2025-04-30-accounts

CHARITIES TRUST Registered No. 2142757 (Registered Charity No. 327489)

REPORTS AND FINANCIAL STATEMENTS

30 APRIL 2025

CHARITIES TRUST 2[nd ] FLOOR ELEANOR RATHBONE HOUSE UNIT 16 CONNECT BUSINESS VILLAGE 24 DERBY ROAD LIVERPOOL L5 9PR

CHARITIES TRUST

REPORTS AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

CONTENTS	Page(s)
Chair’s Foreword	2
Strategic Report of the Board	3 – 11
Report of the Board	12 – 17
Independent Auditor’s Report	18 – 22
Statement of Financial Activities	23
Balance Sheet	24
Cash flow Statement	25
Statement of Accounting Policies	26 – 32
Notes to the Financial Statements	33 – 50

1

CHARITIES TRUST

CHAIR’S FOREWORD

CHAIR’S FOREWORD

We continue to navigate a complex global landscape, marked by geopolitical shifts, climate challenges, growing demands on public services, and economic pressures. In this environment, the role of charities is more vital than ever, and our mission, to ensure donations reach their intended recipients swiftly and efficiently, remains central. It is encouraging to report that we continue to pass on 99p of every £1 donated through Payroll Giving, and that distributions have exceeded collections, reflecting a reversal of previous years’ build-up.

From an internal perspective, the year ending 30 April 2025 presented challenges, and may be described as a lost year in terms of system development and our ability to progress our growth ambitions. While donation levels remained steady at approximately £120 million, the original plans to transform our IT systems did not work and it was only around the year end that we were confident that the right IT capabilities were in place to significantly reposition the charity. We now believe we have the right team, resources, and strategy in place to deliver a scalable core platform. This will enhance customer service, improve operational efficiency, enable deeper data insights, and accelerate processing times.

We have been fortunate that our revised investment strategy that introduced a measured allocation to equities and higher-yield assets has delivered strong returns over the past two years. This has enabled us to build reserves while funding the transformation initiative. Looking ahead, we plan to elevate our brand profile and develop a robust sales capability to grow our donor base, positioning ourselves as the leading provider of Donor Advised Funds. This will support a return to covering ongoing costs through regular fee income.

These financial accounts reflect stable donation levels, strong investment performance (including cash holdings), a solid balance sheet, and increased costs associated with the write-off of legacy IT expenditure and continued investment in innovation.

Our purpose, values, and commitment to supporting the communities we serve remain unwavering. As our focus begins to shift from delivering the IT transformation to strengthening relationships with current and future clients, we are optimistic about the opportunities ahead.

On behalf of the Board, we extend our heartfelt thanks to our clients, donors, and staff for their ongoing support and dedication. Your contributions are essential to our mission and help us make a meaningful impact on thousands of charities and the communities they serve.

Sir Michael Bibby Bt.,DL Chair

2

CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD

The Trustees present their Strategic Report on Charities Trust (“the Charity”) for the year ended 30 April 2025.

Principal Activities

The Charity offers a wide range of charitable giving and donation services to the corporate sector in the UK. Clients continue to be attracted to the wide range of options available through the Charity to engage their employees and customers. Those services include:

• Payroll Giving match;

• Fundraising match;

• Event fundraising including organisation monitoring and reporting (“Sponsor Me”);

• Charity accounts (“My Giving Account”);

• Corporate Charitable Foundation management;

• Newspaper appeals;

• Disaster appeals;

• Grant application processing and payment;

• Corporate charitable donation payments and beneficiary verification / due diligence (UK and international);

• Sanctions screening and PEPs and adverse media screening;

We are pleased to see Payroll Giving donations processed at £49m for the year (2024: £52m). We achieved donations of £72m (2024: £68m) from all other services. Total donations received for the year came to £121m (2024: £120m) of which £71m (2024: £72m) is shown on the Statement of Financial Activities and £50m (2024: £48m) is shown in note 16 under funds held as agent.

During the year the value of donations processed per member of staff was £3m (2024: £3.1m).

Key Performance Indicators

Success for the Charity is measured by the value of charitable donations received and distributed, particularly the proportion of those which are ‘new giving’. As a not-forprofit organisation however, we only seek to generate sufficient fee income to cover our running costs with a small surplus remaining for the on-going investment in systems, security and process improvements in an ever-changing digital age.

Achievements & Performance

Total donations received during the year of £120,839,770 (2024: £120,112,058) represents an increase of 1% on the previous year. We made donations to 18,300 charities in the year (2024: 17,554).

Total donations received from Corporates of £49,209,957 (2024: £44,446,461) represents an increase of 11%. Receipts for Charity Fund Accounts totalled £6,413,093 (2024: £10,108,556), representing a decrease of 37%. Donations paid on behalf of Corporates exceeded receipts by £11,750,467 in the year (2024: £11,877,672) and

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Achievements & Performance (Continued)

donations paid from Charity Fund Accounts exceeded receipts by £7,065,189 (2024: receipts exceeded donations paid by £12,271). Receipts from and donations paid on behalf of Corporates fluctuate each year depending on Clients’ donation plans and their charity support programmes.

During the year we processed 2.6 million individual Payroll Giving donations on behalf of 1,234 active client organisations (2024: 2.5 million on behalf of 1,172 clients).

We pride ourselves on our cost efficiency and 99p of every £1 of Payroll Giving donation was paid over to charities and good causes (2024: 99p of every £1).

There is a continuing trend for new and emerging third-party providers choosing us as their preferred payment partner. We were pleased to see donations from partners increase to £9,566,937 in the year (2024: £6,145,173). We are increasingly the Payroll Giving partner of choice for a growing number of employee benefit platform providers and charitable giving platforms including a number of international providers.

Income in the year includes income from Charitable Activities of £1,630,836 (2024: £1,608,827). These are fees derived from processing all donations referred to above. We have a range of fee structures for different products. The most significant fees generated in the year were:

• Corporate Charity Accounts £618,368 (2024: £576,992).

Income for the Charity also includes unrestricted Donations Received and Bank Deposit Income.

Investment income for the Charity includes income from short-term deposits of monies prior to distribution to charities of £1,687,339 (2024: £2,298,354). This helps the Charity to keep administration charges as low as possible.

The Charity has engaged Evelyn Partners to provide investment management services and investment portfolios have been established to improve the return on unrestricted reserves and on restricted funds prior to distribution. Unrestricted income and capital gains from these investments came to £801,369 in 2025 (2024: £1,806,923).

The unrestricted income is used to offset the costs of managing and processing donations, which are classified as ‘Charitable Activities’. The unrestricted funds for the Charity (i.e. its own reserves) increased by £547,423 for the year (2024: £2,818,829). This included a transfer of £704,180 from restricted funds to unrestricted funds in the year (2024: £611,182) in relation to dormant My Giving Account balances. See Note 14 for more details.

Unrestricted funds held in the Balance Sheet were £9,086,470 (2024: £8,539,047).

The net movement in all funds for the year was a decrease of £19,091,634 (2024: a decrease of £7,591,348). The net outflow of funds in the current year largely represents the timing difference between receipt of funds and distribution to good causes in accordance with donor’s wishes.

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

s172(1) Companies Act 2006 Reporting

The Board of Trustees consider that through their strategic planning and decision making in the year ended 30 April 2025, they have acted in a way that is most likely to promote the success of the Charity for the benefit of its stakeholders. This year’s strategic planning process undertaken in February 2025 focused on the Charity’s fiveyear strategic plan which includes our ongoing investment in digital transformation to improve our client and donor experience as well as promoting the growth of charitable giving through the provision of new and improved products and systems.

Employees: Our employees are central to effective service delivery for our clients and it is important that all employees feel valued and fully engaged in the work of the Charity. To facilitate this, we undertake regular team and organisational meetings and briefings as well as individual appraisals and feedback sessions.

Clients: Our mission is to grow charitable giving and we recognise that working in partnership with our clients is fundamental to this. We undertake a continuous programme of client engagement to ensure that our current service delivery meets their requirements and to support them to explore opportunities to develop and grow their charitable giving activities.

Suppliers: We view our suppliers as key partners in the delivery of our services and we engage regularly with our banking and technology suppliers to review performance, plan developments and stay abreast of progress and innovation in their areas of expertise. Our ongoing systems and infrastructure development is very much in collaboration with our suppliers whose contribution is highly valued. In addition to this, we place expectations on our key suppliers that they undertake business in a transparent manner and have in place policies such as a Modern Slavery Policy and Statement which demonstrate their commitment to this important aspect of ethical and responsible business practice.

Community & Environment: The Charity contributes to the public benefit by adding value to the charitable sector at minimal cost. It enables and encourages charitable giving by providing a range of products and services which make giving easier for employers and employees.

