DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND ANNUAL REPORT AND ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Charlty Commlsslon Reference Number 241812
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND TRUSTEES REPORT FOR THE YEAR ENDED 5 APRIL 2025 LEGAL AND ADMINISTRATIVE DETAILS Principal Office: Suite 16b Beehive Lions Drive Shadsworth Business Park Blackburn BB12QS Charity Number: 241812 Trustees: Mr J M Sutcliffe (Chairman) Mrs A M Elder Dr S G Lindley The Very Reverend P Howell-Jones Mr A J Palmer Professor l Tracey Mr M Elliott Bankers: Handelsbanken 1 St Floor, Wallander House, Capricorn Bus Park, Blakewater Road, Blackburn, BB1 5QR Investment Manager: Investec Wealth & Investment The Plaza, 100 Hall Street, Liverpool, L3 9AB Solicitors: DWF LLP, 1 Scott Place, 2 Hardman Street Manchester, M3 3AA Custodian: Investec Wealth & Investment Audltors: MHA Chartered Accountants 9 Winckley Square. Preston, PR13HP Secretary: Mrs H Binns, Suite 16b. Beehive, Lions Drive. Shadsworth Business Park, Blackburn, BB12QS PogL, I
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND TRUSTEES REPORT FOR THE YEAR ENDED 5 APRIL 2025 The financial statemenls have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland effective October 2019. STRUCTURE, GOVERNANCE AND MANAGEMENT The Trust The trust, commonly known as the John Pilling Trust. was sel up in 1957 by John and Margaret Pilling, principally for the purpose of assisting Anglican churches to maintain good music in their services. The trust is a registered charity and Ihe trust deed is dated 10 May 1957. John Pilling died in 1996 and bequeathed the bulk of his estate lo the trust. 11 is this bequest which accounls for virtually the whole trust fund. As trustees, we have regard lo what we believe would be John Pilling's wishes when exercising our discrelion. We do not carry out any fundraising. The Trustees The Trustees are listed on Page 1. All served throughout the year. We re1ve no remuneration, but we do receive some expenses., see Note 3. We usually meet tice a year to deal with grant applications and to receive a report from our fund managers. The trust deed prescribes that there must be at least trustees but not more than seven. New trustees are appointed by existing trustees who periodically assess what skills and experience are needed to maintsin an appropriate balance. New trustees receive an induction pack with a copy of the trust deed, recent accounts and minutes. They are also given a copy of the Charily Commission's guidance 'The Essential Trustee - What you need to know. (CC31. Administration Routine administration is in the hands of the Secretary. See Page 1 and also 'Applying for a Grant, below. Rlsk Management We assess the major risks lo which the charity is exposed, and we have suitable controls to mitigate them. The principal risk faced by the charity lies in the performance of inveslments. This is mitigated by retaining expert investment managers and having a diversified investment portfolio. OBJECTIVES- GRANT MAKING- PUBLIC BENEFIT Objectives The objectives of the trust are set out in the trust deed. lil to advance the religious beliefs of the Church of England together with the maintenance of the musical side of church services Church, includes Churches, Chapels, Collegiate Churches and Cathedrals of the Anglican Communion, and lill the advancement of education. Pogc, 2
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND TRUSTEES REPORT FOR THE YEAR ENDED 5 APRIL 2025 Grant Making To promote these objectives, we usually make grants at our discretion to churches in need of funds for their church organs or their choirs. We also make grants to bodies training young organists. The grants agreed during the year are listed in note 3. They amounted to £104,085 (2024.. £119,237). Outstanding offers at the year-end were £74,50012024= £89,000). Our grants are usually paid only when the applicant is committed to their proposal. We can then be satisfied that the money will be spent on promoting the objectives of the trust. There are vastly more potential applicants for a grant than we could accede to. So, to reduce the number of unsuccessful applications we decided not, for the time being, lo a¢p1 applicalions from churches in the Province of Canterbury. Applying for a Grant Anyone wanling more informalion or wishing to make an application should gel in touch with Charlotte Kay. Her address