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2023-03-31-accounts

THE GOLF FOUNDATION

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

Company number: 00519615 Charity number: 285917 Scottish charity number: SC049780

THE GOLF FOUNDATION

ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

CONTENTS

CHAIRMAN’S STATEMENT
REPORT OF THE BOARD OF TRUSTEES
REPORT OF THE INDEPENDENT AUDITORS
ACCOUNTING POLICIES
CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES
CONSOLIDATED AND CHARITY BALANCE SHEETS
CONSOLIDATED CASH FLOW STATEMENT
NOTES TO THE FINANCIAL STATEMENTS		 PAGES
2-3
4-14
15-17
18-20
21
22
23
24-38

CHAIRMAN’S STATEMENT FOR THE YEAR ENDED 31 MARCH 2023

THE GOLF FOUNDATION

As I enter my final year as Chairman of the Golf Foundation, it is my pleasure to see the organisation continue to deliver its mission of introducing young people to golf, from all backgrounds, creating golfers. Proof of our impact as a charity can be seen by clicking on the link to our annual Impact Report below, which also demonstrates the huge progress the organisation has made in embracing digital transformation:

Impact Report

The number of young people with a golf club in their hand for the first time grew to 220,000, (19% from an ethnically diverse background) and at golf clubs and facilities we helped to generate 10,600 new regular golfers (24% girls). Thanks to the continued backing of The R&A, our flagship initiative GolfSixes League grew to 93 leagues and 542 clubs across the 4 Home Nations and is now being expanded to 16 countries across Europe. To have a Golf Foundation initiative being delivered across GB&I and internationally is a first for the charity.

During the year, we were also delighted to announce Professional Golfer and Sky Sports Presenter, Nick Dougherty, as our new President. Nick has made an immediate impact, attending 2 Board meetings, giving of his time freely and inspiring the charity to set its ambitions on reaching every school in GB&I with a new online programme whilst also putting our groundbreaking mental toughness programme at its heart. We are hugely excited by this unique opportunity given to the Golf Foundation and look forward to launching the Unleash Your Drive programme in September at the BMW PGA Championship with the support of Nick Dougherty, the DP World Tour and strategic partner, England Golf.

Good progress has been made over the past 12 months in developing and testing the mental toughness resources with whole year groups now delivering the programme and some heartwarming stories being shared about its life changing impact on individuals. We continue to demonstrate an average 17% increase in overall mental toughness of each child across school and club projects.

We are recognised as an organisation that not only helps to create lifelong golfers in golf clubs but is also at the forefront of the sport reaching new audiences from diverse communities and helping young people develop their resilience and mental wellbeing. This gives me enormous pride as Chairman.

From a financial perspective, I am pleased by the tightly managed set of accounts as we continue to roll out our digital content and grow our development programmes. My congratulations to the Senior Management Team and staff for embracing change and adopting and applying the new work practices.

I would like to express my sincere gratitude to our core funders – The R&A, HSBC, Ryder Cup, PGA and Sport England – for their continued support and funding over the past 12 months and their flexibility in extending their belief in the Golf Foundation over the 2022/23 operational year. While we remain heavily reliant upon these core funders, we have a clear fundraising strategy to appeal to new sponsors and donors.

However, we cannot be complacent as HSBC has confirmed that it will not be extending its funding after December 2023. We are extremely grateful to our main sponsorship partner

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who have helped us reach over 5 million young people in the 12-year association. Priority for the 2023/24 financial year will be to attract new corporate sponsors through a vigorous recruitment strategy.

It has been a pleasure to serve as Chairman of this special charity with such a wonderful heritage and to help it grow as an organisation with the support of so many loyal partners.

Finally, I would like to thank my fellow Trustees who have made significant contributions of their time and expertise throughout the year.

STEPHEN LEWIS Chairman 21 July 2023

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THE GOLF FOUNDATION

REPORT OF THE BOARD OF TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023

The Board of Trustees of The Golf Foundation submit their seventieth Annual Report, together with the Consolidated Financial Statements of the charity and its subsidiary, Golf Foundation Enterprises Limited, for the year ended 31 March 2023.

OBJECTIVES OF THE FOUNDATION

Mission

Introducing young people to golf – from all backgrounds – creating golfers.

Aims

We help young people to ‘Start and Stay’ in golf. We take adapted versions of the game to schools and community groups, introduce young people to golf clubs, teach playing and transferable life skills and keep young people playing in golf clubs.

Participation Targets and their Measurement

With its 5-year business plan, The Golf Foundation has set itself the following ambitions to be achieved by March 2026:

The Golf Foundation seeks to further its aims as set out in its Memorandum of Association by pursuing the following objectives:

Each of the above objectives (a) to (e) primarily relate to expenditure reported in the “Grants Made” section of Note 2.2 to the Financial Statements.

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Each of the above objectives (f) to (i) primarily relate to expenditure reported in the “Operations” section of Note 2.2 to the Financial Statements.

This objective relates to expenditure reported in the “Staff and Support” section of Note 2.2 to the Financial Statements.

This activity relates to expenditure reported in Note 2.3 to the Financial Statements.

The Golf Foundation additionally engages in fund-raising operations in order to provide the income to fund the above operations and thereby to further its charitable objectives and deliver public benefit.

PUBLIC BENEFIT

The Trustees are aware of and are in compliance with their duty under the Charities Act 2011 to have due regard to the guidance available from the Charity Commission on public benefit when reviewing the Foundation’s aims and objectives and in planning future operations. In particular, the Trustees consider how planned operations will contribute to the aims and objectives which they have set.

The Charities Act sets out a number of descriptions of charitable purposes, and the Trustees consider that the following three are most relevant to the aims, objectives and operations of The Golf Foundation:

The Golf Foundation’s stated objectives of grant provision to PGA Coaches working in schools, teacher and young volunteer training, support for School Games and the roll out of community projects show it to be actively engaged in providing financial, logistic and advisory support to the education sector.

The grants made by The Golf Foundation show it to be actively engaged in promoting local golf development projects which widen golfing opportunity at a community level. It does this primarily by ensuring that its work in the education sector is not being pursued in isolation but rather in effective partnership with golf clubs and facilities and relevant arms of the public sector, such as local authorities, StreetGames doorstep clubs, Sporting Equals community groups, Sport England satellite clubs and law enforcement agencies.

The Foundation believes that the sport of golf has certain inherent core values and that involvement in the sport can provide young people with enhanced life skills as well as improved sporting abilities. The Foundation reflects this in the concept of “Skills for Life” which is built into the design of all its resources and activities. The Trustees consider that these aims, objectives and operations provide public benefit in that they develop communities by increasing the breadth and quality of sporting opportunity and advance citizenship through the promotion of “Skills for Life” to the young people within those communities.

The partnership working with other core organisations in golf across England, Scotland, Wales and Ireland plus the promotion of competitive opportunities through the School Games show it to be actively engaged in advancing the sport of golf. It does this by contributing to effective collaborations with other golfing organisations, and through those collaborations delivering financial, logistic and advisory support to facilitate the provision of golf tuition to young people. The young people involved thereby not only receive an enhanced educational experience, and the

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chance to acquire valuable life skills, but are also provided with an opportunity to take up long-term participation in the sport, and in some cases, to develop performance abilities at an elite level.

The Trustees believe that these aims, objectives and operations provide public benefit in that they promote wider participation and a player pathway (Start and Stay) which contribute to the advancement of the sport.

Objectives around safeguarding, equality and operating a regional development workforce are pursued in support of the above charitable purposes.

FINANCIAL REVIEW

The results for the year are set out in the Consolidated Statement of Financial Activities on page 21.

Total income for the year was £1,574,966. This was 10.7% more than the £1,422,593 achieved in 2021/22. The increase in income was primarily due to charitable activities returning back to normal after Covid and a legacy of £50k from the Greg and Rosie Charitable Trust. The Trustees would like to thank all of the donors of The Golf Foundation for their continued support.

Total expenditure for the year was £1,617,217 compared to £1,472,111 in 2021/22. This increase in costs arose from renewed full scale activities, programme, coaching and development opportunities available throughout the year following COVID-19 and the national lock downs from two years ago. The deficit for 2022/23 was £42,251 (2021/22 Deficit: £49,518) which was slightly down on the planned forecast deficit due to some budgeted income streams not materialising – namely trusts and foundations.

The deficit is stated before revaluation of investment assets and losses on investments. In 2022/23 the deficit on investments totalled £248,167 (2021/22 – surplus of £111,196). These unrealised losses were unexpected for the financial period and a direct result of the Ukraine conflict. The Golf Foundation is planning on utilising up to £100k of restricted Scottish fund investment assets in 2023/24 towards an approved Scottish Golf program.

Total investment funds under management decreased by £133,821. In addition to the revaluation deficit of £248,167, £123,595 of dividend income, less £9,249 management fees, was retained within the investment portfolios.

During the year, The Golf Foundation has contributed £1,394,089 (2021/22 - £1,275,314) to its charitable aims (see note 2.6 of the Financial Statements).

