Charity number: 326959 SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION (formerly The Heathside Charitable Trust) TRUSTEES. REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION CONTENTS Page Reference and administrative details of the Charity, its Trustees and advisers Trustees. report Independent auditors. report on the financial statements 8-11 Statement of financial activities 12 Balance sheet 13 ststement of cash flows 14 Notes to the financial statements 15-27
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2023 Trustees Sir Harry Solomon, Chair J B Jacobs S J Jacobs J K Solomon D M Solomon L S Jacobs G R Jayson K P Jacobs (appointed 13 June 2024) Charity registered number 326959 Principal office Hillsdown House 32 Hampstead High Street London NW31QD Independent auditors BKL Audit LLP Chartered Accountants 35 Ballards Lane London N3 1XW Bankers Lloyds TSB Private Banking 3rd Floor 39 Threadneedle Street London EC2R 8AU Investment Managers UBS Wealth Management 5 Broadgate London EC2M 2QS Page 1
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Trustees present their annual report together with the audited financial statements of Sir Harry & Lady Judith Solomon Charitable Foundation for the year 1 January 2023 to 31 Dember 2023. The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and Accounting and Reporting by Charities.. Statement of Recommended practi applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published on 1 January 2019. Objectives and activities a. Policies and objectives The objects of the Charity are making available fijnds for the benefit of such charitable institutions, or for such charitable purposes, as the trustees shall decide. The Trustees identify organisations and projects it wishes to support and this generally arises from direct contacts rather than speculative applications. The Trustees have considered the principal risks to which the Charity is exposed, and are satisfied that systems are in pla to mitigate those risks. b. Strategies for achieving objectives The Trustees meet regularly to consider causes to support, carefully assessing each cause based on available funds. Causes are selected from Trustee contacts and knowledge. rather than accepting unsolicited applications. c. Activities undertaken to achieve objectives The Charity undertakes to give grants to worthy organisations as the Trustees see fit. A further description of the grant giving policy is included later within this report. d. Grant-making policies The Trustees will consider making grants to organisations (not individuals) that fall within its charitable objectives and invite relevant applications, particularly from organisations intrOdUd by reliable contacts of the Trustees. The Trustees have complete discretion to pay any grants which fall within the charity's objects. Grants are considered on the basis of applications received and the Trustees meet four times a year to discuss and approve existing and new grants. They also communicate with each other at other times for this purpose should the need arise. Where grants, including overseas grants, are made for specified purposes, they are monitored by the Trustees to ensure that these purposes and any conditions attached to the grants are adhered to. e. Volunteers The Charity does not make use of volunteers to run the charity, other than the Trustees as listed on the reference and administrative details page. f. Main activities undertaken to further the Charity's purposes for the public benefit The Charity undertakes to give grants to further it's purposes for the public benefit. Grants are made to other charitable organisations, which the Trustees believe is for the public benefit. Page 2
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Achievements and performance a. Main achievements of the Charty The Trustees made numerous donations to charitable causes in accordan with its objects during the course of the year. Further details are shown in note 6 to the accounts highlighting the number of grants made in the year being 78 (2022: 74). The Trustees are satisfied that the organisations supported provide a good and valuable service to their beneficiaries. These included the furtherance of education, the care of the young, sick and elderly and the provision of community protection and other services. The organisations supported are monitored by the Trustees by personal contact with officials of those organisations, review of the work actually carried out by them, and their published material and reputation. b. Key perforniance indicators Due to the nature of the Charity, no fomial key performance indicators are set. However, the Trustees review management accounts on a quartedy basis to assess the level of fvnds available to the Charity, investment performance and level of grants given. Review of activities The Charity reiVed donations of £550,000 (2022: £762,500) during the year. These included gifts of £Nil {2022'. £100,000} from Sir Harry Solomon, £Nil (2022: £100,000) from Daniel Solomon, £100,000 (2022.. £100,000) from Louise Jacobs and £100,000 (2022.. £100,000) from Juliet Solomon. The Charity has made donations to charitable causes in accordance with its objects totalling £649,064 {2022= £584,809) and these are referred to in note 6 to the financial statements. 78 grants (2022= 74) were made to charitable organisations covering Health, Education, Cultural and other general causes. The Trustees are of the opinion that the financial position of the charity at the balance sheet date is sufficient to meet its on4Joing activities. The net assets at the year end date amounted to £5,031,891 (2022: £4,901.019). d. Factors relevant to achieve objectives The main factor affecting the Charity in the previous year was the poor performance of the stock market, resulting in a negative revaluation of investments for that year. There was an improved performance this year resulting in a positive revaluation. With the significant level of reserves held by the Charity the programme of grant giving has continued. . Fundraising activities and income generation The Charity does not raise funds from the public and relies on investment income, investment gains realised and the kind donations of Sir Harry Solomon and his family in order to continue supporting good causes. Page 3
