Charity number: 297107
(previously called The London Institute of Banking & Finance)
Trustees’ report and financial statements For the year ended 31 July 2024
The London Foundation for Banking & Finance
Contents
| Page | |
|---|---|
| Reference and administrative details of the Charity, its Trustees and advisers | 1 |
| Trustees' report | 2 - 9 |
| Independent auditors' report on the financial statements | 10 - 13 |
| Statement of financial activities | 14 - 15 |
| Balance sheet | 16 |
| Statement of cash flows | 17 |
| Notes to the financial statements | 18 - 30 |
The London Foundation for Banking & Finance
Reference and administrative details of the Charity, its Trustees and advisers For the year ended 31 July 2024
| Trustees | Steven Haberman, Chair |
|---|---|
| Binta Darboe | |
| Sabrina Del Prete | |
| Shelley Doorey-Williams, ex-officio | |
| Paul Gordon | |
| David Kennedy | |
| Philip O'Shea | |
| Arjan Van Den Berkmortel | |
| Charity registered | |
| number | 297107 |
| Principal office | 40 Gracechurch Street |
| London | |
| EC3V 0BT | |
| Chief executive officer | Shelley Doorey-Williams |
| Independent auditors | Menzies LLP |
| Chartered Accountants | |
| Registered Auditors | |
| Magna House | |
| 18-32 London Road | |
| Staines-Upon-Thames | |
| TW18 4BP | |
| Bankers | HSBC UK Bank plc |
| 9 Rose Lane | |
| Canterbury | |
| Kent | |
| CT1 2JP | |
| Solicitors | Eversheds Sutherland (International) LLP |
| One Wood Street | |
| London | |
| EC2V 7WS | |
| Accountants | Kreston Reeves LLP |
| 37 St Margaret's Street | |
| Canterbury | |
| Kent | |
| CT1 2TU | |
| Investment Managers | Cazenove Capital |
| 1 London Wall Place | |
| London | |
| EC2Y 5AU | |
| Rathbones Investment Management | |
| 30 Gresham Street | |
| London | |
| EC2V 7QN |
Page 1
The London Foundation for Banking & Finance
Trustees' report For the year ended 31 July 2024
Welcome to The London Foundation for Banking & Finance (LFBF), formerly known as The London Institute of Banking and Finance, a financial education charity incorporated by Royal Charter.
Our objective
Our charitable objective is the advancement of knowledge of and education in financial services and to carry out research and publish the useful results of such research for the benefit of the public. The changes we seek to make are to improve levels of financial literacy and enablement as well as support those working within or considering a career in the financial services industry.
Our history
Our story began in March 1879, when a group of bank workers came together to establish leadership and professional practice principles for the industry. They created the first Institute of Bankers in England and Wales to offer educational resources to anyone working in the sector.
Over the years, the organisation developed its own industry-leading qualifications to create a gold standard of banking and financial education and established itself as a leading voice in the financial services world, providing invaluable insights into all areas of the industry and promoting the highest standards of professional competency.
In our more recent history, we completed a transaction with a large university group in 2023 to divest of our financial education qualifications and programmes, and direct education assets.
Our strategy
The funds received from the transaction in 2023 enable us to fund projects to support financial education and inclusion, to provide support for people from underrepresented groups looking to develop careers in the financial services industry and to undertake research for the public good. Given the scope of the transaction we initiated a strategic review which commenced towards the end of 2023. As part of the review, we commissioned two pieces of research to inform our long-term strategy. Furthermore, both pieces of research will be published for the public good, which is key to our charitable object.
Our significant activities
Our core activities to fulfil the charity's objectives for the public benefit are as follows:
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Grant financial awards to students wishing to pursue a career in financial services. This helps to achieve our objective of the advancement of knowledge of and education in financial services. In 2024 we continued to oversee a scholarship programme which provides financial support for students from disadvantaged backgrounds.
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Fund projects to support financial education. In 2024 we sponsored a significant event at the Excel Centre for 586 children to expand their financial education through an innovative app-based competition.
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Recognise the highest level of professional competence by awarding chartered status to individuals who have demonstrated their commitment to continued education and professional excellence. This helps to achieve our objective of the advancement of knowledge of and education in financial services as membership offers access to ongoing learning and development. In 2024, we conferred Chartered Status upon numerous financial services professionals who had demonstrated their commitment to continued education and professional excellence.
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Commissioning research in the field of financial education for the benefit of the public. This helps us to achieve our objective of publishing useful results for the benefit of the public. In 2024, we published a significant piece of research called The Young Persons’ Money Index, to highlight how young people feel and engage with money. The report was launched at The Bank of England to an audience of key stakeholders in the financial education arena.
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Transfer of the Business Assets of the Centre for the Study of Financial Innovation (‘CSFI’)
On 31 July 2024, the charity acquired the business assets of the CSFI at nil cost. The CSFI is a think tank for financial services professionals and observers to share ideas about opportunities and challenges facing the financial services sector. The charity’s object is advancing awareness of and education in financial services and to carry out research for the benefit of the public. The CSFI activities as a think tank fit very well with the charitable object. Furthermore, LFBF has a community of chartered members and plans to leverage CSFI content, community and events to enhance their membership. The CSFI brand will continue to be used.
