Charity number: 00275487
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
CONTENTS
| Page | |
|---|---|
| Reference and administrative details of the Charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 7 |
| Independent auditors' report on the financial statements | 8 - 10 |
| Statement of financial activities | 11 |
| Balance sheet | 12 |
| Statement of cash flows | 13 |
| Notes to the financial statements | 14 - 23 |
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2023
| Trustees | D J Banister |
|---|---|
| E D Banister | |
| E M Banister | |
| E F Cairns | |
| L P Glaister | |
| Charity registered number 00275487 Principal office Stanley Tee LLP 95 London Road Bishop's Stortford Hertfordshire CM23 3GW Independent auditors Price Bailey LLP Chartered Accountants Causeway House 1 Dane Street Bishop's Stortford Hertfordshire CM23 3BT Solicitors Tees Law Tees House 95 London Road Bishop's Stortford Hertfordshire CM23 3GW |
Page 1
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
The Trustees present their annual report together with the audited financial statements for the 1 January 2023 to 31 December 2023.
CONSTITUTION
The unincorporated charitable trust is governed by the trust deed dated 19 December 1977. The objects of the trust are widely charitable, although the Trustees have determined to utilise the income and capital of the trust fund towards the relief of poverty, supporting educational projects and the promotion of peace.
METHOD OF APPOINTMENT OR ELECTION OF TRUSTEES
The Trustees named below were appointed by the trust deed dated 19 December 1977 or by deeds of appointment dated 27 August 1998, 12 May 2009, 21 February 2013, 29 April 2015 and 30 June 2019.
David John Banister Elizabeth Banister Letitia Pamela Campbell Glaister Eleanor Marianne Banister Edmund Frederick Cairns
POLICIES ADOPTED FOR THE INDUCTION AND TRAINING OF TRUSTEES
The appointment of any new trustee is by invitation of the existing trustees.
New trustees would be provided with a copy of the trust deed and have a meeting with the existing trustees to explain the aims and objectives of the trust.
REMUNERATION OF TRUSTEES
Trustees are not remunerated.
ORGANISATIONAL STRUCTURE AND DECISION MAKING
The Allan & Nesta Ferguson Charitable Trust is managed by the Trustees, who have delegated day to day administration to Tees (solicitors), of Tees House 95 London Road, Bishop’s Stortford, Hertfordshire. There is no remuneration for key management personnel.
The Trustees have appointed Price Bailey LLP of Causeway House, 1 Dane Street, Bishop’s Stortford, Hertfordshire as auditors.
The Trustees received investment advice on a portfolio review basis from Ravenscroft (UK) Limited of Tees House, 95 London Road, Bishop’s Stortford, Hertfordshire. After a review of the trust investments and a tender process, by invitation, the Trustees took the decision to move the trust’s investment advice and management services from Ravenscroft (UK) Limited to Quilter Cheviot of Senator House, 85 Queen Victoria Street, London.
The Trustees have a bank account with Barclays Bank, 1 Churchill Place, Canary Wharf, London, E14 5HP.
RISK MANAGEMENT
The Trustees have assessed the major risks to which the charity is exposed, in particular those related to the operations and finances of the charity. The trustees are satisfied that systems and procedures are in place to mitigate our exposure to the major risks.
The Trustees are bound by the governing deed and operate in accordance with the trust’s conflict of interest policy.
The trust operates in accordance with it’s risk management policy and it's safeguarding policy both of which were most recently updated on 22 April 2024
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
The Trustees have identified the following key risks to the charity:
Misuse of the trust funds by recipients – The Trustees seek to limit exposure through funding policies, the trust will not provide funding to educational institutes based outside the UK or any charitable organisation not registered with the Charity Commission in England and Wales, Scotland or Northern Ireland. The trustees will not make payments direct to an individual.
Misuse of funds by trustees/advisors – The trust is controlled by the five trustees and is reliant on services provided by Tees & Quilter for day-to-day administration. The process of majority decision making, regular accounting checks, multiple approvals for grant payments, reviews and annual external audit minimises the trust’s exposure to risk.
