Company Registration No. 2499006 Registered Charity No. 803428 The Foundation and Friends of the Royal Botanie Gardens, Kew Trustees) Report and Financial Statements 31 March 2023
The Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Trustees, Report and Financial Statement$ 2023 Contents Page Referettce and admlnistrative details Ste£L¢ report Truste¢$' responsSbllfitles statement tndependent audltors, report Statement of fiDaneiai aetlvltle Summary income and expeudi¢ure aecount Balan¢e sheet 14 St*tetneDt of eash floivs Is tes to the finallclal $tatetnents 16
The Foundation and Friends of the Royal Botanic Gardens, Kejv Year ended 31 March 2023 Reference and administrative detalls Jatt Pethick- Chair Nick Baird Kri5tina Kenworthy Jane Reeves Jantiene Kietn Rosel)oom vall der Veer Company registered Nv. 2499006 Ch8rity registered No. 803428 Key Mall4gement Personnel The k¢y management personnel are the Foundation'5 TTUStees. Regltered & prittcipl offiee The Herbarium Kew Greett Richmond TW9 3AE Bankers Lloyds Bank PLC 3td Floor 10 Gresham Street London EC2V 7AE CAF (Charities Aid Foundation) 25 Kings Hill Avenue Kangs Hill West Mallillg Kellt ME194TA Legal xdvlsers Fatrer & Co LLP 66 Lin¢o]D'$ Inn Fields London WC2A 3LA Audltor Haysmacintyre LLP Statut¢)ry Auditor 10 Queen Street Place London EC4R IAG Investment managers Handelsbanken 3 Thomas More Square London ECIW IWY Cazenove Capiral hlanagement l London Wall Place London EC2Y SAU
Tbe Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Strategie report Objectives and activities Tbe Trusiees. wbo are $0 Directors of the Foundation alld Friends of the Royal Bolani¢ Gardens, Kew (tbe "Foundation.) for the purposes of the Companies ACL submit their Tjustees, Repor¢ whieh includes the Directors, Report and Strategic Rewrt for Companies Act puwes and the audited Finan¢ial Statements of the Foundation foT the year ended 31 Marcb 2023. Object The Foundati¢)n's obj¢oL s¢t out ill its Articles of Association. is to provid¢ Support for the Royal Botanic Gardens, Kew {"RBG Kew,) in such manner Ls the Foundation shall think fit. Th¢ FouTLdation is a }blIC Benefit Elltity. Public bellefit RBG Kew's general fijnctions are Set out in the NatioJJal Heritage Act 1983 and are to.. cany out Investigation and research into the soiellce of plants and ttlated 5ubJ¢cts, and disseminate the results of the investigation and researcty. provide advi¢e, instruction and education in relation to those aSpts of tbe science of plants with which RBG Kew 18 ¢on¢erned. provide other setvices {iJ)¢luding quardllttne) iti relation to plants" are for its coll¢ctions of plattts, preserved plant material, other objects relaling tt> plants, books and rKords' keep tbe colleciions as national referen¢¢ ¢ollections, ensure that they are available to persons for the Purposes of study, and add to and adapt them as scientific needs aDd RBG Kew ttsources allow. and afford to )nembers of tbe public opportunities to enter any land occupied or nlaged by RBG Kew. forthe puryx)se of gaining knowledge and elljoyEnent from FBG Kew's collections. The Trnstees have reviewed the activities of RBG Kew against the public benefit principles oudined in the guidance issued by the Charity Con)mission and the Trusttts believe thaL as these meet the public benefit charitsble aims, the FouT]dation in turn meets the publi¢ b¢nefit requirements. Strategic aim8 and #etivities The Foundation fundratses for RBG Kew, focusing'on lega¢y fithsitig and the Maagem¢llt of inv¢stsn¢nts. It also holds historic funds which are iniended to support the work of RBG Kew through the provisi¢)n of grants. Examples of projects SUPPOrted in the year and the process for grant n18 are set out below. Grant-making Total grants made to RBG Ktw to support its activities in 2022123 yeaT were £3.3M {2021122: £8.5M). of which £0.7M (2021122". £1.6M) was for sp¢cifie projects fro]n restrTrcied lldS and £2.6M {2021122.. £6.9M) was forprojects froTn unrestricted funds. Key projects supported by the Foundation include: Seitnet (£I.OM granted in 2022123. %1.2M in 2021122): RBG Kew's s¢tentifi¢ vision is to help stop biodiversity loss and develop sustainable nathre-based solutions to some of humanity's biggest global challenges. RBG Kew aims (o understand and protect plants and fimgi for the well-being of people and the future of all life on Earth. Grants from Kew Foundation include fimds for multiple projects at the Millennium Seed Bank and key strategic outputs from Kew's Science Strdtegy including the Plani and Fungal Tr¢e of Life alld the Tropical tmpotlant Plant Areas (TtPAs). Enhaneing Visitor Experience (£0.4M granted fin 2022123, £2.4M in 2021122).. Implementaiion of a new imfrastrncture system which is designed to futrther RBG Kew's obj¢c¢ives by growing r¢venue and enhancing the engagement of Kew's visitors, memberg and other supwiaE. In addition, trustees approved a grant of £1.5M for the proposed Learning Centre ai Kew Gardens.
The Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Strategic report Grant poliey In order to secure the ¢onsent of the Foundation TnteeS to release nds, RBG Kew submits a grattt request to the Foundation for a particular puryyose. All grants must be in line with the strdtegic aims of RBG Kew, eonfoJrn to the wishes of the donor where relevant and conforni to the statement of publi¢ benefit referred to above. If approved, fijnds are transferred subject to aD appropriate audit trail evidetlcing use of fid8. FMndralslDg approach and perfomallee The Truse$ oversee ail fundraising activities undertaken by the Foundation. Th¢ Foundation has engaged RBG Kew Entejprises Ltd to provide legacy fidraISIng services and services to support the management of grdTLts held by the Foundation but bas not worked with Other professional fvndraising agents ill th¢ year. BG Kew Enten5¢S Ltd adheres to the Cod¢ of Fundraising Practice issued by the Fundraising Regulator and the Trustees receive progress reports on fimdraising at each Board meeting in order to review and oversee aspects of fundraising undertaken on their beba]f. The Foundation is registered with the Fundraising Regulator. No fundrdising complaints have been received by the Fowidation in 2022123 r¢garding tts fundraising practices. Achievements and performanee In 2022123,'iD collaboration with the staff and supporters of RBG Kew, th¢ Foundation rnised income of £5.3M (2021122.- £4.3M) and gave grnnts lotalling £3.3M (2021122= £8.SMI to RBG Kew. Inyestmenrs income was £O.IM. lavestsnents recorded unrealised losses of £0.9M for the financial year, as Mets experienced a turbulent yeaT with global reopening following the pandemic. infiationary pressuTes emergxng, and the impact of the unfoldmg conflict in the Ukraine. Structureg governance and management The Foundation is a Regitred Cljarity (number 803428) and a Company limiied by guardntee (nurnber 2499006). It is governed by its Articles of Asso¢iation (revised in (ktober 2022). Trustees and Dtreetor$ The Trustees who held office during and at the end of the year are listed on page l. The Board votes on tbe electi(Trn of new members at its regular me¢tings. Any new Tnlee 18 elected for a period of three years after which te they may be re-appointed. New Tntstee5 are given an induction to introthice thern to the Foundation as well as to the work of RBG Kew. Tnle¢S receive brieflljgs from management and meet staff to understsnd and review diff¢r¢nt aspects of the organisation. New projects that aTe being undertaken by RBG Kew are explained. During 2022123, the Foundation Board of Trnstees held two meetings. Organisational structure The Foundation has no etnployees and tbe Tn]sttts are considered the Key Management Persomiel. Services and support to manage legacy, grant and investmettt income are purchased from RBG K¢w and RBG Kew Enterprises Ltd. Pay remuneration arrangement8 The frnstees are not remunerdted for theEr role. Related partffies The Foundation Board has a n)aximum of six Trustees; UP to two Trustees ean be rwon)mended for appointment by RBG Kew, and up to tour trustees are independenL Jantiene Kletn Roseboom van der Veer was a Twstee of both RBG Kew and the Foundation durAng 2022123 and 2021122. Nick Baird was appointed gs an independent Trustee of the Foundation in Novcmber 2021 when he retired as an RBG K¢w Tntee. In addition. there were three other independent Trnstees.
The Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Strategic report The Foundation is deemed to have an associate relationship with RBG Kew. based on the number of Trustees who are appointed by RBG Kew. As such, in accordance with accounting standayds, a share of the Foundation's net ats is consolidated inlo the acwunts of RBG Kew reflectill8 the proportion of Tntee$ appointable by RBG Kew, which is 33 /D as at 31 March 2023 fJnan¢ial year (31 March 2022.. 33 /.). RBG Kew does not hav¢ the ability to exercise control over the net assets wognised, which remaiti subjeci to decision-making by th¢ Foundation's iThdependent Board of Trnstees, and these a&sets are therefore showih as restricted assets in RBG Kew's f]nancial statements. The Foundation IMS related party transactions with RBG Kew and also with RBG Kew Enterprises Ltd {a wholly owned subsidiary of RBG Kew). RBG Kew Ellt¢TPri5es Ltd provides legacy fvndraising services and gerviees to support the management of gIts and investments to th¢ Foundation. RBG Kew provides back olfice support services to the Foundation including finan¢¢ s¢rwi¢es. One Kew Fou[tion Trustee {Jan Pethick) was also a member of RBG Kev/'s Foundation Council in the yeat. The Council promotes alld supports RBG Kew's success in fundraising and provideg advice on all aspects of RBG Kew's fi]ndraising alld membership activities. The Kew Asia Foundation Limited was iticorpornied on 4 March 2015 in Hong Kon8 to support and promote education, scientific research in the scRenGe of plants and related subjects through hortlGulture collaboration between the community of Hong Kong, and RBG Kew by inspiring amd delivering scie1c-bas¢d plant Gonservation worldwide. It was dissolved in July 2021. The Kew Asia Foundation Limited did not haye TSt¢eS in common with the Kew Foundatiorn Systems of internal coDtrol The systems of intemal Control ore design¢d to provide reasonable, but not absolute. as8uronc¢ against material InlS5tatement or loss. They include.. aTrnual budget approved by the Trustees. regular consideration by the TThttes of fmalleial results. variances from budgets and non-finallcial perfornian¢e indi¢ators,' delegation of authority and s¢gr¢gation of duties, where appropriate. and tILe identification and management of risks. Key risks for the Foundation are outlined on page 6. Going concern The Trustees are CODfident that the Foundation is a 80ing concern. This assessment is based (>n'. budgets and forecasts prepated for 2023124 financial year and beyond, based on fi>retasts of legacy and investment income reserves held whi¢h allow the Foundation to meet grant and other expenditure commilmenw withhealthy unr¢stri¢t¢d reserves providing security against any unforeseen operating risks cash and liquid 1Dv¢Stettt holdings alt sufficient to meet operating cash requirements for the next ¢welv¢ months. Financial review Results for 2022123 The results for the year are set out in the Statement of Finalleial Activitles (SOFA). In¢om¢ received in the year ended 31 March 2023 was £5.5M {2022.. £4.3M). Grants and donations in¢om¢ decr¢as¢d to £O.OM (2022: £0.4M). Legacy incom¢ increased to £5.3M {2022.. £3.8M). The Foundation's pipeline of lega¢y llotifications És relatively strong, supporting expectations for legacy Incon in re years. Net SLllplus for the year amounted to £l.OM {2022.. £4.2M net deficit) after grants to RBG Kew of £3.3M (2022.. £8.5M). At 31 March 2023, the Foundation's totsl funds amoullted 10 £20.7M (2022.. £19.6M)' Consisting of £4.6M {2022: £4.9M) iti endowments, £5.5M (2022: £5.8M) in doThor restricted fimds, £4.OM (2022.. £3.7M) in genernl unrestyicted
The Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Strategic report fimds, and £6.5M (2022.. £5.3M) in unresti?cted funds designated to projects. Although £5.3m of legacies accounied for in year £3.8m 1$ included in debtors at year end awaiting distribution to the charity. The current fund balances meet the Foulthtion's ReseTres Policy d¢'led below. Reserve8 P•li¢y The Foundation's policy is to hold at least £0.3M of reserves. This is the auticipated annual expenditure budget of the Foundation going forward. Given that legacy income is variable, reserves will be held at a level to ensure all ¢08ts call be covered even if no legacies are received in any one year. Unrestricted generdl reserves are cumtly £3.7M in excess of £0.3M. This balance will be reviewed during 2023124 detemiine if fimds should be granted to RBG Kew. Investment Pollcy 8nd St*tement of Investment Principles The Foundation holds funds for the short and rnedium-ternh to etL5ure liquidity and to meet tbe requirements for specific projeets and purposes. These funds are invested in short and medium-terni depositg and other short and edium-terni iIiStruments aordIng to tbe guidelines set out by the Board, reviewed annually. The Trustees have delegated the investment managemetttrole over its investment portfolios to: Cazenove Capital for the Saxnsbury Orchid Fund endowlnent" Handelsbanken Investment Managers for other endowment fi]nds and unspellt legacy fimds,. Gtsldmon Sachs International for cash managemenl (closed in 2022Q3). Funds invested by Cazenove Capital have all investment objective to ints1 the real value of capital while generdting a susÉain8ble level of income to support the Research Fellowshtps at Kew. The portfolio 15 invested primarily in the Charity Multi-Asset Fund, with some lower risk holdings of bonds and cash inVtrnents. The target return is CPI plus 3 /0 per aIinum, net of fees, over the long terni. For the funds managed by Handelsbanken, the Foundation adopts an 'Absolute Retln. approach to investmenL recognising the investmertt retum fro]n income and capitsl gains or losses. The overall investment objective of the ' funds managed by Handelsbanken is to achieve positive real ret1 of CPI plus 3°A over the long terni, while maintaining a medium tolerance to risk. Funds invested by Goldman Sa¢hs lllternational were all held in the Sterling Money Market Fund. The Trustees decided to close this account and have decided not to reinvest holdings in non-cash holdings at the present time, to preserve liquidity. Th¢ Trustees review annually the perfornvdDce and service of fimdlinvestrnent managers. investfflent principles and guidelines for product investment. In 2021122 the Trustees decided to transfer the rernainll Handelsbanken portfolio to "sustainable funds" The sustainable funds reduce the FoundatlOll'5 iThvestment in industries such as toba0, d¢fen¢e and alcohol, alld increase investment in areas with more positive environmental. Social and governance Impac including renewable en¢rgy and carbon eificicncy. All investments are now held in balallced sustsinable fimds. Ethies policy The Tntee$ do not wish to impose any specifi¢ ethical investhient policy, but the assets should b¢ invested in line with the charity's aims and ¢onfom) to the Third Party Engagement Po]icy and Donor Engagem¢Dt Review Process. IvestMent performanee The TTUSteeg meet each inY¢slment advisor at least annually and the Commentary below reflects their reponing on perforniance. The 2022123 financial year inflatLOJl8ry pressiires. higher interest rates, and the UkThiDe crisis have resulted ill weakcr perfomiance than expected. The total unrealtsed investtnellt losses for the Foundatioll's investment portfolios in the year were £0.9M.
