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2023-03-31-accounts

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Charity Registration No. 500537

THOMAS HARLEY'S CHARITIES

TRUSTEES' REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2023

THOMAS HARLEY'S CHARITIES

LEGAL AND ADMINISTRATIVE INFORMATION

Nominated Trustees

As appointee of the Leicestershire County Mrs C Radford Council As appointee of Osgathorpe Parish Council M Buczkiewicz As appointee of Bishop of Leicester A Wessel Co-opted Trustees Rev'd Canon P Hackwood C Young (Resigned on 9 May 2023) Mrs G Newcombe (Resigned on 9 May 2023) P Sergeant C J Sheldon Rev'd A R Leighton (Appointed on 9 May 2023) R A Gibson (Appointed on 9 May 2023) Receiver & Clerk Ms S Stevenson Charity number 500537 Principal address C/o Charity Link 20a Milestone Lane Leicester LE1 5JN Investment managers CCLA Senator House 85 Queen Victoria Street London EC4V 4ET Auditor Newby Castleman LLP 6 Forest Road Loughborough Leicestershire LE11 3NP Bankers Barclays Bank Plc Market Place Leicester LE87 2BB

THOMAS HARLEY'S CHARITIES

CONTENTS

Page
Trustees' report 1 - 4
Independent auditor's report 5 - 7
Statement of financial activities 8
Balance sheet 9
Notes to the financial statements 10 - 19

THOMAS HARLEY'S CHARITIES

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 MARCH 2023

The trustees present their annual report and financial statements for the year ended 31 March 2023.

The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity's governing document, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the FRS 102.

The financial statements have been prepared to give a true and fair view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the regulations but which has since been withdrawn.

Objectives and activities

The objects of the charity are to assist wherever possible those applicants in need within the classes of beneficiaries as described in the Charity Scheme, namely widows and dependents of deceased Clergy and Schools and Young Persons under the age of 25, principally from the relevant Areas of Benefit. In formulating and applying these objectives, the trustees have regard to the guidance of the Charity Commission on Public Benefit.

The trustees seek to utilise all of their net income to assist beneficiaries by awarding monetary grants. In the case of the educational grants these are to assist specific projects being undertaken by schools from the Area of Benefit defined as the parishes of Osgathorpe, Belton and the former Urban District of Coalville. The trustees look to the schools to raise their own contribution to the project and if possible match the funds being offered by the trustees. For Young Persons the trustees are aware of the debts being incurred by students from lowerincome households in attending higher education. Providing that the student’s application is strongly supported by their course tutor the trustees endeavour, providing funds allow, to assist that student through their college / university education.

For clergy widows, widowers and dependents, apart from emergency assistance in the form of relief in need grants, the trustees award, subject to their financial status, health, age and number of dependents, temporary aid grants where the level of grant awarded is calculated from the information supplied by the Diocese of Leicester Widows and Dependents Committee.

The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.

Achievements and performance

No fundraising takes place and the income is derived from investments managed by CCLA and property managed by Charity Link.

The administrative costs of the charity are extremely low, around 9.2% of total income, bearing in mind part of the cost base is non-recoverable VAT.

This financial year the net movement on funds for the Education charity was an increase of £17,968. The balance of income at the end of the financial year was £123,353.

The Relief in Need charity awarded grants of £170,058 which was upon last year by £25,700. The balance of income at the end of the financial year was £464,988.

Financial review

All expenditure is approved by the trustees and no payments made without the signature of two trustees, or the clerk and one trustee.

The trustees' investment policy is constantly under review and quarterly reports are received from CCLA.

THOMAS HARLEY'S CHARITIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

The trustees are advised by CCLA. As at 31st March 2023, £10,371,254 (2022 - £10,768,211) was invested in the COIF Charities Investment Fund, of which 71.17% was in Equities, 8.6% in Infrastructure and Operating Assets, 7.76% in Fixed interest, 4.84% in Cash and near Cash, 1.85% in Contractual and Other Income, 3.1% in Property, 2.66% in Private Equity, and 0% in Fixed Interest. Of the Equities, 61.42% are in North America, 11.3% in the UK, 20.05% in Developed Europe and the balance in Japan, Asia Pacific and other Americas.

