THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST REGISTER CHARITY NUMBER: 801462 FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 DARKIN MILLER LIMITED CHARTERED ACCOUNTANTS 24E DEVEREL ROAD CHARLTON DOWN DORCHESTER THE SIMON DIGBY ISHERBORNEI MEMORIAL TRUST FINANCIAL sfATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 CONTENTS PAGE Trustees, Report Independent Examiner's Report Statement of Financial Activities Balance sheet Notes to the Financial Statement5 9-14 THE SIMON DIGBY {SHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023 The Trustees present their annual report and financial statement5 of the Trust fgr the year ended 31st March 2023. The financial statement5 have been prepared in accordance with the accounting policies set out in note I to the accounts and comply with the charity's tnjst deed, the Charities Act 2011 and Accounting and Reporting by Charities= Statement of Recommended Practice applicable to charities preparing their account5 in accordance with the Financial Reportin¥ Standard applicable in the UK and Republic of Ireland published on 16 July 2014. Oblertlves and actlvltles for the publlc benefit The Trust wa5 created for the purpose of promoting and 5UPPQrting the work of Ioc31 organisations for the general benefit of the inhabitants of Sherborne, Dorset and the surrounding neighbourhood. The Trustee5 confirm that they have referred to the guidance contained in the Charity Commis5ion'5 general guidance on public benefit when revlewing the Trust's aims and objectNes and In plant)ing future grant making policies for the year. Grant maklng pollcy The Trust has continued to fund variou5 grants a5 Stated on note 4 of the accounts. Each applicatlon for flnancial as51Stance is reviewed individually and funds are rn3de available to the applicants rf they fulfil the criteria as stated in the trust deeds. Inductlon and training of trustees An existing Trustee advises newly appointed trustees of their dutie5, powers and roles. Training is offered on a need bas15. Achievement and performance The Trust hopes to receive grant applications from a wlde range of organlsation5 which provide sportin& educational. cultural and health support as well as social activities to people of all ages in the Sherborne area. As a res￿￿ of the instability within the markets and grants awarded during the course of thls year, the value of the unrestricted fund is lower than expected. There 15 hope that the market will stabili5e and the value of investments will steadily increase to its prior level, however the trust must take care In the event such recovery is unachieveable. Financial Revlew During the year the monies invested gave rise to income of £32,57712021122'. £31,8831. THE SIMON DIGBY ISHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023 Investment policy and performance The Trustee5 consider that the results for the year are unf¢Jrtunate however not complelely The income generated from the investments increased marginally year on year. There was an unrealised loss on the value of the CCLA investment of £117,07612021/22'. Ltnrealised gain of £95,856>. Risk management The major risks that the charity Is exposed to h8$ been identified and revlewed by the trustees and procedures established to manage this risk. The main financial risk faced by the charity is that of volatility in equity markets and investment markets due to wSder economlc conditions, the attitude of Investor5 to investment risk, and changes in sentiment Concerning equitie5 and within particular sectors or Sub sector5. Procedure5 to manage these risks include the appointment of external treasury advisors and the regular review of investments. Priority is given to security of capital. ReseNes policy The Trust holds a capital investment fund of £634.879.50 representing the inf(ial investment by the late Simon Wingfield Digby Esq. together with the proceeds of land sold for the benefit of the Trust in accordance with his instructions. Unrestricted funds of £19.496 12021122.. £172,692) are also held. The Trustees review reserves on a regular basis and take the view that the level of reserves held are required in order to generate a satlsfactory level of Investment Ih¢ome to distribute in future years after taking into account future grant commitments. Structure* governance and rnan38ement The Trnst is an unincorporated trust, constrtuted under a trust deed dated 23 March 1989 and is 3 registered charity number 801462. The Trust wa5 established between Mr K S D Wingfield Oigby (Mr Digbyl and the Sherborne Town Council. Followlng the death of Mr Digby a supplement trust was constituted between Mr J K Wingpield Digby, Mrs J Win8field Digby and the Sherborne Town Council on 2. November 1999. The name of the Charity was amended to its ¢urrent name. There are two type5 of trustees: The Sherborne Town Councillors are known as ex officio trustees.. and The Digby Trustees THE SIMON DIGBY ISHER80RNEI MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023 The ex officio Trustees are Trustees by the fact ihat they have been elected as councillors of 5herborne Town. Dorset and they remain FD place for a term of 5 years unless they retire. The next