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2021-12-31-accounts

ITF SEAFARERS’ TRUST Trustees’ Report and Financial Statements FOR THE YEAR ENDED 31 DECEMBER 2021 Charity Number: 281936

Contents

Reference and Administrative Details of the Charity, its Trustees and Advisers for the Year Ended 31 December 2021 .....................................................................................................................................................................3 Trustees’ Report for the Year Ended 31 December 2021 ...................................................................................4 Statement of Trustees’ responsibilities ............................................................................................................ 11 Independent Auditor’s Report to Trustees of the ITF Seafarers' Trust ............................................................ 12 Statement of Financial Activities for the year ended 31 December 2021 ....................................................... 16 Balance Sheet at 31 December 2020 ............................................................................................................... 17 Statement of Cash Flows for the year ended 31 December 2021 ................................................................... 17 Notes to the Financial Statements for the year ended 31 December 2021 .................................................... 19

The ITF Seafarers’ Trust: Trustees Report and Financial Statements

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Reference and Administrative Details of the Charity, its Trustees and Advisers for the Year Ended 31 December 2021

Principal Office

ITF House 49-60 Borough Road London SE1 1DR

Trustees

Charity Registered Number: 281936

Bankers

S Cotton Bankers P Crumlin D Heindel HSBC Plc B Orrell 28 Borough High Street A Serang London J Smith SE1 1YB

Investment Managers

Independent Auditor

The Progeny Group Ltd (to 28 Feb 2021) Egyptian House, 170 - 173 Piccadilly London W1J 9EJ

BDO LLP 55 Baker Street London W1U 7EU

Sparrows Capital (from 01 Mar 2021) Office 7 35-37 Ludgate Hill London, EC4M 7JN

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Trustees’ Report for the Year Ended 31 December 2021

The Trustees present their annual report together with the audited financial statements of the ITF Seafarers’ Trust (the Trust) for the year ended 31 December 2021. The financial statements have been prepared in accordance with applicable United Kingdom accounting standards including Financial Reporting Standard 102 (FRS 102).

Structure, governance and management

The ITF Seafarers’ Trust is a charity constituted under England and Wales Law and governed by its Deed of Trust dated 15 January 1981 and amended by amending deeds dated 4 June 2010 and 26 November 2018.

There are up to nine Trustees including four ex officio Trustees, one Trustee nominated by the Seafarers’ Section of the International Transport Workers’ Federation (ITF), one Trustee nominated by the Dockers’ Section of the ITF plus up to a further three Trustees who are appointed by the existing Trustees. The four ex officio Trustees are the President and General Secretary of the International Transport Workers’ Federation (ITF) and the Chairs of the ITF Seafarers’ Section and ITF Dockers’ Section. New Trustees are briefed on UK Charity law and regulation on appointment.

In addition, there are three sub committees covering Small Grants, Investments and Audit & Risk Management which report to the full Board of Trustees on a regular basis.

The Head of the Trust and administrative staff are employed by the ITF which in addition charges a proportionate share of the cost of employing staff who work directly on the Trust's activities.

Trust management and staff are employed according to the wage scales of the ITF. Grades are determined by a Salary Grading Committee and annual step increases are automatic within the scale. Annual pay awards and benefits are negotiated between ITF management and the ITF staff committee and are equally applicable to Trust staff .

Objectives and activities for the public benefit

The Trust’s principal objects are promoting the health and wellbeing of maritime workers and their dependents. The Trustees have considered the Charity Commission’s general guidance on public benefit when reviewing the Trust’s objectives and activities. The beneficiaries of the Trust are not subject to any geographical restrictions and eligibility for assistance is not restricted by any membership, religious or political considerations. The charitable objects for the public benefit are fulfilled by providing grants to organisations throughout the world catering for the general welfare of seafarers and other maritime workers. Grantees include seafarers’ welfare organisations, and port welfare committees, maritime unions, international organisations and charities. In addition to grant making, the Trust runs a number of projects in line with our charitable objectives. The Trustees have adopted a more proactive approach to funding which has been informed by research into beneficiary needs.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Grant making policy

Whilst 2020 was very much focused on responding to the Covid-19 pandemic with emergency funding, in 2021 we sought to consolidate new connections made during the previous year, including with ITF affiliated maritime unions undertaking frontline welfare support, and to pursue the programme off telling seafarers’ stories in support of the international campaigns around the crew change crisis.

In the earlier part of the year a number of specific Covid-19 Welfare Fund grants were made, similar to those made in 2020, supporting organisations providing direct assistance, essential supplies and access to medical care, but as conditions eased this fund was discontinued and applications accepted in the usual grant application channels.

Working remotely and online enabled us to maintain existing and create different networks and made us more connected with, and accessible to, our grantees and beneficiaries. We also undertook a number of structured interviews with frontline seafarers to better understand the new and existing challenges they are experiencing as a result of the effects of the pandemic on the maritime sector as a whole. The collated information was presented to the Board of Trustees and will assist in effective targeting of grants to meet the real needs of seafarers.

In total 71 grants were awarded to organisations amounting to net institutional grants expenditure of £4,888,602. In addition, 31 individual/emergency grants were approved and paid under the Seafarers’ Trust Emergency Fund, amounting to a total of £157,657.