The charity also owns other shares in its own name, this is a relatively small holding which reflects the economic impact of events during the year.

Education grants of £58,376 were awarded during the year, divided £28,626 to schools and £29,750 for young persons.

At 31st March 2023 the restricted income funds of the Relief in Need charity was £464,988, up from £426,415, and in the Educational Foundation was £123,353, up from £105,385. Educational grant applications from young persons are predominantly from those seeking to attend higher education, where tuition fees are payable and students are trying to limit the size of the student loan taken up by the time they graduate. The trustees understand their obligations to hold a reasonable level of funds in reserve balanced with the significant number of claims for assistance received.

Risk Management and reserves policy

The trustees have considered the major risks to which the charity is exposed and have reviewed those risks and established systems and procedures to manage those risks. The trustees approved an Investment and Reserves Policy at their meeting on 1[st] March 2017.

The trustees consider the safeguarding of invested funds and the returns on these funds to be the charity’s major financial risk and recent volatility in world stock markets has demonstrated this risk. For this reason the risks associated with this are mitigated by outsourcing the investment management to CCLA, where the monies are invested in low risk funds which aim to provide stable returns for the charity to enable it to continue to meet its objective of making grants to the benefit of the local community and those in need. To allow for market volatility, the trustees have started the process of building up reserves which will be equivalent to one year’s budgeted grant making, and held in the CCLA COIF Cash Deposit Fund. At 31 March 2023 the reserves held totalled £104,147.

Plans for the Future

The charity plans to continue to fulfil its objectives as identified above into the foreseeable future and to continue to make the most of the benefits it has obtained via its financial strength.

Structure, governance and management

The trustees obtained a Uniting Direction from the Charity Commission on 14[th] April 2006 so as to enable the Thomas Harley’s Estate Charity (500537), Thomas Harley’s Relief in Need Charity (209951), and Thomas Harley’s Educational Foundation (527883) to be treated as a single charity for the purposes of Part II (registration) and Part VI (accounting) of the Charities Act 2011.

The trustees who served during the year and up to the date of signature of the financial statements were:

Nominated Trustees

As appointee of the Leicestershire County Mrs C Radford Council

As appointee of Osgathorpe Parish Council M Buczkiewicz

As appointee of Bishop of Leicester A Wessel

Co-opted Trustees Rev'd Canon P Hackwood C Young (Resigned on 9 May 2023)

THOMAS HARLEY'S CHARITIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Mrs G Newcombe (Resigned on 9 May 2023) P Sergeant C J Sheldon Rev'd A R Leighton (Appointed on 9 May 2023) R A Gibson (Appointed on 9 May 2023)

The Trust Deed states the body of trustees when complete shall consist of 9 competent persons being:

Nominated trustees are appointed as follows:

The nominated trustees are:

The nominated trustees are appointed in accordance with the Charitable Scheme.

Co-opted trustees are persons through residence, occupation or employment, or otherwise have special knowledge of the area of benefit. These trustees are appointed for a term of five years by a resolution of the trustees passed at a special meeting. Any competent trustee may be re-appointed under the terms of the Trust Deed.

All trustees give of their time freely and no trustee remuneration was paid in the year. Trustees are required to disclose all relevant interests and to withdraw from decisions where a potential conflict of interest arises.

All grant claims and payments are reported to the trustees. In cases where the amounts claimed are below £3,000 and assistance urgently required, the clerk investigates the claim and a grant is awarded with the approval of the chairman and one other trustee, usually Mr Wessel. The payments usually are to assist claimants with funeral expenses or emergency repairs / replacement of essential electrical equipment such as a washing machine for a clergy widow. All other grant claims are considered by the trustees at their bi-annual meetings.

All trustees are on appointment briefed as to the objects of the charity, the background history to the charities and are given copies of the Charitable Scheme dated 2[nd] August 1990 and the most up-to-date financial accounts and performance reports from the charity investment advisors, CCLA.

The charity does not employ any staff but pays an annual fee to Charity Link for their services to act as clerk to the charity and to manage the property assets of the charity on behalf of the trustees.

