Charity Registration No. 261397 MRS E.E. BROWN CHARrrABLE SEThLEMENT TRUSTEES. REPORT AND UNAUDITED ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2023
MRS E.E. BROWN CHARITABLE SEThLEMENT LEGAL AND ADMINIsfRAnVE INFORMATION Trustees M D Brown D B Brown N B Brown Charlty number 261397 Prlnclpal address 2 Rutland Park Sheffiel SIO 2PD Accountants BHP LLP 2 Rutland Park Sheffiel 510 2PD Bankers National Westminster Bank plc 21 The Square Retford Notts DN22 6DL Solicitors Wake Smith LLP Nol Velocity 2 Tenter Street Sheffield SI 4BY Investment advisors RBC Brewin Dolphin 12 Smithfield Street London ECIA 9BD Independent examiner Rachel Heath FCCA DChA BHP LLP 2 Rutland Park Sheffield 510 2PD
MRS E.E. BROWN CHARITABLE SETfLEMENT CONTENTS Page TnJstee5' report Independent examinerfs report Statement of financial artivitie5 Balance sheet Notes to the accounts 7-13
MRS E.E. BROWN CHARITABLE SETfLEMENT TRUSTEES, REPORT FOR THE YEAR ENDED 5 APRIL 2023 The Truste present their report and accounts for the year ended 5 April 2023. The accounts have been prepared in accordance with the accounting policie5 set out in note I to the accounts and comply with the Trust Fund's Deed, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practi applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (Second edrtion - October 2019). StructureA governan and management The Trust Fund arises from gifts made by Mrs Edna Elizabeth Brown by a deed of settlement dated 5 May 1970. Mrs Brown, who died in 2000, was either the mother or grandmother of the Trustees. The Truste who seNed during the year were.. M D Brown D B Brown N B Brown Trustees are appointed in writing by the existing Trustees. The Truste regularly review the recipients and level of grants. All Trustees give their time freely and no remuneration was palé in the year. No expenses were paid to the Trustees during the year. The principal risk5 to which the charity is exposed are the security and the performance of the investments and cash and the Trustees are satisfied thot they hove arrangements in place to mitigate those risks. Objectives and activities The Trust Fund is to be applied by the Trustees to benefit such charitable institutions or objetts or purposes as the Trustees may at their total discretion from time to time decide. Within these obligations, it has been the Trustees, policy for a number of years to give gUlar Support to a number of charitable organisations. These are mosuy paid out by annual standing orders. The Trustees make other grants from time to time (but will not be considering direct appeals for assistsnce until further notice). It is not the Trustees, Folicy to make grants to individuals or in respect of medical research. Public benefit The Trustees have complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commigsion. Details of the activities carried out to deliver a public benefit are set out in the Achievements and performance sertion below. Achievements and performance During the year grants were paid to 44 organisations totalling £19,700 {2022.. £20,700). Details of the ongoing supwrt provided arsd the grants made are set out in the notes to the accounts.
MRS E.E. BROWN CHARITABLE SETfLEMENT TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 Financial review The attached accounts show the current State of the charity's finances. Total income for the year was £35,003 (2022.. £34,141). Total expenditure for the year was £33,755 12022.. £32,826). Investment management costs were £9,598 (2022.. £7,859). Grants to institutions were £19,700 (2022: £20,700}. Support costs were £4,457 (2022.. £4,267). Net expenditure for the year was £61,487 (2022.. income of £98,751} after taking into account the loss on investment assets of £62,735 {2022.' gain of £97,436). There was a surplus on the unrestricted fund of £13,874 {2022.' surplus of £25,457} and a deficit on the endowment fund of £75,361 (2022: surplus of £73,294). Totsl funds carried forward at 5 April 2023 are £1,055,035 (2022.. £1,116,522) of which endowment funds a £836,867 {2022'. £912,228) and unrestritted funds are £218,168 {2022.' 204,294). The Truste consider the overall finances of the Charity to be sound. Reserves policv At 5 April 2023 the charity had unrestrirted reseNes amounting to £218,168. The Twstees consider it to be prudent to hold income reserves of this order partly so that the level of grants in the immediate future can be sustsined in the event of any unforeseen fall in incoming resources and partly to enable the TnJstee5 to make one or more particularly substantial grants without prejudicing the normal pattern of grant making. The Truste& have unrestricted investment powers. Going concern There are no material UnrtaIntieS in relation to going COnrn. Further details about the adoption of the going concern basis are given in note 1.10 to the accounts. Investment policy The expendable endowment fund assets are held predominately in quoted securities covering a diversified range of assets including Fixed Interest, UK and Overseas Equities, Commercial Property and Aternative Investh)ents. The investment objective is to maximise the funds of the charity through a mixture of the above assets, achieving a level of income commensurate to the asset mix and capitsl growth ahead of inflation over time. This objective should be achieved undertaking only a moderate level of risk. Currently amund three quarters of the unrestricted income fund is held in quoted securities. The unrestrirted income fund is held in quoted seajrities and cash on deposit at the best interest rates available. The Trustees, investments are managed by the investment advisors on a discretionary basis. Asset cover for funds Note 12 sets out an analysis of the assets attributable to the various funds. These assets are sufficient to meet the charity's obligations on a fund by fund basis.