RESULTS OF OPERATIONS

The Golf Foundation has addressed its objectives through its operations as follows:

This national initiative coordinated by the Youth Sport Trust and promoting more competition in state schools has traditionally been important for the Golf Foundation in reaching over 3,500 schools in England.

2,736 schools took part in golf activity and 29,019 pupils took part in a formal competition (50% girls, 15% disability, 28% ethnically diverse community).

176 schools tested our new 5-week coaching programme, delivered by a PGA professional.

b) Club and Support

369 clubs were registered as HSBC Golf Roots Centres in England and Wales – 181 intensively supported by the team of RDOs and 188 clubs via digital support.

£58,762 was spent in 2022/23 on grants to golf clubs in England and Wales under HSBC Golf Roots, compared to £24,063 in 2021/22.

The GolfSixes League initiative grew to 93 leagues, 542 golf clubs and 6,992 participants across the 4 Home Nations.

£81,606 was spent on GolfSixes League during the financial year (£79,511 in 2021/22).

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c) National Partnerships

The Golf Foundation supports the aims of each Home Nation’s junior strategy by working closely with each respective Home Nation.

In Scotland, The Golf Foundation supports the national junior framework coordinated by Scottish Golf. The Golf Foundation funded the Children’s Golf Trust and Stephen Gallagher Foundation for the second year to support coaching in 40 primary schools with links back to local golf clubs. In 2022/23 this was £16,000 compared to £15,900 in 2021/22 contributed to Scottish Golf.

The Golf Foundation is an integral part of the Wales Golf Development Group and part funded 3 development officers and 2 community officers in Wales. In 2022/23, the Golf Foundation contributed £25,000 towards officer posts in Wales and £8,683 towards HSBC Golf Roots Centres and HSBC Golf Roots Plus projects compared to 2021/22 when the Golf Foundation contributed £24,000 towards officer posts in Wales and £5,075 towards HSBC Golf Roots Centres and HSBC Golf Roots Plus projects.

In England, the Golf Foundation helped to launch a new junior strategy in partnership with England Golf.

d) Skills Progression Schemes

Expenditure on the Junior Golf Passport (“JGP”) in 2022/23 was £6,379 compared to £1,361 in 2021/22.

Income for the Junior Golf Passport was £5,257 in 2022/23 compared to £7,827 in 2021/22.

46 clubs were registered on the scheme by March 2023 compared to 67 clubs in March 2022.

e) Safeguarding Children

Child protection and ensuring a positive experience for all juniors in golf clubs is a major focus for the charity.

The Golf Foundation works closely with the case management groups of both the PGA and England Golf to ensure that any disclosures are reported to the appropriate governing body. In addition, all HSBC Golf Roots centres have a SafeGolf coach, up to date safeguarding policy and a trained Club welfare officer.

f) Equality, Diversity and Inclusion

The Golf Foundation believes in introducing young people to golf from all backgrounds and does this via the following activities:

h)

Development Officers

The Golf Foundation maintained 9 RDOs with including a part-time Special Projects Officer role. In the prior year, RDO numbers maintained were 8 and the additional part-time Special Projects Officer.

Andy Leigh continued his secondment role to project manage the life skills programme, Unleash your Drive, and the school’s programme.

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The total for staff and support costs for the Development Officer network in the year was £504,113 (2021/22 – £456,697).

i) Promotions and Publicity

In October 2022, the Golf Foundation celebrated its 70[th] anniversary with a golf day for key partners and awards ceremony for outstanding contributions to the charity’s objectives. We also announced Sky Sports Presenter Nick Dougherty as President.

We enjoyed being part of The R&A’s celebrations by running the SwingZone stand at The 150[th] Open celebrations in St Andrews.

We also welcomed school groups to a stand at the BMW PGA Championship kindly provided by the DP World Tour.

Digital transformation project

Reaching all parts of the organisation, the Golf Foundation is now using a new CRM system (Monday.com) to assist with automations, impact measurement and project management. In addition, it has moved some of its resource content online using the learning platform Thinkific. It is using CANVA to produce its presentations and will be launching a new website using Redder.

FUNDRAISING

For April 2022 to March 2023, the Golf Foundation’s staff carried out all of its fundraising activities and the charity employed an external bid writer to help approach Trusts and as such recognises the requirement to agree appropriate standards of performance as well as the implementation of appropriate monitoring approaches to protect donors and from poor practices.

The Golf Foundation is registered with both English and Scottish Fundraising regulators. No complaints about fundraising activities were received in 2022/23.

The Golf Foundation drew its funding from six sources:

a) Core Funders; b) Donations; c) Appeals and Events; d) Charitable Trading; e) Grants; and f) Investment income.

a) Core Funders

In 2022/23, the Golf Foundation received generous support from core funders, principally The R&A, HSBC, Ryder Cup Ltd, Sport England and the Professional Golfers’ Association.

The R & A contributed £677,736 over the year compared to £616,427 in 2021/22.

HSBC contributed £210,000 to The Golf Foundation over the year (2021/22: £230,000). A portion of this income is budgeted for activities in the 2023/24 reporting period. In addition, a further £52,500 of sponsorship from HSBC has been recorded as deferred income and is also budgeted for activities in 2023/24.

The PGA contributed a total of £40,640 in the year compared to £46,000 in 2021/22.

The Ryder Cup contributed £100,000 in the period as well as £100,000 in 2021/22.

Sport England funding is shown below under e) Grants Receivable.

The Trustees wish to record their great appreciation for the support and commitment of all these funders.

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b)

Other Donations and Gifts

Donations from sources other than the core funders totalled £154,931 in 2022/23 (2021/22 – £60,548). Excluding donations which have been allocated to specific Designated or Restricted projects, the total of unrestricted other donations and gifts was £133,931. There was a £50,000 legacy receipt in the year from the Greg and Rosie Lock Charitable Foundation Trust (2021/22 - £Nil).

c)

Appeals and Events

The Golf Foundation operates several well-established fund raising activities through the year. These include:

The total amount raised from these and other activities in 2022/23 was £61,172. This represents an increase from 2021/22 when the equivalent total was £54,374.

d) Charitable Trading

Income sources under this heading include:

The total income from these sources in the year was £48,824. In 2021/22 the total was £37,136.

e)

Grants Receivable

In 2022/23 the figure for Grants Receivable was £157,000. In 2021/22, the total was £159,500.

In 2022/23, The Golf Foundation received £157,000 from Sport England via England Golf (2021/22: £157,000). The amount of the grant is in line with the four-year funding awarded in the current funding cycle. The grant will remain at £157,000 for 2023/24.

Other grants of £Nil were received in 2022/23 (2021/22 - £2,500).

f)

Investment Income

Investment income totalled £124,663 in 2022/23 (2021/22 - £114,445). In 2022/23, £114,346 was reinvested in the investment portfolio (2021/22 – £105,139).

g)

Golf Foundation Enterprises Limited

Income generating activities from which The Golf Foundation benefits and determined to be trading activities are conducted through its wholly owned subsidiary company, Golf Foundation Enterprises Limited (company number 03347443). These financial statements, therefore, continue to be, presented in a consolidated format. The trading subsidiary also continues to prepare its own publicly available unconsolidated financial statements.

Only certain specific trading activities are affected, and the subsidiary is not engaged in trading on a day-today basis. The activities operated through the trading subsidiary are those in the nature of commercial sponsorship - which forms part (£70,000) of the income detailed under Note 1.1 to the Consolidated Financial Statements; and royalty income - which forms part (£20,833) of the income detailed under Note 1.4 to the Consolidated Financial Statements. Expenditure associated with these income generating activities includes

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an allocation of support costs from the Charity (£98,021) which form part of the expenditure detailed under Note 2.2 to the Consolidated Financial Statements; and audit costs, which form part of the expenditure detailed under Note 2.5 to the Consolidated Financial Statements. A profit of £8,300 was made all of which was gift aided to The Golf Foundation.

CONSTITUTION AND GOVERNANCE

President

Nick Dougherty.

Board of Trustees

Stephen Lewis* is the Chairman of the Board of Trustees.

The Golf Foundation Trustees to 31[st] March 2023 are:

D Jhamat S Atwal K Wild J Brigden K Barker A Watkins N Bragg S Stewart (resigned 30th April 2023) R Maxfield J Tomlinson M Day (appointed 30th April 2023) F Merrylees (appointed 30th April 2023)

Within the framework of the Memorandum and Articles of Association “the affairs of the Foundation shall be governed by the Board of Trustees” and the Board are empowered to make appointments of new Trustees, subject to ratification at the next Annual General Meeting.

The Board usually meets on at least five occasions each year. The Board has also delegated part of its authority to a Finance Committee which comprises the Chairman, three additional Members of the Board, along with the Chief Executive and the Finance Manager. Neither the Chief Executive nor the Finance Manager is a Member of the Board.

The Board is comprised of a maximum of 12 individuals, and there are currently 11 Trustees including the Chairman. Three Trustees have a connection to other golfing organisations; the rest, who should always form the majority, are independent. New Trustees are generally appointed as a result of recommendations made by existing Trustees. On appointment, they are provided with a pack of reference materials which includes the Memorandum and Articles of Association and a copy of Charity Commission leaflet CC3. An induction is provided by the Senior Management Team.