The day-to-day management of the charity is delegated to Charity Link who regularly liaise with Rev'd Canon P Hackwood the chair of trustees, and Mr Wessel who is the trustee appointed by the Bishop of Leicester and who assists in identifying and bringing forward claims from clergy widows and dependents resident in the Diocese of Leicester.

The net movement in funds, excluding gains on investments totalled approximately £278,000 and this was distributed 6/8[ths] to the Relief in Need charity and 2/8[ths] to the Education charity.

THOMAS HARLEY'S CHARITIES

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

Statement of trustees' responsibilities

The trustees are responsible for preparing the Trustees' Report and the accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year.

In preparing these accounts, the trustees are required to:

The trustees are responsible for keeping proper adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees' report was approved by the board of trustees.

..............................

Rev'd Canon P Hackwood - Chair

Dated: .........................

THOMAS HARLEY'S CHARITIES

INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF THOMAS HARLEY'S CHARITIES

Opinion

We have audited the accounts of Thomas Harley's Charities (the ‘charity’) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, the Balance Sheet, and the notes to the accounts, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including 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:

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 charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

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

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

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

THOMAS HARLEY'S CHARITIES

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THOMAS HARLEY'S CHARITIES

Responsibilities of trustees

As explained more fully in the Statement of Trustees' Responsibilities, set out on page 4, the trustees are responsible for the preparation of accounts which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error.

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

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with regulations made under section 154 of that Act.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Extent to which the audit was considered capable of detecting irregularities

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. However, responsibility for the prevention and detection of fraud ultimately rests with both those charged with governance and management of the charity.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and noncompliance with laws and regulations, our procedures included the following:

THOMAS HARLEY'S CHARITIES

INDEPENDENT AUDITOR'S REPORT (CONTINUED) TO THE TRUSTEES OF THOMAS HARLEY'S CHARITIES

Audit response to risks of irregularities identified

Our procedures to respond to risks identified included the following:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https:// www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Other matters

Your attention is drawn to the fact that the charity has prepared accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

Use of our report

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

Newby Castleman LLP Chartered Accountants Statutory Auditor 6 Forest Road Loughborough Leicestershire LE11 3NP

.........................

Newby Castleman LLP is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

THOMAS HARLEY'S CHARITIES

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2023

Unrestricted
funds
Notes
£
Income from:
Charitable activities
3
-
Income from investments
4
304,492
Other income
5
26
Total
304,518
Expenditure on:
Charitable activities
6
26,339
Net gains on investments
11
(396,957)
Net (outgoing)/incoming
resources before transfers
(118,778)
Transfers between funds
18
(278,175)
Net movement in funds
(396,953)
Fund balances at 1 April 2022
10,962,059
Fund balances at 31 March 2023
10,565,106
Restricted
Restricted
funds
funds
Charitable
Branch
Educational
Branch
£
£
-
9,500
-
-
-
-
-
9,500
170,058
61,076
-
-
(170,058)
(51,576)
208,631
69,544
38,573
17,968
426,415
588,885
464,988
606,853
Total
2023
£
9,500
304,492
26
314,018
257,473
(396,957)
(340,412)
-
(340,412)
11,977,359
11,636,947
Total
2022
£
50
296,020
27
296,097
223,054
885,075
958,118
-
958,118
11,019,243
11,977,361

All income and expenditure derive from continuing activities.

THOMAS HARLEY'S CHARITIES

BALANCE SHEET

AS AT 31 MARCH 2023

Notes
Fixed assets
Investment properties
12
Investments
13
Investment deposits
Current assets
Debtors
15
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within one
year
16
Net current assets
Total assets less current liabilities
Provisions for liabilities
Net assets
Total funds of charity
Restricted funds
Educational Branch
General restricted funds
Fair value reserve - Educational branch
18
Unrestricted funds
General unrestricted funds
Fair value reserve
2023
£
£
819,500
10,371,254
104,147
11,294,901
76,226
274,421
350,647
(8,601)
342,046
11,636,947
-
11,636,947
123,353
464,988
483,500
1,071,841
7,455,235
3,109,871
10,565,106
11,636,947
2022
£
£
819,500
10,768,211
102,333
11,690,044
75,868
239,596
315,464
(5,410)
310,054
12,000,098
(22,737)
11,977,361
105,385
426,415
483,500
1,015,300
7,455,235
3,506,826
10,962,061
11,977,361

The financial statements were approved and authorised by the board of trustees on ......................... and are signed on its behalf by:

..............................