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Achievements and performance (continued) f. Investment policy and perfomiance The Trustees have wide investment powers and investments are made in properties, shares and unit trusts. The Trustees, policy is to adopt a low risk investment strategy by spreading the Trust's assets over the various types of investment. Currently the assets are invested in cash, propety, equities and venture capital funds. The investment policy is designed to maximise income and capital gain within a low risk environment and the trustees consider a broad range of investments mentioned above to include bonds, ethical investments and sustainable funds. The Trustees monitor the perf0rrnan of investments against their objectives and are satisfied that such objectives are being met. The Trustees meet periodically to review investment policy during the year. They consider income requirements along with the investment advisorfs view of market prospects. The current objective is an annual total return of beeen 5 % to 80/0. The Trustees consider that the investment performance from the income and gains from funds invested was satisfactory given market conditions throughout the year. Financial review . Going concern The Trustees do not believe there to be a material UnrtaInty over going concem due to the level of unrestricted reserves and the fact that the vast majority of expenditure is grants paid on a discretionary basis. In view of this, the Trustees have prepared the accounts on a going concem basis, taking into consideration the e1ve months from the date of signature. b. Reserves policy Whilst the Trustees wish to continue to make grants as they have done in the past, it is also their wish to maximise the Trust's reserves in order to give a base from which the Trust can run charitable projects of its own. The Trustees review the level of reserves on an annual basis and consider the current level of reserves of £5,031,891 (2021.. £5,314,568) to be appropriate for the Trust to maintain. The Trustees aim to have reserves in due course producing sufficient income and gains to fund the proposed annual grant expenditure, without the need to obtain substantial support from donations. To achieve this without restricting the Trust's ability to make grants at the current rate, the Trustees have set the sum of £8m-£10m as their reserves target and aim to achieve this through their investment strategy and donations. There are no restricted reserves (2022: £Nill. c. Material investments policy The Charity holds a significant portfolio of listed shares. A fijrther description of the policy regarding these investments can be found under the Investment policy and performance section above. Page 4
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 d. Principal risks and uncertainties The Board of Trustees is responsible for the management of the risks fad by the Charity. All major risks to which the charity is exposed have been identified, assessed and controls established as appropriate. Consequently the Trustees are satisfied that the major risks have been mitigated. The Trustees consider that the main risk that the Trust faS is the recoverability of the investments held and whether they will continue to generate income in order to further the Trust's objectives via the grant making policy. To manage the risk the Trustees continually review the investment strategy of the Trust to determine the spread of the investments, achieved perfomiance and anticipated perfomiance for the forthcoming year. . Financial risk management objectives and policies The financial risks of the Charity are assessed and monitored by the Trustees, who meet regularly to review the financial affairs of the Charity- f. Principal funding The Charity is reliant on investment income, realised investment gains and the kind support of Sir Harry Solomon and his family in order to continue it's programme of grant giving. The Trustees are very thankful to Sir Harry Solomon and his family who enable the level of grant giving to remain at a similar level to previous years. Structure, governance and management a. Constitution The Charity was established by a charitable trust deed on 22 August 1985 which was updated by a supplemental deed on 25 September 2017. The Charity is registered with the Charity Commission under registration number 326959 and is an independent Charity. The address of the principal Offi is 32 Hampstead High Street, London NW3 1 QD. The Trustees are responsible for the overall management and control of the Charity. b. Methods of appointment or election of Trustees The Trustees who served during the year are: Sir Harry Solomon L S Jacobs G R Jayson D M Solomon J K Solomon S J Jacobs J B Jacobs The number of Trustees shall never be less than two and an additional Trustee or additonal Trustees may be appointed at any time but so that the total number of Trustees shall at no time exceed ten is accordance with a supplemental deed dated 25 September 2017. The Trustees have the power of appointing new or additional Trustees. The only Trustees are family and trusted advisers. The Board of Trustees has been heavily involved in the charity world for many years and is experienced in the requirements of charities. The Charity owns the Investment properties which are held by the Trustees on its behalf. Page 5