The Trust Secretariat have the authority to request the return of funds from organisations where the grants have not been spent or where the grantee has been unable to fulfil the associated terms and conditions of the grant agreement. The total amount returned in 2021 was £70,716, as the funds were no longer required. An analysis of the grants made during 2021 is shown in Note 4 to the accounts.

In spite of the adaptations made to address the Covid-19 emergency, the Trust outline strategy for the period 2018-2023 that was approved in November 2018 has remained valid but expanded to include the new priority of publicising seafarers’ stories and highlighting the human faces behind global supply chains.

Addressing our overarching objectives

2021 saw a very diverse range of grants aimed at supporting seafarers and their families as the impact and easing of the pandemic varied significantly across the globe. Grants made supported projects as diverse as support to seafarers unable to return home due to travel restrictions, providing essential food and hygiene packs for seafarers’ families unable to work, funding a mobile shop so seafarers could purchase essential personal goods and provided access to vaccinations and PPE.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Encourage cooperation amongst organisations working for the wellbeing of seafarers

The Trust worked closely with ICMA/NAMMA, ITF regional offices and other funding organisations (TK and Seafarers’ UK) to maintain the services of welfare providers internationally in a coordinated and equitable manner.

The Trust continued to fund research giving solid evidence on manning and fatigue to the maritime sector with a 3 year grant to the WMU to fund the research “Determination of the minimum safety manning levels”. Building on the outcomes of the research project on hours of work/rest reporting ‘A Culture of Adjustment’ funded by the Trust in 2019, this research aims to identify with maritime stakeholders the effective strategies to regulate manning in order to strengthen Occupational Safety and Health, wellbeing and ship safety.

A key aim in 2021 was of showing the human side of seafaring and maritime to complement the policy work of the ITF and highlighting seafarers as essential key workers. After the success of the Still At Sea photography competition in 2020, in 2021 the Trust continued our focus on telling seafarers’ stories with the “Out of Sight, Not Out of Mind” portrait photography competition, showing the human face of this very diverse and largely hidden workforce.

Delivering our priority areas of work

Strategic Area 1. Build union capacity to deliver member services

Grant-making

After our increased efforts in 2020, it was pleasing to see that many unions continued or increased the welfare support they were providing to seafarers during 2021. The Trust undertook four virtual ‘Regional Roadshows’ with union leaders to support and encourage the development of seafarer welfare services and to explain where it was possible for the Trust to provide assistance.

29 grants were made to unions, largely in response to the impact of the pandemic, as well as a large grant for the expansion of the extremely busy Mariners’ Home seafarers’ accommodation in Manila used by seafarers transiting to or from contracts onboard.

OSH Ports

The OSH Ports Occupational Safety and Health in Ports app-based training launched across the Arab World region with a virtual event in August. The app was well received by local unions and engagement work continues.

The app received a high level of international interest and plans are in place for an updated Spanish and Portuguese language version of the app to be launched in Latin America, and consideration of a further version to meet the needs of ports in Francophone Africa.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Strategic Area 2: Resource welfare organisations to provide port based services:

Seafarers’ access to shore leave and port-based services continued to be prevented or heavily restricted during 2021 by the control measures in place to prevent the pandemic, though welfare organisations continued to provide services ‘at the gangway’. With the end of the pandemic in sight but premises still unable to open, several organisations took the opportunity to repair or improve facilities while the buildings were out of use with grant funding from the Trust.

Having received positive feedback from our seafarer interviews about the impact of this programme on seafarers’ emotional wellbeing the previous year during a very difficult period, the Trust supported the ‘Seafarers delivering Christmas’ initiative once again with a grant to seafarers’ centres to purchase small gifts to deliver to vessels calling in their port during the holiday season.

The provision of internet access continued as a key strand of this work, supporting projects that provided seafarers with free access to internet in ports in various countries across the globe, through portable WiFi devices or local hotspots.

Strategic Area 3. Support initiatives around medical services for seafarers:

With the continued impact of Covid-19, the Trust’s support for medical initiatives was largely responding to the pandemic, covering access to vaccination, specific medical equipment such as oxygen concentrators and PPE.

Vaccinations

Essential for seafarers to sign on to new contracts or travel and embark, as well as preventing serious illness, access to Covid-19 vaccinations was a key area of work for port welfare providers and maritime unions in 2021. Grants from the Trust enabled unions to set up vaccination centres to provide official vaccinations to seafarers, funded port welfare organisations to transport seafarers to access free vaccinations when in port overseas and supported vaccine promotion programmes to increase take up of vaccines.

Strategic Area 4. Support changes in regulation and practice and improve capacity to effectively implement maritime regulation:

WMU (World Maritime University) & IMLI (International Maritime Law Institute) scholarships

Despite the continued difficulties with travel and work, WMU and IMLI continued to provide a full programme of education for their students despite the complexities imposed by the ongoing pandemic. ITFST WMU scholarship students hailed from Cameroon, Ghana, India, Philippines and Vietnam whilst IMLI graduates came from Cameroon, China, Liberia, Senegal and Somalia.