Exposure to Informa plc – The trustees are conscious the trust continues to have significant financial exposure to Informa plc with the trust’s holding in Informa representing a large proportion of the assets within the trust. The trustees have a continued policy of reducing the trust’s exposure to fluctuations in Informa’s stock price through sales and further diversification of the investments as and when they feel markets allow.
POLICIES, OBJECTIVES AND THE PUBLIC BENEFIT
The trust is a grant making charitable trust and intends to achieve its constitutional aims set out above, by making grants targeting the trust’s key themes of education, development and the promotion of peace.
The charitable trust fulfils its objectives through making grants to other charitable bodies registered with a UK charity regulator as well as UK universities. The Trustees aim to promote the value and opportunity of education, peace and reconciliation. They seek to have a positive impact through funding projects and scholarships which go on to have a wider impact in their communities for years to come.
GRANT MAKING POLICY
The trustees accept applications online through the trust’s website.
The trustees sometimes invite applications from UK universities to fund scholarships that support the key principles of the trust, providing access to education for those otherwise unable to access the opportunities that education provides for the improvement of society as a whole. The trustees also occasionally invite applications from UK charities engaging in projects supporting the promotion of peace and reconciliation through understanding and education.
The trust’s grant making policy is focused on achieving its objectives for the public benefit by concentrating it’s resources on the following purposes:
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The support of education in the UK & overseas
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- The promotion of peace through international friendship and understanding
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To support further sustainable progress in the developing world
To achieve these objectives the Trustees accept applications for funding from the following applicants:
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UK registered charities undertaking projects in the UK and abroad. Candidates are required to demonstrate that they have a minimum of 30% matching funding in place for the trustees to give consideration to their application.
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UK universities to fund scholarships that support the key principles of the trust, providing access to education for those otherwise unable to access the opportunities that education provides.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
It is the trustee’s policy to only provide support to charitable projects in line with the Trust’s objectives that are run by charities registered with the Charity Commission of England & Wales, Scotland or Northern Ireland. This is to ensure the recipient charity is required, by law, to comply with the requirements set out by one of those bodies. The trustees apply this restriction to protect the funds granted and ensure, as far as possible, the funds provided are applied to further the charitable objectives of the charity.
It is the trustees’ policy to pay grants concerning any individual directly to the educational institution or charity to ensure they are used to achieve the trustees’ objectives of supporting education, peace and support of the developing world.
For any grant awarded equal to or in excess of £150,000 the trustees require the recipient of the grant to enter into a gift agreement confirming the purpose of the award and setting out the reporting requirements.
THE PUBLIC BENEFIT
In setting their grant making policy the trustees confirm that they have had regard to the guidance provided by the charity commission on public benefit.
The trustees are conscious, as a grant making charity, that they have no direct control over the success or failure of the individual projects to which they provide funds. The trustees do, however, seek to measure the success of grants to ensure that the funds are used to further the objectives of the trust. The trustees only make grants where the motivation of a project clearly aligns with the target themes of the trust and success is measured in a number of different ways depending on the circumstances of each grant.
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For university scholarships, success is measured by the successful completion of the course by the student(s) who otherwise would not have had the funds necessary to complete their studies.
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For other educational, overseas development, peace and reconciliation grants the trustees require the recipient charity to provide them with a report after 12 months to illustrate the progress of the project. Success is determined based on the expectations of the project outlined in the initial application made to the trustees.
The trustees look to support projects that have positive impacts on the communities in which they operate over the longer term.
The Trust awarded a grant of £10,000 to The Literacy Pirates in 2023, in support of their after-school learning programme for children aged 9-13 in London, who are falling behind in school and have fewer opportunities in their personal circumstances. The children benefit from small group support from trained volunteers and take part in ‘real-world’ publishing projects to build their literacy, confidence and perseverance so they can succeed at school and beyond.
