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2022-04-05-accounts

F R RATCLIFF CHARITABLE SETTLEMENT

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

YEAR ENDED 5 APRIL 2022

F R RATCLIFF CHARITABLE SETTLEMENT

CONTENTS

Reference and Administrative Information 2
Trustees' Report 3 - 5
Independent Examiner's Report 6
Statement of Financial Activities 7
Balance Sheet 8
Notes to the Financial Statements 9 - 11

F R RATCLIFF CHARITABLE SETTLEMENT REFERENCE AND ADMINISTRATIVE INFORMATION

Registered Charity Number 237619
Founder Francis Rowlinson Ratcliff
Trustees David Martin Ratcliff - Chairman
Carolyn Margaret Ratcliff
Gillian Mary Thorpe
Honor Pauline Key
Christopher John Gupwell
Secretary Christopher John Gupwell
Address Woodlands
Earls Common Road, Stock Green
Redditch, Worcestershire
B96 6TB
Solicitors Shakespeares Martineau LLP
No.1 Colmore Square
Birmingham
B4 6AA
Accountants Shona Cutler Limited
Grove Farm Bungalow
Lincomb
Near Stourport-on-Severn
Worcestershire
DY13 9RB
Investment Managers Brewin Dolphin Limited
9 Colmore Row
Birmingham
B3 2BJ
Independent Examiner N Simkins FCA
Simkins Associates
The Dower House
Bonehill
Staffordshire
B78 3HX

F R RATCLIFF CHARITABLE SETTLEMENT

TRUSTEES' REPORT

The Trustees present their report and the financial statements for the year ended 5 April 2022. Details of the Settlement's operations during the year are set out in the financial statements on pages 7 to 11. The presentation complies with the Charities Act 2011 and the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)(effective 1 January 2019). The accounting policies adopted by the Settlement are set out in Note 1 on page 9.

Structure, Governance and Management

The Charity is governed by a Deed of Settlement dated 9 May 1964.

The Settlement is registered with the Charity Commission, registration number 237619, and has been accepted as a charity by the Inland Revenue. As such its income is exempt from taxation so long as it continues to be used for charitable purposes.

The Trustees who served during the year are set out on page 2. The power to appoint trustees is vested in David Martin Ratcliff during his lifetime. All matters of policy and management are determined at the regular meetings of the Trustees, usually held three times a year.

Prospective Trustees are invited to meet existing Trustees and attend at least one of their meetings. They are provided with extracts from the Trust Deed, information relating to the aims of the Settlement and copies of the Settlement's accounts.

They are made aware of the time they should expect to spend on trust matters and the responsibilities that trusteeship involves. They become signatories on the bank accounts and when all formalities are complete they are welcomed as fully working Trustees.

Public Benefit

The Trustees confirm that they have paid due regard to the guidance given by the Charity Commission on public benefit.

Risk Management

The Trustees keep under review the major strategic and operational risks which the Charity faces and are satisfied that systems have been established in order to minimise the possible effects of such risks on the Charity. The impact of Covid-19 on the day to day operations of the Charity has been minimal with the activities continuing and the grant to The Ratcliff Foundation being paid. Future returns on the investment portfolio are expected to recover to pre 2020 levels.

Settlement Provisions, Objectives, Activities and Grants Policy

The Settlement's constitution requires grants to be made to charitable institutions and objects and precludes donations to individuals. Whilst the Settlement's constitution provides for a wide range of charitable giving, for administrative ease its income is transferred in total to The Ratcliff Foundation and distributed as part of the Foundation's own income. The Trustees of the Charity are also Trustees of The Ratcliff Foundation and all grants made by the Foundation are considered by the Trustees to have been made for public benefit.

F R RATCLIFF CHARITABLE SETTLEMENT

TRUSTEES' REPORT (continued)

Settlement Provisions, Objectives, Activities and Grants Policy (continued)

The Settlement will continue until terminated by the Trustees. At the end of the trust period the trust fund will be paid or transferred to the British Red Cross Society.

Achievements, Performance and Going Concern

In accordance with normal practice all income was paid to The Ratcliff Foundation by way of grant. All governance costs and costs of generating funds were borne by the Foundation.

The Covid-19 pandemic and its continuing effect on markets in general was reflected in the value of Settlement's investments. The value of the portfolio at 5 April 2022 was £1,652,723 compared with £1,671,988 twelve months earlier.