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Structure, governance and management (continued) . Organisational structure and decision-making policies As the Charity employs no staff, all organisational decisions are made by the Trustees, who meet regularly to discuss the Charity's affairs. d. Policies adopted for the induction and training of Trustees The composition of the Charity's Board of Trustees is reviewed regularly with a view to achieving a spread of expertise and age designed to facilitate the achievement of the Charity's objects. The Trustees keep up to date on their responsibilities by various means, such as reviewing the Charity Commission website, reading relevant periodicals and professional advice. One of the Trustees would be made responsible for the induction of any new Trustee which involves awareness of a Trustee's responsibilities, the governing document, administrative procedures, the history and philosophical approach of the Trust. A new Trustee would receive copies of the previous yearfs annual report and accounts and appropriate publications from the Charity Commission. e. Pay policy for key management personnel The Trustees consider the Board of Trustees as comprising the key management personnel of the Charity in charge of directing and controlling the Charity and running and operating the Charity on a day to day basis. All Trustees give their time freely and no Trustee remuneration was paid in the year (2022.. £Nil}. f. Related party relationships The Trustees are vigilant to potential related paty transactions which the Charity may be entering into. This includes completing an annual declaration of interests which are reviewed before every meeting. The related paty transactions are set out in note 9 to the accounts. g. Financial risk management The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks. h. Public benerrt The Charity has referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing its aims and objectives and in planning future activities. In particular the Trustees consider how planned activities will contribute to the aims and objectives they have set. The Charity does not engage in fund raising activities to meet its objectives or use any third paty or commercial fundraisers and therefore has received no complaints. Plans for future periods The aim of the Trustees for the next year is to continue making donations to various charities even though the donations may significantly exed the income generated on the Trusts investments, in which case they will be funded from the growth in the investment portFolio, reserves or future donations. Page 6
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Statement of Trustees. responsibilities The Trustees are responsible for preparing the Trustees, report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practi). The law applicable to charities in England & Wales requires the Trustees to prepare financial statements for each financial which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of reSoUrs, including its income and expenditure, for that period. In preparing these financial statements, the Trustees are required to= select suitable accounting policies and then apply them consistentty., observe the methods and principles of the Charities SORP (FRS 102)., make judgments and accounting estimates that are reasonable and prudent., state whether applicable UK Accounting Standards (FRS 102) have been followed, subject to any material departures disclosed and explained in the financial statements., prepare the financial statements on the going conrn basis unless it is inappropriate to presume that the Charity will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 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 that Trustee is aware. there is no relevant audit information of which the Charity's auditors are unaware, and that Trustee has taken all the steps that ought to have been taken as a Trustee in order to be aware of any relevant audit information and to establish that the Charity's auditors are aware of that information. Auditors The auditors, BKL Audit 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.. G R Jayson Trustee Date. 3111012024 Page 7
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION Opinion We have audited the financial statements of Sir Harry & Lady Judith Solomon Charitable Foundation {the 'charity'} for the year ended 31 Dember 2023 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the 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, 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- give a true and fair view of the state of the charity's affairs as at 31 December 2023 and of its incoming resources and application of resources for the year then ended; have been properly prepared in accordan with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordan with the requirements of the Charities Act 2011. Basis for opinion We conducted our audit in accordance with Intemational 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. Page 8
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION (CONTINUED) other inforniation The other information comprises the information included in the Annual report other tharr the financial statements and our Auditors. 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 assuran 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 detemiine 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. Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Charities (Accounts and Report5) Regulations 2008 requires us to report to you if, in our opinion.. the information given in the Trustees. report is inconsistent in any material respect with the financial statements., or sufficient accounting records have not been kept" or the financial statements are not in agreement with the accounting records and returns., or 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 which 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. Page 9
