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2020-12-31-accounts

REGISTERED COMPANY NUMBER: 00213235 (England and Wales) REGISTERED CHARITY NUMBER: CC 313743 (England and Wales) REGISTERED CHARITY NUMBER: SC 045932 (Scotland)

REPORT OF THE TRUSTEES AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020 FOR THE PLUNKETT FOUNDATION

PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees, who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2020. The trustees have adopted the provisions of the 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 2015)

REFERENCE AND ADMINISTRATIVE DETAILS

Plunkett Foundation is a registered charity, numbers CC 313743 (England and Wales) and SC 045932 (Scotland). It is a company limited by guarantee, registered number 00213235 (England and Wales).

Registered office

The Quadrangle Banbury Road Woodstock Oxford Oxfordshire OX20 1LH

Trustees

Helen Aldis (Vice Chair) Sue Boer Helen Boothman was co-opted* by the board on 11 December 2019 (retired September 2020). Margaret Clark CBE (Chair (retired September 2020)) Chris Coe (Treasurer) Martin Collett (Chair of Audit Risk Committee) Rachel Marshall (elected 9[th] September 2020) Stephen Nicol (Chair) (elected 9[th] September October) Julian Ross (Vice Chair) Tom Scanlon (retired September 2020)

*Co-opted trustees are appointed to bring additional skills and expertise to the Board but have no formal role or voting rights until proposed and elected by members at an AGM.

Auditor

David Cadwallader & Co Limited Chartered Certified Accountants & Statutory Auditor Suite 3 Bignell Park Barns Chesterton Nr Bicester Oxon OX26 1TD

Investment Advisors

JM Finn & Co Ltd 4 Coleman Street London EC2R 5TA

Solicitors

Anthony Collins Solicitors 134 Edmund Street Birmingham B3 2ES

Bankers

The Co-Operative Bank 13 New Rd Oxford OX1 1LG

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

OVERVIEW

2020 was a year dominated by the impact of COVID-19 on our membership, our service, and our own organisation. From the outset of the crisis, we redeployed our staff into frontline support, making proactive contact with the700 rural businesses that we represent, and ensuring that they had access to the advice and support they needed. Demand for our support rose by 53% on the previous year, and allocations of business support grew by 104%. This represents 638 enquiries seeking support, advice and funding, and 308 separate communities who received specific advice funded by our various projects.

We can be very proud that rural community businesses have maintained core services for those who most depend on them. In total, 500,000 people live in communities that benefited from the groups we have supported, 25,000 of which were deemed to be vulnerable or isolated. Even community pubs, forced to close, have retained networks of volunteers and streamlined staff rotas to provide diversified services – including takeaways, pop-up shops and post offices, prescription collection points and deliveries, co-ordination of transport to medical appointments, and checking in on those living alone or with health problems. Incredibly, 12 new community shops and 13 community pubs opened during the year.

Advocacy and representation on behalf of our members has long been a fundamental part of what we do, but 2020 was a year in which we found our voice. We were invited to participate in regular meetings with government departments (DEFRA and MHCLG) to advise on the development on COVID-19 guidance and legislation and how it was affecting our members. Plunkett spoke out on issues relating to supply chain issues affecting community shops, and negative impacts of legislation and guidance on community pubs and other community spaces. We worked directly with civil servants, ministers, and the media to raise awareness of the businesses affected and mobilised members to work together to seek change. Beyond government, we worked with funders, helping to shape their emergency relief support, such as the £5M fund established by Power to Change Trust.

We also continued to collaborate on policy advocacy with partners. With Co-operatives UK and Locality, Plunkett sought a fair share for communities from the UK Shared Prosperity Fund. We joined over 400 civil society organisations calling for the establishment of a Community Wealth Fund from dormant assets and supporting the calls that led to the £750M relief for charities from government. Working independently, we made representations direct into government, not least Number 10’s Civil Society Review and the Autumn Review. Plunkett made a strong case for the £150m Community Ownership Fund, which has now been announced, and to strengthen Community Rights.

Alongside our more reactive work in response to COVID-19, Plunkett kept up with the commitments in our 2018-22 strategy to push forward new areas of work. This included the formal launch of our Information Hub which strengthens our intelligence, policy and research output; the launch of the Training Hub which facilitated a large proportion of our external advice in 2020; and a revised funding approach which will diversify our future income streams to include community and corporate relationships. With COVID-19 creating such a dramatic shift in the external environment in which we operate, Plunkett launched a Vision Statement outlining the opportunities for the community business model and how Plunkett can lead recovery in rural communities.

Our achievements in 2020 were only possible thanks to the dedication and continued support from many funders. Long term supporters Esmee Fairbairn Foundation and Dulverton Trust were critical to enabling our strategy to have UK-wide reach, with Power to Change Trust boosting this in England, and CDS in Scotland. New funders bolstered our work thematically, for example, The All Churches Trust who announced their support for our work inspiring community business to co-locate within places of worship, and the UK Government (administered via National Lottery Community Fund) and The Co-Op Group who assisted our emergency response to communities impacted by COVID-19. We also launched new corporate partnerships with Midcounties Co-operative who invested in the Training Hub, Hopkins Homes who boosted our capacity in the East of England, and Thakeham Housing with whom we worked on plans to integrate community ownership within their developments.

Our activities and those of our members were widely covered in local, national and international media, including radio, print, online and television - with items on BBC Radio 4, Sky News, and The Telegraph – amongst others. This coverage gave an opportunity for Plunkett to raise awareness of the community business model and the support available from Plunkett and partners.

Despite the impact of COVID-19, our 2020 financial performance was broadly in line with expectations. An operational loss of £41,000 had been budgeted on account of this being a year of investment in our long term strategy and to establish new areas of the business which, in due course, are hoped to generate greater levels of alternative income beyond ‘projects’. The actual outcome was close to budget at an operational loss of £52,000 – itself a consequence of sound financial management and control. The year ended with a strengthened balance sheet as a result of modest gains on investments.

