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2021-03-31-accounts

Charity Registration No. 248713

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees
Ex-Officio Brigadier V W Buck
Robert L Eggelton Esquire
Warrant Officer (Class 1) D A Coombs
Nominated Colonel R H Morris
Lieutenant-Colonel G J Chetwynd
Elected Commodore S M R Moorhouse OBE RN
Brigadier M Nugent CBE (Retired)
Mrs J Bratton
Corporal T Stuart
Secretary Colonel J T Green OBE (Retired)
Benevolence Grants Officer Major S E Brooks (Retired)
Charity number 248713
Principal address Regimental Headquarters
Royal Military Police
Southwick Park (Postal Point 38)
Nr. Fareham
Hampshire
PO17 6EJ
Auditor Jones Avens Limited
Piper House
4 Dukes Court
Bognor Road
Chichester
West Sussex
PO19 8FX
Bankers Barclays Bank plc
74/75 East Street
Chichester
West Sussex
PO19 1HT
COIF Charities Deposit
St, Alphage House
2 Fore Street
London
EC2Y 5AQ
Investment advisors Brewin Dolphin Securities Ltd
5 Gitspur Street
London, EC1A 9BD

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

CONTENTS

Page
Trustees report 1 - 5
Statement of trustees responsibilities 6
Independent auditor's report 7 - 9
Statement of financial activities 10
Balance sheet 11
Notes to the financial statements 12 - 21

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

TRUSTEES REPORT

FOR THE YEAR ENDED 31 MARCH 2021

The trustees present their annual report and financial statements for the year ended 31 March 2021.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the Trust's deed, 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 (FRS 102) (effective 1 January 2019)".

Objectives and activities

The Trust was established by a Charitable Trust Deed on 31 January 1944, as amended in January 1993, in June 1998 and finally in January 2019.

The Trust's objectives are: a) to maintain or to increase the efficiency and esprit de corps of the Royal Military Police; b) in the assistance or benefit of any such person serving or having at any time served in the Royal Military Police or being dependents, wives, widows or issue or persons in the Royal Military Police as may for the time being be in need of charitable assistance or benefit; and c) in making grants to any charity or charitable fund or charitable institution existing or hereafter instructed which in the opinion of the trustees directly or indirectly benefits the persons or dependents of persons who are serving or who have served in the Royal Military Police.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the Trust should undertake.

Achievements and performance

Since the late 1970’s the Royal Military Police Central Benevolent Fund (“RMP CBF”) was funded primarily by successive generations of serving Military Police who made substantial voluntary donations through the Armed Forces' Payroll Giving Scheme (now known as the 'One Day's Pay Giving Scheme') to the Fund. They did this in recognition of the enduring bond, which exists within the Military Police 'family' and their wish of ensuring that those in need, for whatever reason, continued to be cared for. Since April 2019, however, the majority (100%) of One Day's Pay Giving by serving members of the RMP is given to the Adjutant-General’s Corps (AGC) Association and the RMP CBF now relies upon income from its investment portfolio and from donations in addition to the 18% of the One Day's Pay Giving Scheme receipts it retains.

The trustees wish to record their thanks to the following organizations, which provide advice, financial assistance, care, guidance and comfort to soldiers, former soldiers and their dependents. Without their work the RMP CBF would be unable to help those who have found themselves in need, disabled, distressed, or bereaved:

ABF - The Soldiers’ Charity Veterans Bereavement Support Services SSAFA - The Armed Forces Charity The Lance-Corporal Ben Hyde Memorial Trust The Royal British Legion & Poppy Scotland The Royal Commonwealth Ex-Services Leage The Confederation of Service Charities The British Limbless Ex-Servicemen’s Association The Royal Military Police Association Other Regimental and Corps Benevolent Funds The Royal Hospital, Chelsea Legal Advice Centre Queen Mary University of Lond Help for Heroes

The ABF-The Soldiers' Charity is once again deserving of mention as it has helped serving and former members of the RMP and their immediate families over the last financial year and has also paid £6240.00 for three annuities for eligible widows/widowers. The ABF also supports individuals directly via grants paid through other charities and its enduring support to the Army Recovery Programme on behalf of the RMP CBF and all other Regimental and Corps charities.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Legacies:

The Fund did not receive any legacies during the period under report.