Board Members’ Remuneration

No Member of the Board drew any remuneration in the year to 31 March 2023.

Vice Presidents

The following individuals have been appointed as Vice Presidents in recognition of their service to The Golf Foundation, their playing achievements, or their contribution to the development of golf:

Sir Michael Bonallack OBE Mrs C.I.Matthew MBE C.S. Montgomerie OBE Ms A.Nicholas MBE Dame Laura Davies CBE K.D Schofield CBE Sir Nick Faldo MBE I.D.Peacock OBE B.Gallacher OBE D.J. Willett C. Harrison Ms K.Stupples Ms Georgia Hall W.J.Uzielli A.Jacklin CBE A.R.Wheeler P.S.Lawrie MBE A.W.B.Lyle MBE

All Vice Presidents are also ex officio Members of The Golf Foundation.

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Members

The following individuals are Members of The Golf Foundation:

D.Turner FCA J.Vickers P.Ball T.Morrison E.Bullock Dr A.White OBE Ms J.Carter M. Round P.D.German J.Shepley

The following organisations are also Members of The Golf Foundation:

England Golf The R & A Scottish Golf DP World Tour Wales Golf Professional Golfers’ Association Ladies’ European Tour British Golf Industry Association

Honorary Members

The status of Honorary Member is intended to recognise a valued service or contribution to The Golf Foundation, but does not carry any formal role in the governance of the Foundation. Several individuals who were formerly full Members of the Foundation have opted to assume the status of Honorary Members:

T.Adams I.E.R Dickson Mrs M.Horsburgh N.A.C.Moore N.Winton Mrs D.Brown Mrs S.Fox D.Houlihan A.Morgan Mrs D.Rothschild R.A. Chalkley D.Hamilton T.Hutton I.Murphy R.Snell B Chapman G.Hammond Mrs G.Jones D.Owen Mrs M. Vine Mrs G.Collins L. Hancock M.Lumsden A.R. Payne P. Woodcock J.Collins Ms K. Hannay D.McCarthy J.Taylor I. Armitage D.Cule Smith J.Martin H.Thomas R. Miller P.Davidson D.Horsburgh D.B.Miller A.J.Wellan M. Roberts D. Allmey D. Horsley

Executives

On a day-to-day basis the organisation is run by a management team headed by the Chief Executive and four Heads of Department, each with a team of Officers and Administrators:

Brendon Pyle (Chief Executive)

Mark Cooke (Head of Finance)

Mark Cooke Paula Williams Linda Bird (Head of Finance) (Finance Officer) (Office & IT Administrator) Martin Crowder Andy Leigh Ian Harvey (Head of Development) (England – Northwest) (England – Northeast & North Yorkshire) Gavin Forsyth Tom Sparks (England – West Midlands) (England – Southwest) Katie Moggan Stacey Mitchell (Special Projects) (England – East Midlands & South Yorkshire)

Alice Lowe Daisy Brierley (Central) (England – East)

Mike Hollis (Southeast)

Vanessa Bell Joseph Oliver (Head of Fundraising) (Digital & Fundraising Assistant)

Mark Coughlan

Vacancy

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(Head of Marketing & Digital) (Communications Officer)

STATEMENT OF THE RESPONSIBILITIES OF THE BOARD OF TRUSTEES

The Members of the Board of Trustees, who are also the Directors for the purpose of company law, are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Company law requires the Members of the Board of 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 company 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 Charitable Company and of its net incoming resources for that period. In preparing these financial statements, the Members of the Board of Trustees are required to:

The Members of the Board of Trustees are responsible for keeping proper accounting records that are sufficient to show and explain the transactions of the Charitable Company and disclose with reasonable accuracy at any time the financial position of the Charitable Company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

So far as each Member of the Board of Trustees is aware, there is no relevant audit information of which the Charity’s auditor is unaware. The Trustees have each taken all the steps required of them as Trustees in order to make themselves aware of any relevant audit information and to establish that the Charity's auditor is aware of that information.

RESERVES

Total Reserves as at 31 March 2023 were £3,389,911 (2022: £3,680,329) of which £1,707,448 (2022: £1,812,092) was an Expendable Endowment fund and £366,380 (2022: £409,067) was restricted in accordance with the wishes of funders and donors. This leaves £1,316,083 (2022: £1,459,170) as Unrestricted Funds.

During the year ended 31 March 2023 the trustees continued with the policy of designating unrestricted funds for specific use without restricting or committing the funds legally. Previous designations have been for unrestricted fixed assets and fundraising for Regional Development Officers in Scotland. During the year to 31 March 2021 a new five-year business plan was approved by the trustees requiring additional investment of approximately £400,000 and this has also been recognised as a designated fund for future expenditure. As a result, at 31 March 2023 total unrestricted designated funds were £33,589 (2022: £201,997) being:

The remaining unrestricted funds, the reserves, or General Fund, at 31 March 2023 therefore amounted to £1,282,494, which is below the target level of reserves of £1.5m.

Given the activities of the Charity, the trustees’ target level of reserves, in line with Charity Commission guidance, is set to:

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Given these requirements the Trustees consider that the target for unrestricted reserves, after any designations, should be approximately £1.5m.

The future implementation and achievement of the objectives specified in the five-year business plan will be vital in bridging this financial gap of £0.22m between the current funds of the Charity and its target level of funding. The Board of Trustees will continue to monitor The Golf Foundation's reserves and its reserve policy annually.

RISK ASSESSMENT

At Board meetings, the Trustees review the risks to which the charity is exposed as part of the discussion around individual agenda items. They are dedicated to improving and refining that the systems in place mitigate the Charity’s exposure to major risk. The Golf Foundation has plans and strategies to manage the key risks in Funding, IT and Health & Safety through its governance structure, outsourced IT supplier and rigorous staff training respectively.

INVESTMENT POLICY

The investment policy of the Board of Trustees is to minimise investment risk by favouring low-risk holdings, and this is reflected in a policy of only holding accumulation units in the Charity Multi-Asset Fund administered by Schroder & Co. The investment target annual return of the fund is 4% net of commission.

The overall value of the portfolios decreased from £3.17m to £3.04m during the year. Losses incurred as a result of the Russian/Ukraine war and sanctions imposed caused an overall net reduction in portfolio value of 4.2%.

GRANTS

It is the policy of the Golf Foundation to make grants to provide financial assistance to organisations providing formal golf tuition or a less formal introductory golfing experience to children and young people. The purpose of the grant is to provide the organisation delivering the tuition or experience with a means to recover all or part of the expenditure incurred as a result of such provision. In this way, the tuition or experience can be provided at no or nominal cost to the children and young people, or their parents. Thereby the opportunity to benefit from the tuition or experience is made more easily and widely accessible.

In order to ensure that demand for grants does not exceed the budget available the Golf Foundation each year identifies closed lists of organisations – primarily schools and golf clubs or facilities – which are advised that they will be eligible to apply for a grant during the coming year. These lists are comprised mostly by continuation from the previous year, with vacancies being filled if budgetary constraints allow. There is a budget target for each region managed by a Regional Development Manager.

Each organisation eligible to apply for a grant is advised of the maximum grant they can expect to receive. Claims are then made by the organisation which is required to provide evidence in writing that golf tuition or an introductory golfing experience has been provided. If the Golf Foundation is satisfied with such evidence the application is approved and a grant cheque issued.

The HSBC Golf Roots Centres programme works differently in that 50% of the grants are awarded in advance to golf facilities and local projects and 50% after completion. Eligibility to apply for such a grant award is based on certain criteria being achieved, and the grant award decision is dependent on a satisfactory action plan being agreed. Future grant decisions would then be influenced by the results achieved compared with the action plan. Note 10.3 of the Financial Statements details the level of grants unpaid.

REMUNERATION POLICY OF KEY MANAGEMENT

The salary increases given to the Golf Foundation staff are annually benchmarked against the increases given by peer organizations in the UK golfing industry. All posts are internally evaluated based on agreed criteria that determine the grade and salary for the post. With regards to the executive pay, the salary of the highest paid employee is less than 3 times the median salary of the charity. A salary increase of 4% was awarded in the year and payments of 1.16% (2021/22 1.34%) of the overall salary bill were made in March 2022 for meritorious performances.

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TAXATION

As The Golf Foundation is a registered charity under the Charities Act 2011 it is potentially entitled to the exemptions from tax afforded by sections 466 to 493 of the Corporation Tax Act 2010 and sections 521 to 536 of the Income Taxes Act 2007 so far as its income and gains are applied for charitable purposes. No tax charge has arisen in the year. No tax charge has arisen in its subsidiary company as it has transferred all of its taxable profit to the Charity under the UK gift aid tax rules.

AUDITOR

Crowe U.K. LLP has indicated its willingness to be reappointed as statutory auditor. It is proposed that they be reappointed Independent Auditor to the Charitable Company for the ensuing year.