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

OBJECTIVES, ACTIVITIES AND ACHIEVEMENTS

Plunkett’s vision is for resilient, thriving and inclusive rural communities.

Our mission is to: Inspire and empower rural communities to work together to find solutions to their needs through sustainable community enterprise.

Plunkett Foundation helps rural communities UK-wide to tackle the issues they face, through promoting and supporting community business. Community businesses are enterprises that are owned and run democratically by members of the community and others, on behalf of the community. They come in many forms, including shops, pubs, woodlands and anything which lends itself to community ownership. In addition to developing and safeguarding valuable assets and services, community businesses address a range of issues including isolation, loneliness, wellbeing, work and training.

Plunkett’s role is to advocate and champion the concept of community business to ensure communities throughout the UK are aware of the model and its potential; feel empowered to take action themselves; and operate in a supportive environment. Plunkett provides practical advice, support and training to help communities establish and run successful community businesses with long term survival rates.

Plunkett is proud of its roots; it was founded by the great Irish co-operative pioneer, Sir Horace Plunkett, in 1919. For over a century, it has supported rural communities to thrive through community business and to improve the quality of life for all. Today, we represent the interests of approximately 1,150 rural community businesses – 700 that we have helped to establish and just over 450 in the process of setting up.

Objectives and Aims

The objectives of the charitable company are:

SIGNIFICANT ACTIVITIES AND ACHIEVEMENTS

Charitable activities

We undertake activity that supports rural communities who are seeking to address local problems through trading activity that is needed, that will be economically viable and sustainable, and that will help alleviate poverty, disadvantage and social exclusion. Thanks to the continued generosity of our supporters, members and our funders, we were able to provide such communities with advice and guidance, giving them the confidence to explore community ownership as a way of addressing the issues their communities were facing.

Significant activities

Our significant activities include:

Operating a comprehensive, UK-wide advice line

We remain unique in providing a free of charge advice line for communities throughout the UK who are seeking guidance on setting up or running community businesses. In 2020, over 650 enquiries were made by phone or email from communities throughout the UK seeking help and advice relating to setting up a new community business or seeking advice and support from existing community businesses. 308 of these enquiries went onto to access further and more specialist advice and support from the many projects we operate or in fewer cases, were signposted to alternative partner organisations.

Hosting a series of tools and resources

We create and publish a wide range of practical tools, resources and case studies that help communities set up and run community businesses. These range from start-up guides to themed guidance on matters, such as business planning or marketing. In 2020, we published new materials including a guide for Parish and Town Councils, in collaboration with the National Association of Local Councils and Power to Change Trust which encouraged greater partnership with community businesses and exploring the use of Public Works Loans.

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

Delivering practical business support to community businesses at all stages of their journey

In 2020, 448 allocations of business support support were made benefiting 308 communities consisting of over 500,000 individuals. We advise on a wide range of topics including: community engagement and consultation; communications and marketing, choosing or updating a legal structure; business planning, raising finance (especially through community shares); managing staff and volunteers; growing the organisation’s impact; good governance; risk mitigation and management and much more. Support is provided by our specialist staff and a team of over 50 self-employed advisers and mentors who are located throughout the UK. Advice is traditionally provided in person and where possible, at the community business location. In 2020, most of the advice was provided remotely by video conferencing due to COVID-19. We also launched the Training Hub in 2020 which enables multiple communities to come together for group learning and sharing of experiences. A physical training centre was created within Plunkett’s central office in Woodstock, including the installation of digital technologies to carry out online course, webinars and regular member meetings.

Registering Model Rules for Community Benefit Societies and related governance support

The majority of community businesses are registered as Community Benefit Societies, regulated by the Financial Conduct Authority. For this reason, Plunkett has developed its own Model Rules for this legal structure, and in 2020, registered 53 new societies with the Financial Conduct Authority and supported with related advice.

Health-Checks

We encourage existing community businesses to take up a ‘health-check’ to assess their ongoing viability and identify opportunities to strengthen their business both in terms of social impact and financial resilience. Plunkett provided 20 such health-checks throughout 2020. By far the most popular concerns were cash flow, refinancing and managing share withdrawals as well as navigating a global pandemic.

Managing and delivering Projects

Nearly all our practical support is enabled through delivering funded projects. Plunkett is an experienced project manager and works with many well-regarded Trusts and Foundations who value the work we do. We continued to develop new projects and services in 2020 and submitted multiple funding applications to new and existing funders. We were delighted to receive funds from corporate bodies in 2020 in additional to traditional Trusts and Foundations. Many of our projects are developed in partnership with other support organisations who assist and complement us on geography and expertise. Where possible, we seek to deliver projects which provide financial assistance to community businesses, such as loan and grant finance.

Research

In 2020, we had full staff complement for our Information Hub, which aims to collate and make use of the data and intelligence we have on the community business sector. During the year, we published our Better Business reports for both Community Shops and Community Pubs, launched The Ripple Effect impact report, and published the State of Rural Community Business Sector capturing the impact of COVID-19 on the sector.

Maintaining membership benefits

We continue to take great pride in growing the membership culture within the organisation and this has helped to add value to the relationships we have with community businesses, partners and wider stakeholders who share our values. We have continued growing the benefits membership offers in 2020 to strengthen and grow our network as well as building further opportunities for membership engagement.

Representing the voice of rural communities and community business at national level

We know that rural communities often struggle for fair representation at a national level, which is why we seek to ensure their voice is heard through dedicated communications, campaigns and via policy influencing activities. We have achieved the latter through participation in alliances, such as the Rural Coalition and Communities Partnership Board, which actively engage with key government departments and influence positive change by submitting written and oral evidence to relevant committees and consultations. We also apply a national planning approach to our work, to ensure our support activities and services are relevant to rural communities in all parts of the UK and reflective of their needs and challenges.