Payroll Giving:

With effect 1 April 2019, the RMP One-Day’s Pay Giving Scheme was converged with the AGC Association, of which it is a part, so the RMP CBF no longer benefits from all that income stream. Serving members of the RMP contribute 118% of a Day’s Pay and now 100% is transferred to the AGC Association, while the RMP CBF retains the balance.

Major Challenges – The COVID-19 Pandemic:

The major challenge facing the charity, and indeed the United Kingdom’s entire charity sector, has been the COVID-19 pandemic. The national lockdowns, together with restrictions on meetings in person, led to a drop in the number of applications for assistance made to the RMP CBF as the Fund’s third-party caseworkers could not meet with applicants. The overall impact of the pandemic has been a 34.4% drop in the number of cases received in the reporting period, but whilst numbers applying for benevolence dropped, the level of financial assistance required increased by 27%. The Fund also saw the level of donations down by over £11,000.00 (or 42.7%) when measured against the average raised each year since 2013. Finally, to maintain as normal a service as possible while working from home during the various national lockdowns, data-cloud enabled laptop computers were purchased for use by two key staff and with on-line access to the Mosaic Case Management System available to all Service, Regimental and Corp charities, the RMP CBF remained responsive and dealt with all cases received in an efficient and timely manner even during periods of lockdown.

Benevolence:

Calls for benevolence support decreased in the last year from 93 cases in 2019/20 to 61 cases during this period, however, the average amount gifted increased from £647.06 in 2019/20 to an average of £823.75. Responsiveness to calls for financial assistance continued to be very good despite the pandemic and national lockdowns and again the RMP CBF has been told, anecdotally, that it has maintained its good reputation for speed of response and flexibility in the handling of its case work.

Financial review

Benevolence Grants:

Grants to individuals during this period totalled £48,251. This included:

From General Funds: Individual Grants: £45,151
Christmas Grants: £3,100
From Restricted Funds: N/A

61 applications for grants were received, which is again down from previous years. Grants were approved in 55 cases and 6 were refused. There were no applications carried forward to the new accounting period. In addition, Christmas Grants of £100 were approved for 32 people who had received an individual benevolent grant previously and were over 80 years of age, although 6 cheques were not cashed. This is again down from previous years, a trend that has been maintained since 2012. Additionally, 10 RMP and 1 WRAC (Provost) In Pensioners resident at the Royal Hospital at Chelsea, who wished to receive a Christmas Box, were given £25.00, a sum set in accordance with the Hospital's Christmas Grants Policy.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Reserves Policy

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to three to six-month's expenditure. The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity's current activities while consideration is given to ways in which additional funds may be raised. This level of reserves had been maintained throughout the period.

Income:

Income to the Fund is derived from a number of sources:

Donations

Since 2013, renewed efforts have been made to attract donations from other sources other than the OneDay’s Pay Giving Scheme and to date, year-on-year, some not insignificant amounts of additional money has been raised and donated by the serving RMP, RMP veterans, members of the public and other individuals. All donations over £50.00 are recorded annually (for the calendar year) and are then published in the April edition of the RMP Journal. The sums donated for the year ending 31 December 2020, amounted to a total of £13,774.83, which does not include those Officers "In Receipt of Retired Pay" and former Non-Commissioned Officers who generously continue to donate the equivalent of either a day's pay or a day's pension to the CBF every year. The amount donated is in this accounting period is £11,000.00 (or 42.7%) less when measured against the average raised each year since 2013. This significant reduction is attributed to the COVID-19 pandemic and associated national lockdowns and restrictions.

Investments

Throughout the period Brewin Dolphin Limited has continued to manage the CBF portfolio of investments. Brewin and Dolphin have discretionary powers to buy and sell according to market trends and in line with the Trustees Investment policy of "medium growth and medium risk" to achieve an income of not less than £50,000 per annum.

The market value of the portfolio is £4,733,611. Income over this period decreased to £71,369 from £85,896 in the previous period which reflects the uncertainties in the market over the majority of this period, but remain within requirement.

Risk factors

The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to major risks.

Risk factors

The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to major risks.