Any surpluses generated are re-invested in the Charity to further this work. In terms of the environment, we are particularly aware of our responsibilities and although our office footprint is small, we engage in a number of recycling schemes to minimise the environmental impact of our work. Business travel is primarily through public transport, and we operate hybrid working arrangements to help reduce the environmental impact of staff commuting.

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

s172(1) Companies Act 2006 Reporting (Continued)

Business Conduct & Fair Practice: The Charity takes its obligations to stakeholders very seriously and endeavours to conduct its business to consistently high standards while treating all stakeholders fairly. The Charity supports this via a skilled, experienced, and effective Board of Directors and Senior Management Team. Working with the operational management team, this structure promotes a culture of openness, professionalism, and ethical practice.

While the Charity is not a fundraising charity and therefore not regulated by the Fundraising Regulator, it has an affiliation via the Association of Payroll Giving Organisations (APGO) which provides access to best practice and legislative updates. The Charity was regulated by the Gambling Commission while promoting lotteries. The final two lotteries being promoted by the Charity were closed in the year and the related Gambling Commission licences have since been surrendered.

Business Relationships

As detailed in the s172(1) statement above, the Charity recognises the critical importance of its stakeholder relationships and the role that clients, employees and suppliers play in enabling the Charity to deliver its objectives for the wider public and community benefit. These relationships are highly valued, and we continue to work to enhance them through ongoing effective engagement.

Financial Review

The total funds held as at the 30 April 2025 were £62,487,515 (2024: £81,579,149). The total restricted funds held were £53,401,045 (2024: £73,040,102) and the total unrestricted funds held were £9,086,470 (2024: £8,539,047). The net asset position has decreased from £81,579,149 to £62,487,515 due to a decrease in restricted funds held which relates to the timing difference between receipt of funds and distribution to good causes.

a. Reserves Policy

The policy of the Board is to hold at least unrestricted liquid reserves sufficient to fund:

• working capital,

• future developments of systems to keep pace with technology and the changing needs of our donors and clients,

• contractual commitments,

• unexpected expenditure,

• unexpected loss of income.

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Financial Review (Continued)

Unrestricted Liquid Reserves (unrestricted income funds less tangible and intangible fixed assets) have increased to £8,716,370 (2024: £7,294,352) following positive financial performance in the year, the transfer of £704,180 (2024: £611,182) from restricted funds to unrestricted funds and incorporating capital investment in infrastructure of £46,589 (2024: £1,115,866). This level will allow us to continue the planned investment in our fundraising systems and infrastructure over the next year.

The unrestricted liquid reserves level is monitored by the Board on a quarterly basis and the policy is reviewed annually. The Trustees believe that as at the 30 April 2025 unrestricted liquid reserves of £8,716,370 is sufficient to meet the organisations requirements.

Principal funding sources continue to be fees derived from the processing of donations received and investment income. Expenditure in the year is the cost of processing and distributing these funds to charitable organisations which is our primary purpose. Unrestricted charitable activities expenditure increased by 20% in the year to £4,188,490 (2024: £3,496,924). This increase was due to an impairment charge of £751,193 (2024: £98,988) relating to our Digital Transformation investment which is detailed below.

b. Funds Recognition & Funds held as Custodian Trustee on Behalf of Others

In accordance with the Charity SORP, the funds relating to the contracts where the Charity is acting strictly as an agent are disclosed in Note 16 to the financial statements. These comprise Payroll Giving and other funds held to the order of the original payers that are in the course of being paid to their nominated charity.

Where the Charity is acting as an intermediate charity and controls the use of these resources prior to their charitable application, the income and costs relating to these funds are recognised in the Statement of Financial Activities ‘SOFA’ as Restricted funds and in the Balance Sheet as ‘Cash held on behalf of third parties as intermediary charity’, ‘Investments held on behalf of third parties as intermediary charity’ or Investments. Details are disclosed in Note 14 to the financial statements. These comprise, Charity Fund Accounts, My Giving Accounts, My Trust Accounts, Corporate Charity Accounts, Corporate Giving Accounts and Social Investments.

c. Investments Overview

The Charity’s investments consist of an investment portfolio under the management of Evelyn Partners and Trust Account investments under the management of Canaccord Genuity.

Evelyn Partners is an investment management firm authorised and regulated by The Financial Conduct Authority and the portfolio under management comprises a mix of shares, bonds, cash instruments and alternative investments. The objective of this portfolio is to generate an average return of CPI plus 2% over the long term, thereby exceeding the return achievable from term deposit bank accounts.

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Financial Review (continued)

The portfolio consists of a mix of restricted and unrestricted funds which are not required for the Charity’s operations over the medium to long term. The value attributed to this portfolio as at the 30 April 2025 was £19,620,025 (2024: £21,806,467) (see note 6).

The Trust Account operates as a Donor Advised Fund Account, generating dividends and interest for charitable donation. The investments are managed by Canaccord Genuity, professional investment advisors authorised and regulated by The Financial Conduct Authority. Investments comprise a mixed portfolio of shares, fixed interest stocks, unit trusts and bonds. Most of these investments are UK based investments although some are overseas. The investment fund is a discretionary portfolio whose investment aims are balanced with a risk portfolio of ‘medium’. The value attributed to these investment funds was £436,959 (2024: £447,370) (see note 6).

The Charity supports social investors who wish to invest in recognised social investment vehicles. These are treated as Programme Related Investments and impaired in full at the time of transferring funds. There were no payments to the Big Issue Invest Social Enterprise Investment Fund II L.P. in 2025 (2024: £nil).

These investments are made with a view to earning a financial return and as a means of providing funding and investment to organisations and social enterprises to further their charitable/social purposes. All Social Investment assets are held in support of restricted funds.

Restricted cash is held in instant access and term deposit accounts with UK banking institutions. This is represented on the Balance Sheet as bank balances, money market and investments held on behalf of third parties as intermediary charity. The holding value as at the 30 April 2025 was £38,955,802 (2024: £55,723,806). The contractual terms and conditions in place with the majority of donors provide for interest earned on a substantial proportion of these funds to be applied to unrestricted income. In 2025 £1,687,339 was applied to unrestricted income (2024: £2,298,354). This income helps to keep the Charity’s administration charges as low as possible. The Charity’s treasury policy requires these cash funds to be held in a range of banking institutions, in accounts with a spread of maturity, including instant access funds. This is managed to ensure that sufficient funds are available at all times to meet donor instruction.

Unrestricted cash is held in instant access and term deposit accounts with UK banking institutions. The holding value as at the 30 April 2025 was £2,673,416 (2024: £2,061,081).

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Financial Review (continued)

d. Grant Making

A database of recipient charities is maintained and continuously developed by the Charity. New charities are added to the database when requested by donors. A charity vetting process is undertaken when adding new charities which varies depending on the value of charitable donation being made and on whether the charity is UK based or overseas. When a donation cannot be made to the intended beneficiary an alternative instruction is sought from the donor. When an alternative instruction cannot be sourced from the donor, the Trustees use their discretion to donate to a charity of similar purpose to that of the original intended beneficiary.

e. Digital Transformation Investment

The Charity continued to invest in its Digital Transformation programme with £32,858 of capitalised expenditure (2024: £1,103,209) and £584,099 of operational expenditure (2024: £459,673). The operational expenditure related to consultancy, support services and direct development expenditure which were not deemed to constitute an asset and therefore charged to the Statement of Financial Activities in the year. An impairment charge of £751,193 (2024: £98,988) was made in relation to new system development costs which were deemed to be impaired due to design and development weaknesses which were found to limit future scalability. The system development strategy has now been updated and revised to ensure that the Charity’s Digital Transformation programme is delivered successfully over the coming year.

Plans for Future Periods

The Charity will continue to focus on its Digital Transformation that will not only modernise the technology but will seek to make use of new digital features that will enhance the donation journey of our donors and help us scale up our offer to existing and new clients. We will also continue to build on the foundations which have been laid down in recent years to support our Partners by providing smoother and quicker payments to charities and allowing them greater flexibility to offer a wider range of charities to the donors using their platforms. We will continue to invest in our staff through training and succession plan development.

Principal Risks and Uncertainties

The Charity operates a framework that provides accountability for the management of risk across the organisation.

• Charities Trust’s Strategic Risk Management Framework includes:

• A Risk Appetite that is reviewed by Board at least annually;

• A comprehensive Strategic Risk Register that is maintained and reviewed by the Executive, relevant committees and Board with Board reviewing its identified top risks at each Board Meeting;

• The Board retains oversight of how risks are being managed by the Governance calendar presented at each meeting (compliance with all

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Principal Risks and Uncertainties (continued)

mandatory returns) and is alerted to any identified weakness in controls in the Governance Update report;

• An Annual Assurance Report has also been introduced which provides a summary of key events throughout the year together with enhancements to controls to ensure, where possible, these are prevented from reoccurring;

• The implementation of policies, systems, controls and procedures to identify, assess, manage and mitigate risks.

a. Financial Risks

One of the main financial risks the Charity faces is interest rate risk. Short-term funds held by the Charity are deposited with UK Banks as cash investments and the interest earned is used to supplement the low charges made for our services. Some funds are deposited for up to 12 months at fixed rates with the balance at variable rate.