election is due in May 2024. The Digby Trustees are nominated by an existingl retlring Digby Trustee or by the personal representative of the deceased Digby trustee. Meetings of ihe Trust are to be held three tlmes per year usually in january, May and September. The person presiding at a meetin& usually the Mayor or Depijty Mayor rnay exercise all the powers and duties of the Chairman in re5ation to conducting the meeting. The Clerk to the Trustees, Mr S Shield. is responsible for the day-today management of the Trust. A quoNm of four tnjstees is required. Referen¢e and administrative Informatlon Trnstees.. Mr J A Andrews lex officiol Mr5 J Carling lex officiol Mr V Coleridge- Matthews lex officiol Mrs M CrDssman lex officiol Mrs I S Greene lex officiol Mrs A M Hall lex officiol Mr M N W Hall lex officiol Mr S Jeganathan lex officlol Mr R A S Legg lex officiol Mrs J Pentolfe lex officiol Mr W Taylor lex officiol Mrs J Warburton (formerly Hogbenl lex officio Mr E Wingfield Digby (Digby Trustee) Mrs M Wingfield Digby IDigby Tru5teel Mr R Crabb lex officiol Mr C Kippax lex officlol Resigned 10110122 Resigned 10110122 Appointed 02112122 Appointed 02112122 Clerk Mr Stephen Shield Prlnclpal Offlce Sherborne Town Council. The Manor House, Newland, Sherborne DT9 3JL Charity Number.. 801462 External ExaminÈrs Darkin Miller Lirnited, 24e Deverel Road, Charlton Down, DT2 9UD Bankers HSBC, l Middle Street. Yeovil. Somerset, BA20 ILR Investment Managers CCLA, Senator House, 85 Queen Vlctorla Street. London, EC4V 4ET THE SIMON DIGBY {SHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023 Trustees. responsibilitiès in relation to thè finandal statements The charity trustees are responsible for preparing a trustee5' annual report and financial 5tatement5 in accordance with applicable law and United Kingdom Accounting Standards (Unrted Kingdom Generally Accepted Accounting Practice). The law applicable to charities in England and Wales requires the charity trustee5 to prepare financial statements for each year which give a true and *air view of the state of affairs of the ¢harlty and of the incomlng resources and application of resources. of the charity for that perlod. In preparing the financial statements. the trustees are required to: select suitable accounting policies and then apply them consi5tently,' observe the methods and principles in the applicable Charities SORP,. make judgements and estimates that are reasonable and prudent,. State whether applicable accounting standard5 have been followed, subject to anv material departures that must be disc105ed and explained in the financial 5tatements,' prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue tn business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial posttion of the cFLarity and to enable them to ensure that the financial statements comply with the Charities Act 2011. the applicable Charities (Account5 and Reports) Regulations, and the provision5 of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the charity and financial Informatlon Included on the charlws website in accordance wlth leglslatlon In the United Kingdom governing the prep3r3tion and dissemination of financial statements. Approved by the trustees on 31f.¢./.Luz3 and Signed on their behalf by.. Signed.. Mrs Margaret Crossman SiEned= Mr Vaughan Coleridge-matthews INDEPENDENT EXAMINER'S REPORTTO THE TRUSTEES OF THE SIMON DIGBY ISHERBORNEI MEMORIAL TRUST I report to the trustees on my examination of the accounts of the Simon Digby Isherbornel Memorial Trust for the year ended 31 March 2023. Responsibilities and basis of report As the charity trustees of the Trust you are responsible for the preparation of thè accounts in accordance with the requirements of the Charities Act 20111'the A￿1. I report in respect of my examination of the Trust's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 14515llbl of the Act. Independent examineFs Statement I have completed my examination. I confirm that no material matters have come to mv attention in connection with the examination giving me cause to believe that in any material respect: accounting records were not kept in respect of the Trust a5 required by section 130 of the Act,. or 2. the accounts do not accord with those records,. or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part gf an independent examination. I have no concerns and have come across no other matters in connertion with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Signed.. Name: Rosie Darkin-miller LLB (Honsl 8FP FCA Institute of the Chartered Accountants in England and Wales 24e Deverel Road. Charlton Down. Dorchester, Dorset DT2 9UD Addre5S: Date: THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDING 31 MARCH 2023 Note Income and 8ndowments from: Donations and legacie5 Investments 32,577 32,577 31,883 Total income 32,577 32,577 31,883 Expenditure on: Raising fund5 Charitable activib'es= Grants Bank Charges Examiner Fees Bad debt write off Charitable activities 68,337 60 300 68,337 60 300 20,000 20 300 68,697 68,697 20,320 Total expenditure 68,697 68.697 20,320 Net gainsl(losses) on investments 6 (117,0761 (117,076) 95,856 Net incomel(expenditure) {153,1951 (153,196) 