**THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
**Report and Financial Statements For the year ended 30 June 2023 Charity Number: 278511**
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Financial Statements for the Year Ended 30 June 2023**
|**Contents**|**Pages**|
|---|---|
|Legal and Administrative Information|1|
|Report of the Trustees|2|
|Independent Examiners’ Report|5|
|Statement of Financial Activities|6|
|Balance Sheet|7|
|Notes forming part of the Financial Statements|8 - 12|
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Legal and Administrative Information**
## **Charity Number**
278511
## **Trustees**
Hugh Kirk MBE FCCA Clive Amos Rajiv Sabharwal FCA Tim MacAndrews FCA Ian Balcombe
## **Registered Office / Principal Office**
10 Sutton Acres Little Hallingbury Bishop’s Stortford Hertfordshire CM22 7RZ
## **Independent Examiner**
Helen Cain Mercer & Hole LLP 21 Lombard Street London EC3V 9AH
## **Bankers**
CAF Bank Limited 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ
## **Investment Advisors**
Evelyn Partners 45 Gresham Street London EC2V 7BG
## **Related Organisation**
The Rotary Club of London 10 Sutton Acres Little Hallingbury Bishop’s Stortford Hertfordshire CM22 7RZ
1
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Report of the Trustees for the Year Ended 30 June 2023**
The Trustees are pleased to present their report together with the financial statements of the Charity for the year ended 30 June 2023.
Legal and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Trust Deed and the Statement of Recommended Practice – Accounting and Reporting by Charities (FRS 102).
## **Structure Governance and Management**
The Trust was founded by a Declaration of Trust dated 8 June 1979 and is a registered charity in England and Wales. The Declaration of Trust sets out the powers and responsibilities of the Trustees. The Trustees have the responsibility of managing and investing the funds but the distribution of funds – in accordance with the Trust deed – is under direction from the Council of the Rotary Club of London.
Capital and Income may be distributed to Charities and for educational support by way of Scholarships, exhibitions or maintenance for any person over 16 years of age in necessitous circumstances.
The Charity has up to five Trustees who meet at least twice a year together with the President and Vice President of the Club to review the performance of the investments and to decide what, if any, changes should be made and how much money can be set aside for distribution.
In accordance with the Trust Deed, Trustees are appointed by the Rotary Club of London.
These appointments are made after consultation with the existing Trustees. All Trustees are encouraged to attend courses and conferences that would benefit their role as a Trustee of the Charity.
There are no employees of the Charity and the policy and decisions are made by agreement between the Trustees.
## **Reserves Policy**
The Rotary Club of London decided at a general meeting of the Club in the year 2014 that despite the Trust Deed permitting the distribution of capital and income, the Trustees should be asked, subject to market fluctuations, to plan the investment policy on the basis that the value of the Trust should be maintained at a nominal value of £300,000 and not subject to inflation. The value of the assets of the Trust was £346,931. The Trustees in consultation with the Council of the club have agreed to aim to rebuild the capital value as above but also to continue to make distributions to charities as directed.
2
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Report of the Trustees for the year ended 30 June 2023**
## **Objectives and Activities**
The purpose of the charity according to its Declaration of Trust is that the Trustees shall hold the Charity Trust Fund upon trust to apply both capital and income to or for such charitable objects, institutions or purposes in such proportions and in such a manner as the Council shall from time to time direct and, also in accordance with paragraph 4 thereof the Trustees shall have power at the discretion of the Council to pay or apply the whole or any part of capital and income of the Charity Trust Fund for the advancement of education in the establishment or support of any scholarships.
On 25 April 2022, by way of Codicil, the objectives and activities of the Charity were amended. In addition to those objectives and activities stated above, at the discretion of the Council, Trustees shall also have power to apply Capital and Income of the Charity Trust Fund for the advancement of health and saving lives, disability, the prevention or relief of poverty, disaster and famine relief, environmental and general charitable purposes, all of which apply to both the United Kingdom and anywhere else in the world.