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION (CONTINUED) Auditors. responsibilities for the audit of the financial statements We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. Our objectives are to obtain reasonable assuran about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors, 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 InStanS 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 prOdureS are capable of detecting irregularities, including fraud is detailed below= Enquiring of management around actual and potential litigation and claims-, Reviewing board meeting minutes of meetings of those charged with governance., Reviewing financial statement disclosures and testing to supporting documentstion to assess compliance with applicable laws and regulations- Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias. 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-complian. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. As part of an audit in accordance with ISAS (UK), we exercise professional judgement and maintain professional sptiCIsM throughout the audit. We also.. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit eviden that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of intemal control. Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circuMstans, but not for the purpose of expressing an opinion of the effectiveness of the charity's internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees. Conclude on the appropriateness of the Trustees, use of the going concern basis of accounting and, based on the audit evidence obtained. whether a material UnrtaInty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going COnrn. If we conclude that a material UnrtaInty exists, we are required to draw attention in our Auditors, Report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditors, Report. However, future events or conditions may cause the charity to ase to continue as a going concern. Evaluate the overall presentation. structure and content of the financial statements, including the Page 10
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION (CONTINUED) disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governan regarding. among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at.. vMw.frc.or .ukJauditorsres onsibilities. This description forms part of our Auditors, report. Use of our report This report is made solely to the charity's trustees. 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 Auditors, 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 its trustees, as a body, for our audit work. for this report. or for the opinions we have formed. EEL LLP BKL Audit LLP Chartered Accountants Statutory Auditor 35 Ballards Lane London N3 1XW Date: 3111012024 BKL Audit LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006. Page11
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2023 Unrestricted funds 2023 Total funds 2023 Total funds 2022 Note Income from: Donations and legacies Investments 550,000 76.462 550,000 76.462 762,500 57,157 Total income 626.462 626,462 819,657 Expenditure on: Raising funds Charitable activities 30.345 663,484 30,345 663,484 30,583 597,913 Total expenditure 693,829 693,829 628,496 Net lexpenditure)lincome before net gainsl(losses) on investments (67.367) 198,239 (67,367) 198,239 791,161 (604, 710) Net gainslllosses) on investments Net movement in funds 130.872 130,872 (413, 549) Reconciliation of funds". Total funds brought forward Net movement in funds 4,901,019 130.872 4,901,019 130.872 5,314,568 (413,549) Total funds carried forward 5,031.891 5,031,891 4,901,019 The Statement of Financial Activities includes all gains and losses recognised in the year. The notes on pages 15 to 27 form part of these financial statements. Page 12
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION BALANCE SHEET AS AT 31 DECEMBER 2023 2023 2022 Note Fixed assets Investments Investment property 12 3,981,072 360.000 3,817,666 360,000 4,341,072 4, 177,666 Current assets Debtors 13 444,162 260,457 373,878 362,675 Cash at bank and in hand 704.619 736,553 Creditors.. amounts falling due within one year 14 {13.800) (13.200) Net current assets 690,819 723,353 Total assets less current liabilities 5,031.891 4,901,019 Total net assets 5,031,891 4,901,019 Charity funds Unrestricted funds 15 5,031,891 4,901,019 Total funds 5,031.891 4,901,019 The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by.. 4 J?_- G R Jayson Trustee Date: 3111012024 The notes on pages 15 to 27 form part of these financial statements. Page 13
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023 2023 2022 Cash flows from operating activities Net cash used in operating activities {213,513) 61,039 Cash flows from investing activities Interest receivable Dividends and rents from investments 36,125 32,513 40.337 24,644 {165,314) (336,593) 200.147 304,981 40,000 Acquisition of investments Disposal of investments Revaluation of investment properties Net cash provided by investing activities 111.295 65.545 Change in cash and cash equivalents in the year Cash and cash equivalents at the beginning of the year {102,218) 362,675 126,584 236,091 Cash and cash equivalents at the end of the year 260.457 362,675 The notes on pages 15 to 27 form part of these financial statements Page 14
