**www.united-purpose.org** Company number: 01278887 ## **OUR VISION** Sustainable livelihoods and healthy lives for all in a changing climate 2 ## **CONTENTS** ## **STRATEGIC REPORT** |**STRATEGIC REPORT**|**STRATEGIC REPORT**|**STRATEGIC REPORT**|**STRATEGIC REPORT**|**STRATEGIC REPORT**||||| |---|---|---|---|---|---|---|---|---| |**Chief Executive’s introduction**
**Letter from the Chair**
What we do
Where we work
United Purpose: Impact snapshot
Preparing a new strategy
Early warning and preparedness
Protecting land in a changing climate
About CUMO microfnance
Responding to the Rohingya refugee
Case studies
2022 programmes at a glance|||||||**4**
**6**
**8**
**11**
**13**
**14**
**16**
**18**
**20**

**22**
**24**
**28**|**Directors Report and Consolidated**
**Financial Statements**
Directors and Other Information
**36**
Report of the Directors
**38**
Statement of Responsibility
of Trustees
**44**
Independent Auditors’ Report
**45**
Consolidated Statement of
Financial Activities
**48**
Consolidated Balance Sheet
**49**
Consolidated Statement
of Cash Flows
**50**
Notes to the Financial Statements
**51**| |||||||||| |||||||||| |||||||||| |||||||||| |||||||||| |||||||||| |||||||||| |||||||||| |||||||crisis||| |||||||||| > Front cover: Mercy Akpan, with child Israel Ali Ugbem, from Ijiraga ward in Yala Local Government Area, Cross River State, Nigeria. Page 2: Onion farmer in Kalagi, Western Division of The Gambia waters her crops. © Bacary Mane for United Purpose. 3 **United Purpose** Annual Report 2022 ## INTRODUCTION ## **A NEW CHAPTER** **Rising costs, economic pandemic challenges, conflict and extreme weather caused by climate change meant 2022 was another relentlessly hard year for the communities we work with in Africa and beyond.** **by Feargal O’Connell** Chief Executive, United Purpose/ Self Help Africa n 2022, just as the world cautiously emerged from the grip of the COVID-19 pandemic, a global food Icrisis driven by climate change and fuelled by conflict tightened its hold on the communities we work with. Referred to by some as ‘the year of the polycrisis’, 2022 saw our teams grapple with the impact of multiple emergencies overlapping. The economic aftershocks of the pandemic combined with the conflict in Ukraine, which pushed up fuel, food and fertiliser prices, meant humanitarian needs rocketed. And extreme climate-related weather events worsened disease outbreaks and continued to put pressure on the lives and livelihoods of the rural communities we work with and for. In Bangladesh and Malawi, cyclones hit vulnerable communities the hardest – taking lives, displacing families, damaging homes and destroying crops and livelihoods. Our experience in disaster preparedness and early warning systems meant we could respond quickly. supporting them to implement the cyclone preparedness and early action plans we had been preparing to help save lives and protect families’ valuable assets. Malawi also experienced the deadliest cholera outbreak in its history, leading the Government to declare a public health emergency in December 2022. There is no denying the huge challenges facing the communities we work with in Africa and beyond. The numbers of people needing support remain staggering. But we know that the work we are doing in partnership with those communities, local and national Governments, civil society organisations and other local and international organisations will enable disadvantaged and vulnerable communities to take greater control over their own lives in the longer-term – helping them earn more from their work and securing sustainable sources of water, sanitation and hygiene. We joined international agencies, local disaster management committees and community-based organisations to assist affected communities, **Feargal O’Connell, Chief Executive, United Purpose/ Self Help Africa** _We know that the work we are doing will enable vulnerable communities to take greater control over their own lives_ 4 5 **United Purpose** Annual Report 2022 ## **LETTER FROM THE CHAIR** **In what has been another complex year for the communities we work with, a focus on partnerships old and new has remained crucial to ensure we are all well equipped to face the challenges posed by climate change.** **by Mary Robinson** Chair, United Purpose n The Gambia, where altering weather patterns increasingly demand new approaches from Ifarmers, the head of our demonstration farm, Ousman Manneh, recently told us “seeing is believing”. He was referring to the farm’s focus on growing higher-value, ‘exotic’ crops that many Gambian farmers do not believe they can grow in the country – like sunflowers, strawberries, ginger and garlic.Ousman and his team of agricultural experts are on a mission to change that and, with our support, have been nurturing a demonstration and learning farm as part of our Transforming Access to Markets project – touring the country and welcoming communities to the land, to show the next generation of Gambian farmers what is possible and inspiring them to diversify (and increase) their income. Such climate-smart farming projects have never mattered more. During 2022, we continued to support communities as they grappled with the significant threat to their lives and livelihoods that climate change poses. Despite the continent being responsible for less than 10 per cent of global greenhouse gas emissions, more than 110 million people living there were directly affected by weather, climate and water-related hazards in 2021. At least 5,000 people lost their lives to climate-related incidents, with nearly half of those deaths linked to drought (48 per cent) and 43 per cent to flooding. These numbers make sobering reading and it’s easy to feel overwhelmed. But we know that when we work together, we can make a positive difference. Climate change is a huge challenge that affects us all. Strategic partnerships with like-minded organisations are vital to effectively support the worst affected communities. So, as members of the Global Evergreening Alliance, we were delighted when the Alliance secured the first tranche of a US$150m financing package from Climate Asset Management in 2022, helping kick-start ‘Restore Africa’ – an initiative to restore 1.9 million hectares of land and work directly with 1.5 _Strategic partnerships with like-minded organisations are vital to effectively support the worst affected communities._ 6 **----- Start of picture text -----**
Ousman Manneh tends to crops at a demonstra-
tion farm in The Gambia, supported by United
Purpose. Credit: Bacary Mane
**----- End of picture text -----**
million smallholder farming families, across six African countries – Kenya, Ethiopia, Malawi, Tanzania, Uganda, and Zambia. We are proud to be implementing some of this work. Partnership also remained a focus within our organisation, following our 2021 merger with Self Help Africa – an NGO with a similar mission and vision. The process to move forward as a united team continued apace. As work began to unify our brand by adopting the name ‘Self Help Africa’ on the continent and Self Help Bangladesh and Self Help Brazil, we identified and developed our shared values and behaviours. The milestone merger between our organisations has expanded our reach to new countries in Africa and brought new expertise to our joint organisation, making us stronger and more effective as we face the many challenges confronting disadvantaged communities worldwide. **Mary Robinson Chair, United Purpose** 7 **United Purpose** Annual Report 2022 ## **WHAT WE DO** ## **CLIMATE SMART** Those least responsible for climate change are the most affected by it. We support vulnerable communities to adapt to changing climates and extreme weather events, including through disaster preparedness and climate-smart agricultural techniques. ## **ENTERPRISE** We nurture small businesses and encourage enterprise, enabling households to earn a vital alternative source of income. ## **COOPERATIVES** We bring communities together. Working as a cooperative means entrepreneurs and farmers can access new markets and earn more. ## **GENDER** We’re working to level the gender field in sub-Saharan Africa and beyond. Advancing gender equality is critical to a healthy society – from reducing poverty to promoting the health, education, protection and wellbeing of all. ## **AGRICULTURE & NUTRITION** More than 70% of Africa’s poorest people live on small farms. We help farming families achieve their potential to grow and earn more from their land. ## **MICROFINANCE** We invest in people – providing access to small loans through microfinance gives impoverished rural families the means to improve their farms, so they can grow, eat and sell more. ## **RIGHTS & ADVOCACY** We work with community organisations and individuals to increase awareness of their rights so they can gain agency over their own lives and move Beyond Aid. 8 In Cox’s Bazar, United Purpose is working with host communities to strengthen their resilience and encourage social cohesion **United Purpose** Annual Report 2022 9 **UNITED PURPOSE SUPPORTED 102[,] 871 FARMERS TO IMPROVE THEIR METHODS** 10 ## **WHERE WE WORK** **----- Start of picture text -----**
BANGLADESH
State of SENEGAL
Paraiba AND THE GAMBIA
GUINEA
BRAZIL
MALAWI
NIGERIA
MOZAMBIQUE
**----- End of picture text -----**
11 **United Purpose** Annual Report 2022 **NEARLY 59% OF PEOPLE WE WORKED WITH WERE WOMEN** 12 ## **UNITED PURPOSE** IMPACT SNAPSHOT ## **55,643 Households accessed renewable energy** ## **102,871 Farmers improved their methods** ## **85,263 Households accessed cleaner, greener cook stoves** **379,970 Trees were planted to support communities’ climate resilience** 13 **United Purpose** Annual Report 2022 ## UNITED PURPOSE STRATEGY ## **PREPARING A NEW STRATEGY** **The development of a new five-year strategy provides a road map that can guide us in our work to alleviate poverty and hunger in the years ahead** n 2022, United Purpose and Self Help Africa commenced the development of a new joint five-year Iglobal strategy, ‘Sustainability and Resilience in a Changing Climate’ to take effect from 2023-2027. The new strategy positions the threat of climate change and the impact on rural poor communities in the countries where United Purpose works, as the context within which future planning must to be framed. The strategy, which launched in early 2023, defines the organisation’s goals and the necessary resources, and impact measurements for its success. Collaboration was key to the development of the new strategy. Planning and consultations took place at Board, programme country and headquarters level. An external consultant facilitated the process and supported the preparation of the new strategy. In addition, over 300 staff shared their views in an online survey circulated as part of the development of the new strategy. ## _Collaboration was key to this strategy_ The new global strategy, was formally adopted by the Board of Directors at their first meeting in early 2023. ‘Sustainability and Resilience in a Changing Climate’ acknowledges the recent and rapid growth within the organisation, specifically resulting from the merger with Self Help Africa, that had added hundreds more staff to the workforce in late 2021. The strategy reshapes the organisation’s global mission to alleviate hunger, poverty, social inequality and the impact of climate change through community-led, market based and enterprise-focused approaches. It outlines the focus of our work as supporting agriculture and food systems, maintaining sustainable landscapes, and providing support to communities to adapt to a changing climate. 14 Khady Sarr, a Njogen Farmer field School student in The Gambia, with her raised cabbage beds © Jason Florio 15 **United Purpose** Annual Report 2022 CLIMATE CHANGE ## **EARLY WARNING AND PREPAREDNESS** **Climate change is an increasing threat to the world’s most vulnerable communities. Paul Wagstaff, Head of our Global Technical Advisory and Research Team, explains how we work with communities to boost their resilience** **by Paul Wagstaff** Head of Global Technical Advisory and Research Team he rural, economically disadvantaged communities with whom United Purpose works T are among the most vulnerable to climate change. For this reason, it’s becoming increasingly important that we can not only help people adapt to changing conditions, but can also mitigate the effects. Improving preparedness and early warning mechanisms are key components in this work. Forecasting short-term local weather conditions in our programme countries remains an inexact science. However, global medium-term forecasts based on ocean temperatures are becoming very accurate, and longer-term climate change-related trends appear to be more closely following the predictions made by climate models. At United Purpose, a significant challenge we now have in our day-today operations is to ensure that the forecasts being received reach the communities we work with in time - whether that is through radio, text messages or village councils. Too often in the past, farmers were warned about a coming drought when all they had were maize seeds unsuitable to survive the imminent poor rains and high temperatures. Better meteorological and hydrological data is required to improve national weather and flood forecasts. Historically, meteorological stations tend to be sited at airports, agriculture research institutions and district offices. This left large gaps in coverage. We have been using a locally-based ‘citizen science’ approach to fill these gaps. In Malawi, as well as in Zambia through our sister organisation Self Help Africa, this local infrastructure includes manual and automatic weather stations that have been set up in primary schools and community centres. At these facilities, data is collected on a daily basis by community members, shared with the wider community and sent by SMS to district meteorological offices. River-line gauges have also been installed to warn downstream communities when river waters may be rising. Following heavy rains in 2019-20 linked to the reversal of currents in the Indian Ocean (Indian Ocean Dipole), Eastern Africa experienced several years of drought associated with the La Niña reversal of currents on the Pacific Ocean (ENSO). Recently, that situation has reversed. The planet is now experiencing the start of a new El Niño event. This will 16 reduce rainfall in Southern Africa, Eastern Bangladesh, Southeastern Brazil, and will also increase rainfall in Eastern Africa. In preparation for the anticipated poor rains in Zambia, Malawi and Mozambique, our teams are advising farmers to take out insurance before premiums rise, and to adopt conservation agriculture minimum tillage approaches that were proven to be an effective way of minimising crop losses during the 2018-19 El Niño . Furthermore, farmers are being advised to access drought-tolerant seeds for more resilient crops, including pearl millet, sorghum, cassava, cowpea, Bambara groundnuts, and chickpeas. Opportunities to deepen water wells and steps to introduce school feeding programmes are being examined. Our Self Help Africa colleagues are also preparing communities in East Africa for heavy rains, and an anticipated increase in water and mosquito-borne diseases and the possible displacement of people living in the low-lying areas around the fringes of Lake Baringo, Kenya. Self Help Africa’s soil and water conservation structures in the mountainous region of Southwest Uganda effectively protected the community here from landslides during the heavy rains of 2019-20, so these structures are being repaired to cope with heavy rains. With an increasingly hostile climate and extreme weather events being experienced all over the world, working with local communities to adapt to, and cope with, the worst effects of the climate crisis will become evermore important to our programmes in the future. _It is important we help people adapt to the conditions and mitigate the effects_ Community members constructing a deep trench in Mtemwende, Malawi 17 **United Purpose** Annual Report 2022 CLIMATE CHANGE **----- Start of picture text -----**
Soil preparation
at Radville Farm,
The Gambia
