THE THORNTON FOUNDATION
TRUST INFORMATION
FOUNDER
R C Thornton (deceased)
TRUSTEES
Mrs S J Thornton (Chair) A H Isaacs H D C Thornton
PRINCIPAL ADDRESS
25 Pelham Place London SW7 2NQ
CHARITY COMMISSION NUMBER
326383
INDEPENDENT EXAMINER
Daniel Valentine ACA Begbies Old Printers House Stone Street Cranbrook Kent TN17 3HF
BANKERS
C Hoare & Co 37 Fleet Street London EC4P 4DQ
SOLICITORS
Charles Russell Speechlys 5 Fleet Place London EC2M 7RD
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THE THORNTON FOUNDATION
(Charity Commission number 326383)
ANNUAL REPORT OF THE TRUSTEES
YEAR ENDED 5TH APRIL 2022
Objects and activities furthering the public benefit
The objects of the charity are to pay or apply the income or capital to charitable institutions, or charitable purposes, in such manner and in such proportions as the trustees may from time to time in their absolute discretion determine.
The trustees' policy is to support by grants (and in certain circumstances by loan) charities selected by the trustees. The Foundation also makes occasional educational grants for individuals. On providing the grants, the trustees have complied with their duty in Section 17(5) of the 2011 Charities Act to have regard to public benefit guidance published by the Charity Commission.
The trustees have agreed the grants for the next 12 months and do not welcome unsolicted applications in the meantime.
Financial review and achievements
The total income for the year was £66,918 compared to £66,176 in the prior year. Charitable donations were £60,480 and management and administration expenses including broker's fees were £11,818, resulting in a deficit (before investment gains and losses) for the year of £5,380. After net losses on investments assets of £97,430, the net deficit for the year was £102,810.
At the end of the year, the balance on the Unrestricted Fund amounted to £4,706,978.
Reserves, investment policies and plans for future periods
The trustees do not consider that there is a need to maintain a specific level of reserves to achieve the objectives of the Foundation other than to meet future commitments. Their policy is regularly to distribute the whole of the net income together with a part of investment gains whether arising in the current or prior years.
The charity is exposed to the volatility in equity and investment markets due to wider economic conditions and has been adversely impacted by the the Covid-19 outbreak. However the trustees' investment policy is to invest primarily for long term growth and believe current market values will improve over time and confirm the charity remains a going concern.
Governing document and organisation
The governing document is the charitable trust deed dated 9th June 1983. The power of appointing new and additional trustees is vested in the trustees, provided that their number shall not exceed five, nor be less than two in number.
The investments are held under the names of the current trustees.
Risk management
The trustees have assessed the major risks to which the Foundation is exposed, in particular those related to the investment strategy. They are satisfied that adequate procedures are in place to mitigate exposure to these risks.
….................................................
Mrs S. J. Thornton - Chairman 21 December 2022
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THE THORNTON FOUNDATION
STATEMENT OF TRUSTEES' RESPONSIBILITIES
Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the Foundation's financial activities during the year and of its financial position at the end of the year. In preparing those financial statements, the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards and statements of recommended practice have been followed subject to any departures disclosed and explained in the financial statements; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Foundation will continue in operation.
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy at any time the financial position of the Foundation and which enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the Foundation and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
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INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE THORNTON FOUNDATION FOR THE YEAR ENDED 5TH APRIL 2022
I report on the accounts of the Thornton Foundation ('the Foundation') for the year ended 5th April 2022, which are set out on pages 5 to 11.
Responsibilities and basis of report
As the charity trustees of the Foundation you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’).
I report in respect of my examination of the Foundation’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
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1) accounting records were not kept in respect of the Foundation as required by section 130 of the Act; or
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2) the accounts do not accord with those records; or
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3) the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Daniel Valentine ACA
Begbies Chartered Accountants Old Printers House Stone Street Cranbrook Kent TN17 3HF
5 January 2023
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THE THORNTON FOUNDATION
STATEMENT OF FINANCIAL ACTIVITIES
YEAR ENDED 5TH APRIL 2022
| Notes Unrestricted general fund Income: Investment income 2 Expenditure on: Charitable activities Donations 3 Governance costs 4 Raising funds Brokers' fees Total expenditure Net (losses)/gains on investment assets Net (expenditure)/income Reconciliation of funds Balance brought forward Balance carried forward |
2022 £ 66,918 60,480 11,146 71,626 672 72,298 (97,430) (102,810) 4,809,788 4,706,978 |
2021 £ 66,176 131,461 10,490 141,951 664 142,615 1,401,523 1,325,084 3,484,704 4,809,788 |
|---|---|---|
The notes on pages 7 to 11 form part of these accounts.
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THE THORNTON FOUNDATION
BALANCE SHEET AT 5TH APRIL 2022
| Fixed Assets Investments Current Assets Cash at bank Liabilities: Creditors: amount falling due within one year Net current assets Net Assets Represented by Funds Unrestricted general fund |
Notes 6 7 8 |
2022 £ 4,657,809 58,169 (9,000) 49,169 4,706,978 4,706,978 |
2021 £ 4,730,096 132,653 (52,961) 79,692 4,809,788 4,809,788 |
|---|---|---|---|
Approved by the Trustees on 21 December 2022
…................................................
Mrs S. J. Thornton - Chairman
The notes on pages 7 to 11 form part of these accounts.
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THE THORNTON FOUNDATION
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 5TH APRIL 2022
1. ACCOUNTING POLICIES
(a) Basis of preparation
The financial statements of the Foundation are 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 (Charities SORP (FRS 102)) published on 16 July 2014, and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), and the Charities Act 2011.
These financial statements are prepared under the historical cost convention as modified by the inclusion of investment assets at market value.
The charity constitutes a public benefit entity as defined by FRS 102.
(b) Unrestricted fund
The trustees may pay or apply the whole or any part or parts of the income or capital funds for any charitable purpose as the trustees in their absolute discretion think fit.
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(c) Investments
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Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Gains and losses arising on revaluation and disposal of investments during the year are reflected in the Statement of Financial Activities.
All investment income is recognised when the dividend becomes payable.
(d) Expenditure
Costs of charitable activities are direct costs of the charity in undertaking its work to meet its charitable objectives and consist of charitable donations and governance costs. Governance costs includes those costs associated with meeting the constitutional and statutory requirements of the charity.
Grants are accounted for by reference to the date on which the obligation for payment becomes unconditional.
Other expenditure is accounted for on an accruals basis with the irrecoverable element of VAT included within the category of expense to which it relates.
(e) Foreign currency
Transactions denominated in foreign currency are recorded at actual exchange rates at the date of the transaction. Assets denominated in foreign currency at the year end are translated into sterling at the rate of exchange current at the balance sheet date. Any gain or loss arising from a change in exchange rates subsequent to the date of the transaction is included as an exchange gain or loss in the Statement of Financial Activities.
(f) Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Investments are referred to in (c) above. All other basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.
