CENTRAL Fufyo Supporting The British Army ANNUAL REPORT OFTHE TRUSTEE & FINANCIAL STATEMENTS FOR THEYEAR ENDED 30JUNE 2024
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 CONTENTS PAGE Reference and Adminlstrative Details Board ofDirectors' Annual Report Independent Auditors, Report 17 Statement of Financial Activities 22 Balance Sheet 23 Statement of Cashflows 24 Note5 to the Financial Statements 25 The following pages do not form part of the Financial Statements Detailed Ststement of Financial Activities 35
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 REFERENCE AND ADMINISTRATIVE DETAILS Charlty Number 245700 Reglstered Office Floorl | Zone6 Ramilies Building Marlborough Lines Monxton Road Andover SPII 8HJ The Patrons Members of the Army Board of the Defence Council Corporate Trustee TheArmyCentral Fund Trustee Limited Corporate Trustee's Company Number 11820705 Dlrertors of The Arniy Central Fund Trustee Llmlted Major General PR Griffiths CB (Chair until 05.10.231 Major General SL Humphris MBE (Chairfrom 05.10.23) Colonel AK Brown OBE Brigadier EJR Chamberlain CBE Warrant Officer Class l J Clarke (from 11.07.23 until 01.09.241 Mr GC Davies Brigadier A Fraser-Hitchen DL {from 01.09.24) Brigadier AC Luedicke OBE (until 10.02.241 Airvice MafshalThe Hon DP Murray CVO OBE DL Colonel MCA Palmer (from 01.09.241 Warrant Officer Class l ML Quefipel (from 01.09.241 MajorGeneral AMG Smyth QRVM TD (until 30.06.241 Mrs EA Thomas (from 01.09.24} During the year no Directors of The Army Central Fund Trustee Limited were also Trustees or Committee Members of other charities which benefited from grants made by the kmy Central Fund I'the Charity.). Company Secretsry Lieutenant Colonel JF Panton MBE (until 01.12.2023) Caroline Crewe-Read (from 01.12.20231 Treasurnr The Trust Partnership 6 Trull Farm Buildings Tetbury Gloucestershire GL8 8SQ
The Amiy Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 REFERENCE AND ADMINISTRATVE DETAILS (contlnued) Investment Advisor GC Davies Esq Legal Advisor Wilsons Solicitors LLP Charities Team 4 Lincoln's Inn Fields London WC2A 3AA Audltor Dunkley's Woodlands Grange Woodlands Lane Bradley Stoke Bristol BS32 4JY Investment Managers BlackRock Fund Managers Limited 12 Throgmorton Avenue London EC2N 2DL Swiss Life Asset Managers UK 55 Wells Street London WIT 3PT CCLA Fund Managers Limited OneAngel Lane London EC4R 3AB Bankers Holt's Military Banking 200 FowlerAvenue Fowler Business Pa Farnborough Hampshire GU147JP
The Army Central Fund Annual Report and Financial Statemersts for the year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT The Board of Directors of the Charitys corporate trustee company present their report along with the financial statements of the Charity for the year ended 30 June 2024. The financial statements have been prepared in accordance with the accounting policies set out on page 25 of the attached accounts and complywith the Charity'strustdeed, the Articles of Association of The Army Central Fund Trustee Limited, the Companies Act 2006, the Charities Act 2011, regulations applicable to that Act, and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021, effective from l January2019. BACKGROUND The Charity wasformed in 1948 bythe merger of existing military welfare funds, some dating back to the First World War. The capital of the Charity was invested, and its income was used to help improve the welfare of serving British Army personnel and their families. That aim continuestodayand is achieved by awarding grantsto military organisations and to UK registered charities that support the seNing Army community. The Charity operates without any subscrlptions, sponsorship, government grants or fundraising. It is also extremely costoffective, dispersing over 96¥0 of its income in grants. Further information about the Charity and the grant application process is available on the website rm ra k and the 2023 Impact Report can be found at CHAIRMAN'S OVERVIEW The financial year 2023-24 has been another very good year for the Charity. Despite global economic challenges which have resulted in the capital value of the fund reducing, the investments have continued to generate strong retums which has allowed £9.84m to be dispersed in support ofthe servingArmy. Core Grants1£2,010.625). Army Welfare Funds are the biggest single recipient offunding through the programme ofannual Command Grants. This year£789,500 was awarded to grant committees in the UK and overseas to support unit welfare and sport. Through an internal application process dozens ofsmall grantswere made toArmy units and organisation5, In addition, £513,318 was awarded to the Army Familie5 Federation to underpin their vital work and £707,807 to Army Sport towards its central running costs. These three Core Grantssupplement MOD provision and help improve wellbeingand health. This meets our principal charitable object as laid out in the governing document. 'to promote theefficiency oftheAnnyforthe public benefit,.
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT (continued) Project Grants {£901,841'). Equally importantly, the Charity accepts grant applications from national and military charities to provide activities and resources across the Army community. This funding can contribute to both specialist help.for those in need and facilities and resources for the whole community. During FY23124 this included: Sport Amiy Inshore Sail Training Centre1£275,0001. Construction of new stores, training and workshop facilities at the Amiy Inshore Sail Training Centre on Thorney Island. An estimated 1,300 serving personnel will use the water sports facility each year, with 500 estimated to use the centre'5 Other buildings and accommodation. Mental Wellbeing Warrior Programme (£50,OCrf)). Mental strength and resilience training for those whose performance is adversely affected bystress or anxiety or requiring additional support to return to work after trauma or medical interyention. Funding for 25 places a year for serving personnel. Physical and Ment¢71 Wellbeing SSAFA1£65,0001. A contribution to the running costs of Norton House, Stanford Hall which provides accommodation for friends and family visiting patients undergoing treatment at the Defence Medical Rehabilitation Centre. Defence Medical Welfare Seryice1£90,0001. Emotional and practical support for those undergoing physical or mental health treatment in the NHS to reduce any barrier to an individual returning to full health. The grant contributes to staff costs across the South of England, at Catterick and for a national response service. Aurora New Dawn1£80,0001. Funding of two Armed Forces Advocate posts to provide independent practical and emotional support to survivors of Domestic Violence,'stalking and sexual violence. Practical advice to Unit Welfare Officers and other military agencies and work with the Amiy Welfare Service to help influence a shift in culture. Armed Forces Equine Charity1£15,000}. Provision of Equine Assisted SeNices to those serving personnel in recovery, rehabilitation and therapy through the integration of clinical and non-clinical intervention5 into a comprehensive care pathway. Funding will provide 10 places for highly vulnerable individuals on a one- week residential course at Tidworth Equestrian Centre. Social Wellbeing Home-start UK {£72,5001. Helping families struggling to care for young children by funding home visits by trained volunteers, and community groups to help families make friends and reduce isolation. SSAFA1£40,0001. Contribution to the costs of families attending a Short Break actlvity holidayfor families with a child with an additional need or disability. Scotty's Little 5oldiers1£30,0001. Provision of respite breaks for bereaved families and additional support around Remembrance Day.