In 2023, the Trust awarded Saferworld a grant of £100,000 to support their work in Yemen. The project was a year long initiative to strengthen peacebuilding programmes in the country. It helped bolster the severely under resourced community groups and civil society organisations, often led by women & young people, crucial to addressing community concerns and challenging marginalisation, injustice & political exclusion.
STRATEGIES FOR ACHIEVING OBJECTIVES
The trustees review, on a monthly basis, applications to the trust as well as meeting bi-annually to discuss nonroutine applications incluing larger grants in excess of £50,000 and university scholarship funding.
All applications are assessed by the trustees against the trust’s objectives and policies to ensure the project is in line with the trust’s stated objectives. The trustees review the size of the grant requested, other funding in place and the value for money offered by the project. Value for money is assessed based on the impact of the project, i.e. how many people are reached, any lasting benefit of the project and any future opportunities provided to the individuals reached and their communities as a result of the project/funding.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
In determining whether to offer a grant to an applicant the Trustees will also consider the time a charitable applicant has had charitable status, their level of fundraising activity and the charity’s annual turnover when making decisions on funding.
ACTIVITIES FOR ACHIEVING OBJECTIVES
The trustees continue to meet regularly to discuss grant applications and ensure the trust’s funds are used to achieve its objectives.
The trustees require charitable organisations who have received grants to provide reports on how the funds have been used to complete or advance the objectives of the project funded and by default the trustees’ objectives.
GOING CONCERN
After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
REVIEW OF ACTIVITIES
During the year to 31 December 2023 the trustees awarded grants totalling £1,898,408 (2022 - £1,905,452) to various individuals and organisations, as detailed in note 4. This represented 352% (2022 - 466%) of the incoming revenue generated from the assets.
Grants made are applied to a number of organisations in support of their goals and in line with those of the trustees, to encourage and support the provision of education, understanding and peace.
The trustees have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising any powers or duties to which the guidance is relevant.
RESERVES POLICY
Money held in reserve by the Trustees is there to meet the ongoing demand for grants awarded on a monthly basis. In addition, the Trustees ensure they have sufficient reserves ahead of the autumn to meet their annual commitment to scholarship funding of approximately £596,000. Further, the Trustees have agreed to continue strategy to actively invest more of the portfolio in ethical investments. A proportion of the reserves held are to be reinvested in the ethical market.
The trust held total funds of £26,043,632 (2022 - £25,235,444) at the end of the reporting period all of which was held in unrestricted reserves. The charitable trust is a grant making charity, the trustees are able to adjust the level of grants made were there to be a drastic change in income or capital returns in a year if appropriate. As such the trustees policy is to make grants as appropriate with no particular requirement to maintain a certain level of reserves. Where there are reserves these will be spent when appropriate grant making opportunities arise.
INVESTMENT POLICY AND PERFORMANCE
The Trust deed authorises the Trustees to make and hold investments as if they were absolute beneficial owners.
The Trustees’ holding of Informa Plc shares continues to reduce over time when market conditions allow, providing a rising cash weighting within the investment portfolio and which may be used to fund grants made by the Trust. Continuing advice regarding the investment profile of other investments held as well as a general balance of asset class weightings is provided by Quilter Cheviot Limited
Performance of the overall portfolio is monitored over the medium to long term against its target of CPI inflation plus 3.5% p.a. net of fees, the MSCI PIMFA Growth index and the ARC Equity Risk charities index.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
The Trustees are investing on a ‘sustainable and ethical’ basis in line with the ethos of the Trust, where the consideration of ESG factors play an important part in the investment decision making process. The Trustees want their investment managers to proactively looks to invest in companies providing solutions to some of the global economic and environmental challenges we face with a particular emphasis on healthy eco systems, human development, resource security and basic needs.
The Trustees wish to exclude direct investment in any company, which after reasonable enquiry has significant issues in terms of alcohol, animal welfare, armaments (including controversial weapons), environment (including fossil fuels), gambling, human rights, nuclear, pornography and tobacco. The Trustees accept that some collective investment schemes may have exposure to companies that are involved in these restricted areas. However, the investment manager will monitor the position of these collective investment schemes to ensure this is kept to a minimum.