Public benefit

We regularly review our aims, objectives and activities to ensure we accomplish what we were established to achieve. This report considers the key activities we undertook in 2020 and reviews their success in supporting the people we were established to support. The Trustees have noted the Charity Commission guidance on public benefit and believe that Plunkett Foundation’s activities are in line with that guidance.

Plunkett Foundation registered with the Fundraising Regulator in 2019, but did not undertake any fundraising activity during that year.

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

FINANCIAL REVIEW

Reserves Policy

The reserves policy is reviewed annually and was last approved in December 2020. The current policy requires that:

The calculation of the required level of reserves is an integral part of the organisation’s planning, budget, risk management and forecast cycle. It takes into account:

The Board has reviewed the major risks likely to threaten the continued delivery of our charitable mission and has modelled the costs on the worst of these scenarios and determined that this should form the basis of the level of reserves. The Board will exercise judgment to determine if funds exceed this level, whether to apply them to current expenditure, hold them to meet future obligations in the short term, or use them in programme-related investment.

The reserve level for 2021 is £1,098,160.

As at December 2020, the Foundation held unrestricted reserves of approximately £1,316,742. At the December Board meeting the Trustees agreed to maintain the excess reserves this year, given a fundamental review of the reserves policy and reserves requirement was due to take place in 2021 and given the continued uncertainty that exists around the impact of COVID-19 on funding and the demand for our services. Additionally, there was much turbulence in the financial markets throughout 2020 with significant losses and gains in our own investment portfolio during the year and this is feared to be continued with COVID-19 ongoing, and the full impact of EU-Exit far from being known. Additionally, our longer term organisational planning has identified significant financial gaps for the period 2021-2023, meaning that the reserves will most likely be required for future operational requirements if alternative funding is not realised.

As indicated above, the Audit and Risk Committee are currently working with the Executive to fully update the approach to the reserves policy by taking stock of the key risks known to the organisation and most likely to result in the need to call upon financial reserves. The aim is to agree a new policy in 2021.

Investment Performance

Subject to the requirements of the Charities Act, the Trustees are authorised by the Memorandum of Association to invest the moneys of Plunkett Foundation not immediately required for its purpose in such a manner as may be thought fit. All funds are managed by J M Finn & Co.

In 2017, following several years of financial losses and a necessary period of operational consolidation, the Board of Trustees took a decision to strengthen its reserves and, recognising market volatility, the Board’s approach to investment risk remains cautious. The investment portfolio continues to be highly diversified with a medium risk profile.

Over the last year, the portfolio generated a total return of +6.3%, outperforming the 70% equities / 30% gilts comparator return of -4.4%. Over the same period the FTSE all-Share Index lost -9.8% and the FTSE UK Gilt Index gained +8.3%. A total return of +189.8% has been generated across the last 15 years with an annualised return of +7.4% per annum. At 31st December 2020 the portfolio had a gross income yield 2.5%.

While markets reached a low on the 23rd March 2020, they rebounded strongly due to unprecedented support by governments and central banks across the globe and markets jumped further in the last quarter of 2020 on the announcement that several vaccines were proving to offer very high levels of protection. However, during 2020 companies cut or suspended their dividends and as such we saw the income yield on this portfolio fall from approximately 3.2% to 2.5%. Dividends are expected to recover, but not back to the pre-COVID levels.

The Board approved the Investment Policy in December 2020, having been reviewed by the Audit and Risk Committee in November 2020. It is next scheduled for review in December 2021.

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

Our Approach to Pay

We are passionate about what we do, and we believe in recruiting high-calibre people to represent our interests. We also believe in rewarding staff fairly for the jobs that they do, and fostering a positive working environment, and we believe that our salaries and terms and conditions reflect this.

We are a Living Wage-accredited employer, meaning all our staff and contractors are paid at least the Living Wage. People are employed at Plunkett on the basis of the specific skills that they bring to their particular role. For us to run successfully, a wide range of skills and disciplines is required, and we need to pay appropriately to ensure that we can recruit people with the right skills. We also need to retain them in a competitive market where their skills are readily transferable to other organisations. We firmly believe in trying to retain staff for the long term, developing them and benefiting from their growing knowledge. This is in preference to the disruption and expense of recruitment, especially as many staff have detailed knowledge that is unique to them in the organisation and could not be quickly replaced. Our staff pay scales are set with this in mind.

In support of this approach to staff retention and the value placed upon Plunkett Foundation’s ‘staffing asset’, a remuneration policy was approved by the Board in December 2019 and remains in place. The pays bands are as follows:

PLANS FOR FUTURE PERIODS

A review of our strategy will commence in 2021 with a view to launch a new five strategy in 2022. Until this takes place, the organisation will remain focused on its present 2018-22 organisational strategy which seeks to grow and diversify the rural community business sector and enable it to achieve high impact. The specific objectives over the strategy period are to:

This strategy, together with the supporting business plans and Key Performance Indicators, provide us with a clear focus and aim to target our resources and efforts more efficiently and effectively. Key deliverables during 2021 include:

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

Underpinning the strategy, is a commitment to work with others, co-operatively and in partnership, and to encourage greater sharing of knowledge and expertise.

STRUCTURE, GOVERNANCE AND MANAGEMENT

The Audit and Risk Committee have continued to oversee Plunkett’s activities in relation to audit, budgeting and finance, policies and procedures and risk management. The refresh of the Foundation’s policies has continued in 2020.