The Army Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT (continued) Plrbright Prnje¢t. The Charity also fulfilled its commitmentto support the provision of a modern welfare facility at the Anny Training Centre, Pirbright through the award of a capital grant of £7,000.000. The project, which was managed byArmy Headquartersand the Defence Infrastructure Organisation, is now complete and the building is fully operational. Army Roll of Honour. The Charity continued to 5UPPOrt the compilation of the Amiy Roll ofHonour, comprisingthe names of Brit15hArmy personnel who have, since 1948, died whilst in the service of the United Kingdom. A set of copy books and a display cabinet was provided forArmy HQ in Andover, and permanent display cabinets werealso commissioned forthe permanent homeforthe Roll in the Nation3lArmy Museum. Whilst the administrative responsibility for updating the Roll has now been passed to the Army Dependants, Trust, the Charity has continued to fund updatesto Volume4 for2022 and 2023. STRUCTURE, GOVERNANCE AND MANAGEMENT structure The Charity is constituted as an unincorporated charity and is governed bya Scheme of the Charitycommission sealed on 21 July 2004 las amended by resolutions ofthe Board passed on 13 May2014 and 6 December2016 and bya Deed ofAmendment,Appointment and Retirement dated 19 November20191. TheArmy Central Fund Trustee Limited, was appointed as the soletnjstee ofthecharityon Il, February 2019 and acts asthe Charity's corporate trustee. Appolntment of Dlrectors Directors of thetorporate trustee are appointed by resolution of the Board. The Board may advertise vacanciesand also invite senior members oftheAmiy to nominate serving personnel. The Board is required to be a minimum of six persons with a minimum ofthree present at each meeting to conduct business. Directors serve for an initial term of three years and may serve foradditional terms with theapproval ofthe whole Board. Key Management Personnel The Directors and the Company Secretary comprise the key management personnel who direct, control, and operate the Charity.
TheArmy Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT (continued) Board Tralnlng and Advice The Board keeps its skill levels under review. Directors will normally have selved as trustees of other charities. part of their induction, they are offered additional training on their responsibilities under company and charity law, and refresher training during their tenure. Relevant updates and briefings are shad by the Secretary. The Board is advised by the Secretary. Treasurer, and Investment Advisor. Further professional advice is provided by the Charity's solicitor, bank, fund managers and auditor. Management Routinely the Board meets twice a year and calls additional meetings a5 required. The Spring meeting is concerned mainly with applications for grants, the year end forecast, and thefollowingyear's income and expenditure budget. TheAutumn meeting considers the Annual Report and Financial Statements, the Audit Report, and any additional grant applications, At each meeting the Board monitors investment performance. Policies are reviewed according to their individual schedules. The day-to-daymanagementand administration of the Charity 15 delegated to the Secretary. Directors are required to disclose any relevant interests and withdraw from any decision5 where a conflict of interest may arise. This is recorded in each meeting's Records of Decisions. Risk The Board conducts a full risk audit everytwoyears to considerthe major riskstowhich the Charity is exposed. a house-keeping audit in intetvening years considers any significantchanges. Risks are categorised as Governance and Compliance; Operational. Financial. The most significant risks to the Charity are noted below. The Directors have satisfied themselves that systems or procedures are established to mitigate all identified risks. The Board is alert to the potential impact of long-term financial market instability on the charsty sector as a whole and on those charities that supportthe Arniy community. Risk: Composition of Board- diversity and continuity ofmembership. Mitigations: Ensure a mixofserving and non-seNing Directors" undertake an annual skills audit and gap-analysis. consider use of an extern31 recruitment process for new Directors. ensure both serving personnel (Regular and ReseNe) and families are represented on the Board. Risk: Failure to assess impact of grants and use evidence to inform decisions. Mitigations: Review majorannual grants including detsiled review ofArmy Sport grant in FY23124; work with Regional Command to increase transparencyaround grants awarded and improve grant-reportin& schedule visits to 311 grant recipients to assess project deliverables and outcomes.
The Amiy Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT {contlnued) Risk: Reputational damage arising from third party beneficiary or media incident. Mitigations: Review due diligence processes around grant awards: maintain regular contsct and open lines ofcommunication with grant recipientsto ensure issues are raised and resolved quickly and transparently; respond quickly to media incidents to clarify the Charity's role and reinforce governance decisions. Risk: Volatile income stream and10ss in value of investments and other income streams impacting on grant making operations. MitigatSons: Maintain diversification of the Charity's funds to ensure current grant making levels can be sustained; continue to ensure the investment fund includes a reserve sufficient to fund at least four quarterly dividends which would allow time to manage any reduction in the grants programme, if required. continue rolling review of investment strategy. continue to pay close attention to the UK economy and perfomiance of international financial marl<ets. OBJECTIVES AND ACTMTIES FOR THE PUBLIC BENEFIT Under Clause4 ofthe Scheme, theobjects ofthe Charity are: (i) To promote the efficiency of the Army for the public benefit in such charitable ways as the trustee maydecide. (21 The relief of persons who: (al are in need, hardship and distress. and Ib) are serving personnel of the Army or the dependants of such persons. (31 Thetrustee may relieve persons in need by: la) making grants of moneyto them. or Ibl providing or paying for goods, seNices or facilities for them. or Icl making grants of money to other persons or bodies who provide goods, services or facilities to those in need. The Board has taken account of the Charitycommission's general guidance on public benefit when reviewing aims and objectives and in planning future activities. It considers that the Charity's activities match the objectives, and that this provides public benefit by improving conditions for those serving in the Am)y and for their families, sustaining morale and retaining trained personnel.