We heard in early 2022 from an alumnus in Kenya, who is now Advisor for Maritime Policy to the Kenya State Department for Shipping and Maritime of the ratification of the Work in Fishing Convention, Seafarers Information Document Convention and Amendments to the MLC 2006, an example of the positive impact for capacity building in relation to maritime regulation.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Strategic Area 5: Provide support for crews or individuals in emergency situations

During 2021 the ‘Seafarers’ Trust Emergency Fund’ made 31 grants supporting seafarers or their families from 15 countries with emergency grants of between £500-£5000 GBP. Funds are not available for beneficiaries to apply directly, applications are made by trusted contacts working with seafarers and their families. In excess of 180 beneficiaries were supported, however this does not factor in the support to seafarers’ families impacted by Hurricane Iota in Colombia and the Xpress Pearl environmental disaster in Sri Lanka.

Our general grants programme also provided support in the case of emergency situations. Typhoon Odette was a major disaster across a large part of the Philippines, and we were pleased to be able to assist the APSU union in the Philippines with a grant to support their Typhoon Odette emergency work in the Port of Cebu.

Strategic area 6: Educating the wider public about seafarers and their work

Following the success of the seafarers’ photography competition, ‘ Still at Sea ’ in 2020, we followed up with a further photography project - ‘ Out of Sight, Not Out of Mind ’ – designed to capture portraits by seafarers of seafarers. The 40 winning portraits featured in a limited-edition book, celebrating the Trust’s 40[th] Anniversary and showing seafarers how they see themselves to the wider world. ITF affiliated unions were invited to preorder hard copies to present to influential individuals in their national maritime communities on World Maritime Day. One thousand copies of the book were printed and distributed for presentation in more than 30 countries.

In December, images and stories from this project formed the basis for an exhibition in the International Maritime Organisation (IMO) during the IMO Assembly and Council – the meetings attended by the most senior political delegations to the IMO. The project enjoyed the support of the IMO Secretary General and was intended to keep the idea of the ‘human element’ of the industry visible in the minds of government officials. The project had the added benefit of directly connecting us with serving seafarers, giving us further insights into current concerns and giving them a boost in recognising their creativity and agency.

We also continued to work with a number of organisations in the maritime sector and in the media to share the images alongside articles and projects supporting and highlighting the importance and essential role of seafarers and the challenges they face.

Looking Ahead

As the world emerges from the pandemic, a significant area of interest will be supporting the return of seafarers’ access to shore leave and shore-based welfare services, whilst still maintaining a safe and healthy environment. We will be working with partners across the maritime and welfare sector, capitalising on the current sectoral dialogue on seafarers’ wellbeing and crew change issues.

Seafarers access to adequate internet and other communications will remain a top priority, promoting seafarers access to connectivity both in port and onboard.

Recruitment for the Project Manager role, deferred due to the pandemic, will commence in Spring 2022 allowing increased capacity to develop the streams of work in the strategic plan.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Financial Review

The Trust generally derives its income from two main sources. Firstly, it receives income by way of donation from the International Transport Workers’ Federation (ITF) and, secondly, it generates its own income from a portfolio of listed investments. A total of £1M in gift aid donations was received from the ITF in 2021 (2020: Nil). For the year ended 31 December 2021 total income amounted to £1,263,859 (2020: £490,986) excluding gains or losses on disposal of investments.

During the year 2021 total grant expenditure, net of funds returned and grants expired, was £5,046,259 (2020: £8,380,247). These grants are summarised in note 4. The net write back of expired grants and grant refunds received during 2021 totalled £70,716 (2020: £74,944). Support costs were £467,805 (2020: £487,390). Net losses before investment gains were £4,366,039 (2020: £8,657,902). Net investment gains of £6,692,955 (2020: £2,585,656) are included in the net movement in funds for the year, resulting in a gain of £2,326,916 (2020: £6,072,246 loss). The Trust’s total funds increased from £42,005,421 at 31 December 2020 to £ 44,332,337 as at 31 December 2021. The increase in the overall reserves can be attributed to strong investment performance in 2021. Total funds include the expendable endowment of £25,171,605 which can be made available to expend at the Trustees’ discretion.

Reserves Policy

The Trust’s policy with respect to its reserves is to maintain them at such a level that enables the organisation to fulfil its objects and ensure sustainability. In general, the Trust aims to expend its income to meet its medium to long term plans. This means that in some years expenditure will exceed income where suitable grant applications are received. This policy is continually reviewed by the Trustees, and when appropriate, can be changed and adapted to meet the objectives of the Trust. As at 31 December 2021, the total unrestricted reserves were £19,160,732 (2020: £20,575,477). Free reserves are calculated as unrestricted reserves less fixed assets and designated funds. Free reserves at 31 December 2021 were £19,022,361 (2020: £20,157,337).

Internal Control and Risk Management

The Trustees are responsible for the identification and mitigation of strategic and operational risk in the Trust. The Secretariat reviewed the Trust’s Risk Register during 2021 and the updated document was presented to and approved by the Board of Trustees at their meeting in December 2021. The Trust’s exposure to risk is under constant review and the register is updated on an annual basis.

In particular, the Trustees have reviewed the risks in response to the Covid-19 pandemic and its impact on the operations and finances of the Trust. This includes the potential impact on income and its ability to continue its charitable activities, i.e. grant-making. As noted within the Reserves Policy, it is expected that expenditure will exceed income in some years in line with the medium to long term plans of the Trust. The careful stewardship of finances and the regular review of the reserves policy by the Trustees, as well as a significant asset base in the form of investments, means there are sufficient reserves to meet expenditure requirements during the period.