We also balance the need to maximise interest earned against the need to access some funds at short notice and the credit standing of the banking institutions we use.

Some of our medium and long-term funds are held in professionally managed investment portfolios.

The management of the investment portfolios is overseen by the Investment & Treasury Committee and the investment managers work within the parameters of the Charity’s Investment & Treasury Policy. The investments are managed on a medium risk basis and risk to capital is capped so that any loss would be covered by unrestricted reserves. Medium-term investments are not exposed to capital risk.

The Investment & Treasury Committee also makes recommendations to Board on the management of bank deposits.

b. Non-financial Risks

The main risk categories facing the Charity are reputational and technological. Reputation risk is mitigated by working hard to embed our values and having policies and procedures that cover governance and regulatory compliance.

Key legislation associated with those areas of risk and identified as having an indirect impact on the financial statements relate to UK General Data Protection Regulations (UK GDPR) and The Money Laundering and Terrorist Financing Regulations 2019.

The Charity has enhanced its online training for all staff to ensure that these areas of risk are fully addressed by mandatory training which is refreshed on an annual basis. In addition, testing of staff knowledge and understanding has been undertaken by inhouse staff with “phishing” type exercises. Any identified weaknesses in individual’s knowledge in dealing with such contact has been immediately addressed by providing further mandatory training. This has been implemented to address the further risks presented by hybrid work patterns which mix in office and remote working.

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CHARITIES TRUST

STRATEGIC REPORT OF THE BOARD (Continued)

Principal Risks and Uncertainties (continued)

Training on Anti-Money Laundering has also been rolled out to all staff to increase vigilance, with enhanced level training still provided to specific staff.

The Charity is constantly evolving its technology to ensure that its systems and controls are secure and resilient. Our systems and processes incorporate controls to ensure that client accounts and donations are managed securely, and our treasury policy provides for sufficient liquidity of funds so that donations can be made in a timely manner in line with donor instructions.

ON BEHALF OF THE BOARD

C.Rustomji C Rustomji (Trustee)

Date: 2 December 2025

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CHARITIES TRUST

REPORT OF THE BOARD

The Board, who are the Trustees of the Charity and who act as directors for the purposes of company law, present their report, together with the audited financial statements of the Charity, for the year ended 30 April 2025.

Reference and Administrative Details

The registered name and trading name of the Charity is Charities Trust.

The Charity is registered with the Charity Commission for England and Wales under registered number 327489.

The Charity is a company limited by guarantee and is registered with Companies House under registered number 2142757.

The address of the registered office is 2[nd] Floor Eleanor Rathbone House, Unit 16 Connect Business Village, 24 Derby Road, Liverpool L5 9PR.

The trustees of the company who were in office during the year and up to the date of signing the financial statements were:

• Sir M J Bibby, Bt.,DL (Chair)

• LJ Thomas (Resigned 12[th] December 2024)

• MJ Blakeman (Resigned 12[th] December 2024)

• LA Blackburn (Resigned 2[nd] January 2025)

• P Fietje

• IC Povey (Resigned 20[th] June 2025)

• CEM Rustomji

• JM Jones (Appointed 30[th] April 2025)

• RD Mabbott (Appointed 30[th] April 2025)

• LA Macare (Appointed 30[th] April 2025)

Day to day management of the Charity was delegated by the board to Linda Minnis, the Chief Executive.

The Charity’s main bankers are Barclays Bank plc, Chapel Street, Liverpool, L3 9AG.

RSM UK Audit LLP are deemed to be reappointed as the charity’s auditor under section 487(2) of the Companies Act 2006.

The Charity’s solicitors are Shakespeare Martineau LLP, 60 Gracechurch Street, London, EC3V 0HR.

Charities Trust’s Professional Indemnity Insurance includes an extension for Directors and Officers, which indemnifies against legal liability arising from actual or alleged wrongful acts, errors or omissions when acting on behalf of the Charity.

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CHARITIES TRUST

REPORT OF THE BOARD (Continued)

Structure, Governance and Management

Charities Trust is a company limited by guarantee and a registered charity and does not have any share capital. The Memorandum and Articles of Association dated 24 June 1987, last updated 5 December 2006 are its governing document.

The Charity has a wholly owned trading subsidiary, CT Donations Management Limited, which has not yet commenced trading.

The Charity recognises that an effective Board is essential for the successful achievement of its objectives. The Board seeks to be representative of the people with whom the organisation works and must ensure that it has available to it the necessary skills and knowledge and resource to enable it to carry out its role. Board succession planning is currently underway. Board succession planning resulted in three new Board Members being appointed as Trustees and Directors of Charities Trust on 30 April 2025. Two of the new Board Members are female which has successfully completed the action that the Board set for itself to increase the gender balance on its Board.

The Board meets at least four times per year including its Board Strategy Day, where its five year strategic Business Plan is reviewed. All Trustees give their time voluntarily. They are non-executive Directors and none of them receive remuneration or benefits from the Charity.

No person or body external to the Charity is entitled to appoint trustees. The Trustees may by ordinary resolution appoint a person to the role of Trustee. The number of directors shall be not less than three but shall not be subject to a maximum.

Newly appointed trustees have a structured induction programme that includes spending time with senior management ensuring that they gain a full understanding of the Charity. They are also provided with information relating to charity regulation and Charity Commission guidance on their responsibilities and governance documentation that sets out their roles and responsibilities as Trustees and Directors and a framework of internal controls which includes a scheme of delegation both Financial and NonFinancial to aid them in discharging their duties.

The Governance Committee is reviewing the governance arrangements in place, in full, to include induction and training to ensure that Equality, Diversity and Inclusion learning and its responsibilities in this area are understood, together with those relating to Data Protection, Charity Law and regulatory requirements. The revised approach is being tested on the new Board Members who joined in April 2025 as part of their induction and their feedback will be invaluable to further improve Board induction and training.

Organisational structure and decision making

The Board executes its governance and strategy through the Chief Executive and within a framework of delegations, risk management and internal controls, oversight and monitoring of which is retained by Board. There are three established Board committees; Governance, Remuneration and Investment & Treasury.

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CHARITIES TRUST

REPORT OF THE BOARD (Continued)

Organisational structure and decision making (continued)

These committees have limited delegations and make all other recommendations to the Board for its decision.

The Chief Executive has no authority to make any decision about any matter that the Board has specifically reserved to determine itself. Accordingly, the Chief Executive must not make decisions relating to these matters without prior Board approval.

The Board, supported by the Governance Committee, is responsible for agreeing the annual budget and reserves policy, reviewing on a quarterly basis the monthly actuals against budget, the year-end forecast and predicted cash flow.

The Investment & Treasury Committee provides oversight and assurance for the Board in respect of the investment and treasury activities of the Charity. The Committee is responsible for oversight of the execution of the approved Investment & Treasury policy within an agreed scheme of delegation and for recommending changes to policy or strategy to the Board where appropriate. The Committee oversees the relationship with the Charity’s investment managers and monitors and reviews their performance.

The Remuneration Committee assists the Board to fulfil its responsibility to ensure that remuneration policy and practice rewards staff fairly and responsibly with a clear link to performance. The Committee makes recommendations to the Board in relation to the remuneration of the Chief Executive Officer and the senior management team. The Committee has authority to employ external consultants to undertake benchmarking to ensure remuneration is competitive and appropriate. Salary benchmarking for senior personnel is conducted every 3 years using an evaluation methodology that measures skills and responsibilities against key analytical factors. This method is then compared to roles, sectors and regional areas providing instant market rate data.

Objectives and Activities Objects

The objects of the Charity as set out in its governing document are:

• to advance any charitable purpose for the benefit of the public wheresoever in the world as the Charity may think fit and in so far as the same are entirely ancillary to such object but not further or otherwise;

• to accept and undertake the administration and management (whether completely or only in part) of charitable trusts whether as agents for the trustees of such trusts or otherwise and to require and accept fees on account of such work of administration and management;

• to act as an agent for the purposes of Section 713 of the Income Tax (Earnings & Pensions) Act 2003 or any re-enactment thereof and to require and accept fees for so acting; and

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CHARITIES TRUST

REPORT OF THE BOARD (Continued)

Objectives and Activities (continued)

• to act as a payroll giving agency in order to receive donations for application to such charity or charities as the donor may specify and if for any reason it becomes impossible for the Charity to pay any such donation to a charity specified by a donor the Charity shall, so far as is permitted by law, pay that amount to such other charity or charities as it may consider has objects similar to those of the charity specified by the donor.