The Army Central Fund Annual Report and Financial Statements forthe yearended 30 June 2024 BOARD OF DIREcfoRS' ANNUAL REPORT (continued) Grant Strategy Thecharity awards grants across the servingArmycommunityforcollective welfare and 5POrts projects, and to charities that support the physical, mental and social wellbeing of serving Amiy personnel and their families. The Charity does not routinely provide direct financial support to individuals in need, as this is either provided through official sources or by charitie5 that can 3cce5s casework and properly a55es5 needs. Post-grant reports are required from all grantees and feedback from these reports informs the Board on its fLJture grant making activitie5. In summary the strategy is to: Fund grants from 3nnual income. Consider making additional grants from capital for major projects. Prioritise support to projects that support those in need. Support projects that particularly benefit Junior Ranks and their families. Address inequalities and support minority communities. Support core welfare activities by making annual awardsto; The Army Families Federation o Army Sport o Army Unit Welfare {theArmy Command Grant which is Outlined below) Sustain relationships with charities providing key activities through multi-year agreements. Maintain close relationships with the Army and with other grant making bodies to help coordinate charitable funding acrosstheArmycommunity. -io-
The Amiy Central Fund Annual Report and Financial Statementsforthe year ended 30 June 2024 BOARD OF DIRECTORS'ANNUAL REPORT Icontlnued) FINANCIAL REVIEW Income and Expenditure Valuation of the CharDty (Total Net Assets) The Charity's investments account foraround 9096 of its assets and investment performance is usually the main determinant of the Charity's valuation year on year. Between 2020 and 2021 financial markets perfomied particularly well, and the value ofthe fund increased by £9.85M over two years. In the following two years market volatility resulted in thevalue ofthe fund falling back by £8.36M. Investment performance has improved in 2024 and the net loss is attributable to the Pirbright grant award: Table l- Total Net Assets 2020-20241£1 Year Ending 30 Jun 2024 2023 2022 2021 2020 Valuation Startofyear Valuation End of Year 70,349,805 66,391,680 74,926,285 70,349,805 78,710,872 74,926,285 70,971.854 78,710,872 68,860,096 70,971,854 Increase 2020-2024 Change Yearon Year 13,958.1251 14.576,4801 13,784,587) 7,739,018 2.111,758 (2,468016 Income and Expendlture The Charity hastwo main sources ofincome: investment income and donations. As Table 2 below shows, over the last five year5 there has been a surplus of expenditure over income of £5,812,294, caused bythe atypical grant made to the Pirbright Soldiers, Centre in 2024. Table2- Income and Expenditure 2020-20241£) Year Ending 30 Jun 2024 2023 2022 2021 2020 Investment Total Income Income 2.887,567 107,796 2,995,363 2,734,439 286,986 3,021,425 2,541,926 165,575 2,707,501 2,515,696 102,324 2,618,020 2,530,755 5,596,398 8.127,153 13.210,383 6,259,079 19,469,462 Excess of income overex enditure 2020-2024 Donations Charitable enditure 9,843,582 3,635,837 2.453.930 3,757,361 5,591,046 25,281 756 {5,812,294) Totals -li-
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT (continued} INVESTMENTS AND RESERVES Investment Management Thecharity's main capital investment is held in the BlackRockArmed Forces Charities Growth and Income Fund IAFCG&II, which is a multi-asset Charity Authorised Investment Fund managed by BlackRock Fund Managers Limited. An Advisory Committee representing the collective interests of unitholders acts as a consultative body to BlackRock. Mr Guy Davies chaired this committee duringthe reporting period and Major General PR Griffithswasa member. Approximately 7% of the Charity's capital 15 invested separately in the PITCH property fund managed by Swiss Life Asset Managers UK. Investment Strategry The Board's investment strategy is to achieve real growth in capital and to generate enough income to maintain the current level of grant making. The investment in AFCG&I covers a broad spread of assets and has loweroverheads than the Charity could achieve by investing independently. AFCG&I is mainly invested in equities, with the balance held in bonds, alternatives, property, futures, and cash, offering the prospect for maximising growth whilst diversifying some risk. The investment in the PITCH charity property fund has a similar aim of achieving real growth in capital and income. Investment Performance In the yearto 30 June 2024, AFCG&I produced a total return of 9.8% Inetl. The Composite Benchmark returned 12.1% Inetl. The primary objective of the fund is to provide a return on investment over a period of five or more consecutive years beginning at the point of investment) generated through an increase to the value of the assets held by the Fund andlor income received from those assets. Over the five years to 30 June 2024, the Fund achieved an annualised net total return of 5.OOA compared to the Composite Benchmark performance of 5.2%, underperforming the composite benchmark by 0.2%. Ofnote, in January 2024, thefund underwent significantchanges to its benchmark and approach. The benchmark change removed the UK bias to provide the investment team with a broader global opportunity set, and the switch from an Income Reserve to a Total Return approach enables BlackRock to maintain and grow the income distribution over time. These changes were approved by unitholders bya significant margin {99.95%1 at an Extraordinary General Meeting {EGM) on 23 November2024. Income distribution5 in the year totalled 8.7 pence per unit12023: 8.3 pence per unitl, providing investment income of£2,356,923.64, an increase of£108,364.32 from the previous year. {2023.' £2,248,559.32). -12-