is on Page 1, phone number is 03330 910411, email.. cka beeverstruthers.co.uk Fundraising The Charity does not do any fundraising activities. Public Benefit There are many thousands of churches in the Church of England as well as elsewhere in the Anglican Communion. Generally, these churches set out to welcome and serve their whole communities and not just committed Anglicans. Good music is often vital for their mission. Good church music means having good musicians and, especially, good organists. They need appropriate education and training. We confimi that we have refeed to the guidance contained on the Charity Commission website in relation to charitable purposes and public benefrt when reviewing our aims and objectives and in setting our grant making policy for the year. FINANCE Results for the year :. Total income exceeded expenditure, prior to net gainslllosses) on inveslments, by £165.901 12024.. £180,800). Total income exceeded expenditure. post net gainsl(losses) on investments, by £3,451 12024.. £827,618). Revaluation and disposal of investmenls resulted in a loss of £162,450 in Ihe year compared to a gain of £646,818 in the previous year. This is analysed as a realised gain of £213,764 and an unrealised loss of£376,214. Pogc, 3
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND TRUSTEES REPORT FOR THE YEAR ENDED 5 APRIL 2025 INVESTMENTS AND RESERVES Policy We have wide investment powers. We maintain a substantial sum on deposit forourshort-term needs. We have appointed managers with delegated powers to invest the balance with nominees to hold the investments. See the list on page 1. The managers are to invest their portfolio in securities quoted on a recognised stock exchange. Their objective is to produce a total return in line with the MSCI WMA Balanced benchmark total return. The portfolio is to be invested mainly in equities including overseas equities. We do not have a policy on socially responsible investing, preferring to rely on the good judgement of the managers. Performance For the financial year 5th April 2024 to 5th April 2025 the Pilling Trust capilal valuation appreciated 0.0920/. from £13,053,395 10 £13,172,992 (including cash balances}. The income yield on the portfolio was 2.50/0 or £326,552. Interest received from the balance held at COIF was £24,196. a retum of about 4.5% on a balance of£476,000. Market Overrfiew Global equity markets have delivered strong returns this year, supported by resilient macroeconomic conditions and easing monetary policy. While valualions-particularly in the U.S.-remain historically elevated, the backdrop for risk assets continues to be conslruclive. In 2026, we expect dovish central banks and falling interest rates to provide further support to markets. Al the same time, global investment in technology, defence, and infrastructure should inject momentum into the current market cycle, reinforcing structural growth themes. Economic Outlook Global growth is moderating but remains broadly resilient. This resilience is underpinned by innovation-led capital expenditure and policies aimed at strategic autonomy, particularly in areas such as energy security and supply-chain diversification. Inflation risks persist. driven by pro-cyclical fiscal policies, ongoing supply-chain reconfiguration, and challenges associated with the energy transition. These dynamics suggest that while headline inflation is trending lower, price pressures may remain sticky in certain seclors. Corporate Earnings and Valuations Despite concerns over valualions, corporate earnings have been exceptional. In the U.S. third-quarter S&P 500 earnings rose approximately 110/0 year-on-year, comfortably beating earlier forecasts of 8 %. Technology continues to lead Ihe way, but slrength has also been evident in financials and consumer discretionary sectors. U.S. mega-cap technology firms posted earnings growth of around 300/0 year-on- year, driven by robusl demand for Al infrastructure and cloud servIs. This earnings momentum has helped justify elevated valuations, though concentration risk in a handful of large technology names remains a consideration. Reserves Policy We consider that the demand for grants will continue indefinitely. Though we can and do spend capital as well as income, we consider the fund at £13,425,73812024.' £13,417,787) being the amount not earmarked for a specific purpose, to be satisfactory. We do not propose to raise more funds.