**----- End of picture text -----**
## **PROTECTING LAND IN A CHANGING CLIMATE** **Edward Meleki, Senior Global Advisor on Climate Change, Agroforestry and Natural Resource Management, explains why restoring, conserving and managing land is a vital part of our work** Conserving these precious natural resources in various ecosystems ensures a continuous and sustainable supply of products and services derived from them. atural resources on farms and communal land are amongst the most precious Nassets available to the people with whom we work. Both food and non-food products are derived from the restoration, conservation and careful stewardship of natural resources. But, the benefits don’t end there. Therefore, the protection, preservation and rehabilitation of these lands and environment are critical, if they are to provide and support a sustainable future for these communities. **by Edward Meleki** Senior Global Advisor on Climate Change, Agroforestry and Natural Resource Management A well-conserved and managed ecosystem also provides communities with nutrient cycling, water cycling, soil formation and retention, as well as habitats of various fauna and flora, pollination of crops, decomposition, erosion and flood control, reduction of siltation and landslides, water purification, carbon storage and climate regulation. Across our portfolio, smallholder farmers as the principal custodians of the land are engaged in a range of community natural resource management activities designed to conserve natural resources. _We must ensure land use is sustainable and support efforts to restore, conserve and rehabilitate lands that have become degraded and depleted_ In the face of increasing and relentless pressure placed on natural resources by rising human populations and climate change effects, we must redouble our efforts. We must ensure that land use is sustainable, and support efforts to restore, conserve and rehabilitate lands that have become degraded and depleted. 18 It is only by restoring, conserving and managing degraded ecosystems that we will bring back disappearing biodiversity, and restore the natural structure and systems of forests, grasslands, soils, hills, mountains, streams, lakes, rivers, and oceans. United Purpose and Self Help Africa have been working to restore, conserve and manage degraded and degrading landscapes through afforestation, reforestation, and revegetation in a broad range of our programmes, including in Kenya, Uganda, Malawi, The Gambia, Senegal, Ethiopia, and Zambia. As of December 2022, a total of 26,975 hectares were under natural resource management practices and plans. This enables these areas to be fully restored, conserved, and managed by farmers. We are currently working with more than 100,000 smallholder farmers, supported by 316 Community Natural Resource Management Committees to enhance agrobiodiversity and conserve various ecosystems in farming landscapes. Over the coming years, we will continue working with Community Natural Resource Management Committees and more than 200,000 farmers to restore, conserve and manage slightly over 150,000 hectares of degraded ecosystems (Marine and Terrestrial) and grow 35 million diverse trees species through tree planting and or natural regeneration in various projects. ## **The cook stoves fuelling Malawi’s fight against energy poverty** including maize cobs, pigeon pea stalks and other crop residues. This means fewer trips to collect firewood, which expose women and girls to greater risk of sexual assault and violence. More than three quarters of a million energy-saving fuel stoves have been distributed by United Purpose and Self Help Africa in Malawi in the past decade. The ‘Chitetezo Mbaula’ stoves (meaning ‘protecting stove’ in local dialect) project has generated approximately €400,000 in additional income for the (mainly) women's groups who manufacture the clay devices, while generating more than €150,000 more in income for traders and agents who sell them. The name “Chitetezo Mbaula" refers to both the safety of the device and its ability to protect forestry in a country that has lost more than 30 per cent of its tree cover in the past 40 years. The stoves have an average lifespan of three to four years. In an associated initiative, we have also started promoting the use of a complimentary alternative ‘Zipolopolo’ (meaning ‘bullet’ in the local language) stove , which burns pellets made from agricultural waste - specifically compressed groundnut shells – as an alternative to illegal, unsustainably produced charcoal; the dominant cooking fuel for urban households and one of the leading causes of Malawi’s deforestation. In a country where just 14 per cent of households have access to electricity and where most rely on open fires and charcoal to meet their home cooking needs, the initiative has halved fuelwood consumption, reduced pollution and saved time and money for local households using the stoves. Not only do the stoves require less fuel for cooking, they also burn on alternate energy sources, Making an energy-saving fuel stove 19 **United Purpose** Annual Report 2022 **----- Start of picture text -----**
CUMO MICROFINANCE
ABOUT CUMO
MICROFINANCE
People doing business transaction with a point-of-sales terminal
**----- End of picture text -----**
**CUMO Microfinance is one of Malawi’s largest microfinance service providers with a focus on working with extremely rural communities.** UMO Microfinance is a rural bank that started as a small pilot project to provide loans Cto just 100 rural farmers in Malawi around 25 years ago. Since then, CUMO has grown exponentially. Last year, it disbursed €6.8 million of loans to its rural and economically disadvantaged client base. The bank has more than 72,000 members and a network of 4,368 Village Savings and Loans Associations, which it operates in 23 of Malawi’s 28 districts. CUMO provides loan services tailored to client needs. Most borrowing is linked to on-farm agro-processing and smallholder farm trading activities. Recently, the bank became the first finance institution in Malawi to offer life insurance to small-scale farming households and insurance to farmers to protect against crop failure. Established in 2000 as a project funded by the UK’s Department of Foreign and International Develop- 20 ment (DFID), CUMO Microfinance has - in four of the past eight years - been awarded the highest compliance rating by the Reserve Bank of Malawi, the only non-deposit taking institution to have achieved such a rating. Alongside its comprehensive package of banking services including savings, loans and insurance services, CUMO also supports its rural membership with a range of financial literacy and entrepreneurship support through a digitised mobile CUMO Entrepreneurship Training Centre. CUMO, which is run from a head office in Lilongwe, has also been involved in supporting social cash transfer programme recipients - assisting people in receipt of cash transfer humanitarian aid to start savings. Since the Centre’s inception, an estimated 76,000 Malawians have accessed training services. Most (84%) of CUMO’s clients are women and many access loans to support agro-processing and other farm trading activities. Nearly all (96%) of the bank’s clients live on less than two acres. This allows them to accumulate assets, start small businesses and allows for a higher degree of financial security. _Most of CUMO’s clients are women and many access loans to support their farming_ Most of CUMO’s clients are women and many access loans to support trading activities. 21 **United Purpose** Annual Report 2022 WORKING IN ASIA ## **RESPONDING TO THE ROHINGYA REFUGEE CRISIS** **United Purpose has been responding to the Rohingya refugee crisis, since hundreds of thousands of people fled the borders into Bangladesh** **by Sriramappa Gonchikara** Country Director, United Purpose Bangladesh n late 2017, hundreds of thousands of Rohingya, many of them children, made the frightening exodus Ifrom Myanmarin a desperate bid to escape violence and ethnic cleansing in neighbouring Myanmar. They joined around 300,000 refugees that were already living in southern Bangladesh, following previous displacement. Today, almost a million Rohingya are living in refugee camps in Cox’s Bazar in Bangladesh, relying entirely on humanitarian assistance for protection, food, water, shelter and health, and living in temporary shelters in highly congested camp settings. Their presence has had an adverse knock-on effect on local communities too. Farmers and fishermen have been displaced, and farmlands already vulnerable to flooding and cyclones have experienced degradation and further depletion of the region’s limited natural resources. With support from the International Organisation for Migration (IOM) and Global Affairs Canada, United Purpose formed 54 self-help groups amongst the host community in Bangladesh, and provided business development and management training to more than 2,800 people, 87% of whom were women. The initiative supported the development of 3,500 adaptive business plans by host community members who had been displaced from their _Our efforts include social cohesion and climate change resilience_ livelihoods, and supported a further 1,350 people to scale up their existing businesses through technical training opportunities. The latest work builds on previous United Purpose activities, and follows previous efforts supported by IOM to create several thousand new job opportunities for youth who had lost their farmland or jobs to Rohingya refugees settled in in Cox’s Bazar. Importantly, these efforts included social cohesion and climate change resilience programming to limit the complex nature of the emergency and the growing risks of severe weather events and violence between Rohingya and the host community. United Purpose will seek to work with local partners, including civil society and public sector, to strengthen local capacity to create contextualised livelihood and peacebuilding programming in the region as part of the ‘Grand Bargain,’ an agreement between the biggest donors and aid organisations, that aims to get more means into the hands of those who need it. 22 United Purpose has been supporting response to the Rohnigya crisis in Cox’s Bazar, Bangladesh (Shutterstock SK Hasan Ali) **----- Start of picture text -----**
United Purpose Annual Report 2022
**----- End of picture text -----**
**----- Start of picture text -----**
23
**----- End of picture text -----**
CASE STUDY The Gambia CASE STUDY The Gambia ## **Fatou Mjie** When the solar-powered water system supplying Fatou Mjie’s village broke down, the community didn’t have the resources or training to fix it. Like many others in Touba Pakala village, in The Gambia’s Central River Region, the 30-year-old rice farmer had to spend most of her day walking to fetch water. Supported by United Purpose, the solar-powered system has now been repaired, and is providing a safe, clean supply of water – giving precious hours back to Fatou and the many other women and girls traditionally tasked with water collection. The work is part of a project in The Gambia being funded by the Waterloo Foundation, FORSA and Dublin City Council. “I walk to this community tap eight times a day to fetch water because I cook, wash dishes and wash clothes, and those activities all require water,” said Fatou, a rice farmer and village water committee member. “We now have extra time to do other activities and it reduces the stress and hassle of collecting water outside our community. We also have time to relax and enjoy a little time off for ourselves.” In many rural areas of The Gambia, hand pumps are breaking or have broken, and even newly-installed solar-powered systems, like the one in Fatou’s village, require ongoing maintenance. United Purpose and local partners are collaborating with local communities to make access to safe water more sustainable. Village committees are making decisions on water point management, and fees are being charged for water use, with the money then made available for management and maintenance. A network of local mechanics is now on hand to fix pumps, while a solar company has been retained to establish service contracts with rural communities and make regular maintenance visits. Fatou, who relies on small-scale farming to earn a living, is keen to establish an irrigation system that would allow herself and other women in the village to set up their own market garden. At present, she walks several kilometres to farm rice, something that takes her away from her children for long periods of each day. “A vegetable garden would reduce the frequency with which I would go to the rice field for work and would allow me more time to give good care to my children,” she said. 24 ## CASE STUDY Senegal ## **Marieme Demba Ndiaye** Before participating in our Tekki Jiggen programme, rural entrepreneur Marieme Demba Ndiaye would not have researched the small print or shopped around before taking a loan to support her business. Like many women entrepreneurs in rural Senegal, Marieme lacked access to the information she needed to make informed financial decisions about her juice and cereal business. However, after attending our microfinance training at the Chamber of Commerce in Thies, Marieme’s outlook changed dramatically. “Before the training, if we wanted to take a loan, we would go directly to the same microfinance company and request one then work out how best to invest it,” she said. “We wouldn’t ask for any information. They’d tell us the conditions of the loan and, even if the interest rate was too high, we’d just sign and leave with the money.” A lack of access to financial information and training can dent women entrepreneurs’ confidence and prevent them from accessing the microfinance they need to grow their income potential. Many feel too nervous about the interest rates offered and finance providers fail to proactively share details about the conditions with them. These are issues Tekki Jiggen was keen to address. Training has enabled Marieme Demba to boost her business “The training in microfinance has given us new knowledge and confidence,” Marieme said. “It has taught us that if we are considering borrowing, there’s certain information we should be asking for first to weigh up the pros and cons and see if that offer is the right one for us. We’ve learned we are spoiled for choice. If this microfinance institution doesn’t suit us then we can always move to another.” Marieme has also gained new digital marketing skills and is now using WhatsApp to expand her customer base. “When we returned from the marketing training, I sorted out labels and packaging to better showcase my products – something I was not doing before – and started to do more proactive promotion through WhatsApp,” she said. “Now, when I produce juice, I stick new labels onto the bottles and I post a picture on WhatsApp. My contacts see my status and the picture and share them with other people. Sometimes they recommend me to others. It’s helping me attract new customers.” 25 **United Purpose** Annual Report 2022 CASE STUDY Bangladesh ## **Fatema Bibi** Food allergies and respiratory distress had made life at the refugee camp in Bangladesh’s Cox’s Bazar particularly difficult for 65-year-old Rohingya widow Fatema Bibi, whose symptoms always worsened when the weather was extremely cold or hot. For Fatema and many Rohingya refugees living in Cox’s Bazar, living conditions were difficult and access to medical services was limited. To address this challenge, in partnership with local health and family planning staff, United Purpose launched its ‘Survival Assistance for resettled Rohingyas through the continuation of humanitarian response and COVID-19 preventive Action’ project (SARA, for short). The project has been offering health outreach services at two camps where Rohingya refugees like Fatema can benefit from primary healthcare and infectious disease management. After visiting one of the camp’s doctors, Fatema was diagnosed with asthma and musculoskeletal problems and given an inhaler and pain medication. A week later, a follow-up appointment confirmed her condition had improved and she started to feel better. “Without this health post it would have been very difficult for us to get the treatment in this camp area, as there is no other health post near us,” she said. “They provided me with medicine and advice that has helped me to survive in this difficult time. I am grateful to all of them from the bottom of my heart.” A Day in the Rohingya Camp Health Post To help prevent the spread of infectious disease, the SARA project has sought to strengthen hygiene and sanitation practices by running two portable water supply networks in the camps that provide more than 1,300 households with fresh water every day. 26 CASE STUDY Malawi ## **Ephraim Kamtedza** Every morning before he leaves for his work, smallholder farmer Ephraim Kamtedza, from Malawi, prays for guidance. The 48-year-old’s green field, just visible from his home, is evidence of the hard work he puts into growing food yearround for his six children. Ephraim is a smallholder farmer participating in programmes we support – including improving community access to village savings loans (VSL) groups and growing nutritious and high yield orange fleshed sweet potato. In Balaka district, where he lives, climate change has caused erratic rain so irrigation farming is essential to grow crops like the orange fleshed sweet potato sustainably. However, most farmers lack the resources needed to purchase farming inputs and the necessary irrigation technology. “At first I used to hire a pump to help with irrigation,” he explained. “For the crops to mature, I needed to irrigate seven times. This was expensive and time-consuming.” When Tropical Storm Ana hit in January 2022, Ephraim used a village loan to buy five 50kg bags of rice. The profits he made from selling that rice went back into his farming, providing additional income to support his family during a particularly difficult period. In 2020, he had also bought a motorised water pump using his village savings loan and profits from selling orange fleshed sweet potato. The purchase has since saved him thousands in leasing fees per farming season. As a member of the VSL group, Ephraim has received training in VSL leadership, group dynamics, borrowing and loan management. He is now a VSL community-based trainer, overseeing five local groups with around 100 members. “The food we farmed used to run out by November, forcing us to buy food until February,” he said. “Purchasing food was inconsistent as my income was unstable, meaning our family struggled to eat at times. Now, we’ve learnt how to grow orange fleshed sweet potato and we’ve been able to sell and make profits from it, investing that money in so many ways.” 27 **United Purpose** Annual Report 2022 ## **2022 PROGRAMMES AT A GLANCE** **----- Start of picture text -----**