The Foundation and Friends of the Royal Botanic Gardens, Kew Year ended 31 March 2023 Strategic report The Handelsbaukcn portfoitos reDJrned totsl at]nual perfornwices of betw¢¢n 14V/D loss and l /0 gaiti in the finw)¢ia] year (2021122.. gains between 9/0 and 16Y.), while funds invested with Cazenove returned a loss in value of 6% (2021122.. gain 8Tr/0 FulldraisRng The Trustees thank the following for their generous supportof our vital worf(: Leg1¢$. Qam¢r Adalll, Francis Bangay, Dorothy Booth, Frances Bremner, Sylvia Carter, Vivienne Daniell. Amie Evans, Pamela Farley. Florence Fo]lows, Anna GofiyL Pnmjence Green, Elizabeth Grellfell, Margaret Guilder, Evelleen Hoin-wybrow, Ondre Haynes, Jill Hood, William Howard, Sylvia Huggins, Sharon Icktingill, Fay Katz. Margarei Kerr, Richard Kirby, Dora Lockley, Brian Meldnun, Patricia ond David Moss, Kathleen Murpby. James Robertson, Ni¢ola Rose, Balbara Rowe, Margaret Ryan. Ann Sayer, J¢r¢my Stanley-smith, Vida Vtsle& And all other supporters, iticluthng those who have chosen to remain anonymous. Risk management The Foundation has a robust risk management framework which is upJate4 presented to and reviewed by Tnjstees once a year. Each risk has an assigned risk owner who will coordinate actions to mitigate the risk ond record progre&s ade and actions completed. The current most significant risks for the Foundation are detailed below.. Reputational risk from engagement with thirdparties whose activities could negatively impact the Foundation's rq>utaiion. To mitigate this risk, Donor and Third Party ED8agemeni WTrli¢ies are in place, whi¢h includes assessment of wptential risks from Bngag¢rnents. Failure to process personal data in Compliance with relevant legislation. To mitigate this risK a data framework is in place that ensures any donor data held is in compliance with dats prOttIon T¢quirements. Risk to the Found10n,$ financtal sustainability from reduced income. Annual budgets are prepared alld perforn)an¢e moniiored through the year, with alty risks higblighted to the Trustees. The Foulldation holds reserves at a level to meet its operdting commitments and any fure grant cornmitsnents. Plan5 for fuknrt perl•ds The Foundation's focus is on developing and growing the legacy programme and stewarding donors to ensure income due from existing donor pledges is delivered. The Foundation will also continue to manage its illvesthient portfolio. The Foundation will continue to pay grants t() RBG Kew frorn ullrestri¢ted and restricted funds.
The Foundation and Friends of the Royal Botanic Gardens, Keiv Year ended 31 March 2023 Trustees, responsibillties statement The Trustees (who are also dirtorS of the Foundation for the PUryK)ses of compatty law) are responsible for preparing the Trustees, Annual Report and the fthancial statements iti accordattce with applicable law aryd United Kingdom Accounting Standards (Uni*d Kingdom Generally Aecepted Accourttitig Prdctice) including FRS 102 "The Financi Reporting Stsndard applicable in the UK alld Republic of Ireland" Company law requires the Trnstees to prepare f]nanetal statements for eaeh financial year whieb give a true fair view of the state of affaits of the charitable company and of the incoming resources and applieation of resources, including the income And expendiDJre. of the charitable Company for that period. In prepaIing these fmancial statements. the Trustees are required to.. seleet suitabl¢ coUntIng policies and then apply them consistently. observe the methods and principles in the Charities SORP. make judgements and estimates that are reasonable and prndeDt- state whether applicable UK Accountillg Standards have be¢n followed: subject to any material departures disclosed and explained in the fillancial statements,. aod prepare the fllwicial statements on the going concern basis wiless it is inappropriate lo presume that the clwitable eompany will continue in business. The Trustees are rcsponuble for keeping adequalt a¢¢ounting records thai disclose wAth reasonable accuracy at any time tbe ftt¢181 position of the charitsbl¢ company and enable them to ensure that the fu]ancial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for iaking reasonable steps for the prevention and detection of fraud and other irregularities. tn so far as the trusteeg are awar¢". there is no relevant audit infomialion of wkn.ch the charitable compaty's auditor is unaware,. and the Trustees have takeT] all steps that they ought to have taken to make thernselv&5 aware of ally.r¢levant audit infornktion and to establish that the auditor is aware of that inforniation. The TNstees are responsible for the maintenance and integrity of the Coryrat¢ and flnancial inforn)ation included on the charitable company's websiie. Legislation in the United KillgdoD] governing the preparation and diss¢minatioll of financial statements may differ from legislation in other jurisdictions. The Trustees, Report and the Strategic Report were approved by the Trustees al signed on their b¢ha]f by.. Jan Pethick Chair 26 June 2023
Independent auditor's report to the Members and Trustees of The Foundation and Friends of the Royal Botanic Gardens, Kejv Opinifjn We have audited the f]nancial statements tsf The Foundatioll and Friends of the Royal Botollic Gardens, Kew f(>r the year ended 31 March 2023 which comprise the S¢atement of Financial Activities, the Balance She¢t, the Sumll Incomc and Expenth'ture Account. the Ststement of Cash Flows and notes to the financial stst¢m¢nts, including a of significant accounting w)licies. The financi reporting framewrk that has been applied ill their prepardtioll is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The FaClaIRep0rtIngSÉ&dUrd applicttble in ihe UKandRepublic oflrelaud (United Kingdom Generally Accepted Accoulltillg Practice}. In our opinion, the financial stat¢m¢nts'. give a tsue and fair view of the state of the ¢haritabl¢ ¢ornpally's affairs as at 31 March 2023 and of the charitable company's net movem¢nt in fid$, illcluding the income aTJd expenditure. for the year then ended. have been properly prepared in a¢cordan¢e with United Kingdom Generally Accepted Accounting Practice. have been prepared in ac¢onlan¢e with the requirements of the Companies Act 2006. Basis for opinlon We conducted our audit in accordance with International Stsndards on Auditing (UK) IISAS IUK)} and applicable .law. Our responsibilities under those standards aTe further described in the Auditor's re5ponsibi]xties for the audit of the finanGial stateTnents section of our report. We are independent of the charity in accordance with the ethical reqUireents that are televant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethtcal responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conelusions relating to golng concern