MRS E.E. BROWN CHARITABLE SETfLEMENT TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 Approved by the Trustees and signed on their behalf by: N B Brown Trustee Dated: 2 February 2024
MRS E.E. BROWN CHARITABLE SETTLEMENT
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF MRS E.E. BROWN CHARITABLE SETTLEMENT
I report to the charity trustees on my examination of the accounts of the charity for the year ended 5 April 2023, which are set out on pages 5 to 13.
Responsibilities and basis of report
As the charity's trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the charity's accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner's statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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accounting records were not kept in respect of the charity as required by section 130 of the Act; or 2. the accounts do not accord with those records.
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the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view' which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Rachel Heath FCCA DChA
BHP LLP 2 Rutland Park Sheffield 510 2PD
2 February 2024 Dated: ........................ .
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MRS E.E. BROWN CHARITABLE SETfLEMENT srATEMENT OF FINANCIAL AcrIvrrIES FOR THE YEAR ENDED 5 APRIL 2023 Unrestricted Endowment funds funds Total 2023 Totsl 2022 Notes Investments and deposit interest 35,003 35,003 34,141 Raising funds Investment management costs 9,598 9,598 7,859 Charitable activities Organisations - less than £1,000 Organisations - £1,000 or more Support costs 11,700 8,000 4,457 11,700 8,000 4,457 11,700 9,000 4,267 Totsl expenditure 24,157 9,598 33,755 32,826 Net gain5 on investments 3.028 {65.763) (62,735) 97,436 Net income- net movement in funds 13,874 {75,361) (61,487) 98,751 Reconciliation of funds Totsl funds brought forward at 6 April 2022 204,294 912,228 1,116,522 1,017,771 Totsl funds carried forward at 5 April 2023 218,168 836,867 1,055,035 1,116,522 All income and expenditure amounts relate to continuing activities.
MRS E.E. BROWN CHARITABLE SETfLEMENT BALANCE SHEET ASA T 5 APRIL 2023 2023 2022 Notes Fixed assets Investments io 977,687 1,050,106 Current assets Cash at bank and in hand 81,284 69,920 81,284 69,920 Creditors: amounts falllng due within one year li (3,936) (3,504) Net current assets 77,348 66,416 Net assets 12 1,055,035 1,116,522 Charity funds Capltal funds Endowment funds 836,867 912,228 Income funds Unrestricted income funds 218,168 204,294 1,055,035 1,116,522 The accounts were approved by the Trustees on 2 February 2024 N B Brown Trustee The noles on pages 7 10 13 lorm parl of these Ilnancial slalemenls.
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 5 APRIL 2023 Accounting policies 1.1 Accounting convention The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. statement of Recommended Practice applicable to charities preparing their accounts in accordan with the Financial ReFX)rting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Stsndard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Practice. The financial statements have been prepared to give a 'true and fair, view and have departed from the Charities (Accounts and RetK)rts) Regulations 2008 only to the extent required to provide a true and fair view,. This departure has involved following the Accounting and Reporting by charit1- Ststement of Recommended Practice applicable to charitie5 preparing their accounts with the Financial ReFK)rting Standard applicaple in the UK and Republic of Ireland (FRS 1021 issued in October 2019 rather than the Accounting and Reporting by Charities.. Ststement of Recommended Prartice effertive from l April 2005 which has since been withdrawn. The E E Brown Charitable Settlement meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transattion value unlS otherwise stated in the relevant accounting policy. The financial statements are prepared in sterfing, which is the functional currency of the charity and rounded to the nearest £. 1.2 Income Dividends and interest are taken into account in the year in which they are received. 1.3 Expenditure Expenditure is included on an accruals basis inclusive of any irrecoverable VAT. Grants payable are charged in the year when the offer is conveyed to the recipient expt in those cases where the offer is conditional, such grants being recognised a5 expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year-end are noted as a commitrnent, but not accrued as expenditure. All governance and secretarial costs are aknn to support costs under SORP 2019. All costs other than investment fees are therefore shown as support Costs under charitable expenditure. 1.4 Investments Investments are included at their market value on 5 April and the unrealised net gain5 or1055es arising from the revaluation are recognised in the Statements of Financial Activities.
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 1.5 Fund accounting Expendable Endowment Fund Thi5 fund represents the value of the original gift to the charity in 1970, together with the net investment gains, realised and unrealised since that time. The Trustees are required to apply the income of the fund to such charitable objects and institutions as they at their absolute discretion decide. They are also empowered to apply the capitsl in the same way. However the Trustees consider that for the 80 year period of the trust the capitsl should be regarded as reasonably pem)anent and as such is shown in the financial ststements as an expendable endowment fund. Unrestrirted Income Fund These are the serveS which the Trustees are free to use in accordan with the tharity's objertives. 1.6 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount repaid net of any trade discounts due. 1.7 Cash at bank and in hand Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of thr months or les5 from the date of the acquisition or opening of the deposit or similar account. 1.8 Creditors and provisions Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 1.9 Financial instruments The charty only has financial assets and financial liabilities of a knnd that qualify as basic financial instsuments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their setdement value with the exception of bank loans which are subsequently measured at amortised cost Using the effecbve interest method. 1.10 Going Concern The financial statements have been prepared on a going concern basis as the trust believe that nomaterial UnrtaIntieS exist. The trustees have considered the level of funds held and the expetted level of income and expenditure for the 12 months from authorising the financial ststements. The charity has sufficient rerv to enable it to continue for the forseeable future. Therefore, the trust believe it is appropriate for the financial statements to be prepad on the going concern basis.