BANKERS AND PROFESSIONAL ADVISORS

Bankers Investment Advisors HSBC plc Schroders plc 8 Canada Square 100 Wood Street London E14 5HQ London EC2V 7ER Barclays Bank plc Independent Auditor 54 Lombard Street London EC3V 9EX Crowe U.K. LLP Statutory Auditor Aquis House, 49-51 Blagrave Street, Reading. RG1 1PL

CORPORATE STATUS

The Golf Foundation is a company limited by guarantee and is incorporated in Great Britain under registration number 00519615. The Governing Document of The Golf Foundation is the Memorandum & Articles of Association. The Articles of Association were last updated by Special Resolution of the Company passed on 29 September 2020.

In preparing this Report, the Trustees have taken advantage of the small companies’ exemptions provided by section 415A of the Companies Act 2006.

CHARITABLE STATUS

The Golf Foundation is a Registered Charity under registration number 285917. In December 2019 The Golf Foundation registered as a charity with the Scottish Charity Regulator under registration number SC049780.

REGISTERED OFFICE

Ambition Broxbourne Business Centre Pindar Road Hoddesdon Hertfordshire EN11 0FJ

BY ORDER OF THE BOARD

STEPHEN LEWIS Chairman

Date: 24 October 2023

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THE GOLF FOUNDATION

Independent Auditor’s Report to the Members and Trustees of the Golf Foundation Limited

Opinion

We have audited the financial statements of the Golf Foundation Limited (the “charitable company”) for the year ended 31 March 2023 which comprise Consolidated Statement of Financial Activities, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Cash Flows and notes to the financial statements, including 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:

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 are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company'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 trustees are responsible for the other information contained within the annual report. The other information comprises the information included in the annual report, 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 this gives rise to a material misstatement in the financial statements themselves. If, based on the

15

work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion based on the work undertaken in the course of our audit

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and the charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 11, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company 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 151 of the Charities Act 2011, and section 44(1)(c) of the Charities and Trustees Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with the Acts 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

16

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:

We obtained an understanding of the legal and regulatory frameworks within which the charitable company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Charities SORP (FRS102) 2019, Charities Accounts (Scotland) Regulations 2006 and Companies Act 2006.

We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be the override of controls by management and the recognition of income. Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, sample testing on income recognised in the accounts and reviewing accounting estimates for biases.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion or the provision of intentional misrepresentations.

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 auditor’s report.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008 and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company’s members and 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 charitable company, the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Janette Joyce

Senior Statutory Auditor

For and on behalf of

Crowe U.K. LLP

Statutory Auditor Aquis House 49-51 Blagrave Street Reading RG1 1PL

25 October 2023

Crowe U.K. LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

17

……………………………………..

THE GOLF FOUNDATION (Limited by Guarantee)

ACCOUNTING POLICIES FOR THE YEAR ENDED 31 MARCH 2023

The Golf Foundation is incorporated in Great Britain as a company limited by guarantee (company number 00519615). The entity is also a registered charity in England and Wales (charity number 285917) and in Scotland (charity number SC049780). The principal and registered office address is shown on page 14. In the event of the charity being wound up, the liability of each member is limited to £1 per member.

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019, the Charities Act 2011 and UK Generally Accepted Accounting Practice as it applies from 1 January 2019 and the Charities Trustee Investments (Scotland) Act 2005 and Regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (amended).

The financial statements have been prepared under historical cost convention with the exception of investments which are included at market value.

The Golf Foundation meets the definition of a public benefit entity under FRS 102.

The Financial Statements consolidate the results of the Charity and its wholly owned subsidiary Golf Foundation Enterprises Limited (company number 03347443) on a line by line basis. A separate Statement of Financial Activities (“SOFA”), and income and expenditure account, for the Charity itself are not presented because the Charity has taken advantage of the exemptions afforded by section 408 of the Companies Act 2006. The net result of the parent is shown on the Balance Sheet and note 14.1.

The Charity has taken advantage of the exemption in FRS 102 from the requirement to present a charity only cash flow statement.

After making enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue its activities for the foreseeable future. The Trustees are satisfied that the Charity has taken the necessary actions to protect its reserves. The Trustees are satisfied that there are no material uncertainties about the charity’s ability to continue as a going concern and accordingly they continue to adopt the going concern basis in preparing the financial statements as outlined in the Statement of the Responsibilities of the Board of Trustees on page 11.

The principal Accounting Policies of the Charity are set out below:

a) Income from Investments

Investment income comprises interest and dividends receivable on listed investments.

b) Tangible Fixed Assets

Tangible fixed assets are stated at cost, less accumulated depreciation and any provision for impairment. Depreciation is calculated to write down the cost less estimated residual value of all tangible fixed assets by equal annual instalments over their expected useful lives. The rates applicable are:

Office Equipment - 10% Computer Equipment - 20% Improvements to Leased Premises - over the term of the Lease

The policy of The Golf Foundation is only to capitalise expenditure of £1,000 and above.

c) Investments

Investment assets are included in the Balance Sheet at their market value. The unrealised and realised revaluation surplus or deficit is reflected in the Statement of Financial Activities (SOFA).

18

It is the Foundation’s policy to keep valuations up to date such that when investments are sold there is no realised gain or loss arising. As a result, the SOFA does not distinguish between the valuation adjustments relating to sales and those relating to continued holdings as they are together treated as changes in the investment portfolio throughout the year.

d)

Foreign Currencies

Monetary assets and liabilities in foreign currencies are translated at the rates of exchange ruling at the Balance Sheet date. All exchange differences are dealt with through the SOFA.

e)

Income

All income is included in the SOFA when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. The following specific policies apply to categories of income:

Donated services: are included at the value to the Charity where this can be quantified. In line with SORP (FRS 102) no amounts are included in the financial statements for services donated by volunteers.

Gifts in kind: where donated for distribution are included at the value to the Charity and recognised as income when they are distributed.

Grants receivable: are recognised when there is entitlement, probability of receipt and the amount can be measured reliably.

Government grants: are accounted for under the performance model as permitted by the Charity SORP. CJRS grant income is therefore recognised on a straight line basis over the furlough period for each relevant employee.

Legacies: entitlement is governed by the three point test in SORP (FRS 102) governing the probability of receipt. Upon sufficient probability of receipt the legacy is recognised. At which time the value of the resource can be measured more accurately.

f)

Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources. Overhead costs that are premises related are allocated on a floor area basis, staff costs are allocated on an estimate of time usage and other overheads have been allocated on the basis of head count.

Grants: are charged to the SOFA when a constructive obligation arises.

Fund raising costs: are those incurred in seeking voluntary contributions. Costs of disseminating information in support of the Charitable Activities are shown under the heading of Promotions and Publicity.

Governance costs: are the costs associated with the governance arrangements of the Charity which relate to the general running of the Charity as opposed to the costs associated with fund raising or charitable activities. Included within this category are costs associated with the strategic as opposed to day-to-day management of the Charity’s activities.

Support costs: include the central office functions such as general management, payroll administration, budgeting and accounting, information technology, human resources and financing and are allocated across the categories of charitable expenditure, governance costs and the cost of raising funds.

g) Recognition of Liabilities

Liabilities are recognised when there is a legal or constructive obligation that commits the Charity to the obligation.

19

h) Financial Instruments

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments, these being cash at bank, debtors and creditors (see notes 9 and 10). Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. The Charity also has a holding of investments at market value.

i) Debtors are trade and other debtors, recognised at the settlement amount due and prepayments are valued at the amount prepaid.

j)

Creditors are creditors and provisions, recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably.

k) Stock

Stock is included in the Balance Sheet at the lower of cost or net realisable value. The Charity holds stock of donated golf balls as well as purchased stock relating to programmes such as the Junior Golf Passport.

l) Operating Leases

Rental costs on operating leases are charged on a straight-line basis over the period of the lease.

m) Funds held for Designated and General Purposes

Designated Funds comprise funds which have been set aside at the discretion of the Board of Trustees for specific purposes. The purposes and uses of the designated funds are set out in Note 12.1 to the accounts. They form part of the Unrestricted funds together with the General Fund from which funds can be spent on any objective of the Charity.

n) Funds held for Restricted and Endowment Purposes

Restricted Funds represent donations or grants made to the Charity for specific purposes. The purposes and uses of the Restricted Funds are set out in Note 12.2 to the accounts.