Governing Document

Plunkett Foundation is a charity controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Relationships with Related Parties

The charity owns the whole of the issued share capital of Plunkett Services Limited. The subsidiary does not trade but owns 100% of the voting shares of Rural Partnerships Limited. Rural Partnerships Limited does not trade. Both companies will be dissolved in 2021.

The Charity is listed as having ‘significant control’ of Community Retailing Network, a company of which Plunkett received a transfer of assets in 2011. This company in the process of being dissolved.

Recruitment and Appointment of New Trustees

All Trustees are elected at the Annual General Meeting on a one member, one vote basis. Plunkett’s Articles of Association allow for new Trustees to be nominated by any existing members within a specified number of days prior to an AGM. The articles also allow the existing Trustees to co-opt new Trustees between AGM’s but are not deemed a full Trustee until they are elected at the subsequent AGM.

In line with the above procedure detailed in the Articles of Association, the organisation proactively seeks to attract new Trustees in line with its emerging policy on Diversity, Equity and Inclusion, and in line with identified gaps in skills, knowledge and experience of which is reviewed annually. An open Trustee recruitment process is then used, including making adverts available through job boards, websites and social media platforms. Potential Trustees are interviewed, and those deemed to best meet the identified gaps on the Board, are subsequently nominated by a member for election at the AGM, or co-opted for a period of time up to the subsequent AGM at which they are subject to election by the members.

Induction and Training of New Trustees

New Trustees undergo orientation with the Chair and Chief Executive to brief them on their legal obligations under charity and company law, the content of the Memorandum and Articles of Association, the strategy and business plan, the Board and decision-making process, the recent financial performance, and the history of the Foundation. During their induction they meet key employees and visit community businesses in membership of the Foundation. New Trustees have an agreed 6-month induction plan, which also identifies any training needs.

Rotation of Trustees

One third of the Trustees retire from office annually at the Annual General Meeting. Any retiring Trustee is eligible for re-election, provided he or she has agreed in writing to stand for re-election at least fourteen days prior to the meeting at which the election will be held.

As agreed at the AGM in 2016 and implemented from 2017, in line with good practice, Trustees are limited to serving a maximum nine-year term (i.e. 3 terms of 3 years), unless exceptional circumstances occur.

In addition, the Board has agreed the following terms of office should normally apply for key office-holders:

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

Board Assessment

The Board conducts an annual self-assessment which is an opportunity for Board members to review how they and the Board are operating, to raise any concerns and to comment on any areas for improvement. The current appraisal process has been reviewed and updated in 2020 and was implemented in the first quarter of 2021.

Charity Governance Code

The Board have agreed, in principle, to apply the revised Charity Governance Code, published in July 2017, and continue to use this as a benchmark for reviewing and improving the Governance practices of the Foundation.

Organisational Structure

The Trustees direct the affairs of Plunkett Foundation. Management on a day-to-day basis has been delegated to the Chief Executive Officer, James Alcock since 2017, supported by a senior management team. The names of Trustees who served during the year are listed at the beginning of this report.

Risk Management

The Trustees have a duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. The Audit and Risk Committee and the Treasurer meet the auditors in person to receive their report on the systems of financial controls and the performance of those systems and controls during the year.

The Board commenced a review of Risk Management in 2018 harmonising the approach with the direction of the five year strategy. This approach was reviewed and updated in 2020 in line with guidance set by the Charity Commission. The Senior Management continue to use the risk framework and register, including regular review of risk, in managing the operations of the Foundation. This approach is overseen by the Audit & Risk Committee with regular Highlight Reporting to the Board.

TRUSTEES' RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The Trustees (who are also the directors of the charity for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements

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PLUNKETT FOUNDATION – REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2020 (CONTINUED)

comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO THE AUDITOR

In so far as the Trustees are aware:

David Cadwallader and Company were appointed as auditors at the 2020 AGM. A retendering process took place in 2021 and a resolution to appoint Critchley’s will be put to the members at the forthcoming Annual General Meeting.

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

SMALL COMPANY PROVISIONS

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption in the Companies Act 2006.

On behalf of the board on:

Date: 26 May 2021

Signature…………………………..

Stephen Nicol Chair

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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF PLUNKETT FOUNDATION

OPINION

We have audited the financial statements of Plunkett Foundation (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 December 2020 which comprise the Group and Parent Charity Statement of Financial Activities, the Group and Parent Charity Summary Income and expenditure account, the Group and Parent Charity Balance Sheet, the Group and Parent Charity Cash Flow Statement and related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 ‘‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’’.

In our opinion:

BASIS FOR OPINION

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

CONCLUSIONS RELATING TO GOING CONCERN

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 trustees’ annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF PLUNKETT FOUNDATION (CONTINUED)

OPINION ON OTHER MATTER PRESCRIBED BY THE COMPANIES ACT 2006

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

MATTERS ON WHICH WE ARE REQUIRED TO REPORT BY EXCEPTION

In the light of our knowledge and understanding of the group and parent charitable company 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 in relation to which the Companies Act 2006, the Charities Accounts (Scotland) Regulations 2006 and the Charities Act 2011 require us to report to you if, in our opinion:

RESPONSIBILITIES OF TRUSTEES

As explained more fully in the trustees’ responsibilities statement [set out on page 8 and 9], the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005, section 151 of the Charities Act 2011 and under the Companies Act 2006 and report in accordance with regulations made under those Acts.

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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

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INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS AND TRUSTEES OF PLUNKETT FOUNDATION (CONTINUED)

We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are those that relate to the Charities SORP, Charities and Trustee Investment (Scotland) Act 2005, Charities Act 2011, Companies Act 2006 and data protection laws (including UK General Data Protection Regulation (GDPR)).

We assessed the risks of material misstatement in respect of fraud by

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above. The Charity’s policies and procedures for compliance with those laws and regulations was obtained and discussed with management.

