Registered number: 02080267 Charity number: 295819
The ABTA Benevolent Fund
(A company limited by guarantee)
Unaudited
Trustees' report and financial statements For the year ended 31 December 2023
The ABTA Benevolent Fund
(A company limited by guarantee)
Contents
| Page | |
|---|---|
| Reference and administrative details of the Company, its Trustees and advisers | 1 |
| Trustees' report | 2 - 8 |
| Independent examiner's report | 9 |
| Statement of financial activities | 10 |
| Balance sheet | 11 |
| Notes to the financial statements | 12 - 24 |
The ABTA Benevolent Fund
(A company limited by guarantee)
Reference and administrative details of the Company, its Trustees and advisers For the year ended 31 December 2023
| Trustees | Mr D Jones, Chair/Treasurer |
|---|---|
| Ms Z L Baxter-Hurley (appointed 16 May 2023) | |
| Mr G P S Buck, Treasurer | |
| Mr J McEwan (resigned 23 November 2023) | |
| Mr C J North | |
| Mr A Rowland, Treasurer | |
| Ms C L Stirrup | |
| Ms B R Vazquez | |
| Company registered number 02080267 Charity registered number 295819 Registered office 30 Park Street London SE1 1EQ Company secretary ABTA Limited Strategic director Ms T Clements Independent examiner Kreston Reeves LLP Chartered Accountants 9 Donnington Park 85 Birdham Road Chichester West Sussex PO20 7AJ Bankers CAF Bank Limited 25 Kings Hill Avenue West Malling Kent ME19 4JQ Investment fund managers Rathbone Investment Management Limited Port of Liverpool Building Pier Head Liverpool L3 1NW |
Page 1
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report For the year ended 31 December 2023
The Trustees present their annual report together with the financial statements of the The ABTA Benevolent Fund for the year 1 January 2023 to 31 December 2023. The Annual report serves the purposes of both a Trustees' report and a directors' report under company law. The Trustees confirm that the Annual report and financial statements of the charitable company comply with the current statutory requirements, the requirements of the charitable company's governing document and the provisions of the Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019).
Since the Company qualifies as small under section 382 of the Companies Act 2006, the Strategic report required of medium and large companies under the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 has been omitted.
Objectives and activities
a. Policies and objectives
The purposes of the Charity as set out in the objects contained in the company’s memorandum of association are to:
Benefit the public by relieving poverty and need amongst persons who are or have been directors or employees of ABTA Ltd or its subsidiary companies or those persons who are or have been involved in the businesses of ABTA members whether as principals, directors or employees and the spouses widows or widowers (whether or not married) children and other dependants of such persons who are in need of such assistance and in particular persons who are in need of financial support due to incapacity from old age or infirmity.
In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.
b. Strategies for achieving objectives
We review our aims, objectives and activities each year which informs our annual report. The review looks at what we have achieved and what we need to do and informs our business plan in the following year. The review helps us ensure our aims, objectives and activities remain focused on our stated purposes. We have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives, in our decision making and planning for the future.
The charity held its strategy day on 24 November 2023 with the Trustees to review 2023 performance and develop the business programme for 2024.
The key objectives remained as:
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Strengthen the sustainability of the charity, ensuring the right governance, resource and funding to deliver
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high-quality services
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Raise sufficient funds each year to provide the services
-
Provide the right services that are responsive to the needs of the community
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Disperse the funds in a fair, consistent and transparent manner
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Effectively communicate our services so that travel colleagues know about the support the charity can
-
provide
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Build strong partnerships to help deliver the objectives.
Page 2
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report (continued) For the year ended 31 December 2023
Objectives and activities (continued)
c. The focus of our work
The main objective for the year continued to be helping current or former industry colleagues and families in the travel industry who have fallen on hard times. Requests for assistance from the Fund usually emanate by reason of hardship caused by death, illness, disability, redundancy, relationship breakdown, unforeseen circumstances among other things. In 2023 we continued to see many colleagues struggling with financial hardship which became worse with the cost of living crisis.