The Arniy Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 BOARD OF DIRECTORS'ANNUAL REPORT (continued) The PITCH propertyfund generated a dividend of£256.313 {2023: £265,680). The investment value decreased by £296.087 from £4,564,239 to £4,268,152. Financlal Management and Reserves The Charityoperates in a similarmannerto an endowed charity. it has a pem)anentsource of unrestricted income from capital investments which it uses to fund a structured grants programme. The Board hascomplete discretion to decidethe number and value ofgrants awarded and may apply both capital and incometo meet need. In settingthe annual grants budget, the Board balances the funds to be made available against the long-tem aim of retaining sufficient capital to protect future income. In effect, all of the fund's assets are its reseEves' these are divided into an immediate cash reserve held in an RBS Holts interest account1É500,0001, a medium-term reserve held in the PITCH fund and CCL4 COIF Fund1£5MI and a strategic reseNe ofthe invested fund5 in the BlackRockArmed ForcesGrowth and Income Fund, which, at current levels, is equal to over20 years of annual grants. In recent years fund5 available have been sufficient to maintain expenditure levels year-on-year and the Board has set the following priorities for grants: Priority i Sustaining grants to core activities: funding Army Sport, the Amiy Families Federation and theArmyCommand Grant. Priority 2 Fulfilling existing multi-year and meeting long-term commitments. Priority3 Funding newgrant applications. In parallel, the Board seeks to maintain the highest Standards of governance while ensuring cost-effective management and administration. This year Support and Governance costs were under£lOO,000 which equates to 0.9% of total expenditure, although this was affected bythefinal grant made to supportthe Pirbright project. The Reserves Target align5 With the investment and grant strategy. The Board sets the level of grant makingto match available income to protect thevalue of the fund in perpetuity. ACHIEVEMENTS AND PERFORMANCE The Charity achieved its objectives duringthe year, paying out £9,843,681 in direct grants 12023: £3,472,551). The Charity awards grants in three main areas.. Arniy Welfare TheArmy Welfare Grantscommittee dispersed the Charity'sArmy Command Grant of £760,000 for welfare and sports projects in Army units and clubs. The Committee can award grants ofup to £25,000 and it recommends the submission of larger projectstothe Charity's Board for consideration. It publishes quarterly reports providing an analysis of activities and an itemised list of expenditure. A structure of subordinate committees allows local headquarters to approve grants of up to £7,000 each. -13-
The Army Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT {continued) Army-wide Organssations Army Sport. The Charity's grant of £707,807, comprising the initial grant of £674,107 plus an in-year uplift of £33,700, contributes to central running costs enablingArmy Sport to deliver its charter. This includes SUPPQrtingthe development and managementofsport and sports facilities in the Army. governing Army Sports Associations. and authorising sport5 competitions and events. Competitive 5PQrt remains a critical element in maintainingAmy health and fitness and is a key componentoftheArmy's'offer' to its people. Army Families Federation IAFn. The Charlty's grant of £513,318 contributes to central running costs enabling the AFF to continue to represent families at government, Army Command, and local levels. It also enables the AFF to communicate with and respond to enquiries from families and to campaign on current issues including housing, healthcare provision, immigration, money, and employment. AFF continuesto provide exceptional support to Army families which is particularly valuable for those families experiencing hardship. Grants to Charlties As outlined in the Chaimian's OveNiew, grants to charities provide a significant proportion of charitable support for the Army, supporting the physical, mental and social wellbeing of serving personnel and their immediate families. These awards are listed on pages 35-36. PLANS FOR THE FUTURE As in previous years, whilst the Board is open to considering further major grants from capital, this is balanced by concerns about the long-term strength of the economy and the potential impact of inflation or market corrections on the value of investments. The Charity's financial priority is to ensure it can sustain its core funding in the event of significant investment losses or reduced income. Retaining substantial investment capital and reserves protects the future funding of critical services provided by partner charities to the Army community. The Charity will continue to pursue opportunities for collaborative working where the outcome meets charitable objectives. In particular, the Charity will work closely with The Nuffield Trust forthe Forcesofthe Crown, theArmy Benevolent Fund and SSAFA The Armed Forces Charity as major supporters ofthe Army community. -14-
The Army Central Fund Annual Report and Financial Ststements forthe year ended 30 June 2024 BOARD OF DIRECTORS, ANNUAL REPORT Icontinued) STATEMENT OFTRUSTE£'S RESPONSIBILITIES The trustee is responsible for preparing the trustee's report and accounts in accordance with applicable law and United Kingdom Accountingstandards (United Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the trustee to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the income and expenditureofthe charityforthat period. In preparing these accounts, the trustee is required to: select suitable accounting policies and then apply them consistently. obseNe the methods and principles in Accounting and Reporting by Charities: ststement ofRecommended Prattice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021. makejudgements and estimates that are reasonable and prudent. state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts. and prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation. The trustee is responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable it to ensure that the accounts comply with the Charities Act 2011, applicable Charity (Accounts and Reports) Regulations and the provisions of the charity's constitution. It is 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 trustee is aware: there is no relevant audit information of which the Charity's auditors are unaware; and the trustee has taken all steps that they ought to have taken to make itself . aware of any relevant audit infomation and to establish that the auditors are aware ofthat information. -1s-
The Amiy Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 BOARD OF DIRECTORS. ANNUAL REPORT (continued) TheArmy Central Fund Floor I | Zone 6 Ramillies Building Marlborough Lines Monxton Road Andover SPII 8HJ Signed by Order of the Trustee Board SL Humphris Major General Chair of the Corporate Trustee Approved by the Board on 1% fvs NoAor Lo -16-
