2023-04-05-accounts

HORNE FOUNDATION

REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 5 APRIL 2023

REGISTERED CHARITY NUMBER 283751

HORNE FOUNDATION CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 5 April 2023

Contents

Trustees' report	1 to 2
Statement of trustees' responsibilities in respect of the Trustees' Report and the financial statements	3
Independent examiner's report	4
Statement of financial activities	5
Balance sheet	6
Notes to the financial statements	7 to 10

Registered number 283751

HORNE FOUNDATION COMPANY INFORMATION 5 April 2023

Trustees

Secretary Principal office of charity

Bankers

Independent Examiner

Investment Managers

E J Davenport R M Harwood J Harwood (appointed 3 November 2023)

R M Harwood PO Box 6165 Newbury RG14 9FY National Westminster Bank Plc 41 The Drapery Northampton NN1 2EY Debra Knighton FCCA Spencer Gardner Dickins Limited 3 Coventry Innovation Village Cheetah Road Coventry CV1 2TL Rathbones Port of Liverpool Building Pier Head Liverpool L3 1NW

HORNE FOUNDATION REPORT OF THE TRUSTEES for the year ended 5 April 2023

Trustees report

The trustees present their annual report and financial statements of the charity for the year ended 5 April 2023. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's trust deed, the Charities Act 2011 and Accounting and the Charities Statement of Recommended Practice (second edition) and Financial Reporting Standard FRS102.

STRUCTURE, GOVERNANCE AND MANAGEMENT Constitution

The foundation was established and is governed by a Trust Deed dated 23 October 1981. All of the trustees, who are shown on the previous page, served throughout the year. The foundation is a registered charity and has confirmed its charitable status with the Inland Revenue.

The power to appoint new trustees rests with the existing trustees.

Organisation structure

The trustees meet at three monthly intervals to agree donations and to monitor finances. Day to day administration is performed on an occasional basis from the trustees home.

Related Parties

Details of transactions between trustees and the charity are given in note 9 of the financial statements.

Risk review

The trustees have considered the major risks to which the charity is exposed, and procedures have been established to mitigate those risks.

OBJECTIVES AND ACTIVITIES Objects of the charity

The objects of the charity are the advancement of education and other such charitable purposes as the trustees may determine. The trustees confirm that they have referred to the Charity Commission's guidance on public benefit when reviewing the Trust's aims and objectives, in planning future activities, and setting the grant making policy for the year.

It continues to be the intention of the trustees to transfer the investments held by the organisation to a charity, or group of charities, where they would be better used to fulfil the objects of the charity.

Grant making policy

The policy of the trustees is to make substantial grants towards major educational projects that involve new buildings, once every few years. In addition, there are regular smaller donations to local projects in the Northampton and Oxfordshire area, and student bursaries for higher education through Northampton schools. One off donations to National Charities are also made when the trustees deem appropriate.

The trustees are aware that in recent years National Charities have been the main beneficiaries of the charity. However, it is their intention to transfer the investments held to a charity, or group of charities, that share The Horne Foundation's charitable objectives so that they can be better utilised.

ACHIEVEMENTS AND PERFORMANCE

Investment policy

It is the policy of the trustees to invest a substantial part of the charity's funds in a wide range of shares listed on the London and overseas stock exchanges, including fixed rate securities and equities.

Unrealised and realised gains on investments during the year represent 5% of the value of investments at the beginning of the year.

FINANCIAL REVIEW

Reserves policy

The policy is to normally distribute an amount approximately equal to the investment income received. This is not strictly adhered to since large donations towards building projects are not regularly spaced.

Financial

The financial progress of the foundation is disclosed in the financial statements. Details of the grants made are disclosed in note 4. Total investments at 5 April 2023 were £1,298,794 (2022 - £7,628,963) which resulted in a decrease of £6,330,169.

The net assets of the fund, at 5 April 2023, are £ 1,298,477 (2022: £7,642,719).

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HORNE FOUNDATION

REPORT OF THE TRUSTEES for the year ended 5 April 2023

Trustees report - continued

PLANS FOR FUTURE PERIODS

The plan for the future is to still close down the Foundation during the next financial year. The portfolio of investments handled by Rathbones Investments has been converted to cash to facilitate the donations. There now remains a balance of £1,298,000 held by rathbones and the Trustees plan to donate most of this during the next six months.

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INDEPENDE￿ EXAMINER'S REPORTTO THE TRUSTEES OF HORNE FOUNDATION Independent examlt)er's reportto the trustee5 of the Plome Foundation I report to the tharity trustees on my examinatitrn of the accounts of the Charityforthe ye8r ended 5 April 2023. Responsibilities and basss of rep As the charity's trustee5 of the Companv, vou are responsible for the preparation of the accounts In accordan￿ with the requirement5 of the Charltles Acr 20111.the A￿1. I report In respett of my examination of your char￿$ accounts ès carried out under section 145 of the Charities Act 20111-the 2011 kfl. In carrying out my exarnlr￿tIo￿, I hove followed the Directions given bythe Charity Commission lunder section IdSISllbl of the 2011 Act. Independent examlt)eY's #atemettt I have completed my examSnation. I confirm that no material rnatte￿ have come to my atten¥on which gives me cause to believe that.. • accounting records were not kept in actordance with section 130 of the Act.. or the accounts did not accord with such records.. or 4 the 8ccount5 did rot comply with the applicable requirernents concernin8 the fomi and content OF accounts set out in the U)arities (Accounts and Report51 Regulations 2008 other than any requirement that the accounts give a true and fair, view which ts not a matter considered as Part of an independent examlnatlon. I have no concerns and have come across rKI other m3tters in connectlon wlth the examSnatlon to which attention should be drawn in this report in order to enable a proper understanding of the accounts tD be reached. F[(4 Oebra KnSghton FCCA SpencerGardner Dickins Limited 3 Coventry Innovation Village Cheetah Road Coventry CVI 2TL Dated. 3) lo i /zoZ} .