107.419 Transfers between funds other recognlsed gainslllosses) Net movement in funds (153,1951 (153,196) 107,419 Reconciliation of fund8: Total Funds brought forward Total Funds carried forward 172,692 19,496 634,880 634,880 807,572 654,376 700,153 807.572 THE SIMON DIGBY ISHERBORNE) MEMORIAL TRUST Balance Sheet as at 31st March 2023 Unrestricted Endowmenl Funds Funds Total funds 2023 Total funds 2022 Note Fixed assets Investments 620,873 620.873 737,949 Total flxed assets 620,873 620.873 737,949 Current assels Debtors and prepayments Cash at bank and in hand 19.796 14,007 33,803 69.923 Total current assets 19.796 14,007 33,803 69,923 Liabilities Creditors.. Amounts falling due wthin one year 300 300 300 Net Current as50ts or liabilitles 1g,496 14,007 33,503 69,623 Totsl assets l•ss current liabilites 19,496 634.880 654,376 807.572 The funds of the charity: Endovdrnent funds Unrestricted funds T¢)tal charity funds 634,880 634,880 19,496 654,376 634,880 172.692 807.572 19,496 19,496 634,880 The notes at pages 9 to 14 form part of these accountg. Approved by the Trustees on . Tr.1 /.0112.023 - and signed on their behalf by.. Mrs Margaret Cr05sman Mr Vaughan Coleridge-matthews THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS Accounting Policies a) Basis of preparation and assessment of going concern The accounts Ifinanci31 statement51 have been prepared under the historical cost convention with items recogni5ed at C05t or transaction value unles5 Otherwise stated in the relevant notelsl to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charitie5 preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued on 16 July 2014 aftd the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021 and the Charities Art 2011. The trust constitutes a public benefit entity as defined by FRS 102. The trustee5 consider that there are no material uncertainties about the Trust's ability to continue as a going concern. With respect to the next reporting period, 2022-23, the most significant areas of uncertainty that affect the carrying value of a55et5 held by the TrLrst are the level of investment return and the performance of investment markets Isee the investment policy and performance and risk management sections of the tru5tees' annual report for more informationl. bl Funds structure The charity has a single permanent endowment, the income of which is wholly unrestricted. The unrestricted funds are to be used for the general purpose of the Trust, namely to promote and 5UPPOrt the work of local organisation5 for the general benefit of the inhabitants of Sherborne. Dorset and its surrounding neighbourhood. c) Income recognltlon All incoming resources are recognlsed once the charity has entitlement to the resources, it is certain that the resources will be received and the monetary value of incoming resource5 can be measured with sufFicient reliability- Donations, are recognised when the Trust has been notified in writing of both the amount and settlement date. In the event that a donation is subject to condition5 that require a level of performance before the charity 15 entitled to the fund5, the income 15 deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period. THE SIMON DIGBY {SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS Legacy gift5 are recognised on a case by case basis following the granting of probate when the administratorlexecutor for the estate has communicated in writing both the amount and settlement date. In the event that the gift 15 in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the charity. Interest on funds held on dep051t is included when receivable and the amount can be measured reliably by the charity,. this 15 norrnally upon notification of the interest paid or payable by the bank. Oividends are recognised once the dividend has been declared and notification has been received of the dividend due. This Is normally upon notification by our investment advisor of the dividend yield of the investment portfolio. d) Expenditure recognltlon Liabilities are recognised as expenditure as soon as there is a lega5 or constructive obligation Grants payable are payment5 rnade to third parties in the furtherance of the charitable objectives of Grants awarded and paid out during the year are shown in note 5 to the financlal statements. Grants are accounted for as they are awarded. e) Irrecoverable VAT Irrecoverable VAT is charged against the expenditure heading for which it was incurred. Allocation of overhead and sUPPOrt costs Overhead and support CQ5ts have been allocated between charitable activities and govemance. Governance cost5 comprise all costs involvlng the public accountability of the charity and its compliance with regulation and good practice. These cost5 include costs related to statutory audit and legal fee5 together with an apportionment of overhead and support costs. 81 Cost of generating funds The cost of generating funds con5i5ts of investment management. h) Charitable actlvltles Costs of charitable activities include grants made. THE SIMON DIG8Y {SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS l) Governance rosts Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to independent examination. J) Flxed assets Investment Investments are stated at market value as at 31 March 2023. Investments are held in funds approved by the Charity Commission under s.24 of the Charities Act 1993. The Funds concerned are onlv available to charities within the meaning of s.96 or s.100 of the Charities Act 2011. Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activitie5 include5 the net gains and losses arising on revaluation and disposals throughout the year. The Trust doe5 not acquire put options. derivatives or other complex financial instruments. The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk. and changes in sentiment concerning equities and within particular sectors or Sub sector5. k) Reallsed galns and losses All gains and losses are taken to the Statement of Financial Activities as they arise. Reali5ed gains and losses on investments are caltulated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financlal year. Unrealised gains and losses 3re calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are tombined in the Statement of Financial Activities. 11 Debtors Debtors are measured at their recoverable amounts. m) Cash at bank and in hand Cash at bank and in hand consist5 entirely of cash balances held with the Trust's bankers and with its investment managers. n) Creditors Creditor5 are measured at the amount required to settle the liability. 2 Investment Intome 2023 2022 UK dividends received Deposit interest received 31,857 720 31.857 26 32,577 31,883 All of the investment income is attributable to unrestricted fund5. 12 THE SIMON DIGBY ISHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS 3 Analysi5 of expendlture on charitsble activities and support tosts Grant funded Support and a£tlvlty governance Costs 2023 2022 Activity or programme Totsl Total Grant5 promoting and supporting local organisations Independent examiner 68,337 68,337 20,CQO 300 300 300 68.637 300 20,300 68,337 4 Analysis of grants Authorised Grants to InstFtutions Analysis Oigby Hall sherborne Lawn Tennis Club The Rendezvous Citizens Advice Citizens Advice Future Roots Sherborne Town Ladie5 Youth Football Club Sherborne Town Band SCARS Life Education Wessex 37,700 11,750 5,000 4.000 4.000 2.000 1.587 1,000 1,000 300 Total 68.337 5 Emoluments There were no emoluments paid durlng the year. Trustees have not received any reimbursement of expenses incurred for services provided to the charity. 6 Investments Movement In fixed asset listed Investments 2023 2022 Market Value at 3110312022 Additions Disposals Net unrealised gain51llos5esl Market Value at 3110312023 737,949 642.093 1117,0761 620,873 95,856 737,949 Historical C05t as at 3110312023 Historical Cost as at 3110312022 650,C 650,000 13 THE SIMON DIGBY (SHERBORNEI MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS 2023 2022 Inve5tmentS 3t Marketvalue comprlsed: UK Property Fund 620,873 737,949 The Trust held the following material investments lover 5% of the portfolio by value): COIF Charities Property Fund 620,873.00 Investment values are stated inclusive of accrued interest. 7 Analys15 of current liabilitie5 2023 2022 Other creditor5 300 300 300 300 8 Analysts of charitsble fund5 Fund nam& Fund balancas ought forward Incorn• Expenditure Galn$ and 110s$0$1 Fund balanc¥$ carried forward Permanent endowment Unrestricted funds Total funds 634.880 634.880 172,692 807,572 32,577 32,577 68,697 68,697 1117,0761 1117,076 19,496 654.376 lal The Permanent Endowment was establlshed by an initial gift from the late Simon Wingfield Digby Esq, together with the proceeds of land sold for the benefit of the Trust In accordance with his instructions. The gift was made to the charity on condition that it is held as a permanent endowment. the income from which is freely available to fund the activities of the charity- If at any time distribution5 are considered from the tapital sum invested, these will only be made with the approval of all the serving trustees. Ibl The unrestricted funds are available to be spent for any purposes of the charity. Cornrnitments At 31 March 2023 the Trust had the following grant commitments: 2023 2022 Expected to be paid within one year Expected to be paid within two to five years 6,000 6,000 14 THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023 NOTES TO THE FINANCIAL STATEMENTS 10 Related Party Transactions Trustees had the following non-pecuniary interest in the following grants authorised and paid in this year: Digby Hall & Library Trusts (grant made: £37,700 towards revenue funding) all ex officio Trustees, Mr E Wingfield Digby and Mrs M Wingfield Digby were Trustees during the year. At variau5 time5 ex officio Trustees are appointed as official representatives of Sherborne Town Council to the committees of various organisations in the Town which may, from time to time, applv to the Trust for grant assistance. 