Plans for the future
Our objective is just as relevant, perhaps even more so, today as it has been in our long history. We continue to create positive impact by undertaking the core activities to fulfil our charitable objectives. As stated in our report last year, in late 2023 we embarked on a strategic review that included conducting research and evidence-based evaluation of the areas in which we operate. At the time of this report, one of those pieces of research has been published, The Young Persons’ Money Index, in August 2024. The second research project, which we commissioned from Bayes Business School and with a working title of 'Financial Capability in the UK', is due to conclude in November 2024. The findings and conclusions from these pieces of research will enable us to finalise our decision upon strategy as well as appropriate criteria to track and report our success against our stated objectives.
We will publish our refreshed strategy befitting of our newly independent status in late 2024.
Thank you for your interest in The London Foundation for Banking & Finance.
Achievements and performance
Financial Review – Results for the Year to 31 July 2024
There was a surplus for the year of £516,928 as shown in the statement of financial activities on page 14.
The Charity was previously supported in its activities by its wholly owned subsidiaries, LIBF Learning Ltd, whose main activities encompass sponsorship and events, The London Institute of Banking & Finance (MENA) Ltd, which covers all activities within Abu Dhabi and The London Institute of Banking & Finance (APAC) PTE Ltd which supports all activities within the APAC region. As part of the transaction in March 2023, only two of the subsidiaries had remained: LIBF Learning Limited and Institute of Financial Services Limited.
During the year, a decision was made that LIBF Learning Limited could be voluntarily struck off as it was no longer required. At the time of writing this report, the striking off process was ongoing. The Institute of Financial Services Limited continues to be a dormant company.
The general fund is the primary fund against which underlying financial performance is measured. Previously we generated a surplus to produce sufficient cash to support strategic objectives. Whilst there remain no incomegenerating activities at present, this will form part of our refreshed strategy going forward.
Restricted funds include: The Grunfeld Fund, which supports the education of people working in banking and financial services in London; the Alumni and Scholarship Fund incorporating Principality Building Society funding previously donated to support financial education for children in schools in Wales and the C. Hoare & Co Scholarship Programme Fund.
Going Concern
Following the sale of its operations and assets on 31 March 2023, the charity continues to hold substantial funds. The Trustees have considered the financial projections and cashflow forecasts to be able to continue in operation for the foreseeable future. Therefore they have adopted the going concern basis for the preparation of these financial statements.
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Reserves Policy
Total funds at 31 July 2024 stood at £17.1m.
Funds are split between unrestricted and restricted and as at 31 July 2024 these amounted to £16.5m and £0.6m respectively. The current level of unrestricted reserves is significant as a result of the sale of educational business in 2023 which generated a profit on sale for the charity of £11.5m. These reserves will ensure that the charity can provide significant support to its charitable purpose for some time to come.
Currently the cash requirement is minimal. The charity is finalising its strategy and once this is in operation it is expected that the cash requirements will increase. It is anticipated that the reserves will remain high relative to the annual spend requirement and will be sufficient to finance the charitable activities for a number of years.
The trustees aim to divide the funds held into:
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1) Working capital – immediate requirements
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2) Liquidity reserve – 2-5 year expenditure requirements
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3) Investment portfolio – post 5 year requirement.
These are based on the immediacy of the need and have differing investment strategies – ranging from cash holdings, treasury deposits to equity investments planned to generate returns in excess of inflation.
During the year, the Investment Committee undertook a thorough review of our investment management arrangements. This review culminated in the adoption of an Investment Policy in April which sets out the division and treatment of funds, with differing time horizons and investment strategies. Furthermore, the review led to a decision to appoint a new external Investment Manager, Cazenove Capital, to manage the funds in line with the Investment Policy and befitting of the size of reserves relative to anticipated cash requirements. At the time of writing this report the transition to this investment manager is being made.
The trustees consider the reserve requirements of the restricted funds separately from the unrestricted funds. The income from these restricted funds is generated from the donations received and invested. These funds are held for specific scholarship and grant making programmes funded by them. The funds retained at 31 July 2024 can be seen in Note 18 in the Notes to the financial statements where the purpose and background is described.
The trustees intend to continue to award scholarships and grants with the purpose specified by the donors as outlined in Note 18 referenced above.
The charity holds no functional assets which represent a commitment of the reserves.
Investments
At 31 July 2024, the charity held fixed-asset investments with a market value of £504,788 (compared with £462,705 in 2023).
The Trustees delegate the discretionary powers of management of our fixed-asset investments to investment manager Rathbones. The investment objective is to maximise long-term total return and it is measured against an agreed target. There is no specific direction given to the investment manager regarding social, environmental and ethical considerations.
Our bank balances are held in cash and in a range of fixed-term deposits with HSBC.
Risk management
We continue to be partially reliant upon a Service Level Agreement between The London Foundation for Banking & Finance and LIBF Ltd. However, during the year, we undertook various initiatives and entered into new arrangements to enable the charity to become increasingly independent of the Service Level Agreement. The Risk Register is reviewed on an ongoing basis and has been updated to reflect our reduced reliance upon the Service Level Agreement.
The Service Level Agreement remains in place and provides for a range of general business support and
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
infrastructure, even though our dependency on it has reduced over the year.