In February 2000 The Golf Foundation received £1,673,814 in the form of cash and equities by way of a gift from a charitable trust in Scotland. The gift was made subject to the condition that it be expended for the benefit of junior golf in Scotland. The Board of Trustees (then the Council) in accepting this gift resolved that the capital be set aside, thereby creating an expendable endowment. Two further gifts of £100,000 cash were made by the same charitable trust in 2002 and 2005, and another and final gift of £16,031 was made in 2010. All were accepted subject to the same original conditions.

o) Pension Scheme Arrangements

The Golf Foundation operates a group personal defined contribution pension scheme into which both the Foundation as employer and the majority of the employees make payments. All such contributions are held in Royal London funds as completely independent of the Foundation’s finances. The pension cost charge represents employer’s contributions paid during the year.

p) Estimates and Judgements

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The items in the financial statement where the estimates and judgements have been made include the following:

20

THE GOLF FOUNDATION

(Company No: 00519615 Limited by Guarantee)

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

(Incorporating Income and Expenditure Account)

Note
INCOME
Donations and legacies
1.1
Charitable Activities
Grants receivable
1.2
Appeals and events
1.3
Charitable Trading
1.4
Investments
1.5
TOTAL INCOME
EXPENDITURE
Raising Funds
2.1
Investment management fees
7
Charitable Activities:
Coaching and development
2.2
Promotions and publicity
2.3
Competitive opportunity
2.4
TOTAL EXPENDITURE
2.6
Net Income / (Expenditure) before:
Net (loss)/gains on investments
7
NET INCOME / (EXPENDITURE)
12
Transfers between funds
12
NET MOVEMENT IN FUNDS
Reconciliation of funds
Total funds brought forward
12
TOTAL FUNDS CARRIED FORWARD
12		 Unrestricted
Funds
£
984,571
-
61,172
48,824
51,743		 Unrestricted
Funds
£
984,571
-
61,172
48,824
51,743		 Restricted
Funds
£
198,736
157,000
-
-
72,920		 Restricted
Funds
£
198,736
157,000
-
-
72,920		 Expendable
Endowment
Fund
£
-
-
-
-
-		 TOTAL
2023
£
1,183,307
157,000
61,172
48,824
124,663		 TOTAL
2022
£
1,057,138
159,500
54,374
37,136
114,445
1,146,310 428,656 - 1,574,966 1,422,593
160,064
3,829
1,040,230
258,451
28,969		 -
-
110,223
-
10,031		 -
5,420
-
-
-		 160,064
9,249
1,150,453
258,451
39,000		 139,538
9,273
1,067,649
223,351
32,300
1,491,543 120,254 5,420 1,617,217 1,472,111
(345,233)
(101,757)		 308,402
-		 (5,420)
(146,410)		 (42,251)
(248,167)		 (49,518)
111,196
(446,990)
303,903		 308,402
(351,089)		 (151,830)
47,186		 (290,418)
-		 61,678
-
(143,087)
1,459,170		 (42,687)
409,067		 (104,644)
1,812,092		 (290,418)
3,680,329		 61,678
3,618,651
1,316,083 366,380 1,707,448 3,389,911 3,680,329

The notes on pages 24-38 form part of these financial statements

21

THE GOLF FOUNDATION

(Company No: 00519615 Limited by Guarantee)

CONSOLIDATED AND CHARITY BALANCE SHEETS

AS AT 31 MARCH 2023

FIXED ASSETS
Tangible assets
Investments
TOTAL FIXED ASSETS
CURRENT ASSETS
Stock
Debtors and prepayments
Cash at bank and in hand
TOTAL CURRENT ASSETS
LIABILITIES
Creditors falling due within one year
NET CURRENT ASSETS
NET ASSETS
THE FUNDS OF THE CHARITABLE GROUP
Unrestricted Income Funds
Restricted Income Funds
Expendable Endowment Fund
TOTAL CHARITABLE GROUP FUNDS		 Notes 2023
CONSOLIDATED
CHARITY
£
£
19,744
19,744
3,041,396
3,041,397
3,061,140
3,061,141
99,869
99,869
282,493
366,856
362,720
222,445
745,082
689,170
416,311
360,400
328,771
328,770
3,389,911
3,389,911
1,316,083
1,316,083
366,380
366,380
1,707,448
1,707,448
3,389,911
3,389,911		 2022
CONSOLIDATED
CHARITY
£
£
28,132
28,132
3,175,217
3,175,218
6
7
9.1
10.1
11
12.1
12.3
12.5
3,203,349
3,203,350
88,836
88,836
301,173
401,698
335,284
178,847
725,293
669,381
248,313
192,402
476,980
476,979
3,680,329
3,680,329
1,459,170
1,459,170
409,067
409,067
1,812,092
1,812,092
3,680,329
3,680,329

The Financial Statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006 (and applicable law) and FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland.

The total (decrease)/increase in funds for the Charity for the year was (£290,418) (Year to March 2022: £61,678).

The financial statements and accounting policies on pages 21 to 38 were APPROVED by the Trustees, AUTHORISED for issue on 24 October 2023, and are SIGNED on their behalf by:

......................................................

S. Lewis

N. Bragg

DIRECTORS

22

THE GOLF FOUNDATION

(Company No: 00519615 Limited by Guarantee)

CONSOLIDATED CASH FLOW STATEMENT AND ANALYSIS OF CHANGES IN NET DEBT

FOR THE YEAR ENDED 31 MA
CASH FLOWS FROM OPERATING ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES
Dividends received
Interest received
Interest paid and bank charges
Investment fees
Capital expenditure
Net Income reinvested
TOTAL CASH FLOW FROM INVESTING ACTIVITIES
Investment purchases
Investment sale proceeds
CHANGE IN CASH AND CASH EQUIVALENTS IN THE YEAR
CASH AND CASH EQUIVALENTS AT THE BEGINNING OF YEAR
TOTAL CASH AND CASH EQUIVALENTS AT THE END OF THE YEAR
RECONCILIATION OF NET INCOMING RESOURCES
TO NET CASH INFLOW FROM OPERATING ACTIVITIES
Net incoming resources before other recognised gains or losses
Depreciation
Loss on asset disposals
Dividends received
Interest received
Investment fees
Interest paid and bank charges
(Increase) / decrease in Stock
Decrease / (increase) in Debtors
(Decrease) / increase in Creditors
NET CASH INFLOW
FROM OPERATING ACTIVITIES		 RCH 2023
Year Ended
2023
32,217
123,595
1,068
(3,509)
(9,249)
(2,340)
(114,347)
(4,782)
-
-
27,435
335,284
362,719
£
(42,251)
10,728
-
(123,595)
(1,068)
9,249
3,509
(11,033)
18,680
167,998
32,217		 Year Ended
2022
(75,076)
114,411
34
(2,020)
(9,273)
(858)
(105,138)
(2,844)
-
-
(77,920)
413,204
335,284
£
(49,518)
24,116
0
(114,411)
(34)
9,273
2,020
(32,843)
(27,573)
113,894
(75,076)

ANALYSIS OF CHANGES IN NET DEBT

FOR THE YEAR ENDED 31 MARCH 2023

Cash
TOTAL		 At start of year
Cash-flows
At end of
year
£
£
£
335,284
27,435
362,719
335,284
27,435
362,719

The notes on pages 24 to 38 form part of these financial statements.

23

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

1.
1.1		 ANALYSIS OF INCOME
Donations
Core funders:
The R & A
HSBC
Professional Golfers' Association
Ryder Cup Limited
BGIA
Legacies
Trusts & Foundations
Other Donations:		 2023
£
677,736
210,000
40,640
100,000
-
50,000
33,781
71,150
1,183,307		 2022
£
616,427
230,000
46,000
100,000
4,163
-
22,250
38,298
1,057,138

The total of £210,000 for the contribution from HSBC include £70,000 of commercial sponsorship but are consolidated in donations so as to more accurately report the full value received from this supporter.

Ryder Cup Limited is a joint venture in which the Professional Golfers' Association, the PGA of Europe, and the PGA European Tour are partners.

None of the individual gifts in the "Other Donations" category were larger than £25,000.

1.2
1.3		 Charitable Activities- Grants Receivable
Sport England
Other grants
Charitable Activities- Appeals and Events
Annual Appeal to Golf Clubs
GF / European Tour Pro-Am
Goodwood GolfSixes
Other		 157,000
-
157,000
18,497
-
39,623
3,052
61,172		 157,000
2,500
159,500
16,004
15,000
20,579
2,791
54,374

24

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2023

1.
1.4		 ANALYSIS OF INCOMING
RESOURCES (CONTINUED)
Charitable Activities- Charitable Trading
Box of Tricks
GolfSixes Registrations
Junior Golf Passport
Training Workshops
Tri-Golf /GolfWays		 2023
£
-
18,826
5,257
3,908
20,833
48,824		 2022
£
33
12,482
7,827
127
16,667
37,136

Charitable Trading includes £20,833 (Year to March 2022: £16,667) of Royalty Income generated by the subsidiary.

1.5 Investments
Dividends
Bank Interest		 123,595
1,068
124,663		 114,411
34
114,445

All investment income derives from investments held in the United Kingdom.

2.
2.1
2.2		 ANALYSIS OF EXPENDITURE
Raising Funds
Operations:
Trusts and Foundations
Goodwood GolfSixes
Staff and Support Costs:
See Note 2.8
Governance Costs
See Note 2.5
Charitable Activities:
Coaching and development
Grants Made:
Box of Tricks
Doorstep Clubs
Feel Inspired
Girls' Get Glowing
Golf Development Wales
Golf Roots Centres
HSBC Golf Roots Plus
Road to the Open
Satellite Clubs
Scottish Golf
Secondary Schools
Wales Golf		 2023
£
-
20,114
20,114
133,836
6,114
160,064
-
2,000
4,375
750
4,375
58,762
8,683
32,386
125
16,000
5,335
25,000
157,791		 2022
£
3,307
15,201
18,508
115,843
5,187
139,538
2,860
2,000
2,875
-
1,150
24,063
5,075
38,685
2,695
7,500
-
24,000
110,903

All grants are made to institutions and none to individuals. Full details of grants made are available from the Charity.