The Army Central Fund Annual Report and Financial Ststements for the year ended 30 June 2024 REPORT OF THE INDEPENDENT AUDITORSTO THETRUSTEE OF THE ARMY CENTRAL FUND Opinlon We have audited the financial statements of The Army Central Fund Ithe'charity'l forthe yearended 30 June 2024 which comprisethe StstementofFinancial Activities, the Balance Sheet, the Cash Flow 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 Stsndards Iunited Kingdom GenerallyAccepted Accounting Practice). In our opinion the financial statements: - give a true and fair view of the state of the charity's affairs a5 at 30 June 2024 and of its incoming resources and application of resources, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Prartice; and have been prepared in accordance with the requirements of the CharitiesAct2011. Basis for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the Auditors, responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidencewe have obtained issufficient and appropriate to provide a basis for our opinion. Conclusions relating to golng concern In auditing the financial statements, we have concluded that the Board'5 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 monthsfrom when thefinancial statements are authorised for issue. Our responsibilities and the responsibilities of the trustee with respect to going concern are described in the relevant sections of this report. -17-
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 REPORT OFTHE INDEPENDENT AUDITORSTO THE TRUSTEESOF THEARMY CENTRAL FUND other inforniatlon The Board is responsible for the other information. The other information comprises the nformation included in the Annual Report, other than the financial statements and our Report ofthe IndependentAuditorsthereon. Ouropinion on the financial statements does notcoverthe otherinformation and, except to the extent otherwise explicitly ststed in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained in the audit or other%¥ise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we concludethatthere is a material misstatementofthisother infom)ation, we are required to report thatfact. We have nothingto report in this regard. Matters on which we ar• required to report by exception We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations2008 requires us to reportto you if, in our opinion: the information given in the Report of the Trustees is inconsistent in any material respect with the financial ststements; or - sufficient accountingrecords have not been kept; or - the financial statements are not in agreement with the accounting records and returns. or - we have not received all the information and explanations we require for our audiL Responsibilities of trustees As explained more fully in the Statement of Trustees, Responsibilities, the trustees are responsible forthe preparation of the financial statements which 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. -18-
The Army Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 REPORT OFTHE INDEPENDENT AUDITORSTO THE TRUSTEESOF THEARMYCENTRAL FUND 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 goingconcem and using thegoing concem basis of accounting unlessthetru5tees either intend to liquidate the charity orto cease operations, or have no realistic alternative butto doso. Our responslbllltles for the audit of the financial statements We have been appolnted as auditors under Section 144 of the Charities Act 2011 and report in accordance with theAct and relevant regulations made orhavingeffectthereunder. Ourobjectives are to obtain reasonable assvrance about whetherthefinancial statements are free from material mi55tatement, whether due to fraud orerror, and to issue a Report of the Independent Auditors that include5 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 detett 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 tsken based on 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 extent to which our procedures can detect irregularities, including fraud is detailed below: Extent to whlch the audlt was considered capable of deterting Irregularitles, includingfraud We identlfy and asse55 the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. Identifylng and assesslng potentlal risks related to Irr•gularitles In Sdentifying and assessing risks of material misstatement in respect of irregularities, includingfraud and non-compliance with laws and regulations, we considered the following.. - The nature ofthe charitable sector, control environment and performance including the design of the organisation's remuneration policies; -19-
The Army Central Fund Annual Report and Financial Statements for the year ended 30 Jurbe 2024 REPORT OF THE INDEPENDENT AUDITORSTO THE TRUSTEE OF THEARMYCENTRAL FUND - Any matters we identified, having obtained and reviewed the organisation's documentation of their policies and procedures relating to: - Identifying, evaluatingand complyingwith laws and regulation5 and whethertheywere aware of any instsncesofnon-compliance. - Detecting and responding to the risks of fraud and whetherthey have knowledge of any actual, suspected or alleged fraud; The internal controls estsblished to mitigate risks of fraud or non-compliance with laws and regulations. -The mattersdiscussed amongthe auditengagement team regarding how and where fraud might occur in thefinancial statements and any potential indicators of fraud. As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the areas of management override of controls, goingconcern, income recognition, and the appropriateness of expenditure. We 3150 obtained an understandingofthe legal and regulatoryframework thatthe organisation operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. Audit response to rlsks identified Our procedures to respond to risks identified included the following: Enquiringof management, conceming actual and potential litigation and claims. Substantive testing to vouch source records to the financial statements; - Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; Enquiring of management the internal controls in, evaluating each control for weakness and vouching to evidence of the control taking place. - In addressing the risk of fraud through management override of controls, testing the appropriateness ofjoumal entries and other adjustments; assessingwhetherthe judgements made in making accounting estimate5 are indicative of a potential bias. and evaluating the business rationale of any significant transactions that are unusual or outsidethe nomial course ofbusiness. -20-