Evelyn Partners continued to manage the investments of the charity. During the year the funds have been fully invested and have produced income, the Trustees have agreed to the continuation of Evelyn Partners’ appointment.
From time to time members of the Club arrange fundraising events for the benefit of the Charity and generally these are administered by the Charity.
The Charity also receives donations from time to time from members or others.
In setting out the Charity’s objectives and carrying out our activities, the trustees have had regard to the Charity Commission’s guidance on public benefit.
## **Risk Management**
The Trustees have examined the principal areas of the Charity’s operation and considered the major risk in each of these areas.
In the opinion of the Trustees the Charity has reviewed systems which, under normal conditions should allow the risks to be mitigated to an acceptable level in its day to day operations.
## **Review of the year**
This has been a reasonable year for the Charity during which it has been able to continue distributions. Following distributions of £33,000 the value of the Charity has decreased from £345,970 to £342,764. Distributions were made to charities totalling £33,000.
Of these distributions the following were from Unrestricted and Restricted Funds:
2 x donation of £8,500 3 x donation of £2,500 2 x donation of £2,000 4 x donation of £1,000
1 x donation of £500
3
##
##
##
##
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Independent Examiners’ Report to the Trustees of The Charity Trust of the Rotary Club of London**
I report to the charity trustees on my examination of the accounts for the year ended 30 June 2023 which are set out on pages 6 to 12.
## **Responsibilities and basis of report**
As the charity’s trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the charity’s accounts carried out under section 145 of the Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
## **Independent examiner’s statement**
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the charity as required by section 130 of the Act; or
2. the accounts do not accord with those records ; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view’ which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
**Helen Cain FCA** 13 November 2023
**Mercer & Hole LLP 21 Lombard Street London EC3V 9AH**
5
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Statement of Financial Activities for the Year Ended 30 June 2023**
|**Notes**
**Income from**
Donations
and legacies
**2**
Interest
received
**3**
Investments
**3**
**Total income**
**Expenditure on**
Charitable
activities
**5**
Management
&
administration
**4**
**Total**
**expenditure**
**Net.income/**
**(expenditure)**
Gain / (loss)
on revaluation
of investments
Gain / (loss)
on disposal of
investments
**6**
**Net movement in**
**funds**
**Reconciliation of**
**funds:**
**Total funds**
**brought forward**
**Total funds**
**carried forward**|**Restricted**
**Funds**
**2023**
**Unrestricted**
**Funds**
**2023**
**£**
**£**
-
37,999
-
19
-
9,908
-
47,926
155
32,845
-
5,421
155
38,266
(155)
9,660
-
(18,827)
-
6,116
(155)
(3,051)
155
345,815
**-**
**342,764**|**2023**
**£**
37,999
19
9,908
47,926
33,000
5,421
38,421
9,505
(18,827)
6,116
(3,206)
345,970
**342,764**|**Restricted**
**Funds**
**2022**
**Unrestricted**
**Funds**
**2022**
**2022**
**£**
**£**
**£**
155
38,169
38,324
---
1
1-
-
8,683
8,683
155
46,853
47,008
-
45,000
45,000
-
5,731
5,731
-
50,731
50,731
155
(3,878)
(3,723)
-
(68,464)
(68,464)
-
21,221
21,221
155-
(51,121)
(50,096)
-
396,936
396,936
**155**
**345,815**
**345,970**|
|---|---|---|---|
All income and expenditure are derived from continuing operations. The notes on pages 8 to 12 form part of these Financial Statements.
6
##
##
||Notes|2023
€|2022t|
|---|---|---|---|
|Fixed assets||||
|lnvestments||339,008|336,681|
|Current assets||||
|lnvestments||2,311|7,431|
|Cash atbank||2.465|2.818|
|||4,776|10,250|
|Creditors:amountsfallingduewithinoneyear|7|1.020|960|
|Netcurrentassets||3.756|9,289|
|Netassets||342.764|3!t5*970|
|Totalcharity funds||||
|Unrestrictedfunds|I|342,764|345,815|
|Restrictedfunds|I|-|155|
|Totalcharity fundscarriedforward|10|342.764|345.970|
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Notes to the Financial Statements for the Year Ended 30 June 2023**
## **1** . **ACCOUNTING POLICIES**
The principal accounting policies which are adopted consistently in the preparation of the Financial Statements are set out below.