25

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

Charitable Activities:

Charitable Activities:
2.2
2.3
2.4		 Coaching and development (continued)
Operations:
Box of Tricks
GolfSixes League
Junior Golf Passport
Manuals & Training Aids
Crowlands Project
Unleash Your Drive
Workshop & Event Delivery
Young Ambassadors' Programme
Street Games Birmingham
All London Youth Project
GolfWays
Staff and Support costs:
Development Officer Network
Central Support Costs
Grants Made:
Operations:
Staff and Support Costs:
See Note 2.8
Governance Costs
See Note 2.5
Charitable Activities:
Promotions and publicity
Operations:
Advertising & Public Relations
Promotional Items
Publications
BMW PGA Championships
Presidents Awards & Reception
Other External Events
Staff and Support Costs:
See Note 2.8
Governance Costs
See Note 2.5
Charitable Activities:
Competitive Opportunity
Operations:
School Games		 2023
£
9
81,606
6,379
1,273
-
9,598
66
5,000
4,015
3,240
18,322
129,508
504,113
315,098
819,211
157,791
129,508
819,211
43,943
1,150,453
33,535
9,829
-
878
2,843
7,482
54,567
194,012
9,872
258,451
39,000
39,000		 2022
£
-
79,511
1,361
6,944
2,250
400
-
5,000
2,900
2,610
5,881
106,857
456,697
353,508
810,205
110,903
106,857
810,205
39,684
1,067,649
39,811
8,969
0
5,161
23
378
54,342
160,707
8,302
223,351
32,300
32,300

26

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2023

2.5
2.6
2.7		 Governance
Operations:
Audit & Accountancy
Annual Report
Committee Expenses
Staff and Support Costs:
See Note 2.8
Charged to
Raising Funds
See Note 2.1
Coaching and Development
See Note 2.2
Promotions and Publicity
See Note 2.3
Analysis of total expenditure
Charitable Activities:
Coaching and development
Promotions and publicity
Competitive opportunity
Cost of raising funds:
Raising funds:
Investment management fees
Governance
TOTAL RESOURCES EXPENDED
Prior Year Analysis of total expenditure
Charitable Activities:
Coaching and development
Promotions and publicity
Competitive opportunity
Cost of raising funds:
Raising funds:
Investment management fees
Governance
TOTAL RESOURCES EXPENDED		 See Note 2.8
See Note 2.1
See Note 2.2
See Note 2.3		 Grants made Staff and
Support costs		 2022
£
24,405
1,656
-
26,061
27,112
53,173
5,187
39,684
8,302
53,173
TOTAL
March 2023
£
1,106,510
248,579
39,000		 TOTAL
March 2022
£
1,027,965
215,049
32,300
157,791
223,075
-
20,114
-
9,249		 1,013,223
133,836
-		 1,394,089
153,950
9,249		 1,275,314
134,351
9,273
157,791
252,438
-
30,102		 1,147,059
29,827		 1,557,288
59,929		 1,418,938
53,173
157,791
282,540		 1,176,886 1,617,217 1,472,111
Grants made
Operations
£
£
110,903
106,857
-
54,342
-
32,300		 Staff and
Support costs
£
810,205
160,707
-		 TOTAL
March 2022
£
1,027,965
215,049
32,300		 TOTAL
March 2021

Charitable Activities:
Coaching and development
Promotions and publicity
Competitive opportunity
Cost of raising funds:
Raising funds:
Investment management fees
Governance
TOTAL RESOURCES EXPENDED
£
875,527
211,691
620
110,903
193,499
-
18,508
-
9,273		 970,912
115,843
-		 1,275,314
134,351
9,273		 1,087,838
112,138
8,123
110,903
221,280
-
26,061		 1,086,755
27,112		 1,418,938
53,173		 1,208,099
42,648
110,903
247,341		 1,113,867 1,472,111 1,250,747

27

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

2.8 Analysis of Staff and Support Costs

Staff costs
Office costs
Travel and Motor expenses
Finance and Legal
TOTAL RESOURCES EXPENDED		 Coaching and
Promotions
Activities to
Governance
TOTAL
TOTAL
Development
and Publicity
raise funds
March 2023
March 2022
£
£
£
£
£
£
554,418
108,878
100,050
16,465
779,811
665,063
180,859
61,130
24,709
4,802
271,500
357,407
79,159
23,068
8,394
7,912
118,533
81,717
4,775
936
683
646
7,040
9,678
819,211
194,012
133,836
29,825
1,176,884
1,113,865

2.9 Prior Year Analysis of Staff and Support Costs

Staff costs
Office costs
Travel and Motor expenses
Finance and Legal
TOTAL RESOURCES EXPENDED		 Coaching and
Development
£
503,771
235,534
66,381
4,519		 Promotions

and Publicity
£
74,201
79,696
2,726
4,083		 Activities to
Governance
raise funds
£
£
72,324
14,767
35,680
6,497
7,370
5,240
468
608		 TOTA
March 202		 TOTAL
March 2021
£
714,926
254,312
63,484
2,674
810,205 160,706 115,842
27,112		 1,113,865 1,035,396

3. NET INCOME/(EXPENDITURE)

NET INCOME/(EXPENDITURE)
Year ended
Year ended March March
This is stated after charging: 2023 2022
£ £
Operating lease payments (Plant and Machinery) 8,518 9,853
Operating lease payments (Other) 51,121 41,546
Auditor's Remuneration - audit fees 23,485 24,405
- tax services 1,945 1,585
Depreciation 10,728 24,116

28

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

4. ANALYSIS OF STAFF COSTS, TRUSTEES REMUNERATION AND EXPENSES AND THE COST OF KEY MANAGEMENT PERSONNEL

Total Staff Costs
Wages and Salaries
Social Security Costs
Pension Costs and Other Benefits
Recruitment and Other Costs
Cost of key management personnel
Wages and Salaries
Social Security Costs
Pension Costs and Other Benefits
Interim Costs		 Year ended March
2023
£
638,618
69,034
48,959
23,199
779,810
279,008
33,709
18,580
-
331,297		 Year ended
March
2022
£
546,500
56,417
43,205
18,942
665,064
232,431
26,906
15,407
-
274,744

Key Management comprises the Chief Executive, the Head of Finance, the Head of Development, the Head of Marketing and the Head of Fundraising. The key management remuneration disclosed includes gross pay, employer NI and pension costs. In addition to the amounts disclosed above, the key management personnel received benefits in kind totalling £29,053 (2021/22: £22,208).

Redundancy costs amounting to £nil (2022: £nil) are included in wages and salaries.

No Member of the Board of Trustees received remuneration in either year. Two Members of the Board of Trustees were reimbursed expenses for £1,246 in 2022/23 (2021/22 - £63). Expenses reimbursed to Trustees were for travel and accommodation expenses incurred by reason of attendance at meetings and events.

One employee received remuneration in the range £90-100k and one within the £60-£70k range per annum in the year (Year to 31 March 2022 - one within the £80-£90k range and one within the £60-70k range).

The average monthly number of employees during the year, analysed by function was:

Development Department (Central)
Development Department (Officers)
Central Services
Fundraising
Finance and Administration
TOTAL		 2023
No.
1.0
9.0
2.7
2.0
3.0
17.7		 2022
No.
1.0
8.8
2.1
1.5
3.0
16.4

All members of staff as detailed above are employed by the Charity.

5. TAXATION

As the Golf Foundation is a registered Charity under the Charities Act 2011 it is potentially entitled to the exemptions from tax afforded by sections 466 to 493 of the Corporation Tax Act 2010 and sections 521 to 536 of the Income Taxes Act 2007 so far as its income and gains are applied for charitable purposes.

29

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

6. TANGIBLE FIXED ASSETS (FOR GROUP AND CHARITY)

Cost
At 1st April 2022
Additions
Disposals
At 31 March 2023
Depreciation
At 1st April 2022
Charge for the Year
Eliminated on Disposal
At 31 March 2023
Net Book Value
At 31 March 2023
At 1st April 2022		 Computer
Equipment
£
67,352
2,340
-		 Intangibles
£
115,904
-
-		 Office
TOTAL
Equipment
£
£
51,107
234,363
-
2,340
-
-		 TOTAL
69,692 115,904 51,107
236,703
62,501
2,739
-		 105,448
5,753
-		 38,282
206,231
2,236
10,728
-
-
65,240 111,201 40,518
216,959
4,452 4,703 10,589
19,744
4,851 10,456 12,825
28,132

All tangible fixed assets are owned by the Charity.

7. INVESTMENTS (FOR GROUP AND CHARITY)

Market Value at 1 April 2022
Income Reinvested
Management Fees
Loss on revaluation
Transfers between funds
Market value at 31 March 2023
Represented by:
Schroder Charity Multi Asset
Fund
Cash
Total in Group
Golf Foundation Enterprises
Limited
Total in Charity		 General
Funds
£
1,363,125
50,674
(3,829)
(101,757)
25,735		 Designated
Funds
£
-
-
-
-
-		 Endo Expendable
TOTAL
wment Fund
£
£
1,812,092
3,175,217
72,921
123,595
(5,419)
(9,249)
(146,410)
(248,167)
(25,735)
-		 TOTAL
1,333,948 - 1,707,448
3,041,396
1,252,545
81,403		 -
-		 1,707,448
2,959,993
-
81,403
1,333,948
1		 -
-		 1,707,448
3,041,396
-
1
1,333,949 - 1,707,448
3,041,397

The historical cost of the investments was £2,737,542 (2022 - £2,626,200). All the investment assets are held in the United Kingdom and are owned by the Charity.

The Charity holds 100% of the shares in its wholly owned subsidiary Golf Foundation Enterprises Limited (Company number 03347443) which is incorporated in the United Kingdom. The activities and results of this company are summarised under Note 14.2.

30

THE GOLF FOUNDATION (Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

7.1 PRIOR YEAR INVESTMENTS (FOR GROUP AND CHARITY)

8. Market Value at 1 April 2021
Income Reinvested
Management Fees
(Loss) / Gain on revaluation
Transfers between funds
Market value at 31 March 2022
Represented by:
Schroder Charity Multi Asset
Fund
Cash
Total in Group
Golf Foundation Enterprises
Limited
Total in Charity
DEFERRED INCOME
As at 1 April
Deferred donations
Utilised during the year
As at 31 March		 General
Funds
£
1,243,179
46,588
(3,840)
45,298
31,900		 General
Funds
£
1,243,179
46,588
(3,840)
45,298
31,900		 Designated
Funds
£
-
-
-
-
-		 Designated
Funds
£
-
-
-
-
-		 Endo Expendable
TOTAL
wment Fund
£
£
1,715,704
2,380,645
67,823
114,411
(5,433)
(9,273)
65,898
111,196
(31,900)
-		 Expendable
TOTAL
wment Fund
£
£
1,715,704
2,380,645
67,823
114,411
(5,433)
(9,273)
65,898
111,196
(31,900)
-		 TOTAL

Fun
1,363,125 - 1,812,092
3,175,217
1,328,707
34,418		 -
-		 1,812,092
3,140,799
-
34,418
1,363,125
1		 -
-		 1,812,092
3,175,217
-
1
1,363,126 - 1,812,092
3,175,218
March
2023
£
52,500
180,771
(52,500)
180,771		 March
2022
£
52,500
52,500
(52,500)
52,500

The deferred balance represents sponsorship revenue to be recognised in 2023/24 and donations contributing towards the GolfSixes 2023/24 program.

31

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS

YEAR ENDED 31 MARCH 2023

9.
9.1
9.2
10.
10.1
10.2		 DEBTORS
DEBTORS (FOR THE GROUP)
Trade Debtors
Other Debtors
Accrued Income
Prepayments
DEBTORS (FOR THE CHARITY)
Trade Debtors
Owed by the Subsidiary
Other Debtors
Accrued Income
Prepayments
CREDITORS: Amounts falling due within one year
CREDITORS (FOR THE GROUP)
Trade Creditors
Other Creditors
Other Taxation and Social Security
Accruals
Deferred Income
(Note 8)
CREDITORS (FOR THE CHARITY)
Trade Creditors
Owed to the Subsidiary
Other Creditors
Other Taxation and Social Security
Accruals
Deferred Income		 March
2023
£
238,360
17,816
4,167
22,150
282,493
March
2023
£
238,360
84,363
17,816
4,167
22,150
366,856
March
2023
£
168,931
6,234
28,375
32,000
180,771
416,311
March
2023
£
168,931
-
6,234
28,375
28,589
128,271
360,400		 March
2022
£
257,320
7,721
4,167
31,965
301,173
March
2022
£
257,320
100,525
7,721
4,167
31,965
401,698
March
2022
£
105,247
14,429
47,302
28,835
52,500
248,313
March
2022
£
105,246
-
14,429
47,302
25,425
-
192,402

32

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS YEAR ENDED 31 MARCH 2023

11. ANALYSIS OF NET ASSETS BETWEEN FUNDS

11.1 Fund balances at 31 March 2023
are represented by:
Tangible Fixed Assets
Investments
Current Assets
Current Liabilities
11.2 Fund balances at 31 March 2022
are represented by:
Tangible Fixed Assets
Investments
Current Assets
Current Liabilities		 a Unrestricted
nd Designated
£
19,744
1,333,948
378,702
(416,311)		 Restricted
£
-
-
366,380
-		 Endowment
TOTAL
£
£
-
19,744
1,707,448
3,041,396
-
745,082
-
(416,311)		 TOTAL
1,316,083 366,380 1,707,448
3,389,911
a Unrestricted
nd Designated
£
28,132
1,363,125
316,226
(248,313)		 Restricted
£
-
-
409,067
-		 Endowment
TOTAL
£
£
-
28,132
1,812,092
3,175,217
-
725,293
-
(248,313)		 TOTAL
1,459,170 409,067 1,812,092
3,680,329

33

THE GOLF FOUNDATION (Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

12. ALLOCATION OF FUNDS (FOR GROUP AND CHARITY)

12.1 Unrestricted Income Funds (Group and Charity)

General Funds
Designated Funds
Digital Platform Fund
Scottish Designated Fund
Fixed Assets Designated Fund
Total Designated Funds
Total Unrestricted Funds		 Balance
Income
1 April 2022
£
£
1,257,193
1,144,310
160,000
-
13,845
2,000
28,132
-		 Expenditure &
Disposals
G
£
(1,453,079)
-
(27,735)
(10,729)		 Investments
ains / (Losses)
£
(101,757)
-
-
-		 Transfers 31 Ma Net movement
£
435,827
(160,000)
25,735
2,341
£
25,301
(160,000)
-
(8,388)
in funds
201,977
2,000
1,459,170
1,146,310		 (38,464)
(1,491,543)		 -
(101,757)		 (131,924)
303,903		 33,589
1,316,083		 (168,388)
(143,087)

All turnover in the subsidiary (£130,457), and all expenditure in the subsidiary (£122,157), form part of the movements on General Funds. The net assets of the subsidiary as at 31 March 2022 (£1) form part of the closing balance on General Funds .

The Digital Platform Fund is a fund set aside in March 2021 for achieving delivery of the 5 year business plan.

The Scottish Designated Fund was set aside to represent donations and funds raised from Scottish sources which it is intended to expend in line with the

The Fixed Assets Fund represents the net book value of unrestricted tangible fixed assets at the balance sheet date. Fixed Assets forming part of Restricted and Endowment Funds are excluded.

12.2 Prior Year Unrestricted Income Funds (Group and Charity)

General Funds
Designated Funds
Digital Platform Fund
Scottish Designated Fund
Fixed Assets Designated Fund
Total Designated Funds
Total Unrestricted Funds		 Balance
Income
1 April 2021
£
£
1,075,151
1,054,343
400,000
-
13,845
2,000
51,390
-		 Expenditure &
Disposals
£
(1,329,815)
-
(15,900)
(24,075)		 Investments
Gains
£
45,298
-
-
-
-		 Transfers 31 Ma Net movement
£
412,216
240,000

13,900
817
£
182,042
240,000

-
(23,258)
in funds
-
-
465,235
2,000
1,540,386
1,056,343		 -
(39,975)
(1,369,790)		 -
-
45,298		 -
(225,283)
186,933		 -
201,977
1,459,170		 -
(263,258)
(81,216)

34

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

12.3 Restricted Funds (Group and Charity)

Movements in the income funds of the Golf Foundation include restricted funds which are to be expended on specific purposes.

England Fund
Gerald Micklem Fund
Peter Harrison Fund
Girls Golf
London Welsh Fund
Cheshire Golf Clubs
National Sports Foundation Fund
Oxfordshire Satellite Clubs
Pro-Am 2017
Royal Liverpool Fund
Satellite Clubs Fund
Scottish Income Fund
Sport England Fund
R&A GolfSixes League Fund		 Balance
1 April 2022
£
30,365
59,909
22,125
24,923
630
2,500
6,919
1,027
15,752
8,526
3,237
-
25,038
208,116		 Income
£
-
21,000
-
-
-
-
-
-
-
-
-
72,921
157,000
177,736		 Expenditure
£
(3,550)
(8,683)
(4,375)
-
(630)
-
(6,919)
-
(7,255)
(4,000)
(3,237)
-
-
(81,606)		 Transfers
-
-
-
-
-
-
-
-
-
-
-
(72,921)
(182,038)
(96,130)		 Balance
31 March		 Net m ovement
2023
£
26,815
72,226
17,750
24,923
-
2,500
-
1,027
8,497

4,526
-
-
-
208,116		 - in funds
£
(3,550)
12,317
(4,375)
-
(630)
-
(6,919)
-
7,255
(4,000)
(3,237)
-
(25,038)
-
409,067
428,657		 (120,255) (351,089) 366,380 (42,687)

From April 2005 until 2017 funding previously received direct from Sport England has been received through the England Golf Partnership. Both income sources formed part of the England Fund . Monies received from the England Golf Partnership are allocated to identified programmes of expenditure and are therefore restricted in nature. The England Fund incorporated funding which derived ultimately from Sport England and is to be applied to the support of School Sport Partnerships in England. This was previously shown as a separate Restricted Fund - the "School Links Restricted Fund".