Applications for help are made to the Board of Trustees who consider each application on its merits. Financial help is awarded to those applicants who are eligible and who have demonstrated they are in hardship, by way of grants. The charity also provides expert financial management advice (debt, benefits, budgeting, and housing) and mental health and wellbeing support. We encourage all of our clients that are experiencing debt and benefit issues to speak with our partner Citizens Advice Manchester (CAM) to help them become more financially stable over the longer term.
d. How our activities deliver public benefit
All our charitable activities focus on the alleviation of hardship and are undertaken to further our charitable purposes for the public benefit.
e. Who benefitted from our services
Our current eligibility criteria stipulate that we are there to provide help to people who have worked for an ABTA member, ABTA itself or other organisations within the travel industry who are engaged in the sale of ABTA products. Spouses/partners, widows/widowers and children of employees are also eligible – other main dependents are considered too.
We award grants to member employees and their dependent families suffering real hardship caused by life changing situations (medical, accidents etc.), unexpected circumstances (bereavement, domestic abuse, redundancy etc.), lack of essentials (food, utilities, white goods) and in need of mental health support.
No one application is the same and therefore the awards we grant differ widely.
f. Main activities undertaken to further the Company's purposes for the public benefit
In 2023 we helped with a variety of awards including the payment of priority bills (rent, mortgage and energy) emergency food vouchers, household goods, flooring, school uniform and importantly debt, benefit and housing advice among other things.
Page 3
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report (continued) For the year ended 31 December 2023
Achievements and performance
a. Main achievements of the Company
The Director, working in conjunction with ABTA, has continued to develop the Charity’s awareness programmes with its various audiences under the brand name of ABTA LifeLine with the aim of producing the twin benefits of:
-
increasing the number of applications from people in need of help; and
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maintaining satisfactory levels of donation and investment income to meet the Fund’s management costs
-
for the continuance of the Charity’s grant objectives and to meet the level of awards granted.
The Director has continued to engage with ABTA Members directly about the support it can offer colleagues and their families. In particular, the charity has continued to increase its presence across all communication channels including social media with the kind support of the ABTA communications team.
In 2023 ABTA LifeLine received 162 applications for financial support up on 102 in the previous year.
Several large awards were made to help with flooring in social housing but the majority of awards were low level; people struggling with the cost of living crisis.
Total grants awarded came to £32,933 compared to £20,718 in 2022.
31 beneficiaries were referred to CAM (up on 21 in 2022) for vital debt and benefit advice. Although this a smaller cost to the charity the gains to the client in increased benefits or debt write off can be significant.
In addition to the grants awarded ABTA LifeLine also supported the travel industry in other ways, helping to influence and support social change. The charity facilitated the first mental health round table across the travel industry with the aim of seeking support to developing mental health resources that any size company in the industry could have access to.
Financial review
a. Overview
Raising funds from an industry in recovery again proved challenging in 2023 with many travel companies still managing business debt from Covid.
£12,500 in funding was received from ABTA Ltd and £12,500 from ABTA Insurance PCC Ltd
General income for the year from all sources was £206,084 (2022:£185,693). This includes £51,805 (2022: £37,303) donated income for services provided by ABTA Ltd to help with the running of the charity including the provision of accounting, IT, HR and other corporate services.
b. Going concern
After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.
Page 4
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report (continued) For the year ended 31 December 2023
c. Reserves policy
It is the policy of the trust that unrestricted funds which have not been designated for a specific use should be maintained at a minimum reserve level at twice the level of annual expenditure. This approach provides flexibility for Lifeline to adjust its activities in line with applications and the economic climate through its budget.
The Trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding they will be able to continue the trust’s activities while consideration is given to ways in which additional funds may be raised.
The reserves at 31st December 2023 were £615,819 (2022 £603,601) which the trustees consider to be sufficient in line with the charity’s reserves policy and future requirements.
d. Investments policy
Rathbones Investment Management Limited continued to provide discretionary fund management of the Charity’s investment portfolio during the year under review. The charity’s guidelines are for medium risk investments and for maintaining a broad balance between income and growth in the medium term.