11 Golng Concern and Coronavirus The Trust's income derives from its investments. During this financial year, the market value of investments took a significant hit morevoer a5 a result of tho September 2023 Mini Budget. Although the resulting violitllity has now subsided, the loss in markp.t valup is yet to be reversed, and with the economic climate proving to be challenging, this recovery may not be swift. The Trust's only regular non-discretionary expenditure is the fee for the preparation and examination of its annual account5. Grant expenditure is discretionary and, as such. can be varied in future years. Consequently, the Trustees are able to confirm that the Trust remain5 a going concern. 15 ## **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **REGISTER CHARITY NUMBER: 801462** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** **DARKIN MILLER LIMITED CHARTERED ACCOUNTANTS 24E DEVEREL ROAD CHARLTON DOWN DORCHESTER DORSET** **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** |**CONTENTS**|**PAGE**| |---|---| |Trustees' Report|1-5| |Independent Examiner's Report|6| |Statement of Financial Activities|7| |Balance Sheet|8| |Notes to the Financial Statements|9-14| **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023** The Trustees present their annual report and financial statements of the Trust for the year ended 31st March 2023. The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s trust deed, the Charities Act 2011 and 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 published on 16 July 2014. ## **Objectives and activities for the public benefit** The Trust was created for the purpose of promoting and supporting the work of local organisations for the general benefit of the inhabitants of Sherborne, Dorset and the surrounding neighbourhood. The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future grant making policies for the year. ## **Grant making policy** The Trust has continued to fund various grants as stated on note 4 of the accounts. Each application for financial assistance is reviewed individually and funds are made available to the applicants if they fulfil the criteria as stated in the trust deeds. ## **Induction and training of trustees** An existing Trustee advises newly appointed trustees of their duties, powers and roles. Training is offered on a need basis. ## **Achievement and performance** The Trust hopes to receive grant applications from a wide range of organisations which provide sporting, educational, cultural and health support as well as social activities to people of all ages in the Sherborne area. As a result of the instability within the markets and grants awarded during the course of this year, the value of the unrestricted fund is lower than expected. There is hope that the market will stabilise and the value of investments will steadily increase to its prior level, however the trust must take care in the event such recovery is unachieveable. ## **Financial Review** During the year the monies invested gave rise to income of £32,577 (2021/22: £31,883). 3 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023** ## **Investment policy and performance** The Trustees consider that the results for the year are unfortunate however not completely The income generated from the investments increased marginally year on year. There was an unrealised loss on the value of the CCLA investment of £117,076 (2021/22: unrealised gain of £95,856). ## **Risk management** The major risks that the charity is exposed to has been identified and reviewed by the trustees and procedures established to manage this risk. The main financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors. Procedures to manage these risks include the appointment of external treasury advisors and the regular review of investments. Priority is given to security of capital. ## **Reserves policy** The Trust holds a capital investment fund of £634,879.50 representing the initial investment by the late Simon Wingfield Digby Esq. together with the proceeds of land sold for the benefit of the Trust in accordance with his instructions. Unrestricted funds of £19,496 (2021/22: £172,692) are also held. The Trustees review reserves on a regular basis and take the view that the level of reserves held are required in order to generate a satisfactory level of investment income to distribute in future years after taking into account future grant commitments. ## **Structure, governance and management** The Trust is an unincorporated trust, constituted under a trust deed dated 23[rd] March 1989 and is a registered charity number 801462. The Trust was established between Mr K S D Wingfield Digby (Mr Digby) and the Sherborne Town Council. Following the death of Mr Digby a supplement trust was constituted between Mr J K Wingfield Digby, Mrs J Wingfield Digby and the Sherborne Town Council on 2[nd] November 1999. The name of the charity was amended to its current name. There are two types of trustees: - The Sherborne Town Councillors are known as ex officio trustees: and - The Digby Trustees 4 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023** The ex officio Trustees are Trustees by the fact that they have been elected as councillors of Sherborne Town, Dorset and they remain in place for a term of 5 years unless they retire. The next election is due in May 2024. The Digby Trustees are nominated by an existing/ retiring Digby Trustee or by the personal representative of the deceased Digby trustee. Meetings of the Trust are to be held three times per year usually