Public Benefit

The Trustees have paid due regard to the Charity Commission's ‘Guide on Public Benefit’ in deciding what activities the Charity should undertake. The sole aim of the RMP CBF is to support the Royal Military Police family, which includes those who contribute to the defence of the nation and its interests and to those who have done so in the past. By grant giving, the CBF has also enabled other RMP and Army related charities to maximise their benefit in support of the RMP, its Association, its veterans and dependents and in particular has contributed directly to activity that increases the efficiency, effectiveness and esprit de corps of the nation’s military police.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

Asset cover for funds

Note 20 sets out an analysis of the assets attributable to the various funds and a description of the Trusts. These assets are sufficient to meet the charity's obligations on a fund-by-fund basis.

Structure, governance and management

The policies adopted in furtherance of these objects are managing the investment portfolio via Brewin Dolphin Securities Limited and encouraging donations, while converging the Royal Military Police One Day’s Payroll Giving Scheme with that of its parent Corps’ namely The Adjutant-General’s Corps and its Day’s Payroll Giving Scheme. Additionally, the governing document of the charity with the Charity Commission was amended on 25 January 2019.

The Trustees who served during the year under report were:

Brigadier V W Buck as Chair of Trustees; Commodore SM R Moorhouse OBE; Brigadier M Nugent CBE (Retired); Colonel R H Morris; Lieutenant-Colonel G J Chetwynd; Mrs J Bratton; Robert L Eggelton Esq; and Warrant Officer (Class 1) D A Coombs Corporal L MacGregor

The Trustees have the power to appoint an Investment Manager and to delegate to him/her discretionary powers in relation to the management of the charity's investments. The Trustees also have the power to appoint a Corporate Body as the Trustee's nominee to hold the investments of the charity. The current Investment Manager is Mr Graeme Forster and the corporate body is Brewin Dolphin Limited.

It is confirmed that the Trustees have paid due regard to the Charity Commission's guidance on public benefit in deciding what activities the charity should undertake.

The charity's only sub-committee is the Grants Committee, which is chaired by the Commanding Officer of the Specialist Operations Regiment, Royal Military Police, which is headquartered at Southwick Park. The others are either locally based Trustees or nominated Committee members such as the Regimental Sergeant-Major of the Defence School of Policing & Guarding. The Grants Committee, which did not convene during this period, consists of:

Chair: Lieutenant-Colonel G J Chetwynd (a Nominated Trustee) Members: Warrant Officer (Class One) D A Coombs (an Ex-Officio Trustee) Warrant Officer (Class One) Abbott (a Nominated Committee Member) Corporal L MacGregor (an Appointed Trustee) Secretary: Colonel J T Green OBE Benevolence Officer: Major S E Brooks

Beneficiary Lists were prepared for the Trustees meetings and were read into the minutes and approved by them.

With effect the 1 April 2019, the Royal Military Police One Day's Giving Scheme converged with that of the Adjutant-General's Corps of which the Royal Military Police is part and directly benefits those who are serving in the Royal Military Police.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

STATEMENT OF TRUSTEES RESPONSIBILITIES

FOR THE YEAR ENDED 31 MARCH 2021

The trustees are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England 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 application of resources of the Trust for that year.

In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping sufficient 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 steps for the prevention and detection of fraud and other irregularities.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

INDEPENDENT AUDITOR'S REPORT

TO THE TRUSTEES OF ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

Opinion

We have audited the financial statements of Royal Military Police Central Benevolent Fund (the ‘Trust’) for the year ended 31 March 2021 which comprise the statement of financial activities, the balance sheet and the notes to the financial statements, including 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:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the accounts section of our report. We are independent of the Trust in accordance with the ethical requirements that are relevant to our audit of the accounts 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 evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Trust’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ROYAL MILITARY POLICE CENTRAL BENEVOLENT 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 Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees responsibilities, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the Trust’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to cease operations, or have no realistic alternative but to do so.

Auditor's 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 the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Other matters

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

This has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

INDEPENDENT AUDITOR'S REPORT (CONTINUED)

TO THE TRUSTEES OF ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

Use of our report

This report is made solely to the company’s members, as a body, in accordance with section 391 of the Companies Act 2014. Our audit work has been undertaken so that we might state to the company’s members 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 company and the company’s members, as a body, for our audit work, for this report, or for the opinions we have formed.

Jones Avens Limited

20/12/2021

.........................