In keeping with normal practice, the Fund’s investment portfolio was revalued at the end of December 2023, producing an unrealised gain of £27,863 compared to a loss of £57,710 in 2022. The performance of the portfolio is reported by Rathbones on a quarterly basis to ABTA Lifeline and a formal report provided to the Board of Trustees at every meeting.
e. Future plans
A strategy day was held on 24 November 2023 to review LifeLine’s performance and discuss the aims and objectives for the year ahead. The day’s focus was still on making the charity financially sustainable for the long term and increasing the number of applicants supported with a particular focus on increasing the number of higher level awards granted which have declined in the last 3 years.
Three key work streams were agreed:
-
Engagement and partnerships – how to promote the charity’s services to our community and increase
-
applications
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Increasing the number of higher level awards
-
Sustainable finance – how we recover and look to diversify income streams.
The Director will continue to engage with stakeholders to reach their employee community more effectively and progress her efforts to raise the awareness of ABTA LifeLine with the many tens of thousands of people who have worked for ABTA Members in the past, but no longer do so.
Structure, governance and management
a. Constitution
The ABTA Benevolent Fund is registered as a charitable company limited by guarantee and was set up by a Trust deed.
Page 5
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report (continued) For the year ended 31 December 2023
Structure, governance and management (continued)
b. Recruitment and Appointment of Management Committee
The management of the Company is the responsibility of the Trustees who are elected and co-opted under the terms of the Trust deed.
The directors of the company are also charity trustees for the purposes of charity law and under the company’s Articles are known as members of the Board of Trustees. Under the requirements of the Memorandum and Articles of Association the members of the Board are elected to serve for a period of two years after which they must be re-elected at the next Annual General Meeting.
All members of the Board give their time voluntarily and received no benefit from the charity. Any expenses reclaimed from the charity are set out in note 11 to the accounts.
On 23 November 2023 Mr J McEwan retired from the board. His position is yet to be replaced. Ms Z Hurley was appointed to the board on 16 May 2023.
Every effort is made to maintain and bring new skill sets to the Trustee Board. Member’s position and network in the travel industry is also an important asset to bring to the committee.
Mr D Jones remains the charity’s Chair and Mr D Jones, Mr A Rowland and Mr G Buck have responsibility for managing the charity’s reserves and financial decisions.
c. Governing document
The organisation is a charitable company limited by guarantee, incorporated on 3 December 1986, and registered as a charity on 29 January 1987. The company was established under a Memorandum of Association which established the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the company being wound up members are required to contribute an amount not exceeding £1.
The charity have revised its articles and objects for the purposes of bringing the charity up to date. This is currently waiting Charity Commission final approval.
d. Policies adopted for the induction and training of Trustees
New Trustees are welcomed to the Board by the Chair and Director of the charity. They are given an overview of their role and responsibilities and are given copies of the business plan, financial accounts and governance documents. Trustees are also referred to the Commission’s guide to ‘the essential Trustee.’
All Trustees are aware of bribery and corruption and data protection legislation and are required to complete governance training. Training is an annual event and a requirement as part of being a Trustee.
e. Risk management
In 2023 ABTA LifeLine continued to review its governance and established clear terms of reference and policies for the running of the charity.
Page 6
The ABTA Benevolent Fund
(A company limited by guarantee)
Trustees' report (continued) For the year ended 31 December 2023
Structure, governance and management (continued)
f. Related party relationships
The charity is supported by ABTA Ltd. ABTA provide the office space, technology, HR, accounting, legal and management support for ABTA LifeLine to pursue its charitable objectives. This support in kind is in addition to any annual financial donation made by ABTA Ltd and ABTA Insurance PCC Limited.
The charity works across the travel industry building partnerships to help spread the word of its charitable aims and identify prospective funding. The charity is a member of the Association of Charitable Officers which provide guidance and support.
g. Organisational structure
The Board of Trustees currently has 7 Members who meet quarterly and are responsible for the strategic direction and policy of the charity and deciding financial awards.
All meetings are held in compliance with the Competition Act 1998 and Trustees are required to register with the Chairman any relevant interests.
Day to day responsibility is delegated to the Director for the provision of the services, reaching people in need, promoting the charity and establishing efficient ways to generate income.
Further part time resource was employed in 2023 to specifically manage applications given the increasing number of people seeking support.
Typically, decisions to award grants over £5,000 are made by the Board of Trustees. Awards under this value are delegated to the Director plus another from the designated Trustees with financial responsibilities.