An onion farmer in The Gambia’s Western
Division prepares the soil for planting
**----- End of picture text -----**
sustainable and resilient to external shocks reaching households. n 2022, United Purpose, implemented 44 projects across The Gambia, Guinea, Malawi, MozamIbique, Nigeria and Senegal in Africa and also Brazil and Bangladesh. While there were signs of a recovery from the worst impacts of COVID-19, macro-economic growth in target countries was impacted by external and internal shocks, including the effects of the war in Ukraine on global commodity prices (including food, fertiliser and fuel), the disruption of global supply We worked with smallholder farmers, farmer associations, cooperatives and agribusinesses to help farmers grow and sell more food, improve diets, diversify incomes and make their livelihoods more ## **BANGLADESH** chains and adverse weather conditions. Soaring levels of inflation also negatively impacted households’ purchasing power. _Soaring levels of inflation negatively impacted households’ purchasing power_ angladesh made a rapid recovery from COVID-19 but faced political and ecoBnomic challenges. Upcoming elections in 2024 have led to an increasingly challenging political atmosphere. There was also ongoing conflict in the Chittagong Hill Tract Region, alongside environmental disasters in 2022. Natural disasters, particularly floods in the Northern regions of Bangladesh affected approx. 7.2 million people in June 2023. This led to a large-scale humanitarian response in which we were involved. Five projects ended in Bangladesh during the year, including the GIZ-funded project ‘Mobilising rural women entrepreneurs for COVID-19 response and recovery’. This model is now being piloted in Kenya, Malawi and Nigeria. Four new projects began in 2022, too. These included a women’s business centres project funded by Coca Cola Foundation, a project to strengthen civil society within Cox’s Bazar supported by IOM, and a Climate Bridge Fund project to enhance resilience. 28 ## **BRAZIL** n Northeastern Brazil we continue our work to deliver a Government-funded ‘Self-care Ialternative health pilot’ project, which offers alternate treatments to complement public health care services. The project was expanded to four health centres. On completing the pilot, the Brazil team began engaging Paraíba State government to discuss the possibility of scaling the project in the future. Funding was secured from Electric Aid and Be One Percent to support the implementation of a menstrual health and income-generating project for women, which will work through five women’s groups starting early 2023. ## **THE GAMBIA** espite positive GDP growth, rising food prices undermined the pace of Dpoverty reduction. The sharp increase in poverty was largely due to weaker growth in per capita GDP and high prices, which eroded the purchasing power of households. The first GIZ-funded project to strengthen marketing federations was launched in 2022. A member-based association was established to support production and marketing of vegetables cultivat- ed by women farmers in the six regions of the Gambia. The project also built on the successful impact of an earlier biofortification project. The Gambia team continued the implementation of the three-year, EU-funded “West Africa Competitiveness Programme”. Participants at 120 farmer field schools (95 per cent of whom were women) received training on climate smart agriculture and resilience, good agronomic practices, record keeping, financial management and negotiation skills. A new project to provide farmers with market prices for agricultural products and climate information was also launched. A total of 3,234 farmers (2,729-Female and 505-Male) were reached in a biofortification and nutrition project. Farmers produced 67,790 orange-flesh sweet potato vines, which led to the production of 59 tons for consumption and marketing. A number of projects came to an end in December 2022. All co-financing requirements were met through Village Aid, FORSA, and Dublin City Council. ## **GUINEA** he ENABEL-funded INTEGRA programme continued promoting local and Tinclusive development and contributing to the prevention and limitation of irregular migration, as well as fostering the reintegration of return migrants and the sustainable, socio- professional integration of young people in Guinea. It did so in collaboration with GTZ, ICC, ENABEL, UNDP and UNCDF. As part of the INTEGRA programme, the project aims to reach 4,736 young people through the INTEGRA functional literacy and economic integration programme and provide training, support, and certification of 2,460 young people. By 2022, 37 training centres were set up, enabling 3,406 young people to receive literacy training, and helped 2,460 young people to develop business plans. _INTEGRA promoted local and inclusive development in Guinea in 2022_ 29 **United Purpose** Annual Report 2022 ## **MALAWI** n 2022, the Sustainable Production, Economic growth, Accountability and Resilience (SPEAR) Iproject was extended for a year. The SPEAR project serves as the foundation for the next cycle of funding from Irish Aid, due to launch mid-2023. 74 grain banks with 13,685 (5,751 men and 7,934 women) members have been organized into 9 productive groups of which 7,736 (2,799 men and 4,937 women) grain bank members have been linked to cooperatives. A total of 6,312 (2,017 men and 4,295 women) community members during the lean season accessed grain loans amounting to 7,088 bags of 50kg maize each. The SHASHA schools project concluded. With UNICEF support, 15 schools in the SHASHA project completed works to include disability-inclusive features and a changing room for improved menstrual hygiene management. Elsewhere, we supported UNICEF with rolling out Cholera prevention activities in nine hard hit districts. This programme was in complement with the COVID-19 vaccine intervention that also launched in 2022. The rehabilitation and repair of boreholes assisted 14,249 people to access safe drinking water and sanitation services. The flagship five year EU-funded BETTER programme ended in December 2022. A consortium project that was implemented with a number of partner agencies, BETTER reached a total of 380,991 smallholder farming households (152,397 Males 228,594 Females) in 12,943 farmer field schools (FFS) spread across 78 Extension Planning Areas (EPAs). ## **MOZAMBIQUE** n Mozambique in 2022, United Purpose launched seven projects. The largest of these was the Ithird phase of the Government’s multisectoral ‘Transparent Governance for Water, Sanitation and Health’ programme (or GoTAS III, for short). Funded by The Netherlands Development Organisation ‘SNV’, it aims to improve the health of 36,000 women and men living in rural areas of seven districts in Niassa Province through governance, water supply, sanitation and health promotion. The remaining projects were the UNDP-funded ‘Decentralization for Development’ and ‘Initiatives to Promote Provincial Decentralization in Niassa and Nampula’, which support the Government’s decentralisation efforts; ‘Improving Food Security & Economic Empowerment’, funded by Action on Poverty and the Australian Government, which is a regional food security project implemented in Ethiopia, Malawi and Mozam- bique focused on improving farmers’ access to high quality seeds, training sessions and markets; the Medicor Foundation-funded ‘Strengthening WASH systems for sustainable and inclusive WASH services in schools across Lichinga District, Mozambique’; and the Penny Appeal-funded projects ‘Cyclone Idai recovery’ and ‘Food distributions to IDPs in Niassa province’. Four projects also ended in 2022, including the International Fertiliser Development Centre-funded ‘Transfer Efficient and resilient Agricultural technologies through Market Systems’. The TEAMS project, funded by Swedish International Development Cooperation Agency (SIDA) and IFD, also ended in December 2022. It improved people’s access to enough nutritious food locally by supporting 40,500 farmers to access better agricultural inputs, such as improved seeds; training extension officers who then supported farm- ers; improving irrigation systems; addressing post-harvest losses; and supporting farmers to market their crops in the region. The ‘Improving Food Security, nutrition, income and livelihoods for smallholder farmers in Ethiopia, Malawi and Mozambique’ project also ended in 2022. It was one of many projects to come from Self Help Africa/United Purpose’s longstanding relationship with Australian donor Action on Poverty. This project supported 842 smallholder farmers to improve food security, food safety and nutrition while promoting climate resilience. An important part of the project included promoting orange-fleshed sweet potato varieties as nutritious and marketable crops, supporting smallholders in demand-building exercises and cultivation. The success of this project led to it being renewed for another phase. 30 ## **SENEGAL** enegal is one of Africa’s most stable countries, with three peaceful political tranSsitions since independence in 1960. While Senegal has so far been spared the violence engulfing the region, terrorist group activities in neighboring countries and cross-border trafficking risk fueled instability. The COVID-19 pandemic and ongoing conflict in Ukraine reduced Senegal’s economic growth in 2022, with food and energy prices higher, trade disrupted, and less private investment. The pandemic significantly altered the country’s economic outlook, affecting tourism, transport and exports. Senegal has responded with several containment measures and has implemented an economic and social resilience programme but limited fiscal buffers and safety nets, a vulnerable healthcare system, and a large informal sector pose challenges. Despite numerous COVID-19 restrictions, United Purpose/Self Help Africa continued delivering project activities and maintained a consistent team. Four new projects were contracted throughout the year. The EU-funded ‘Gestion des forêts de mangrove du Sénégal au Benin’ project, which focuses on mangrove protection, restoration and management, created a national working group for mangrove ecosystem protection and the first cross-border mangrove ecosystem protection platform with representatives from Guinea, Guinea Bissau and Senegal. This project enabled the organisation to build its relationship with the International Union for Conservation of Nature, leading the project, and become a key organisation in Senegal’s efforts to tackle climate change and marine conservation. The third phase of the Koranic school’s project was also contracted and enabled us to build on our previous work with school children and young people through better access to education. The project reduced child begging by 40 per cent and expanded our work on children’s rights to two new regions. At least 1,000 children benefited from a holistic package of education, health and vocational training. Women boiling palm nuts from the community forest to separate oil in Casamance. Credit: Jason Florio 31 **United Purpose** Annual Report 2022 A child is weighed to check their nutritional status as part of a community-focused project in Nigeria ## **NIGERIA** he economic situation in Nigeria deteriorated in 2022. According to the TWorld Bank, up to 5 million more Nigerians were plunged into poverty during the year. As Nigeria prepared for the 2023 general elections, political tensions heightened and the security situation worsened. High levels of violent crime by non-State actors persisted, affecting people across the country. An estimated 8,000 people were killed and thousands were kidnapped. Humanitarian needs were high. Social and economic hardship linked to the COVID-19 pandemic combined with flooding – which caused displacement, loss of life and damage to farmland – exacerbated the already fragile food and nutrition security of Nigeria’s most vulnerable. This was further compounded by tighter constraints on humanitarian access, higher food prices, and supply chain disruptions linked to the conflict in Ukraine. At least one in two Nigerians (more than 100 million people) experienced moderate or higher levels of food insecurity in 2022, according to the World Food Programme. United Purpose ran two projects in 2022. The UNICEF-funded project ‘Empowering community and youth’ started during the year, which aimed to improve government, local government, and community capacity to provide services that promote child-centered approaches to service delivery, where every child has access to quality essential services. A series of community planning workshops were held during the year, and an enumeration exercise identified eligible children and families within the project area. The second project was the GIZ-funded ‘Scaling rural women entrepreneurs for community-led digital adaptation and resilience in Africa’, which runs until October 2023. 32 Rose Enya and her son John celebrate the arrival of his birth certificate, allowing him to better prepare for his future. 33 **United Purpose** Annual Report 2022 ## **COUNTRY POLICIES WE ENGAGED WITH** ## **MALAWI** **In Malawi,** United Purpose/Self Help Africa was committed to promoting neglected and under-used crop species (NUS), such as millet and Bambara nut. In partnership with the Lilongwe University of Agriculture and Natural Resources, farmers were supported to multiply NUS seeds. The next step will be to get the seeds certified under the Quality Declared Seed (QDS) system by the seed services unit. This will help with the propagation and commercialization of the NUS seeds, which will support farmers in their climate adaptation efforts, as well as their food and nutrition security. At the national level, the project continued to push for the recognition of QDS for these local NUS varieties. United Purpose/Self Help Africa, in partnership with Queen’s **Lilongwe** University Belfast, continues to promote the Targeted Selective Treatment (TST) approach among goat farmers and extension workers in Malawi. Efforts are underway to integrate this low-cost and effective approach into the agriculture extension policy in Malawi. ## **BANGLADESH** **In Bangladesh,** the EU-funded Leadership to Ensure Adequate Nutrition (LEAN) project continued to work on improving nutritional governance in Chittagong Hill Tracts through a multi-sector nutrition approach. LEAN has been working with central and local governments, facilitating nutrition coordination committees and building the capac- ity of line departments on nutrition-sensitive and nutrition-specific interventions. The aim remained to support local and central authorities to include a nutrition budget in their annual plans to embed nutrition interventions in authorities’ activities. This has the potential to improve the nutritional status of millions of households in Bangladesh. **----- Start of picture text -----**
Dhaka
**----- End of picture text -----**
34 **----- Start of picture text -----**
Sumaiya, an active member of the adolescent club run as part of the
Leadership to Ensure Adequate Nutrition programme in Bangladesh.