The principal activity is that of a Payroll Giving Agency and the administration and management of charitable trusts, donations and corporate funds.

These activities are summarised in further detail on page 3 of the Strategic Report of the Board.

Charities Trust’s Mission

Following the brand refresh undertaken in 2024 and the planned completion of our digital transformation over the coming year, we are committed to delivering the benefits of this investment to support our mission to grow giving. As part of our five-year strategic plan we will be undertaking a substantial promotion of our products and services to support the growth of giving by our current clients and donors and to engage with new donors.

The Charity will continue to support clients with their charitable initiatives by:

• Continuing to invest in its infrastructure.

• Creating new and enhancing existing products and services.

• Working closely with clients and partners to provide the most effective services ensuring costs are minimised to maximise donations to the chosen charities and good causes.

Public Benefit

The Trustees have had regard to Charity Commission guidance on public benefit as required by Section 17 of the Charities Act 2011 and believe the Charity contributes to the public benefit by adding value to the charitable sector at minimal cost.

The Charity enables and encourages charitable giving by providing a range of products and services which make giving easier for employers and employees.

Any surplus generated is used to further develop products and services which will in turn increase donations to charities.

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CHARITIES TRUST

REPORT OF THE BOARD (Continued)

Strategic Report

The Charity has chosen in accordance with Companies Act 2006, s. 414 C(11) to set out in the Charity’s strategic report, information required by Large and Medium-sized companies and groups (Accounts and Reports) regulations 2008, Sch 7, to be contained in the Directors’ report. It has done so in respect of future developments and business relationships, financial risk management objectives, actions taken to introduce, maintain or develop arrangements with employees and how Trustees have had regard to the need to foster relationships with suppliers.

Streamlined Energy and Carbon Reporting

The Charity consumed 40,000 kWh of energy or less in the UK during the period covered by the Trustee’s report and therefore information surrounding greenhouse gas emissions, energy consumption or energy efficiency is not disclosed for that reason.

Statement of Trustees’ Responsibilities

The Trustees (who are also Directors of Charities Trust for the purposes of company law) are responsible for preparing the Trustees’ Annual Report (including the Strategic Report) and the financial statements in accordance with applicable law and regulations. Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (United Kingdom Generally Accepted Accounting Practice). Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

• select suitable accounting policies and then apply them consistently;

• observe the methods and principles in the Statement of Recommended Practice: Accounting and Reporting by Charities;

• make judgments and estimates that are reasonable and prudent;

• state whether applicable UK Accounting Standards, comprising FRS 102, have been followed, subject to any material departures disclosed and explained in the financial statements; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’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 Companies Act 2006. 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.

Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

16

CHARITIES TRUST

REPORT OF THE BOARD (Continued)

Statement of Trustees’ Responsibilities (continued)

Disclosure of Information to Auditors

In so far as the Trustees are aware:

• there is no relevant audit information of which the Charity’s Auditors are unaware; and

• they have taken all the steps that they ought to have taken as Trustees to make themselves aware of any relevant audit information and to establish that the Charity’s Auditors are aware of that information.

This confirmation is given and should be interpreted in accordance with the provisions of Section 418 of the Companies Act 2006.

ON BEHALF OF THE BOARD

C.Rustomji

C Rustomji (Trustee)

Date: 2 December 2025

17

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHARITIES TRUST

Opinion

We have audited the financial statements of Charities Trust (the ‘charitable company’) for the year ended 30 April 2025 which comprise the Statement of Financial Activities (including Summary Income and Expenditure Account), the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 charitable company’s affairs as at 30 April 2025 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

• have been prepared in accordance with the requirements of the Companies Act 2006.

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 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 charitable company’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.

18

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHARITIES TRUST (Continued)

Other information

The other information comprises the information included in the Annual Report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the Annual Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the Report of the Board and the Strategic Report of the Board prepared for the purposes of company law for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the Report of the Board and the Strategic Report of the Board have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Board or the Strategic Report of the Board.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

19

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHARITIES TRUST (Continued)

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ responsibilities set out on page 16, 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 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 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

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.

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

20

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHARITIES TRUST (Continued)

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the audit engagement team:

• obtained an understanding of the nature of the sector, including the legal and regulatory framework that the charitable company operates in and how the charitable company is complying with the legal and regulatory framework;

• inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud;

• discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities Act 2011 and the charitable company’s governing document. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Report of the Board and Strategic Report of the Board and remaining alert to new or unusual transactions which may not be in accordance with the governing documents.

The most significant laws and regulations that have an indirect impact on the financial statements are those in relation to the UK General Data Protection Regulations (UK GDPR) and The Money Laundering and Terrorist Financing Regulations 2019 and the Charitable Deductions (Approved Schemes) Regulations SI 1986/2211 (as amended). We performed audit procedures to inquire of management and those charged with governance whether the charitable company is in compliance with these law and regulations and inspected correspondence with regulatory authorities.

The audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to any significant, unusual transactions and transactions entered into outside the normal course of business and challenging judgements and estimates.

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

21

CHARITIES TRUST INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHARITIES TRUST (Continued)

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. Our audit work has been undertaken so that we might state to the charitable company’s members 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, for our audit work, for this report, or for the opinions we have formed.

Laura Inglesby

LAURA INGLESBY FCA (Senior Statutory Auditor)

For and on behalf of RSM UK AUDIT LLP, Statutory Auditor Chartered Accountants 14[th] Floor 20 Chapel Street Liverpool L3 9AG

Date: 02/12/25

22

CHARITIES TRUST

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 30 APRIL 2025 (including Summary Income and Expenditure Account)

Note INCOME FROM: Charitable activities 1 Investments 1 Donations received 1 TOTAL INCOME EXPENDITURE ON: Charitable activities 2 Raising Funds 2 Donations paid to Charities 2 TOTAL EXPENDITURE Net gains / (losses) on investments 6&8 NET EXPENDITURE Transfers between funds 14 NET MOVEMENT IN FUNDS RECONCILIATION OF FUNDS: Total fund brought forward 14 TOTAL FUNDS CARRIED FORWARD	Year to 30 April 2025 Year to 30 April 2025 Year to 30 April 2025 Year to 30 April 2024 £ £ £ £ Unrestricted Funds Restricted Funds Total Funds Total Funds 1,630,836 - 1,630,836 1,608,827 1,982,544 45,029 2,027,573 2,503,988 - 70,719,362 70,719,362 71,558,008
	3,613,380 70,764,391 74,377,771 75,670,823
	(4,188,490) - (4,188,490) (3,496,924) (87,811) (5,460) (93,271) (65,603) - (89,687,779) (89,687,779) (81,350,984)
	(4,276,301) (89,693,239) (93,969,540) (84,913,511)
	506,164 (6,029) 500,135 1,651,340
	(156,757) (18,934,877) (19,091,634) (7,591,348)
	704,180 (704,180) - -
	547,423 (19,639,057) (19,091,634) (7,591,348)
	8,539,047 73,040,102 81,579,149 89,170,497
	9,086,470 53,401,045 62,487,515 81,579,149

All income and expenditure are derived from continuing operations in the current and prior year. There is no difference between the net income stated above and the historical cost equivalents in the current and prior year.

All gains and losses in the year are included in the Statement of Financial Activities.

The accounting policies and notes on pages 26 to 50 form part of these financial statements.

23

CHARITIES TRUST

BALANCE SHEET AS AT 30 APRIL 2025

COMPANY REGISTRATION NUMBER 2142757

Note FIXED ASSETS Intangible assets 4 Tangible assets 5 Investments 6 TOTAL FIXED ASSETS CURRENT ASSETS Debtors 7 Money market and investments held on behalf of third parties as intermediary charity Cash at bank and in hand Bank balances held on behalf of third parties as intermediary charity TOTAL CURRENT ASSETS CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 9 NET CURRENT ASSETS TOTAL ASSETS LESS CURRENT LIABILITIES PROVISIONS FOR LIABILITIES AND CHARGES 11 NET ASSETS THE FUNDS OF THE CHARITY Restricted income funds 14 Unrestricted income funds 14 TOTAL CHARITY FUNDS	2025 £ 351,523 18,577 20,064,287 20,434,387 846,335 10,000,000 2,673,416 28,955,802 42,475,553 (422,425) 42,053,128 62,487,515 - 62,487,515 53,401,045 9,086,470 62,487,515	2024 £ 1,230,273 14,422 22,261,140
		23,505,835
		1,086,654 20,000,000 2,061,081 35,723,806
		58,871,541
		(748,105)
		58,123,436
		81,629,271
		(50,122)
		81,579,149
		73,040,102 8,539,047
		81,579,149

The accounting policies and notes on pages 26 to 50 form part of these financial statements.