Decisions on the strategic direction of the charity and the business plan for the forthcoming year are agreed by the Board of Trustees.
h. Responsibilities of the Board
Charity and company law require the Board of Trustees, who are also the directors, to prepare financial statements for each financial year which give a true and fair view of the financial activities of the charity during the year and of its financial position at the end of the year. In preparing those financial statements, the directors are required to:
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select suitable accounting policies and then apply them consistently:
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make judgements and estimates that are reasonable and prudent:
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state whether applicable accounting standards have been followed, subject to any material departures
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disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to assume that the
-
charity will continue its activities.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which enable them to ensure that the financial statements comply with the Companies Act 2006 Statement of Recommended Practice: Accounting and Reporting by Charities. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The maintenance and integrity of the charity’s website is the responsibility of the Trustees. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislations in other jurisdictions.
Page 7
The ABTA Benevolent Fund IA company limited by guarantee) Trustees. report Icontinuedl For the year ended 31 December 2023 Structure. governance and management (continued) i. Mgmbors of the Board Members of the Board. who are diwlors for the purpose of company law and trustees for the purpose of charity law, who served during the year and up to the date of this reN)rt are set out on page 1. In accordance with company law. the company's directo. we certrfy that.. So far as we are aware, there is no relevant reporting inf0mtiOn of which the company's accountants are unaware, and As the directors of the company we have taken all the steps that we OLTrght to have taken in order to make ourselves aware of any relevant reporting information and lo establish Ihat the charity's accountsnls are aware of that information. Reporting Ac¢ountsnts As pem)iited by the Memorandum and Articles, the ehanty is subject to an 1ndependerbt examination of ils financial activities. During the year, following a tendering prOsS Kreston Reeves was appointed the independent examiner for the 2023 accounts. statomgnt of Trustees. responsibilities The Trustees (who are a19) the directors of the Company for the purposes of company lawl are responsible for preparing the Trustees, report and the finanaal statements in ardance with applicable law and United Kingdom Accounting Stsndards (United Kingdom Generally A¢pIed Accounb"ng Practi1. Company law requires the Trustees to prepare financial ststements for each financial year. Under company law, thè Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the slate of affairs of the Company and of its incoming reSoUrS and application of resources, including its income and expenditure, for that period. In preparing these finanual slalements, the Trustees are required lo.. select suitable accounting pK)licies and then appty them consislenuy.. observe the methods and principles of Ihe Charities SORP IFRS 1021". make judgments and accounting estimates that are reasonable and prudent.. stsle whether applicable UK Accounting Standards IFRS 1021 have bn followed, subject to any material departures disclosed and explained in the financial statements", prepare the financial ststemenls on the going Conrn basis unless it is inappropriate to presume that the Company will eonb.nue in business. The Trustees are responsible frir keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with ieasonable accuracy at any lime the financial position of the Company and enable them to ensure that the financial statements MplY with the Companies Act 2D06. They are also responsible for safeguarding the assets of the Company and hen for taking reasonable steps for the prevention and detection of fraud and other irregularrties. Approved by order of the of the Lx)ard of Trustees and signed on their behalf by.. Mr D Jones ITrusleel Date.. 16 April 2024 Page 8
The ABTA Benevolent Fund
(A company limited by guarantee)
Independent examiner's report
For the year ended 31 December 2023
Independent examiner's report to the Trustees of The ABTA Benevolent Fund ('the Company')
I report to the charity Trustees on my examination of the accounts of the Company for the year ended 31 December 2023.
Responsibilities and basis of report
As the Trustees of the Company (and its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of the Company's accounts carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner's statement
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the Company as required by section 386 of the 2006 Act; or
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the accounts do not accord with those records; or
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the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
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the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
This report is made solely to the Company's Trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. My work has been undertaken so that I might state to the Company's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Company and the Company's Trustees as a body, for my work or for this report.