United Purpose Annual Report 2022 35
**----- End of picture text -----**
## **Directors Report and Consolidated Financial Statements** for the financial year ended 31 December 2022 ## **Governance, Structure and Management** The trustees present their strategic report and the audited financial statements for the year ended 31 December 2022. The financial statements comply with current statutory requirements, the memorandum and articles of association and the Statement of Recommended Practice - Accounting and Reporting by Charities, applicable to charities preparing their accounts in accordance with FRS 102. This trustees’ annual report includes a directors’ report as required by company law. ## ~~**Legal Structure**~~ United Purpose is a charitable company limited by guarantee, with registration number 1278887 and charity number 272465, renamed from Concern Universal in November 2016. It was incorporated on 27 September 1976 and established under a memorandum and articles of association (subsequently updated by special resolution in November 2003 and October 2019), which set out the objects and powers of the charitable company. On 5 August 2021, United Purpose merged with Gorta, a like-minded organisation head-quartered in Ireland that trades as Self Help Africa. Gorta is registered in Ireland; its company registration number is 28228 and its charity number is 20008895. In accordance with the merger agreement, United Purpose remains a separate legal entity as a wholly owned subsidiary of Gorta. ## ~~**How we work**~~ United Purpose is a movement of people and organisations. In the UK, these organisations include Village Aid, a Derbyshire-based fundraising charity, and International Inspiration, the London Olympics initiative that uses sport as a tool to promote development and peace. There is also United Purpose Trading, a vehicle for our carbon initiative where we sell carbon credits generated through our development projects. Our movement also includes CUMO, a Malawi-based microfinance organisation that was set up in 2000 with a grant from UK Aid. United Purpose’s central office in Cardiff, along with the Gorta Group HQ plays a support role to our country’s programmes and leads on global strategy development and delivery, governance, organisational funding, communications and public affairs efforts, as well as financial management and planning. We have a devolved structure, with our country offices taking the lead on country strategy development (under the umbrella of our Global Strategy), programme delivery and management, grant fundraising and managing relationships with partners and donors. In 2022 we operated country offices in Bangladesh, Brazil, Guinea, Malawi, Mozambique, Nigeria, Senegal and The Gambia. We deliver projects directly, through our partners and/or through an advisory role with partners. We work in partnership with many organisations because we believe sustainable change will only happen when we harness the collective knowledge, skills and resources of a wide range of actors – starting with community-level partnerships. We carefully consider the experience, reach and governance of potential partners, as well as the value they will add to our work. We closely monitor how grants are spent. 36 ## **Directors and Other Information** ## **BOARD OF DIRECTORS** Mary Robinson, Chair Catherine Cottrell Catherine Fitzgibbon Carmel Fox Michael Gormley Hadi Husani Geoff Meagher Dervla Owens _(resigned 30 June 2022) (resigned 28 February 2023) (resigned 28 November 2022)_ _(appointed 28 February 2023)_ **EXECUTIVE DIRECTOR ON 31 DECEMBER 2022 REGISTERED OFFICE** **REGISTERED NUMBER OF INCORPORATION** ## David Dalton Office 124 (Lewis Street) W2 1st Floor Wellington House Wellington Road Cardiff CF11 9BE 1278887 **REGISTERED CHARITY NUMBER** 272465 **LEGAL FORM** Company Limited by Guarantee **SOLICITORS** Geldards LLP 4 Capital Quarter Tyndall Street Cardiff CF10 4BZ **COMPANY SECRETARY** Melissa Thomas Peter McDevitt _(appointed 14 Dec 2022) (resigned 14 Dec 2022)_ **BANKERS** Standard Chartered Bank 1 Basinghall Ave London EC2V 5DD The Royal Bank of Scotland 94 High Street, Maidstone Kent ME14 1SA **AUDITORS** Sayer Vincent 110 Golden Lane London EC1Y 0TG **United Purpose** Annual Report 2022 37 ## **Trustees Report and Financial Statements** for the Year Ended 31 December 2022 ## ~~**Board**~~ The charity’s trustees are appointed as directors of the company and are also its members. The trustees have no beneficial interest in the charity. The trustees of United Purpose govern the charity’s activities and are legally responsible for the overall control of the charity and for ensuring it is properly managed. The trustees delegate responsibility for the day-to-day running of the charity to the Executive Director of Gorta T/A Self Help Africa, who reports directly to the Board and manages the execution of the strategy as directed by the Board. The Executive Director is assisted by a Senior Leadership Team comprising those who have responsibility for programmes, external affairs, finance and operations. All trustees give their time voluntarily and receive no benefits from the charity. ## ~~**Trustee recruitment and appointment**~~ United Purpose recognises that an effective Board of Trustees is essential if the charity is to achieve its objectives. Individual trustees must have sufficient knowledge, both of trusteeship in general and the charity’s activities, to enable them to carry out the role and to represent the charity at meetings and other events. The existing trustees are responsible for recruiting new trustees, although specific administrative tasks may be delegated by the Board to the Executive Director and Senior Leadership Team. The minimum number of trustees is set at no less than three and the maximum number at no more than eleven. Efforts to recruit new trustees take into account any recent skills audits and gaps in skills/experience that have been identified, and specific roles or duties that need to be undertaken. Once the ideal profile of skills and experience has been identified, a recruitment plan is formulated. United Purpose seeks to ensure diversity in its Board of trustees as well as in its staff base, and consideration will be given to ways in which groups that are underrepresented on the Board might be reached and encouraged to apply. The Chair of Gorta T/A Self Help Africa is a Trustee of United Purpose. United Purpose Trustees, Mary Robinson (appointed to the Gorta Board on 28 February 2023) and Hadi Husani (appointed to the Gorta Board on 16 September 2021) are also Trustees of the Group Board. ## ~~**Trustee induction and training**~~ New trustees undergo an orientation to brief them on their legal obligations under charity and company law, and Charity Commission guidance on public benefit and safeguarding. The training also informs them of the content of the memorandum and articles of association, the decision-making processes, the strategic plan and the recent financial performance of the charity. During the induction, they meet employees and other trustees. Trustees are encouraged to attend appropriate external training events that will help them in their role. The procedure for induction and training of newly appointed Directors includes: - Meeting with the Chair of the Board of Directors - Meetings with Executive Director and key members of staff - Meeting with the Company Secretary who provides an overview of the organisation structure, legal structure, governance structures, fiduciary duties of directors, corporate policies and procedures, Board meeting protocols and any specific areas requested by the new Director The Trustees met on 6 occasions in 2022. The record of attendance by each Trustee is as follows: **----- Start of picture text -----**
Trustee Possible Board Actual Board
Meeting Meeting
Attendances Attendances
Mary Robinson 6 5
Hadi Husani 6 6
Catherine Cottrell 6 5
Carmel Fox 6 5
Dervla Owens 6 2
Michael Gormley 6 4
Catherine 4 3
Fitzgibbon
**----- End of picture text -----**
In support of governing matters relevant to the Board, the Group Board has established the following committees. Trustees from United Purpose sit on each of these committees. - Audit, Finance and Risk Committee (Dervla Owens) - Programmes Review Committee (Catherine Fitzgibbon) - Fundraising and Communications (Hadi Husani) ## ~~**Related parties and relationships with other organisations**~~ All trustees and key management personnel are required to disclose any parties and conflicts of interest. There were no transactions with any other related parties during the year and none of the charity’s trustees 38 received remuneration or other benefits from their work as a trustee. United Purpose is a wholly owned subsidiary of Gorta T/A Self Help Africa. United Purpose has three wholly owned subsidiaries: - United Purpose Trading (UPT) which sells carbon credits. Its company registration number is 3020217 which sells carbon credits. UPT was dissolved on 4 July 2023. - Village Aid, a fundraising charity supporting projects in West Africa. Its company registration number is 3446625 and its charity number is 1067322. It is intended to dissolve Village Aid in 2024 and transfer its assets and liabilities to Self Help Africa UK. A like-minded organisation that can continue to use the funds generated to support projects in West Africa. - CUMO a microfinancing organisation in Malawi. ## ~~**Public beneft**~~ Trustees of United Purpose have a duty to report in the Trustees’ Annual Report on the charity’s public benefit. Each year, the trustees review the aims, objectives and activities of the charity. In this report, they demonstrate: - The benefits generated by the activities of the charity. This report explains how United Purpose’s activities meet the goals of its Global Strategy, and highlights the types of programmes that are funded and reports on the number of people it reaches. - The benefits are closely aligned with the charity’s objectives. Each area of United Purpose’s work – health, livelihoods, climate and conflict – works towards the charity’s broad vision, which is ‘A world where justice, dignity and respect prevail for all’. - The people targeted by United Purpose’s interventions receive the support they need. Wherever possible, we seek the views and opinions of people living in poverty on the design and implementation of our programmes. This ensures that our programmes take into account people’s assessment of their own needs, and bring positive and measurable changes to people’s lives. - The trustees are confident that United Purpose meets the public benefit requirements, and they confirm that they have taken into account the guidance contained in the Charity Commission’s general guidance on public benefit. ## ~~**Executive**~~ The Board of Directors delegates authority as appropriate to the Executive Director. The Executive Director appoints the other members of the senior management team. The Executive Director and the Management Team of Gorta T/A Self Help Africa are the key management Team for the Group. This management team receives no remuneration for their time working on United Purpose-related activities. Three regional Director (employee) roles are in place to oversee (1) West Africa Region (2) Southern Africa & Brazil (3) Bangladesh. The UK team’s focus remains on streamlining United Purpose’s operations to focus on fundraising, communication, human resources and finance. Staff working in these respective teams have integrated into the equivalent teams in Gorta T/A Self Help Africa. ## **Senior Management Team as of 31/12/2022** - David Dalton (Executive Director) - Orla Kilcullen (Programmes Director) - Helena Skember (Regional Director) - Colin Lee (Integration & Strategy Manager) - Martha Hourican (Director of Business Development). ## ~~**Remuneration policy for key management personnel**~~ The key leadership of the charity includes the trustees and the Executive Director, who manages the charity on a day-to-day basis. All trustees give their time freely and receive no fees or remuneration for serving as a trustee of United Purpose. The charity reimburses reasonable expenses incurred while acting as a trustee. This includes travel and accommodation expenses required to attend meetings, training and orientation. Every effort is made to ensure costs are modest. Details of trustees’ expenses and related party transactions are disclosed in the accounts. In deciding appropriate pay levels, United Purpose aims to strike a balance between paying enough to recruit and keep skilled people and meeting the public’s and our donors’ expectations that the money they entrust with us is used wisely. 