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND TRUSTEES REPORT FOR THE YEAR ENDED 5 APRIL 2025 Trustees, Responsibilities Statement The Trustees are responsible for preparing the Trustee's Report and the financial ststements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally ACpted Accounting practi). The law applicable to Gharities in England and Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the trust and of the incoming resources and applicalion of resources of the trust for that period. In preparing these financial statements, the Trustees are required to.. select suitable accounting policies and then apply them consistently., observe the methods and principles in the Charities SORP., make judgements and estimates Ihat are reasonable and prudent., state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements, and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the trust will continue in operation. The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the trust, and enable them to ensure that the financial statements comply with the Charities Act 2011. the Charity (Accounts and Reports} Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the trust and hence for taking reasonable sleps for the prevention and detection of fraud and other irregularities. Audltors We have appointed MHA Chartered Accountants as auditors of the trust. Approved by the trustees on Ap.ril 3. 2026 and signed on their behalf by: J M Sutcliffe Pogc, 5
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES OF THE PILLING TRUST FUND Opinion We have audited the financial statements of The Pilling Trust Fund (the 'charity'l for the year ended 5 April 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Cashflow Statement and 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 FRS 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 2025, and of its incoming resources and application of resources, for the year then ended., have been properly prepared in accordance with the United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Charities Act 2011. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK and Ireland) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of 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 FRC'S Ethical Standard, and we have fulfilled our ethical responsibilities in accordance wilh these requirements. We believe that the audit evidence 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 significanl doubt on the charily'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 infomiation The other infomiation comprises the information included in the trustees, annual report, other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent othetwise explicilly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is lo 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 wnclude 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. PogL, 6
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES OF THE PILLING TRUST FUND Matters on which we are required to report by exception We have nothing to report in respect of the following matters in relation to which the Chartties {Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion.. the information given in the financial ststements is inconsistent in any material respect with the Trustees, Annual Report,. or sufficienl accounting records have not been kept: or the financial statements are nol in agreement with the accounting records and returns., or we have not reiVed all the information and explanations we require for our audit. Responsibilities of trustees As explained more fully in the Trustees, Responsibilities Statement set out on page 5, the trustees are responsible for the preparation of the financial slatements which give a true and fair view, and for such internal conlrol as the trustees determine is necessary to enable Ihe preparation of financial slalements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charily's abilily to conlinue as a going COnrn, disclosing. as applicable. matters related to going concern and using the going concerns basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realislic alternalive but to do so. Auditors responsibilities for the audit of the financial statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act. Our objectives are to obtsin reasonable assuran 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 IUKI 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 Influen 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 malerial misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularilies. including fraud, is detailed below Enquiries with rnanagement about any known or suspected instances of non-compliance with laws and regulations- Enquires with management aboul any known or suspected instances of fraud- Review of minutes of board meetings., Auditing the risk of fraud in revenue, including through the testing of income cut off at the period end and through income transaction testing to provide comfort that revenue is completely stated in the financial statements; and Examination of journal entries and other adjustments to test for appropriateness and identify any instances of management override of controls PogL, 7