in January, May and September. The person presiding at a meeting, usually the Mayor or Deputy Mayor may exercise all the powers and duties of the Chairman in relation to conducting the meeting. The Clerk to the Trustees, Mr S Shield, is responsible for the day-today management of the Trust. A quorum of four trustees is required. ## **Reference and administrative information** ## **Trustees** : Mr J A Andrews (ex officio) Mrs J Carling (ex officio) Mr V Coleridge - Matthews (ex officio) Mrs M Crossman (ex officio) Mrs J S Greene (ex officio) Mrs A M Hall (ex officio) Resigned 10/10/22 Mr M N W Hall (ex officio) Resigned 10/10/22 Mr S Jeganathan (ex officio) Mr R A S Legg (ex officio) Mrs J Pentolfe (ex officio) Mr W Taylor (ex officio) Mrs J Warburton (formerly Hogben) (ex officio) Mr E Wingfield Digby (Digby Trustee) Mrs M Wingfield Digby (Digby Trustee) Mr R Crabb (ex officio) Appointed 02/12/22 Mr C Kippax (ex officio) Appointed 02/12/22 Appointed 02/12/22 Appointed 02/12/22 ## **Clerk** Mr Stephen Shield ## **Principal Office** Sherborne Town Council, The Manor House, Newland, Sherborne DT9 3JL Charity Number: 801462 ## **External Examiners** Darkin Miller Limited, 24e Deverel Road, Charlton Down, DT2 9UD ## **Bankers** HSBC, 1 Middle Street, Yeovil, Somerset, BA20 1LR ## **Investment Managers** CCLA, Senator House, 85 Queen Victoria Street, London, EC4V 4ET 5 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 MARCH 2023** ## **Trustees’ responsibilities in relation to the financial statements** The charity trustees are responsible for preparing a trustees’ annual report and financial statements 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 charity trustees to prepare financial statements for each 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 period. In preparing the financial statements, the trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the applicable Charities SORP; - make judgements and estimates that are reasonable and prudent; - state whether applicable accounting standards have been followed, subject to any - material departures that must be disclosed and explained in the financial statements; - prepare the financial statements on the going concern basis unless it is inappropriate to - presume that the charity will continue in business. The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust deed. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements. Approved by the trustees on ……………………… and signed on their behalf by: Signed: Signed: Mrs Margaret Crossman Mr Vaughan Coleridge-Matthews 6 **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** I report to the trustees on my examination of the accounts of the Simon Digby (Sherborne) Memorial Trust for the year ended 31 March 2023. ## **Responsibilities and basis of report** As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the Act’). I report in respect of my examination of the Trust’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent examiner’s statement** I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: 1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or 2. the accounts do not accord with those records; or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached. Signed: Name: Rosie Darkin-Miller LLB (Hons) BFP FCA Institute of the Chartered Accountants in England and Wales Address: 24e Deverel Road, Charlton Down, Dorchester, Dorset DT2 9UD Date: 7 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST STATEMENT OF FINANCIAL ACTIVITIES** ## **FOR THE YEAR ENDING 31 MARCH 2023** |**Note**
**Income and endowments from:**
Donations and legacies
Investments
2
**Total income**
**Expenditure on:**
Raising funds
Charitable activities: Grants
Bank Charges
Examiner Fees
Bad debt write off
Charitable activities
3
**Total expenditure**
Net gains/(losses) on investments
6
**Net income/(expenditure)**
**Transfers between funds**
**Other recognised gains/(losses)**
**Net movement in funds**
**Reconciliation of funds:**
Total Funds brought forward
**Total Funds carried forward**|**Unrestricted**
**Funds**
**£**
-
32,577
32,577
-
68,337
60
300
-
68,697
68,697
(117,076)
(153,195)
-
-
(153,195)
172,692
**19,496**|**Endowment**
**Funds**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
634,880
**634,880**|**Total funds**
**2023**
**£**
-
32,577
32,577
-
68,337
60
300
-
68,697
68,697
(117,076)
(153,196)
-
-
(153,196)
807,572
**654,376**|**Total funds**
**2022**
-
31,883
31,883
-
20,000
20
300
-
20,320
20,320
95,856
107,419
-
-
107,419
700,153
**807,572**| |---|---|---|---|---| 8 ## **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **Balance Sheet as at 31st March 2023** |**Note**
**Fixed assets**
Investments
6
**Total fixed assets**
**Current assets**
Debtors and prepayments
Cash at bank and in hand
**Total current assets**
**Liabilities**
Creditors: Amounts falling due within one year
7
**Net current assets or liabilities**
**Total assets less current liabilites**
**The funds of the charity:**
8
Endowment funds
Unrestricted funds
**Total charity funds**|**Unrestricted**
**Funds**
-
-
-
19,796
19,796
300
19,496
**19,496**
-
19,496
**19,496**|**Endowment**
**Funds**
620,873
620,873
-
14,007
14,007
-
14,007