39 **United Purpose** Annual Report 2022 ## **Trustees Report and Financial Statements** for the Year Ended 31 December 2022 ## ~~**Safeguarding**~~ We do not tolerate sexual exploitation or any form of abuse, including bullying and harassment. They are extremely serious issues and our commitment to protect the people we work with from harm applies without exception across our programmes, people and partners. United Purpose has up to date set of policies and procedures to strengthen our safeguards against abuse and to enable reporting if it happens. We continue to drive improvements through: (i) improving systems; (ii) strengthening our culture; (iii) putting learning at the heart of our approach; (iv) working with partners to reciprocally strengthen our commitment to safeguarding. We recognise that safeguarding is so much more than a set of policies and procedures. It is implicit in everything we do, from how we speak to community members and individuals, to how much staff exert their power over vulnerable communities who need our support. It involves understanding power dynamics, recognising how our presence in communities changes such dynamics, and knowing what we must do to ensure this power is never abused. ## ~~**The Principal Risks & Uncertainties**~~ United Purpose operates in an ever-changing context, both in the UK charity sector and in fragile geographies with local communities. Working within this unstable environment and simultaneously protecting the vulnerable people we often engage with, as well as the charity’s assets, presents many challenges. Managing risks effectively is central to the achievement of our strategic goals and is overseen by the Board. The Board has established a formal risk management process and internal control framework to ensure the proactive and consistent management of risks, both to reduce the negative impact of risk and maximise strategic opportunities. This process involves a risk strategy to share an agreed attitude and organisational capacity for risk, a risk governance structure to oversee the risk management process and a risk implementation approach to analyse and manage risk. The risk management framework at United Purpose is designed to address uncertainty as part of decision-making, as well as ensuring that any new or subsequent risks can be taken into account. The framework helps to identify, assess and control risk across the organisation, summarised in a risk register. The trustees periodically review the key strategic risks to ensure that they are the right ones and that they are being managed appropriately. The trustees have agreed on a risk appetite statement that both sets the tone and addresses the challenge of the gap between exposure to risk and the organisation’s ability to accept the risk. United Purpose faces some inherent risks resulting from the locations we work in and the way projects are delivered. Security risks are mitigated by undertaking safety and security reviews in each country, by maintaining insurance cover and by ensuring staff and volunteers receive training in safety and security relevant to the programmes where they are being inducted. The principal risks and uncertainties have been identified as follows: - **Global Staff Wellbeing:** This is the risk that staff experience excessive and unsustainable workloads, which leads to risk of burnout, health issues for staff and poor performance against organisational objectives. To help mitigate this risk, The Group Board has appointed a Head of People & Culture who will lead on a number of projects to address staffing issues. Wellbeing seminars for all staff are held regularly and over the coming years through an organisational restructuring, we will seek to ensure that resources are allocated appropriately to areas of most need. - **Fraud & Corruption:** This is the risk that a material fraud perpetrated by employees, partners or others may adversely affect our relationship with donors and other external stakeholders, or lead to reputational and financial damage. To help mitigate this risk, the group is putting in place a training programme for all country programmes. A confidential complaints mechanism is in place which allows staff and others to report on any concerns they may have which will then be fully investigated. • **Integration in a Newly Merged Organisation:** Heavy workload, the enormity of the task of integration may fail to be understood, Insufficient communication, loss of information & knowledge, duplication of effort, wasted resources, leadership issues, employee resistance, IT integration and culture may impact the ability to successfully integrate all parts of the organisation. To help mitigate this risk the group has decided that no further mergers will be undertaken 40 during this phase of the Strategic Plan to allow time & resources to fully integrate United Purpose into the group. Country plans are underway to review the applicable policies, local registrations, finance & other system standardisation across the organisation. - **Sustainable Finance:** The risk that we fail to manage and secure the financial position sustainably. Given the volatility of income streams, increased inflation globally and external shocks there is an increased financial risk to United Purpose and the Group. To help mitigate this risk the organisation is reviewing its global structures in order to maximise the use of resources and maximise impact. • **Accountability & Governance:** Poor governance and management practices may lead to inappropriate decision-making, lack of accountability, and ineffective execution of plans. A complex governance structure may not allow for the development of clearer synergies across the entities. We may not achieve a ‘one organisation’ approach with the highest standards of transparency, accountability, responsibility, and participation. A simplification of the Group structure is underway which will seek to fully merge entities within the organisation thus reducing the resources required to maintain the structure. The Group Board has restructured its committees to include a new People & Culture and Governance & Nominations committee. ## ~~**Fundraising Statement**~~ Our fundraising team, based in our Cardiff office, has integrated into the fundraising team at Gorta T/A Self Help Africa since the merger. All fundraising activity has been undertaken in line with the Fundraising Code of Practice set by the Fundraising Regulator, of which we are a member. We do not pay for the services of third-party commercial organisations to raise funds in United Purpose’s name, nor do we engage in cold-calling, doorto-door or street fundraising. During 2022, we did not have a relationship with any commercial participators. In 2022, £15.9m was generated through institutional funding, the institutional funding team is a shared resource with Gorta T/A Self Help Africa. €74k was generated from the public and primarily through existing standing orders and direct debits. No complaints were received by the charity regarding any fundraising activities. ## **Financial Summary** In 2022 incoming resources were £15m (2021, £8.9m) with £16m of expenditure (2021, £10.5m); giving a reduction in reserves of £1m (2021, £1.6m). In 2021 United Purpose changed its year-end to align with the year-end of Gorta T/A Self Help Africa. The comparatives for 2021 are therefore for the 9 months from 1 April 2021 to 31 December 2021. The net movement in unrestricted reserves was an increase of £0.3m (2021, a decrease of £0.6m). The net movement in restricted reserves (including CUMO) was a decrease of £1.3m (2021, a decrease of £1m). The Trustees are satisfied with the financial performance in the 2022 financial year. The surplus on unrestricted funds is a positive result after a difficult 2021 year which resulted in a reduction in unrestricted reserves. The 2022 deficit is a result of planned expenditure on restricted income streams. ## ~~**Incoming Resources**~~ United Purpose continues to generate in the region of 90% of its funds from Charitable Activities. 41 **United Purpose** Annual Report 2022 ## **Trustees Report and Financial Statements** for the Year Ended 31 December 2022 The largest donor in 2022 was the EU with £3.5m (2021, £0.6k). As in previous financial years and periods, the Livelihoods activities continue to generate the largest share of the organisation’s income, £10.8m (2021, £6.6m). ## ~~**Expenditure**~~ Expenditure on Charitable Activities of £15.9m is 99.5% of the total expenditure (2021, 99.2%). Within Charitable Expenditure the largest spend is on Livelihoods £11.5m, Health & Wellbeing £4m, Exploitation & Conflict £0.2m, and Environment £0.2m. The following chart compares expenditure for the last three accounting years/period. The above expenditure includes an allocation of Support Costs. The support costs include Finance, HR, IT, Governance, management and other administration costs. Total support costs of £1.3m (2021, £1m) and in the year ended 31/03/2021 were £1.4m. ## ~~**Reserves policy**~~ The purpose of the Reserves Policy for United Purpose is to ensure the stability of the mission, programmes, employment and ongoing operations of the organisation. Our reserves are intended to provide an internal source of funds for situations such as a sudden increase in expenses, onetime unbudgeted expenses, unanticipated loss in funding, or uninsured losses. The reserves may also be used for one-time, non-recurring expenses that will build long-term capacity, such as staff development, innovation, or investment in operations efficiencies. The reserves are not intended to replace a permanent loss of funds or eliminate an ongoing budget gap. It is the intention of United Purpose for the reserves to be used and replenished within a reasonably short period of time. The Reserves Policy will be implemented alongside other governance and financial policies of United Purpose and is intended to support the goals and strategies contained in these related policies and in strategic and operational plans. The target amount of unrestricted reserves (excluding designated reserves) is £1 million, which is based on considerations of a range of risks including foreign exchange fluctuations, working capital requirements for projects and investments in line with United Purpose’s strategy and programme philosophy. At the 31 December 2022, the unrestricted reserves are £120k. In the coming years a focus on a balanced budget, availing of the support functions provided by the Group and a review of the countries in which we operate will help in achieving the desired level of unrestricted reserves. ## ~~**Going concern**~~ The trustees fully recognise their responsibility to assess the going concern basis of the charity and have a reasonable expectation that United Purpose will be able to operate within the level of its resources for a period of at least 12 months. This assessment is based on a thorough assessment of the impact of group income and cash forecasts and projections, taking into account assumptions about possible changes in performance and structure. The Board of Gorta T/A Self Help Africa has confirmed in writing to United Purpose that it is prepared to support United Purpose and will 42 make funds available for a period of not less than 12 months from the date of approval of the financial statements to enable it to meet debts as they fall due. Therefore, trustees continue to adopt the going concern basis in preparing the annual financial statements. The trustees believe that there is no material uncertainty about United Purpose’s ability to continue as a going concern. ## ~~**Plans for the future**~~ United Purpose merged with Gorta T/A Self Help Africa in 2021. Both United Purpose and Gorta have a proud history of assisting those in greatest need. For decades, we have helped marginalised communities to take greater control over their own lives, by providing lasting solutions, be that helping them to earn more from their work, sustainable WASH or social accountability interventions. On an annual basis, our combined programme activities reach over 6 million people. But our world is changing rapidly. The challenges that lie ahead are very significant and we will have to adapt quickly if we are to overcome them. Institutional donors demand higher standards of compliance, of accountability and of transparency. Future success will be defined by how well our systems can track every pound or euro, right through to its intended outcome, to show we have delivered what we were contracted to do. the other members of Gorta need to evolve. Our combined resources – of funding, personnel, experiences – will be blended to create an entity that is greater than the sum of our parts. At the end of 2022, the Group works in 17 countries. In 2023 a scoping study was commissioned to advise on the future country footprint. This study looks at both the overall question of how many countries we should work in and which countries those should be. The aim of the study is to maximise our impact and ensure the best use of our resources. To continue delivering on our missions in support of the poorest communities in Lower Income Countries, United Purpose, Self Help Africa and 43 **United Purpose** Annual Report 2022 ## **Statement of responsibility of trustees** The trustees (who are also directors of United Purpose in company law) are responsible for preparing the trustees’ annual report, including the strategic report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law 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 charitable company and group. 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 SORPs - Make judgements and estimates that are reasonable and prudent - State whether applicable UK Accounting Standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements - 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 adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware: - There is no relevant audit information of which the charitable company’s auditor is unaware - The trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information - The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. The trustees have no beneficial interest in the charity. ## ~~**Auditor**~~ Sayer Vincent LLP acted as the charitable company’s auditor during the year. The trustees’ annual report, which includes the strategic report, has been approved by the trustees on 3 April 2024 and signed on their behalf by Mary Robinson, Chair 44 ## **Independent auditor’s report to the members of United Purpose** ## ~~**Opinion**~~ We have audited the financial statements of United Purpose (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the period ended 31 December 2022 which comprise the consolidated statement of financial activities, the group and parent charitable company balance sheets, the consolidated statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: - Give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 December 2022 and of the group’s incoming resources and application of resources, including its income and expenditure, for the period then ended - Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice - Have been prepared in accordance with the requirements of the Companies Act 2006 and 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 group financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit 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 United Purpose’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 trustees’ annual report, including the strategic report, other than the group 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 group financial statements does not cover the other information, and, except to the extent otherwise explicitly stated in our report, 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 group 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 group 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. ## ~~**Opinions on other matters prescribed by the Companies Act 2006**~~ In our opinion, based on the work undertaken in the course of the audit: - The information given in the trustees’ annual report, including the strategic report, for the financial period for which the financial statements are prepared is consistent with the financial statements - The trustees’ annual report, including the strategic report, has been prepared in accordance with applicable legal requirements ## ~~**Matters on which we are required to report by exception**~~ In the light of the knowledge and 45 **United Purpose** Annual Report 2022 ## **Independent auditor’s report to the members of United Purpose** understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report, including the strategic report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and Charities Act 2011 requires us to report to you if, in our opinion: - Adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or - The parent charitable company financial statements are not in agreement with the accounting records and returns; or - Certain disclosures of trustees’ remuneration specified by law are not made; or - We have not received all the information and explanations we require for our audit ## ~~**Responsibilities of trustees**~~ As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees (who are also the directors of the parent charitable company for the purposes of company law) 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 group’s and the parent charitable company’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 liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so. ## ~~**Auditor’s responsibilities for the audit of the fnancial statements**~~ We have been appointed auditor under the Companies Act 2006 and section 151 of the Charites Act 2011 and report in accordance with those Acts. 