We continue to work closely with LIBF Ltd to ensure we have a strong working relationship, and that the charity receives the very best value and support under the agreement. We are cognisant of the areas that we rely upon under the agreement and continue to closely monitor the migration away from the Service Level Agreement as a risk.
Statement of Corporate Governance
The governing body of The London Foundation for Banking & Finance is the Board of Governors, which comprises the Chair, the Chief Executive and up to 15 appointed members. As Governors, members of the Board of Governors have a single overarching responsibility, which is to ensure that we fulfil our object. In addition, the members of the Board of Governors are the Trustees of the charity.
Corporate Governance
We have adopted the Charity Governance Code published by the Charity Governance Code Steering Group (a cross-sector collaboration with an independent chair). The code is not mandatory, but we have decided to adopt it.
Constitution
The London Foundation for Banking & Finance was established in 1879 as the Institute of Bankers and has latterly used the working names Institute of Financial Services, ifs School of Finance, ifs University College and most recently The London Institute of Banking and Finance. It was incorporated by Royal Charter in February 1987 and registered as a charity in June 1987. Amendments to the Charter followed in February 2000, December 2003, July 2006, May 2008, July 2010, September 2016 and September 2023. These included formally changing the name and changes to the governance. In September 2024, we received confirmation from The Charities Commission that they had accepted our application to them to change the name to The London Foundation for Banking & Finance. At the time of writing, the name change is yet to be reflected in the public register of charities, hence our name still appears as The London Institute of Banking and Finance.
Charter
The Charter sets out our objects and powers. It requires us to establish a Board of Governors, who are the Trustees.
The object for which we are constituted is the advancement of knowledge of, and education in, financial services as the Board of Governors may determine from time to time, and to carry out research and publish the useful results of such research for the benefit of the public.
The Trustees are cognisant of the Charity Commission guidance on public benefit and, in particular, guidance for fee-charging charities. The Trustees are satisfied with the steps they have taken in this regard.
Board of Governors (Trustees)
Members of the Board of Governors include senior personnel within the financial services and educational sectors who ‘donate’ their expertise, experience and limited time on a voluntary basis to act as Governors.
The primary responsibility of the Board is to oversee the charity’s strategic direction and monitor the progress through regular, timely reporting, including reports from all of the sub-committees and reviews of key performance indicators. The Board also oversees the management of the finances, property and all business affairs.
All new Governors are provided with a detailed induction pack when they are appointed and there is a programme of ongoing training for Governors to assist them with carrying out their roles.
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Statement of Responsibilities of the Board of Governors (Trustees)
The Governors are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and regulations.
The Charities Act 2011 requires the Governors to prepare financial statements for each financial year. The Governors have to prepare the financial statements in accordance with UK Generally Accepted Accounting Practice (UK Accounting Standards and applicable law), including FRS 102, the financial reporting standard applicable in the UK and Republic of Ireland. The Governors must not approve the financial statements unless they are satisfied that they give a true and fair view of our state of affairs, and of the incoming resources and application of resources of the group for that period. In preparing these financial statements, the Governors are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities Statement of Recommended Practice (FRS102);
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make judgements and accounting estimates that are reasonable and prudent;
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state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the group will continue in business.
The Governors are responsible for keeping adequate accounting records that are sufficient to show and explain our transactions, disclose with reasonable accuracy at any time our financial position and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008, and the provisions of our Charter and Statutes. They are also responsible for safeguarding our assets and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The Governors are responsible for the maintenance and integrity of the corporate and financial information included on our website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
The Board meets at least four times a year and receives regular reports from management on our operational aspects, including minutes from all of the sub-committees. At least one of the meetings includes a review of the strategy.
Through leadership of the Board, the Chair plays a key role in our business, ensuring that we are well connected with our stakeholders. The Chair promotes the well-being and efficient operation of the Board, and ensures that members work together effectively and have confidence in the procedures laid down for the conduct of business. The Chair ensures that committees play a central role in the proper conduct of the Board’s business by exercising delegated powers and reporting back to the Board appropriately. The Chair should not be drawn into the day-today executive management.
Day-to-day responsibility is delegated to the Chief Executive. The Chief Executive is responsible to the Board of Governors for business and financial affairs, and for advising the Board on strategic direction.
Board of Governors (Trustees)
The Trustees as at 31 July 2024 are as follows:
Steven Haberman (Chair)
Steven is currently Professor of Actuarial Science at Bayes (formerly Cass) Business School, City, University of London. From 2002 to 2012, he was Deputy Dean and Director of Bayes (formerly Cass) Business School, and then Dean for three years to the end of 2015.
Steven graduated in mathematics at the University of Cambridge. He qualified as a Fellow of the Institute of Actuaries in 1975, and obtained his PhD and DSc in actuarial science from City University. He is also an Honorary Fellow of the Italian Institute of Actuaries.
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Steven has worked at Prudential Assurance and for the Government Actuary’s Department, and has been a member of the Council of the Institute and Faculty of Actuaries (for two terms). He has also been a member of TheCityUK Advisory Council, Governor of the City of London Academy Islington, and a member of the External Advisory Panel to the Morris Review of the UK Actuarial Profession, as well as a founder member of the Financial Reporting Council's Board for Actuarial Standards. He has acted as a consultant to Deutsche Bank, Swiss Re, the Financial Services Authority and the National Audit Office, among others.