We corroborated our enquiries through review of board meeting and Audit and Risk Meeting minutes. No contradictory evidence was identified.

We considered the risk of fraud through management override and, in response, we incorporated testing of manual journal entries throughout the year into our audit approach. Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud including a review of the accounting policies adopted by the Charity particularly in relation to the recognition of income.

We have considered the extent to which the audit was considered capable of detecting irregularities which is inherently difficult when dealing with incoming resources from membership. The Charity’s internal control procedures have been designed to mitigate against this risk.

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 for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charitable company's members, as a body, in accordance with chapter 3 of Part 16 of the Companies Act 2006 and to the charitable company’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008 and Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charitable company's members and trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body and the charitable company's trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Nicola Jane Cadwallader (Senior Statutory Auditor) For and on behalf of David Cadwallader & Co Limited Chartered Certified Accountants & Statutory Auditors Suite 3 Bignell Park Barns Chesterton, Bicester Oxon OX26 1TD

Date: 14 June 2021 David Cadwallader & Co Limited is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

12

PLUNKETT FOUNDATION GROUP AND PARENT CHARITY STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING A GROUP INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2020

Unrestricted
Restricted
funds
Funds
Notes
£
£
Income & Endowments from:
Donations and Legacies
3
63,055
-
Investment income
4
44,843
-
Charitable activities
5
506,930
456,130
_
_
Total income
614,828
456,130
_
_
Expenditure on:
Charitable activities
6
624,941
456,130
Other
7
8,750
-
_
_
Total expenditure
633,691
456,130
_
_
Net income/(expenditure) before
gains/(losses) on investments
(18,863)
-
Net gains/(losses) on investments
57,240
-
_
_
Net income/(expenditure)
38,377
-
_
_
Transfers between funds
-
-
_
_
Net income/(expenditure) for the year
38,377
-
Other recognised gains/(losses)
_
_
Net movements in funds
38,377
-
RECONCILIATION OF FUNDS
Total funds brought forward
1,278,239
4,921
_
_
TOTAL FUNDS CARRIED FORWARD
1,316,616
4,921

 2020
Total
funds
£
63,055
44,843
963,060
_
1,070,958
_
1,081,071
8,750
_
1,089,821
_
(18,863)
57,240
_
38,377
_
-
_
38,377
-
_
38,377
1,283,160
__
1,321,537
 2019
Total
funds
£
56,717
49,436
1,060,085
_
1,166,238
_
1,101,539
8,450
_
1,109,989
_
56,249
232,885
_
289,134
_
-
_
289,134
-
_
289,134
994,026
__
1,283,160

13

PLUNKETT FOUNDATION GROUP AND PARENT CHARITY BALANCE SHEET AT 31 DECEMBER 2020

Group Group Charity Charity
2020 2019 2020 2019
Notes £ £ £ £
FIXED ASSETS
Intangible assets - - - -
Tangible assets 12 46,832 14,322 46,832 14,322
Investments 13 1,651,694 1,600,345 1,651,697 1,600,348
___ ___ ___ ___
1,698,526 1,614,667 1,698,529 1,614,670
__ __ __ __
CURRENT ASSETS
Debtors 14 58,778 76,252 58,651 76,125
Cash at bank 125,027 - 124,827 -
___ ___ ___ ___
183,805 76,252 183,478 76,125
CREDITORS
Amounts falling due within one year 15 (560,794) (407,759) (560,344) (407,509)
___ ___ ___ ___
NET CURRENT ASSETS/(LIABILITIES) (376,989) (331,507) (376,866) (331,384)
___ ___ ___ ___
TOTAL ASSETS LESS CURRENT
LIABILITIES 1,321,537 1,283,160 1,321,663 1,283,286
___ ___ ___ ___
TOTAL NET ASSETS 1,321,537 1,283,160
 1,321,663
 1,283,286
FUNDS 18
Unrestricted funds 1,316,616 1,278,239 1,316,742 1,278,365
Restricted funds 4,921 4,921 4,921 4,921
___ ___ ___ __
TOTAL CHARITY FUNDS 1,321,537 1,283,160 1,321,663 1,283,286

The accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies’ regime

The financial statements were approved by the Board of Trustees on 26 May 2021 and were signed on its behalf by:

………………………………

Stephen Nicol - Chair

Company registration no. 00213235

14

PLUNKETT FOUNDATION STATEMENT OF CASH FLOWS AT 31 DECEMBER 2020

Group Group Charity Charity
2020 2019 2020 2019
Notes £ £ £ £
Cash flows from operating activities
Net cash provided by/(used in) operating
activities 21 202,732 (177,635) 202,732 (177,635)
Cash flows from investing activities:
Dividends, interest
and
rents		 from
investments 44,843 49,436 44,843 49,436
Proceeds from the sale of property, plant and
equipment 617 - 617 -
Purchase of property, plant and equipment (40,660) (12,667) (40,660) (12,667)
Proceeds from sale of investments 230,662 271,189 230,662 271,189
Purchase of investments (240,814) (212,675) (240,814) (212,675)
Net cash provided by/(used in) investing
activities (1,644) (2,610) (1,644) (2,610)
Net cash provided by/(used in) financing
activities - -
__ __ __ __
Change in cash and cash equivalents in
the reporting period 195,736 (84,962) 195,736 (84,962)
__ __ __ __
Cash
and
cash
equivalents		 at the
beginning of the reporting period (48,850) 36,112 (49,050) 35,912
Change in cash and cash equivalents due
to exchange rate movements - - -
__ __ __ __
Cash and cash equivalents at the end of
the reporting period 22 146,886 (48,850) 146,686 (49,050)

15

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. ACCOUNTING POLICIES Accounting convention

The consolidated financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) – (Charities SORP (FRS 102)), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The Plunkett Foundation 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 note(s).