tn auditing the fmanGial statements. we have concluded that the lrnst¢¢s' use of going concern basis of accounung in the preparation of the financial ststements is appropriate. Based on the work we have performed we have not identified any material ulleertainties relating to events or conditions that, individually or collectively, may east significaTht doubt on the Charitable company's ability to continue as a going concern for a peri of at least twelve months from whell the fmancial statements are authori8ed for issue. Our responsibilities and the responsibilities of th¢ trustees vlith respect to going concern are described in tbe relevant sections of this report. Otber information The trusttts are responsible for other inforniation. The other inforniation compris¢$ th¢ infomiation included iti the Trustees. Report. Our opinion on the fthancial sÈaiemet]ts does not cover the other InforntIoll and, except to the extent otherwise explicitly stated in our report, we do not express any forni of assuryn¢e ¢onclu5ion there<) In connection with our audit of the fllwicial ststements, our responsibility is to read the other infomiation and. in doing so, Gonsider whether the other inforn)ation is materially incoDSiStent with Jhe financial.5tatements or our knowledge obtained iti the audit or otherwise appears to be materially rnisstated. If ivèidentify such material inconsistencies or appareni maierial mAsstateJDents, we are required to determine whether there is a material tllisstatemeni in the financial statements or a material misstatement of the other inforniation. If. based ot) the WOTk we have perfornied. we conclude that there is a material misstatement of thts other infomiation, we are rquired to report that fact. We have nothing to r¢port in this T¢gard. Opinions other matters prescribed by the Compxnles Act 21106 In our opinion. bas¢d on the work undertaken ill the courstrof the audit: the iDforniation given in the Trustees, Report (which includes the strategi¢ reFQrt and the directois, rew)rt prepared for the purposes of company law} for the fU1¢Ial year for whioh the financial statements are pr¢par¢d is ¢gnsi5tent with the financial statements. and the strategic report and the directgr8' report illcluded within the Ttustees. Rep)rt have been prepared in accordan¢e with applicable legal requirements.
Independent auditor's report to the Members and Trustees of The Foundation and Friends of the Royal Botanie Gardens, Kew (eont.) M8tt¢rs on which we are rtqlllred to report by exception In the light of the knowledge and understanding of the charitable Company and its ertvirtitimeni obthined in the ¢ours¢ of the audiL we hav¢ not identified rnaterial mi5Statements in the TTUStees' Report (whith incorporate6 the strdtegie report and the ditOrs, r¢port). We have notbing to report in respect of tbe followillg matters in relation to which the Cornpanies Act 2006 requires US to report to you if, in our opinion.. adequate accounting records have notbeen kept by the charitable company. or the ¢haritsble cojnpany finallcial statements are not in agreernent with the accountitig records and returns. or certain disclosures of tru5tees' remuneration specified by law are not llde. or we have not received all the inforation and explanations we requir¢ for our audit" or the trustees were not entitled to prepare the f]nancial statements in accordance with the S71 eompanxes, reg1C and take advanrage of the small ¢ompaoieg' exemptions in preparing the tnute¢s' report alld from the require1 to Prepare a strategic report. RespoDslbllitles of trustees for th¢ finaDciai 5t2tements As explained Jnore fully in the trust¢e$' responsibilities statement set out on page 7, the trustees {who are also the dire£torg of the charitable wnpany for the purposes of CopaY law) are tesponsibl¢ for the preparation of the financial stateTnents and for being satisfied that they give a true and fair view, and for such internal control as the trus¢5 detennine is Tjecessary to enable th¢ preparatioll of financial ststements ihat are free from material mi55tatement. whether due to fTaud or effor. In preparing the f]nancial statements, the trnste¢s ar¢ responsible for assessing the charitable company's ability to continue as a going concem, disclosing, as applicable, matters related to going concern and using the going contem b8Si5 of accounting unless the tNs¢ees either intend to liquidate the charitable company or to ¢ease operatiolls, or have no realisthc alternative but to do so. Auditor'$ responsibilities for the audit of the fmaDciaJ statement8 Our objectives are to obtsin reOnable a&surance alx)ut whether the financial statetThents as a whole are free from material mi&ststemetsL whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurdllce but is noi a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a matuial misstatement when it exists. Misstaternents can arise from fiwd or error and ate considered material if, individually or in the aggregate. they could reasonably be expected to influence the e¢onoJnic decisions of users token on the basts of these fmancial statements. IrregulaTities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line witb out responstbilities, outlined above, kn detect llterIal mtsstatements in respect of irregularities. including fraud. The extent to which our proc£dures are capable of detting irregulariti¢s. including fraud ig detailed below: Based on our under5tsndiDg of the company and the environttkellt in which it operdtes. we identified that ihe principal risks of non-compliance witb laws and regulatsons related to regulatory requirements for the charitable company, and we considered the extent io which non-compliance rnight have a material effect ot) the flnancial statements. We also considered those laws and regulations that have a direct impact on the prepardtion of the f]nancial statements such as the Companies Act 2006 and.th¢ Charities Act 2011, and consider other factors such as the ttItsn environment. We evaluated management's incentives and opportunities for fraudulent nwiipulation of the financial statements {including the risk of override of controls). and d¢t¢rmined that the principal risks were relaied to posting inappropriate journal entries to revenue manag¢owit bias tctounting egtimaies. Audit procedur¢5 perfornied by the engagement team included.. Inspecting correwndellce with regulators and tax authoritics" Discussions with manag¢m¢nt including Consideration of known or suspected instance5 of non-compliance with laws and regulation and frdud; Evaluating management's controls designed to prevent and detect irregularities. Identifying and testing journals, in particular journal entries posted with unusual a¢coulli cob]natiOns, )SÈings by unusual users or with unusual descriptions. and