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 are set out below. ## ~~**Capability of the audit in detecting irregularities**~~ In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: - We enquired of management and trustees, which included obtaining and reviewing supporting documentation, concerning the group’s policies and procedures relating to: - Identifying, evaluating, and complying with laws and regulations and whether they were aware of any instances of non-compliance; - Detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected, or alleged fraud; - The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations. - We inspected the minutes of meetings of those charged with governance. - We obtained an understanding of the legal and regulatory framework that the group operates in, focusing on those laws and regulations that had a material effect on the financial statements or that had a fundamental effect on the operations of the group from our professional and sector experience. - We communicated applicable laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. 46 - We reviewed any reports made to regulators. - We reviewed the financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations. - We performed analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. - In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments, assessed whether the judgements made in making accounting estimates are indicative of a potential bias and tested significant transactions that are unusual or those outside the normal course of business. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. ## ~~**Use of our report**~~ This report is made solely to the charitable company’s members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charitable 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 charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed. Jonathan Orchard (Senior statutory auditor) ## DATE 8 April 2024 for and on behalf of Sayer Vincent LLP, Statutory Auditor Sayer Vincent 110 Golden Lane London EC1Y 0TG Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006 A further description of our responsibilities is available on the Financial Reporting Council’s website at: **frc.org.uk/auditorsresponsibilities.** This description forms part of our auditor’s report. 47 **United Purpose** Annual Report 2022 ## **Consolidated Statement Of Financial Activities** ## (Including income and expenditure account) for the financial year ended 31 December 2022 **----- Start of picture text -----**
INCOME Notes 2022 2022 2022 2022 2021 2021 2021 2021
FROM Restricted Unrestricted CUMO Total Restricted Unrestricted CUMO Total
Funds £ Funds £ £ £ Funds £ Funds £ £ £
Donations and
2 - 1,021,381 - 1,021,381 1,352 525,372 - 526,724
legacies
Charitable
3
activities
Livelihoods 9,296,318 - 1,496,237 10,792,555 5,593,299 73,695 933,460 6,600,454
Health and
2,965,542 8,663 - 2,974,205 1,437,126 4,262 - 1,441,388
Wellbeing
Exploitation and Conflict 85,045 - - 85,045 64,324 - - 64,324
Environment 105,267 - - 105,267 89,621 - - 89,621
Investment
4 - - - - - - 16,726 16,726
income
Carbon Credits 5 - 41,448 - 41,448 - 161,108 - 161,108
Total 12,452,172 1,071,492 1,496,237 15,019,901 7,185,722 764,437 950,186 8,900,345
EXPENDITURE ON
Raising funds 7 - 74,360 - 74,360 - 84,704 - 84,704
Charitable activities
Livelihoods 9,646,273 51,576 1,912,163 11,610,012 5,205,066 648,323 684,811 6,538,200
Health and
3,393,138 582,894 - 3,976,032 2,921,583 773,796 - 3,695,380
Wellbeing
Exploitation and Conflict 11,543 147,498 - 159,041 33,688 36,523 - 70,211
Environment 121,563 37,477 - 159,040 114,694 12,597 - 127,291
Total 13,172,517 893,805 1,912,163 15,978,485 8,275,031 1,555,943 684,811 10,515,785
Net outgoing
resources (720,345) 177,687 (415,926) (958,584) (1,089,309) (791,506) 265,375 (1,615,440)
before transfers
Transfers
(152,197) 152,197 - - (181,576) 181,576 - -
between funds
Net movement
22 (872,542) 329,884 (415,926) (958,584) (1,270,885) (609,930) 265,375 (1,615,440)
in funds
Funds at the start
2,791,891 (209,581) 2,152,353 4,734,663 4,062,776 400,349 1,886,978 6,350,103
of the period
Funds at the end
1,919,349 120,303 1,736,427 3,776,079 2,791,891 (209,581) 2,152,353 4,734,663
of the period
**----- End of picture text -----**
2021 numbers have been restated to correctly reflect the split of unrestricted expenditure across the four categories of charitable activities. All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 22 to the financial statements. 48 ## **Consolidated Balance Sheet** ## as at 31 December 2022 **----- Start of picture text -----**
GROUP CHARITY
2022 2021 2022 2021
Notes £ £ £ £
FIXED ASSETS
Tangible assets 14 583,377 719,288 223,019 279,341
Intangible assets - - - -
583,377 719,288 223,019 279,341
CURRENT ASSETS
Inventory - 12,226 - 68
Debtors 17 2,791,816 2,420,492 829,456 459,026
Cash at bank and in hand 23 4,161,250 3,643,447 3,790,774 3,353,858
6,953,066 6,076,165 4,620,230 3,812,952
LIABILITIES
Creditors: Amounts due within one
financial year 18 (3,327,925) (2,057,118) (2,845,250) (1,629,105)
Net current assets 3,625,141 4,019,047 1,774,980 2,183,847
Total assets less current liabilities 4,208,518 4,738,335 1,997,999 2,463,188
Creditors: amounts due greater 19 (432,439) (3,672) (7,221) -
than one year
NET ASSETS 20 3,776,079 4,734,663 1,990,778 2,463,188
FUNDS
Restricted funds 1,919,349 2,736,084 1,919,349 2,736,084
Restricted funds Held by Village Aid - 55,807 - -
1,919,349 2,791,891 1,919,349 2,736,084
UNRESTRICTED FUNDS
Designated funds:
Funds held by CUMO 1,736,427 2,152,353 - -
Funds held by Village Aid 48,874 63,315 - -
Other designated funds - - - -
1,785,301 2,215,668 - -
General funds (excluding funds held by CUMO) 71,429 (272,896) 71,429 (272,896)
TOTAL FUNDS 22 3,776,079 4,734,663 1,990,778 2,463,188
**----- End of picture text -----**
Approved by the trustees on 3/4/2024 and signed on their behalf by Mary Robinson, Chair 49 **United Purpose** Annual Report 2022 ## **Consolidated Statement of Cash Flows** for the financial year ended 31 December 2022 **----- Start of picture text -----**
Reconciliation of net outgoing resources to net cash flow from 31 December Nine month period ending
operating activities: 2022 31 December 2021
£ £
Net outgoing resources (958,584) (1,615,440)
Interest - (16,726)
Depreciation 140,908 147,857
Unrealised exchange (gain) on CUMO assets - (13,127)
Loss on disposal of fixed assets 35,010 6,449
Fx on Fixed assets 76,029
(Increase)/decrease in inventory (371,324) (100,400)
Increase/(decrease) in creditors 1,699,574 (310,752)
Net cash (outflow) / inflow from operating activities (633,839) 1,913,150
Cash flows from operating activities 31 December Nine month period ending
2022 31 December 2021
£ £ £ £
Net cash (used in) / provided by operating activities 633,839 (1,913,150)
Cash flows from investing activities:
Interest - 16,726
Proceeds from the sale of fixed assets - -
(Purchase) of fixed assets (116,036) (101,640)
Net cash provided by / (used in) investing activities (116,036) (84,914)
Change in cash and cash equivalents in the period 517,803 (1,998,064)
Cash and cash equivalents at the beginning of the period 3,643,447 5,641,511
Change in cash and cash equivalents due to exchange rate movements - -
Cash and cash equivalents at the end of the period 4,161,250 3,643,447
**----- End of picture text -----**
50 ## for the **Notes to the financial statements** financial year ended 31 December 2022 ## **1. ACCOUNTING POLICIES** ## **a) Statutory information** United Purpose is a charitable company limited by guarantee and is incorporated in the United Kingdom. The registered office address (and principal place of business) is Office 124 (Lewis Street), W2 1st Floor, Wellington House, Wellington Road, Cardiff, CF11 9BEJ. ## **b) Basis of preparation** 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 accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note. These financial statements consolidate the results of the charitable company and its wholly-owned subsidiaries CUMO Microfinance Ltd, Village Aid Ltd (of which United Purpose is a controlling member) and United Purpose Trading Limited (United Purpose Trading Limited was dissolved on the 4th July 2023) on a line by line basis. Transactions and balances between the charitable company and its subsidiary have been eliminated from the consolidated financial statements. Balances between the companies are disclosed in the notes of the charita- ble company’s balance sheet. A separate statement of financial activities, or income and expenditure account, for the charitable company itself is not presented because the charitable company has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006. The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period. ## **c) Public benefit entity** The charitable company meets the definition of a public benefit entity under FRS 102. ## **d) Going concern** The trustees have prepared the accounts on a going concern basis. In reaching the decision the trustees have undertaken a thorough assessment of the financial risks that United Purpose faces. This assessment has included a review of cash flow projections for 12 months following the date of approval, the pipeline of future funding, the expected realisation of carbon credits and financial forecasts for the current financial year. “The Gorta Group will make funds available to United Purpose for a period of not less than twelve months from the date of approval of the financial statements to enable it to meet debts as they fall due. Gorta Group is prepared to support United Purpose to this level and beyond should the need arise. ## **e) Income** Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably. Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material. Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met. 51 **United Purpose** Annual Report 2022 ## **Notes to the financial statements** for the financial year ended 31 December 2022 ## **f) Donations of gifts, services and facilities** Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution. On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt. ## **g) Interest receivable** Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. ## **h) Fund accounting** Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund. Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes. ## **i) Expenditure and irrecoverable VAT** Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: • Costs of raising funds relate to the costs incurred by the charitable company in inducing third parties to make voluntary contributions to it, as well as the cost of any activities with a fundraising purpose - Expenditure on charitable activities includes the cost of livelihoods, health & wellbeing, exploitation and conflict and environmental work undertaken to further the purposes of the charity and their associated support costs Other expenditure represents those items not falling into any other heading. ‘Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. ‘Grants payable to partner organisations are included in the Statement of Financial Activities in the year in which they are payable. ‘Costs of generating donations and legacies relate to the costs incurred by United Purpose in fundraising and publicity. ## **j) Allocation of support costs** Resources expended are allocated to the particular activity where the cost relates directly to that activity. However, the cost of overall direction and administration of each activity, comprising the salary and overhead costs of the central function, is apportioned on the following basis which are an estimate, based on staff time, of the amount attributable to each activity. Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to charitable expenditure. Where such information about the aims, objectives and projects of the charity is also provided to potential donors, activity costs are apportioned between charitable activities on the basis of direct cost by each activity. - Livelihoods: 73% - Health and Wellbeing: 25% - Exploitation and Conflict: 1% - Environment: 1% Support and governance costs are re-allocated to each of the activities on the following basis which is an estimate, based on staff time, of the amount attributable to each activity. - Livelihoods: 73% - Health and Wellbeing: 25% - Exploitation and Conflict: 1% - Environment: 1% Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities. ## **k) Operating leases** Rental charges are charged on a straight line basis over the term of the lease. ## **l) Tangible fixed assets** Items of equipment are capitalised where the purchase price exceeds 52 £2,000. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use. Items procured under project funding are expensed in the statement of financial activities in the year of purchase. Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows: ## **United Purpose** Office furniture and equipment: straight line basis at an annual rate of 20% ICT Equipment: straight line basis at an annual rate of 33.3% Vehicles: straight line basis at an annual rate of 33.3% Drilling Rig: straight line basis at an annual rate of 33.3% Land & Buildings: straight line basis at an annual rate of 5% Capitalised development costs: straight line basis at an annual rate of 33% ## **CUMO** Office furniture and equipment: straight line basis at an annual rate of 25% ITC Equipment: straight line basis at an annual rate of 33.3% Vehicles: straight line basis at an annual rate of 20% There are no material differences arising from the different treatment of depreciation within CUMO. ## **m) Investments in subsidiaries** Investments in subsidiaries are at cost. ## **n) Debtors** Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. ## **o) Cash at bank and in hand** Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. ## **p) 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. ## **q) Financial instruments** The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. ## **r) Pensions** The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method. ## **s) Transactions in foreign currencies** The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised ## **t) Taxation** The charitable company is granted exemption from corporation tax as all its income arises from or is applied for charitable purposes. Its subsidiary CUMO is a controlled foreign company, however trading profits of CUMO arise from and are applied to the charitable purpose of providing microfinance loans to clients in rural areas within Malawi living in extreme poverty, to enable them to improve their livelihoods. No portion of CUMO profits passes to United Purpose as parent company. United Purpose Trading Limited (formerly Concern Ltd) donates all profits to United Purpose. ## **u) Contingent assets** Carbon units, known as Verified Emission Reduction Units (VERs), represent an asset of value to United Purpose and are tradeable. The value of these units is subject to market volatility which is outside of the organisation’s control. United Purpose recognises the value of verified but unsold carbon units as a contingent asset. Sale of VERs which are contracted are recorded as assets directly in the balance sheet. Income received from the sale of carbon units is used to contribute to UP’s work in support of communities around the world, and it is our intention that a significant proportion will be returned to the communities in which the carbon credits originated. The local communities themselves will decide how they want to spend a proportion of this money. The value of unsold carbon units are considered an integral part of the charity group’s reserves policy. 53 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **2. Income from donations and legacies** |**2. Income from donations and legacies**|||||| |---|---|---|---|---|---| |||**31 December**||Nine month|period ending| |||**2022**||31 December 2021|| |Restricted|Unrestricted|**Total**|Restricted|Unrestricted|Total| |£|£|**£**|£|£|£| |Appeals and collections