He is currently a member of Legal & General's Longevity Science Panel.
He has co-authored 5 books and has written over 190 papers on a wide range of topics, including mortality and morbidity models, annuities, insurance pricing and pensions. His papers have won research prizes from the Institute of Actuaries (UK) and Society of Actuaries (US).
Other members of the Board of Governors (Trustees) are:
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Binta Darboe
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Sabrina Del Prete
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Shelley Doorey-Williams*
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Paul Gordon
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David Kennedy
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Philip O’Shea
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Arjan van den Berkmortel
*This Trustee resigned from the role of Deputy Chair on 3 October 2023 taking up the role as Chief Executive, she remains a Trustee ex officio.
No trustees resigned during the year.
Audit and Risk Committee
The basic responsibility of the Audit and Risk Committee, which meets at least twice a year, is to satisfy itself as far as it can that the annual accounts follow approved accounting principles and give an accurate account of our affairs in as comprehensible a way as possible. It must satisfy itself that the external auditors have no cause for disquiet about any aspect of the accounts or of our control and audit procedures. The Committee also monitors the risk management and internal control processes and provides the Board of Governors with an annual report of its work. The Audit and Risk Committee is chaired by a member of the Board of Governors.
Members of the Audit and Risk Committee are:
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David Kennedy (Chair)
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Paul Gordon
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Philip O’Shea
Nominations and Remuneration Committee
The Chair of the Board of Governors chairs the Nominations and Remuneration Committee, which meets at least once a year. It is responsible for making recommendations to the Board of Governors on the appointment of Governors, the Chair of the Board, the Chief Executive and Chairs of Committees.
The Committee determines and approves a framework and consistent policy on remuneration and pension arrangements. It is specifically responsible for setting the terms of service of the Chief Executive and Secretary to the Board and considers, where necessary and subject to the legislation and regulations applying to charitable bodies, any remuneration for the Chairs of the Board and the Audit and Risk Committee.
Members of the Nominations and Remuneration Committee are:
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Steven Haberman (Chair)
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• Arjan van den Berkmortel • Binta Darboe
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Sabrina del Prete
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Chartered Membership Committee
Due to our newly independent status, our activities in relation to the conferring of Charted Status are managed in partnership with LIBF Ltd (the purchasing organisation in the transaction in March 2023). In order to facilitate this process, we established a new sub-committee of the Board of Governors after the end of the financial year, called the Chartered Membership Committee. They play a lead role in reviewing recommendations and deciding upon which individuals to confer Charted Status to.
Members of the Chartered Membership Committee are:
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Phil O’Shea (Chair)
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David Kennedy
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Claire Harding (representing LIBF Ltd)
Investment Committee
The Investment Committee’s role is one of strategic direction and oversight of the charity’s investment assets.
The investment portfolio represents an important asset for the charity, with investment income representing a significant part of annual total income. The Committee fulfils an essential role in the long-term stewardship of these assets in order to best further the aims of the charity.
The Committee determines, implements and reviews an investment strategy to deliver our agreed investment objectives as follows:
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to at least maintain the real value of the investment portfolio over the long term;
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to generate a consistent and sustainable return to fund annual expenditure;
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to align return expectations and ‘pay out’ strategy with budget requirements to deliver the investment objectives within an acceptable level of risk.
The Investment Committee is responsible for establishing a detailed Investment Policy, within the powers conferred under our governing documents and incorporation under the Royal Charter, and relevant legislation and guidance as per The Charities Commission. The Investment Policy was established in the context of our overall strategy and to fulfil our charitable objectives.
The Investment Policy sets out the investment objectives, risk tolerance, liquidity requirements, time horizon, responsible investment policy and operational arrangements for implementation, monitoring and reporting.
Members of the Investment Committee are:
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Arjan van den Berkmortel (Chair)
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• Paul Gordon
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Binta Darboe
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The London Foundation for Banking & Finance
Trustees' report (continued) For the year ended 31 July 2024
Disclosure of information to auditors
Each of the persons who are trustees at the time when this Trustees' Report is approved has confirmed that:
• so far as the trustee is aware, there is no relevant audit information of which the Charity's auditors are unaware, and
• the trustee has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Charity's auditors are aware of that information.
Auditor
The auditors, Menzies LLP, have indicated their willingness to continue in office. The designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees.
Approved by order of the members of the board of Trustees and signed on their behalf by:
Steven Haberman
Chair of the Board of Governors (Trustees) Date: 06-Nov-2024
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The London Foundation for Banking & Finance
Independent auditors' report to the Members of The London Foundation for Banking & Finance
Opinion
We have audited the financial statements of The London Foundation for Banking & Finance (the 'charity') for the year ended 31 July 2024 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, 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:
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give a true and fair view of the state of the charity's affairs as at 31 July 2024 and of its incoming resources and application of resources for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Charities Act 2011.
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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. 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 course of 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 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.
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The London Foundation for Banking & Finance
Independent auditors' report to the Members of The London Foundation for Banking & Finance (continued)
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report.