Rev'd Canon P Hackwood - Chair

The notes on pages 10 - 19 form part of these financial statements.

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

Charity information

Thomas Harley's Charities is an unincorporated charity registered in England and Wales, and is governed by its trust deed. The address of the place of business is given in the legal and administrative information page of these financial statements

1.1 Basis of preparation

The charity is a public benefit entity as defined by FRS102. The financial statements have been prepared in accordance with: The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (“FRS 102”), Accounting and Reporting by Charities: the Statement of Recommended Practice for charities applying FRS 102, the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of investment at fair value. The principal accounting policies adopted are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

1.2 Going concern

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the accounts.

1.3 Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are funds which are to be used in accordance with the specific restrictions imposed by it by the donor or trust deed. There are two restricted funds one for each of the two registered charities which make up these accounts. The details of these restricted funds are included in the notes to the accounts.

1.4 Income recognition

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Legacies are recognised at the earlier of the charity being notified of an impending distribution or the legacy being received.

Income from charitable activities primarily includes income received from charitable rental income, where property is let which satisfies the objectives of the charity. Such income is recognised on an accruals basis.

Investment income is earned through holding assets for investment purposes. It comprises dividends, which are recognised on an accruals basis.

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

1.5 Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs relating to the category. Expenditure is recognised when there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. It is recognised under the following headings:

Irrecoverable VAT is charged against the category of resources expensed for which it was incurred.

All resources expended are allocated against unrestricted funds unless they specifically relate to a restricted fund. The surplus on the unrestricted fund is then transferred on an annual basis against the restricted funds on a 2/8 to Education and 6/8 to Relief in Need restricted funds.

1.6 Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially measured at cost and subsequently measured using the fair value model and stated at its fair value as the reporting end date. The surplus or deficit on revaluation is recognised in the Statement of Financial Activities (SOFA).

1.7 Fixed asset investments

Investments in equity instruments which are not subsidiaries are initially recognised at transaction price excluding transaction costs, and are subsequently measured at fair value with changes recognised in the SOFA.

At each reporting end date, the charity reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount in order to determine the extent of the impairment loss (if any). Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the SOFA unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

1.8 Cash and cash equivalents

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

1.9 Financial instruments

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Basic financial assets

Debtors and creditors with no stated interest rate and receivable or payable within one year are measured at transaction price. Any losses arising from impairment are recognised in the SOFA.

Other financial assets

Investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price excluding transaction costs. Such assets are subsequently measured at fair value and the changes in fair value are recognised in the SOFA, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

1 Accounting policies

(Continued)

Impairment of financial assets

Derivative financial instruments are initially measured at fair value at the date on which a derivative contract is entered into and are subsequently measured at fair value through the profit and loss account.

1.10 Provisions

Provisions are recognised when the charity has a legal or constructive present obligation as a result of a past event, it is probable that the charity will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

2 Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Valuation of investment property

The valuation of the investment properties is reassessed annually by the trustees and, when necessary, amended to reflect current values.

3 Income from charitable activities

Charitable rental income
Other income
Restricted funds - Educational Branch
2023
£
9,470
30
9,500
2022
£
-
50
50
50
50

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

4 Income from investments

Unrestricted
Restricted
funds
funds
£
£
Rental income
982
-
Income from listed investments
301,448
-
Interest receivable
2,062
-
304,492
-
Unrestricted funds
Restricted funds
Total
2023
£
982
301,448
2,062
304,492
Total
2022
£
784
295,164
72
296,020
296,020
-
296,020

5 Other income

Unrestricted Restricted **Total ** Unrestricted Total Restricted
funds funds funds funds
general general
2023 2023 2023 2022 2023 2022
£ £ £ £ £ £
Other income 26 - 26 27 - -