The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Fundraising Activities:

The Trust does not currently undertake any fundraising activities. No fundraising activities were undertaken in 2021 by either Trust staff or Trustees, and no third-party commercial participators or professional fundraisers were employed.

Investment Powers, Policy and Performance

The Trust Deed provides the Trustees with the scope to invest capital which is surplus to immediate requirements without investment restriction. The capital is not permanently endowed and therefore the Trustees’ investment allocation policy reflects a balanced long-term growth oriented investment strategy, linked to Trust objectives and the budget. There is an Investment Sub Committee (ISC), which has responsibility for monitoring fund performance and ensuring that the investment allocation strategy reflects the Trustees’ objectives. Subsequent to the tendering process held in 2020 for investment advisors for the Trust, Sparrows Capital Investments commenced as the Trust’s new investment advisors on 01 March 2021.

The value of the Trust’s total investments increased from £44,829,807 as at 31 December 2020 to £46,436,264 as at 31 December 2021. All holdings are held within the index/passively managed Transact portfolio, in line with the recommendation of the Investment Sub-committee.

The Trustees reviewed and retained the existing Investment Policy which maintains a 70/30 Growth/Defensive strategy but tilted the global equity exposure towards Small, Value and Emerging markets and with a preference of moving towards ESG funds. A rebalancing exercise was completed in the second half of 2021. The strong performance of the portfolio, despite highly volatile market conditions, reflects the Trust’s diversified approach and strong global bias in the target allocations.

Staffing, communications and infrastructure

There were no changes in staffing in 2021.

Over the course of the year, the Trust continued efforts to ensure potential grantees were aware of the opportunities to apply for grants, through regular online coordination, meetings and “roadshows”. We also increased engagement with seafarers and the maritime welfare community to share stories and raise awareness of the particular challenges faced by seafarers during the pandemic. We redesigned and simplified the Trust website, the new version of which went live in early 2021.

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Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Charity law requires the Trustees to prepare financial statements for each financial year in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under charity law] the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period.

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate 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. 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.

Signed on behalf of the Trustees on 19/10/2022

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Signature: Print Name: Dave Heindel
Signature: Print Name: Brian Orrell
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The ITF Seafarers’ Trust: Trustees’ Report for the Year Ended 31 December 2021

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Independent Auditor’s Report to Trustees of the ITF Seafarers' Trust

Opinion on the financial statements

In our opinion, the financial statements:

We have audited the financial statements of The ITF Seafarers’ Trust (“the Charity”) for the year ended 31 December 2021 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and 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 Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

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 financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Independence

We remain independent of the Charity in accordance with the ethical requirements 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.

Conclusions related 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.

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

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Other information

The Trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report and Financial Statements, other than the financial statements and our auditor’s report thereon. 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion;

Responsibilities of Trustees

As explained more fully in the Statement of Trustees’ responsibilities, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the 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.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

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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.

Extent to which the audit was capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We completed the following procedures:

Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery,

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

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misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.

A further description of our responsibilities for the audit of the financial statements is located at the Financial Reporting Council’s (“FRC’s”) website at:

https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the Charity’s trustees, as a body, in accordance with the Charities Act 2011. 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 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 Charity and the Charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

BDO LLP, statutory auditor London, UK Date: 19 October 2022

BDO LLP is a limited liability partnership registered in England and Wales (with registered number OC305127).

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

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Statement of Financial Activities for the year ended 31 December 2021

Notes Expendable Designated General 2021 2020
Endowment Funds Funds Total funds Total funds
£ £ £ £ £
Income and endowments from:
Donations:
Gift aid donations - - 1,000,000 1,000,000 -
Other donations - - - - -
Investment Income:
Dividends and interest - - 263,709 263,709 489,313
Bank deposits and other interest - - 150 150 1,673
Total - - 1,263,859 1,263,859 490,986
Expenditure
Raising funds
Investment manager's fee - - 59,371 59,371 56,728
Net income available for charitable application - - 1,204,488 1,204,488 434,258
Charitable Activities:
Grants - Provision of assistance to seafarers 4 - - 5,046,259 5,046,259 8,380,247
Projects 5 - 25,397 31,066 56,463 224,523
Support costs 6 - 55,222 412,583 467,805 487,390
Total charitable expenditure - 80,619 5,489,908 5,570,527 9,092,160
Net (expenditure) before gains - (80,619) (4,285,420) (4,366,039) (8,657,902)
Net gains on investment assets 9 3,473,922 - 3,219,033 6,692,955 2,585,656
Net expenditure 3,473,922 (80,619) (1,066,387) 2,326,916 (6,072,246)
Transfer between funds 267,739 - (267,739) - -
Net movement in funds 3,741,661 (80,619) (1,334,126) 2,326,916 (6,072,246)
Funds brought forward at 1 January 21,429,944 202,058 20,373,419 42,005,421 48,077,667
Balance carried forward at 31 December 25,171,605 121,439 19,039,293 44,332,337 42,005,421

The notes on pages 19 to 29 form part of these financial statements

Continuing operations

All of the trust's activities were derived from continuing operations for the above two financial years.