Chartered Accountants Statutory Auditor

Piper House 4 Dukes Court Bognor Road Chichester West Sussex PO19 8FX

Jones Avens Limited is eligible for appointment as auditor of the Trust by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 MARCH 2021

Unrestricted
Restricted
funds
funds
2021
2021
Notes
£
£
Income from:
Donations and legacies
3
19,022
-
Charitable activities
4
159,129
-
Investments
5
71,711
-
Total income
249,862
-
Expenditure on:
Raising funds
6
27,059
-
Charitable activities
7
233,787
-
Total resources expended
260,846
-
Net gains/(losses) on
investments
12
959,184
-
Net movement in funds
948,200
-
Fund balances at 1 April 2020
4,164,763
10,796
Fund balances at 31 March
2021
5,112,963
10,796		 Total Unrestricted
Restricted
funds
funds
2021
2020
2020
£
£
£
19,022
19,467
-
159,129
164,825
-
71,711
90,731
-
249,862
275,023
-
27,059
25,224
-
233,787
252,776
-
260,846
278,000
-
959,184
(417,883)
-
948,200
(420,860)
-
4,175,559
4,585,623
10,796
5,123,759
4,164,763
10,796		 Total
2020
£
19,467
164,825
90,731
275,023
25,224
252,776
278,000
(417,883)
(420,860)
4,596,419
4,175,559

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

16/12/2021

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

Charity information

Royal Military Police Central Benevolent Fund is a charitable trust. The registered office is Regimental Headquarters Royal Military Police, The Old Stables, Southwick House, Southwick Park, (Postal Point 38), Nr. Fareham, Hampshire, PO17 6EJ.

1.1 Accounting convention

The financial statements have been prepared in accordance with the Trust's Deed 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 (FRS 102) (effective 1 January 2019)". The Trust is a Public Benefit Entity as defined by FRS 102.

The Trust has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the Trust. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the Trust has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors as to how they may be used. The operational activities of the Trust are restricted to the terms of declaration of Trust dated 31 January 1944 as amended in January 1993.

1.4 Income

Income is recognised when the Trust is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Cash donations are recognised on receipt. Other donations are recognised once the Trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Legacies are recognised on receipt or otherwise if the Trust has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

Grants of a revenue nature are credited to income in the period to which they relate.

1.5 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity 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. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Resources expended are recognised either when they fall due or are paid, whichever is the sooner.

1.6 Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and machinery 10 year straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

1.7 Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

Fixed asset investments are stated at market value.

Realised gains or losses arising on the disposal of investments (together with provision fro diminution in value), are credited or debited to the Statement of Financial Activities and subsequently transferred to Capital Reserve or Restricted Funds as appropriate. Investment income (including associated tax credits) is credited to the Statement of Financial Activities when receivable. The amounts relating to funds held for restricted purposes are subsequently transferred to those funds.

1.8 Impairment of fixed assets

At each reporting end date, the Trust reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

1.9 Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

1 Accounting policies

(Continued)

1.10 Financial instruments

The Trust has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Trust's balance sheet when the Trust becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Trust’s contractual obligations expire or are discharged or cancelled.

1.11 Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Trust is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.12 Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2021

2 Critical accounting estimates and judgements

In the application of the Trust’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3 Donations and legacies

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Donations and gifts 19,022 19,467

4 Charitable activities

DPS DPS
Donations Donations
2021 2020
£ £
Performance related grants 159,129 164,825

5 Investments

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Income from listed investments 71,369 85,896
Interest receivable 342 4,835
71,711 90,731

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

6 Raising funds

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Investment management 27,059 25,224
27,059 25,224

7 Charitable activities

Staff costs
Depreciation and impairment
Postage
Insurance
Other fees payable
RMPA membership fees
Grant funding of activities (see note 8)
Share of support costs (see note 9)
Share of governance costs (see note 9)		 2021
£
33,636
575
415
939
216
2,430
38,211
189,359
2,765
3,452
233,787		 2020
£
33,935
575
27
505
128
-
35,170
209,516
2,537
5,553
252,776

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

8 Grants payable

Grants to institutions:
RMP Museum
RMP contribution to AGC
Grants to individuals		 2021
£
10,000
132,608
142,608
46,751
189,359		 2020
£
-
139,968
139,968
69,548
209,516

Grants to individuals of £46,751 includes:

a) From general funds £46,751, including Christmas grants and other individual grants. b) From restricted funds £0.

9 Support costs

Computer costs
Advertising
Travel and subsistence
Stair lift warranty
Audit fees
Legal and professional
Analysed between
Charitable activities		 Support
costs
Governance
costs
£
£
2,622
-
-
-
-
-
143
-
-
3,324
-
128
2,765
3,452
2,765
3,452		 2021
£
2,622
-
-
143
3,324
128
6,217
6,217		 Support
costs
Governance
costs
£
£
1,129
-
1,100
-
308
-
-
-
-
3,168
-
2,385
2,537
5,553
2,537
5,553		 2020
£
1,129
1,100
308
-
3,168
2,385
8,090
8,090

Governance costs includes payments to the auditors of £3,324 (2020- £3,168) for audit fees.

10 Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the Trust during the year.

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

11 Employees

The average monthly number of employees during the year was:

Employment costs
Wages and salaries
Social security costs
Other pension costs		 2021
Number
2
2021
£
32,151
1,084
401
33,636		 2020
Number
2
2020
£
32,167
1,370
398
33,935

There were no employees whose annual remuneration was more than £60,000.

12 Net gains/(losses) on investments

Unrestricted Unrestricted
funds funds
2021 2020
£ £
Revaluation of investments 834,108 (434,271)
Gain/(loss) on sale of investments 125,076 16,388
959,184 (417,883)

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

13 Tangible fixed assets

Tangible fixed assets
Plant and machinery
£
Cost
At 1 April 2020 5,750
At 31 March 2021 5,750
Depreciation and impairment
At 1 April 2020 575
Depreciation charged in the year 575
At 31 March 2021 1,150
Carrying amount
At 31 March 2021 4,600
At 31 March 2020 5,175

14 Fixed asset investments

Listed
investments
£
Cost or valuation
At 1 April 2020
3,490,071
Additions
665,932
Valuation changes
834,108
Net movement to cash
-
Disposals
(504,308)
At 31 March 2021
4,485,803
Carrying amount
At 31 March 2021
4,485,803
At 31 March 2020
3,490,071		 Cash in
portfolio
311,936
-
-
(64,128)
-
247,808
247,808
311,936		 Total
£
3,802,007
665,932
834,108
(64,128
(504,308
4,733,611
4,733,611
3,802,007

Fixed asset investments revalued

Listed investments are included at market value. The comparable amount under the historical cost basis was £3,543,971 (2020: £3,468,600).

15 Financial instruments

Financial instruments 2021 2020
£ £
Carrying amount of financial assets
Instruments measured at fair value through profit or loss 4,485,803 3,490,071

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

(Continued)
15 Financial instruments 2021 2020

Financial instruments measured at fair value through the profit or loss have been determined using a quoted market price in an active market.

16
Debtors
Amounts falling due within one year:
Other debtors
Prepayments and accrued income		 2021
£
14,040
1,869
15,909		 2020
£
14,642
-
14,642

17 Creditors: amounts falling due within one year

Other taxation and social security
Other creditors
Accruals and deferred income		 2021
£
704
11,898
3,252
15,854		 2020
£
774
25,507
3,108
29,389

18 Auditor's ethical standards

In common with many entities of our size and nature we use our auditors to assist with the preparation of the statutory financial statements.

19 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement Movement
in funds in funds
Balance at Incoming Balance at Incoming
Balance at
1 April 2019 resources 1 April 2020 resources 31 March 2021
£ £ £ £ £
Grants to individuals 10,796 - 10,796 - 10,796

ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 31 MARCH 2021

20
Analysis of net assets between funds
Unrestricted
Restricted
2021
2021
£
£
Fund balances at 31
March 2021 are
represented by:
Tangible assets
4,600
-
Investments
4,733,611
-
Current assets/
(liabilities)
374,752
10,796
5,112,963
10,796		 Total
Unrestricted
2021
2020
£
£
4,600
5,175
4,733,611
3,802,007
385,548
357,581
5,123,759
4,164,763		 Total
Unrestricted
2021
2020
£
£
4,600
5,175
4,733,611
3,802,007
385,548
357,581
5,123,759
4,164,763		 Restricted
2020
£
-
-
10,796
10,796		 Total
2020
£
5,175
3,802,007
368,377
2020
£
5,175
3,802,007
357,581
4,164,763
4,175,559

21 Related party transactions

There were no disclosable related party transactions during the year (2020 - none).