Going concern

The accounts have been prepared on a going concern basis, as in the opinion of the Trustees, the charity will continue in operation for the foreseeable future.

Basis of Consolidation

The consolidated accounts incorporate the results of the Plunkett Foundation and its subsidiaries undertaking on a line by line basis. The consolidated entity is referred to as ‘the Group’. No separate company Statement of Financial Activities (SOFA) has been prepared for the Charity as permitted by the Companies Act 2006.

Key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumption and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year is as follows:

Income

All income is included on the Statement of Financial Activities when the charity has entitlement to the funds, any performance attached to the item of income has been met, it is probable that the income will be received and the amount can be measured reliably.

Membership income is recognised upon inception or renewal.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred

Expenditure

Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources or staff time spent, as applicable. Where input VAT is irrecoverable the costs are shown inclusive of VAT.

Grants Payable

Grants payable are accounted for on an accruals basis.

Support costs

Support costs are those functions that assist the work of the charity, including personnel costs. These costs are allocated to specific charitable activities based on time spent.

16

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

Operating leases

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged against profits on a straight-line basis over the period of the lease.

Intangible/ Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery - 20% on cost or valuation Fixtures and fittings - 10% on cost Computer equipment - 33% on cost The costs of minor additions are not capitalised.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pensions

From 1 October 2008 the employees of the charity were entitled to join a defined contribution ‘money purchase’ scheme. The charity contribution is restricted to the contributions disclosed in note 10. There were no outstanding contributions at the year end.

Fixed Asset Investments

Investments are stated at market value as at the balance sheet date. The Statement of Financial Activities includes the net gains and losses arising on re4valuation and disposals throughout the year.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

Cash at bank and in hand

Cash at bank and cash 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.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation or constructive obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

Financial Instruments

The Charity has only 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.

17

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

2
CENTRAL SUPPORT COSTS
Staff costs (including project staff)
Central and office costs
Depreciation
Audit costs
Other administrative costs
Trustee expenses
Financial and professional
 2020
£
523,086
79,307
7,534
8,750
37,510
2,031
24,365
682,583
_		 2019
£
474,016
91,478
1,624
8,450
41,993
6,219
35,130
658,910
_

The central support costs of the charity consisted of seven elements as noted above. These costs are allocated across the work of the charity based on time spent.

3 DONATIONS

Unrestricted 2020 Total Unrestricted 2019 Total
Funds Restricted Funds Funds Restricted Funds
Funds Funds
£ £ £ £ £ £
Membership 14,684 - 14,684 16,015 - 16,015
Members enterprise
affiliation fees 48,371 - 48,371 40,702 - 40,702
_ _ _ _ _ _
63,055 - 63,055 56,717 - 56,717

4 INVESTMENT INCOME

Unrestricted 2020 Total Unrestricted Restricted 2019 Total
Funds Restricted Funds Funds Funds Funds
Funds
£ £ £ £ £ £
Interest 207 - 207 239 - 239
Dividends from Invested
funds 44,636 - 44,636 49,197 - 49,197
______ ______ ______ ______ ______ ______
44,843
 -
 44,843 49,436
 -
 49,436

18

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

5 INCOME FROM CHARITABLE ACTIVITIES

Unrestricted 2020 Total Unrestricted 2019 Total
Funds Restricted Funds Funds Restricted Funds
Funds Funds
£ £ £ £ £ £
Income from operations 485,930 17,600 503,530 388,208 - 388,208
Prince’s Countryside - 10,000 10,000 - 34,170 34,170
Fund
Power to Change - 134,806 134,806 - 153,703 153,703
National Lottery - - - - 151,782 151,782
Community Fund:
Making Local Woods
Work
MHCLG/PtC – More Than - 293,724 293,724 - 311,430 311,430
A Pub
Sponsorship and events 21,000 - 21,000 20,792 - 20,792
_ _ _ _ _ _
506,930
 456,130
 963,060 409,000
 651,085
 1,060,085

At the year end the Charity held £550,000 relating to outstanding bursary grants payable from income of £550,000 received from Power to Change. The income and expenditure is not shown in the Charity’s Statement of Financial Activities.

6 EXPENDITURE ON CHARITABLE ACTIVITIES

Unrestricted 2020 Total Unrestricted 2019 Total
Funds Restricted Funds Funds Restricted Funds
Funds Funds
£ £ £ £ £ £
Operational expenditure 624,941 341,324 966,265 721,928 322,561 1,044,489
Bursary Grants paid - 114,806 114,806 - 57,050 57,050
_ _ _ _ _ _
624,941
 456,130
 1,081,071 721,928
 379,611
 1,101,539

7 OTHER COSTS

2020 Total 2019 Total Funds Funds £ £ Audit Fees 8,750 8,450 All expenditure is unrestricted

8 NET INCOMING/(OUTGOING) RESOURCES

Net resources are stated after charging/(crediting):

2020 2019
£ £
Depreciation – owned assets 7,846 1,624
Loss/(Profit) on disposal of fixed assets (314) -
Auditors’ remuneration - Audit 8,750 8,450

19

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

9 TRUSTEES’ REMUNERATION AND BENEFITS

There were no trustees’ remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2020.