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

6 Expenditure on charitable activities

General
charitable
expenditure
Charitable
branch
Educational
branch
£
£
£
Clerk fees
6,031
-
-
Repairs to investment properties
15,208
-
-
Insurance
-
-
2,700
Audit fees
5,100
-
-
26,339
-
2,700
Grant funding of activities (see note 8)
-
170,058
58,376
26,339
170,058
61,076
Unrestricted funds
26,339
-
-
Restricted funds - Charitable Branch
-
144,358
-
Restricted funds - Educational Branch
-
-
61,076
26,339
170,058
61,076
7
Expenditure on charitable activities
Activities
undertaken
directly
Grant
funding
Support
Costs
Note 6
Note 8
£
£
£
General charitable expenditure
26,339
-
-
Charitable branch
-
170,058
-
Educational branch
2,700
58,376
-
29,039
228,434
-
Unrestricted funds
Restricted funds - Charitable Branch
Restricted funds - general
Total
2023
£
6,031
15,208
2,700
5,100
29,039
228,434
257,473
26,339
170,058
61,076
257,473
Total
2023
£
26,339
170,058
61,076
257,473
26,339
170,058
61,076
257,473
Total
2022
£
5,093
-
2,475
3,600
11,168
211,886
223,054
8,693
144,358
70,003
223,054
Total
2022
£
8,693
144,358
70,003
223,054
8,693
144,358
70,003
223,054

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

8 Grants payable

Charitable
branch
Educational
branch
£
£
Grants to institutions:
Forest Way School
-
5,000
Whitwick St. John the Baptist C of E Primary School
-
359
T.E.C.K (Teaching Educationally Creative Kids)
-
-
The Castle Rock School
-
-
Hugglescote Community Primary School
-
-
Griffydam Primary School
-
750
Iveshead School
-
11,554
Swannington C of E Primary School
-
5,730
Belton Playgroup
-
1,812
Warren Hills Community Primary School
-
-
Belton C of E Primary School
-
3,061
Ivanhoe College
-
-
Belvoirdale Primary School
-
-
Ashby School
-
360
New Swannington Primary School
-
-
-
28,626
Grants to individuals
170,058
29,750
170,058
58,376
Total
£
5,000
359
-
-
-
750
11,554
5,730
1,812
-
3,061
-
-
360
-
28,626
199,808
228,434
2022
£
5,000
1,988
5,000
4,350
5,336
1,500
2,103
-
4,015
3,865
13,555
1,800
1,500
775
294
51,081
160,805
211,886

9 Trustees

None of the trustees (or any persons connected with them) received any remuneration, benefits or reimbursed expenses from the charity during the year.

10 Employees

There were no employees during the year.

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

11 Net gains/(losses) on investments

Unrestricted
funds
£
Revaluation of investments
(396,957)
Revalution of investment properties
-
(396,957)
Unrestricted funds
Restricted funds
Restricted
funds
£
-
-
-
Total
2023
£
(396,957)
-
(396,957)
Total
2022
£
862,075
23,000
885,075
862,075
23,000
885,075
12 Investment property
2023
£
Fair value
At 1 April 2022 and 31 March 2023 819,500

Investment property comprises land and buildings in Leicestershire. The fair value of the investment properties has been arrived at on the basis of a valuation carried out at 20 December 2021 by Fisher German Chartered Surveyors. The valuation was made on an open market value basis by reference to market evidence of transaction prices for similar properties. The trustees have reviewed the valuation at the year end and consider that the market has not changed since this valuation.