During this year the portfolio and investment management moved from Ravenscroft (UK) Limited to Quilter Cheviot. In the period from transfer of investment management to Quilter Cheviot on 16 November the portfolio delivered a return of 4.9% against the MSCI PIMFA Growth index benchmark of 4%.
FUNDRAISING
All of the Charity's income is derived from its investment portfolio and no fundraising activities take place.
MATERIAL INVESTMENTS POLICY
Funds under the control of the Trustees have been invested in a broker-managed portfolio. The initial assets of the trust were shares in Taylor & Francis Limited and proportion of investment remains in that company, which has since floated on the London Stock Exchange and has subsequently been merged to form Informa Plc. The Trustees will continue to diversify the portfolio as the opportunity arises.
FUTURE DEVELOPMENTS
The trustees will continue to make grants, in line with the constitution and policies of the trust, to suitable causes or projects until they have invested all of the funds at their disposal.
AUDIT
Insofar as the Trustees are aware:
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There is no relevant audit information of which the Auditor is unaware; and
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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.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
TRUSTEE’S RESPONSIBILITIES STATEMENT
The trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
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Select suitable accounting policies and then apply them consistently;
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Observe the methods and principals in the Charities SORP 2019;
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Make judgments and accounting estimates that are reasonable and prudent;
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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 proper accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provision of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report was approved by the Trustees and signed on their behalf by:
LPC Glaister
L Glaister (Oct 11, 2024, 5:29pm) L P Glaister Trustee
11 Oct 2024
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
Opinion
We have audited the financial statements of The Allan and Nesta Ferguson Charitable Trust (the 'charity') for the year ended 31 December 2023 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements:
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give a true and fair view of the state of the charity's affairs as at 31 December 2023 and of its incoming resources and application of resources for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the Trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, 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 financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST (CONTINUED)
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Trustees' responsibilities statement, the Trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditors' responsibilities for the audit of the financial statements
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
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Enquiry of management regarding laws and regulations applicable to the charity, actual and potential litigation and claims, and any known instances of non-compliance;
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Review of minutes of Trustee meetings;
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Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness; and
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Assessing management bias in relation to the accounting policies adopted and in determining significant accounting estimates including the valuation of investments
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.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
INDEPENDENT AUDITORS' REPORT TO THE TRUSTEES OF THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST (CONTINUED)
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report.
Use of our report
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an Auditors' 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 charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed.
Price Bailey LLP Chartered Accountants Statutory Auditors Causeway House 1 Dane Street Bishop's Stortford Hertfordshire CM23 3BT
Date: 22 October 2024
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023
| Note Income from: Donations and legacies 2 Investments 3 Total income Expenditure on: Raising funds - investment management fees 4 Charitable activities Total expenditure Net expenditure before net gains/(losses) on investments Net gains/(losses) on investments Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2023 £ 6,500 539,239 545,739 125,605 2,046,288 2,171,893 (1,626,154) 2,434,342 808,188 25,235,444 808,188 26,043,632 |
Total funds 2023 £ 6,500 539,239 545,739 125,605 2,046,288 2,171,893 (1,626,154) 2,434,342 808,188 25,235,444 808,188 26,043,632 |
Total funds 2022 £ 31,376 408,883 440,259 127,790 2,029,820 2,157,610 (1,717,351) (2,372,159) (4,089,510) 29,324,954 (4,089,510) 25,235,444 |
|---|---|---|---|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 14 to 23 form part of these financial statements.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
BALANCE SHEET AS AT 31 DECEMBER 2023
| 2023 Note £ Fixed assets Investments 9 26,971,671 Current assets Debtors 10 68,536 1,237,281 Cash at bank and in hand 14 86,446 432,541 154,982 1,669,822 Creditors: amounts falling due within one year 11 (637,141) (649,443) Net current liabilities / assets (482,159) Total assets less current liabilities 26,489,512 Creditors: amounts falling due after more than one year 12 (445,880) Total net assets 26,043,632 Charity funds Unrestricted funds 26,043,632 Total funds 26,043,632 The financial statements were approved and authorised for issue by the _______and signed on their behalf by: 11 Oct 2024 |
2022 £ 24,751,726 1,020,379 25,772,105 (536,661) 25,235,444 25,235,444 25,235,444 Trustees on |
|---|---|
LPC Glaister
L Glaister (Oct 11, 2024, 5:29pm)
L P Glaister
The notes on pages 14 to 23 form part of these financial statements.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023
| Cash flows from operating activities Net cash used in operating activities Cash flows from investing activities Dividends, interests and rents from investments Proceeds from sale of investments Purchase of investments Net cash provided by investing activities Cash flows from financing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year The notes on pages 14 to 23 form part of these financial statements |
2023 £ (2,229,576) 539,239 9,702,959 (8,358,717) 1,883,481 (346,095) 432,541 86,446 |
2022 £ (2,443,074) 408,883 7,449,352 (5,358,590) 2,499,645 56,571 375,970 432,541 |
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
1. Accounting policies
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Allan and Nesta Ferguson Charitable Trust meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The functional and presentational currency is Pounds Sterling (£).