The Amiy Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 REPORT OFTHE INDEPENDENT AUDITORS TO THE TRUSTEE OF THE ARMYCENTRAL FUND We also communicated relevant identified laws and regulations and potential fraud risks to all engagementteam member5 and remained alert to any indications offraud ornon- compliancewith laws and regulationsthroughoutthe audit. 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.uklauditorsresponsibilities. Thi5 description forms part of our Report of the IndependentAuditors. Use of ourreport This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of theCharities{Accounts and Reports) Regulations2008.Ourauditworkhas been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors, reportand fornootherpurpose. Tothe fullestextentpermitted bylaw, wedo notacceptorassume responsibilityto anyone otherthanthecharityand thecharity's trustees as a body, forouraudit work, forthis report, orforthe opinionswe have formed. Idatthew Stuart Dobbin5 (Nov 29, 2024 17.-lJf GlTI Dunkley's StatutoryAuditors Chartered Accountants Eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 Woodlands Grange Woodlands Lane Bradley Stoke Bristol BS32 4JY 2911112024 Date:................................ -21-
The Amiy Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 STATEMENT OF FINANCIAL ACTIVITIES for the year ended 30 June 2024 Total Total Unrestrlcted Unrestricted Funds Funds 2024 2023 Note INCOME Income from Donations Investment income 107,796 2,88767 286,986 2,734,439 TOTAL INCOME 2.995.363 3,021,425 EXPENDITURE Charitable activities 415 9,843,582 3,635,837 TOTAL EXPENDITURE 9 843 582 3,635,837 NET {EXPENDITURE) I INCOME (6,848,219) (614,4121 Gainsl{Losses) on investment assets 2,890,W 13,962,068) NET MOVEMENT IN FUNDS (3,958,125) 14,576,480) RECONCILIATION OF FUNDS 12113 Fund balances brought forward 70,349,805 74,926,285 FUND BALANCES CARRIED FORWARD 66,391,680 70,349,805 The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 25-33 form partofthefinancial statements. -22-
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 BALANCE SHEEr as at 30 June 2024 2024 2023 Note FIXED ASSETS Tangible assets Investments 132 62,063,098 64.953,192 64,953,192 62,063,230 CURRENT ASSETS Debtors Cash at bank and in hand io 38,308 1,422,630 67,562 8,335,470 1,460,938 (22,450) 8,403,032 {116,4571 CREDITORS.. amountsfallingdue within oneyear li NET CURRENT A55ETS 1,438,488 8,286,575 TOTAL NET ASSETS 66,391,680 70,349,805 FUNDS 12113 Unrestrirted Income Funds Unrestrirted Designated Funds 66,391.680 63,418,553 6,931,252 TOTAL FUNDS 66,391,680 70,349,805 The financial statements were approved by the members of the Board on and are signed on their behalf by: 11 KJ 2024 L Humphris Major General Chair of the Corporate Trustee The noteson pages 25-33 form part of thefinancial statements. -23-
The Army Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 STATEMENT OF CASHFLOWS forthe year ended 30 June 2024 2024 2023 Note See below CASH FLOWS FROM OPERATING ACTIVITIES: Net cash (used) from operatlng activities 19,800,407) {3,291,8941 Cash flows from investing activities: Dividends and interest from investments Proceeds from sale of investments Net cash provided by Investlng activities: 2,887,567 2,734,439 2,887,567 2,734,439 Change in cash and cash equivalents in the reporting period Cash equivalents atthe beginningof the reporting period 16,912,840) 8,335,470 1557,4561 8,892,926 Cash and cash equivalents atthe end ofthe reporting period 1,422,630 8,335,470 RECONCILIATION OF NET INCOME TO NET CASHFLOW FROM OPERATING ACTIVITIES Net Income for the reporting perlod perthe statement of financial artivities {3.958,1251 14.576,4801 Adjustments for: Depreciation charges IGainsllLosses on investments Dividends and interest from investments Decreaselllncreasel in debtors 132 397 12,890,094) 3,962,068 {2,887,5671 12,734,435 29,254 125,084) IDecreasel/lncrea5e in creditors 194,0071 81,644 Net cash (used) from operating activities 19,800,407) (3,291,894) The notes on pages 25-33 form part of the financial statements.
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS forthe year ended 30 June 2024 I ACCOUNTING POLICIES Basis of actouftting The financial Statements have been prepared under the historical cost convention, exceptfor investments which are included at market value, and include the results of the Charity's operations which are described in the Trustees, Report and all of which are continuing. The financial statements have been prepared in accordance with the Statement of Recommended Practice.. Accounting and ReportlnE by Charities preparing their accounts in accordance with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland IFRS 1021 leffective l January 20191, Charities Act 2011 and the Companies Art 2006. The trust constitute5 a publit benefit entity as defined by FRS 102. Income All incoming resources are recognised when the Charitable trust has entitlementto the funds, the receipt is probable. and the amountcan be measured reliably. Donations are recognised on a receivable basis Iwhere there are no performance-related conditions) where the receipt is probable, and the amount can be reliably measured. Investment income from loans and short~term deposits is accrued in relation to the period to which it relates. Other Investment income from assets held in asset porttolios or current accounts is included when reported as received by the portfolio manager. ExPendIre Expenditure is recognised once the is a legal orconstructive obligation to transfer economic benefit to a third paty. it is probable that a transfer of economic benefits will be required in settlement and the amount ofthe obligation can be measured reliably. Expenditure is classified by activity. The costs of each arttvity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity- Shared costs which contribute to more than one activity and support Costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Grant expenditure A constwctive obligation for grants payable exists once it has been communicated to the recipient. Upon the obligation exi5tin& where payment is probable and can be measured reliably, the enti grant is accoLtnted for in the Ststement of Financial Activities, less any amounts that rely upon the recipient meeting performance-related conditions. Charitable activities These are costs incurred on the charity trust'5 individual charitable activities. including support costs and costs relating to the governance of the charitable trust apportioned to charitable activities. Tangible fixed assets Depreciation is provided at rates calculated to write down the cost of each assetto its estimated residual value over its expected useful life. The depreciation rate in use is as follows: Office Equipment 3 year5, Straight line Investments The charity's investment In managed portfolios is included in the balance sheet at fairvalue. being the open market value specified by the portfolio managers atthe balance sheet date. -25-