13 Fixed asset investments

Listed
investments
£
Cost or valuation
At 1 April 2022 and 31 March 2023 10,768,211
Carrying amount
At 31 March 2023 10,768,211
At 31 March 2022 10,768,211
14 Financial instruments 2023 2022
£ £
Carrying amount of financial assets
Debt instruments measured at amortised cost 76,226 75,868
Equity instruments measured at fair value 10,371,254 10,768,211

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

(Continued)
14 Financial instruments 2023 2022
Carrying amount of financial liabilities
Measured at amortised cost 8,601 5,410
Financial assets measured at amortised cost comprise prepayments and accrued income.
Financial assets measured at a revalued amount comprise listed investments and investment property.
Financial liabilities measured at amortised cost comprise accruals and deferred income.
15 Debtors
2023 2022
Amounts falling due within one year: £ £
Prepayments and accrued income 76,226 75,868
16 Creditors: amounts falling due within one year
2023 2022
£ £
Accruals and deferred income 8,601 5,410
17 Provisions for liabilities 2023 2022
£ £
- 22,737

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

18 Restricted funds

The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:

Movement in funds Year in funds Year Ended 31 March 2023 Ended 31 March 2023 Ended 31 March 2023
Balance at 1 Incoming Resources Transfers Gains on Balance at 31
April 2022 resources expended Investments March 2023
£ £ £ £ £ £
Educational Branch 105,385 9,500 (61,076) 69,544 - 123,353
Charitable Branch 426,415 - (170,058) 208,631 - 464,988
Fair value reserve -
Educational branch 483,500 - - - - 483,500
1,015,300 9,500 (231,134) 278,175 - 1,071,841
Movement in funds Year Ended 31 March 2022
Balance at 1 Incoming Resources Transfers Gains on Balance at 31
April 2021 resources expended Investments March 2022
£ £ £ £ £ £
Educational Branch 103,500 50 (70,003) 71,838 - 105,385
Charitable Branch 355,258 - (144,358) 215,515 - 426,415
Fair value reserve -
Educational branch 266,800 - - 193,700 23,000 483,500
725,558 50 (214,361) 481,053 (23,000) 1,015,300

The Educational Branch provides grants to schools for specific projects, and to students to subsidise their college / university education.

The Charitable Branch provides temporary aid grants for clergy widows, widowers and dependents.

Fair Value Reserve - Educational Branch relates to the valuation of investment properties held within the Educational Branch.

Transfers are made into the Educational Branch and the Charitable Branch from general reserves to fund the grant payments.

THOMAS HARLEY'S CHARITIES

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2023

19 Analysis of net assets between funds Year Ended 31 March 2023

Unrestricted
funds
Fund balances at 31 March 2022 are
represented by:
£
£
Investment properties
336,000
Investments
10,371,254
Investment deposit fund
104,147
Current assets/(liabilities)
(246,295)
10,565,106
Analysis of net assets between funds Year
Ended 31 March 2022
Unrestricted
funds
Fund balances at 31 March 2021 are
represented by:
£
£
Investment properties
336,000
Investments
10,768,211
Investment deposit fund
102,333
Current assets/(liabilities)
(244,483)
10,962,061
Charitable
Branch
Educational
Branch
£
£
-
483,500
-
-
-
-
464,988
123,353
464,988
606,853
Charitable
Branch
Educational
Branch
£
£
-
483,500
-
-
-
-
426,415
105,385
426,415
588,885
Total
819,500
10,371,254
104,147
342,046
11,636,947
Total
819,500
10,768,211
102,333
287,317
11,977,361

20 Related party transactions

During the year fees of £6,031 (2022 - £5,093) were paid to Charity Link for services as clerk and receiver to the charity. £3,054 (2022 - £2,410) are included in accruals at the year end.