These financial statements were approved by the Board of Trustees on 20 November 2025 and were signed on its behalf on 2 December 2025.

........................................ C.Rustomji ........................................ C Rustomji J Jones TRUSTEE TRUSTEE

24

CHARITIES TRUST

CASH FLOW STATEMENT FOR THE YEAR ENDED 30 APRIL 2025

Note CASH FLOWS FROM OPERATING ACTIVITIES: Net Cash (used in) operating activities 21 CASH FLOWS FROM INVESTING ACTIVITIES Interest income Dividends from investments Purchase of tangible and intangible fixed assets 4&5 Proceeds from sale of investments 6&8 Purchase of investments 6&8 Decrease / (increase) in investment portfolio cash 6&8 Withdrawals from the money market Deposits in the money market Net cash provided by / (used in) investing activities Decrease in cash and cash equivalents in the financial year Cash and cash equivalents at the beginning of the financial year Cash and cash equivalents at the end of the financial year 21	2025 2024 £ £ (21,068,131) (11,170,323)
	1,952,271 1,432,116 309,792 186,588 (46,589) (1,115,866) 10,825,500 36,708,522 (8,244,705) (26,093,015) 116,193 (501,151) 10,000,000 50,000 - (20,000,000)
	14,912,462 (9,332,806)
	(6,155,669) (20,503,129) 37,784,887 58,288,016
	31,629,218 37,784,887

The accounting policies and notes on pages 26 to 50 form part of these financial statements.

25

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES

PRINCIPAL ACCOUNTING POLICIES

The financial statements have been prepared under the historical cost convention as modified to include fixed asset investments at fair value, in accordance with applicable accounting standards in the United Kingdom and on a going concern basis, which follow the recommendations in Charities SORP (FRS102) 2019 and in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland, FRS102.

Charities Trust is a private company limited by guarantee and does not have a share capital. The Memorandum and Articles of Association are its governing document. It is incorporated in England and its registered office is located at 2[nd] Floor, Eleanor Rathbone House, Unit16 Connect Business Village, 24 Derby Road, Liverpool, L5 9PR.

BASIS OF PREPARATION

The basis of preparation of these financial statements has taken due account of the Companies Act 2006.

The Charity constitutes a public benefit entity as defined by FRS 102.

A summary of the more important accounting policies, which have been applied consistently, is set out below.

GOING CONCERN

There are no material uncertainties about the Charity’s ability to continue as a going concern. The Trustees have prepared income and expenditure and cash flow forecasts for the years ended 30 April 2026 and 30 April 2027 which show an operating surplus in 2026 and a small deficit in 2027. The Charity had unrestricted funds of £9m with the majority held as cash and investments as at 30 April 2025 and this is deemed sufficient to fund working capital requirements, capital development plans and any unexpected expenditure or loss of income. On this basis the accounts have been prepared on the going concern basis.

CONSOLIDATION

These financial statements are the Charity’s separate financial statements. The company is exempt by virtue of section 402 of the Companies Act 2006 from the requirement to prepare consolidated financial statements as there would be no material difference between the separate financial statements and consolidated financial statements. The Charity owns 100% of the share capital of CT Donations Management Limited, a dormant company which has not yet commenced trading.

FUND ACCOUNTING

Unrestricted funds comprise general funds that are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity.

Restricted funds are funds that are held for a period of time pending subsequent donation requests from clients. These funds consist of Corporate Charity Accounts, Foundations, Social Investments, Donor Advised Funds, My Giving Accounts and Lotteries. Under the client contractual terms and conditions Charities Trust has final discretion over the application of these funds. Other than the Trust Account

26

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

FUND ACCOUNTING (continued)

investments, interest earned on the majority of restricted funds is applied to unrestricted income as per contractual terms and conditions in place with donors. Agency funds are where the donor has already nominated the third-party charity (charities) that is to receive the funds. These funds are therefore only held temporarily until distributed to the chosen charity. This largely covers payroll giving and fundraising activity. Funds held by the Charity as an Agent are reported in Note 16.

INCOME FROM CHARITABLE ACTIVITIES

Charitable activities income comes from fees which are derived from the processing of donations received and are accounted for as the service is provided. We have a range of fee structures for different products. The fee for Payroll Giving is normally charged at 25p per employee per month. Payroll Giving income is deferred when funds are received in advance of the period to which they relate.

INCOME FROM INVESTMENTS

Investment income on cash deposits, current asset investments and fixed asset investments is recognised in the period in which it is earned and credited to Unrestricted Funds or Restricted Funds depending on the contractual terms and conditions relevant to the invested funds.

INCOME FROM DONATIONS RECEIVED

Donations received are from individuals and corporates and related gift aid. The majority of donations received by the Charity are for the benefit of third-party charities and held as agent or intermediary charity.

Donations treated as unrestricted funds are from donations to the Charity which are freely given and are recognised when there is entitlement, certainty of receipt and the amount can be measured with sufficient reliability.

The Charity acts as agent co-ordinating the raising and distribution of funds from employees and employers to charities for the purpose of Section 713 Income Tax (Earnings & Pensions) Act 2003. Where funds are received with specified instructions for onward direction and are distributed directly to charity then the Charity accounts for these transactions as an agent and they are included within Agency funds. Where funds are received and the Charity retains discretion as to how the funds are used the Charity accounts for these funds as a principal. Funds received as principal include corporate donations, charitable foundation donations and charity account donations. Funds received as agent include payroll giving and fundraising donations.

Funds held as intermediary charity for Restricted funds are included in the Charity’s Balance Sheet as ‘cash held on behalf of third parties as intermediary charity’ or investments. These balances are included in Restricted Funds to reflect the fact that they comprise donations to the Charity which are held either pending instructions for onward donation to charitable organisations or a decision by the Charity as to which charitable organisations to donate to. The income and costs for these balances are reported in the body of the Statement of Financial Activities under the headings Income from Donations Received and Expenditure on Donations Paid to Charities.

27

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

EXPENDITURE ON CHARITABLE ACTIVITIES

Expenditure is charged on an accruals basis, inclusive of irrecoverable VAT. Costs of charitable activities comprise those costs incurred in processing and managing donations. These include governance costs which are recognised on an accruals basis and include the cost of the statutory audit.

EXPENDITURE ON RAISING FUNDS

This covers investment management fees on the Donor Advised Fund Account and on the Charity’s long-term and medium-term investment portfolios. The fees are accounted for when charged against the investment portfolios.

EXPENDITURE ON DONATIONS PAID TO CHARITIES

Donations paid to charities comprise disbursement of donations received to other Third-Party charitable organisations in accordance with the donor’s wishes.

TAXATION

The Charity is a registered charity and as such is entitled to certain tax exemptions on income and profits from investments, and surpluses on any trading activities carried on in furtherance of the Charity’s primary objectives, if these profits and surpluses are applied solely for charitable purposes. As a result, the tax charge for the current and prior years is nil.

INTANGIBLE FIXED ASSETS

Intangible fixed assets include acquired software costs together with capitalised development expenditure in relation to time costs of individuals working on the design configuration and testing of new software systems. They are amortised over 3-5 years, on a straight line basis, which is considered to be appropriate as this is the period over which the software is expected to be used by the Charity. Amortisation commences when the asset is available to use.

The company capitalises development expenditure as an intangible asset when it can demonstrate all of the following;

• (a) The technical feasibility of completing the development so the intangible asset will be available for use.

• (b) The intention to complete the development and use the intangible asset.

• (c) The ability to use the intangible asset

• (d) How the intangible asset will generate future economic benefits

• (e) The availability of adequate technical, financial and other resources to complete the development

• (f) Its ability to measure reliably the expenditure attributable to the intangible asset during development

Where these criteria are not met, expenditure is charged to the SOFA as research costs.

28

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

TANGIBLE FIXED ASSETS

Fixed assets are stated at cost which includes the invoiced value of goods and services rendered together with an apportionment of internal labour on certain major infrastructure projects.

Depreciation is provided on the straight-line basis to write off the cost less residual value of fixed assets over their anticipated useful lives at the following annual rates:

Computers 20% - 33% Fixtures & Fittings 20% - 33%

The expected useful lives and residual values of the assets to the charity are reassessed periodically in the light of experience. For the purposes of this policy a minimum value of £1,000 will be applied to purchases for them to be capitalised.