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 INDEPENDENT AUDITORS, REPORT TO THE TRUSTEES OF THE PILLING TRUST FUND Because of the inherent limitations of an audit, there is a risk that we will nol detect all irregularities, including those leading to a malerial misstatement in the financial slalemenls or non-compliance with regulalion. This risk increases Ihe more that compliance with a law or regulalion is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non- compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description of our responsibilities is available on the Financial Reporting Council's website at: https=Ilwww.frc.org.uklOur-WorklAuditlAudit-and-assurancelStandards-and-guidance/Standards-and- guidance-for-auditorslAuditors-responsibililes-for-auditlDescription-of-auditors-responsibilities-for- audit.aspx. This descriplion forms part of our auditor's report. Use of our report This report is made solely lo the charity's truslees, as a body, in accordance with Part 4 of the Charites (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body. for our audit work, for this report, or for the opinions we have formed. hHA MHA Chartered Accountants and Statutory Audltor 9 Winckley Square Preston Lancashire PR1 3HP Date: April 8. 2026 MHA is eligible to act as an auditor in temis of section 1212 of the Companies Act 2006 MHA is the trading name of MHA Audit Services LLP, a limited liability partnership in England and Wales (registered number OC455542}. Pogc, 8
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 5 APRIL 2025 Notes 2025 2024 Unr•strlct•d Unmstrlct•d Income: Investment income 350.749 376.148 Total Income 350.749 376.148 Expenditure: Charitable activities: Support of church and organ music 128.794 142.687 Other Investment management costs 56,054 52,661 Total expenditure 184,848 195,348 Net incomingl(outgoingl resources before other recognised gains and losses on investments 165,901 180,800 Realised and unrealised gainsl(losses) on investment assets 1162,450) 646,818 Net movements in funds 3,451 827,618 Fund balances brought fonNard- 6 April 2024 13,506,787 12,679,169 Fund balances carried forward- 5 April 2025 13,510.238 13,506.787 The notes on pages 12 to 18 form an integral part of these accounts Pogc, 9
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND BALANCE SHEET AS AT 5 APRIL 2025 2025 2024 Notes FIXED ASSETS Investments 12,588,009 12,919,967 CURRENT ASSETS Short term deposits 1,061.963 586.211 Cash at bank 11.292 230.650 1,073.255 816.861 CREDITORS: Amounts falling due within one year 6 (94,626) 1115,841) NET CURRENT ASSETS 978,629 701,020 CREDITORS: Amounts falling due after more than one year {56,400) {114,200) 13,510,238 13,506,787 FUNDS General unrestricted income fund 13,510,238 13,506,787 Approved by the trustees on April 3, 2026 and signed on their behalf by= Mr J M Sutcliffe The noles on pages 12 to 18 form an integral part of these accounts PrtgÉ Il)
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND STATEMENT OF CASH FLOWS FOR THE YEAR ENDING 5 APRIL 2025 2025 2024 Cash flows from operating activities.. Net incomel(expenditure) for the year Adjustments for.. 3.451 827,618 Increaselldecreasel in creditors (79.015) (66,0571 (Gainslllosses on investments 162,450 1648,184) Net Cash provided by l (used by) operating activities 86,886 113,377 Cash flows from investing activities: Disposal of investments 4,487,533 2,879,429 Purchase of investments {4,318,025) 13.266,396) Net cash (used in ) I provided by investing actlvltles 169,508 386,967 Change In cash, and cash equlvalents In the reporting period 256.394 (273.590) Cash and cash equivalents at the beginning of the reporting period 816,861 1,090,451 Cash and Cash equivalents at the end of the reporting period 1,073,255 816,861 The notes on pages 12 to 18 form an integral part of these accounts PrtgÉ 11
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 1. Accounting policies Basis of accounting The financial statements have been prepared in accordance with the Statement of Recommended Practice= Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) issued in October 2019 and the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Charities Act 2011 and UK Generally Accepted Practice. The financial statements have been prepared to give a 'true and fair, view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to give a 'true and fair, view. This departure has involved following Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued on 16 July 2014 ralher than the Accounting and Reporting by Charities.. Statement of Recommended Practi effective from 1 April 2005 which has Sin been withdrawn. The financial statements have been prepared under the hislorical cost convention, with the exception of investmenls which are included al market value and in compliance with applicable Accounting Standards. The financial slatements are prepared in sterling, which is the functional currency of the entity. Income Investment income is recognised when its receipt is probable, and the amount can be measured reliably. Donations and legacies are accounted for when receipt is probable, and its amount can be measured reliably. Other income is accounted for on an accruals basis. Income includes income tax recoverable. Expenditure and irrecoverable VAT Liabilities are recognised as resources expended as soon as there is a legal or constructive obligation committing the trust to the expenditure. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to thal category. Grants payable are paymenls made to Ihird parties in the furtherance of the charitable objectives of the trust. The grants are accounted for once the offer has been accepted and all the obligations under the offer complied with. Irrecoverable VAT is charged against the category of resources expended for which it was incurred. other costs Other costs consist of investment management fees. PrtgÉ 12