1.2 Going concern
The Trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. As such, they continue to adopt the going concern basis of accounts in the financial statements, which assumes the charity will continue in operational existence for the foreseeable future. The Trustees have given due consideration to the working capital and cash flow requirements of the charity for at least 12 months from the date of signature of the accounts.
1.3 Income
All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
1.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. Support and governance costs are those costs incurred directly in support of expenditure on the objects of the charity. Governance costs are those incurred in connection with administration of the charity and compliance with constitutional and statutory requirements.
Costs of raising funds are investment management fee costs incurred in generating income from investments.
Charitable activities and Governance costs are costs incurred on the charity's overseas and educational operations, including support costs and costs relating to the governance of the charity apportioned to charitable activities.
Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.
All expenditure is inclusive of irrecoverable VAT.
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
1. Accounting policies (continued)
1.5 Taxation
The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
1.6 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of financial activities.
1.7 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.8 Cash at bank and in hand
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
1.9 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
1.10 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 fair value. Investments are recorded at the bid value at the year-end date and all other assets and liabilities are recorded at cost which is their fair value. For details of the unrealised gains see note 9.
1.11 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.
Investment income, gains and losses are allocated to the appropriate fund.
Page 15
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
| 2. Income from donations and legacies Donations Total 2022 3. Investment income UK listed investments Foreign listed investments Total 2022 4. Raising funds - investment management costs Investment management fees Total 2022 |
Unrestricted funds 2023 £ 6,500 31,376 Unrestricted funds 2023 £ 394,950 144,289 539,239 408,883 Unrestricted funds 2023 £ 125,605 127,790 |
Total funds 2023 £ 6,500 31,376 Total funds 2023 £ 394,950 144,289 539,239 408,883 Total funds 2023 £ 125,605 127,790 |
Total funds 2022 £ 31,376 |
|---|---|---|---|
| Total funds 2022 £ 346,439 62,444 408,883 |
|||
| Total funds 2022 £ 127,790 |
|||
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THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
5. Charitable activities
| Grants made: Educational projects Educational projects encompassing world peace Overseas education |
Institutional grants £ 708,287 175,500 1,014,621 1,898,408 |
Support costs £ 74,731 12,926 60,223 147,880 |
Total 2023 £ 783,018 188,426 1,074,844 2,046,288 |
|---|---|---|---|
During the year there were no grants made to institutions to distribute to individuals (2022 - no grants made to individuals).