-
Cost recovery on grant funded programmes
-
Other grants & donations
-|-
-
1,021,381|**-**
**-**
**1,021,381**|1,352
-
-|-
69,877
616,603|1,352
69,877
616,603| |**TOTAL GRANTS**
**-**|**1,021,381**|**1,021,381**|1,352|686,480|687,832| 54 ## **3. Income from charitable activities** **----- Start of picture text -----**
31 December Nine month period ending 31
2022 December 2021
Restricted Unrestricted Total Restricted Unrestricted Total
LIVELIHOODS £ £ £ £ £ £
Action Aid 10,842 - 10,842 - - -
Action On Poverty 21,535 - 21,535 64,535 - 64,535
AGFUND 44,234 - 44,234 36,354 - 36,354
UN 2,714 - 2,714 - - -
Coca Cola 198,654 - 198,654 212,480 - 212,480
Concern Worldwide - - - 142,902 - 142,902
CUMO - - - - 950,186 950,186
ECHO 101,599 - 101,599 55,079 - 55,079
ENDEV 368,359 - 368,359 83,995 - 83,995
Eureka 278,256 - 278,256 - - -
ENABEL 101,531 - 101,531 56,798 - 56,798
European Commission 1,116,910 - 1,116,910 764,172 - 764,172
GIZ 344,292 - 344,292 452,797 - 452,797
IMVF 103,325 - 103,325 - - -
International Fertilizer Development Center 301,056 - 301,056 164,252 - 164,252
International Organisation for Migration 148,647 - 148,647 306,854 - 306,854
International Union for Conservation of Nature 368,690 - 368,690 95,488 - 95,488
Irish Aid 413 - 413 805,124 - 805,124
ICP - International Potato Centre - - - (494) - (494)
Livelihoods Funds 380,165 - 380,165 135,502 - 135,502
Miscellaneous income 43,799 - 43,799 517,489 - 517,489
Penny Appeal 2,329,973 - 2,329,973 1,307,341 - 1,307,341
Innovate UK 3,112 - 3,112 - - -
Link Malawi 56,194 - 56,194 - - -
Loughborough University 15,897 - 15,897 - - -
The One Foundation - - - 170,369 - 170,369
University of Strathclyde 166,008 - 166,008 89,857 - 89,857
KCA 945,137 - 945,137 - 5,219 5,219
Roots 93,651 - 93,651 - - -
USAID 382,559 - 382,559 132,405 68,476 200,881
Waitrose Foundation 73,946 - 73,946 - - -
World Food Programme 1,261,101 - 1,261,101 - - -
VIS/UN 33,719 - 33,719 - - -
Total 9,296,318 - 9,296,318 5,593,299 1,023,881 6,617,180
**----- End of picture text -----**
55 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **3. Income from charitable activities (continued)** **----- Start of picture text -----**
31 December Nine month period ending 31
2022 December 2021
Restricted Unrestricted Total Restricted Unrestricted Total
HEALTH AND WELLBEING £ £ £ £ £ £
AMF (Against Malaria Foundation) - - - 76,252 - 76,252
Charity Water 72,236 - 72,236 623,846 - 623,846
European Commission 2,292,601 - 2,292,601 510,575 - 510,575
Foreign, Commonwealth & Development Office - - - 7,176 - 7,176
GIZ 341,159 - 341,159 - - -
Miscellaneous income 9,269 8,663 17,932 1,493 4,262 5,755
The One Foundation - - - 105,043 - 105,043
Penny Appeal - - - 32,042 - 32,042
Surwin 43,243 - 43,243 - - -
UNICEF 106,221 - 106,221 73,989 - 73,989
WCVA 100,813 - 100,813 6,710 - 6,710
Total 2,965,542 8,663 2,974,205 1,437,126 4,262 1,441,388
31 December Nine month period ending 31
2022 December 2021
Restricted Unrestricted Total Restricted Unrestricted Total
EXPLOITATION AND CONFLICT £ £ £ £ £ £
Comic Relief - - - 40,647 - 40,647
Miscellaneous income 191 - 191 4,431 - 4,431
Penny Appeal 84,854 - 84,854 19,246 - 19,246
Total 85,045 - 85,045 64,324 - 64,324
31 December Nine month period ending 31
2022 December 2021
Restricted Unrestricted Total Restricted Unrestricted Total
£ £ £ £ £ £
ENVIRONMENT 27,155 - 27,155 - - -
CEPF 87,255 - 87,255 - - -
CO2 BALANCE - - - 18,272 - 18,272
European Commission 638 - 638 71,349 - 71,349
GIZ (refund project donation) -9,781 - (9,781) - - -
Total 105,267 - 105,267 89,621 - 89,621
**----- End of picture text -----**
56 ## **4. Investment Income** CUMO’s investment income comprises interest from short-term money market investments entered in to by CUMO. Other investment income is bank interest on current accounts. ## **5. Carbon Credits** |**31**|**December**|Nine|month period| |---|---|---|---| ||**2022**|ending|31 December| ||||2021| |Carbon Credits are considered unrestricted income and recognised as sold.|**41,448**||-| |**Total**|**41,448**||-| ## **6a. Total resources expended (current period)** **----- Start of picture text -----**
Charitable activities
Nine month
Costs of 31 period ending
raising Health and Exploitation Support Governance December 31 December
funds Livelihoods Wellbeing and Conflict Environment costs costs 2022 Total 2021 Restated
£ £ £ £ £ £ £ £ £
Staff costs (note 10) 54,895 3,155,635 1,080,697 43,228 43,228 747,494 21,734 5,146,910 3,654,064
Office costs 19,465 2,358,847 807,824 32,313 32,313 552,357 165 3,803,284 2,724,433
Transport - 186,814 63,977 2,559 2,559 13,467 - 269,376 187,309
Equipment - 139,406 47,742 1,910 1,910 - - 190,967 213,819
(not capitalised)
Grants payable to - 1,115,544 1,817,829 5,692 22,391 - - 2,961,456 1,457,457
partners (note 8a)
Other project - 3,679,060 (175,841) 59,987 43,287 - - 3,606,492 2,278,703
activities
Total resources 74,360 10,635,304 3,642,228 145,689 145,688 1,313,317 21,899 15,978,485 10,515,785
expended
Support costs - 958,721 328,329 13,133 13,133 (1,313,317) - - -
Governance costs - 15,986 5,475 219 219 - (21,899) - -
Total expenditure
for period ended 74,360 11,610,012 3,976,032 159,041 159,040 - - 15,978,485 10,515,785
31 December 2022
**----- End of picture text -----**
57 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **6b. Total resources expended (prior year)** **----- Start of picture text -----**
Charitable activities
Nine month
Costs of period ending 31
raising Health and Exploitation Support Governance December 2021
funds Livelihoods Wellbeing and Conflict Environment costs costs Restated
£ £ £ £ £ £ £ £
Staff costs (note 10) 75,686 1,127,302 632,750 7,296 24,840 1,720,518 65,671 3,654,064
Office costs 9,0ww18 1,293,909 726,266 8,374 28,511 629,302 29,053 2,724,433
Transport - 110,860 62,225 718 2,443 11,063 - 187,309
Equipment - 130,713 73,369 846 2,880 6,011 - 213,819
(not capitalised)
Grants payable to - 916,753 514,570 5,933 20,201 - - 1,457,457
partners (note 8b)
Other project - 1,433,323 804,519 9,278 31,583 - - 2,278,703
activities
Total resources 84,704 5,012,860 2,813,699 32,445 110,459 2,366,894 94,724 10,515,785
expended
Support costs - 1,466,644 847,753 36,313 16,185 (2,366,894) - -
Governance costs - 58,696 33,927 1,453 648 - (94,724) -
Total expenditure
for year ended 31 84,704 6,538,200 3,695,380 70,211 127,291 - - 10,515,785
December 2021
**----- End of picture text -----**
Expenditure for the 9 month ending 31 December 2021 has been reclassifed between Salary, office costs and other project activities 58 ## **7a. Grants payable to partners (current period)** ||||||Nine month period| |---|---|---|---|---|---| ||Health and|Exploitation||**31 December**|ending 31 December| |Livelihoods|Wellbeing|and Confict|Environment|**2022 Total**|2021 Total| |£|£|£|£|**£**|£| |Bangladesh
374,510
Gambia
741,034
Kenya
-
**Total resources expended**
**1,115,544**|1,709,990
107,838
-
**1,817,828**|5,692
-
-
**5,692**|-
22,391
-
**22,391**|**2,090,192**
**871,263**
**-**
**2,961,455**|970,390
361,942
125,125
**1,457,457**| Expenditure for the 9 month ending 31 December 2021 has been reclassifed between Salary, office costs and other project activities ## **7b. Grants payable to partners (prior year)** |||Health and|Exploitation||Nine month period ending| |---|---|---|---|---|---| ||Livelihoods|Wellbeing|and Confict|Environment|31 December 2021 Total| ||£|£|£|£|£| |Bangladesh
Gambia
Kenya
**Total resources expended**|-
204,273
-
**204,273**|970,390
157,669
-
**1,128,059**|-
-
125,125
**125,125**|-
-
-
**0**|970,390
361,942
125,125
**1,457,457**| ## **7c. Analysis of grants paid in excess of £50,000** **----- Start of picture text -----**
31 December 2022 Nine month period ending
Total 31 December 2021 Total
£ £
Bio Fortification - The Gambia - 137,200
GAIN - Bangladesh 110,691 73,977
IDF - Bangladesh 463,644 204,982
HELVETAS- Bangladesh - 471,173
MTG - Kenya - 42,910
IDEA - Bangladesh 70,384 -
Humane Society International- Bangladesh 1,116,951 -
ZKS - Bangladesh 90,563 -
TUS - Bangladesh 161,287 -
WACOMP - Gambia 157,542 -
BTM - Gambia 51,859 -
Waitrose Foundation - Gambia 50,291 -
MIS - Gambia 59,020 -
Penny Appeal - Gambia 95,531 -
IUCN Livelihoods & Mangroves Eco-systems - Gambia 118,754 -
Improve The Child Rights Ecosystem In Koranic Schools - Gambia 85,145 -
Tekki Jiggen - Gambia 120,129 16,877
Mangrove - Senegal - 53,359
Waitrose - Gambia - 59,482
Grants under £50,000 209,664 397,497
Total 2,961,455 1,457,457
**----- End of picture text -----**
59 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **8. Net outgoing resources for the year** |**8. Net outgoing resources for the year**|| |---|---| |**31 December 2022**|Nine month period ending| |**Total**|31 December 2021 Total| |This is stated after charging:
**£**|£| |Depreciation
**140,908**
Trustees’ indemnity insurance
**6,753**
Trustees’ expenses
**120**
Loss on disposal
**4,963**
Auditors’ remuneration:
• UK group accounts audit fee
**44,400**
• Audit - Donor audits
**-**
Operating lease rentals:
• Property
**287,458**
• Other
**-**|147,857
7,887
20
-
43,200
-
212,999
1,259| The number of trustees receiving expenses was 1 (year ending 31 December 2021: 1). Remuneration received by trustees was 0 (year ending 31 December 2021: Nil). Trustees expenses covered travel and accommodation costs incurred in attending trustee meetings, training costs and travel costs incurred visiting Country Programmes. ## **9. Analysis of staff costs, trustee remuneration and expenses, and the cost of key management personnel** **----- Start of picture text -----**
UK and International Overseas 31 December 2022
This is stated after charging: £ £ £
Salaries and wages 740,655 4,322,787 5,063,442
- - -
Redundancy and termination costs
Social security costs 61,523 - 61,523
Pension contributions 21,945 - 21,945
- - -
Other staff costs
824,123 4,322,787 5,146,910
Nine month period ending
UK and International Overseas 31 Decmber 2021 Restated
£ £ £
Salaries and wages 719,004 2,836,995 3,555,999
- - -
Redundancy and termination costs
Social security costs 60,249 - 60,249
Pension contributions 23,841 - 23,841
Other staff costs 5,435 8,540 13,975
808,529 2,845,535 3,654,064
**----- End of picture text -----**
No employees received emoluments, as defined for taxation purposes greater than £60,000 in the current year or the nine month period ending 31 Dec 2021. The total employee benefits including pension contributions of the key management personnel were £42,131 (nine month period ending 31 December 2021: 105,929). Key management personal considered to be appointed by the parent charity (Gorta Group). By the end of 2022 the Key management personnel were made up of staff from the parent company SHA. 60 ## **10. Staff numbers** **----- Start of picture text -----**
UK and 31 December Nine month period ending
International Overseas 2022 31 December 2021
No. No. No. No.
Charity
Operations 9 291 300 345
Fundraising and publicity 2 - 2 3
Governance 2 - 2 2
Subsidiary (CUMO)
Operations - 185 185 204
Subsidiary (Village Aid)
- - - -
Fundraising and publicity
Total Group Employees 13 476 489 554
Gender Analysis 31 December 2022 Male 5 320 325
Female 8 156 164
Gender Analysis 31 December 2021 Male 12 368 380
Female 18 156 174
**----- End of picture text -----**
## **11. Related party transactions** There are no related party transactions to disclose for the period ending 31 December 2022 (nine month period ending 31 December 2021: none). Aggregate donations from related parties were None (nine month period ending 31 December 2021: none). Intra group transactions are disclosed in Note 15. ## **12. Taxation** The charitable company is exempt from corporation tax as all its income is charitable and is applied for charitable purposes. 61 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **13. Tangible fixed assets** |**13. Tangible fxed assets**|||||| |---|---|---|---|---|---| ||Land &||Ofce furniture||| ||Buildings|Drilling Rig|& equipment|Vehicles|**Total**| |**GROUP:**|£|£|£|£|**£**| |**COST**|||||| |At 1 January 2022
Additions in year
Disposals in year
FX on consolidation|340,957
-
-
(37,426)|82,600
-
-
(15,056)|515,432
70,943
(52,773)
(41,268)|1,149,997
45,091
(52,773)
(114,377)|**2,088,986**
**116,034**
**(106,145)**
**(208,127)**| |**At 31 December 2022**|**303,531**|**67,544**|**492,334**|**1,027,339**|**1,890,748**| |**DEPRECIATION**
At 1 January 2022
Charge for the year
Elimination on disposal
FX on consolidation|86,833
7,475
-
(312)|68,974
3,709
-
(11,815)|338,661
49,875
(23,485)
(37,010)|875,230
79,849
(47,650)
(82,963)|**1,369,698**