## **a) Basis of Accounting**
The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities (FRS 102), The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), and the Charities Act 2011.
The financial statements do not include a cash flow statement because the Charity, as a small reporting entity is exempt from the requirement to prepare such a statement under Update Bulletin 1, Charities SORP (FRS 102).
The financial statements have been prepared to give a ‘true and fair’ view and have therefore necessarily departed from the extant Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair’ view. This departure has involved following the Statement of Recommended Practice: Accounting and Reporting by Charities applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 rather than the Statement of Recommended Practice: Accounting and Reporting by Charities effective from 1 April 2005, which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts are rounded to the nearest £.
## **b) Income**
_**Donations**_
Donations are credited in the year in which they are received.
_**Investment income**_
Income from investments is credited in the year in which it is received.
## _**Interest receivable**_
Interest is credited in the year in which it is received.
## **c) Expenditure**
## _**Grants**_
Grants are accounted for in the year to which they relate.
_**Other costs**_
All other costs are accounted for on an accruals basis.
8
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Notes to the Financial Statements for the Year Ended 30 June 2023 (continued)**
## **d) Fund accounting**
The funds held by the charity are:
## _**Unrestricted funds**_
Unrestricted funds are those funds that are spent in accordance with the charitable objects at the discretion of the trustees. Part of these funds can be designated to be used for a particular purpose in the future.
## _**Restricted funds**_
Restricted funds are those funds that must be spent on a specific purpose.
## **e) Investments**
Fixed asset investments are valued at market value, net of management fees, at 30 June 2023. Current asset investments are to be used by the charity on a continuing basis.
## **f) Unrealised gains and losses on investments**
Unrealised gains and losses are accounted for on revaluation of investments at the balance sheet date.
## **2. Income from Donations and Legacies**
|**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
Charitable
donations
-
37,999
Total
**-**
**37,999**
**Investment Income**
**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
Investments
-
9,908
Interest
received
-
19
**-**
**9,917**|**2023**
**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
**£**
37,999
155
38,169
**37,999**
**155**
**38,169**
**2023**
**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
**£**
9,908
-
8,683
19
-
1
**9,917**
**-**
**8,684**|**2022**
**£**
38,324
**38,324**|**2022**
**£**
38,324
**38,324**|**2022**
**£**
38,324
**38,324**|
|---|---|---|---|---|
|||||**2022**
**£**
8,683
1|
|||||**8,684**|
## **3. Investment Income**
9
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Notes to the Financial Statements for the Year Ended 30 June 2023 (continued)**
## **4. Allocation of Resources Expended**
|**Management**
**and**
**Administration**
**£**
Bank charges
Independent Examiners Fees
102
1,080
Investment Manager Fees
4,239
**5,421**||**Total**
**2023**
**£**
102
1,080
4,239
**5,421**||**Total**
**2022**
**£**
180
990
4,561|
|---|---|---|---|---|
|||||
**5,731**|
No Trustee received any remuneration during the year or reimbursed expenses.