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Trustees' report is inconsistent in any material respect with the financial statements; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the trustees’ responsibilities statement, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
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The London Foundation for Banking & Finance
Independent auditors' report to the Members of The London Foundation for Banking & Finance (continued)
Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise 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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below:
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The charity is subject to laws and regulations that directly affect the financial statements including financial reporting legislation. We determined that the following laws and regulations were most significant including the Charities Act 2011 and GDPR. We assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items.
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We understood how the charity is complying with those legal and regulatory frameworks by making inquiries to management and those responsible for legal and compliance procedures. We corroborated our inquiries through our review of board minutes.
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The engagement partner assessed whether the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations. The assessment did not identify any issues in this area.
We assessed the susceptibility of the charity’s financial statements to material misstatement, including how fraud might occur. As a result of the above procedures, we considered that the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the posting of fraudulent journal entries and timing of revenue recognition.
Audit procedures performed by the engagement team and component auditors included:
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Identifying and assessing the design effectiveness of controls management has in place to prevent and detect fraud;
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Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;
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Challenging assumptions and judgments made by management in its significant accounting estimates;
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• Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations;
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Reviewing and verifying the basis on which income is recognised in the accounts
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidancefor-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx.
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The London Foundation for Banking & Finance
Independent auditors' report to the Members of The London Foundation for Banking & Finance (continued)
Use of our report
This report is made solely to the charity’s members, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Menzies LLP
Chartered Accountants Statutory Auditor
Magna House 18-32 London Road Staines-Upon-Thames TW18 4BP
Date:[06-Nov-2024 ]
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The London Foundation for Banking & Finance
Statement of financial activities For the year ended 31 July 2024
| Note Income from: Donations and legacies 3 Charitable activities 4 Investments 5 Other income 6 Total income Expenditure on: Charitable activities 7 Total expenditure Net (expenditure)/income before net gains/(losses) on investments Net gains/(losses) on investments Net movement in funds before other recognised gains/(losses) Other recognised gains/(losses): Gain on sale of charity's operations 10 Net movement in funds |
Restricted funds 2024 £ - - 13,360 - 13,360 18,978 18,978 (5,618) 29,701 24,083 - 24,083 |
Unrestricted funds 2024 £ - 51,955 683,899 - 735,854 243,009 243,009 492,845 - 492,845 - 492,845 |
Continuing operations 2024 £ - 51,955 697,259 - 749,214 261,987 261,987 487,227 29,701 516,928 - 516,928 |
Total funds 2024 £ - 51,955 697,259 - 749,214 261,987 261,987 487,227 29,701 516,928 - 516,928 |
Continuing operations 2023 £ 201,841 - 11,981 - 213,822 18,080 18,080 195,742 (8,290) 187,452 - 187,452 |
Discontinued operations 2023 £ - 11,466,992 231,861 1,423,208 13,122,061 11,543,418 11,543,418 1,578,643 (8,962) 1,569,681 11,499,803 13,069,484 |
Total funds 2023 £ 201,841 11,466,992 243,842 1,423,208 13,335,883 11,561,498 11,561,498 1,774,385 (17,252) 1,757,133 11,499,803 13,256,936 |
|---|---|---|---|---|---|---|---|
Page 14
The London Foundation for Banking & Finance
Statement of financial activities (continued) For the year ended 31 July 2024
| Note Reconciliation of funds: Total funds brought forward Net movement in funds Total funds carried forward |
Restricted funds 2024 £ 618,372 24,083 642,455 |
Unrestricted funds 2024 £ 15,962,479 492,845 16,455,324 |
Continuing operations 2024 £ 16,580,851 516,928 17,097,779 |
Total funds 2024 £ 16,580,851 516,928 17,097,779 |
Continuing operations 2023 £ 430,920 187,452 618,372 |
Discontinued operations 2023 £ 2,892,995 13,069,484 15,962,479 |
Total funds 2023 £ 3,323,915 13,256,936 |
|---|---|---|---|---|---|---|---|
| 16,580,851 |
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 18 to 30 form part of these financial statements.
Page 15
The London Foundation for Banking & Finance
Balance sheet As at 31 July 2024
| Note Fixed assets Tangible assets 12 Investments 13 Current assets Debtors 15 Investments 16 Cash at bank and in hand Creditors: amounts falling due within one year 17 Net current assets Total net assets Charity funds Restricted funds 18 Unrestricted funds 18 Total funds |
463,395 10,000,000 6,271,257 16,734,652 (142,620) |
2024 £ 956 504,791 505,747 16,592,032 17,097,779 642,455 16,455,324 17,097,779 |
104,885 15,000,000 1,526,146 16,631,031 (512,889) |
2023 £ - 462,709 |
|---|---|---|---|---|
| 462,709 16,118,142 |
||||
| 16,580,851 | ||||
| 618,372 15,962,479 |
||||
| 16,580,851 |
The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:
Steven Haberman Chair Date:[06-Nov-2024 ]
The notes on pages 18 to 30 form part of these financial statements.