Signed: Dated: 23 April 2024
Lucy Hammond BSc FCA
Kreston Reeves LLP Chartered Accountants
9 Donnington Park, 85 Birdham Road, Chichester, West Sussex, PO20 7AJ
Page 9
The ABTA Benevolent Fund
(A company limited by guarantee)
Statement of financial activities (incorporating income and expenditure account) For the year ended 31 December 2023
| Note Income from: Donations and legacies 2 Charitable activities 3 Other trading activities 4 Investments 5 Total income Expenditure on: Raising funds 6 Charitable activities Total expenditure Net (expenditure)/income before net gains/(losses) on investments Net gains/(losses) on investments Net movement in funds Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Unrestricted funds 2023 £ 92,416 32,747 65,489 15,432 206,084 90,754 130,975 221,729 (15,645) 27,863 12,218 603,601 12,218 615,819 |
Total funds 2023 £ 92,416 32,747 65,489 15,432 206,084 90,754 130,975 221,729 (15,645) 27,863 12,218 603,601 12,218 615,819 |
As restated Total funds 2022 £ 78,384 35,044 53,551 18,714 |
|---|---|---|---|
| 185,693 63,544 102,760 |
|||
| 166,304 19,389 (57,710) |
|||
| (38,321) 641,922 (38,321) |
|||
| 603,601 |
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 12 to 24 form part of these financial statements.
Page 10
The ABTA Benevolenl Fund {A company limited by guarantee} Registered number- 02080267 Balance sheet As at 31 December 2023 2023 2022 Fixed assets Intangible assets Investments 12 13 561,975 559,644 561.975 559,647 Current assets Debtors 14 22.037 64.321 9,366 59,944 Cash al bank and in hand 86,358 69,310 Creditors-. amounts falling due within one year 132,5141 125,3561 Net current assets 43,954 Totsl assets less current liabilities 615.819 603,601 Totsl net assets 615.819 603,601 Charity funds Restricted funds Unrestricted funds 15 15 615,819 603,601 Total funds 615,819 603,601 The Company was entitled lo exemption from audrt under section 477 of the Companies Act 2006. The members have not required the company lo obtain an audit for the year in question in accordan with section 476 of Companies Act 2006_ The Trustees acknowledge their responsibilities for complying wilh the requirements of the Act with respect to accounting records and preparation of financial ststernents. The financial stslemenls have been prepared in accordan with the provisions applicable lo enb.ties subject to the small companies girne. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by.. Mr D Jones ITrusteel Dale.. 16 April 2024 The notes on pages 12 10 24 fomi part of these financ1 statements. Page11
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
1. Accounting policies
1.1 Basis of preparation of financial statements
The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
The ABTA Benevolent Fund meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.
The financial statements are prepared in sterling, which is the functional currency of the trust. Monetary amounts in these financial statements are rounded to the nearest £.
1.2 Going concern
The Trustees assesses whether the use of going concern is appropriate i.e. whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the forseeable future and there are no material uncertainties about the Charity's ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Income
All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.
Cash donations are recognised on receipt. Other donations are recognised once the trust has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of donation.
1.4 Expenditure
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use.
Grants made from the Income Fund are included in the financial statements at their date of approval by the Trustees and communicated to the recipients.
Expenditure on raising funds includes all expenditure incurred by the Company to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.
Page 12
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
1. Accounting policies (continued)
1.4 Expenditure (continued)
Expenditure on charitable activities is incurred on directly undertaking the activities which further the Company's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
1.5 Interest receivable
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Company; this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited.
1.6 Intangible assets and amortisation
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Intangible assets acquired on business combinations are recognised separately from goodwill at the aquisition date if the fair value can be measured reliably.
Amortisation is provided on intangible assets at rates calculated to write off the cost of each asset on a straight-line basis over its expected useful life.
Amortisation is provided on the following basis:
Computer software - 33 % straight line basis
1.7 Investments
Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Gains/(Losses) on investments’ in the Statement of financial activities.
1.8 Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
1.9 Cash at bank and in hand
Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
Page 13
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
1. Accounting policies (continued)
1.10 Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably.
Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.
Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.
1.11 Financial instruments
The Company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.
1.12 Loans
As the income of the Benevolent Fund can also be applied to make loans to applicants, loans advanced for benevolent purposes are included with grants made from the Income Fund to the financial statements when approved by the Trustees and then transferred to the balance sheet and included in debtors.
1.13 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Company and which have not been designated for other purposes.