Th(￿a$ Hadevs Chariti6S Clo Charity Link 20 Millstone Lane Leicester LE15JN Chartered AcL￿ntsnts Eltham H¢yJse 6 Forest Road LoLNJhborcMJgh Leicestershire LE113NP Dear S4rs erolRe Marc resentatlon In res oct of tho Flnanclal Statem•nls for the Year Ended 31 The folk)wing rgprgsgntstm￿s ar8 the basis of evvjuines of management and staff wilh relevant knovAedge and exFwience swh as we cA)nsider necessary In connecllon with your 8udlt of the ch8rlty's fh8ndal statements fLY the yeor ende4J 31 Marth 2023. These enqulries have included Inspeth"on of suptMXtirLq documentstion wh￿8 approwlate. Al reprosenlauons are made lo the b&sl of our knwledge and il￿f. We acknovAed9e as truslees our responsibilities under the Chartties Act 2011 lor preparing financial statements in accordance wlth appllcable law and United Kingdom Aeeounting Standards (UK Gonerally Accepted AccounllrKJ Pract￿e1, for being satksfied that Ihey give true and fair view and lor making accurate reprasentallons to yoursetves and for the financial statements wh￿h you hava prepared for th& charlty. We also confirm that th8 1Snancs81 statements arè free of material m1sslalem￿ts, induding unissh)ns. W& conllmi that all accnuntlng re¢￿d$ have been made available lo your50fves for the purpose of your audit. in accordancé wlth y(xJr lems of engagèment, and that all the transadions undertaken by Iho ¢hariLy I￿¥9 bewi properly f¥ll¥bl¥LI rewrded iii tlie accounting records. We have provided you with unrestricted access lo all appropriate persons within Ihe chadty. and wilh all olher records and related Inforniabon requested. induding minutes of all rnanagem8nt and Irustee moelings and correswndence with The Charfty CommissA)n. Thè mèthods. dala and swificant assumptions used by us in making accounting estimates. and their rBlated disclosuies, are apPro￿ate lo aCh￿ve rec(wJnition, measurement and di5dosure that is reasonable in the o)nlext of Ihe applicable financial rep)rting framework We ackn￿￿edge our responsibilities for Ihe design. implementation and maintenance of intemal control systems to prevent and detect error and fraud. We have assessed Ihe risk that the finanryal 5taternents may be misstated as a result of fraud and have disclosed the results to you. We also confirm that there have been no irrogularilies {or allegations of Irregularities) that affe( the entity Invo￿1ng managemenL employees who have a Signifi￿nt role in Int6mal CAMtrd others thal c4)ukl have a material effect on th6 finanaal statements. PrfnclpalAddress'. Clo Chawity Lirt20a Mi118ton• Lw Leic•st•r. LE1 Iwity Numbèr. SlQ537

We have disdosed to you all infomation in relation to allegations of fraud, or suspected fraud affecting the entitys financial statements C(Knm￿uted by emptoyees, fomer employees, analyst8. regulators ￿ others. We un(Jerstsnd that under the FRC Ethlcal Standards. the provision of audit and rth-audll services by yourselves to gNes ri$8 10 8 kN)tential threat lo independence. We confln that you have explained lo us the thrgats and that you have rdi8d on the Provisions Availabl8 for Audits of Small Entities with re9ard lo the potential selfthreview threat. We confirm that you hav8 discussed with us the dr8ft ac(xwnts. arKI final loumal¥ and we agree to inclusion of the journa15 in the final accounts. We understarKI that you have acled for us as audltors for mLYe than ton years and this, under the FRC Ethlcal Standards. gNes rise to 8 potonlial threat to independence. We confirn that the threat has baen explalned to us and understand that you have not put speuftc safèguards in place to address Ihis threat. We understand that you hav& an ind8p6ndent 8Xtemal reviewer who revlews a $ek¢iion of your audits files each year and our fi18 wlll be ¢oveffjd porlodlcally under tIMs cdd filo revlow process. W8 confirn that we hav8 rKorded cff disd0$￿, as approwal8. all liabilrti8s. both actual and ¢onlingent. and have disdosed In th8 not6S to th6 finandal statements all gu8r8ntses that we have gNen to third partles. All events subsequent lo the dato of the flnanclal statements whlch requlrn adlustment or disebsure have been propety accounted for aThJ disdosed. We conflrn that the ¢h8rlty has had, at no ttme durfThJ the year. any arr8ng8ment, trangactlon or 8grgom•nt to providè any thancas or crodils lo. or m4da guofAntg8s nn behalf of, trustees Qthgr than those disclosed in the financial statom•nts, 10. Full prOwSK￿ ha5 be8n m*Y8for811 bad LYdoutrA(ul debts and all remalnlnG debts are expected to be fully re(a)verabl•. 11. We cnnfim that thk and Iwyk in prograsg amountirvj lo £Nil represents all slo¢k and WLvk In pr￿a￿sS owned by thg CW whwwof Situatad al the balance sheet dale. 12. We mnfirm thal V•Tr havo disdosed to you the id• of the entity's related parties and all related paty reLatMsh¥)s arKI transactions rdevanl to the chanty that we are 8waTe of. R8lat8d party Telatthshlp5 and tr8ns8clScfjs have been apwotxlalety ac(x>unled and disdosed and we are nc4 aware of ftjrther relat8d paty matters that requirg diSdosu￿. 13. We confimi th8t 88 at 31 March 2023 th& b8lwKes C￿ the truslg8s' bBn a¢c))unts amounlgd to£Nn. 14. We confi'rn that the tharity has not c4)ntractod for any caprial expenditure other than as disclose(l in tho financial statements. 15. We confim that the charity has Satisfact￿ tsue to all as9ets and there are no liens c encumbrances on Ihe charivs assets, except for those Ihat 8re disdosed in the notes lo Iho finaneial statements. We also have no plans or intentions that may matoriglly aller th& Carrying value or classifKation of assets and Ikgbilities reflected in the financial statements. 16. We Can￿￿er that the vak]atw)n ol Investsnenl Properties at the year end is £819.500. This valuatlon c#)mpris85 of pri￿1P31 Addr•bs: Clo Charfty 20• ￿lS￿)nO L4l¢•sl•r. LE1