**634,880**
634,880
-
**634,880**|**Total funds**
**2023**
**£**
620,873
620,873
-
33,803
33,803
300
33,503
**654,376**
634,880
19,496
**654,376**|**Total funds**
**2022**
**£**
737,949
737,949
-
69,923
69,923
300
69,623
**807,572**
634,880
172,692
**807,572**| |---|---|---|---|---| The notes at pages 9 to 14 form part of these accounts. Approved by the Trustees on ………………………………………….. and signed on their behalf by: Mrs Margaret Crossman Mr Vaughan Coleridge-Matthews 9 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** ## **1. Accounting Policies** ## **a) Basis of preparation and assessment of going concern** The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. The trust constitutes a public benefit entity as defined by FRS 102. The trustees consider that there are no material uncertainties about the Trust’s ability to continue as a going concern. With respect to the next reporting period, 2022-23, the most significant areas of uncertainty that affect the carrying value of assets held by the Trust are the level of investment return and the performance of investment markets (see the investment policy and performance and risk management sections of the trustees’ annual report for more information). ## **b) Funds structure** The charity has a single permanent endowment, the income of which is wholly unrestricted. The unrestricted funds are to be used for the general purpose of the Trust, namely to promote and support the work of local organisations for the general benefit of the inhabitants of Sherborne, Dorset and its surrounding neighbourhood. ## **c) Income recognition** All incoming resources are recognised once the charity has entitlement to the resources, it is certain that the resources will be received and the monetary value of incoming resources can be measured with sufficient reliability. Donations, are recognised when the Trust has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that those conditions will be fulfilled in the reporting period. 10 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** Legacy gifts are recognised on a case by case basis following the granting of probate when the administrator/executor for the estate has communicated in writing both the amount and settlement date. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the charity. Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. Dividends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio. ## **d) Expenditure recognition** Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation Grants payable are payments made to third parties in the furtherance of the charitable objectives of Grants awarded and paid out during the year are shown in note 5 to the financial statements. Grants are accounted for as they are awarded. ## **e) Irrecoverable VAT** Irrecoverable VAT is charged against the expenditure heading for which it was incurred. ## **f) Allocation of overhead and support costs** Overhead and support costs have been allocated between charitable activities and governance. Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to statutory audit and legal fees together with an apportionment of overhead and support costs. ## **g) Cost of generating funds** The cost of generating funds consists of investment management. ## **h) Charitable activities** Costs of charitable activities include grants made. 11 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** ## **i) Governance costs** Governance costs comprise all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to independent examination. ## **j) Fixed assets investment** Investments are stated at market value as at 31 March 2023. Investments are held in funds approved by the Charity Commission under s.24 of the Charities Act 1993. The Funds concerned are only available to charities within the meaning of s.96 or s.100 of the Charities Act 2011. Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year. The Trust does not acquire put options, derivatives or other complex financial instruments. The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors. ## **k) Realised gains and losses** All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities. ## **l) Debtors** Debtors are measured at their recoverable amounts. ## **m) Cash at bank and in hand** Cash at bank and in hand consists entirely of cash balances held with the Trust's bankers and with its investment managers. ## **n) Creditors** Creditors are measured at the amount required to settle the liability. |**2 Investment Income**
UK dividends received
Deposit interest received|**2023**
**2022**
**£**
**£**
31,857
31,857
720
26
32,577
31,883| |---|---| All of the investment income is attributable to unrestricted funds. 12 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** |**3 Analysis of expenditure on charitable activities and support costs**
**2023**
**Activity or programme**
**Total**
**£**
**£**
**£**
68,337
68,337
Independent examiner
300
300
68,337
300
68,637
**4 Analysis of grants**
**Authorised**
**Analysis**
Digby Hall
Sherborne Lawn Tennis Club
The Rendezvous
Citizens Advice
Citizens Advice
Future Roots
Sherborne Town Ladies Youth Football Club
Sherborne Town Band
SCARS
Life Education Wessex