Investment income, gains and losses are allocated to the appropriate fund.
Page 14
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
2. Income from donations and legacies
| Unrestricted funds 2023 £ Donations 92,416 Unrestricted funds 2022 £ Donations 78,384 |
Total funds 2023 £ 92,416 As restated Total funds 2022 £ 78,384 |
|---|---|
3. Income from charitable activities
| Unrestricted funds 2023 £ Employee campaign 32,397 Miscellaneous income 350 32,747 Unrestricted funds 2022 £ Employee campaign 34,894 Miscellaneous income 150 35,044 |
Total funds 2023 £ 32,397 350 |
|---|---|
| 32,747 | |
| Total funds 2022 £ 34,894 150 |
|
| 35,044 |
Page 15
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
4. Income from other trading activities
Income from non charitable trading activities
| Unrestricted funds 2023 £ Revenue from events and activities 65,489 Unrestricted funds 2022 £ Revenue from events and activities 53,551 Investment income Unrestricted funds 2023 £ Income from listed investments 14,926 Interest receivable 506 15,432 Unrestricted funds 2022 £ Income from listed investments 18,596 Interest receivable 118 18,714 |
Unrestricted funds 2023 £ Revenue from events and activities 65,489 Unrestricted funds 2022 £ Revenue from events and activities 53,551 Investment income Unrestricted funds 2023 £ Income from listed investments 14,926 Interest receivable 506 15,432 Unrestricted funds 2022 £ Income from listed investments 18,596 Interest receivable 118 18,714 |
Total funds 2023 £ 65,489 |
|---|---|---|
| Total funds 2022 £ 53,551 Total funds 2023 £ 14,926 506 15,432 Total funds 2022 £ 18,596 118 18,714 |
||
5. Investment income
Page 16
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
6. Expenditure on raising funds
Fundraising trading expenses
| Unrestricted funds 2023 £ Events costs 8,951 Investment management fees 4,746 Website costs 3,436 Staff wages 60,147 Staff NIC 6,243 Staff pension costs 7,231 90,754 |
Total funds 2023 £ 8,951 4,746 3,436 60,147 6,243 7,231 |
|---|---|
| 90,754 |
Page 17
The ABTA Benevolent Fund (A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
6. Expenditure on raising funds (continued)
Fundraising trading expenses (continued)
| Unrestricted funds 2022 £ Events costs 1,328 Investment management fees 5,048 Website costs 2,403 Staff wages 44,054 Staff NIC 5,196 Staff pension costs 5,515 63,544 |
As restated Total funds 2022 £ 1,328 5,048 2,403 44,054 5,196 5,515 |
|---|---|
| 63,544 |
7. Analysis of grants
| Grants to individuals Grants to individuals |
Grants to Individuals 2023 £ 32,933 Grants to Individuals 2022 £ 20,718 |
Total funds 2023 £ 32,933 Total funds 2022 £ 20,718 |
|---|---|---|
Page 18
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
8. Analysis of expenditure by activities
| Charitable activities Charitable activities Analysis of support costs Staff costs Depreciation Staff expenses Insurance Telephone, postage and stationery Subscriptions Bank charges Donated expenses Governance costs |
Grant funding of activities 2023 £ 32,933 Grant funding of activities 2022 £ 20,718 |
Support costs 2023 £ 98,042 Support costs 2022 £ 82,042 Activities 2023 £ 36,810 3 3,922 635 491 550 643 51,805 3,183 98,042 |
Total funds 2023 £ 130,975 |
|---|---|---|---|
| As restated Total funds 2022 £ 102,760 |
|||
| Total funds 2023 £ 36,810 3 3,922 635 491 550 643 51,805 3,183 |
|||
| 98,042 |
Page 19
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
8. Analysis of expenditure by activities (continued)
Analysis of support costs (continued)
| Staff costs Depreciation Staff expenses Insurance Telephone, postage and stationery Subscriptions Bank charges Donated expenses Governance costs |
Activities 2022 £ 33,217 67 4,834 452 667 463 690 37,303 4,349 82,042 |
As restated Total funds 2022 £ 33,217 67 4,834 452 667 463 690 37,303 4,349 |
|---|---|---|
| 82,042 |
9. Independent examiner's remuneration
| Fees payable to the Company's independent examiner for the independent examination of the Company's annual accounts 10. Staff costs |
2023 £ 3,438 |
2022 £ 4,349 |
|---|---|---|
| Wages and salaries Social security costs Contribution to defined contribution pension schemes |
2023 £ 90,220 9,364 10,847 110,431 |
2022 £ 70,773 8,348 8,861 |
|---|---|---|
| 87,982 |
The average number of persons employed by the Company during the year was as follows:
| 2023 | 2022 | |
|---|---|---|
| No. | No. | |
| Employees | 2 | 1 |
Page 20
The ABTA Benevolent Fund (A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
10. Staff costs (continued)
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
| 2023 | 2022 | ||
|---|---|---|---|
| No. | No. | ||
| In the band £70,001 | - £80,000 | - | 1 |
| In the band £80,001 | - £90,000 | 1 | - |
11. Trustees' remuneration and expenses
During the year, no Trustees received any remuneration or other benefits (2022 - £NIL).