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 Other expenditure Support costs comprise non-direct costs of the charity and are allocaled between cost of raising funds and expenditure on charitable activities. Included within support costs are all governance costs involving the public accountability of the trust and its Complian with regulation and good practice. Taxation As a registered charity, the trust is generally exempt from Income Tax and Capital Gains Tax, but not from VAT. Fixed Asset Investments Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the mid- market closing prices. The statement of financial aclivities includes the nei gains and losses arising on revalualion and disposals throughout the year. The Trusl does not acquire put options. derivatives or other cornplex financial inslruments. The main form of financial risk faced by the charity is that of volatility in equity markets and inveslment markets due lo wider economic conditions, the attitude of inveslors lo investmenl risk, and changes in sentiment concerning equities and within particular sectors or sub sectors. Realised Gains and Losses All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (purchase date if later). Unrealised gains and losses are calculated as the difference belween the carrying value at the year end and opening market value {or purchase date if later). Financial instruments The charity only has financial assets and 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. Funds structure Unrestricted funds Unrestricted funds represent investment income and other income generated for the objects of the trust without further specific purposes and are available as general funds. Designated funds Designated funds are unrestricted funds earmarked by the trustees for particular purposes. Judgements and Key Sources of Estimation Uncertainty The preparation ofthe financial statements requires management to makejudgements, estimales and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circUmstans. In the opinion of the Trustees there are no critical accounting judgements and key sources of estimation and uncertainty. PrtgÉ 13
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 2. Investment income 2025 2024 Income from listed UK investments Income from listed non-UK investments Interest receivable 190,505 113,215 235,083 113,043 350,749 376,148 3. Charitable activities 2025 2024 Direct Charitable Expenditure Grants Awarded (see below) Support Cost Accountancy and Trust administration Governance costs - audit 104.085 119.237 20.992 20.150 128.794 142.687 The following grants were agreed during the year. They were all for purposes within the objects of the trust as sel out on page 2. The grants to churches were for the purpose of helping them to maintain or achieve good standards of church music - whelher by assisting them with choir costs or with the cost of a suitable instrument. Grants to other institutions were for assisting in the education of young organists. 2025 Spread over multiple years Blackburn Cathedral Trust overstated St Mary The Virgin, Liverpool {spread over 5 years 2025-291 Liverpool Cathedral (spread over 3 years 2025-20271 Holy & Undivided Trinity of Carfisle (spread over 2 years 2025-26) 14,000) 13,500 3,000 5,000 Slngle Payments St Anne's, Stanley St Mary's Pembroke St Matthew's PCC. Newcastle Holy Trinity Church, Heworth St Peter's Church, Finswaite Newcastle Cathedral Northern Ireland International Comp YOST Holy Trinity Church Choir, Southport Parochial Church Council of Linton St Gabriel's PCC, Huyton 5,000 4,000 1,500 3,785 5,000 50,000 4,800 5,000 2,000 2,000 3,500 104,085 PrtgÉ 14
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 3. Charitable activities {continued) Support costs represent amounts paid to the administrators in respect of accountancy and administering the charity of £20,502 (2024= £19,135), audit fees of £3,717 (2024.. £3,300), trustees expenses of £466 12024.. £984) and bank charges of £2412024.. £31 }. None of the trustees received any remuneration from the trust. 4. Investment management costs 2025 2024 Investment manager's and custodian's fees 56.054 52.661 5. Flxed Asset Investments 2025 2024 Market value at 6 April 2024 Additions at cost Disposals Realised gainl{loss) Unrealised gainl{loss) 12,919,967 11,884,816 4,318,025 3,266,396 {4,487,533) 12,879,429) 213,764 100,392 {376,214) 547,792 Market value as at 5 April 2025 12,588,009 12,919,967 Historic cost as at 5 April 2025 11,573,555 11,529,297 The markel value of investments is made up as follows.. 2025 2024 UK inveslments listed on a recognised stock exchange Non-UK investments listed on recognised stock exchanges 7.400,123 5,187,886 7,313.526 5,606,441 12,588,009 12,919,967 PrtgÉ 15
