of net assets between funds**
General
funds
£
Investments
-
269,356
Current assets
50,000
398,068
Current liabilities
-
(67,930)
Non-current liabilities
-
(5,000)
**Net assets at 5 April 2024**
**50,000**
**594,494**
**Prior year comparative**
£
Investments
-
399,356
Current assets
75,000
417,608
Current liabilities
-
(230,332)
Non-current liabilities
-
(8,000)
**Net assets at 5 April 2023**
75,000
578,632
Designated
funds
General funds
Designated
funds|**2024**
**£**
**5,000**
£
24,474,328
-
(25,710)
-
**24,448,618**
£
23,784,018
-
(25,087)
-
23,758,931
Endowment
fund
Endowment
fund|2023
£
8,000|
|---|---|---|
|||**Total**
**funds**
**£**
**24,743,684**
**448,068**
**(93,640)**
**(5,000)**|
|||**25,093,112**|
|||Total
funds
£
24,183,374
492,608
(255,419)
(8,000)|
|||24,412,563|
26
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **15. Movements in funds**
|**Movements in funds**|||||||
|---|---|---|---|---|---|---|
|**Endowment funds**
Expendable endowment
**Unrestricted funds**
_Designated funds:_
Small grants
_Total designated funds_
General funds
Total unrestricted funds
**Total funds**|At 6 April
2023
£
23,758,931
75,000
75,000
578,632
653,632
24,412,563|Income
£
-
-
-
566,024
566,024
566,024|£
(100,295)
(75,000)
(75,000)
(500,162)
(575,162)
(675,457)
Expenditure|£
50,000
50,000
(50,000)
-
-
Transfers
between
-|Investment
gains
789,982
-
-
-
-
789,982|**£**
**24,448,618**
**At 5 April**
**2024**|
|||||||**50,000**|
|||||||**50,000**|
|||||||**594,494**|
|||||||**644,494**|
|||||||**25,093,112**|
The Trust's expendable endowment fund is attributable to the donated capital of the company, accumulated gains (or losses) less investment manager fees thereon. The endowment is expendable at the discretion of the trustees on expenditure which meets the charitable objectives of the Trust.
## **Designated funds**
Small grants - funds set aside to support charities working to support individuals requiring small grants in the next financial year.
27
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
|**15. Movements in funds (continued)**
**Prior year comparative**
**Endowment funds**
Expendable endowment
**Unrestricted funds**
_Designated funds:_
Small grants
Career development
Ukraine
_Total designated funds_
General funds
Total unrestricted funds
**Total funds**|At 6 April
2022
£
25,675,739
75,000
24,000
10,000
109,000
546,124
655,124
26,330,863|Income
£
-
-
-
-
-
556,459
556,459
556,459|£
(98,811)
(75,000)
(24,000)
(10,000)
(109,000)
(429,189)
(538,189)
(637,000)
Expenditure|£
19,762
75,000
-
-
75,000
(94,762)
(19,762)
-
Transfers
between|£
(1,837,759)
-
-
-
-
-
-
(1,837,759)
Investment
losses|At 5 April
2023
£
23,758,931|
|---|---|---|---|---|---|---|
|||||||75,000
-
-|
|||||||75,000|
|||||||578,632|
|||||||653,632|
|||||||24,412,563|
## **16. Related party transactions**
There were no related parties in the current or prior period.
28
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
## **17. Grants payable**
During the year, 44 (2023: 48) grants were award to institutions. Total grants committed to during the current year are disclosed in the trustees' report. Grants committed to in the prior year consist of:
|Education
Cockpit Arts (over 3 years)
The Access Project
Action Foundation
Armonico Consort
BF Adventure
Chance to Shine (over 2 years)
Future Talent
Opera Holland Park
Pimlico Opera
The Wheels Project
Health
Action for Elders
Dementia Friendly Parishes
Forget-me-not Chorus Cardiff
Growing Well
The Harbour
Medics4RareDiseases
Power2
Rosemary Foundation
Somewhere House Somerset
Welfare
RL Glasspool Charitable Trust
AllAboard Watersports
Blackmore Vale Pantry
Breadwinners
Changing Tunes
The Family Haven
Gloucestershire Bundles
Hampton Trust
Hope in the Valley Riding for the Disabled
Jo Cox Foundation
JCWI
Kent Kindness
LASSN
Welfare grants carried forward|2023
£
24,000
10,000
10,000
5,000
5,000
14,000
6,000
10,000
10,000
10,000|
|---|---|
||104,000|
||5,000
5,000
6,000
7,500
5,000
5,000
10,000
9,000
5,000|
||57,500|
||75,000
5,000
6,250
5,000
5,000
5,000
5,000
10,000
1,000
7,500
10,000
2,000
6,000|
||142,750|
29
## **Newby Trust Limited**
## **Notes to the financial statements**
## **For the year ended 5 April 2024**
|**the year ended 5 April 2024**||
|---|---|
|Welfare
Welfare grants brought forward
Lifeshare
Mothers for Mothers
Period Power
Sleepsafe Selby
Trojan Women's Foundation
Special category-environment
Client Earth
Project Seagrass
Trees for Cities
LEAF
Cool Earth
Rewilding Britain
Heal Rewilding
Wicked Weather Watch
Miscellaneous
British Red Cross (Ukraine)
MySociety (TheyWorkForUs)|142,750
8,500
10,000
5,000
5,000
3,000|
||174,250|
||35,000
10,000
10,000
25,000
25,000
25,000
5,000
5,000|
||140,000|
||10,000
10,000|
||20,000|
||495,750|
Allocation of support costs to grant making activities is given in note 4.
30