**Total**
**Grant funded**
**activity**
**Support and**
**governance**
**costs**
Grants promoting and supporting
local organisations|**2022**
**Total**
**£**
20,000
300
20,300
**Grants to**
**institutions**
**£**
37,700
11,750
5,000
4,000
4,000
2,000
1,587
1,000
1,000
300
68,337| |---|---| ## **5 Emoluments** There were no emoluments paid during the year. Trustees have not received any reimbursement of expenses incurred for services provided to the charity. ## **6 Investments** |**Movement in fixed asset listed investments**
Market Value at 31/03/2022
Additions
Disposals
Net unrealised gains/(losses)
Market Value at 31/03/2023
Historical Cost as at 31/03/2023
Historical Cost as at 31/03/2022|**2023**
**2022**
**£**
**£**
737,949
642,093
-
-
-
-
(117,076)
95,856
620,873
737,949
650,000
650,000| |---|---| 13 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** |**Investments at Market Value comprised:**
UK Property Fund|**2023**
**2022**
**£**
**£**
620,873
737,949| |---|---| The Trust held the following material investments (over 5% of the portfolio by value): COIF Charities Property Fund £ 620,873.00 Investment values are stated inclusive of accrued interest. ## **7 Analysis of current liabilities** |Other creditors
**Analysis of charitable funds**
**Fund name**
**Fund balances**
**brought forward**
**Income**
**Expenditure**
**£**
**£**
**£**
Permanent
endowment
634,880
-
-
Unrestricted funds
172,692
32,577
68,697
-
**Total funds**
807,572
32,577
68,697
-|**2023**
**2022**
**£**
**£**
300
300
300
300
**Gains and**
**(losses)**
**Fund balances**
**carried forward**
**£**
**£**
-
634,880
(117,076)
19,496
(117,076)
654,376| |---|---| ## **8 Analysis of charitable funds** (a) The Permanent Endowment was established by an initial gift from the late Simon Wingfield Digby Esq, together with the proceeds of land sold for the benefit of the Trust in accordance with his instructions. The gift was made to the charity on condition that it is held as a permanent endowment, the income from which is freely available to fund the activities of the charity. If at any time distributions are considered from the capital sum invested, these will only be made with the approval of all the serving trustees. (b) The unrestricted funds are available to be spent for any purposes of the charity. ## **9 Commitments** At 31 March 2023 the Trust had the following grant commitments: |Expected to be paid within one year
Expected to be paid within two to five years|**2023**
**2022**
**£**
**£**
6,000
-
-
-
6,000
-| |---|---| 14 **THE SIMON DIGBY (SHERBORNE) MEMORIAL TRUST** ## **FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023** ## **NOTES TO THE FINANCIAL STATEMENTS** ## **10 Related Party Transactions** Trustees had the following non-pecuniary interest in the following grants authorised and paid in this year: Digby Hall & Library Trusts (grant made: £37,700 towards revenue funding) all ex officio Trustees, Mr E Wingfield Digby and Mrs M Wingfield Digby were Trustees during the year. At various times ex officio Trustees are appointed as official representatives of Sherborne Town Council to the committees of various organisations in the Town which may, from time to time, apply to the Trust for grant assistance. ## **11 Going Concern and Coronavirus** The Trust's income derives from its investments. During this financial year, the market value of investments took a significant hit morevoer as a result of the September 2023 Mini Budget. Although the resulting violitility has now subsided, the loss in market value is yet to be reversed, and with the economic climate proving to be challenging, this recovery may not be swift. The Trust's only regular non-discretionary expenditure is the fee for the preparation and examination of its annual accounts. Grant expenditure is discretionary and, as such, can be varied in future years. Consequently, the Trustees are able to confirm that the Trust remains a going concern. 15 INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE SIMON DIGBY ISHERBORNE) MEMORIAL TRUST I report to the trustees on my examination of the accounts of the Simon Digby Isherbornel Memorial Trust for the year ended 31 March 2023. Responsibilitie5 and basls of report As the charity trustee5 of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 20111'the ACVI. I report in respect of my examination of the Trusvs accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 14515llbl of the Act. .Independent examinerfs statement I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: l. accounting records were not kept in respert of the Trust as required by section 130 of the Act,. or 2. the accounts do not accord with those records: or 3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reportsl Regulations 2008 other than any requirement that the accounts give a 'true and fair view which is not a matter considered as part of an independent examination. I have no concems and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understandin8 of the accounts to be reached. Signed: Name: Rosie Darkin-miller LLB {Honsl BFP FCA Institute of the Chartered Accountants in England and Wales 24e Deverel Road. Charlton Down, Dorchester. Dorset DT2 9UD f511LTrluz3 Address: Date: