**Charity registration number 248713**
# **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
**ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**||
|---|---|
|**Ex-Officio**|Brigadier S L Pringle-Smith|
||Mr R A Potts|
||Warrant Officer (Class 1) J Miller AGC (RMP)|
|**Nominated**|Colonel K P Rotchell|
||Lieutenant Colonel K A Garwood|
|**Elected**|Mrs J Bratton|
||Rear-Admiral S M R Moorhouse CBE|
||Brigadier M Nugent CBE|
||Corporal T Stuart AGC (RMP)|
|**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**|Sumer Audit|
||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**|BC Brewin Dolphin Limited|
||5 Gitspur Street|
||London, EC1A 9BD|
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees report|1 - 4|
|Statement of trustees responsibilities|5|
|Independent auditor's report|6 - 8|
|Statement of financial activities|9|
|Balance sheet|10|
|Notes to the financial statements|11 - 20|
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **TRUSTEES REPORT** _**FOR THE YEAR ENDED 31 MARCH 2023**_
The trustees present their annual report and financial statements for the year ended 31 March 2023.
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 Royal Military Police (“RMP”) Central Benevolent Fund (“The Fund”) was established by Charitable Trust Deed on 31 January 1944, under the provisions of the War Charities Act 1940. The Trust Deed was amended in 1993. On 19 June 1998, a new Scheme (“The Scheme”) was made by the Charity Commission. On the 25 January 2019, the Scheme was amended (clause 5) so as to provide for the appointment to, and composition of, the Fund’s governing committee.
The object of the Fund is:
- To maintain and increase the military efficiency and esprit de corps of the RMP and;
- To relieve the need hardship or distress of beneficiaries.
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 Fund 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 Fund 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 Fund 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 League The Confederation of Service Charities The British Limbless Ex-Servicemen’s Association The Royal Military Police Association Legal Advice Centre, Queen Mary University of Londo The Royal Hospital, Chelsea The Adjutant General's Corps Association and Regimental and Corps Benevolent Funds
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 £5,772.00 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 Fund and all other Regimental and Corps charities.
- 1 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **TRUSTEES REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **Legacies:**
The Fund received a total of £9,000 in legacies from the estates of Colonel K A S Barker TD LdH (£500), Mr P Burgess (£500), Brigadier I Cameron (£5,000) and Brevet Major G D Edwards (£3,000).
## **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 Fund 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 Fund retains the balance.
## **Benevolence:**
Calls for benevolence support increased in the last year from 64 cases in 2021/2022 to 93 cases during this period, and the average amount gifted (for 82 approved cases) increased from £805.45 in 2021/22 to an average of £898.64. Responsiveness to calls for financial assistance continued to be very good and once again the Fund has been told, anecdotally, that it maintained its good reputation for speed of response and flexibility in the handling of its casework.
## **Financial review**
## **Benevolence Grants:**
Grants to individuals during this period totalled £75,788. This included:
|From General Funds:|Individual Grants:|£73,688|
|---|---|---|
||Christmas Grants:|£2,100|
|From Restricted Funds:|N/A||
Of the 93 applications for grants received, 82 were approved and 11 were refused. There were no applications carried forward to the new accounting period. In addition, the Christmas Grants of £100.00 were approved for 18 people who had received an individual benevolent grant previously and were over 80 years of age, although 1 cheque was not cashed. This is again down from previous years, a trend that has been maintained since 2012. Additionally, 11 RMP and 1 WRAC (Provost) InPensioners resident at the Royal Hospital Chelsea, who wished to receive a ‘Christmas Box,’ were given £25.00, a sum set in accordance with the Royal Hospital's extant Christmas Grants Policy.
## **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.
- 2 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **TRUSTEES REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **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 One-Day’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 2022, amounted to a total of £27,877.81, 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.
## **Investments**
Throughout the period Brewin Dolphin Limited (now Bank of Canada Brewin Dolphin) has continued to manage the Fund’s portfolio of investments. BC Brewin 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 £70,000 per annum.
The market value of the portfolio is £4,688,732. Income over this period increased to £108,966 from £88,366.
## **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 Fund is to support the RMP ‘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 the giving of financial grants, the Fund has also enabled other RMP and Army related charities to maximize their benefit in support of the RMP, its Association, its veterans and their dependents and has contributed directly to activity that increases the efficiency, effectiveness, and esprit de corps of the nation's military police while often, the swift intervention by the Fund prevents, the claimant having to call on the State’s resources for assistance.
## **Asset cover for funds**
Note 19 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 BC Brewin Dolphin Limited and encouraging donations.
- 3 -
##
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **STATEMENT OF TRUSTEES RESPONSIBILITIES**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
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:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
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.
- 5 -
## **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 2023 which comprise the statement of financial activities, the balance sheet and 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 Financial Reporting Standard 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
- give a true and fair view of the state of the charity’s affairs as at 31 March 2023 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 Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (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 the provisions available for audits of small entities, in the circumstances set out in note 21 to the accounts, 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.
## **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:
- the information given in the financial statements is inconsistent in any material respect with the trustees report; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records; or
- we have not received all the information and explanations we require for our audit.
- 6 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED)**
## **TO THE TRUSTEES OF ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **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.
## **Identification and assessment of irregularities including fraud**
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:
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity, including The Charities Act 2011.
- we obtained an understanding of the legal and regulatory framework applicable to the entity and how the entity is complying with that framework by making appropriate enquires of management as well as considering the internal controls in place to mitigate risk of fraud and non-compliance with laws and regulations;
- we made enquires of those charged with governance and management concerning:
- the risks of fraud;
- instances of non-compliance with laws and regulations or knowledge of actual, suspected, or alleged fraud is documented during the period;
- we allocated an engagement team that we considered collectively had the appropriate competence and capabilities to identify and recognise non-compliance with laws and regulations.
## **Audit response to the risk of irregularities including fraud**
Based on the results of our risk assessment, our procedures included, but were not limited to:
- performing analytical procedures to identify any unusual or unexpected relationship.
- evaluating whether the selection and application of accounting policies by the entity that may be indicative of fraudulent financial reporting resulting from management’s effort to manage earnings.
- assessing whether judgements and assumptions made in determining the accounting estimates set out in note 2 were indicative of potential bias.
- 7 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
- agreeing financial statement disclosures to underlying supporting documentation.
- reading the minutes of meetings of those charged with governance.
- reviewing the correspondence with relevant regulatory bodies.
- testing of journal entries to address the risk of fraud through management override.
- incorporating an element of unpredictability in the selection of the nature, timing, and extent of our audit procedures
- corroborating the business rationale for transactions outside the normal course of business.
## **Conclusions regarding the risks of irregularities including fraud**
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
We considered our audit was capable of detecting irregularities due to:
- the effectiveness of the entity’s internal controls;
- the nature, timing and extent of audit procedures performed; and
- the absence of contradictory evidence.
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.
## **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.
## **Claire Norwood BSc FCA ATII (Senior Statutory Auditor)** 30/01/2024 **for and on behalf of Sumer Audit** .........................
## **Chartered Accountants**
## **Statutory Auditor**
Piper House 4 Dukes Court Bognor Road Chichester West Sussex PO19 8FX
Sumer Audit 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.
- 8 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
|**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2023**
**Notes**
**£**
**£**
**Income from:**
Donations and legacies
**3**
30,383
-
Charitable activities
**4**
137,868
-
Investments
**5**
114,520
-
**Total income**
282,771
-
**Expenditure on:**
Raising funds
**6**
29,005
-
Charitable activities
**7**
272,564
-
Total expenditure
301,569
-
Net gains/(losses) on
investments
**12**
(179,936)
-
**Net income/(expenditure) and**
**movement in funds**
(198,734)
-
**Reconciliation of funds:**
Fund balances at 1 April 2022
5,287,856
10,796
**Fund balances at 31 March**
**2023**
5,089,122
10,796|**Total**
**Unrestricted**
**Restricted**
**funds**
**funds**
**2023**
**2022**
**2022**
**£**
**£**
**£**
30,383
21,479
-
137,868
148,722
-
114,520
88,499
-
282,771
258,700
-
29,005
30,537
-
272,564
234,045
-
301,569
264,582
-
(179,936)
180,775
-
(198,734)
174,893
-
5,298,652
5,112,963
10,796
5,099,918
5,287,856
10,796|**Total**
**2022**
**£**
21,479
148,722
88,499|
|---|---|---|
|||258,700|
|||30,537
234,045|
|||264,582|
|||180,775|
|||174,893
5,123,759|
|||5,298,652|
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
- 9 -
##
##
##
|Fixed assets
Tangible assets
Investments
Currentassets
Debtors
Cash at bank and in hand
Creditors: amounts fallingduewithin
Notes
14
15
16
oneyear
17
Net current assets
Total assets lesscurrentliabilities
Incomefunds
Restricted funds
Unrestricted funds
18|2023
£
13,129
412,842
425,971
(18,235)|
£
3,450
4,688,732
4,692,182
407,736
5,099,918
10,796
5,089,122
5,099,918|2022
£
14,428
411,818
426,246
(17,032)|
£
4,025
4,885,413
4,889,438
409,214
5,298,652|
|---|---|---|---|---|
|||||10,796
5,287,856
5,298,652|
**ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **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 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. 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.
Grants of a revenue nature are credited to income in the period to which they relate.
- 11 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **1 Accounting policies**
## **(Continued)**
## **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.
- 12 -
**ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **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.
- 13 -
**ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **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.
## **Key sources of estimation uncertainty**
## **Useful life of tangible fixed assets**
The useful lives of assets are determined by management at the time the asset is acquired and reviewed for appropriateness. The lives are based upon historical experience with similar assets as well as anticipation of future events, which may impact their life.
## **3 Income from donations and legacies**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Donations and gifts|21,383|21,479|
|Legacies receivable|9,000|-|
||30,383|21,479|
## **4 Charitable activities**
||**DPS**|
DPS|
|---|---|---|
||**Donations**|Donations|
||**2023**|2022|
||**£**|£|
|Performance related grants|137,868|148,722|
- 14 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **5 Income from investments**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Income from listed investments|108,966|88,366|
|Interest receivable|5,554|133|
||114,520|88,499|
## **6 Expenditure on raising funds**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
||**£**|**£**|
|Investment management|29,005|30,537|
**7 Charitable activities**
|Staff costs
Depreciation and impairment
Postage
Insurance
Other fees payable
Donations out
Grant funding of activities (see note 8)
Share of support costs (see note 9)
Share of governance costs (see note 9)|**2023**
**£**
37,735
575
2
867
216
11,500
50,895
214,989
2,594
4,086
272,564|**2022**
**£**
33,551
575
8
1,371
216
314|
|---|---|---|
|||36,035
191,827
2,715
3,468|
|||234,045|
- 15 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **8 Grants payable**
|Grants to institutions:
RMP Regimental Fund contribution
RMP contribution to AGC
Grants to individuals|**2023**
**£**
22,987
114,881
137,868
77,121
214,989|2022
£
16,134
123,935|
|---|---|---|
|||140,069
51,758|
|||191,827|
||||
|Grants to individuals of £77,121 includes:
a) From general funds £77,121, including Christmas grants and other individual grants.
b) From restricted funds £0.|||
## **9 Support costs allocated to activities**
|Computer costs
Advertising
Travel and subsistence
Stair lift warranty
General expenses
Governance
**Governance costs comprise:**
Audit fees|**Total**
**2023**
**£**
1,456
800
40
287
11
4,086
6,680
**2023**
**£**
4,086
4,086|**Total**
**2022**
**£**
1,591
500
35
286
303
3,468|
|---|---|---|
|||6,183|
|||**2022**
**£**
3,468|
|||3,468|
Governance costs includes payments to auditors of £4,086 (2022- £3,468) for audit fees.
- 16 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **10 Trustees**
None of the trustees (or any persons connected with them) received any remuneration or benefits from the Trust during the year.
## **11 Employees**
The average monthly number of employees during the year was:
|**Employment costs**
Wages and salaries
Social security costs
Other pension costs|**2023**
**Number**
2
**2023**
**£**
36,249
1,090
396
37,735|**2022**
**Number**
2|
|---|---|---|
|||**2022**
**£**
32,151
999
401|
|||33,551|
There were no employees whose annual remuneration was more than £60,000.
## **12 Gains and losses on investments**
||**Unrestricted**|**Unrestricted**|
|---|---|---|
||**funds**|**funds**|
||**2023**|**2022**|
|Gains/(losses) arising on:|**£**|**£**|
|Revaluation of investments|(127,399)|120,960|
|Sale of investments|(52,537)|59,815|
||(179,936)|180,775|
## **13 Taxation**
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
- 17 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **14 Tangible fixed assets**
|**Cost**
At 1 April 2022
At 31 March 2023
**Depreciation and impairment**
At 1 April 2022
Depreciation charged in the year
At 31 March 2023
**Carrying amount**
At 31 March 2023
At 31 March 2022
**Fixed asset investments**
**Listed**
**investments**
**£**
**Cost or valuation**
At 1 April 2022
4,581,944
Additions
477,286
Valuation changes
(127,399)
Net movement to cash
-
Disposals
(436,848)
At 31 March 2023
4,494,983
**Carrying amount**
At 31 March 2023
4,494,983
At 31 March 2022
4,581,944|**Cash in**
**portfolio**
303,469
-
-
(109,720)
-
193,749
193,749
303,469|**Plant and**
**machinery**
**£**
5,750
5,750
1,725
575
2,300
3,450
4,025
**Total**
**£**
4,885,413
477,286
(127,399)
(109,720)
(436,848)
4,688,732
4,688,732
4,885,413|
|---|---|---|
## **15 Fixed asset investments**
## **Fixed asset investments revalued**
Listed investments are included at market value. The comparable amount under the historical cost basis was £3,509,051 (2022: £3,471,614).
- 18 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
## **16 Debtors**
|**Amounts falling due within one year:**
Other debtors
Prepayments and accrued income
**Creditors: amounts falling due within one year**
Other taxation and social security
Other creditors
Accruals and deferred income|**2023**
**£**
12,116
1,013
13,129
**2023**
**£**
810
13,615
3,810
18,235|**2022**
**£**
12,845
1,583|
|---|---|---|
|||14,428|
|||**2022**
**£**
802
12,846
3,384|
|||17,032|
## **17 Creditors: amounts falling due within one year**
## **18 Restricted funds**
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
|Grants to individuals
**Previous year:**
Grants to individuals|**At 1 April**
**2022**
**At 31 March**
**2023**
**£**
**£**
10,796
10,796
**At 1 April**
**2021**
**At 31 March**
**2022**
**£**
**£**
10,796
10,796|
|---|---|
## **19 Unrestricted funds**
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
||**At 1 April**|**Incoming**|**Resources**|**Gains and**|**At 31 March**|
|---|---|---|---|---|---|
||**2022**|**resources**|**expended**|**losses**|**2023**|
||**£**|**£**|**£**|**£**|**£**|
|General funds|5,287,856|282,771|(301,569)|(179,936)|5,089,122|
- 19 -
## **ROYAL MILITARY POLICE CENTRAL BENEVOLENT FUND**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 MARCH 2023**_
|**19**|**Unrestricted funds**|||||**(Continued)**|
|---|---|---|---|---|---|---|
||**Previous year:**|**At 1 April**|**Incoming**|**Resources**|**Gains and**|**At 31 March**|
|||**2021**|**resources**|**expended**|**losses**|**2022**|
|||**£**|**£**|**£**|**£**|**£**|
||General funds|5,112,963|258,700|(264,582)|180,775|5,287,856|
|**20**|**Analysis of net assets between funds**||||||
|||||**Unrestricted**|**Restricted**|**Total**|
|||||**funds**|**funds**||
|||||**2023**|**2023**|**2023**|
|||||**£**|**£**|**£**|
||**Fund balances at 31 March 2023 are represented**||**by:**||||
||Tangible assets|||3,450|-|3,450|
||Investments|||4,688,732|-|4,688,732|
||Current assets/(liabilities)|||396,940|10,796|407,736|
|||||5,089,122|10,796|5,099,918|
|||||**Unrestricted**|**Restricted**|**Total**|
|||||**funds**|**funds**||
|||||**2022**|**2022**|**2022**|
|||||**£**|**£**|**£**|
||**Fund balances at 31 March 2022 are represented**||**by:**||||
||Tangible assets|||4,025|-|4,025|
||Investments|||4,885,413|-|4,885,413|
||Current assets/(liabilities)|||398,418|10,796|409,214|
|||||5,287,856|10,796|5,298,652|
## **21 Related party transactions**
There were no disclosable related party transactions during the year (2022 - none).
## **22 Non-audit services provided by auditor**
In common with many entities of our size and nature we use our auditors to assist with the preparation of the statutory financial statements.
- 20 -