Charitable activities (comparative)
| Educational projects Educational projects encompassing world peace Overseas education |
Institutional grants 2022 £ 787,743 55,040 1,062,669 1,905,452 |
Support costs 2022 £ 46,074 3,360 74,934 124,368 |
Total funds 2022 £ 833,817 58,400 1,137,603 2,029,820 |
|---|---|---|---|
Page 17
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
Grants to institutions
| Educational bodies Action for Kids Trust Birmingham City University Kings College London Manchester Metropolitan University Médecins Sans Frontières Oxford University - St Anne's College Royal Horticultural Society Royal National Theatre Royal Northern College of Music University of London Emmaus UK Glasgow School of Art Oxford Faculty of Law Project Trust SOAS Sport 4 Life UK The Old Vic Theatre Trust University of Leeds Other Educational projects encompassing the promotion of world peace Peace Direct Peace Brigades International UK Plan for Peace Prisoners of Conscience Appeal Fund Reboot the Future Saferworld Other |
2023 £ - - - - - - - - - - 20,000 48,000 103,908 120,000 120,000 15,000 30,000 169,389 81,990 708,287 2023 £ - 20,000 15,000 18,000 15,000 100,000 7,500 175,500 |
2022 £ 15,000 134,000 150,000 48,000 40,000 150,000 50,000 15,000 60,000 84,000 - - - - - - - - 41,743 787,743 |
|---|---|---|
| 2022 £ 15,000 - - - - - 40,040 55,040 |
Page 18
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Overseas Education | ||
| Action on Disability & Development | - | 25,000 |
| Awamu | - | 15,000 |
| Build It International | - | 25,000 |
| ChildHope UK | - | 17,500 |
| Christian Aid | - | 50,000 |
| Christian Engineers in Development | - | 25,000 |
| Church Mission Society | - | 15,000 |
| Concern Worldwide | - | 35,000 |
| David Rattray Foundation | - | 15,000 |
| Dhaka Ahsania Mission | - | 15,000 |
| Educate for Life | - | 15,000 |
| Footsteps International | - | 15,000 |
| Haileybury Youth Trust | - | 25,000 |
| Health & Hope UK | - | 20,000 |
| Hope International | - | 15,000 |
| Irise International | - | 15,000 |
| Legacy of War Foundation | - | 15,000 |
| Medair UK | - | 20,000 |
| Pipal Tree | - | 17,100 |
| Renewable World | - | 20,000 |
| Ripple Effect International | - | 25,000 |
| Stay at School | - | 20,000 |
| Street Child | - | 60,000 |
| Tackle Africa | - | 15,000 |
| The Karuna Trust | - | 20,000 |
| The Toybox Charity | - | 30,000 |
| Theatre for Change | - | 20,000 |
| Together We Learn | - | 20,000 |
| Tushinde Children's Trust | - | 16,000 |
| UNICEF | - | 75,000 |
| Women for Women International | - | 20,000 |
| UK Bangladesh Educational Trust | - | 15,000 |
| Acet UK | 20,000 | - |
| Action Aid | 22,850 | - |
| Amantani UK | 20,000 | - |
| Book Aid International | 25,000 | - |
| British Red Cross | 40,000 | - |
| CAMFED | 50,000 | - |
| Children on the Edge | 15,000 | - |
| Habitat for Humanity | 25,000 | - |
| Hand in Hand International | 28,250 | - |
| Harpenden Spotlight on Africa | 25,000 | - |
Page 19
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
| Hope and Homes for Children Humanity and Inclusion UK (Handicap International) Integrity Action Just a Drop Kidasha Kyaninga CDC Trust MicroLoan Foundation Money for Madagascar Power for the People Raising Futures Kenya Re-Cycle Bikes to Africa RedR UK Right to Play UK RNLI - Royal National Lifeboat Institution Room to Read UK Limited Schoolreaders Solar Aid STEP (UK) Ltd Teach a Man to Fish The Womanity Foundation Transform Trade United World Schools Water Witness International Other grants |
15,000 25,000 25,000 19,778 15,000 20,000 25,000 20,000 15,000 20,000 17,748 15,000 15,000 20,000 15,000 15,000 20,000 20,000 25,000 20,000 100,000 20,000 20,000 220,995 1,014,621 |
- - - - - - - - - - - - - - - - - - - - - - - 312,069 1,062,669 |
|---|---|---|
6. Support costs
| Legal and administration charges Website development Auditors fees for audit services Currency adjustments Other charges Total 2022 |
Governance £ 133,710 - 11,880 - - 145,590 31,476 |
Support costs £ - 300 - 1,846 144 2,290 92,892 |
Total funds £ 133,710 300 11,880 1,846 144 147,880 124,368 |
Total funds 2022 £ 112,200 690 11,280 - 198 124,368 |
|---|---|---|---|---|
Page 20
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
Support costs (comparative)
| Legal and administration charges Website development Auditors fees for audit services Other charges 7. Auditors' remuneration Auditors' remuneration |
Governance 2022 £ 20,196 - 11,280 - 31,476 |
Support costs 2022 £ 92,004 690 - 198 92,892 2023 £ 11,880 |
Total funds 2022 £ 112,200 690 11,280 198 124,368 |
|---|---|---|---|
| 2022 £ 11,280 |
8. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).