Trustees’ Expenses

Trustees receive travel expenses for meeting attendance during the year. A total of £2,031 was so paid this year (2019 - £6,219)

10 STAFF COSTS

Staff costs were as follows:

Salaries and wages
Social security costs
Pension costs		 2020
£
463,367
39,943
19,776
523,086		 2019
£
423,418
31,781
18,817
474,016

The average monthly number of employees during the year was as follows:

Professional
Administrative		 2020
12
2
14		 2019
11
2
13

There were no employees who received employee benefits (excluding employer pension costs) of more than £60,000

The number of higher paid employees was:

2020 2019
Number Number
Taxable emoluments band:
£35,001 - £40,000 - 1
£40,001 - £45,000 2 -
£45,001 - £50,000 - 1
£50,001- £55,000 - 1
£55,001 - £60,000 1 -
INTANGIBLE FIXED ASSETS
Goodwill
COST £
At 1 January 2020 &
31 December 2020 123
AMORTISATION
At 1 January 2020 &
At 31 December 2020 123
NET BOOK VALUE
At 31 December 2020 -
At 31 December 2019 -

11 INTANGIBLE FIXED ASSETS

20

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

12 TANGIBLE FIXED ASSETS – GROUP AND CHARITY

Office
Equipment
Fixtures and
fittings
Computer
equipment
COST
At 1 January 2020
2,040
25,586
46,609
Additions
-
39,611
1,049
Disposals
-
(9,270)
(17,637)
At 31 December 2020
2,040
55,927
30,021
DEPRECIATION
At 1 January 2020
2,040
22,772
35,101
Charge for year
-
3,321
4,525
On Disposals
-
(8,966)
(17,637)
At 31 December 2020
2,040
17,127
21,989
NET BOOK VALUE
At 31 December 2020
-
38,800
8,032
At 31 December 2019
-
2,814
11,508
13
FIXED ASSET INVESTMENTS – GROUP
Listed
investments
Unlisted
investments
Cash and
settlements
pending
£
£
£
FAIR VALUE
At 1 January 2020
1,561,945
497
37,903
Additions to investment at cost
240,814
-
(240,814)
Disposals at carrying value
(277,703)
-
277,703
Net gain/(loss) on revaluation
104,282
-
(47,042)
Transfer from/(to) general funds
-
-
(5,891)
At 31 December 2020
1,629,338
497
21,859
NET BOOK VALUE
At 31 December 2020
1,629,338
497
21,859
At 31 December 2019
1,561,945
497
37,903		 Totals
74,235
40,660
(26,907)
87,988
59,913
7,846
(26,603)
41,156
46,832
14,322
Totals
£
1,600,345
-
-
57,240
(5,891)
1,651,694
1,651,694
1,600,345

All quoted investments are listed UK securities. The historic cost of investments is £1,083,288 (2019: £1,073,797).

21

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

13 FIXED ASSET INVESTMENTS – CHARITY

The Fixed Asset investments of the charity total £1,651,697 (2019: £1,600,348), being the group investments as detailed above plus a £3 shareholding (shown at cost) in its subsidiary, Plunkett Services Limited.

Subsidiary

Plunkett Services Limited

Nature of business: Dormant

Subsidiary
Plunkett Services Limited
Nature of business: Dormant
%
Class of share: holding
Ordinary 100
2020 2019
£ £
Aggregate capital and reserves 3 3

The charity owns the whole of the issued share capital of Plunkett Services Limited, a company registered in England and Wales under company number 02108639. The subsidiary, Plunkett Services Limited does not trade, but owns 100% of the voting shares of Rural Partnerships Limited. Rural Partnerships Limited does not trade and is registered in England and Wales under company number 04208392.

The Charity also holds 100% of the voting rights of Community Retailing Network, a company limited by guarantee incorporated in Scotland under number SC272741. The Company does not trade. The net liabilities as at 31 December 2020 are £(483). The assets and liabilities of the Company have not been consolidated within these accounts on the basis that they are not material. All other assets and liabilities of the Company have previously been transferred to the Plunkett Foundation, who continues to operate the activities of the company in Scotland as part of its core operations.

14 DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade debtors
Other debtors
Work in Progress		 Group
2020
£
14,182
16,869
27,727
58,778		 Group
2019
£
48,295
20,073
7,884
76,252		 Charity
2020
£
14,182
16,742
27,727
58,651		 Charity
2019
£
48,295
19,946
7,884
76,125

22

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

15 CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Bank Overdraft
Trade creditors
Taxation and social
security
Accruals & deferred
income
Other creditors		 Group
2020
£
-
36,158
25,019
454,012
45,605
560,794		 Group
2019
£
86,753
88,124
33,352
183,230
16,300
407,759		 Charity
2020
£
-
35,708
25,019
454,012
45,605
560,344		 Charity
2019
£
86,953
87,674
33,352
183,230
16,300
407,509

The Charity acts as an intermediary agent for Power to Change, making payments of grants to selected local enterprises. At the year end funds held in respect of these bursary grants was £250,000 (2019: £550,000). The balance is excluded from the above figures and the bank balance held at the year end.

Other creditors includes £45,605 (2019: £16,300 in respect of grant monies held in lieu of distribution to other bodies.

Accruals and deferred income includes £355,947 (2019: £81,343) of income which relates to projects
£
At 1 January 2020 81,343
Released in 2020 (81,343)
Income deferred in 2020 360,922
At 31 December 2020 360,922

The bank overdraft facility of £150,000 is secured by a fixed and floating charge over the assets of the charity.