IMPAIRMENT of FIXED ASSETS

The carrying amounts of fixed assets are reviewed at the end of each financial year to determine whether there is any indication of impairment. If any such indication exists, then the asset’s recoverable amount is estimated. The recoverable amount of an asset is the greater of its value in use and its fair value less costs to sell. In assessing value in use, all of the asset’s components are assessed to determine their future use and estimated future cash flows. An impairment loss is recognised if the carrying amount of an asset exceeds its estimated recoverable amount. Impairment losses are recognised in the “SOFA”. Please see Critical Judgements and Estimates on Page 32 for detail on the impairment in 2025.

INVESTMENTS

Investments held for My Trust Accounts are included at market value based on the bid price at the balance sheet date. These are treated as Restricted Funds. Any surplus or deficit on revaluation is transferred to the fund for which the investments are held (see Note 6).

Investments held in the Charity’s long-term and medium-term portfolios are included at market value based on the mid-market price at the balance sheet date. These are split between Restricted and Unrestricted Funds. Any surplus or deficit on revaluation is applied to Unrestricted Funds (see Notes 6 & 8). Contractual terms and conditions provide for Charities Trust to receive any returns from investments as unrestricted funds. This income is used to offset some of the charity’s operating costs thereby reducing the service fees charged.

The ‘‘SOFA’’ includes net gains and losses arising on revaluations and disposals throughout the year.

Money market and bank balances held on behalf of third parties as intermediary charity includes term & notice deposits over 3 months with well-known UK banking institutions with high credit rating.

In the separate accounts of the Charity, interests in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

29

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

SOCIAL INVESTMENTS

Social investments are programme related investments. They are impaired by 100% immediately upon payment to the Social Investment vehicle. Any returns of capital or dividends are treated as Income from Investments in the “SOFA”.

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.

CREDITORS and PROVISIONS

Creditors and provisions are recognised where the Charity has a present 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.

OPERATING LEASES

Rentals payable under operating leases are charged to the income and expenditure account as incurred.

GRANTS PAYABLE

Grants payable are accounted for in full as liabilities of the Charity when accepted by the beneficiaries.

FOREIGN EXCHANGE

Any movement in foreign exchange for balances held in currencies other than Sterling and on the receipt and payment of funds in other currencies, are recognised as a profit or loss in the SOFA at the time of the transaction or at the year end.

The Charity’s presentational and functional currency is the Pound Sterling.

FINANCIAL INSTRUMENTS

The Charity has chosen to adopt Sections 11 and 12 of FRS 102 in respect of financial instruments.

Financial Assets:

Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

Such assets are subsequently carried at amortised cost using the effective interest method.

30

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

FINANCIAL INSTRUMENTS (continued)

At the end of each reporting period, financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.

Financial Liabilities:

Basic financial liabilities, including trade and other creditors that are classified as debt, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.

The Charity does not hold or issue derivatives financial instruments.

EMPLOYEE BENEFITS

The Charity provides a range of benefits to employees, including paid holiday arrangements, a defined contribution pension plan and a life insurance scheme. These benefits are recognised in the accounts when paid.

DEFINED CONTRIBUTION PENSION PLANS

The Charity participates in a defined contribution pension plan to which employees and the Charity contribute. For defined contribution schemes the employer contributions payable are charged to the Statement of Financial Activities as incurred. Differences between contributions payable and actually paid are shown as either accruals or prepayments on the balance sheet.

The assets of the scheme are held separately from those of the Charity in a fund independently administered by Aviva.

31

CHARITIES TRUST

STATEMENT OF ACCOUNTING POLICIES (continued)

CASH AND CASH EQUIVALENTS

Cash and cash equivalents include cash in hand, deposits held at call with banks, and other short term highly liquid investments with original maturities of three months or less.

CRITICAL JUDGEMENTS AND ESTIMATES

The main critical judgment applied, surrounds the classification of funds. Judgement has been applied in whether certain funds held in accordance with the Charity’s standard terms and conditions should be classified as restricted funds or designated funds under the SORP. These funds, which amount to £53m (2024: £73m), are held by the Charity pending instruction for onward distribution to third party charities. The Trustees consider that the following factors indicate that these funds are more appropriately classified as restricted funds:

• The SORP states that a restriction may result from a decision by the donor to support a specific purpose of the Charity. Although the standard terms and conditions do not themselves restrict the funds, the view of the Trustees is that the donor decision results in a restriction in substance.

• There is an expectation from the donor and users of the accounts that these funds will be used in line with the wishes of the donor. In the ordinary course of business, there is no expectation that these funds will be used for any purposes other than onward distribution and to earn interest for the Charity while awaiting distribution. This is supported by long-term business practice.

Judgements and estimates are included within the financial statements in relation to depreciation and amortisation. The estimates and associated assumptions are all based on historical experience and other factors that are believed to be reasonable. Actual results may differ from these estimates; however, they are reviewed on an ongoing basis.

Judgements and estimates have also been included within the financial statements in relation to expenditure pertaining to software development. This applies both to the impairment of software in development and the classification of expenditure between capital and operational. A judgement was taken in relation to the impairment of new system development costs (see Note 4). Due to system design and development weaknesses the asset was deemed to be impaired with a significant proportion having no future use or value beyond twelve months. All of the system components were assessed to determine their future use and it was estimated that only one quarter of the developed components had a useful life beyond twelve months. An impairment charge of 74% of the book value as at 30 April 2025 was applied. Judgement has also been applied to the classification of some system development related expenditure as operational rather than capital. This related to consultancy, support and development services which on review were deemed not to constitute an asset as they either had no future use or value or will not have a future use or value beyond twelve months.

32

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

1. INCOME FROM

CHARITABLE ACTIVITIES (UNRESTRICTED) Payroll giving fees Christmas appeals and other campaigns Corporate charity account fees Fundraising Fees Corporate foundation fees Partnership fees Other fees received Total INVESTMENTS Interest income received on cash deposits: Unrestricted funds Dividend and Interest income received on investments: Unrestricted funds Restricted funds Total DONATIONS RECEIVED (UNRESTRICTED) Donations received Total	Year to 30 April 2025 £ 369,493 125,114 618,368 83,683 120,125 205,945 108,108 1,630,836 Year to 30 April 2025 £ 1,687,339 295,205 45,029 2,027,573 £ - -	Year to 30 April 2024 £ 389,188 134,091 576,992 104,636 150,401 140,801 112,718
		1,608,827
		Year to 30 April 2024 £ 2,298,354 170,514 35,120
		2,503,988
		£ 50,794
		50,794

DONATIONS RECEIVED (RESTRICTED) Donations received from: Lotteries Corporates Regular givers Charity Fund Accounts Total	Year to 30 April 2025 £ 40,020 49,209,957 15,056,292 6,413,093 70,719,362	Year to 30 April 2024 £ 46,638 44,446,461 16,905,559 10,108,556
		71,507,214

33

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

2. EXPENDITURE ON

CHARITABLE ACTIVITIES (UNRESTRICTED) Payroll giving donations processed Christmas appeals and other campaigns Other donations processed (incl. Lotteries) Total CHARITABLE ACTIVITIES (UNRESTRICTED) Staff costs (see note 3) Information Technology and Communications System development costs Other administration costs Depreciation Amortisation Loss on disposal Impairment of intangible fixed assets Grants in furtherance of the Charity’s activities Governance Costs Total	Year to 30 April 2025 Year to 30 April 2024 £ £ 2,046,239 1,892,006 431,309 415,206 1,710,942 1,189,712 4,188,490 3,496,924 Year to 30 April 2025 Year to 30 April 2024 £ £ 1,652,160 1,692,282 569,866 547,870 584,099 459,673 249,728 425,283 9,576 6,098 160,415 151,486 - 1,165 751,193 98,988 132,634 46,710 78,819 67,369 4,188,490 3,496,924	Year to 30 April 2025 Year to 30 April 2024 £ £ 2,046,239 1,892,006 431,309 415,206 1,710,942 1,189,712 4,188,490 3,496,924 Year to 30 April 2025 Year to 30 April 2024 £ £ 1,652,160 1,692,282 569,866 547,870 584,099 459,673 249,728 425,283 9,576 6,098 160,415 151,486 - 1,165 751,193 98,988 132,634 46,710 78,819 67,369 4,188,490 3,496,924
	4,188,490
	Year to 30 April 2025 £ 1,652,160 569,866 584,099 249,728 9,576 160,415 - 751,193 132,634 78,819 4,188,490
		3,496,924

Unrestricted expenditure on Charitable Activities includes £52,272 for the audit of the financial statements (2024: £51,441).