Independent auditor's report to the Members and Trustees of The Foundation and Friends of the Royal Botanie Gardens, Keiv (eont.) Challenging assumptions and judwents llde by maDagernent in their significant accounting eslimates, in particular legacy accrued income. Because of the inherent limitations of an audit. there 15 a Tisk that we will noi detect all irregulorities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk illcreases th¢ more that compliance with a law or regulaiion is removed from the events and transactions reflected in the fmancial statemenw as we wAII.be less likely io become aware of instsnc&5 of non-compliallce. The risk is also greater regarding IrreglaritieS occurring due to fraud rather than error, &$ fraud involves inÉelltional conceahnent, forgery, colluslon, omission or misrepresentation. A fillther description of our rwnsibilities for the audit of the financial statements is located on the Financial Reporting Counctl's website at.. www.frc.or .uklauditorsres onsibilities. This description fornLS partof our auditor's report. Use of our report This report 15 made solely tr) the charitable company's members, as a ljody. in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might stste to the charitsble compangs members those matters we are required to state to them in an Auditorfs rewrt and for no otlw PUEpose. To the thllest extent rmItted by law, we do not accept or aUMe responsibility to anyone other than the charitable compatty alld the charitable company's members as a body, for our audit work. for this report. or for the opinions we have fornied. Richard Weaver (Senior Ststhtory Auditor) For alld on behalf of Haysmacintyre LLP. LO Queen Street Place ststutory Auditor London EC4R IAG 26 June 2023 10
The Foundation and Friends of the Royal Botanic Gardens, Kew Summary income and expenditure account Year ended 31 March 2023 2023 2022 £>ooo £'ooo Income Donaiions and legacies Interest and investutent income Gainsl(losses) on investments 5.327 52 (550) 4.216 19 45 Gross illeome ID the reporting period 4,829 4,280 Total expenditure ID the reportlng perlod (3,570) (8,732) Net expenditsr¢ for the reporting period 1,253 (4,452) As required by th¢ Companies Act 2000, this statement pre8¢nts th¢ movements on Income and expendittwe excluditig endowrncnt funds. 13
The Foundation and Friends of the Royal Botanic Gardens, Kew Balance Sheet as at 31 March 2023 2023 £'ooo 2022 £'ooo Notes Fixed assets Inv¢stmcDts 14.067 11,410 TO rued assets 14,067 11,4111 Current assets Debtors 3.861 1,049 Cash at baDk and in hand 3.200 11,019 Total curreDt assets 7,061 12,068 Credltors: amounts falling due within one year (464) {3,837} Net ¢urrent assets 6,597 8.231 Tot41 *ssets less turrent liabilities 20,664 19,641 NET ASSETS 20,664 19,041 The funds of the Charity: Restricted income funds io 5,532 5.727 Pem)anent endowment funds io 2,605 2.758 Expendable endowiJ)ent fijndg io 2,001 2.167 Unrestricted fimds- designated io 6,502 5.314 Unrestricted funds- g¢neral io 4,024 3,675 TOTAL FUNDS 2D,664 19,641 Notes I to 15 forni part of these accounts. Thes¢ fJnall¢ial 5tateinents of The Foundation and Friends of the Royal Botanic Garden& Kew (registered rtumber 24990061 were approved and authorised for issuc by the Board of Trnstees and signed on their behalf by: Jan Pethick Chair 26 June 2023 14
The Foundation and Friends of the Royal Botanic Gardens, Kew Statement of cash flows Year ended 31 March 2023 Note 2022123 2021122 £'ooo £'ooo Net eash flo5 from operathig aetlvities 14 {4,414) (2,418) Casb flojvs from inve5tiDg %etivitie5: Dividend5 and interest from investments Proceeds from the sale of investments Purchase of Investments 106 291 {3,802) 1.12 20.636 (10.207) Nft ¢45h flows from lllvestlng ¥¢tivities {3,4051 10.541 Change in e#sh in the reporting period (7,819) 8,123 Cash xt the begiThning of the reporthig period 11,019 2,896 Cash at tbe end of tht r¢porting period 330 11,019 Notes 1- 15 foTrn part of these accoutjts. All cash and cash equivalents are included in ¢ash at bank and in hand 15
The Foundation and Friends of the Royal Botanic Gardens, Kelv Notes to the accounts Year ellded 31 March 2023 Stlltemtnt of aeeountlng pollele8 Th¢ principal accounting wlicies are summarlsed below. All have been applie41 ¢¢)nsistently throughout the year. Basis of preparation The financial 5talements have been prepared under the historical cost convelltio with the exception of investments which are included at fair value. The fjnancial statements have been prepared ID accordance with the Statement of Recommended Practice (SORP 2019).. Accounting and Reporting by Charities preparing their accoullts in accordance with the Financial Reporting Standard applicable in tbe UK and Republic of Ireland IFRS 102) issued on 16 July 2014 amd the Charities ACE 2011. The fjnancial statements preselit inforrnation for The Foundation and Friends of the Royal Bothnic Gardens Kew ("Kew Foundation" or'*be Foundation,). FollDdation statss The Foundation is a private compally limitcd by guarantee, incorporated in England and Wales and is a charity registered in England and Wales. It is a Public Benefit Entiry. The members of the Foundation are the Trustees. In the event of the Foundation being wound up, tbe liability in respect of the guarantee is limited to £1 per member of the Foundation. Golng eoneern Having reviewed cash flow forttasts and budgets for 2022123 and beyond, the Trustees have a reasonable expectation that the Foundation bas adequaie resources to ¢otttinue in operdtional existence for the foreseeable future, not less than 12 months from the date of signing. Accordingly, tbey continue to adopt the going concern basis in Prepari the Tnjstees, Rwrt and Financial Ststernents. Reserves The Foundation has a Reserves Po]icy that seeks to maintain unrestricted reserves (excluding the designated property Teserye) at ari)und one year of future operntillg expenditure (£0.3M). Unrestricted reserves are currently £3.7M in ex¢e5s of £0.3M. This balall¢e will be reviewed during 2023124 to det¢rnine when funds can be granted to RBG Kew. Fund JCCOllDting General or unrestricted funds are available foruse at the discretion of the Tntee5 ill fiutherati¢e of the objectives of tbe Foundation. These or¢ fiJnd$ that have not been designated for otherpurposes. Designated funds cojnprise unrestricted funds set aside by tbe Trustees for partieular purposes. The aim and use of each designated fund are set out in the notes to the financial ststements. R¢stricted fLmds are fijnds which have been raised by the FouThdation for particular puryoses and are to be used In accordan¢¢ with specific restriciions imposed by don0. The aim alld use of each material restricted fuod are set out iti the ntstes to the financial statements. Endowment funds are a MÈX of reStriCd and unrestricted funds and may be expendable or peranent. Permanenl endowment funds are held by the Foundation as a COorate tryste¢ and do not fortTr part of the coJp)rnte property of the charitsble company. During 2014115 the Sainsbury Orchid Trnst Fund (£2.4MI was transf¢TTed to the Foundatioll from the Bentham- Moxon Trust. Using this pernjanent endowmenL the Foundation wll provide grants to RBG Kew connected with the advallcement of education and learning by the promotion of SdY and enhallcelllent of the orchid collectiojj and orcbid work. The Ttust deed Confers an oversight role on two other Sets of Trustees. Robert and Lisa Soinsbury Art Trust Ltd Trnstees (previously known as the Art Tn]s¢¢¢s), the Gatsby Charitable Foundation Trnstees Ipreviously known as the Gatsby Tjugtees). Investmetlt income, gains and losses are a]located to the appropriate fund. Income All income in¢luding grants are inc]uded in the Statement of FiThancial Activities (SOFA) when the Foundation is legally entiiled to the inwm¢, recetpÉ 18 probable, attd the amowit Can be M&Vred witb sufficient reliability. For 16
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 Mareh 2023 pecuniary le8acie4 this is upon notification Iprobate). Residuary legacies are recognised when probate is granted and there is sufficient inforniation to value them (usually receipt of estate accounts). Where legacies include the trnfer of property. this is included at valuation. No amout)ts are included in the financial statements for services donated by volullteers. Gifts ID kind are included at fair value. Donaled sei¢¢S or facilities are included in income at a valuation which is estimate of the filncIal Cost borne by a third party. Income tax reeoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation. tncome tax recoverable ID relation to inveslment income is recognised at the time the investment income is receivable. Expenditur¢ Expenditure is accounted for on an accruals basis. Where costs cannot be directly attributed to partieular aciivitie4 they have been allocated on a basis consistent with the use of resources. UJwestriGted grants to RBG Kew are recognised when approved ond fornially communicated with the recipient. Restricted grants to RBG Kew are recognised and awarded to RBG Kew on approval of a valid claim. Gifts in kind to RBG Kew are recognised when the Foundation donates staff time or ofher assets. Fundraising Costs are in¢utred in seeking voluntary contributions and do not inolude the costs of di&seminatiDg InforntiOn in support of the charithble activities. Support costs are those costs incurred diwtly in Support of ¢KndItre on th¢ objects of the Foundation. Governance cost$ are inwrred iry CODnection with the administration and compliance of the Foundation. Governance and support c(Fsts are allo¢ated acTr)ss the various activities of the Foundation based on an estimate of tbe time spent by Staff. Grant making The Foundation raises monies for RBG Kew. A requcst for payment for varAOU5 projects PToposed by RBG Kew is made to the Foundaiion Tntstees. When applicatl0ll5 are received. the Foundation gives independent due considerdtion to granting such funds. eonsidering the strategy and wishes of the donor and, if approved by the Tntee6, paymeni is made. Proper evidence of expenditure is always required, to the satisfaction of the Trnstees. Investmellt8 Inveslrnents are stated at market volue at the balance sheet date. The SOFA includes the net gaills and losses arisin8 on revaluations and disposals throughout the year. Investmeni n)ovements as disclosed in the StsteD]ent of Casb Flows reflect additions to and withdrawals from the inyesttnent portfolio. T#xation a¢counting The Founda1]< is a registered charity and has no liability to Wrporation tax ¢)n its charitable activities under the Corporation Tax Act 2010 {Ghapters 2 alld 3 of part ii, section 466 onwards) or Section 256 of the Taxation for Chargeable Gains Act 1992, to the extent surptuses are applied to its eharitable purposes. No tsx charge has arisen in the years ended 31 Mah 2023 or 31 March 2022. Fittaneial InstruEnents Investments are a¢¢ounted foT at fair value through profit and loss in accordance with the requtrements of FRS 102 sections I l and 12. Trade and other debtOTS are recognised at the settlement amount due. Prepayments are valued at th¢ amount prepaid net of any trade discounts due. Cash at bank includes cash and.short-terni highly liquid investm¢llt5 with a short matiuity of three months or less from the date of acquisition or opening of the deposit or sirnilar account. Creditors and provisioDS are rxognised where the ¢hority has a present obligation resulting from a past evellt that will probably result ill the transfer of fi]nds to a third party and the amount due to settle the obligation ean be ea$llred or estinvdted reliably. Creditorg and provisiojjs are nornllY recognised at iheir settlement amount after allowing for any trade discounts due. 17
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 CrRtlcal acc•utLthig JudgemeDts and key wUrCe of estirnatioD llneertaillty In the app]ication of the FoulldatioD's aGcounting policte4 wbith are described in tbis note, the Trustees are required to Jnake judgernents, estimates aud assumptiolls about the carrying amounts of assets and liabijities that are not readily apparent frorn other 50urres. The estimates and associated a&8Utnptions are based on lu"storical experi¢e gnd other factors that are considered to be relevanL Actual results may differ fro tbese estimates. The estimates and underlying assumptions are reviewed on an ongoin8 basis. Revisions to accounting es¢imate$ are recogllised in the period in which the estimate 1$ revised if the revision affects only that period. or in th¢ period of the revisii>n aTLd future pertods if the revision affeLts both current and tUre periods. Otber thaD legacy income deKribed in this note, the Trustees do not consider there are any other ¢ritical judgements or sources of estimation uncertainty requiring disclosure. Income And endowments frtsm d•natfion& grants and legafi 2022123 Unrestricted Restricted EndowmeDt £'o( £'ooo £'ooo Total £'O(KJ Grdnts and donations Legacies 4,855 472 5,327 4,855 472 5,327 2021122 Unrestrleted Restricted Endowment £'ooo £'ooo £'ooo 367 1.875 Total £'ooo 367 3,849 Grants ond d¢)na¢ions Legacies 1,974 1,974 2,242 4216 As at 31 March 2023. the Foundation had been notified of 44 {2022.. 511 lega¢ie& estirnated to be worth £5.57M in it]come (2022: £2.41M), £3.86M12022.. £0.85M) of which Can be rneasured with suffieient reliability and therefore this amount has been recogllised withitj accNed income. 18
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 Income from investments 2022123 Restricted Endowment £'ooo £'ooo Unrestricted £'ooo Total £yooo Bank interest 25 25 Dividends & other distribuiions 27 79 106 52 79 131 2021122 Restri¢tsd EDdowm¢nt £'ooo £'ooo UDre8tricted £'ooo Total £'ooo Bank intcrest Dividends & other distributions 14 93 112 14 93 19
The Foundation and Friends of the Royal Botanic Gardens, Kejv Notes to the accounts Year ended 31 March 2023 ExpeDditure 2022123 GraDt Support and funding of governan¢e etivitie eosts £,05 £'o M•rketiDg and other direft COSts Total £'ooo £'ooo Raising funds- donations and legacies 214 77 291 Rai$ll funds- investsllent income Total R&ising llds 219 77 296 Clwitable activities Science Horticulture and Learning Other sUpprt ¢0 RBG K¢w ,020 229 2,036 1,020 229 2.036 Total Charitable activities 3,285 3285 Total Support costs 77 (77) Totsl 296 3285 3,581 2021122 Grant Support aDd funding Of governanee ctiYitie5 costs £'OOOs £)0) 83 Marketing 8nd other direct Costs £'ooo 192 15 Tot#] £'o 275 15 Raising funds- donations and legacies Raising funds- investment InMe 207 83 207 Charitable activities Sci¢n¢e Horticulture and L&Ill8 Other support to RBG Kew 1,184 181 7,084 1,184 181 7,084 Total Charitable activities 8,449 8,449 Totsl Support ¢osts 83 (83) Total 290 8,449 8,739 20
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 Support And governance costs 2022123 Total £'ooo Costs in¢urred Govemance oirice adnllntstration other support 14 63 77 2021n2 Total £'ooo Colts Éncurred Govemance Offic¢ athninistration and other support 16 67 83 Net (expenditsreyineome This is stated after oharging.. Tot 2022123 £'ooo Total 2021122 £'ooo Auditr>r's remunerati<>n'. Fees payable to the company's auditor for the audit of the Foundation's anllual accounts Non-audit f¢¢s'. Tax filing 14 10 21
The Foundation and Friends of the Royal Botanic Gardens, Keiv Notes to the accounts Year ended 31 March 2023 Fixed wet Investments Endoivment Investments £'ooo Other Investments £'ooo Tot*1 £'ooo At l April 2022 Sales PToc¢ed8 Purchases Income re-invested R¢ali8ed and ullrealÉsed gains / Ilosses) 4,925 (291) 197 79 (304) 6,485 11,410 (291) 3.696 106 (854) 3,499 27 (550) At 31 March 2023 4,606 9,461 14,067 End0)neI Investments Otber Inves¢tI £'ooo Total £'ooo £'ooo At l April 2021 Sales proceeds 4,777 (3,665} 3,665 16.874 (16,971) 6,523 14 45 21,651 (20,636) 10,188 19 188 Income re-invested Realised and unrealised gains / {IossG4) 143 At 31 Mah 2022 4.925 6,485 11,410 2023 £'o 2022 £'ooo Investmetjt at fair value compris¢'. Com0dltieS Equity Bonds Property funds Hedge fijnds Liquidity funds {including cash atjd tash equivalents) Charity Multi Asset Funds 77 4,768 2,424 696 197 462 5,443 48 5,791 1,561 891 232 129 2,758 At 31 March 14,067 11.410 All fixed asset investments are held in the UK. Investments at historical Cost 10,455 10,161 22
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 Debtors: amounts due within olle ye4r 2023 2022 £'ooo Ac¢rued income 3,861 1,049 3,861 1,049 Conthigent assets: As at 31 MaT¢h 2023 the Foundation has been notified of 44 (2022.. 34) legacies of which £3.82M (2022: £1.05M} bas awrued. The r¢maiAing £1.71M (2022:£1.23M) has not been r¢cognised as th'e executors have yet to estsbltsh if there are sufficient assets in tbes¢ estates, after settting any liabilities to pay thes¢ legacies. The Foundation 1$ therefore unabl¢ to estfftjnate with sufficient accuTrcy the amount receivable al IL&5 not accrued for these legaciw on that basis. Creditors: amounts falling due wltlthi year 2023 £'ooo 2022 £'ooo Payable to related und¢rtakings 447 3,820 17 A¢¢rua]8 17 464 3.837 23
Tbe Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 io. Statement of funds Balanee l Apru 2022 £'ooo Bal#nee 31 LlI#reh 2023 £'ooo Reeognised Income Expendlture gaIn(lOues) Transfers £'ooo £'ooo £'ooo £'ooo Restricted Income Fwids 5,727 472 {742) 75 Endowment funds Sainsbury Orchid Fund 2.758 52 {5) (89) 2.605 Expendable eDdowmellts Smythies Fund Lennox Boyd Fund Shawdon Fund Bewsey Fw 199 717 63 1,188 (16) (56) (5) (116) 183 661 58 1,099 27 Total endoTrvment funds 4.925 79 (5} {3041 {89) 4,606 Total restrleted And eDdowment funds 10,152 551 {747) (3041 (14) 10,138 UDrestrieted desA8nated funds PTopety Fund Director of Science Research Enban¢ing Visitor Experience Kew turniThg Centre Otber 800 1,205 441 800 852 (353) (441) 80 12 1,500 539 ,580 3270 2,868 (149) 5,314 92 (943) 2,039 6,502 Unrestrlcted lunds General Fund 3,675 4,815 (1,891) (550) 12,025) 4,024 Total unrestricted funds 8,989 4,907 (2.834) (550) 14 10,526 Total fllDds 19,641 5,458 (3,581) (854) 20,664 24
The Foundation and Friends of the Royal Botanie Gardens, Kew Notes to the accounts Year ended 31 March 2023 Balance l April 2021 £'oo(fy Bal8llte 31 March 2022 £'ooo Rec(¥gnlsed Incotne Expendlture gaSnO0$SeS) TrI5ftn £*ooo £'ooo £'ooo Restricted Income Funds 4.962 2,247 (1.563) 81 5,727 ndowment funds Sainsbury Orchid Fund 2,630 90 (7) 126 {81) 2,758 Expendable end•MThettts Smythies Fund Lennox Boyd Fund Shawdon Fund Bewsey Fund 197 711 63 1.176 199 717 63 1.188 Tot41 eDdowment funds 4,777 93 (7) 143 {81) 4.925 Total restricted and endowment funds 9.739 2,340 (1.570) 143 10,152 UnrestrScted desl¥llated funds Property Fund Family Kitchen & Shop Director of Science Research Enhancing Visitor Experience 800 2,433 1.376 2,617 3,375 800 (2.433) (171) {2,176) (507) 1,205 2,868 10,601 (5.287) 5,314 Unrestricted funds General Fund 3,524 1,988 (1,882) 45 3,675 Total uDrestri¢ted funds 14,125 1,988 {7,169) 45 8,989 Total funds 23,864 4.328 (8.739) 188 19,641 See Note 15 for details of geTLeral supwkrt to RBG K¢w. 25
The Foundation and Friends of the Royal Botsnic Gardens, Kew Notes to the accounts Year ended 31 March 2023 Sttement of funds (continued) Funds informatlon Restrictions on the endowrnent fimds are as ftsllows: The Sai$bry Orehld Fund is used to provide grants to RBG Kew connected with the advan¢erneDt of edu¢atioll and learn]ng by the promotion of 8ftY and eDhan¢ement of the orcbid collection and orchid work. The Trugt deed cOtI$ an oversight role on two other sets of TTUStees'. Robert and Lisa Sainsbury Art Trust Ltd Trustees {previously known as the Art TTUStees) and the Gatsby Charitable Foundation Tn]stees {previously known as the Gatsby Trnstees). The transfer frorn this fid represents realised income which is transferred to the related restricd lld on a quarterly basis. The Smythies Fund is an unr¢strided expendable endowment. Part of the fund should be used to support botanical illustratioj). The interest is used for budget relief. The Lennox Boyd Fund is used by Kew io pn)vide education for overseas Sdents through the Lennox Boyd PrograTnme. In particular, emphasis is placed on promotitig exchanges of pwple between British instithtions and their counterparts in Commonwealth countries. The Shaivdon Fund is used tosupport Kew'5 