The Trustees accept that the market value of the investment portfolio can fluctuate which may affect the overall level of reserves. The Trustees consider that the level and nature of the financial reserves at 5 April 2022 do not impact upon the assumption that the Charity is a going concern.

A surplus of £40,989 was made on investments sold during the year.

Financial Review

It is the aim of the Trustees, both presently and in the future, to maximize the income, consistent with their wish to maintain the real value of the Settlement's Endowed Fund, in order to distribute as much as possible to charitable organisations through The Ratcliff Foundation.

The financial statements for the year disclose details of the financial transactions. Income for the year fell from £61,024 in the year to 5 April 2021 to £43,457 in the year under review, largely as a result of Covid-19.

In the Trustees' opinion the Balance Sheet discloses funds adequate for the purpose of fulfilling the obligations of the Charity for the foreseeable future.

Reserves Policy

The Trust Deed requires the Trustees to distribute fully the Charity's income each year. There was no undistributed income at either 5 April 2021 or 5 April 2022.

Investment Policy

There are no restrictions on the Charity's power to invest. The Trustees have appointed Investment Managers on a discretionary basis who report to the Trustees at their regular meetings. The Trustees' aim is to produce an income return to enable them to continue the level of their grant giving, consistent with maintaining the real value of the capital of the Trust. The investment strategy is set by the Trustees who consider the income requirements, the risk profile and the investment managers' view of market prospects in the medium term. The funds may be invested in any type of investment.

F R RATCLIFF CHARITABLE SETTLEMENT

TRUSTEES' REPORT (continued)

Trustees' Responsibilities in relation to the Financial Statements

The Trustees are responsible for preparing the Trustees' Report and 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 & 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 incoming resources and the application of the resources of the Charity for that period. In preparing the financial statements the Trustees are required to:

The Trustees are responsible for keeping proper 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 Trust Deed. They are also responsible for safeguarding the assets of the Charity and hence for taking steps for the prevention and detection of fraud and other irregularities.

Approved by the Trustees and signed on their behalf:

D M Ratcliff

1 December 2022

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF F R RATCLIFF CHARITABLE SETTLEMENT

I report to the Trustees on my examination of the accounts of the Charity for the year ended 5 April 2022, which are set out on pages 7 to 11.

This report is made solely to the Charity's Trustees, as a body, in accordance with Regulation 31 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity's Trustees as a body, for my work, for this report, or for the statement I have made.

Responsibilities and basis for Report

As the Charity Trustees of The F R Ratcliff Charitable Settlement you are responsible for the preparation of the accounts in accordance with the Requirements of the Charities Act 2011 ('the Act').

I report in respect of my examination of the Charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent Examiner's Statement

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

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

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

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

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.

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

Nicholas Simkins FCA

Simkins Associates The Dower House Bonehill Staffordshire B78 3HX

1 December 2022

F R RATCLIFF CHARITABLE SETTLEMENT

STATEMENT OF FINANCIAL ACTIVITIES for the year ended 5 April 2022

------- ------- 2022 ------- ------- 2021 -------
Income Endowed Income Endowed
Fund
Fund
Total		 Fund
Fund
Total
£
£
£ £
£
£
Income and Expenditure
Income:
Investment income
Listed investments 43,457 43,457 61,006 61,006
Deposit interest - - 18 - 18
Total income 43,457 43,457 61,024 61,024
Expenditure:
Charitable activities
Grant to The Ratcliff
Foundation 43,457 43,457 61,024 61,024
Total expenditure 43,457 43,457 61,024 61,024
Net Gains/(Losses) on Investments
Realised 40,990 40,990 47,858 47,858
Unrealised (Note 6) (60,255)
(60,255)		 212,818 212,818
(19,265)
(19,265)		 260,676 260,676
Net movement in funds (19,265)
(19,265)		 260,676 260,676
Total funds brought forward
at 6 April 2021 1,671,988 1,671,988 1,411,312 1,411,312
Total Funds carried forward
at 5 April 2022 £1,652,723 £1,652,723 £1,671,988 £1,671,988

The notes on pages 9 to 11 form part of these financial statements

F R RATCLIFF CHARITABLE SETTLEMENT

BALANCE SHEET 5th April 2022

Notes 2022 2021
£ £
Fixed Assets
Investments 4 1,652,723 1,671,988
Net Assets £1,652,723 £1,671,988
Funds of the Charity
Endowed Fund
Restricted 6 1,652,723 1,671,988
Income Fund
Unrestricted 6 - -
Total Funds of the Charity £1,652,723 £1,671,988

The notes on pages 9 to 11 form part of these financial statements Approved by the Trustees on 1 December 2022 and signed on their behalf:

D M Ratcliff

F R RATCLIFF CHARITABLE SETTLEMENT

NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2022

1. Accounting Policies

These financial statements have been prepared in accordance with the Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)(effective 1 January 2019) and the Charities Act 2011.