The Gerald Micklem Fund derives from donations made by the Gerald Micklem Charitable Trust. In February 2023 the Golf Foundation received £21,000. £8,683 was used to fund HSBC Golf Roots Plus Projects.

The Peter Harrison Fund is restricted for Feel Inspired disability projects.

Girls Golf (previously called Brooch 2017) represents income and expenditure arising from the Brooch appeal in 2017 and 2018, the 2018 Pro-Am and specific individual donations all of which have been restricted to Girls' Golf programs.

The Royal Liverpool Fund is a project with Liverpool FC and the Wirral Development Group.

The London Welsh Fund represents funds raised by the London Welsh Golf Society which are to be allocated to HSBC Golf Roots Plus Projects in Wales.

The National Sports Foundation Fund relates to an Expansion Project which began in 2008. The 2008 funding of £225,000 derived from an application of an increased donation from the R & A, which was matched by a grant from the NSF. The 2009 income largely represented a further grant from the NSF matching other income sources.

The Oxfordshire Satellite Club Fund relates to funding from Oxfordshire County Sports Partnership ring-fenced to develop Satellite Clubs in Oxfordshire.

The net proceeds of the Golf Foundation Pro-Am 2017 have been restricted for HSBC Golf Roots Plus Projects.

35

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

The Satellite Clubs Fund represents grants that have been donated by Lincolnshire and London Youth Sports to develop Satellite clubs in their areas.

The Scottish Income Fund derives from the proceeds of the investments held by the Scottish Capital Fund (see Note 12.5) and is subject to the same condition

The Sport England Fund originally derived from direct funding received in 2013 for the purpose of a pilot scheme for Satellite Clubs. From April 2017 the Golf Foundation receives funding from Sport England through England Golf which is allocated to identified programmes of expenditure and are therefore restricted in nature. The funding is allocated to the Regional development Officer network, the Box of Tricks retention programme, a 9-hole competition pilot and to Satellite Clubs. In 2021 due to Covid, the amount received was Unrestricted as many of the planned programmes could not go ahead and has remained Unrestricted in 2022.

The Sport Wales Fund derives from a series of grants to help establish and sustain new Starter Centres in Wales.

The Youth Sport Trust Restricted Fund derives from grant funding received for the Youth Sport Trust which is to be applied to the promotion of golf as part of the School Games, and to the establishment of School Golf Clubs.

12.4 Prior Year Restricted Funds (Group and Charity)

Movements in the income funds of the Golf Foundation include restricted funds which are to be expended on specific purposes.

Crown Golf Restricted Fund
East London Legacy Fund
England Fund
Gerald Micklem Fund
Peter Harrison Fund
Girls Golf
London Welsh Fund
Cheshire Golf Clubs
National Sports Foundation Fund
Oxfordshire Satellite Clubs
Pro-Am 2017
Road to the Open
Royal Liverpool Fund
Satellite Clubs Fund
Scottish Income Fund
Sport England Fund
R&A GolfSixes League Fund
Sport Wales Fund
Youth Sport Trust Restricted Fund		 Balance
1 April 2021
£
2109
80
30,365
44,984
25,000
22,423
630
-
6,919
1,027
15,752
6,652
8,526
5,932
-
25,038
171,200
(3,525)
(551)		 Income
£
-
-
-
20,000
-
2,500
-
2,500
-
-
-
-
-
-
67,823
157,000
116,427
-
-		 Expenditure
£
-
(80)
-
(5,075)
(2,875)
-
-
-
-
-
-
(6,652)
-
(2,695)
(199)
-
(79,511)
-
-		 Transfers
(2,109)
-
-
-
-
-
-
-
-
-
-
-
-
-
(67,624)
(157,000)
-
3,525
551		 Balance
31 March		 Net m ovement
2022
£
-
-
30,365
59,909
22,125
24,923
630
2,500
6,919
1,027
15,752
-
8,526
3,237

-
25,038
208,116
-
-		 - in funds
£
(2,109)
(80)
-
14,925
(2,875)
2,500
-
2,500
-
-
-
(6,652)
-
2,695
-
-
36,916
3,525
551
362,561
366,250		 (97,087) (222,657) 409,067 46,506

36

THE GOLF FOUNDATION

(Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

12.5 Expendable Endowment Funds (Group and Charity)

In February 2000 the Golf Foundation received £1,673,814 in the form of cash and equities by way of a gift from a charitable trust based in Scotland. The Trustees asked that the identity of the donor should remain anonymous. The gift was made subject to the condition that it be expended for the benefit of junior golf in Scotland. In November 1999 the Board had resolved to accept the gift, subject to this Restriction, and further resolved that the capital of the Fund be set aside for the time being, thereby creating an expendable endowment. A second donation of £100,000 was made by the Trust during 2002, subject to the same restriction. A third donation of £100,000 was made by the Trust during 2005, subject to the same restriction. A fourth and final donation of £16,032 was made by the Trust during 2010, subject to the same restriction.

Scottish Capital Fund Balance
1 April 2022
£
1,812,092		 Income
£
-		 Expenditure
£
(5,420)		 Ga Investments
ins / (Losses)
£
(146,410)		 Transfers 31 Ma Net movement
£
47,186
£
(104,644)
in funds
1,812,092 - (5,420) (146,410) 47,186 1,707,448 (104,644)

account funds raised from Scottish Sources in the Scottish Designated fund shown note 12.1

12.6 Prior Year Expendable Endowment Funds (Group and Charity)

Scottish Capital Fund Balance
1 April 2021
£
1,715,704		 Income
£
-		 Expenditure
£
(5,234)		 Ga Investments
ins / (Losses)
£
65,898		 Transfers 31 Ma Net movement
£
35,724
£
96,388
in funds
1,715,704 - (5,234) 65,898 35,724 1,812,092 96,388

13. OPERATING LEASE COMMITMENTS (GROUP AND CHARITY)

At 31st March 2023 the Foundation had total commitments under operating Leases as set out below:

Land and buildings
Motor vehicles
£
£
Less than one year
19,656
3,426
Between one and five years
16,380
-
Later than five years
-
-
Total future payments
36,036
3,426
March 2023		 La nd and buildings
Motor vehicles
£
£

19,656
3,426
s
16,380
-
s
-
-
March 2023		 Land and buildngs
Motor vehicles
£
£
11,325
3,776
-
-
-
-
March 2022
11,325
3,776

In November 2022, a new agreement was undertaken which extended the premises lease until January 2025. The motor vehicles leases all expired by April 2022 and are now on a 1 month rolling contract.

37

THE GOLF FOUNDATION (Limited by Guarantee)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

14. CONSOLIDATION OF ACCOUNTS

14.1 Financial performance of the Charity

The consolidated Statement of Financial Activities includes the results of the Charity's wholly owned

The summary financial
performance of the charity alone
is:
Net Income (expenditure)
Gift aid from subsidiary company
Expenditure on charitable activities
Added to funds
Total funds brought forward
Total funds carried forward		 Year ende
March 202

14.2 Financial performance of the trading subsidiary

The wholly owned trading subsidiary Golf Foundation Enterprises Limited (company number 03347443) is

Turnover
Cost of sales and administration costs
Net profit
Gift aided to the charity
Profit
The assets and liabilities of the subsidiary were:
Current assets
Current liabilities
Total net assets
Represented by share capital
The summary financial perfomance of the subsidiary
alone is:		 Year ended
March 2023
£
130,457
(122,157)
8,300
(8,300)
-
140,275
(140,274)
1
1		 Year ended March
2022
£
106,662
(104,994)
1,668
(1,668)
-
156,437
(156,436)
1
1

All turnover of the subsidiary forms part of the movements on General Funds, and the net assets of the subsidiary as at 31 March 2023 form part of the closing

15 RELATED PARTIES

Sanjit Atwal declared an interest as Director of HalfSpace Ltd who supplied the Golf Foundation with £13,800 of Branding services during the year.

Golf Foundation Enterprises Limited (company number 03347443) is a wholly owned subsidiary of The Golf Foundation, the immediate parent Charity. During the year to 31 March 2023 The Golf Foundation recharged £98,021 (year to 31 March 2022 - £86,360) to Golf Foundation Enterprises Limited for expenses which it incurred on Golf Foundation Enterprises Limited's behalf. At 31 March 2023, Golf Foundation Enterprises Limited owed to The Golf Foundation £84,363 (2022 £100,525) of which £8,300 is Gift Aid payable to The Golf Foundation. During the year to 31 March 2023 Golf Foundation Enterprises Limited paid to The Golf Foundation £100,000 of which £1,668 was the Gift Aid pledged in 2022.

38