The Army Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 I ACCOUNTING POLICIES (contlnued) Provlslons Provisions are recognised when the charitsble tmst has an obligation at the reporting date a5 a result of a pa5tevent which it is probable will result in the transfer of economic benefits and the obligation can be estimated reliably. Provision5 a measured at the best estimate ofthe amounts required to settle the obligation. Where the effect ofthe time value of money is material, the provision is based on the presentvalue of those amounts, discounted atthe pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges. Fund accounting Unrestricted income funds represent those resources which may be used towards meeting any of the charitable objects of the charitable trust at the discretion of the trustees. Designated funds comprise a strategic fund reseNed tothe value of two Yea expenditu. Flnancial instruments The charity only ha5 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 theirsettlementvalue with the exception of bank loans which are subsequently measured at amortised c05t usingthe effective interest method. DONATIONS Total Unrestrirted Funds 2024 Total Unrestricted Funds 2023 Blue Light MOD Discount Scheffje Other donations Legacy (Carpenter E5tate} 107,771 25 106,986 180.000 286.986 107,796 3 INVESTMENT INCOME Totsl Unrestrlcted Funds 2024 Total Unrestricted Fund5 2023 Incomefrom a UK managedfund Income from Property Income Trust Bank interest receivable 2P56,924 256,313 274,330 2,887,567 2,248559 265,680 220,200 2,734,439 -26-
The Amiy Central Fund Annual Report and Financial Ststements for the year ended 30 Jur* 2024 NOTES TOTHE FINANCIAL STATEMENTS forthe yearended 30 June 2024 4 COST OF CHARITABLE ACTMTIES BY ACTIVITYTYPE Total Total Vnr•strlcted Unrestricted Funds Funds 2024 2023 Grant commitments at the start of the year Grants awarded duringthe year Grant commitments at the end ofthe year Total grants paid in year Isee page 361 106,156 9.747,041 (9,516) 9,843,681 24,771 3.553,936 1106,1561 3,472,551 Total charltable actlvitle$ Total Funds 2024 Total Funds 2023 Grants awarded duringthe year (see above) Support costs (see note 51 9,747.041 96WI 9,843,582 3,553,936 81,901 3,635,837 5 SUPPORT AND GOVERNANCE COSTS Total Unrestrlcted Funds 2024 Totsl Unrestricted Funds 2023 Salaries and contributions to pension & healthcare Treasurers, fees Legal Fees and Consultancy Audit fees Irrecoverable VAT Secretariat expenses Publication costs Subscriptions Trustees, training Trustees, travel Insurance costs office equipment depreciation Costs of Trustee5' rneetings 59047 11,021 6,107 5,963 4.200 3,170 44,701 10,998 7,749 2,311 4,727 3,691 2,934 1,954 773 643 760 397 263 81.901 2,079 1,070 421 172 132 114 96,541 -27-
TheAmiy Central Fund Annual Report and Financial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 6 NETEXPENDITURE I IMCOME FOR THEYEAR This is stated after charging.. 2024 2023 Depreciation Treasurers, remuneration Auditors, remuneration- audit of the financial statements Irrecoverable VAT 132 11,021 5,963 4,200 397 10,998 2,311 4,727 21,316 18,433 7 STAFF COSTSAND EMOLUMENTS Total staff costs were as follows.. 2024 2023 Key management p•rsonn Wages and salaries Employers. Nl Employers, Pension Contributions Healthcare Contribution and Death in Service Benefitfor Secretary 51,494 706 36,814 6,532 715 5,928 1,959 44,701 59,447 P•rti¢ulars of employees: The average number of employees during the yearwas 112023 11, and calculated on the basis of full-time equivalents, this was as follows: 2024 2023 No Numberof administrative staff: 0.75 0.75 The Charity considers its key management personnel comprise the Directors and the Company Secretary. No Director received any remuneration during the year. No employee received emoluments of more than £60,000 during the year. Wages and salaries figure 2024 includes lump sum payment of £10,000 paid to an employee. The requirement to accrue holiday pay has been considered but this has not been included in the accounts at 30 June 2024 due to the immaterial value of the potential adjustmenL -28-
The Amiy Cerstral Fund Annual Report and Financial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 8 TANGIBLE FIXED COSTS 2024 Total 2023 Total Office equipment Cost At l July 2023 1,191 1.191 1.191 At30 June 2024 1,191 1,191 1,191 Depreclatlon At l July 2023 Chargefor the year 1,059 132 1,059 132 662 397 At30 June 2024 1.191 1.191 1,059 Net book value At 30 Juné 2024 132 At30June2023 132 132 529 9 INVE5TMEMTS Movement In market value 2024 2024 2024 2023 Mayfair AFCG&I Totsl Totsl Marketvalue at l July 2023 Disposal proceeds Net Ilossesllgains on revaluations In the year ended 30 June 2024 Market value at 30 June 2024 4,5649 57A98.859 62,063,098 66,025,166 (296,087) 3.186,181 2,890.094 {3,962,0681 4 268.152 60,685,040 64,953,192 62,063,098 Historical cost at 30 June 2024 5,000,000 29.395.919 34,395,919 34,395,919 -29-
The Army Central Fund Annual Report and Financial Statements forthe year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 9 INVESTMENT5 (Continuedl 2024 2023 Llsted investments BlackRock AFCG&I Income Units Swiss Life UK PITCH Property Income Fund 60,685,040 4,268.152 57,498.859 4,564.239 64.953,192 62,063,098 Historical Note On 2 September 2002 the ACF Capital Fund valued at £31,604,555 was exchanged for IncomelDi5tribution units in the then ACIF at £1 per unit On 9 December 2019 the Charity's investment of £62.515,051.11 in the Armed Forces Common Investment Fund IAFCIFI was transferred to the Armed Forces Charities Growth & Income Fund IAFCG&II at equal value and with the same number of shares. Risk Management The Charity's main capital investment is held in the Amied Forces Charities Growth & Income Fund..a sub- fund of the BlackRock Charity Authori5ed Investment Fund. It is a multi-asset fund with holdings in UK Equities, Overseas Equities, Fixed Incomè, Property and Alternative5. The balance of investments In the portfolio is actively managed by BlackRock Fund Managers Limited. The Charity is represented on the Advisory Committee, a consultative body which liaises with BlackRock on behalf of unitholders. The Charity's strategic reserve is invested in the Property Income Trust for Charities IPITCHI, a charity property fund. managed by Swiss Life Asset Managers UK. io DEBTORS: Amountsfalllngdu• withln one year 2024 2023 Prepayments Other Debtors 771 37,537 38,308 1,517 66,045 67,562 li CREDITORS:Amountsfallin8duewithin oneyear 2024 2023 Grant commitments Accruals 9,516 106,156 10.301 116,457 22,450 -30-