During the year ended 31 December 2023, no Trustee expenses have been incurred (2022 - £NIL).
9. Fixed asset investments
| At 1 January 2023 Additions Disposals Revaluations Cash balance Total 2023 |
Listed investments 2023 £ 23,893,550 8,358,717 (9,702,959) 2,434,342 - 24,983,650 |
Cash deposits 2023 £ - - - - 1,988,021 1,988,021 |
Total funds 2023 £ 23,893,550 8,358,717 (9,702,959) 2,434,342 1,988,021 26,971,671 |
Total funds 2022 £ 28,356,471 5,358,590 (7,449,352) (2,372,159) 858,176 24,751,726 |
|---|---|---|---|---|
Page 21
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
The market value of investments individually constituting more than 5% of the total portfolio are as follows:
| follows: | ||||
|---|---|---|---|---|
| 31 | December | 31 | December | |
| 2023 | 2022 | |||
| Informa plc | 7,421,400 | 7,281,475 |
This shareholding represents 0.1% (2022 - 0.2%) of the company's issued ordinary share capital.
The trustees wish to diversify the funds invested in Informa Plc and will do so when practical opportunities arise.
10. Debtors
| Due within one year Other debtors 11. Creditors: Amounts falling due within one year Accruals and deferred income Grants accrued - institutional 12. Creditors: Amounts falling due after more than one year Accrued grants payable to institutions |
2023 £ 68,536 2023 £ 40,763 596,378 637,141 2023 £ 445,880 |
2022 £ 1,237,281 |
|---|---|---|
| 2022 £ 34,482 614,961 |
||
| 649,443 | ||
| 2022 £ 536,661 |
Page 22
THE ALLAN AND NESTA FERGUSON CHARITABLE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
- Reconciliation of net movement in funds to net cash flow from operating activities
| Net income/expenditure for the year (as per Statement of Financial Activities) Adjustments for: (Gains)/losses on investments Dividends received (Increase)/decrease in cash investments (Increase)/decrease in debtors Increase/(decrease) in creditors Net cash used in operating activities |
2023 £ 808,188 (2,434,342) (539,239) (1,129,845) 1,168,745 (103,083) (2,229,576) |
As restated 2022 £ (4,089,510) |
|---|---|---|
| 2,372,159 (408,883) (621,666) 438,975 (134,149) |
||
| (2,443,074) |
14. Analysis of cash and cash equivalents
| 2023 | 2022 | |
|---|---|---|
| £ | £ | |
| Cash in hand | 86,446 | 432,541 |
15. Analysis of changes in net debt
| At 31 | |||||
|---|---|---|---|---|---|
| At | 1 | January | December | ||
| 2023 | Cash flows | 2023 | |||
| £ | £ | £ | |||
| Cash at bank and in hand | 432,541 | (346,095) | 86,446 |
16. Related party transactions
During the year the Trust received a donation of £6,500 (2022 - £31,376) from the Idwen Banister Will Trust which was a Trust of a close relative connected to D Banister. At the year end a balance of £6,500 (2022 - £61,000) was owed to the Trust in relation to this transaction.
Apart from the above there were no other related party transactions during the year.
Page 23