**140,908**
**(71,135)**
**(132,100)**| |**At 31 December 2022**|**93,996**|**60,868**|**328,041**|**824,466**|**1,307,371**| |**NET BOOK VALUE**|||||| |**At 31 December 2022**|**209,535**|**6,676**|**164,293**|**202,873**|**583,377**| |At 31 December 2021|254,124|13,626|176,771|274,767|719,288| 62 ## **13. Tangible fixed assets (cont.)** ||Land &||Ofce furniture||| |---|---|---|---|---|---| ||Buildings|Drilling Rig|& equipment|Vehicles|**Total**| |**CHARITY:**|£|£|£|£|**£**| |**COST**|||||| |At 1 January 2022
Additions in year|126,526
-|82,600
-|340,737
48,685|812,709
-|**1,362,572**
**48,685**| |Disposals in year|-|-|(1,147)|(10,635)|**(11,782)**| |FX on consolidation|-|(15,056)|(18,343)|(66,359)|**(99,758)**| |**At 31 December 2022**|**126,526**|**67,544**|**369,932**|**735,715**|**1,299,717**| |**DEPRECIATION**|||||| |At 1 January 2022|85,909|68,974|245,479|682,868|**1,083,230**| |Charge for the year|4,412|3,709|34,838|40,859|**83,818**| |Elimination on disposal
FX on consolidation|-
-|-
(11,815)|(458)
(20,814)|(9,187)
(48,076)|**(9,645)**
**(80,705)**| |**At 31 December 2022**|**90,321**|**60,868**|**259,045**|**666,464**|**1,076,698**| |**NET BOOK VALUE**|||||| |**At 31 December 2022**|**36,205**|**6,676**|**110,887**|**69,251**|**223,019**| |At 31 December 2021|40,617|13,626|95,258|129,841|279,342| All tangible fixed assets are used for direct charitable purposes. 63 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **14. Subsidiary undertakings** ## **CUMO** The charity controls CUMO Microfinance Ltd, a company limited by guarantee and incorporated in Malawi. Accounts for CUMO have been prepared and audited in Malawi Kwacha for the period 01 January 2022 to 31 December 2022. These accounts have been consolidated into United Purpose’s accounts on a line by line basis. ## **United Purpose Trading Ltd** The charity controls United Purpose Trading Ltd, a company limited by guarantee incorporated in the United Kingdom. The results for the period to 31 December 2022 has been consolidated on a line by line basis. United Purpose Trading Ltd ceased trading on 31 December 2022, the remaining funds of £74,462 have been gifted to United Purpose in December 2022. The £74,462 is made up of 46,642 (2021) and Profit in the year of £27,820 (2022). United Purpose Trading Ltd was dissolved on the 4th July 2023. **----- Start of picture text -----**
United Purpose Trading Ltd Profit Nine month period ending 31
31 December 2022 December 2021
and Loss Account
£ £
Turnover 41,448 228,108
Gross profit 41,448 228,108
Admin & distribution costs (14,505) (41,110)
Operating profit 26,943 186,998
Realised Exchange (Loss)/Gains 877 (150)
Gift aid to parent undertaking - (140,926)
Profit on ordinary activities before taxation 27,820 45,922
Taxation - -
Profit for the financial period/year 27,820 45,922
**----- End of picture text -----**
The profit of United Purpose Trading Ltd is transferred to parent company via Gift Aid. ## **Village Aid** The charity is the controlling member of Village Aid, a UK charitable company limited by guarantee (company no. 03446625, charity no. 1067322). The summarised statement of financial activities for the period ended 31 December 2022 and assets and liabilities as at 31 December 2022 are shown below. Full accounts are filed with the Charity Commission and Companies House. Village Aid will be winding up in 2024 64 ## **14. Subsidiary undertakings (continued)** **----- Start of picture text -----**
Village Aid income and expenditure summary 31 December Nine month period ending 31
2022 December 2021
Restricted Unrestricted Total Restricted Unrestricted Total
£ £ £ £ £ £
Income - 62,739 62,739 11,949 47,748 59,697
Expenditure (11,949) (66,982) (78,931) (38,955) (47,115) (86,070)
Net incoming/(outgoing) resources for the year (11,949) (4,243) (16,192) (27,006) 633 (26,373)
Funds at the start of the year 11,949 53,137 65,086 38,955 52,504 91,459
Funds at the end of the period/year - 48,894 48,894 11,949 53,137 65,086
**----- End of picture text -----**
Included in expenditure is a grant support cost from the parent entity of £nil (2021: £nil) |||Nine month period ending 31| |---|---|---| |**Village Aid balance sheet**|**31 December 2022**|December 2021| ||**£**|£| |Assets
Liabilities|**64,791**
**(15,897)**|92,037
(26,951)| ||**48,894**|65,086| |Restricted funds
Unrestricted funds|**-**
**-**|11,949
53,137| ||**48,894**|65,086| ## **15. Parent charity** |**15. Parent charity**||| |---|---|---| |**The parent charity’s gross income and the**
**results for the period are disclosed as follows:**|**31 December 2022**|Nine month period ending 31
December 2021| ||**£**|£| |Gross income|**13,419,477**|7,872,280| |Result for the period/year|**(472,405)**|(1,887,349)| 65 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **16. Debtors** **----- Start of picture text -----**
Group Charity
31 December 2022 31 December 2021 31 December 2022 31 December 2021
£ £ £ £
Trade debtors 9,606 11,351 5,816 9,352
CUMO outstanding client loans 1,872,081 1,499,369 - -
Amounts due from donors 750,783 405,280 750,783 405,280
Prepayments 27,765 8,889 27,765 8,889
Other debtors 131,581 495,603 45,092 35,505
Total 2,791,816 2,420,492 829,456 459,026
**----- End of picture text -----**
## **17. Creditors : Amounts falling due within one year** **----- Start of picture text -----**
Group Charity
31 December 2022 31 December 2021 31 December 2022 31 December 2021
£ £ £ £
Taxation and social security costs 3,069 7,860 3,069 7,860
Trade creditors 207,312 798,093 207,312 658,081
Accruals 112,869 59,380 112,869 53,170
CUMO loan collateral fund 266,167 254,021 - -
Insurance Premiums 67,039 - - -
Sundry creditors and provisions 2,671,469 937,764 2,522,000 909,994
Total 3,327,925 2,057,118 2,845,250 1,629,105
**----- End of picture text -----**
## **18. Creditors : Amounts falling due greater than one year** **----- Start of picture text -----**
Group Charity
31 December 2022 31 December 2021 31 December 2022 31 December 2021
£ £ £ £
Amounts payable in 1-2 years 7,221 3,672 7,221 -
CUMO - amounts due to funders 425,217 - - -
Total 432,438 3,672 7,221 -
**----- End of picture text -----**
66 ## **19a. Analysis of net assets between funds (current period)** |**GROUP:**
Restricted funds
£|Designated funds
£|CUMO
£|General funds
£|**Total Funds**
**£**| |---|---|---|---|---| |Tangible fxed assets
-
Current assets
1,919,349
Current liabilities
-
Long term liabilities
-
**Net assets at 31 December 2022**
**1,919,349**|-
-
-
-
**-**|360,358
2,268,043
(891,977)
-
**1,736,424**|223,019
2,765,674
(2,868,387)
-
**120,306**|**583,377**
**6,953,066**
**(3,760,364)**
**-**
**3,776,079**| ## **19b. Analysis of net assets between funds (prior year)** |**GROUP:**|Restricted funds
£|Designated funds
£|CUMO
£|General funds
£|**Total Funds**
**£**| |---|---|---|---|---|---| |Tangible fxed assets
Current assets|-
2,791,891|-
-|439,947
2,288,863|279,341
995,410|**719,288**
**6,076,164**| |Current liabilities
Long term liabilities|-
-|-
-|(572,785)
(3,672)|(1,484,333)
-|**(2,057,118)**
**(3,672)**| |**Net assets at 31 December 2021**|**2,791,891**|**-**|**2,152,353**|**(209,582)**|**4,734,662**| ## **20. Operating lease commitments** The charitable company had total commitments under operating leases expiring as follows: **----- Start of picture text -----**
GROUP: Property Equipment
31 December 2022 31 December 2021 31 December 2022 31 December 2021
£ £ £ £
0 - 1 year 189,840 212,999 1,259
1 - 2 years 70,919 99,751 - 1,259
2 - 5 years 3,896 68,488 - 2,413
Total 264,655 381,239 - 4,931
CHARITY: Property Equipment
31 December 2022 31 December 2021 31 December 2022 31 December 2021
£ £ £ £
0 - 1 year 181,384 209,578 - 1,259
1 - 2 years 64,222 99,751 - 1,259
2 - 5 years 3,896 68,488 - 2,413
Total 249,502 377,817 - 4,931
**----- End of picture text -----**
67 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **21a. Movements in funds (current period)** ## **Restricted funds** **----- Start of picture text -----**
Incoming and Expenditure At 31 December
GROUP AND CHARITY: At 1 January 2022 gains and losses Transfers 2022
£ £ £ £ £
Exploitation and conflict (130,530) 85,045 (11,543) - (57,028)
Health and Wellbeing (107,301) 2,965,542 (3,393,138) 385,368 (149,529)
Livelihoods 3,063,117 9,296,318 (9,646,273) (481,758) 2,231,404
Environment (89,202) 105,267 (121,563) - (105,498)
held by Village Aid 55,807 - - (55,807) -
Total restricted funds 2,791,891 12,452,172 (13,172,517) (152,197) 1,919,349
Unrestricted funds:
Incoming and Expenditure At 31 December
Designated funds: At 1 January 2022 gains and losses Transfers 2022
£ £ £ £ £
Malawi - - - - -
- - - - -
Sustainable energy fund
- - - - -
Eureka rig
Gambia - - - - -
- - - - -
Vehicle replacement
- - - - -
Total designated funds
General Funds held by CUMO 2,152,353 1,496,237 (1,912,163) - 1,736,427
General Funds held by Village Aid 63,315 62,739 (20,698) (56,482) 48,874
General Funds held by United - 41,448 (13,628) (27,820) -
Purpose Trading
General funds (272,896) 967,305 (859,479) 236,499 71,429
Total unrestricted funds 1,942,772 2,567,729 (2,805,968) 152,197 1,856,730
Total funds 4,734,663 15,019,901 (15,978,485) - 3,776,079
**----- End of picture text -----**
## **Transfers between funds** Transfers between funds represent movements of funds between projects. Any transfers from restricted funds into unrestricted funds are as result of a review of fund balances to identify funds held in restricted funds on projects that are now complete. The fund balances are reviewed once the final donor reports have been submitted and accepted by donor, if the likelihood of funder clawback is remote the remaining balance is considered unrestricted. ## **Purposes of restricted funds** Restricted funds consist of donor funding for specific development projects, plus an allocation of voluntary income restricted for other purposes than specific development projects. The restricted funds held by Village Aid have been shown as restricted as they are to be spent in line with the donors’ intentions. Any fund balance in deficit, is due to payments due from donors not having been received at year end, and post year end receipts not being accrued due to the nature of donor contract. A proportion of the restricted funds balance is held in cash funds in project specific bank accounts and as such is not available for group cash resources. CUMO loan funds are held for making microfinance loans in Malawi, specifically to living those in extreme poverty in rural areas. These funds arise from initial grants from the Department for International Development (granted to establish a revolving loan fund), supplemented by surpluses generated through the charging of loan interest, less the cost of administering the loans. The cash resources of CUMO are not available for group cash resources and therefore have been shown separately. 68 ## **21b. Movements in funds (prior year)** ## **Restricted funds** **----- Start of picture text -----**
Incoming and Expenditure At 31 December
GROUP AND CHARITY: At 1 Apr 2021 gains and losses Transfers 2022
£ £ £ £ £
Exploitation and conflict (51,817) 64,324 (33,688) (109,349) (130,530)
Health and Wellbeing 1,487,370 1,437,126 (2,921,583) (110,214) (107,301)
Livelihoods 2,637,529 5,593,299 (5,205,066) 37,355 3,063,117
Environment (64,761) 89,621 (114,694) 632 (89,202)
held by Village Aid 54,455 1,352 - - 55,807
Total restricted funds 4,062,776 7,185,722 (8,275,031) (181,576) 2,791,891
General Funds held by CUMO 1,886,978 950,186 (684,811) - 2,152,353
General Funds held by Village Aid 37,205 56,345 (30,235) - 63,315
General Funds held by United - 229,052 (229,052) - -
Purpose Trading
General funds 363,144 479,040 (1,296,656) 181,576 (272,896)
Total unrestricted funds 2,287,327 1,714,623 (2,240,754) 181,576 1,942,772
Total funds 6,350,103 8,900,345 (10,515,785) - 4,734,663
**----- End of picture text -----**
## **22. Analysis of cash at bank and in hand** |||31 December|**Period ending 31**| |---|---|---|---| |Charity|Subsidiaries|2022|**December 2021**| |£|£|Total £|**Total £**| |General accounts in the UK
1,592,138
Project specifc accounts in the UK
-
Held in overseas accounts
2,198,635|-
-
370,477|1,592,138
-
2,569,112|**1,358,966**
**2,415**
**2,282,066**| |**Total cash funds held**
**3,790,774**|**370,477**|**4,161,250**|**3,643,447**| 69 **United Purpose** Annual Report 2022 ## **Notes to the consolidated financial statements** for the financial year ended 31 December 2022 ## **23. Capital Commitments** At 31 December 2022 there were no capital commitments (31 December 2021: Nil). ## **24. Contingent Assets** The unsold carbon credit units held at 31 December 2022 are 12,378 (31 December 2021: nil units). Units sold after December 2022 are 87,285 with a price range per unit of €3.58, the average price per unit is expected to increase towards the end of 2023. The carbon credits continue to contribute to the ongoing costs of the carbon projects, and benefits to the communities involved, and to the general funds of the charity where there are excess funds available. ## **24. Contingent Assets** The unsold carbon credit units held at 31 December 2022 are 12,378 (31 December 2021: nil units). Units sold after December 2022 are 87,285 with a price range per unit of €3.58, the average price per unit is expected to increase towards the end of 2023. The carbon credits continue to contribute to the ongoing costs of the carbon projects, and benefits to the communities involved, and to the general funds of the charity where there are excess funds available. ## **25. Legal status of the charity** The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1. ## **26. Parent company details** As of 5 August 2021, United Purpose merged with The Gorta Group. The leadership of United Purpose transferred to Ray Jordan, as Group CEO, and Carmel Fox as Group Chair of The Gorta Group. The group is registered in Ireland; its company registration number is 28228 and its charity number is 20008895. On 27 October 2022 Ray Jordan resigned as group CEO and was replaced temporaily by David Dalton. On the 17th April 2023 Ray’s replacement, Feargal O’ Connell was appointed CEO of the Gorta Group. Geoff Meagher replaced Carmel Fox as Group Chair of The Gorta Group on 28 February 2023. ## **27. Post balance sheet events** Decision made at Village Aid AGM on November 22th 2022 to wind down the company. Working with trustees on a plan for the closure but expected to be in 2024. United Purpose Trading was dissolved on the 4 July 2023. From 1 January 2024 UP Malawi ceased to exist and all current projects were transfered to Self Help Africa Malawi. 70 **----- Start of picture text -----**
WASH clinic, Benue state, Nigeria
Photo © Jason Florio
United Purpose Annual Report 2022 71
**----- End of picture text -----**
**----- Start of picture text -----**
Midrete from small rural community in Mozambique.Since attending UP training on WASH clinic, Benue state, Nigeria
climate-smart farming practices, her small farm has become a more viable business
**----- End of picture text -----**
Partner Africa **www.united-purpose.org** 72