Page 16
The London Foundation for Banking & Finance
| Statement of cash flows For the year ended 31 July 2024 Note Cash flows from operating activities Net cash generated by operating activities 20 Cash flows from investing activities Dividends, interests and rents from investments Net proceeds from the sale of the Charity's operations Purchase of tangible fixed assets Proceeds from sale of investments Purchase of investments Investment in fixed term deposits Net cash provided by/(used in) investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year Cash and cash equivalents at the end of the year 21 |
2024 £ (938,447) 697,259 - (1,319) 978 (13,360) 5,000,000 5,683,558 4,745,111 1,526,146 6,271,257 |
2023 £ 774,649 232,262 12,316,974 (129,578) 626,080 (19,241) (15,000,000) (1,973,503) (1,198,854) 2,725,000 1,526,146 |
|---|---|---|
The notes on pages 18 to 30 form part of these financial statements
Page 17
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
1. General information
The London Foundation for Banking & Finance is a registered charity incorporated in England and Wales by Royal Charter (RC000719). Its principal office is 40 Gracechurch Street, London EC3V 0BT.
2. Accounting policies
2.1 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 Charities Act 2011.
The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The charity is a parent charity. Consolidated financial statements have not been prepared on the basis that all of the charity's subsidiary companies were dormant throughout the year.
The London Foundation for Banking & Finance 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.
2.2 Going concern
The charity is holding substantial funds. The Trustees have considered the financial projections and cashflow forecasts and are satisfied that there will be sufficient funds for the charity to be able to continue in operation for the foreseeable future. Therefore they have adopted the going concern basis for the preparation of these financial statements.
2.3 Income
Investment income is included on a receivable basis.
Donations are included in the financial statements on the basis of amounts received.
All other incoming resources are included in income and expenditure when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.
Gift Aid is recognised as a distribution at the point that a specific obligation has been created.
2.4 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 on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
Page 18
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
2. Accounting policies (continued)
2.5 Pensions
The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.
2.6 Foreign currencies
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the reporting date.
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the Statement of financial activities.
2.7 Tangible fixed assets and depreciation
Tangible fixed assets costing £1,000 or more are capitalised and recognised when future economic benefits are probable and the cost or value of the asset can be measured reliably.
Tangible fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. All costs incurred to bring a tangible fixed asset into its intended working condition should be included in the measurement of cost.
Depreciation is charged so as to allocate the cost of tangible fixed assets less their residual value over their estimated useful lives, .
Depreciation is provided on the following basis:
Computer equipment - 33% on a straight line basis
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
2.8 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.
Investments in subsidiaries are valued at cost less provision for impairment.
2.9 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 less than three months from the date of acquisition or opening of the deposit or similar account.
Page 19
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
2. Accounting policies (continued)
2.10 Operating leases
Rentals paid under operating leases are charged to the Statement of financial activities on a straightline basis over the lease term.
Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.
The Charity has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into prior to the date of transition of the standard to continue to be charged over the period to the first market rent review rather than the term of the lease.
2.11 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 Charity and which have not been designated for other purposes.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
3. Income from donations and legacies
| Donations Total 2023 |
Restricted funds 2024 £ - 201,841 |
Total funds 2024 £ - 201,841 |
Total funds 2023 £ 201,841 |
|---|---|---|---|
Page 20
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
4. Income from charitable activities
| Higher Education students: Full-time Home and EU students Part-time students Financial Education qualifications Professional Education qualifications Chartered membership fees Total 2023 |
Unrestricted funds 2024 £ - - - - 51,955 51,955 11,466,992 |
Total funds 2024 £ - - - - 51,955 51,955 11,466,992 |
Total funds 2023 £ 2,668,808 476,518 2,351,332 5,970,334 - |
|---|---|---|---|
| 11,466,992 | |||
5. Investment income
| Other investment income Investment income - foreign cash Total 2023 Other incoming resources Professional and alumni services Total 2023 |
Restricted funds 2024 £ 13,360 - 13,360 43,856 |
Unrestricted funds 2024 £ 683,899 - 683,899 199,986 Unrestricted funds 2024 £ - 1,423,208 |
Total funds 2024 £ 697,259 - 697,259 243,842 Total funds 2024 £ - 1,423,208 |
Total funds 2023 £ 232,262 11,580 |
|---|---|---|---|---|
| 243,842 | ||||
| Total funds 2023 £ 1,423,208 |
||||
6. Other incoming resources
Page 21
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
7. Analysis of expenditure on charitable activities
Summary by fund type
| Staff costs Other operating expenditure Depreciation Total 2023 |
Restricted funds 2024 £ - 18,978 - 18,978 18,080 |
Unrestricted funds 2024 £ 54,230 188,416 363 243,009 11,543,418 |
Total 2024 £ 54,230 207,394 363 261,987 11,561,498 |
Total 2023 £ 5,795,991 5,612,496 153,011 11,561,498 |
|---|---|---|---|---|
Of the total expenditure on charitable activities in the year, £93,355 relates to direct costs and £168,632 relates to support costs.
8. Auditors' remuneration
The auditors' remuneration amounts to an auditor fee of £12,500 (2023 - £40,500).
9. Staff costs
| 2024 £ Wages and salaries 45,589 Social security costs 4,994 Pension costs 3,647 54,230 The average number of persons employed by the Charity during the year was as follows: 2024 No. Employees 1 |
2023 £ 4,909,546 514,983 371,462 |
|---|---|
| 5,795,991 | |
| 2023 No. 119 |
As part of the arrangements for the sale of the charity and its group's operations on 31 March 2023, all of the employees were transferred under TUPE regulations to the purchaser.