The Army Central Fund Annual Report and Financial Statements for theyear ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 12 ANALYSIS OF NET ASSETS BETWEEN FUNDS 2024 Net assets Investments Total Unrstricted Income Funds Unrnstrict•d Dsign•ted Funds 64,953,192 1,438088 66,391,680 Total Fund$ 64,953,192 Ih38,488 66,391,680 ANALYSIS OF NET ASSETS BETWEEN FUNDS 2023 Net nvestments assets Total Unrestricted Income Funds Unrestricted Designated Funds 61,131,846 931252 2286,707 6,000,000 63,418.553 6.931.252 Total Funds 62,063,098 8,286,707 70,349,805 -31-
The Army Central Fund Annual Report and Fifiancial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the year ended 30 June 2024 13 Analysk of Movement In Funds Funds Investment Funds 01.07.23 Incom• Exp•ndltur• Galns 30.0624 Uthrn5tfiCted I{M* Funds 63.418.553 2.995.363 12.912.330) 2WJO,094 64391.680 DlInat•d Funds 6.931.252 16.931.252} Total Funds 70J49 805 2.995,363 19 843.582) 66,391,680 Funds Investment Funds 01.07.22 Inc•nbe Expendltsre L955es 30.06a3 Vnrestrlcted Incomt Funds 66?89,802 3,021,425 12,630,606) 13,962,068) 63,41853 Design•ted Fund5 7,936A83 11,005.2311 6,9312 Totsl Fund$ 74 926385 3,021,425 13 635.837) 13,962,068) 70.34905 Designated Funds PiTbright Project Funding. In 2018, the Board decided that the Charity's funds were sufficient to award a major grant to an infrastructure project to benefit the 5ervingArmy community. Following a review of potential schemes, the Board allocated £7,000,000 to the project to rebuild the main welfare facilities at the Army Training Cent. PirbrighL In 2022, to reduce the impact of potential volatility in investment markets. £6,000.000 was drawn down from theAFCG&I Fund. It was held forthe project in the CCLA COIF deposit accountwith a further £1,0,000 assigned to the project. £68,748 had previously been awarded for preliminary project costs. The balance of the £7,000,000 grantwas paid in 2024. -32-
The Armycentral Fund Annual Report and Financial Statements for the year ended 30 June 2024 NOTES TO THE FINANCIAL STATEMENTS for the yearended 30 June 2024 14 RELATED PARTYTRANSACTIONS Register ofTrustees' Complementsry Interests During the ACF accountingyear from l July 2023 to 30 June 2024. Mr Guy Davies and Major General PR Griffiths were members of the Advisory Committee overseeing the investments of the Armed Forces Charities Growth & Income Fund which dellvers dividend income. They did not receive any renumeration or benefit from membership ofthis committee. During theACF a¢countingyear from l July 2023 to 30 June 2024 there were no Directors of ACFTrustee Ltd who were a150 trustees of other charities which benefitted from grant5 made by the ACF. A total of £420.54 expenses was relmbued to trustees. These expenses were all fortravel. The numbef of trustees receiving expenses was three. 15 COMMITMENTS Grants 202412025 At the meeting of the Board held on 20 May 2024 grants totsllinE £1,83374 were approved for the year beginning l July 2024. Pledges of Support Due to the adoption of FRS102, forward grant commitments are now accrued in full and recognised atthe time award letters are disseminated to recipients. In previous years. forward grant comrnitments were noted in the accounts and recognised as they became due. -33-
The Army Centrol Fund Annual Report and Financial Statements for the year ended 30 June 2024 MANAGEMENT INFORMATION for the year ended 30 June 2024 The following pages do not forni part of the statutory financial ststements whlch are subjert to the Independentaudltor's report on pages 17 to 21. -34-
The Army Central Fund Annual Report and Financial Statements for the yearended 30 June 2024 DETAILED STATEMENT OF FINANCIAL ACTIVITIES forthe year ended 30 June 2024 2024 2023 INCOME FROM Donation$ Other donations 107,796 107,796 286,986 286,986 Invèstmènt Income Income from investments Bank interest receivable 2,613,237 274,330 2,887,567 2,995,363 2,514,239 220,200 2.734,439 3,021,425 TOTAL INCOME IXPENDITVRE CharitableArtivities Grants awarded duringthe year 9,747,041 9,747,041 3,553,936 3.553,936 Support and Gov•rnanc• Costs Salaries and contributionsto pension & healthcare Treasure, fees Legal Fees and Consultsncy Audit fees Irrecoverable VAT Secretariat expenses Publication costs Subscriptions Tru5tee5 training Trustees travel Insurance costs Office equipment depreciation Costs ofTwstees' meetings 59,447 11,021 6,107 5.963 4,200 3,170 2,fA5 2.079 1,070 421 172 132 44,701 10,998 7.749 2.311 4,727 3,691 2,934 1,954 773 643 760 397 i i 114 263 TOTAL EXPENDITURE 9,843,582 3,635,837 NET IEXPENDITURE) I INCOME FOR THEYEAR 16,848,219) 1614,4121 -35-
The Army Central Fund Annual Report and Financial Statements forthe yearended 30 June 2024 DETAILED STATEMENT OF FINANCIAL ACTIVITIE5 forthe yearended 30June 2024 2024 2023 CHARITABLE ACTIVITIES- GRANTS PAID Pirbrightwelfare Centre Armycommand Grant. Welfarefunding Army Sport. Staff and manègement costs Army Families Federation. Staff and management costs ASCB Army Sailing Thorney Island Defence Medical Welfare SeNice. Army patients in NHS hosPlta15 Aurora New Dawn. Domestic Wiolence support service SSAFA- Norton House. Costs ofvisitor accommodation HorTTe-Start UK. Supportingfamilie5 With young children AWS Activity Camps Army Roll of Honour Project. Warrior Programme. Mental health resilience SSAFA- Short Breaks. Children with additional needs Armysport Uplift Scottys Little Soldiers Armed Forces Equestrian British Forces Cyprus Command Grant CleNaux Trust. The Fold grant Military Wives Choirs. Choir development Army Widows Association. Training costs Home-startcypws CESSAC Chicksands Britlsh Forces South Atlantic Islands Welfare funding Carer Svpport Wiltshire Grant On Course Foundation Golf Activities RM Poole. Welfare funding SSAFA- SeNingCommunityProject. SSAFA- Forcesline. Confidential advice service NSPIRE22 Army Polar Expedition 6,931216 760,01)0 1.765,231 674,107 660,890 513,318 503,315 275,000 90,000 80,000 65,000 62,500 60,000 51,640 50,000 40,000 33,700 30,000 25,000 21,IX)O 16,400 15,1)00 15,000 10,000 6,81)0 6,300 5,71)0 3,81XI 2,200 90,000 80,000 65,000 53,000 8,615 50,000 60,000 21,000 15,000 15.000 6,300 2,200 60,000 15,000 2.000 9,843,681 3,4n,551 -36-