## **5** . **Expenditure on charitable activities – grants payable**
|**Unrestricted funds**
Baby Milk for Lebanon
Richard House Children’s Hospice
Ukraine, Kharkiu School
Rotary Club of Kopundol, Kathmandu (HORAC)
Rotary Foundation
Inspiring Girls
LifeLine4Kids
Sheriffs Recorders fund
Noah’s Ark Children’s Hospice
Salvation Army
Shelter Box
Parkinson’s UK
Every Child Protected Against Traffickers (ECPAT)
PWN London
London Air Ambulance
Be Kind Movement
Ladakh India (Eye Hospital)
Livery School Link
The Passage
Royal College of Music
Karma Bank
**Total grants payable**|**2023**
**£**
**2022**
**£**
-
10,000
2,500
4,500
2,500
-
-
3,000
2,500
6,500
500
-
8,500
10,000
1,000
-
8,500
4,500
-
1,000
2,000
-
1,000
-
-
800
-
700
2,000
-
-
1,000
1,000
-
1,000
-
-
1,000
-
1,000
-
1,000
33,000
45,000
**33,000**
**45,000**|
|---|---|
10
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON Notes to the Financial Statements for the Year Ended 30 June 2023 (continued)**
## **6. Investments**
|Market value at 1 July 2022
Additions
Disposals
Net gain on disposal
Unrealised (losses) / gains
At 30 June 2023
Historical cost as at 30 June 2023
Listed investments
Other non-listed investments|**2023**
**£**
336,681
27,262
(12,224)
6,116
(18,827)
339,008
270,982
**2023**
**£**
235,474
103,534|**2022**
**£**
385,677
50,763
(52,516)
21,221
(68,464)|
|---|---|---|
|||336,681|
|||249,953|
|||**2022**
**£**
221,685
114,996|
## **7. Creditors: amounts falling due within one year**
|Accruals and deferred income|**2023**
**2022**
**£**
**£**
1,020
960
**1,020**
**960**|
|---|---|
## **8. Unrestricted Funds**
## **Analysis of unrestricted funds – current year**
||**Balance**|**Incoming**|**Resources**|**Gain/Loss**|**Balance**|
|---|---|---|---|---|---|
||**at**|**Resources**|**Expended**|**on**|**At**|
||**1 July**|||**Investment**|**30 June**|
||**2022**|||**Revaluation**|**2023**|
|||||**/Disposals**||
||**£**|**£**|**£**|**£**|**£**|
|General fund|345,815|47,926|(38,266)|(12,711)|342,764|
|**alysis of unrestricted**|**funds – prior year**|||||
||**Balance at**|**Incoming**|**Resources**|**Gain/Loss**|**Balance**|
||**1 July 2021**|**Resource**|**Expended**|**on**|**At**|
|||**s**||**Investment**|**30 June**|
|||||**Revaluation**|**2022**|
|||||**/Disposals**||
||**£**|**£**|**£**|**£**|**£**|
|General fund|396,936|46,853|(50,731)|(47,243)|345,815|
## **Analysis of unrestricted funds – prior year**
11
## **THE CHARITY TRUST OF THE ROTARY CLUB OF LONDON**
## **Notes to the Financial Statements for the Year Ended 30 June 2023 (continued)**
## **9. Restricted Funds**
## **Analysis of restricted funds – current year**
|**Balance at**
**1 July 2022**
**Incoming**
**Resources**
**Resources**
**Expended**
**Deficit on**
**Investment**
**Revaluation**
**/Disposals**
**£**
**£**
**£**
**£**
155
-
(155)
-
**s – prior year**
**Balance at**
**1 July 2021**
**Incoming**
**Resources**
**Resources**
**Expended**
**Deficit on**
**Investment**
**Revaluation**
**/Disposals**
**£**
**£**
**£**
**£**
-
155
-
-|**Balance**
**At**
**30 June**
**2023**
**£**
-|
|---|---|
||**Balance**
**At**
**30 June**
**2022**
**£**
155|
## **Analysis of restricted funds – prior year**
Restricted funds relate to donations received to be granted to charitable causes in Ukraine.
## **10. Analysis of Net Assets among Funds**
|**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
Fund balances
are represented by:
Investments
-
339,008
Net current assets
-
3,756
**-**
**342,764**|**2023**
**Restricted**
**Funds**
**Unrestricted**
**Funds**
**£**
**£**
**£**
339,008
-
336,681
3,756
155
9,134
**342,764**
**-**
**345,815**|**2022**
**£**
336,681
9,289
**345,970**|
|---|---|---|
## **11. Related parties**
A grant was made to the Rotary Foundation during the year of £2,500 (2022: £6,500).
12