Page 22
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
9. Staff costs (continued)
The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:
| 2024 | 2023 | |
|---|---|---|
| No. | No. | |
| In the band £60,001 - £70,000 | - | 4 |
| In the band £70,001 - £80,000 | - | 2 |
| In the band £80,001 - £90,000 | - | 1 |
| In the band £100,001 - £110,000 | - | 1 |
| In the band £140,001 - £150,000 | - | 1 |
Remuneration paid to key management personnel during the year was £54,230 (2023 - £1,065,000)
10. Gain on sale of the Charity's operations
As disclosed in the prior year's financial statements, on 31 March 2023, the Charity sold all of its operations and assets, other than those held for restricted purposes. All of the Charity's liabilities at that date were transferred as part of the sale. The sale included two of the Charity's subsidiaries, The London Institute of Banking & Finance (MENA) Ltd and The London Institute of Banking & Finance (APAC) PTE Ltd. After accounting for the costs associated with the sale, a net gain for the charity on sale of £11,499,803 was recognised in the financial statements.
11. Trustees' remuneration and expenses
During the year, one of the Trustees, Shelley Doorey-Williams, received remuneration of £45,589 in respect of her role as the charity's Chief Executive Officer with pension contributions of £3,647 being made. No other Trustees received any remuneration or other benefits (2023 - £NIL).
During the year, no Trustee expenses have been incurred (2023 - £NIL).
Page 23
The London Foundation for Banking & Finance
Notes to the financial statements
For the year ended 31 July 2024
12. Tangible fixed assets
| Cost or valuation Additions At 31 July 2024 Depreciation Charge for the year At 31 July 2024 Net book value At 31 July 2024 At 31 July 2023 |
Computer equipment £ 1,319 1,319 363 363 956 - |
|---|---|
Page 24
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
13. Fixed asset investments
| Valuation At 1 August 2023 Additions Disposals Revaluations At 31 July 2024 |
Investments in subsidiary companies £ 4 - (1) - 3 |
Managed funds £ 462,705 13,360 (978) 29,701 504,788 |
Total £ 462,709 13,360 (979) 29,701 504,791 |
|---|---|---|---|
Managed funds were managed during the year by Rathbones. Fees are charged separately to the Charity and deducted from the investment portfolio.
At 31 July 2024, the original cost of the Managed funds was £447,738 (2023 - £435,000).
The Managed Funds were held in the following classes of investments:
| UK equities | 2024 £ 504,788 504,788 |
2023 £ 462,705 462,705 |
|---|---|---|
Principal subsidiaries
The following were subsidiary undertakings of the Charity during the year:
| Names | Company | Incorporated | Nature of | Class of | Holding |
|---|---|---|---|---|---|
| number | Business | shares | |||
| LIBF Learning Limited | 02087869 | England and Wales | Dormant | £1 Ordinary | 100% |
| Institute of Financial Services | 03637677 | England and Wales | Dormant | £1 Ordinary | 100% |
| Limited | |||||
| ifs ProShare Limited | 06769997 | England and Wales | Dormant | £1 Ordinary | 100% |
During the year, ifs ProShare Limited was dissolved.
Page 25
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
14. Business Assets of the Centre for the Study of Financial Innovation (‘CSFI’)
On 31 July 2024, the charity acquired the intangible business assets of the CSFI, such as the database and intellectual property rights, at nil cost.
15. Debtors
| Due within one year Other debtors Prepayments and accrued income |
2024 £ 51,955 411,440 463,395 |
2023 £ - 104,885 104,885 |
|---|---|---|
16. Current asset investments
| 2024 | 2023 | |
|---|---|---|
| £ | £ | |
| Fixed term deposits | 10,000,000 | 15,000,000 |
Since the year end, an additional £5,000,000 has been invested in fixed term deposits.
17. Creditors: Amounts falling due within one year
| Trade payables Other taxation and social security Other creditors and accruals |
2024 £ 14,640 28,480 99,500 142,620 |
2023 £ - - 512,889 512,889 |
|---|---|---|
Page 26
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
18. Statement of funds
Statement of funds - current year
| Balance at 1 August 2023 £ Unrestricted funds General Fund 15,962,479 Restricted funds Alumni and Scholarship Fund 453,716 Bursary Fund 135,349 Grunfeld Fund 25,663 Strudwick Prize Fund 3,644 C. Hoare & Co. Scholarship Fund - 618,372 Total of funds 16,580,851 |
Income £ 735,854 8,170 4,455 735 - - 13,360 749,214 |
Expenditure £ (243,009) (18,598) (326) (54) - - (18,978) (261,987) |
Transfers in/out £ - (117,187) - - - 117,187 - - |
Gains/ (Losses) Balance at 31 July 2024 £ £ - 16,455,324 18,162 344,263 9,904 149,382 1,635 27,979 - 3,644 - 117,187 29,701 642,455 29,701 17,097,779 |
Gains/ (Losses) Balance at 31 July 2024 £ £ - 16,455,324 18,162 344,263 9,904 149,382 1,635 27,979 - 3,644 - 117,187 29,701 642,455 29,701 17,097,779 |
|---|---|---|---|---|---|
| 642,455 | |||||
| 17,097,779 |
The Alumni and Scholarship Fund gives past students the opportunity to participate in this vision and support diverse future generations of financial services professionals. The primary purpose of the fund is to provide support for students undertaking the charity's full-time undergraduate degree programmes.