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 General information Sir Hary & Lady Judith Solomon Charitable Foundation is an unincorporated charity established by a charitable trust deed on 22 August 1985 which was updated by a supplemental deed on 25 September 2017. The Charity was fomiedy known as The Heathside Charitable Trust but changed it's name to Sir Harry & Lady Judith Solomon Charitable Foundation on 13 June 2024. 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 practi 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. Sir Harry & Lady Judith Solomon Charitable 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. 2.2 Going concern The trustees do not believe there is a material uncertainty over going concern, due to the level of unrestricted reserves and the fact that the vast majority of expenditure is grants paid on a discretionary basis. Therefore the trustees are comfortable that the charity's reserves will ensure it is able to endure over a period of 12 months from the date of signature of these financial statements. 2.3 Income All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. Bank interest, rental income and dividends are accounted for on a receivable basis. All other income is included in the accounts on a receivable basis when the SORP income recognition criteria of entitlement, probability and measurement have been met. Donations made by a way of Gift Aid are reflected in the year in which they are re1Vable. 2A Expenditure Grants payable Grants payable are payments made to third parties in the fijrtherence of charitable objects of the Trust. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive the one year or multi-year grant. Grant awards that are subject to the recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to the grant is outside of the control of the Trust. Page 15
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting policies (continued) 2A Expenditure (continued) Support and governance costs Governan costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to audit and legal fees and are included in expenditure on charitable activities in the Statement of Financial Activities. All costs are inclusive of irrecoverable VAT and are accounted for on an accruals basis. Funds Unrestricted funds comprise accumulated surpluses and deficits on general funds. They are available for use at the discretion of the Trustees in furtheran of the general charitable objectives. Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure. 2.5 Foreign currencies Transactions in foreign currencies are recorded at the rate ruling at the date of transaction. Bank balances denominated in foreign currencies are translated at the rate of exchange ruling at the balance sheet date. All foreign exchange differences are taken to the Statement of Financial Activities. Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction. 2.6 Taxation Sir Harry & Lady Judith Solomon Charitable Foundation is a registered charity and as such its income and gains falling within sections 471 to 489 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992 are exempt from corporation tax to the extent they are applied to its charitable activities. 2.7 Investments Fixed asset investments are a form of financial instrument and are initialty recognised at their transaction cost and subsequently measured at fair value at the Balan 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 'Gainsl(Lossesl on investments, in the Statement of financial activities. 2.8 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Page 16
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting policies (continued) 2.9 Liabilities and provisions Liabilities are recognised when there is an obligation at the Balan sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. 2.10 Financial instruments The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exptIOn of bank loans which are subsequently measured at amortised cost using the effective interest method. 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. Investment income, gains and losses are allocated to the appropriate fund. Income from donations and legacies Unrestricted funds 2023 Total funds 2023 Donations 550,000 550.000 Unrestricted funds 2022 Total funds 2022 Donations 762, 500 762, 500 Page 17
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Investment income Unrestricted funds 2023 Total funds 2023 Rental income Dividends receivable 16,550 23,787 36,125 16,550 23.787 36,125 Interest received 76,462 76,462 Unrestricted funds 2022 Total funds 2022 Rental income Dividends re1vable Interest received 12,588 12,056 32,513 12,588 12,056 32,513 57, 157 57,157 Investment management costs Unrestricted funds 2023 Total funds 2023 Investment management costs Propety expenses 15,714 14,631 15.714 14,631 30,345 30,345 Page 18
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Investment management costs (continued) Unrestricted funds 2022 Total funds 2022 Investment management costs Propety expenses 16,960 13,623 16,960 13,623 30, 583 30,583 Anatysis of grants Grants to Institutions 2023 Total funds 2023 Grants, Supporting good causes 649,064 649,064 Grants to Institutions 2022 Total funds 2022 Grants, Supporting good causes 584, 809 584, 809 During the year the charity made 78 grants totalling £649,064 (2022= 74 grants totalling £584,809) to a variety of charities in accordan with the grant making policy. All grants were made to institutions. A full list of grants paid is available on request in writing from the charity's principal address which is shown on the page detailing administrative information. Page 19