16 COMMITMENTS UNDER OPERATING LEASES

At 31 December 2020 the charity has annual commitments under non-cancellable operating leases as set out below:-

Operating leases which expire
Within 1 year
Within 2-5 years
After more than 5 years		 Land &
Buildings
2020
£
43,778
8,403
-
52,181		 Land &
Buildings
2019
£
-
43,778
-
43,778

23

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

17 MOVEMENT IN FUNDS - GROUP

Net
movement
At 01.01.20
in funds
(before tfrs)
£
£
Unrestricted funds
Revenue
1,278,239
38,377
1,278,239
38,377
Restricted funds
The National Lottery Community
Fund
4,921
-
Prince’s Countryside Fund
-
-
Power to Change Trust
-
-
National Lottery Community Fund
– Making Local Woods Work
-
-
MHCLG/PtC – More Than A Pub
-
-
Hopkins Home
-
-
The Allchurches Trust
-
-
4,921
-
_
_

TOTAL FUNDS
1,283,160
38,377		 Transfers
between
funds
At 31.12.20
£
£
-
1,316,616
-
1,316,616
-
4,921
-
-
-
-
-
-
-
-
-
-
-
-
-
4,921
__
___
-
1,321,537
_

24

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

17 MOVEMENT IN FUNDS

Net movement in funds, included in the above are as follows:

Unrestricted funds
Revenue

Restricted funds
The National Lottery Community
Fund
Prince’s Countryside Fund
Power to Change Trust
MHCLG/PtC – More Than A Pub
Hopkins Home
The Allchurches Trust

TOTAL FUNDS MOVEMENT

 Income Expenditure
£
£
614,828
(633,691)
614,828
(633,691)
____

-
-
10,000
(10,000)
134,806
(134,806)
293,724
(293,724)
16,000
(16,000)
1,600
(1,600)
456,130
(456,130)
________
_________

1,070,958
(1,089,821)

 Transfers
between
funds
£
-
-
_

-
-
-
-
-
-
_

-
 Gains and
Losses
£
57,240
57,240
_

-
-
-
-
-
-
_

57,240
 Movement
in funds
£
38,377




38,377
___
-
-
-
-
-
-
___
38,377

25

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

17 MOVEMENT IN FUNDS

The Prince’s Countryside Fund represents monies received from The Prince’s Countryside Fund in relation to the direct delivery of support to rural community businesses in the form of business advice and training.

The Power to Change Fund represents monies received from Power to Change in relation to four separate areas of work: developing a pubs membership network; addressing health and wellbeing challenges in rural communities; enabling peer-to-peer networking amongst community businesses; the production of the Better Business Reports and the More than a Pub Bursary Grants.

The More than a Pub Fund represents monies received jointly from Ministry for Housing, Communities and Local Government and Power to Change to help support community groups looking to take ownership of their local pub.

The Hopkins Plunkett Communities Scheme represents monies that were provided by Hopkins Homes to support Community Businesses in the East of England with enhanced business support to adapt to new Covid-19 trading rules and regulations.

The Allchurches Trust funding has facilitated a two year project that is seeing the creation of bespoke business advice, supported by a small feasibility grants programme, to help more community businesses set up in Christian Places of Worship.

18 ANALYSIS OF NET ASSETS BETWEEN FUNDS - GROUP

Intangible/
Tangible
Investments
Net Current
Fixed Assets
Assets
£
£
£
Unrestricted funds
Revenue
46,832
1,651,694
(381,910)
46,832
1,651,694
(381,910)
_
_
_

Restricted funds
National Lottery Community Fund
Grant
-
-
4,921
Prince’s Countryside Fund
-
-
-
Power to Change Trust
-
-
-
MHCLG/PtC – More Than A Pub
-
-
-
-
-
4,921
_
_
_

TOTAL FUNDS
46,832
1,651,694
(376,989)		 Total
£
1,316,616
1,316,616
_
4,921
-
-
-
4,921
_
1,321,537

26

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

19 RELATED PARTY TRANSACTIONS

The charity paid £1,942 to 3 Trustees, in respect of consultancy services (2019: £8,749). The transaction was at market value.

Expenditure for the year includes £nil payable to a company which is owned and controlled by a member of the Charity’s key management personnel (2019: £2,250). The transaction was at arms length and at open market value.

There are no other related party transactions that require disclosure under Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015) – (Charities SORP (FRS 102)).

20 ULTIMATE CONTROLLING PARTY

The Charity is a Company Limited by Guarantee and has no share capital. There is therefore no ultimate controlling party.

21 RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net
income/(expenditure)
for the reporting period
(as per the statement of
financial activities)
Adjustments for:
Depreciation charges
(Gains)/losses on investments
Dividends, interest and rents from
investments
Interest paid
Loss/(profit) on the sale of fixed
assets
(Increase)/decrease in debtors
Increase/(decrease) in creditors		 Group
2020
£
38,377
7,846
(57,240)
(44,843)
1,644
(314)
17,474
239,788
202,732
 Group
2019
£
289,134
1,624
(232,885)
(49,436)
2,610
-
2,680
(191,362)
(177,635)
 Charity
2020
£
38,377
7,846
(57,240)
(44,843)
1,644
(314)
17,474
239,788
202,732
 Charity
2019
£
289,134
1,624
(232,885)
(49,436)
2,610
-
2,680
(191,362)
(177,635)

22 ANALYSIS OF CASH AND CASH EQUIVALENTS

Cash in Hand
Notice deposits		 Group
2020
£
125,027
21,859
146,886		 Group
2019
£
(86,753)
37,903
(48,850)		 Charity
2020
£
124,827
21,859
146,686		 Charity
2019
£
(86,953)
37,903
(49,050)

27

PLUNKETT FOUNDATION NOTES TO THE FINANCIAL STATEMENTS – CONTINUED FOR THE YEAR ENDED 31 DECEMBER 2020

23 ANALYSIS OF CHANGES IN NET DEBT GROUP

At I January
2020
Cash-flows
£
£
Cash in Hand
(86,753)
211,780
Notice deposits
37,903
(16,044)
(48,850)
195,736
ALYSIS OF CHANGES IN NET DEBT (CONTINUED)
ARITY
At I January
2020
Cash-flows
£
£
Cash in Hand
(86,953)
211,780
Notice deposits
37,903
(16,044)
(49,050)
195,736		 At 31
December
2020
£
125,027
21,859
146,886
At 31
December
2020
£
124,827
21,859
146,686

23 ANALYSIS OF CHANGES IN NET DEBT (CONTINUED) CHARITY

28