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 5. Fixed Asset Investments {continuedl The investments consist of equities, unit trusts and fixed interest investments. There are no investments which represent more than 5 % of the fund's investment portfolio. All investments are carried at their fair value. Investment in equities and fixed interest securities are all traded in quoted public markets, primarily the London Stock Exchange. Holdings in common investment funds, unit trusts and open-ended investment companies are at the bid price. The basis of fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value}. The significance of financial instruments to the ongoing financial sustainability of the Trust is considered in the financial review and investmeni policy and performance sections of the Trustees, Annual Report. The main risk lo Ihe Trust from financial instrumenls lies in Ihe combination of unrtain investment markets and volatility in yield. Due to 'quantitative easing, and market sentimenl favouring lower risk inveslments, the yield on bonds has been abnormally low giving rise to a significant downside risk of a fall in capital values when interest rates relurn to normal levels. Although rising interest rates resulling from a stronger economy and improved economic activity should be indicative of improving dividend yields and equity values, there is a conrn that the abnormal availability of 'cheap money, to the banking sector has led to wider over-valuation of traded assets lan 'asset bubble'l that may depress equity values once economic conditions ease. The Trust is reliant on dividend yield in part to finance its work and this leads to a greater exposure to international companies, the values of which, together with their yield are exposed to exchange rate risk when converting the holdings into sterling. The outlook for the sterling exchange rate is that it is anticipated lo weaken as European, US and Asian economies strengthen. A weakening in the exchange rate will improve sterling returns from foreign currency denominated holdings. The default rate on fixed interest securities due to corporate failures is expected to improve with a strengthening economy. The high current demand for high quality corporate bond and government stock continues to depress the yield. Liquidity risk is anticipated to be low as all assets are traded and the commitment to intervention by central banks and market regulators has continued lo provide for orderly trading in the markets and so the ability to buy and sell quoted equities and stock is anticipated to continue. The Trust's investments are mainly traded in markets with good liquidity and high trading volumes. The Trust has no material inveslment holdings in markels subject to exchange controls or trading restrictions. The Trusl manages these investment risks by retaining expert advisors and operating an inveslment policy that provides for a high degree of diversification of holdings within investment asset classes that are quoted on recognised stock exchanges. The Trust does nol make use of derivatives and similar complex financial inslruments as il takes the view that investments are held for their longer term yield, total return and historic studies of quoted financial instruments have shown that volatility in any particular 5 year period will normally be corrected. PrtgÉ 16
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 6. Creditors: Amounts falling due within one year 2025 2024 Accruals Grants agreed and payable by instalments 21,826 72,800 29,941 85,900 94.626 115.841 7. Creditors: Amounts falling due after more than one year 2025 2024 Grants agreed and payable by instalments 56.400 114.200 8. Contingent Liabilities At the year-end grants offered by the trust totalling £74,500 {2024.' £89,000) were under consideration by the offerees or the offerees had accepted them but the obligalions under the offer had still to be complied with. Funds- Unrestricted income fund Funds 6 April 2024 Income Expenditure Transfers Gains & Funds 5 (losses) April 2025 Designated funds Undesignated funds 89,000 13,417,787 350,749 114,5001 {170,3481 74,500 1162,450) 13,435,738 13,506.787 350,749 (184,848) (162,4501 13,510,238 The designated funds represent the granls thal have been offered bul as yet not claimed at the year end. PrtgÉ 17
DoGusign Envelope ID.. D59F7585-B9334B5C-87E7-2D7B2D4AFEB4 THE PILLING TRUST FUND NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2025 11. Analysis of assets and liabilities between funds Unrestricted funds Designated Undesignated funds funds Total Investments Current assets- Short term deposits Cash at bank Creditors 12,588,009 12,588,009 74,500 987,463 11,292 {151,026} 1,061,963 11,292 (151,026) 74,500 13,435,738 13,510,238 12. Post balance sheet events The market value ofthe investments managed by Investec Weallh & Managemenl was £13,172.991 al 5 April 2025, comprising of investments of £12,588,009 and cash held on deposit of £584,982. At 30 September 2025 the market value was £14,597,114, comprising of investments of £14,510,866 and cash held on deposit of £86,248. 13. Related Party Transactions Max Elliott declared an interest in application 1856, 1866 and 1867. lan Tracey declared an interest in applicalion 1850. None of the Trustees received any remuneration from the Trust. Fees invoiced by Beevers and Struthers Accountants for accountancy and trust administration of £20,502 (2024.. £18,895) were payable in the year. PrtgÉ l¥