The ITF Seafarers’ Trust: Statement of Cash Flows for the year ended 31 December 2021

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Balance Sheet at 31 December 2021

Balance Sheet at 31 December 2021
Notes
Fixed Assets
Tangible Fixed Assets
8
Investments
9
Current assets
Prepayments and Accrued Income
Cash held by brokers
Cash held on deposit
Money market deposits
Cash at bank
Creditors - amounts falling due within one year
Amounts owed to ITF
10
Accrued expenses and sundry creditors
Grant liabilities
Net Current (Liabilities) / Assets
Grant liabilities falling due after one year
Net Assets
FUNDS
Unrestricted Funds
Expendable Endowment
Total Funds		 31 December
31 December
2021
2020
£
£
16,932
14,024
16,932
14,024
46,436,264
44,829,807
46,436,264
44,829,807
5,600
14,481
141,466
321,368
21,838
51,101
1,068,898
846,270
86,615
86,662
1,324,417
1,319,882
28,466
49,148
18,329
124,787
3,165,052
2,192,069
(3,211,847)
(2,366,004)
(1,887,430)
(1,046,122)
(233,429)
(1,792,288)
44,332,337
42,005,421
19,160,732
20,575,477
25,171,605
21,429,944
44,332,337
42,005,421

The notes on pages 19 to 29 form part of these financial statements

Approved by the Trustees and authorised for issue on 19/10/2022

Signature: Print Name: Dave Heindel Signature: Print Name: Brian Orrell

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

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Statement of Cash Flows for the year ended 31 December 2021

Notes
Net (expenditure) / income for the reporting period (as per the
Statement of Financial Activities)
Adjustments for:
Depreciation charge
Dividends and interest from investments
Net (Gain) on investment assets
Increase in trade and other debtors
Increase in creditors falling due within one year
Increase / (Decrease) in long term grants payable after one year
Net cash used in operating activites
Cash flows from investing activities
Dividends and interest from investments
Purchase of tangible assets
Purchase of investments
Proceeds from sales of investments
Net cash provided by investing activities
Change in cash and cash equivalents
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
13		 31 December
31 December
2021
2020
£
£
2,326,916
(6,072,246)
13,940
5,435
(263,859)
(490,986)
(6,692,955)
(2,585,656)
8,881
(9,793)
845,843
1,062,990
(1,558,860)
1,792,288
(5,320,094)
(6,297,968)
263,859
490,986
(16,848)
(8,424)
(42,299,391)
(6,603,698)
47,385,890
8,240,213
5,333,510
2,119,077
13,416
(4,178,891)
1,305,401
5,484,292
1,318,817
1,305,401

The notes on pages 19 to 29 form part of these financial statements

Independent Auditor’s Report to the Trustees of ITF Seafarers' Trust for the year ended 31 December 2021

Page 18 of 29

Notes to the Financial Statements for the year ended 31 December 2021

1 ACCOUNTING POLICIES

a) Accounting Convention

The financial statements have been prepared under the historical cost convention as modified by the valuation of investments, and in accordance with the Charities Act 2011, 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) and applicable accounting standard FRS 102.

The charity constitutes a public benefit entity as defined by FRS 102.

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 Accounting and Reporting by 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 Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005, which has since been withdrawn.

The Trustees consider that there are no material uncertainties over the charity’s ability to continue as a going concern for the foreseeable future, being a period of at least 12 months from the date of signing the financial statements.

b) Income

Gift Aid donation income and dividend distribution is accounted for when the charity is entitled to the income, it is probable that the income will be received and the amount can be measured reliably.

c) Cost of Raising Funds

Costs of raising funds includes investment manager fees which are recognised on a payable basis.

d) Grant Expenditure

Grants are accounted for when a liability is created, including grant applications approved by the Trustees and notified to the relevant beneficiaries but not paid at the year end, and are apportioned between amounts due within one year and after more than one year based on the expected payment profile. Cancelled grants are credited to the Statement of Financial Activities when the cancellation has been notified and approved.

The ITF Seafarers’ Trust:

Page 19 of 29

Notes to the Financial Statements for the year ended 31 December 2021

e) Support Costs

Support Costs comprise salary, travel, governance costs and other general expenses including irrecoverable VAT. Costs are included on an accruals basis. Staff costs represent a share of the salary costs of staff of the ITF which are allocated in proportion to time spent on Trust administration in seeking, monitoring and approving grant payments.

The administration cost from the ITF comprises a charge for office, support and other costs to reflect the activity carried out by the ITF on behalf of the Trust.

Governance costs are included on an accruals basis and represent costs associated with constitutional and statutory requirements.

f) Investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using their closing quoted market price. Realised and unrealised gains and losses are shown in the statement of financial activities together as net gains on revaluation and disposals of investment assets. Investments held in the cash liquidity funds are classified within current assets.

The charity does not acquire put options, derivatives or other complex financial instruments.

The main form of financial risk faced by the charity is that of volatility in the investment markets due to wider economic conditions, the attitude of investors to investment risk and changes in sentiment concerning equities and within particular sectors of sub-sectors.

g) Debtors

Debtors are recognised initially at fair value. Subsequent to initial recognition they are measured at amortised cost using the effective interest method, less any impairment losses.

h) Cash and cash equivalents

Cash and cash equivalents consist of cash on hand and balances with banks, and investments in money market instruments which are readily convertible, being those with original maturities of three months or less.

i) Creditors

Creditors are recognised initially at fair value. Subsequent to initial recognition they are measured at amortised cost using the effective interest method.

j) Foreign Currency

Foreign currency transactions are translated at the rates ruling when they occur. Foreign currency assets and liabilities are translated into sterling at the rates of exchange ruling at the balance sheet date. Any differences are taken to the Statement of Financial Activities.