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THE THORNTON FOUNDATION
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 5TH APRIL 2022
| 2. INVESTMENT INCOME Fixed asset investments Garraway Oriental Focus Fund - Class B US$ Garraway Oriental Focus Fund - Class B £ VT Garraway Asian Centric Global Growth Fund Bank interest 3. CHARITABLE DONATIONS Institutions Break Chase Africa Cirdan Sailing Trust CPRE Surrey Branch Gurkha Welfare Trust Helen and Douglas House Horse Time Hot Line Meals Institute of Cancer Research Keble College, Oxford Licoricia of Winchester Statue Appeal MACS (Microphthalmia, Anophthalmia & Coloboma Support) MacMillan Cancer Support Marie Curie Cancer Care Prisoners of Conscience RADA Rainbow Trust Sequal Trust Tait Memorial Trust Upham PCC Wessex Children's Hospice Trust (Naomi House & Jacksplace) Willow Foundation Winchester and District Young Carers |
2022 £ - 25,112 41,806 66,918 - 66,918 2022 £ - 5,000 5,000 - 5,000 8,000 2,000 - (270) 5,000 - 2,000 - - 5,000 5,000 2,000 2,000 3,750 3,000 8,000 - - 60,480 |
2021 £ 14,242 12,428 39,501 66,170 6 66,176 2021 £ 5,000 - - 7,500 - 12,000 2,000 4,000 43,961 5,000 2,000 - 8,000 5,000 7,000 - 7,000 - - 3,000 12,000 3,000 5,000 131,461 |
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THE THORNTON FOUNDATION
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 5TH APRIL 2022
4. GOVERNANCE
| Accountancy and independent examination charges Irrecoverable VAT Bank charges Trustees' expenses |
2022 £ 8,775 1,755 360 256 11,146 |
2021 £ 8,500 1,700 290 - 10,490 |
|---|---|---|
5. STAFF COSTS, TRUSTEES REMUNERATION AND RELATED PARTY TRANSACTIONS
There were no employees during the year (2021: nil).
None of the trustees received remuneration during the year. One trustee was reimbursed £256 (2021: £nil) in respect of the annual trustees' meeting. There were no other related party transactions in the year.
| 6. FIXED ASSET INVESTMENTS Market value at 6th April 2021 Additions at cost Disposal at opening book value Net unrealised loss on revaluation Market value at 5th April 2022 Historical cost at 5th April 2022 (2021: £978,604) |
£ 4,730,096 25,112 4,755,208 - 4,755,208 (97,399) 4,657,809 1,003,716 |
|---|---|
| Analysis of investments held at 5th April 2022 at valuation - Listed investments VT Garraway Asian Centric Global Growth Fund - Class R £ Net Inc Garraway Oriental Focus Fund Class B GBP |
UK £ - 3,407,194 3,407,194 |
NON-UK £ 1,250,615 - 1,250,615 |
TOTAL £ 1,250,615 3,407,194 4,657,809 |
|---|---|---|---|
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THE THORNTON FOUNDATION
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 5TH APRIL 2022
| 7. CASH AT BANK C Hoare & Co Current account Smith & Williamson Investment Management Sterling accounts Euro income account 8. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Begbies Charitable donations payable 9. TOTAL NET ASSETS SINCE INCEPTION Capital introduced by R.C.Thornton in 1983 Investment income and royalties Deposit account interest VAT recovered Underwriting commission Transitional tax relief received Less: Charitable donations (see Note 10) Exchange losses Management and administration Total net assets at 5th April 2022 Net gains on revaluation and disposal of investment assets |
2022 £ 34,576 22,059 1,534 58,169 2022 £ 9,000 - 9,000 2,807,339 279,037 47,982 3,173 11,015 7,404,469 21,121 506,176 |
2021 £ 108,357 22,731 1,565 132,653 2021 £ 9,000 43,961 52,961 £ 1,100,520 3,148,546 4,249,066 8,389,678 12,638,744 7,931,766 4,706,978 |
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THE THORNTON FOUNDATION
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 5TH APRIL 2022
10. TOTAL CHARITABLE DONATIONS SINCE INCEPTION
| Year to 5 April:- 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 2010 2009 2008 2007 2006 2005 2004 2003 2002 2001 2000 1999 1998 1997 1996 1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985 1984 |
60,480 131,461 1,114,680 134,500 230,884 160,340 106,000 94,700 140,640 100,388 204,203 218,675 153,745 321,450 274,800 226,250 215,000 173,000 102,400 226,913 116,041 356,936 103,800 182,670 120,012 314,322 188,168 291,142 72,579 184,280 82,225 144,565 142,630 156,045 313,795 100,250 64,850 51,950 27,700 7,404,469 |
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