HORNE FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES

for the year ended 5 April 2023

Note Income from charitable activities Investment income 2 Total income Expenditure on charitable activities Cost of generating funds 3 Charitable expenditure Grants and donations 4 Governance costs 5 Total expenditure Net (expenditure)/income before investment gains Net gains/(losses) on investments Realised Unrealised Net movement in funds Balance brought forward at 6 April 2022 Balance carried forward at 5 April 2023	Unrestricted funds Unrestricted funds 2023 2022 £ £ 47,175 111,236
	47,175 111,236
	14,662 32,416 6,823,285 20,000 4,926 5,717
	6,842,873 58,133
	(6,795,698) 53,103 1,104,741 1,301,532 (653,285) (1,963,932)
	(6,344,242) (609,297) 7,642,719 8,252,016
	1,298,477 7,642,719

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HORNE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS for the year ended 5 April 2023

1 Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to the accounts. The financial statements have been prepared in accordance with the second edition of the Charities Statement of Recommended Practice issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) and the Charities Act 2011. The trust constitutes a public benefit entity as defined by FRS102.

The financial statements are prepared in sterling which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The principal accounting policies adopted in the preparation of the financial statements are set out below and have remained unchanged from the previous year.

Going Concern

The financial statements are prepared on a going concern basis as the trustees are of the opinion that sufficient funds are available to enable the charity to continue operating.

Income

Dividends are accounted for on a receivable basis. Interest is accounted for on an accruals basis.

Expenditure

Expenditure is classified under type of expense, and accounted for on an accruals basis. Grants payable are charged in the year when the offer is conveyed to the recipient, except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled.

Costs of generating funds comprise investment management fees. Governance costs comprise costs for the running of the charity, itself, as an organisation.

Investments

Investments are initially recognised at their transaction value and subsequently measured at their market value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

Funds

The unrestricted general funds represent 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 specific purposes.

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HORNE FOUNDATION

NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

for the year ended 5 April 2023

Realised gains and losses

All gains and losses are taken to the statement of financial activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their purchase value. Unrealised gains and losses are calculated as the difference between fair value at the year end and their carrying value.

2 Investment income

Investment income
Dividend income received Interest received Interest from fixed rate investments Other investment revenue Cost of generating funds Investment management fees	2023 £ 8,922 2,211 36,042 - 47,175 2022 £ 14,662	2022 £ 82,442 4,959 23,835 -
		111,236
		2022 £ 32,416

3 Cost of generating funds

4 Grants and donations

Donations

	2023				2022
	£	£		£		£
			-				-
MiSST Music in Secondary Schools	5,000,000				-
Norbert Robbins, Music Therapy	1,000,000				-
Walgrave Primary, Music Room	27,000				-
Northampton Community Foundation	100,000				-
Crisis at Christmas	20,000				-
Ackland Burghly School	225,000				-
LEA School	20,000				-
St Joseph's School	35,000				-
Headlands Primary	50,000				-
National Youth Orchestra	200,000				-
Other donations	146,285

6,823,285 -

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HORNE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

for the year ended 5 April 2023

Grants - continued

Grants - continued
0 grants to national appeals (2022:2) as follows: Crisis UK St Martins Housing Trust Grants to local appeals - nil (2022:0): Grants to individual students - nil (2022:0)	- - - -	- 6,823,285	10,000 10,000 - -	20,000
				20,000

The normal policy of the trustees is to make substantial grants towards major educational projects once every few years. In addition, there are regular smaller donations to local projects in the Northampton and Oxfordshire area when the trustees deem appropriate.

5 Governance costs

Governance costs
Administration charge Accountancy fees Interest payable Legal & professional fees Other costs	2023 £ 418 3,450 - 1,020 38 4,926	2022 £ 887 3,576 1,191 - 63
		5,717

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HORNE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS - CONTINUED

for the year ended 5 April 2023

6 Investments Market value at beginning of year Acquisitions at cost Disposal at opening book value (Loss)/Profit on revaluation at end of year Cash awaiting investment Market value at end of year At market value: United Kingdom Overseas Bank and short term deposits	2023 £ 3,107,680 - (3,559,136) 451,456 - 1,298,794 1,298,794 Listed Other £ £ - - - - - 1,298,794 - 1,298,794 2023	2023 £ 3,107,680 - (3,559,136) 451,456	2022 £ 8,143,266 790,560 (5,163,745) (662,401) 3,107,680 4,521,283 7,628,963 Listed Other £ £ 2,389,096 - 718,584 - - 4,521,283 3,107,680 4,521,283 2022	2022 £ 8,143,266 790,560 (5,163,745) (662,401)
		- 1,298,794		3,107,680 4,521,283
		1,298,794		7,628,963
		1,298,794		4,521,283

The historical cost of the investment portfolio was £1,298,794 (2022: £6,975,675).

7 Prepayments and accrued income

7 Prepayments and accrued income
Investment income receivable 8 Liabilities: Amounts falling due within one year Accruals	2023 £ 959 2023 £ 3,750	2022 £ 3,610
		2022 £ 3,600

9 Related parties

No trustees were paid salary for 2023 and 2022. There were £nil of trustees expenses paid during the year (2022 - £500). The average number of employees during the year was 0 (2022 - 0).

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