The ITF Seafarers’ Trust:

Page 20 of 29

Notes to the Financial Statements for the year ended 31 December 2021

k) Funds

The expendable endowment fund represents a donation of £12,700,000 received in 2003 from the International Transport Workers’ Federation (and subsequent investment gains and losses) and is expendable at the Trustees' discretion. Unrestricted funds are those which the Trustees are free to use for any purpose in furtherance of the charitable objects. Designated funds are unrestricted funds of the charity which the Trustees have decided at their discretion to set aside for a specific purpose.

l) Fixed Assets and Depreciation

All assets are included in the Financial Statements at cost. Additions totalling over £10,000 are capitalised. Computer systems are fully depreciated on a straight-line basis over three years.

m) Critical estimates and significant judgements

The preparation of the financial statements requires the Trustees to make estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the disclosure of contingent liabilities at the date of the financial statements. If in the future such estimates and assumptions, which are based on the Trustees' best judgement at the date of the financial statements, deviate from the actual circumstances, the original estimates and assumptions will be modified as appropriate in the year in which the circumstances change. The Trustees consider that there are no key sources of estimation uncertainty.

n) Financial Instruments

The trust only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are recognised at transaction value.

2 TAXATION

As a registered charity, the Trust is exempt from tax on assessable income applied within the objects of the Trust.

3 INCOME

Donations include income received under gift aid from the Seafarers’ International Assistance, Welfare and Protection Fund of The International Transport Workers Federation.

The ITF Seafarers’ Trust:

Page 21 of 29

Notes to the Financial Statements for the year ended 31 December 2021

4 CHARITABLE ACTIVITIES – GRANTS

Recipients of institutional grants :

Recipients of institutional grants:
£
ASSOCIATED PHILIPPINE SEAFARERS’ UNION 1,500,526
WORLD MARITIME UNIVERSITY 531,954
SEAFARERS RIGHTS INTERNATIONAL 490,848
FONDAZIONE C.I.R.M. 259,741
NATIONAL UNION OF SEAFARERS OF INDIA 189,588
MISSION TO SEAFARERS 166,841
IMO INTERNATIONAL MARITIME LAW INSTITUTE 149,820
IFOMS 87,623
TAS BULL SEAFARERS FOUNDATION 77,492
INTERNATIONAL CHRISTIAN MARITIME ASSOC 76,275
SNTT(COLUMBIA) 72,793
ROYAL BOMBAY SEAMEN'S SOCIETY 72,347
CANAVERAL PORT MINISTRY,INC 71,901
THE MISSION TO SEAFARERS 68,482
THE CHIRP CHARITABLE TRUST 60,000
ZEEMANHUIS EEMSHAVEN STICHTING KOOPVAARD 55,926
KIRIBATI ISLANDS OVERSEAS SEAFARERS UNIO 50,966
PUBLIC ORGANIZATION 'IZMAIL INTERNATIONAL SEAMEN’S CLUB' 50,000
NORTH AMERICAN MARITIME MINISTRY ASSOCIA 49,683
THE MISSIONARIES OF SAINT CHARLES SCALAB 48,304
UNIÓN DE TRABAJADORES DEL TRANSPORTE MARÍTIMO AÉREO TERRESTRE Y AFINES 47,803
INTERNATIONAL CHRISTIAN MARITIME ASSOCIATION 47,600
NOVOROSSIYSK INTERNATIONAL SEAFARER CENTRE 44,832
KESATUAN PELAUT INDONESIA 44,338
CARE ASHORE 40,000
LES AMIS DES MARINS 39,613
NORTH AMERICAN MARITIME MINISTRY ASSOCIATION 38,323
STELLA MARIS GENOVA 37,044
CHARLESTON PORT AND SEAFARERS’ SOCIETY 35,681
UNION DE TRABAJADORES DE MAR DE ECUADOR 34,708
TAMPA PORT MINISTRIES 34,375
SEAFARERS AND INTERNATIONAL HOUSE 33,448
FORWARD SEAMEN'S UNION OF INDIA 29,706
APOSTOLATUS MARIS SEAFARERS CENTRE INC. 29,134
INTERNATIONAL SEAFARERS CENTRE INC 29,122
ASSOCIAZIONE STELLA MARIS LIVORNO 25,978
FEDERATION NATIONALE DES TRANSPORT 22,506
UNION OF BEIRUT PORT EMPLOYEES & LEBANESE SEAMEN’S SYNDICATE 19,324
SEAFARERS UNION OF RUSSIA 19,108
SYNDICAT AUTONOME DES GENS DE MER DU SENEGAL/FT/UDTS 18,458
SEAFARERS HOUSE INC OPERATING ACCOUNT 16,922
DEUTSCHE SEEMANNSMISSION HAMBURG-ALTONA 16,295
FEDERAZIONE NAZIONALE STELLA MARIS 15,040

The ITF Seafarers’ Trust:

Page 22 of 29

Notes to the Financial Statements for the year ended 31 December 2021

4 CHARITABLE ACTIVITIES – GRANTS (continued)

DOCK WORKERS UNION - KENYA 14,866
NATIONAL COORDINATING COMMITTEE,ITF LIBERIA CHAPTER 14,741
KIRIBATI ISLANDS OVERSEAS SEAFARERS’ UNION 13,421
SEAMENS CHRISTIAN FRIEND SOCIETY 13,169
NATIONAL UNION OF SEAFARERS OF SRI LANKA 10,052
IRAQI NCC 8,105
UNION OF BEIRUT PORT EMPLOYEES & LEBANES 7,306
UNITED MINISTRY TO THE PORT OF GALVESTON 6,088
SEAMEN'S CHURCH INSTITUTE OF NEW YORK & NEW JERSEY 4,874
BANGLADESH NOUJAN SRAMIK FEDERATION 4,813
INTERNATIONAL ZEEMANS HOUSE 4,194
AMOSUP 2,737
MARINE OFFICERS UNION 1,842
SEAFARERS UNION OF KENYA 1,758
STELLA MARIS 884
Total
4,959,318
2021 2020
£ £
Operational support to seafarers welfare organisations 3,121,587 6,013,882
Raising awareness of seafarers rights - 37,114
Research into provision of welfare to seafarers 353,378 -
Training for those working with seafarers and their families 373,395 453,039
Vehicles 377,255 251,687
Covid-19 Welfare Fund 628,785 1,514,987
Other 104,918 75,000
Subtotal 4,959,318 8,345,709
Grants returned (10,815) (74,944)
Grants written back not needed (59,901) -
Net institutional grants awarded 4,888,602 8,270,765
Seafarers Trust Emergency Fund 157,657 109,482
Net grants awarded 5,046,259 8,380,247

The ITF Seafarers’ Trust: Notes to the Financial Statements for the year ended 31 December 2021

Page 23 of 29

5 PROJECTS

Consultants & researchers (projects)
External training
Research (feasibility)
Courier
Pod operational running costs		 2021
2020
£
£
28,995
162,283
4,856
9,685
5,583
442
17,029
18,852
-
33,261
56,463
224,523

6 SUPPORT COSTS

Staff costs
Professional advisors fees
Travel expenses
Website costs
Researchers & consultancy
Systems and IT costs
General expenses (inc. legal, publications and overheads)
Administration costs charged by ITF General Fund
Depreciation charges
Foreign exchange (gains) / losses
Bank charges and interest
Subtotal
Governance Costs:
Auditors remuneration
Trustee travel expenses		 2021
2020
£
£
307,807
323,814
23,118
1,410
11,131
50,033
9,618
9,960
57,683
28,500
12,882
14,110
89,253
39,199
80,000
79,992
13,940
5,435
(155,564)
(85,559)
4,327
7,369
454,195
474,263
13,610
13,000
-
127
467,805
487,390

Staff costs

Salaries
Social security
Pension contributions
Other staff costs		 2021
2020
£
£
233,070
228,302
17,425
26,679
53,712
49,371
3,600
19,462
307,807
323,814

The ITF Seafarers’ Trust: Notes to the Financial Statements for the year ended 31 December 2021

Page 24 of 29

6 SUPPORT COSTS (continued)

The International Transport Workers’ Federation (ITF) allocated a proportionate share of the cost of employing staff who worked directly on the Trust's activities in 2021. Staff costs equivalent to 4 full-time employees were charged to the Trust during the year (2020:4). One employee received total employee benefits, excluding pension contributions, in excess of £60,000, but less than 70,000 (2020:Nil). No employees received total employee benefits, excluding pension contributions, in excess of £70,000, but less than £80,000 (2020: 1). No employee received benefits, excluding pension contributions, in excess of £80,000 but less than £90,000 (2020:1) and one employee received total employee benefits, excluding pension contributions, in excess of £90,000 but less than £100,000 (2020: Nil).

The administration costs include administrative and accounting support provided by the ITF.

Significant gains were achieved on foreign exchange, £155,564 (2020: £85,559) as a result of a strong pound, which meant that a number of the Trust’s non-GBP commitments cost less than anticipated in GBP terms.

Key Management Personnel

Key management personnel are considered to be the Trustees and the Head of Trust. The Trustees receive no remuneration. The total employee benefits for the Head of Trust are £117,218 (2020: £102,304).

7 TRUSTEES

None of the Trustees received remuneration for their services as Trustees during the year. No Trustees were reimbursed for travel or hotel expenses during the year £Nil (2020: £127).

The ITF Seafarers’ Trust:

Page 25 of 29

Notes to the Financial Statements for the year ended 31 December 2021

8 TANGIBLE FIXED ASSETS

9 INVESTMENTS
Cost
1 January 2021
Additions
Disposals
31 December 2021
Depreciation
1 January 2021
Charge for the year
Disposals
31 December 2021
Net book value
1 January 2021
31 December 2021
Market value of investments held at 1 January 2021
Purchases
Sales proceeds
Gain on investment assets
Market value of investments held at 31 December 2021		 2021
2020
£
£
24,894
16,470
16,848
8,424
-
-
41,742
24,894
10,870
5,435
13,940
5,435
-
-
24,810
10,870
14,024
11,035
16,932
14,024
2021
2020
£
£
44,829,807
43,880,666
42,299,391
6,603,698
(47,385,890)
(8,240,213)
6,692,956
2,585,656
46,436,264
44,829,807

The analysis for the Investments at market value as at 31 December 2021 were:

10 AMOUNTS OWED TO ITF
Global Bonds
UK Listed equities
Foreign Listed equities
Amounts owed to ITF		 2021
2020
£
£
13,248,773
13,060,466
2,790,772
4,560,185
30,396,719
27,209,156
46,436,264
44,829,807
2021
2020
£
£
28,466
49,148
28,466
49,148

10 AMOUNTS OWED TO ITF

The ITF Seafarers’ Trust: Notes to the Financial Statements for the year ended 31 December 2021

Page 26 of 29

11 ANALYSIS OF NET ASSETS BETWEEN FUNDS

11 ANALYSIS OF NET ASSETS BETWEEN FUNDS
Fixed Assets
Investments
Net current assets
Grant liabilities falling due after one year
Total Net Assets as at 31 December 2021
Fixed Assets
Investments
Net current assets
Grant liabilities falling due after one year
Total Net Assets as at 31 December 2020		 Expendable
Designated
General
2021
Endowment
Funds
Funds
Total Funds
£
£
£
£
-
-
16,932
16,932
25,171,605
-
21,264,659
46,436,264
-
121,439
(2,008,868)
(1,887,429)
-
-
(233,429)
(233,429)
25,171,605
121,439
19,039,294
44,332,338
Expendable
Designated
General
2020
Endowment
Funds
Funds
Total Funds
£
£
£
£
-
-
14,024
14,024
21,429,944
-
23,399,863
44,829,807
-
202,058
(1,248,180)
(1,046,122)
-
-
(1,792,288)
(1,792,288)
21,429,944
202,058
20,373,419
42,005,421

The expendable endowment fund represents a donation of £12,700,000 received in 2003 from the International Transport Workers Federation (and subsequent investment gains and losses) and is expendable at the Trustees’ discretion.

12 ANALYSIS OF CHANGES IN NET DEBT

The charity had no debt during the year.

13 ANALYSIS OF CHANGES IN CASH DURING THE PERIOD

Cash at bank
Cash held by brokers
Cash held on deposit
Short term deposits		 31 December
Movement 31 December
2020
in Period
2021
£
£
£
86,662
(47)
86,615
321,368
(179,902)
141,466
51,101
(29,263)
21,838
846,270
222,628
1,068,898
1,305,401
13,416
1,318,817

The ITF Seafarers’ Trust:

Page 27 of 29

Notes to the Financial Statements for the year ended 31 December 2021

14 RELATED PARTY TRANSACTIONS

None of the Trustees have undertaken any transactions with the Trust during the year. Several Trustees hold positions with organisations which have been beneficiaries of grants in the current or earlier years, or hold positions within organisations which have had financial transactions with the Trust. In the interests of transparency, the amounts which were paid or were payable as at 31 December 2021, are set out below;

a) International Transport Workers’ Federation
Gift aid donation
Administrative support
2021
2020
b) Seafarers Rights International
Grants - Provision of assistance to seafarers
2021
2020
c) Hunterlink Recovery Services
Grants - Provision of assistance to seafarers
2021
2020
d) Seafarers and International House
Grants - Provision of assistance to seafarers
2021
2020
e) United Seamen’s Service
Grants - Provision of assistance to seafarers
2021
2020
f) National Union of Seafarers of India
Grants - Provision of assistance to seafarers
2021
2020
g) TAS Bull Seafarers Foundation
Grants - Provision of assistance to seafarers
2021
2020
h) World Maritime University
Grants - Provision of assistance to seafarers
2021
2020		 2021
2021
At 31 Dec
At 31 Dec
Income
Expenditure
2021
2021
Assets
Liabilities
£
£
£
£
1,000,000
-
-
-
-
80,000
-
28,466
1,000,000
80,000
-
28,466
-
79,992
-
49,148
-
490,848
-
-
-
490,848
-
-
-
494,292
-
-
-
-
-
-
-
-
-
-
-
148,785
-
-
-
33,448
-
-
-
33,448
-
-
-
16,759
-
-
-
-
-
-
-
-
-
-
-
33,972
-
-
-
189,588
-
-
-
189,588
-
-
-
50,943
-
-
-
77,492
-
-
-
77,492
-
-
-
77,032
-
37,500
-
531,954
-
206,813
-
531,954
-
206,813
-
246,100
-
17,463

The ITF Seafarers’ Trust:

Page 28 of 29

Notes to the Financial Statements for the year ended 31 December 2021

14 RELATED PARTY TRANSACTIONS (continued)

Padraig Crumlin (President) Stephen Cotton (General Secretary) Dave Heindel (Chair of the ITF Seafarers’ Section) Jacqueline Smith (Maritime Co-ordinator) Abdulgani Y. Serang (EB Member)

b) Seafarers Rights International

Brian Orrell (Member of Advisory Board) Dave Heindel (Member of Advisory Board) Stephen Cotton (Member of Advisory Board)

c) Hunterlink Recovery Services

Padraig Crumlin (Chair)

d) Seafarers and International House

Dave Heindel (Member of Advisory Board)

e) United Seamen’s Service

Stephen Cotton (Honorary Vice President) Dave Heindel (Director)

f) National Union of Seafarers of India

Abdulgani Y. Serang (General Secretary)

g) TAS Bull Seafarers Foundation

Padraig Crumlin (Director)

h) World Maritime University

Jacqueline Smith (EB Member)

The ITF Seafarers’ Trust: Notes to the Financial Statements for the year ended 31 December 2021

Page 29 of 29