34

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

2. EXPENDITURE ON (Continued) CHARITABLE ACTIVITIES (RESTRICTED) RAISING FUNDS (UNRESTRICTED) Fee on unrestricted investment portfolio Total RAISING FUNDS (RESTRICTED) Fee on restricted investment portfolio Total DONATIONS PAID TO CHARITIES (RESTRICTED) Donations paid to third party charities from: Lotteries Corporates Regular givers Charity Fund Accounts Total	Year to 30 April 2025 £ 87,811 87,811 £ 5,460 5,460 Year to 30 April 2025 £ 3,577 60,960,424 15,245,496 13,478,282 89,687,779	Year to 30 April 2024 £ 60,327
		60,327
		£ 5,276
		5,276
		Year to 30 April 2024 £ 2,203 56,324,133 14,928,363 10,096,285
		81,350,984

35

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

3. EMPLOYEES AND TRUSTEES Wages and Salaries Social Security Costs Other Pension Costs (see note 15) Total costs Monthly average No. of employees Full time Part time Total No of employees Full time equivalent	Year to 30 April 2025 £ 1,442,849 140,696 68,615 1,652,160 No 40 2 42 40	Year to 30 April 2024 £ 1,479,928 147,391 64,963
		1,692,282
		No 40 1
		41
		39

The remuneration described above includes all payments to employees.

Wages and Salaries includes a holiday accrual of £26,790 (2024: £27,355).

Number of employees receiving remuneration of above £60,000

.

.
	Year to	Year to
	30 April	30 April
	2025	2024
	No.	No.
£60,001 to £70,000	1	1
£70,001 to £80,000	1	1
£80,001 to £90,000	-	1
£170,001 to £180,000	-	1
£190,001 to £200,000	1	-

The key management roles of the Charity comprise the trustees, the Chief Executive Officer, Chief Governance Officer, and the Head of Finance. The total employment benefits of the key management roles of the charity were £394,740 (2024: £396,699).

The number of staff earning in excess of £60,000 accruing retirement benefits within a defined contribution scheme was 3 (2024: 4). The Charity paid £14,248 (2024: £17,051) in respect of pension contributions on their behalf.

During the year, none of the Trustees received emoluments in respect of their services to the company (2024: none).

The sum of £228 was paid to three Trustees to cover travel and accommodation expenses (2024: £667).

36

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

4. INTANGIBLE ASSETS COST At 1 May 2024 Additions Disposals At 30 April 2025 AMORTISATION & IMPAIRMENTS At 1 May 2024 Charge for the year Disposals Impairment At 30 April 2025 NET BOOK VALUE At 30 April 2025 At 30 April 2024	Software Software in Development Total £ £ £ 1,918,026 799,932 2,717,958 - 33,080 33,080 (31,449) - (31,449)
	1,886,577 833,012 2,719,589
	1,387,228 100,457 1,487,685 160,415 - 160,415 (31,227) - (31,227) 265,852 485,341 751,193
	1,782,268 585,798 2,368,066
	104,309 247,214 351,523
	530,798 699,475 1,230,273

37

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

5. TANGIBLE ASSETS COST At 1 May 2024 Additions Disposals At 30 April 2025 ACCUMULATED DEPRECIATION & LOSS ON IMPAIRMENT At 1 May 2024 Depreciation charge for the year Disposals At 30 April 2025 NET BOOK VALUE At 30 April 2025 At 30 April 2024	Computers £ 56,820 13,731 (2,808)
	67,743
	42,398 9,576 (2,808)
	49,166
	18,577
	14,422

38

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

6. INVESTMENTS – FIXED ASSETS FINANCIAL INVESTMENTS Investments held at market value Market value at 1 May Additions at cost Disposals at market value Net investment gains / (losses) Movement on cash Market value at 30 April Historical cost at 30 April Investments are represented by: Cash or cash equivalents Listed investments Other investments Total	2025 2025 2025 2024 £ £ £ £ Unrestricted Restricted Total Total 4,806,467 17,447,370 22,253,837 20,720,025 - 8,244,705 8,244,705 26,093,015 - (10,825,500) (10,825,500) (26,488,522) 506,164 (6,029) 500,135 1,419,550 207,394 (323,587) (116,193) 509,769	2025 2025 2025 2024 £ £ £ £ Unrestricted Restricted Total Total 4,806,467 17,447,370 22,253,837 20,720,025 - 8,244,705 8,244,705 26,093,015 - (10,825,500) (10,825,500) (26,488,522) 506,164 (6,029) 500,135 1,419,550 207,394 (323,587) (116,193) 509,769
		5,520,025 14,536,959 20,056,984 22,253,837
		3,000,000 15,324,241 18,324,241 20,443,044
		2025 UK 2025 Overseas 2024 UK 2024 Overseas £ £ £ £ 536,932 39,178 7,096,542 18,818 2,126,485 6,155,630 2,059,155 5,116,022 10,657,801 540,958 7,882,843 80,457 13,321,218 6,735,766 17,038,540 5,215,297 20,056,984 22,253,837

The investments include funds held for a Trust Account which are treated as Restricted Funds and funds held in the Charity’s long-term investment portfolio which are split between Unrestricted and Restricted Funds.

39

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

6. INVESTMENTS – FIXED ASSETS (continued)

SUBSIDIARY INVESTMENTS Investments held at cost CT Donations Management Limited Value at 30 April SOCIAL INVESTMENTS Investments held at cost Investment value at 1 May Impairment costs Value at 30 April	2025 £ 1 1 2025 £ 7,302 - 7,302	2024 £ 1
		1
		2024 £ 7,302 -
		7,302

These are restricted assets held by the Charity as Programme Related investments in the Big Issue Invest Social Enterprise Investment Fund. They provide funding to organisations in order to directly further our charitable purposes. Any financial return obtained is not a primary reason for making the investment.

The carrying value of Social investments as at the year end relates to funds committed by the Charity but not yet paid to the Social Investment vehicle. The corresponding liability is held in ‘Funds held on behalf of Third Parties as Intermediary Charity’.

TOTAL INVESTMENTS – FIXED ASSETS Financial Investments Subsidiary Investments Social Investments Total	2025 £ 20,056,984 1 7,302 20,064,287	2024 £ 22,253,837 1 7,302
		22,261,140

40

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

7. DEBTORS Amounts receivable in less than one year Trade Debtors Other Debtors Prepayments and Accrued Income Total	2025 £ 125,124 700 720,511 846,335	2024 £ 83,611 27,747 975,296
		1,086,654

The trustees consider the value of trade and other debtors to be fully realisable and not requiring any impairment.

8. INVESTMENTS – CURRENT ASSETS FINANCIAL INVESTMENTS Investments held at market value Market value at 1 May Additions at cost Disposals at market value Net investment gains Movement on cash Market value at 30 April Historical cost at 30 April Investments are represented by: Cash or cash equivalents Total		2025 2025 2025 2024 £ £ £ £ Unrestricted Restricted Total Total - - - 9,996,828 - - - - - - - (10,220,000) - - - 231,790 - - - (8,618)
		- - - -
		- - - -
		2025 UK 2024 UK £ £ - - - -

41

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

9. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE	YEAR
Funds held on behalf of Third Parties as Intermediary Charity Taxation and Social Security Trade Creditors Other Creditors Accruals and Deferred Income Total	2025 £ 99,720 75,975 72,136 6,709 167,885 422,425	2024 £ 138,377 49,856 137,779 7,165 414,928
		748,105

‘Funds held on behalf of Third Parties as Intermediary Charity’ covers restricted funds. It includes the carrying value of Social investments as at the year end and funds held to cover future clients’ liabilities.

Cash held to cover these restricted funds is classified in the Balance Sheet as ‘Money market and bank balances held on behalf of third parties as intermediary charity’.

Movements in deferred income At 1 May Amounts released from previous year Amounts deferred in the current year At 30 April	2025 £ 75,762 (75,762) 83,238 83,238	2024 £ 90,582 (90,582) 75,762
		75,762

Deferred income relates to fees for services and support, which are charged on an annual or quarterly basis, where delivery will happen in the following period.

42

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

10. FINANCIAL INSTRUMENTS

The Charity has the following financial instruments: Financial assets measured at fair value through profit or loss Financial investments 11. PROVISIONS FOR LIABILITIES AND CHARGES At 1 May Additional amount provided Utilisation of provision At 30 April	2025 £ 20,056,984 20,056,984 2025 £ 50,122 - (50,122) -	2024 £ 22,253,837
		22,253,837
		2024 £ 36,122 14,000 50,122

The Charity moved office in January 2024. The provision related to the dilapidation liability on the previous office lease. This has now been settled and was realised in the year. No provision is currently required for dilapidation costs relating to the new office.

12. TAXATION

The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable trust for UK income tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Part 10 Income Tax Act 2007 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

13. CAPITAL

The Charity is limited by guarantee. The liability of the members is limited to £10 (2024: £10).

The Members of the Charity are, at any one time, the current trustees of the Charity.

The Members are not entitled to a distribution of assets in the event of a winding up or dissolution of the Charity.