During the year ended 31 December 2023, no Trustee expenses have been incurred (2022 - £NIL).
12. Intangible assets
| Cost At 1 January 2023 At 31 December 2023 Amortisation At 1 January 2023 Charge for the year At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022 |
Computer software £ 240 |
|---|---|
| 240 | |
| 237 3 |
|
| 240 | |
| - 3 |
Page 21
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
13. Fixed asset investments
| Cost or valuation At 1 January 2023 Additions Disposals Revaluations At 31 December 2023 Net book value At 31 December 2023 At 31 December 2022 |
Listed investments £ 559,644 58,345 (67,605) 11,591 |
|---|---|
| 561,975 | |
| 561,975 | |
| 559,644 |
14. Debtors
| Due within one year Trade debtors Other debtors Prepayments and accrued income |
2023 £ 19,411 1,500 1,126 22,037 |
2022 £ 4,635 4,001 730 |
|---|---|---|
| 9,366 |
Creditors: Amounts falling due within one year
| Trade creditors Other creditors Accruals and deferred income |
2023 £ 16,057 4,050 12,407 32,514 |
2022 £ 9,109 2,502 13,745 |
|---|---|---|
| 25,356 |
Page 22
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
15. Statement of funds
Statement of funds - current year
| Balance at | |||||
|---|---|---|---|---|---|
| Balance at 1 | 31 | ||||
| January | Gains/ | December | |||
| 2023 | Income | Expenditure | (Losses) | 2023 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | |||||
| General Funds | 603,601 | 206,084 | (221,729) | 27,863 | 615,819 |
| Statement of funds - prior year | |||||
| Balance at | |||||
| Balance at | 31 | ||||
| 1 January | Gains/ | December | |||
| 2022 | Income | Expenditure | (Losses) | 2022 | |
| £ | £ | £ | £ | £ | |
| Unrestricted funds | |||||
| General Funds | 641,922 | 148,390 | (129,001) | (57,710) | 603,601 |
16. Analysis of net assets between funds Analysis of net assets between funds - current year
| Unrestricted funds 2023 £ Fixed asset investments 561,975 Current assets 86,358 Creditors due within one year (32,514) Total 615,819 |
Total funds 2023 £ 561,975 86,358 (32,514) |
|---|---|
| 615,819 |
Page 23
The ABTA Benevolent Fund
(A company limited by guarantee)
Notes to the financial statements For the year ended 31 December 2023
16. Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior year
| Unrestricted funds 2022 £ Intangible fixed assets 3 Fixed asset investments 559,644 Current assets 69,310 Creditors due within one year (25,356) Total 603,601 |
Total funds 2022 £ 3 559,644 69,310 (25,356) |
|---|---|
| 603,601 |
17. Related party transactions
ABTA Limited donated services to the value of £51,805 (2022:£37,303). This amount has been included within donations income and charitable expenditure in 2023 and 2022 in these financial statements.
In the financial statements for the year ended 31 December 2022 these amounts were not recognised, the comparatives have therefore been restated in this set of financial statements. This prior year adjustment has a net effect of £nil on the net movement of funds for the year and Total Funds balance.
Page 24