The Charitable Settlement constitutes a public benefit entity as defined by FRS 102.

The particular accounting policies adopted are as follows:

The financial statements are prepared on the historical cost basis of accounting modified to include listed investments at market value. Incoming resources and the application of those resources have been accounted for under the accruals basis of accounting.

Income from investments is accounted for in the year in which it is receivable. Interest on deposits is accounted for in the year in which it is received.

The Charity has taken advantage of the exemption available under the Charities SORP (FRS 102) Update Bulletin 1 not to prepare a Cash Flow Statement.

2. Taxation

The Settlement is a registered charity, number 237619, and is exempt from Income Tax, Corporation Tax and Capital Gains Tax provided its income and gains are applied for charitable purposes.

F R RATCLIFF CHARITABLE SETTLEMENT

NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2022 (continued)

3. Staff Costs, Trustees' Remuneration and Other Benefits

There were no full or part time employees during the year or during the previous year.

No remuneration was paid or payable in respect of the year out of the funds of the Settlement either directly or indirectly to any Trustee or to any person known to be connected with them.

No expenses were reimbursed to any Trustee during the year.

2022
 2021
£
 £
4. Investments
Listed Investments
Cost
At 6 April 2021 1,520,095 1,490,022
Additions 195,681 752,471
Cost of sales (124,643) (722,398)
At 5 April 2022 1,591,133 1,520,095
Market Value Adjustment
At 6 April 2021 111,133 (101,685)
Adjustment for the year (60,255) 212,818
At 5 April 2022 50,878 111,133
Market Value at 5 April 2022 £1,642,011 £1,631,228
Investments at Market Value comprised
Fixed interest 674,913 730,005
Equities 618,860 562,672
Investment and Unit trusts 348,238 338,551
1,642,011 1,631,228
Uninvested cash 10,712 40,760
£1,652,723 £1,671,988

All investment assets were held within the UK. At 5 April 2022 the Settlement held the following investments which individually represented in excess of 5% of the total value of the portfolio:

Market
Cost Value
Fixed Interest % £ £
Berkeley Group Plc
£100,000 2.5% Bonds 2031 5.46 100,175 89,678
Jupiter Strategic Bond Fund
132 ncome units 7.60 135,020 124,816
John Lewis Plc
£100,000 4.25% Bonds 2034 5.64 100,126 92,643
Maitland
£109,602 Managers bond 6.92 125,000 113,701

F R RATCLIFF CHARITABLE SETTLEMENT

NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2022 (continued)

4. Investments (continued)

Investments individually representing in excess of 5% of the total value of the portfolio (continued).

of the portfolio (continued).
Market
Cost Value
% £ £
Fixed Interest(continued)
Marks & Spencer
£130,000 3.25% Bonds 2027 8.01 130,267 131,594
Whitbread
£100,000 3.0% notes 2031 5.93 101,119 97,409
Equities, Investment and Unit Trusts
Ishares Core FTSE 100
21,713 UCITS ETF 7.16 105,000 117,641
Schroder Unit Trusts
Asian Income units 6.85 103,997 112,509
Bny Mellon Global
US Equity units 6.02 80,000 98,858

5. Funds

The Settlement has two funds, the Income Fund and the Endowed Fund. The Income Fund consists of unrestricted income which must be

distributed each year by 5 April. The Endowed Fund forms the Settlement's general capital and is not available for distribution.

6. Analysis of Assets between Funds

Analysis of Assets between Funds
Income Endowed
Fund Fund Total
£ £ £
Breakdown of net assets at 5 April 2022
Listed investments 1,642,011 1,642,011
Cash held by investment manager - 10,712 10,712
- £1,652,723 £1,652,723
Breakdown of net assets at 5 April 2021
Listed investments 1,631,228 1,631,228
Cash held by investment manager - 40,760 40,760
- £1,671,988 £1,671,988

7. Connected Charity

The Ratcliff Foundation is a connected charity which receives a grant from the F.R. Ratcliff Charitable Settlement each year.