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 Prior year's statement of financial activities Unrestricted Endowment funds funds Total 2022 In ndowments fr Investments 34,141 34,141 Raising funds Investment management costs 7,859 7,859 Charitable artivities Organisations - less than £1,000 Organisations - more than £1,000 Support Costs 11,700 9,000 4,267 11,700 9,000 4,267 Totsl expenditure 24,967 7,859 32,826 Net gains on investments 16,283 81,153 97,436 Net income - Net movement in funds 25,457 73,294 98,751 Reconciliation of Funds Total funds bmught fonvard at 6 April 2021 178,837 838,934 1,017,771 Total funds carried forward at 5 April 2022 204,294 912,228 1,116,522 Income from investments 2023 2022 Income from listed investments Interest receivable 34,539 464 34,134 35,003 34,141
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 Total expenditure Other costs Grant funding Total 2023 Total 2022 Raising funds Investment management costs 9,598 9,598 7,859 Charitable activities Organisations - less than £1,000 Organisations - £1,000 or more Support costs (note 6) 11.700 8,000 11,700 8,000 4,457 11.700 9,000 4,267 4,457 14,055 19,700 33,755 32,826 S Grants payable 2023 2022 Organisations - less than £1,000 Organisations - £1,000 or more 11,700 8,000 11,700 9,000 19,700 20,700 10
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 5 Grants payable, continued 2023 2022 Grants to institutions relating to organisations - £1,000 or more comprise.. Magen David Adom Nightingale House The Royal Star & Garter Homes St. John's Opthalmic Hospital Wirtim Support SCOPE Jewish Care UCL 2,000 1.000 1,000 1.000 1,000 1,000 1,000 2,000 I,ooo 1,000 1,000 1,000 1,000 1,000 1,000 8,000 9,000 Support costs 2023 2022 Accountancy charges Independent examination fees Bank charges 3,636 804 17 3,516 732 19 4,457 4,267 Trustees The Trustees (or any persons connected with them) neither received or waived any remuneration during the year (2022.. £nil). The Trustees (or any persons connected with them) did not have any expenses reimbursed during the year (2022: £nil). Employees There were no employees during either year.
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 Taxation The charity is considered to pass the tests set out in Schedule 6, paragraph l of the Finance Art 2010 and therefore meets the definition of a charty for UK income tax purposes. Accordingly, the charity is potentially exempt from taxation in respert of income or capital gains received with in categories covered by the Income Tax Art 2007, Part 10 S521 S537 or S256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes. 10 Flxed asset Investments Unrestricted Endowment Funds Funds Total 2023 Total 2022 Market value at 6 April 2022 Disposals proceeds Acquisltions at cost Change in value in the year 139,005 899,160 1,038,165 (17,411) (180,418) (197,829) 24,703 142,454 167,157 3,028 (65,763) (62,735) 940,974 (100,997) 100,752 97,436 Market value at 5 April 2023 149,325 795033 944,758 1,038,165 Investment cash 32,929 32,929 11,941 At 5 April 2023 149,325 828,362 977,687 1,050,106 Historical cost.. At 5 April 2023 102,727 524,943 627,670 At 5 April 2022 96,830 503,536 600,366 11 Credltors: amounts falling due wlthln one year 2023 2022 Independent examination charges Accountancy d)arges 804 3,132 732 2,772 3,936 3,504 12
MRS E.E. BROWN CHARITABLE SETfLEMENT NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 5 APRIL 2023 12 Analysis of net assets between funds Unrestricted Endowment funds nds Total Fund balances at 5 April 2023 are represented by: Investments CLJrrent asset5 Creditors.. amounts falling due within one year 149,325 72,779 (3,936) 828,362 8,505 977,687 81,284 (3,936) 218,168 836,867 1,055,035 Fund balances at 6 April 2022 were represented by: Investments Current assets Creditors.. amounts falling due within one year 139,005 68,793 (3,504) 911,101 1,127 1,050,106 69,920 (3,5041 204,294 912,228 1,116,522 Unrealised gains included above in the 2023 balances: On investments 46,598 270,490 317,088 46,598 270,490 317,088 Reconciliation of movements in unrealised gains Unrealised gains at 6 April 2022 In respect of diswsals in year 42,175 395,624 {53,238} 437,799 (53,238) 42,175 4,423 342,386 {71,896} 384,561 (67,473) Net gains on revaluations in year Unrealised gains at 5 April 2023 46,598 270,490 317,088 13 Related parties There are no related party transactions in either year. 13