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Anatysis of expenditure on charitable activities Summary by fund type Unrestricted funds 2023 Total 2023 Supporting good causes 663,484 663,484 Unrestricted funds 2022 Total 2022 Supporting good causes 597,913 597,913 Anatysis of expenditure by activities Grant funding of activities 2023 Support costs 2023 Total funds 2023 Supporting good causes 649,064 14,420 663.484 Grdnt funding of activities 2022 Support costs 2022 Total funds 2022 Supporting good causes 584, 809 13, 104 597,913 Page 20
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Anatysis of expenditure by activities (continued) Anatysis of support costs Supporting good causes 2023 Total funds 2023 Bank charges Professional fees 127 127 117 117 Exchange gains l (losses) Governan costs 376 13,800 376 13.800 14,420 14.420 Supporting good causes 2022 Total funds 2022 Bank charges Professional fees Exchange gains l (losses) Governan costs 41 41 156 (640) 13,547 156 (640J 13,547 13,104 13,104 Governan costs consists of audit and accounts preparation fees for both 2023 and 2022. Auditors. remuneration 2023 2022 Fees payable to the Charity's auditor for the preparation and audit of the Charity's annual accounts 13.800 13,200 10. Trustees. remuneration and connected parties During the year, no Trustees received any remuneration or other benefits (2022 - £NIL). Page 21
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 10. Trustees. remuneration and connected parties (continued) Donations: The charity received donations from Sir Hary Solomon of £Nil {2022.' £100,000), Daniel Solomon of £Nil (2022.. £Nil), Louise Jacobs of £100,000 (2022.. £100,000) and Juliet Solomon of £100,000 (2022.. £150,000). Grants: The charity made grants totalling £50,000 {2022: £50,000) to The Portland Trust and £25,000 {2022'. £nil) to the Sir Martin Gilbert Leaming Centre, of which Sir Harry Solomon is also a trustee. There were also 3 grants totalling £37.500 (2022: £62,000) to charities of which other Trustees are a trustee. The grants of £27,500, £5,000 and £5,000 respectively were paid to The British Friends of the Jaffa Institute, The Shine for Shani Charitable Trust and Spead a Smile. other During the year the Trust made an interest free loan of £5,208 {2022= £16,427) to Qtec Analytics Limited, a company connected to Sir Hary Solomon. At the year end date, an amount of £70,466 {2022'. £65,238) was owed by the company to the Trust and is fvlly recoverable. Page 22
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 11. Investment property Freehold investment property Valuation At 1 January 2023 360.000 At 31 December 2023 360,000 The investment properties comprise two properties which are ordinarily let to provide income for the trust. One of the properties is currently occupied on a short term basis by a Ukrainian family on a rent free basis. The investment property was revalued by the trustees on the 31 st December 2023. 12. Fixed asset investments Quoted Unquoted Total Cost or valuation At 1 January 2023 Additions Disposals Revaluations 2,050.536 165,314 (169.806) 158,569 1,767,130 3.817,666 165,314 {200.147) 298,239 {30,341) 139,670 At 31 December 2023 2,204.613 1,876,459 4,081,072 Impaimient Charge for the year 100,000 100,000 At 31 December 2023 100,000 100,000 Net book value At 31 December 2023 2,204,613 1,776,459 3,981,072 At 31 Dember 2022 2, 050, 536 1,767,130 3,817,666 Page 23
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 13. Debtors 2023 2022 Due within one year other debtors 413.256 30,906 338,956 34,922 Prepayments and accrued income 444.162 373, 878 14. Creditors: Amounts falling due within one year 2023 2022 Accruals and deferred income 13,800 13,200 Page 24
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 15. Statement of funds Statement of funds - current year Balance at 31 Gainsl December (Losses) 2023 Balance at 1 January 2023 Income Expenditure Unrestricted funds General Funds- all fijnds 4,901,019 626.462 (693.829) 198.239 5.031.891 Statement of funds - prior year Balance at 31 December 2022 Balan at 1 January 2022 Gainsl (Losses) Income Expenditure Unrestricted funds General Funds- all funds 5,314.568 819,657 (628, 496) (604, 710) 4,901,019 16. Analysis of net assets between funds Analysis of net assets between funds - current year Unrestricted funds 2023 Total funds 2023 Fixed asset investments 3,981,072 360,000 704,619 (13,8001 3.981,072 360,000 704,619 (13,800) Investment propety Current assets Creditors due within one year Total 5,031,891 5,031,891 Page 25
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 16. Analysis of net assets between funds (continued) Anatysis of net assets between funds - prior year Unrestricted funds 2022 Total funds 2022 Fixed asset investments 3,817,666 360, 000 736, 553 (13,200) 3,817, 666 360,000 736, 553 (13,200) Investment property Current assets Creditors due within one year Total 4,901,019 4,901,019 17. Reconciliation of net movement in funds to net cash flow from operating activities 2023 2022 Net incomelexpenditure for the year (as per Statement of Financial Activities) 130,872 (413,549) Adjustments for: Dividends, interests and rents from investments Lossesl(gains) on investments {Increase)IDecrease in debtors {Decrease)Ilncrease in accruals (76,462) {198,239) (70,284) 600 (57, 157) 564,710 (25, 145) (7,820) Net cash provided byllused in) operating activities {213.513) 61,039 18. Anatysis of cash and cash equivalents 2023 2022 Cash in hand 260.457 362,675 Total cash and cash equivalents 260,457 362,675 Page 26
SIR HARRY & LADY JUDITH SOLOMON CHARITABLE FOUNDATION NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 19. Anatysis of changes in net debt At1 January 2023 Cash flows At31 December 2023 Cash at bank and in hand 362,675 {102,218 260,457 362,675 1102,218 260,457 Page 27