Edurntional Branth - £483,500 Charitable Branch- £336.000 17. We have disclosed to you an claIn￿ in connèdion ￿￿th I￿gation that hav8 been. or are expeded to be. re¢eivod and such matters. as appropriate, have been properfy accountsd for and di8clt>sed in Ihe financial statements. 18. We are not aware of any breaches or possl)le breathe5 of stslute, regulations, contracts. or agreements or the charlty's trust deed or any other goveming dcKumenl which might preludlce the charl￿S going concem status or that mlght resutt In the charity suffering SIgn￿$Can1 penalties or oth81 loss. No allegations of such irrfigularitles. Induding fraud, OT such br8ach8s have coma lo our notirn. 19. We have disclosed to you all known instances of non-CA)mpliance or suspected non- compliance with laws and regulations whose effects SI￿[d be ¢onGidered when preparing th& financial st8temenl8. 20. We confim that we ￿lieVe that the charity's financial slal8m8nts should bé prepared on a going concern basis on Ihe grounds that current and future sources of funding or support will be more than adequate for the charity's needs. We also confirm our plans for future actlon(sl required to enable the charity to continue as a going conc4m are feasible. We have consldered a ￿ricKl of Iwefve monlhs from the date of approval of the finandal statements. We believe thal no fvrther disdosures relatsng to the chartty's ablllty lo continue as a going COn￿M need lo be madè Ihe Ilnancy81 sletements. 21. Wè confirm Ihal all grants, donations and other income, including those subject lo spedal lamis or condilkns or received for restricled purposes, have been notified to you and have been disdosed where necessary in the financial statements. The￿ have been no breachgs of temis or ￿nd￿On$ during the p8ricKI regarding the aFvIic8tion of such )come. 22. Wo confirm Ihat we are not aware of any matters ol material sKJnifi￿nCe thal should be reFQrted to Ihe Charity Commission. 23. We confimi Ihal our reasons for not adjusting the misslatements brought to our attentlon and as set out below are that Ihgy are r￿t material. both individualty and in total, to Ihe financlal slalements as a whole.. Non• We ackntyvl8dg• legal reS￿SibIlItieS regarding disdogn of irrfomat)n to you as audltors and nfirm that so lar as we are aware, there is rm) relevant audit intormation nged&J by you In onnedion with preparing yow audrt report of*hich you are unaware. E&h Irustee has tsken all thè steps they ought lo have tsken as a trustee in order lo make themsetves aware of any relevant aLKIit Infomiatlon ar￿ to establlsh that you $re al￿re of that Infryrnal￿. Yours falthfully Principal Addrnys: Clo Ch￿lty Link. 20a IthIBtone Lane. Lelceyier. LE1 &JN Ch¥Sty Number. $00537

Rewd Canon P Hackbvo(xl - Chair Onb all of the board of trustee$ PrfnGIA Addrn55: Clocharfty >)a Mimstorn L•K•¥ler. LE1