43

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

14. MOVEMENT ON FUNDS

Unrestricted funds Restricted funds – Lotteries Restricted funds - Corporates Restricted funds – Regular givers Restricted funds –Charity Fund accounts Total funds Unrestricted funds Restricted funds – Lotteries Restricted funds - Corporates Restricted funds – Regular givers Restricted funds –Charity Fund accounts Total funds		At 1 May 2024 Income Expenditure Transfers Gains & Losses At 30 April 2025 £ £ £ £ £ £ 8,539,047 3,613,380 (4,276,301) 704,180 506,164 9,086,470 404,041 40,020 (3,577) - - 440,484 36,532,525 49,209,957 (60,960,424) - - 24,782,058 21,262,111 15,101,321 (15,250,956) (704,180) (6,029) 20,402,267 14,841,425 6,413,093 (13,478,282) - - 7,776,236
		81,579,149 74,377,771 (93,969,540) - 500,135 62,487,515
		At 1 May 2023 Income Expenditure Transfers Gains & Losses At 30 April 2024 £ £ £ £ £ £ 5,720,218 4,128,489 (3,557,251) 611,182 1,636,409 8,539,047 359,606 46,638 (2,203) - - 404,041 54,818,253 44,446,461 (56,324,133) (6,408,056) - 36,532,525 19,851,322 16,940,679 (14,933,639) (611,182) 14,931 21,262,111 8,421,098 10,108,556 (10,096,285) 6,408,056 - 14,841,425
		89,170,497 75,670,823 (84,913,511) - 1,651,340 81,579,149

Unrestricted funds comprise accumulated operating surpluses, income from cash investments and other gifts received.

44

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

14. MOVEMENT ON FUNDS (continued)

As at 30 April 2025 Restricted funds totalled £53,401,045 (as at 30 April 2024: £73,040,102). The movement on funds in the year and thus the carrying amounts can change significantly year on year depending upon the timing of instructions from donors as to their charitable application.

Restricted funds take a variety of forms and are described below;

• Lotteries comprise monies held for good causes raised through society lotteries. The Charity holds a Society Lotteries Licence and uses the services of External Lotteries Managers (“ELMs”). The ELM’s used in the year were Football Pools Limited and Sterling Management Centre Limited.

The Charity reduced its offering in this area from 2021, with no new lotteries being undertaken and the final two lotteries closed in 2025.

• Charity Fund Agreements are funds held for good causes and operate under Charities Trust's charity registration number.

• Regular Givers (My Giving Accounts, My Trust Accounts and Social Investors).

• Corporates (Corporate Charity Accounts and Corporate Giving Accounts).

These latter funds are initially donated to the Charity until such time as the donor expresses their wishes as to their charitable application. See also Note 6 for Social Investments.

All monies held for Restricted funds are identified in the balance sheet as ‘Money market, investments and bank balances held on behalf of third parties as intermediary charity’, or alternatively form part of the fixed asset investments. Money market funds are term or notice deposits over 3 months with well-known UK banking institutions with high credit ratings.

Investments in the balance sheet relate to a combination of restricted funds and unrestricted funds.

In addition under current liabilities there are liabilities held on behalf of third parties as intermediary charity of £99,720 (2024 : £138,377) where monies are held in the same manner.

The transfer from restricted funds to unrestricted funds relates to dormant My Giving Account balances which have seen no activity in the preceding 2 years. In accordance with the provisions of the terms and conditions of business that donors sign up to, amounts held in dormant accounts amounting to £704,180 (2024: £611,182) have been transferred to unrestricted funds for charitable purposes in support of the Charity’s mission.

45

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

15. PENSION ARRANGEMENTS

The company participates in a stakeholder pension arrangement to which employees and the Charity contribute.

Total Charity contributions during the year amounted to £68,615 (2024: £64,963).

Contributions outstanding at the year end and included in Tax and Social Security were £nil (2024: £10,252).

The workplace pension scheme is used for automatic enrolment for all eligible employees.

16. FUNDS HELD AS AGENT

Funds as Agent Bank balances held as Agent Funds as Agent Bank balances held as Agent	At 1 May 2024 Income Expenditure At 30 April 2025 £ £ £ £
	(4,259,234) (50,120,408) 49,837,689 (4,541,953)
	4,259,234 50,120,408 (49,837,689) 4,541,953 At 1 May 2023 Income Expenditure At 30 April 2024 £ £ £ £ (6,091,807) (48,554,050) 50,386,623 (4,259,234) 6,091,807 48,554,050 (50,386,623) 4,259,234

Amounts received by the Charity as agent are not included in the ‘SOFA’ or on the Balance Sheet. This includes amounts in respect of payroll giving and other funds held to the order of the original payer.

46

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

17. RELATED PARTIES

Sir Michael Bibby, a Director / Trustee of the Charity, is also the Chair of and a shareholder in Bibby Line Group. Bibby Line Group is a customer of Charities Trust and during the year purchased services to the value of £2,193 (2024 - £2,375). Charities Trust provided Payroll Giving and Corporate Fundraising Match services to Bibby Line Group, with £38,255 (2024 - £44,048) of corporate match funds received during the year and £40,318 (2024 - £42,441) paid out to charity. Payroll Giving donations are received and disbursed by Charities Trust acting as agent and are included in the funds disclosed in Note 16.

There was £nil trade debtors balance for Bibby Line Group on 30 April 2025 (2024: £nil).

18. CAPITAL COMMITMENTS

At 30 April the charity had the following capital commitments:

Contracts for future capital expenditure not provided in the financial statements – Software development	2025 £ 15,560 15,560	2024 £ 312,303
		312,303

19. OPERATING LEASES

The total of future minimum lease payments under non-cancellable operating leases for each of the following periods.

Not later than one year Later than one year and not later than five years Total gross payments Lease payments recognised as an expense Photocopier Premises Total lease payments in the year	2025 £ 59,256 158,287 217,543 2025 £ 3,211 59,256 62,467	2024 £ 62,467 217,543
		280,010 2024 £ 4,282 48,440
		52,722

47

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

CHARITIES TRUST

20. SUBSIDIARY COMPANY

At 30 April 2025, the Charity held 100% of the ordinary share capital of the following undertakings:

Company name Country of Shareholding & address Incorporation (%) Status CT Donations Management Limited, UK 100 Dormant 2[nd] Floor, Eleanor Rathbone House, Unit 16 Connect Business Village, 24 Derby Road, Liverpool L5 9PR

The value of the investment at 30 April 2025 is £1 (as at 30 April 2024: £1). The capital and reserves of the subsidiary at 30 April 2025 are £1 (as at 30 April 2024: £1)

48

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

21. NOTES TO THE CASH FLOW STATEMENT

RECONCILIATION OF NET MOVEMENT IN FUNDS TO NET CASH FLOW FROM OPERATING ACTIVITIES

Net movement in funds for the financial year (as per the statement of financial activities) Adjustments for: Depreciation charges Amortisation charges Impairment charges Gains on investments Dividends from investments Loss on disposal of fixed assets Deduct interest income shown in investment activities Increase in debtors (Decrease) / increase in creditors (Decrease) / increase in provisions Net cash (used in) / provided by operating activities ANALYSIS OF CASH AND CASH EQUIVALENTS Cash at bank and in hand Bank balances held on behalf of third parties as intermediary charity Total cash and cash equivalents	2025 2024 £ £ (19,091,634) (7,591,348) 9,576 6,098 160,415 151,486 751,193 98,988 (500,135) (1,651,340) (309,792) (186,588) - 1,165 (1,687,339) (2,181,692) (24,613) (12,602) (325,680) 181,510 (50,122) 14,000
	(21,068,131) (11,170,323)
	2025 2024 £ £ 2,673,416 2,061,081 28,955,802 35,723,806
	31,629,218 37,784,887

ANALYSIS OF CHANGES IN NET DEBT

Cash Total	At 1 May 2024 Cash-flows At 30 April 2025 £ £ £ 37,784,887 (6,155,669) 31,629,218
	37,784,887 (6,155,669) 31,629,218

49

CHARITIES TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 30 APRIL 2025

22. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Intangible Assets Tangible Assets Investments – Fixed Assets Current Assets Creditors: amounts falling due within one year Provisions for liabilities and charges	2025 2025 2025 Unrestricted Restricted Total £ £ £ 351,523 - 351,523 18,577 - 18,577 5,520,025 14,544,262 20,064,287 3,519,050 38,956,503 42,475,553 (322,705) (99,720) (422,425) - - - 9,086,470 53,401,045 62,487,515	2024 2024 2024 Unrestricted Restricted Total £ £ £ 1,230,273 - 1,230,273 14,422 - 14,422 4,806,467 17,454,673 22,261,140 3,147,735 55,723,806 58,871,541 (609,728) (138,377) (748,105) (50,122) - (50,122)
		8,539,047 73,040,102 81,579,149

50