The Bursary Fund provides means-tested assistance to both full and part-time students.
The Grunfeld Fund was received by the charity from the Henry Grunfeld Foundation in March 1999 on the undertaking that it would fulfil the foundation’s existing obligations and hold the balance of the fund for the purposes of the education of persons working in banking and financial services in London.
The Strudwick Prize Fund was received as bequest under the will of Mr HEH Strudwick, FCIB on the undertaking that the £30,000 be used to support a prize in his name.
The C. Hoare & Co. Scholarship Fund is derived from funding provided by C. Hoare & Co. One Hoare’s Scholarship is available each year for students beginning their second year of Higher Education study. The award is worth £7,000 per year (with a maximum of two years). Certain criteria apply for the selection of students for the Scholarship Awards. Students are assessed against those criteria and recommendations are made to and approved by the Scholarships and Bursaries Group. Since the inception of the Fund, four students have received the Scholarship Award.
A transfer of £117,187 was made during the year from the Alumni and Scholarship Fund to separate out the balance relating to the C. Hoare & Co. Scholarship Fund.
Page 27
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
18. Statement of funds (continued)
Statement of funds - prior year
| Unrestricted funds General Fund Restricted funds Alumni and Scholarship Fund Bursary Fund Grunfeld Fund Strudwick Prize Fund Total of funds |
Balance at 1 August 2022 £ 2,892,995 264,170 137,596 25,509 3,644 430,919 3,323,914 |
Income £ 13,122,061 209,168 3,995 660 - 213,823 13,335,884 |
Expenditure £ (11,543,418) (14,553) (3,477) (50) - (18,080) (11,561,498 ) |
Gains/ (Losses) £ 11,490,841 (5,069) (2,765) (456) - (8,290) 11,482,551 |
Balance at 31 July 2023 £ 15,962,479 453,716 135,349 25,663 3,644 618,372 16,580,851 |
|---|---|---|---|---|---|
19. Analysis of net assets between funds
Analysis of net assets between funds - current period
| Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Total |
Restricted funds 2024 £ - 504,791 137,664 - 642,455 |
Unrestricted funds 2024 £ 956 - 16,596,988 (142,620) 16,455,324 |
Total funds 2024 £ 956 504,791 16,734,652 (142,620) 17,097,779 |
|---|---|---|---|
Total
Page 28
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
19. Analysis of net assets between funds (continued)
Analysis of net assets between funds - prior period
| Restricted | Unrestricted | Total | |
|---|---|---|---|
| funds | funds | funds | |
| 2023 | 2023 | 2023 | |
| £ | £ | £ | |
| Fixed asset investments | 462,709 | - | 462,709 |
| Current assets | 155,667 | 16,475,364 | 16,631,031 |
| Creditors due within one year | - | (512,889) | (512,889) |
| Total | 618,376 | 15,962,475 | 16,580,851 |
| 20. Reconciliation of net movement in funds to net cash flow from operating activities 2024 £ Net income for the period (as per Statement of Financial Activities) 516,928 Adjustments for: Depreciation, profit on sale and amortisation 363 (Gains) / losses on investments (29,701) Dividends, interests and rents from investments (697,259) Decrease in stocks - Decrease/(increase) in debtors (358,509) (Decrease)/increase in creditors (370,269) (Decrease) in other provisions - Net cash provided by/(used in) operating activities (938,447) 21. Analysis of cash and cash equivalents 2024 £ Cash in hand 6,271,257 Total cash and cash equivalents 6,271,257 |
2023 £ 1,757,133 153,011 17,252 (232,262) 59,515 3,936,000 (4,817,000) (99,000) 774,649 2023 £ 1,526,146 1,526,146 |
|---|---|
Page 29
The London Foundation for Banking & Finance
Notes to the financial statements For the year ended 31 July 2024
22. Analysis of changes in net debt
| Cash at bank and in hand Fixed term deposits |
At 1 August 2023 £ 1,526,146 15,000,000 16,526,146 |
Cash flows £ 4,745,111 (5,000,000) (254,889) |
At 31 July 2024 £ 6,271,257 10,000,000 16,271,257 |
|---|---|---|---|
23. Pension commitments
The charity operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the charity in an independently administered fund. The pension cost charge represents contributions payable by the charity to the fund and amounted to £3,647.
The Charity previously operated two pension schemes, a defined contribution scheme that was available to new employees and a defined benefit scheme that closed to future accrual on 31 March 2009. Contributions to the defined benefit scheme for the prior year ended 31 July 2023 were £50,000. On 31 March 2023, the Charity sold all of its operations. The defined benefit scheme was transferred with them under the terms of the sale agreement.
24. Operating lease commitments
At 31 July 2024 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:
| Not later than 1 year Later than 1 year and not later than 5 years |
2024 £ 30,360 2,760 33,120 |
2023 £ - - |
|---|---|---|
| - |
25. Related party transactions
The Charity has not entered into any related party transaction during the year, nor are there any outstanding balances owing between related parties and the Charity at 31 July 2024.
Page 30