## **F R RATCLIFF CHARITABLE SETTLEMENT** 

**TRUSTEES' REPORT AND FINANCIAL STATEMENTS** 

**YEAR ENDED 5 APRIL 2023** 



**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|



- 1 - 



**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**|RBC Brewin Dolphin Limited|
||6thFloor|
||The Chatwin Building|
||81 Colmore Row|
||Birmingham|
||B3 2BA|
|**Independent Examiner**|N Simkins FCA|
||Simkins Associates|
||Butt Farm|
||Main Road|
||Great Haywood|
||Staffordshire|
||ST18 0TF|



- 2 - 



**F R RATCLIFF CHARITABLE SETTLEMENT** 

## **TRUSTEES' REPORT** 

The Trustees present their report and the financial statements for the year ended 5 April 2023. 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. 

## **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. 

- 3 - 



## **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 value of the portfolio at 5 April 2023 was £1,502,543 compared with £1,652,723 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 2023 do not impact upon the assumption that the Charity is a going concern. 

A surplus of £19,900 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 rose from £43,457 in the year to 5 April 2022 to £54,020 in the year under review. 

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 2022 or 5 April 2023. 

## **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. 

- 4 - 



**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: 

- select suitable accounting policies and 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; 

- prepare the financial statements on a going concern basis unless it is inappropriate to assume that the Charity will continue to operate. 

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** 

## **6[th] December 2023** 

- 5 - 



**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 2023, 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. 

The Trustees have assessed that the current and future financial position does not impact upon the assumption that the Charity is a going concern. 

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 Butt Farm Main Road Great Haywood Staffordshire ST18 0TF 

6[th] December 2023 

- 6 - 



## **F R RATCLIFF CHARITABLE SETTLEMENT** 

## **STATEMENT OF FINANCIAL ACTIVITIES for the year ended 5 April 2023** 

||-------|-------|**2023**||-------||-------|**2022**|||-------||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
||**Income**||**Endowed**||||**Income**|**Endowed**|||||
|||**Fund**|<br>**Fund**||<br>**Total**||**Fund**|<br>**Fund**|||<br>**Total**||
|||**£**|<br>|**£**|<br>|**£**|**£**|<br>||**£**|<br>|**£**|
|**Income and Expenditure**|||||||||||||
|**Income:**|||||||||||||
|Investment income|||||||||||||
|Listed investments|54,020||||54,020||43,457||||43,457||
|Deposit interest||-|||-||-||-||-||
|Total income|54,020||||54,020||43,457||||43,457||
|**Expenditure:**|||||||||||||
|Charitable activities|||||||||||||
|Grant to The Ratcliff|||||||||||||
|Foundation|54,020||||54,020||43,457||||43,457||
|Total expenditure|54,020||||54,020||43,457||||43,457||
|Net Gains/(Losses) on Investments|||||||||||||
|Realised|||19,900||19,900|||40,990|||40,990||
|Unrealised|||(170,080)||<br>(170,080)|||(60,255)|||<br>(60,255)||
||||(150,180)||<br>(150,180)|||(19,265)|||<br>(19,265)||
||||||||||||||
|**Net movement in funds**|||(150,180||(150,180)|||(19,265)|||<br>(19,265)||
|Total funds brought forward|||||||||||||
|at 6 April 2022|||1,652,723||1,652,723|||1,671,988|||1,671,988||
|**Total Funds carried forward**|||||||||||||
|**at 5 April 2023**|||£1,502,543||£1,502,543|||£1,652,723|||£1,652,723||



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

- 7 - 



**F R RATCLIFF CHARITABLE SETTLEMENT** 

## **BALANCE SHEET 5th April 2023** 

||**Notes**|**2023**|**2023**|**2022**|**2022**|
|---|---|---|---|---|---|
||||**£**||**£**|
|**Fixed Assets**||||||
|Investments|4|1,502,543||1,652,723||
|**Net Assets**||£1,502,543||£1,652,723||
|**Funds of the Charity**||||||
|**Endowed Fund**||||||
|Restricted|6|1,502,543||1,652,723||
|**Income Fund**||||||
|Unrestricted|6|-||-||
|**Total Funds of the Charity**||£1,502,543||£1,652,723||



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

Approved by the Trustees on 6[th] December 2023 and signed on their behalf: 

## **D M Ratcliff** 

- 8 - 



**F R RATCLIFF CHARITABLE SETTLEMENT** 

**NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2023** 

## **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: 

- (a) Accounting Convention 

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. 

- (b) Listed Investments 

   - Listed investments held as fixed assets are stated at market value less any provision for a permanent diminution in value since the balance sheet date. 

- (c) Investment Gains and Losses 

   - Realised and unrealised gains and losses on investments are accounted for through the Endowed Fund. 

- (d) Investment Income 

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. 

- (e) Charitable Grants 

   - Charitable grants to The Ratcliff Foundation are accounted for in the year to which they relate, although payment may not be made until a future date. 

- (f) Fund Accounting 

The Charity's income is paid each year to The Ratcliff Foundation by way of grant.  The Endowed Fund is not available for distribution. 

## (g) Cash Flow Statement 

- 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. 

- 9 - 



**F R RATCLIFF CHARITABLE SETTLEMENT** 

**NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2023** (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. 

|||**2023**<br>|2022|
|---|---|---|---|
|||**£**<br>|**£**|
|**4.**|**Investments**|||
||**Listed Investments**|||
||**Cost**|||
||At 6 April 2022|1,591,133|1,520,095|
||Additions|35,568|195,681|
||Cost of sales|(55,717)|(124,643)|
||At 5 April 2023|1,570,984|1,591,133|
||**Market Value Adjustment**|||
||At 6 April 2022|50,878|111,133|
||Adjustment for the year|(170,080)|(60,255)|
||At 5 April 2023|(119,202)|50,878|
|||||
||**Market Value at 5 April 2023**|£1,451,782|£1,642,011|
||**Investments at Market Value comprised**|||
||Fixed interest|582,130|674,913|
||Equities|605,369|618,860|
||Investment and Unit trusts|264,283|348,238|
|||1,451,782|1,642,011|
||Uninvested cash|50,761|10,712|
|||£1,502,543|£1,652,723|
||All investment assets were held within the UK. At 5 April 2023 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**|**%**|**£**|**£**|
|Jupiter Strategic Bond Fund||||
|132 ncome units|7.69|134,742|111,688|
|Maitland||||
|£109,602 Managers bond|7.01|124,803|101,856|



- 10 - 



**F R RATCLIFF CHARITABLE SETTLEMENT** 

**NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2023** (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|8.36|130,267|121,499|
|Whitbread||||
|£100,000 3.0% notes 2031|5.78|101,070|83,902|
|**Equities, Investment and Unit Trusts**||||
|Ishares Core FTSE 100||||
|21,713 UCITS ETF|7.51|116,858|109,119|
|Schroder Unit Trusts||||
|Asian Income units|7.22|103,997|104,859|
|Bny Mellon Global||||
|US Equity units|6.92|80,000|100,486|
|Relx Plc|5.11|61,991|74,156|



## **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 2023**||||
|Listed investments||1,451,782|1,451,782|
|Cash held by investment manager|-|50,761|50,761|
||-|£1,502,543|£1,502,543|
|**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|



## **7. Connected Charity** 

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

- 11 -