aTmual winter lecture Serie5 with an emphasts. but not exclusivety on any aspects of the uses of plants for medicine. The Bewsey Fund was received by the Foundation in 2015116. It 15 all expendable endowment r¢$triot¢d to conservation and research. Designations of Unrestricted funds aTe as follows: The Propety fijnd represenied funds designated in 2016117 for RBG Kew's capital proj¢cts, the balance is held for Kew's use on improvement work around the estate. Director of S¢ien¢e reseprth- £0.9M Tellill$ of the fimdg designated in 2019120 to support the Kew Director of S¢ien¢e's Tes&grch progrdtDme iti furtheranee of Kew's objective5. Enhancing Visitor Experience- £2.IM was transferred in 2021122 to supwn this infrastructure project wbich is designed to further Kew's objectives by growing revenue and ethcing the engagernent of Kew's visitors. members and other supponers. This fund was llY utilised in 2022123. Kew Learning C¢ntr¢- £1.5M was designated in 2022123 to Support tbis itifr&8tructtwe projeci whi¢h is digned to provide a M{ern learning facility to expalld Kew's edu¢ational programme. Other designated funds of £2.7M represent allocations to other. smaller a¢tiviti¢s and projects. and unrestricted legacy income recognised which the Trustees wish to designate for future u8¢ in line with the donors, non- binding Mryshes. This will be $ubje¢t to proposals for use to be submitted by RBG Kew. 26
The Foundation and Friends of the Royal Botanic Gardens, Keiv Notes to the accounts Year ended 31 March 2023 BalaDee l Aprll 2022 £'ooo llleon)e Eipend- iture Transft Balanee betwee 31 M#reb funds 2023 £'ooo £'ooo £'oo £'ooo Restri¢ted FndS Science Seed ¢onserva¢ion- supporting the collection, storage and viability of seeds, particularly at RBG Kew's Millem]ium Seed Bank Tropical tmportant Plant Areas {TIPAs)- support]ng identification and collgervation of TJPAS Plant and Fungal Tr¢e of Lif¢ (PAFTOL) Stste of the World's Plants Orchid Fellow Otherscientific re5ear¢h and associated activity 1.938 281 (235) 1,987 257 (129) (8) 120 (61 (2) 197) {167) 183 187 674 181 179 669 89 162 H•rtleulknre and gardens Evolution Garden Children's Garden Broadwalk Borders Wak¢hurst Place Other borticultural activity 19 42 (16) (42) 435 1,022 446 946 14 {901 Education and outreach Grow Wild Other educatton and.outreaeh activity 562 (79) 483 Other Library, Art and Archives- supporting acquisition and access to BBG Kew's Library collections Other activity in supwrt of IIBG Kew 32 (30) 372 151 512 Grand Total 727 472 742 75 5,532 All of the above funds are available tr) be granted to RBG Kew upoll receipt by the Foundation of the n¢cess8ry dUmentatIon detailing expenditure. Within restricted funds there are various levels of restriction. Transfers between funds are made as appropriate and reflect lOCatiOn to specific activity as conffftned with the donor. 27
The Foundation and Friends of the Royal Botanie Gardens, Kew Notes to the accounts Year ended 31 March 2023 BalaDce l Aprll 2021 £'ooo Income Expend- iMre Transfers Balance betweell 31 Marcb funds 2022 £'oo £'ooo £'oo £'ooo Rcstrleted Funds Science Seed conservation- sUPPOrting the ry)Il¢dion, stornge and viability of seeds, parti¢ularly at RBG Kew's Millennium Seed Bank Tropical Important Plant Areas ITIPAs)- supporting identifA¢ation and consejvation of TIPAS Plant And Fungal Tree of Life (PAFTOL) State of the World's Plants Orchid Fellow Other scientific re5eardL and associated activity 1.158 788 {122) 114 1938 390 {133} 257 386 203 206 882 (382) (20) (ioo) (224) 183 187 674 81 Hortlculture and botanlc gardens Evolution Garden Children's Garde Broadwa]k Borders Wakehurst Place Other horticulttwal activity 26 115 (7) {73) 19 42 435 488 435 1,022 581 (47) Education outreaeh Grow Wild Other education and outreach activity 55 63 {55) 500 562 Other Library. Art and Archives- supwrtillg acquisition and access to BBG Kew's Library collecti¢)ns Other activity in support of RBG K¢w 63 (31) 32 492 369 {368} (121) 372 Grand TotAI 47 1,563) 81 5.727 28
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 ii. lysis of net assets between funds Fund balances at 31 Mrch are represented by: 2023 Ullrestricted Restr&eted Eudowment £,0j £'ooo £'ooo 6.201 3,260 4,606 2,098 ,102 2.531 1,330 (304) {160) Total £'ooo 14.067 3200 3,861 (464) Long.(emi investments Cash at bank Debtors Credit(* 10,526 5,532 4,606 20.664 2022 UDrestr£cted Re¥tricted Endowment £'ooo £'ooo 2,469 4,925 4,143 576 (1,461) Total £'ooo 11.410 11.019 1,049 (3.837) Long-tern] investments Cash at bank Debtors Creth'tors 4,016 6.876 473 (2,376) 8,989 5,727 4.925 19.641 12. Sal•ry and stthff efrgts No staff are employed by the Foundation. The total remunerdtion (including pension eontributions) of tbe key management persormel for the yeaT was £nil (2022.. £nil). During the year Trustees received no remunerdtion or benefits in kind (2022: £nil). No Trustees were reimbursed expens¢5 for travel, subsistence or donor meetings (2022.. £nil). 13. Related P•Tty transactlons No donations were received frorn the Trnstees in the year (2022: £nil). There wcre no other related paty transactions with trustees in either year. The Found10n bas related party transactions with RBG Kew alld also with RBG Kew Enterprises Ltd. Expenditure includes ari alnount of £3,283k (2022 £8,451k) and creditors include all amount of £447k (2022: £3,820k) relating to BBG Kew and RBG Kew Enterprises LttL In¢ome includes an an]ount of £nil {2022: £nill and debtors include an amount of £nil (2022.. £nil) relaliDg to RBG Kew and RBG Kew Enterprises Ltd. No other related paty tTonsactions are lloted. 29
The Foundation and Friends of the Royal Botanic Gardens, Kew Notes to the accounts Year ended 31 March 2023 14. RetonciliatioD of llet income to net ¢4$h flow from opertitig #ctlvltles 2022123 21121121 £'ooo Net it)come for the reporting period (as per the ststement of financial activities) 1.023 (4,223) AdjustmeDts for: (Gains) I losses on investments Dividends and inter¢$t from investments 854 (106) (188) (112) Operating ca8h flow before movement working capital 1,771 (4,$23) (InueaseyDecrease in debtors Increase l (dccrease) tn creditors (2,812) (3,373) 216 1.889 Net cash provided by operAthkg actlvltles (4,414) (2,418) l& Grants wArded to RBG Kew Ullrestrleted £'ooo Restri¢ted £'ooo 2023 £'o RBG Kew 2022123 Support Specrfic purpose grdnts 1.600 943 1.600 1.685 742 GrADts awarded 2,543 742 3,285 Unrestricted £,00 Restrieted £'ooo 2022 £'o(M) RBG Kew 2021122 Support Sp¢cifio Purpose grallts 1.600 5286 I,6) 6,849 1,563 Grants 4w¥rded 6,886 1,563 8.449 2023 £'oo 2022 £'o(Jo Retoncfillatlon of unrestricted grants payable Commitments as at 1° April Commitments Dde in the year Grants paid during the year 1,600 1,600 (3,200) 26 1,600 (26) Commitments a5 at 31° Mah 1.600 30